Small Business May Be Less Innovative Than You Think

Many observers have argued that small businesses are more innovative than large companies because they are more nimble and because they offer greater incentives for people to take risks and be creative. The U.S. Small Business Administration (SBA), for example, points out companies with fewer than 500 employees produce more patented inventions per capita than companies with 500 or more employees.

But recent data produced by the United States Patent and Trademark Office (USPTO) and the National Science Foundation (NSF) suggest that small businesses are weaker at innovation than many observers have historically argued.

Small Business May Be Less Innovative Than You Think