U.S. small business is closely associated with the development of new technologies in many of the science-based industries likely to be important to future economic growth. Without the organizational barriers that often impede risk taking at
larger companies, small businesses produce many of the radical
innovations that lead to groundbreaking new products and even new
industries. From air conditioning to optical scanners, from solid fuel
rocket engines to personal computers, small-business innovations have
helped to transform American society while making important
contributions to national economic growth (National
Science Board 2008; Schramm
2006; Baumol
2002).
Until better data on a broader set of innovation-related indicators become available, an examination of research and development (R&D) performance by small firms can help to provide some indication of the role that they play in the nation's scientific enterprise (National Research Council 2005). Data on small-business R&D performance presented in this InfoBrief come from the annual Survey of Industrial Research and Development sponsored by the National Science Foundation (NSF) and the U.S. Census Bureau. The survey was designed to produce national level estimates of R&D performance. The sample includes companies in all size ranges across all non-farm industries, with an emphasis on large R&D performers. A majority of the 32,000 companies sampled report no R&D activity.
To read the full, original article click on this link: nsf.gov - SRS Indicators of U.S. Small Business's Role in R&D - US National Science Foundation (NSF)
Author: Lawrence M. Rausch
