This paper investigates the underlying factors that might shape the firm’s choices with respect to degrees of innovation novelty. Using a sample of 2983 firms observed under the Portuguese Community Innovation Survey, we assess the relative relevance of a set of firm- and industry-specific...

We examine whether organizational climate for personal initiative (PI climate) is conducive to firm innovation in small and medium-sized firms. Employees with PI are self-starting, proactive, and persistent, and a PI climate is characterized by common norms of encouraging PI at the workplace. A...