Innovation Smackdown: Are Big Companies Or Startups More Innovative?

Gwen Ishmael's picture
Chat Date: 
Thu, Oct 04, 2012

This week’s topic is inspired by Raz Godelnik’s article, “Are Big Companies More Innovative Than Startups?” For years, small, nimble companies have cranked out innovation after innovation while corporate giants have strained to adjust course and keep up. But are those days coming to an end?

Bigger is Better

Scott Anthony believes big guys have the advantage. According to his “The New Corporate Garage” article, the number of large companies behind recent paradigm-breaking innovations “…indicates a dramatic shift in the world of innovation. The revolution spurred by venture capitalists decades ago has created the conditions in which scale enables big companies to stop shackling innovation and start unleashing it.”

Great Things Come In Small Packages

Maxwell Wessel says smaller companies often are more innovative because they don’t face the same constraints as their larger counterparts. “All the pressures and processes that drive [large companies] toward a profitable, efficient operation tend to get in the way of developing the innovations that can actually transform the business.”

 I believe the best Innochats are those in which we share tools, best practices, and how-to advice. With that in mind, here are some questions to consider this week:

  1. What innovation advantages do you think large companies have?
  2. What advantages do startups have?
  3. How can these advantages be adapted to work in both large companies and startups?
  4. What one specific innovation-related change would you make in your company?

 Looking forward to seeing everyone Thursday!

Gwen

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