Observations on collaborative practices and relative success of small technology-innovating firms supported by the US SBIR initiative

Abstract

This paper investigates the nature of collaboration in eight small technology-innovating firms who participated in the US Government sponsored SBIR (Small Business Innovative Research) process in 1995/6. The research was performed in 2003 allowing sufficient time to assess the relative success of various practices by the firms following differentiated SBIR processes. Following expectations, all of the firms participated in extensive collaboration. However, in contrast to earlier work studying the same firms in 1998/9, it is found that a SBIR process initiative designed to encourage collaboration with other entities and to accelerate commercial success ("Fast Track Process") had no influence on whether the firm had commercial and employment growth success. It appears that much of the identified collaboration is due to the need of small firms to extend their understanding of the broader systems implications of the technology they are developing. The paper also describes some perceptions held by small firms about reasons not to collaborate.