ABSTRACT
This chapter explores the closed and open channels available to both multinational corporations (MNCs) and small and medium sized enterprises (SMEs) as they seek to generate and develop innovative projects. The main barriers to innovation for SMEs are availability of finance and the risk involved in developing radical innovation. The chapter explains the importance of generating ideas for innovation and importance of social networks. It describes the link between innovation and entrepreneurship, and reviews the pros and cons of open source software (OSS). The open source movement and its methodologies have contributed significantly to the business world and created ecosystems that have positively impacted all industries and billions of people across the globe. Changes in the organisation of the innovation process appear to have facilitated the broadening geographical linkages of products, processes, and markets. At the same time, globalisation seems to induce cooperation among innovative organisations.
