Effect of the Intratrepreneurial Culture on the Innovative Activity of Spain's SMEs

Abstract

The objective of this chapter is to analyze the effect which entrepreneurial culture has over innovation on products processes and development of micro, small and medium businesses (SMEs). That is why an empirical study has been conducted with over 600 firms from Spain. The data processed through linear regressions by ordinary least squares (OLS) which indicates that all factors associated to intrapreneurship have positive effects over innovation activity in SMEs, especially those which are a big larger. These findings are important because they show to businessmen, entrepreneurs, industry leaders, academia and government that in the quest for positive innovation performance, they must promote within organizations the tolerance to risks and mistakes, adequate compensation, incentives, team work, managers support and flexibility in corporate structure.