Abstract

AbstractGovernments throughout the world employ a variety of policy mechanisms to promote economy‐enhancing innovation, although the embedding of SMEs in national systems of innovation has generally proved problematic. The Australian Cooperative Research Centres – Projects Program represents a recent attempt to do precisely this. Interviews with participants in the first two rounds of the Program report high levels of satisfaction, but also highlight potential for friction between SMEs and research providers, together with the opportunity for strategic manipulation. This study provides government officials and other stakeholders with preliminary recommendations regarding where the Program is succeeding, and where further vigilance may be required.

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