Can you defend R&D without becoming defensive?

04/9/2009 | Harvard Business Review online

R&D spending dipped only 0.7% at large U.S. companies in the last quarter of 2008, but "the siege-like mentality driving the decision might inhibit the effectiveness of R&D investments," says innovation consultant Scott Anthony. Research shows that companies under threat develop rigid responses. In defending the R&D budget from cost-cutting, a company may create an environment that keeps it from going after its best innovation opportunities, he says.

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