Innovation in India: A review of past research and future directions

Abstract

The rapid economic growth that India enjoyed following the start of its economic reforms in 1991 has led to a growing scholarly interest in Indian organizations and management practices. In this paper, we bring together extant yet dispersed research on one important and salient element of Indian economic growth: innovation. We organize and review the substantive innovation research in India based on its scope and focus, and find that it has yielded unique insights about India’s innovation systems and processes at both the institutional and firm levels. Three interesting trends emerge from this review of the literature. First, a growing body of research has started identifying innovation phenomena unique to India, such as “frugal innovation” and the related notion of “jugaad.” Second, a discernible arc in Indian innovation research can be observed, that is, a shift from a focus on the role of the state to the role of MNEs and Indian businesses in innovation. Finally, unlike much innovation research elsewhere, there appears to be significant interest in innovation that serves the need of the poor. We conclude with directions for future research on innovation within the Indian context.