**1. Introduction**

Innovation is the development of new products, services, ideas, discoveries, business models, and inventions that can have numerous outcomes and benefits. It helps companies grow their businesses with existing or new customers. It can provide a step forward in new scientific breakthroughs, and it can create jobs and develop the economic vitality of communities, regions, countries, and the world. Therefore, it has the possibility of creating value for many stakeholders. There are many ways an organization can innovate to create value. This chapter reviews those methods in the context of large, global, industrial companies in comparison with their smaller,

start-up counterparts. While this chapter defines innovation as the activity that leads to the value-creating outputs mentioned above, many others use the term research and development (R&D) interchangeably. The authors of this chapter will explain that R&D is just one of three methods of innovation development. However, because R&D is widely accepted as a synonym for innovation, it also has well-established measurements, and for that reason, we introduce our topic of innovation there.

R&D has expanded rapidly, especially within the 21st century. According to some estimates, global R&D increased over 200% in the first two decades of the century [1], and the amount spent on R&D around the world totals over US\$2 trillion [1, 2]. It is generally considered that there are three types of organizations involved in R&D: private businesses, government agencies, and institutions of higher education or colleges and universities. In countries represented by the Organization for Economic Cooperation and Development (OECD), which is an intergovernmental organization representing 28 highly developed economies, private industry provides the most funding for R&D. Organizations in this category represented about US\$900 billion in investment in 2019 in just those 28 countries, which was 64% of all funding for research and development [1]. In this chapter, we focus on these larger organizations because they tend to be self-funded, meaning they are not generally seeking funding through external sources such as venture capital (VC) or government-funded grants. Large companies also represent the largest spenders among private organizations. One researcher has indicated that large companies, those with more than 500 employees, conduct over five times more research than small organizations, and they are also more productive than start-up companies [3]. While these large organizations are key players in innovation, their participation, and especially their own ecosystems, represents a puzzle of sorts. While they have large budgets and many resources, they have challenges not faced by their upstart rivals. These challenges can suppress innovation in these organizations despite their budget and resource advantages. In this chapter, the authors discuss the challenges faced by large corporate organizations, and we also review various tools and models utilized in large organizations in an attempt to deal with these challenges. Finally, we pose recommendations for these organizations meant to accelerate their innovation processes.

The objective of this chapter is to provide readers with an overview of innovation in large, corporate organizations through the lens of corporate entrepreneurship. It does so by contrasting innovation efforts in these organizations against those of startup companies. Readers will understand the added challenges of innovation in existent organizations and the methods used to encourage innovators in these organizations to function as entrepreneurs.
