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This book addresses the crucial question raised by recent economic reforms in India - why, after 45 years of support through policies of protection, did India need more time to become technologically competitive?

The author concentrates on the performance of firms in the final goods sector, most of which are privately managed corporations, to demonstrate the stark contrast between India's sophisticated manufacturing base and the near absence of visible innovative capabilities. The key policy issue, the author argues, lies in ensuring that firms operate in technologically productive modes of behaviour. And, the critical component of the innovation system lies in inducing the promoters of these firms to accept technologically focused organisational systems.