Everyone talks these days about the external sourcing of innovation. Yet few are aware of the full array of practices that concept covers, which range from licensing raw ideas or technology to acquiring companies with market-ready products. In assembling a balanced portfolio of open-innovation strategies, businesses are seeking help from a variety of “innomediaries.” Product scouts, electronic R&D marketplaces, and patent brokers are helping them identify early-stage ideas with potential, while venture capitalists are adept at introducing firms to start-ups that have products ready for commercialization.
A version of this article appeared in the March 2007 issue of Harvard Business Review.
