discourage innovation. Firms may reject profitable opportunities that fall outside of their core activities. If employees own the … intellectual property (IP), they may leave to do a start-up. The allocation of IP rights also affects the generation of innovation …. The external entrepreneurial environment is a complement to firm-internal innovation. If the external environment is …

yielding a valuable innovation. Finding the complementary piece requires ideas to circulate, which creates appropriation risks … provides new insights into the structure of innovation-driven clusters such as Silicon Valley. <i>This paper was accepted by …