Innovation, use of high technology, and flexibility of response to cus
tomer needs are studied in two surveys of small manufacturing firms in
New York and Pennsylvania. They are shown in both surveys to be separ
ate and unrelated concepts. None of five industry-level classification
s of high-technology firms, using SIC codes predict these concepts on
a firm level. Only innovation is related to a sophisticated firm marke
ting program, and to export from the state.