"Small and medium-sized enterprises (SMEs) tend to be theoretically and empirically considered to have critical limitations for innovation and technological development. Whereas this can be true in general terms, there are certain factors that can stimulate SMEs' capacity for innovation, in particular internal organizational factors. Thus, in the context of less formally institutionalized regional/ local labour markets and labour relations, several factors or drivers, such as adequate size, the specific industrial sector and good human resources management, can be potential drivers of learning and innovation. These factors are analysed in three main dimensions, namely, management, further training and work organization. These arguments are explored with examples and data from industrial SMEs in their respective regional contexts in Spain."

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