Abstract
In July 2010, “Industrial Innovation Act” has been proposed. One of the most important items for corporation is to consider R&D tax credits. However, as Investigation “Highly innovation identifying Application” from Ministry of Economic, it indicates manufacturing industry focus more on R&D activity than services. Therefore, how to make R&D tax credits more broadening use in order to facilitate R&D activities has become the popular issue. Since the Industrial Innovation Act proposed, it was often criticized as the “Manufacturing-oriented thinking” act. Due to the nature of industry difference, services industry focus on “need” as basis of market driving attribute, including organizational innovation and marketing innovation. These do not meet the purpose with Industrial Innovation Act that pays attention on technological foundation and R&D specifications. The study considers four types of innovation from Oslo Manual: product innovation, process innovation, organizational innovation, and marketing innovation. The study develops several questionnaire items with consideration of non-R&D innovation expenditure credits. Via postal questionnaire survey, the study investigates the R&D managers and staff in the manufactures and services, and receives 81 valid samples from these two industries. The results appear that product innovation is considered as most importance among three types of innovation. Research also found that product testing, market research, product risk evaluation, and brand design are considered as the required expenditures for all industries. The study also offers some insightful points for policy implications.