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Aim of this thesis: 1. To find the differences between the high and low innovative individuals on certain psychological variables like Kirton Adaption - Innovation personality, self - confidence, Internal - External Locus of Control, Interpersonal Trust and Values (Theoretical, Economical, Aesthetic, Social, Religious and Political). 2. To find out the differences between the high and low innovative firms in respect of organizational, environmental and work culture variables. 3. To find out those personality variables which effectively discriminate the high innovative individuals from those of the low innovative individuals. The above objectives are rewritten in the context of the present study. 1. To find the difference between the principals of high and low innovative firms engaged in the manufacture of medicines on certain psychological variables like Kirton Adaption - Innovation personality, self - confidence, Internal - External Locus of Control, Interpersonal Trust and Value