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The current financial crisis is forcing many companies to rethink their innovation strategies and their approach to technology management. The almost automatic response to the crisis has been to increase the efficiency of their innovation processes. By downsizing R&D departments, making the innovation processes more lean and focusing more on incremental innovation projects with a more secure payoff. However, while this approach may increase the performance of the company for the short term - it may also inhibit the long term performance of the company. This paper identifies three different reactions to the financial crisis. Three different reactions are identified. Repositioning which entails that the company seeks to develop new business models which reduce the exposure of the company to the financial crisis. Cost reduction where the company actively seeks to reduce costs using whatever means available. Finally, continual innovation where the company uses innovation actively in order to develop the business further and gain market share. These three reactions are analyzed in order to determine how key dimensions of the innovation and technology management strategies of the firm are changed. Finally the paper will discuss if the balance between exploration and exploitation is influenced by the financial crisis.