Innovation, creativity and novelty-seeking are being driven by particularstates of mind and unique, differentiated socio-cultural needs. This chapter identifiesthe conditions that drive innovation and when the capacities that enable innovationmight get marred in individuals. The focus here is on understanding the behavioralcharacteristics of the inventor and the psychological mechanisms that guide innova-tion. Creativity could be a starting point for innovation; the question as to whetherthis is a necessary condition, and further whether it is a sufficient or insufficient one,is looked into from a managerial, legal and, most importantly, psychological stand-point. A number of perspectives from within psychology that have attempted toaddress the dynamics that guide creativity and innovation are discussed. Finally, thechapter poses questions that are a primer for addressing psychosocial quandariesaround innovations as a mechanism for change for the rural poor.