Firm level innovation brings about new ideas, new products development, pioneering of new technologies and processes as well as the promotion of entrepreneurship. It is the major driver of economic growth and competitiveness in the global market economy. This study assessed the status of innovation among small, medium and large firms in Ghana. From the up-dated list of the Association of Ghana Industries (AGI) a sample of 500 manufacturing and service sector firms employing more than 10 people were purposively selected across the country. The primary data were collected through questionnaire, and then analysed using descriptive and inferential statistics. The individual entrepreneur or owner of the firm was the unit of analysis. The result showed that innovation in Ghana is more prevalent in the small firms compared to medium and large firms. The study noted that most of the employees with university degrees were employed by large multinational firms and medium firms that are part of large groups. It also emerged that more than half (59%) of the processed innovations were developed within the firms themselves and 21% of the innovative firms collaborated with other firms and institutions for their innovative activities. The paper argues that drawing lessons from the experience of the Asian Tigers, firm level innovation could aspire Ghana achieve higher economic growth for favourable competition in the global economy.