Abstract
This research aimed to examine the relationship between the barriers to the development of innovation and innovative performance. This is a quantitative, not experimental, cross-sectional research, and the National Survey of Innovation Activities of Ecuador is used. Bivariate Probit regression was used to process the data. The results show empirical evidence that Ecuadorian companies have a great number of barriers to innovation. The main barriers to product innovation and process innovation are as follows: lack of company funds, high costs of innovation, and lack of qualified personnel in the company and the country. In addition product innovation is affected by the lack of market information, and process innovation is affected by the lack of financing from external sources, lack of information on technology, and a market dominated by established companies. The research has theoretical implications because it contributes empirical evidence on the relationship between innovation barriers and innovative performance in developing countries where evidence is scarce. The research has practical implications because it serves as a basis for forming public policies. Business managers and administrators can improve innovative performance by minimizing the impact of the main barriers to innovation.
Highlights
The results show that, in Ecuador, there are barriers that are positively related to the innovative performance of companies, which indicates the ability of the company to overcome the obstacles presented by the barriers (Galia and Legros 2004; Mohnen and Röller 2005; Pellegrino 2018), and they are lack of funds in the company, high innovation costs, lack of qualified personnel in the company, and lack of qualified personnel in the country related to product and process innovation
The main barriers to product and process innovation found in this research on Ecuadorian companies are lack of funds in the company, high costs of innovation, lack of qualified personnel in the company, and lack of qualified personnel in the country
In addition, is affected by the barrier generated by the lack of market information and process innovation
Summary
Publisher’s Note: MDPI stays neutral with regard to jurisdictional claims in published maps and institutional affiliations. In the theories of economic development, technological change and innovation have an important role; in the economic development theory of Schumpeter 1934), he considers that the fundamental force that causes the processes of transformation of the production and economic system is technological innovation, which can cause decisive transformations in society and in the economy. The theory of endogenous economic growth (Romer 1994) considers that an improvement in human capital leads to economic growth through new forms of technologies and means of production that can be created. The long-term growth of a country is related to technological innovation, so there is an endogenous capacity of countries to create technology and growth through knowledge
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