Innovation capabilities in the food processing industry in Brazil

Abstract

Purpose The purpose of this paper is to analyze the innovation performance of food companies from Brazil with regards to four innovation capabilities. Design/methodology/approach A research study was carried out on a sample of 120 Brazilian food companies. A conceptual framework of innovation capability was adopted to estimate the relationship between development capability, operations capability, management capability, transaction capability and the innovation performance of food companies. The empirical test was made with partial least squares analysis. Findings Results revealed that development capability and transaction capability have a substantive impact on the innovative performance of firms, while the findings indicated neither operations capability nor management capability was significantly related to the innovation performance of firms. Practical implications If innovations are considered one of the major sources of profitability for the firm, the findings of this study indicate ways to improve food companies in this issue. According to the results, efforts directed to technology development capability and transaction capability can significantly impact for the innovation performance. Originality/value Considering the overall manufacturing industry from Brazil, the food industry represents the biggest in economic and social impact for the nation. This quantitative empirical study fills an important gap in research by discussing innovation in an industry with a strategic role in the development of the country and to attend the global demand by food.