Innovation in Peruvian manufacturing industries: An analysis of the determinants of the goods and services introduced to the market

Abstract

This paper addresses the determinants of the introduction of new goods and services, or significant improvements in existing ones, in the market (product innovation) by firms in the manufacturing sector. Using data from the 2018 Peru National Innovation Survey, count models are employed, specifically the Poisson Regression Model (RPM) and the Zero Inflated Poisson Model (ZIP). The findings reveal that research and development (R&D) spending and innovation training have the largest significant impact on the number of innovations introduced. In addition, a significant effect of firm size and collaboration with universities and/or firms on the product innovation process is observed. These results contribute to a better understanding of the drivers of innovation in the manufacturing industry.