The purpose of the study was to examine the influence of process and supplier capabilities on collaboration in new product development and competitive advantage and the extent to which research and development capabilities moderates. An explanatory research design was used and the study relied solely on the quantitative method. A primary source of data was used. Convenience and purposive sampling techniques were used to select the respondents for the study. The total sample size of the study was two hundred and fifty (250). The findings of the study indicate that Process capabilities have a positive and significant influence on collaboration in new product development. Supplier capabilities have a positive and insignificant influence on collaboration in new product development. Collaboration in new product development has a positive and significant influence on competitive advantage. Research and development capability positively and significantly moderates collaboration in new product development and competitive advantage. The research is embarked upon to provide insight on the influences of process and supplier capabilities, collaboration in new product development and competitive advantage and the moderating effect of research and development capabilities of the firms on the output of SMEs within the context of Ghana.
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