Determinants of innovation Performance: A Resource-based Study

AbstractThis study aims to investigate the determinants of innovation performance in firms. Hence, the relationship between several constructs that are innovation strategy, formal structure, customer and supplier relationships, innovation culture, and technological capabilities and innovation performance were tested. A survey that was conducted on a total of 194 firms revealed that innovation strategy and technological capabilities contributed more greatly to innovation performance. However, in contrast to the proposition of innovation literature that suggests a positive and significant relationship between formal organizational structure and innovation performance, a significant and negative relationship was found. The implication is that firms are likely to improve their innovation performance as they increasingly reconfigure their resource-base with regard to strategy development and technological investments