Enterprise innovation in developing countries: an evidence from Ethiopia

Megersa Daksa (), Molla Alemayehu Yismaw, Sisay Diriba Lemessa and Shemelis Hundie
Additional contact information
Molla Alemayehu Yismaw: Haramaya University
Sisay Diriba Lemessa: Haramaya University

Journal of Innovation and Entrepreneurship, 2018, vol. 7, issue 1, 1-19

Abstract: Abstract Enterprise innovation has gained the interest of development policymakers and scholars as the bases for the industrial development. This study comprehensively analyzes the drivers of enterprise innovation in developing countries. The study uses survey data to analyze the determinants of enterprise innovation in Ethiopia using a multivariate probit (MVP) model. For this study, enterprises were grouped into four categories: all-sized, large-sized, medium-sized, and micro- and small-sized enterprises. It appears that engagement in R & D, on-the-job training, and website ownership significantly determine enterprise innovation. This study, unlike previous studies, comprehensively analyzes drivers of innovation by considering enterprises in different sizes and all at the same time. This helps identify factors most relevant for enterprise innovation at all stage which help policymakers get focused on strategy development. Based on the findings, further emphasis on engagement in R & D would help enterprises to become innovative for all categories of enterprises. Furthermore, strengthening the available formal training and diversifying type of the training that is related to skills, knowledge, and techniques that help achieve the long-term objective of the enterprises are worth considering. Enterprises also need to subscribe to different sites that help learn more and access information.

Keywords: Enterprise; Innovation; Determinants; Multivariate probit; Ethiopia (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://link.springer.com/10.1186/s13731-018-0085-4 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:joiaen:v:7:y:2018:i:1:d:10.1186_s13731-018-0085-4

Ordering information: This journal article can be ordered from
https://innovation-e ... ip.springeropen.com/

DOI: 10.1186/s13731-018-0085-4

Access Statistics for this article

Journal of Innovation and Entrepreneurship is currently edited by Elias G. Carayannis

More articles in Journal of Innovation and Entrepreneurship from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().