The Effects of Innovation Activities and Size on Technological Innovation in South American Manufacturing Firms

Jean Pierre Seclen-Luna, Rosa María Morales Valera

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8 Citations (Scopus)


The process innovation approach is applied in an exploratory research using data gathered from the World Bank Enterprises Survey (WBES). Using probit models on a sample of 1,965 manufacturing firms from seven South American countries, the effects of innovation activities on product and process innovation are determined. Findings indicate that there is a positive relationship. However, these relationships can be different depending on the type of innovation and the size of the firm. We found that most of these activities are related more to product innovation than process innovation, and these relationships have greater statistical significance in SMEs than large companies. Lastly, given the positive effect on these relationships, we conclude by highlighting the importance of managers crafting their innovation portfolios properly and the need for further research to determine the innovative behaviour of manufacturing companies in the context of their respective developing country.

Original languageEnglish
Pages (from-to)88-108
Number of pages21
JournalInternational Journal of Business Environment
Issue number1
Publication statusPublished - 2022

Bibliographical note

Funding Information:
Rosa Morales earned her PhD in Economics from the Claremont Graduate University (USA). A faculty at the Universidad de Monterrey (UDEM) since 2018, she previously served at the School of Economics of the Universidad de Carabobo, Venezuela. She is currently a member of the Female Leadership Research Group of the Latin American Council of Management Schools (CLADEA). Her research interests lie in between management of innovation and strategic behaviour. She has published in Scientometrics, The Journal of Economic Behaviour and Organisation, The Journal of Business Inquiry, and Revista Brasileira de Inovacao. She has also participated in numerous international conferences. Her previous research was funded by the National Fund of Science and Technology of Venezuela (FONACIT).

Funding Information:
The authors thank The World Bank Enterprise Surveys Team for providing us with the 2017 survey data. Additionally, for their helpful comments, our thanks go to two anonymous reviewers. Jean Pierre Seclen-Luna acknowledges the support from the Program for High Performance in Research of the Pontifical Catholic University of Peru.

Publisher Copyright:
Copyright © 2022 Inderscience Enterprises Ltd.

All Science Journal Classification (ASJC) codes

  • Business and International Management
  • Strategy and Management
  • Management Science and Operations Research
  • Management of Technology and Innovation


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