An Analytical Framework for Innovation Determinants and Their Impact on Business Performance

Innovation plays a pivotal role in the progress and goodwill of an organization, its ability to thrive. Consequently, impact analysis innovation on performance organization holds great importance. This paper presents two-stage analytical framework examine business firm’s performance, especially firms from manufacturing sector. The prime objective is identify factors that have firm-level innovation, performance. are based latest World Bank enterprise survey, with sample size 696 firms. first stage proposed establishes results through Bivariate Probit, which indicates research development (R&D) has significantly positive product, process, marketing, organizational innovations. It thus highlights important allocation lump-sum amounts for R&D activities. statistical shows does not depend Moreover, older found be wiser at conducting than newer reluctant take risks. second separately analyzes impacts product process marketing firm finds them statistically significant insignificant, respectively.