Emerging Tech

Determinants Of The Innovation Propensity In Tunisia: The Central Role Of External Knowledge Sources

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Executive Summary

This paper is dedicated to the analysis of the first innovation survey of the Tunisian firms. Starting from basic mechanisms of innovation processes, the authors test a set of conjectures adapted to a developing country like Tunisia. They analyze the motivation of firms to innovate and the determinants of product and process innovations. These results show that firms must benefit from external knowledge sources in order to exhibit significant innovation propensities. The large size is also a necessary (but not sufficient) condition for innovation. They also notice that the participation of the State plays a harmful role.

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