Determinants of the Firm Innovation: The Turkish Case

Achieving a successful innovation appears to be a significant strategy for remaining competitive in business for all firms. However, introducing determinants which bring success in innovation and producing strategies according to these determinants is a complex process for firms. In order to clarify this process, attempts towards producing determinants are made in the light of surveys using a number of variables carried out nation-wide by many researchers. In this study, our main aim is identifying the innovation determinants of the firms in Turkey, thus addressing an important mission in the field. Variables used in this study have been identified and analyzed by blending the variables stated in the determinant studies in the literature and in the limitations of data from Community Innovation Survey carried out by Turkstat in 2008. In the analysis, data from 5863 firms have been used. As a result of six logistic regression models built upon the dependent variable of the presence or absence of product/service innovation, the determinants of Turkish firms regarding product and service innovations have been identified and the relevant data presented. Consequently, in addition to making firm-based suggestions, recommendations for changes in Turkish innovation policy are also made.