Abstract:

The analysis aims at organizational innovation activities of enterprises from the manufacturing sector in the Czech economy. Data comes from the Czech Community Innovation Survey of 2014. The analyzed sample consists of observation about innovators and enterprises that did not engage in innovation activities in the last three years. This paper uses a standard innovation model. The Heckman procedure is used to estimate the probability to innovate and the research and development intensity measured by the log of innovation expenditures per one employee. In the last step, the log of sales from innovated goods and services per employee is estimated. This paper explores the relationship between the enterprise's performance and organizational innovations. Results suggest that there are only a few significant differences between all innovators and organizational innovators. Organizational innovation was not a driver of enterprise’s ability to capture profits of innovated goods and services. Organizational innovation was more probable in medium-tech industries.