Relationships between Innovation Capabilities, Business Performance, Marketing Performance and Financial Performance: A Literature Review

Syed Shah Alam, Vijayesvaran Arumugam, Noor Gani Mohd Nor, Pushpa Kaliappan, Lee Sze Fang


Innovation is one of the basic component use by the corporate as a stretegy to improve productive manufacturing processes, to be able to compete in the market and to establish good reputation to gain positive status in customers’s perception. This paper has been designed to review the existing literature available on firm innovation capabilities and its influence on performance (i.e. business, marketing and financial performance). After reviewing the existing literature on firm innovation capabilities, the researchers have found that firm innovation capabilities have greater influence on business performance, marketing performance and ultimately influence on financial performance. Theoretical framework has been develop on the basis of the reviewed literiture, showing the relationship between firm innovation capabilities and performance.

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