TAILIEUCHUNG - The relationship between innovation capabilities and efficiency of foreign invested enterprises in Vietnam
The study provides insight into different aspects related innovation of FIEs such as: types of innovation, frequency of innovation implementation, methods of innovation investment. Results of the analysis of primary data by the linear regression method show the relatively small differences in the impacts of 7 groups of capabilities on efficiency of the company, even though the development capabilities still have made greatest influence with the coefficient of . | VNU Journal of Science: Policy and Management Studies, Vol. 31, No. 2 (2016) 34-50 The Relationship between Innovation Capabilities and Efficiency of Foreign Invested Enterprises in Vietnam Le Thi Thu Ha*, Pham Thuy Linh, Ho Thi Thu Quynh, Tran Thi Kim Chi Foreign Trade University, 91 Chua Lang, Dong Da, Hanoi, Vietnam Received 24 March 2016 Revised 15 May 2016; Accepted 23 June 2016 Abstract: Similar to the previous researches, this study confirms the positive relationship between innovation capabilities and efficiency of a company by measuring and evaluating the experimental data from 52 foreign invested enterprises in Vietnam (FIEs). The study provides insight into different aspects related innovation of FIEs such as: types of innovation, frequency of innovation implementation, methods of innovation investment. Results of the analysis of primary data by the linear regression method show the relatively small differences in the impacts of 7 groups of capabilities on efficiency of the company, even though the development capabilities still have made greatest influence with the coefficient of . The findings of this research once again stress that innovation and innovation capabilities of the company is the decisive element of primary efficiency. Keywords: Foreign invested enterprises, Innovation, Innovation Capabilities. countries would go through different developmental stages, depending on the ability to identify and implement their innovations. From the perspective of enterprises, several researches have demonstrated empirical evidence of the positive relationship between innovation and new products, services and production process [7 – 14]. According to David (1997), value creation is the requirement for any firms in market economy and innovation is the tool to create value for them. Because customers tend to be attracted by new product and service selections, when firms discontinue attempts to innovate, they may lose a certain number of customers [15].
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