UNDERSTAND THE INFLUENCE OF CONTEXT ON INNOVATION CAPACITY

Using multilevel modelling on a sample of 642 firms located in 23 business districts of Cameroon''s main economic cities this essay provides econometric evidence for the existence of a context effect that directly influences the innovative capacity of firms and that participates in territorial dynamics. After controlling for variables observable at the firm level such as R&D effort cooperation in innovation and the firm''s sector of activity we find that environmental variables such as knowledge externalities the local level of knowledge the level of sophistication of demand competitive pressure as well as certain socio-cultural variables such as the marital status and religiosity of the firm''s manager do indeed play an important role in the innovation process. These results enrich current theories on the question of the innovative power of territories and conclude that it is the set of material and immaterial conditions of a territory that would be the secret of its innovative character.