UNCOVERING THE NEXUS OF INNOVATION AND PERFORMANCE IN PALESTINIAN BUSINESS ORGANIZATIONS

Abstract

This study examines the relationship between innovation and performance in Palestinian firms, considering the unique challenges faced by the country such as limited resources and political and economic instabilities. The research aims to fill the existing gap in the literature by investigating the key drivers that affect innovation and performance in small and medium-sized companies in Palestine. By exploring this relationship, the study also seeks to confirm the hypotheses related to knowledge creation and innovation.

The paper is structured as follows: The second section provides a comprehensive literature review on innovation, performance, and market orientation, highlighting their interrelationships. The third section justifies the chosen methodological design and research framework. In the fourth section, the results of the analysis are presented and discussed. Finally, the last section offers conclusions and limitations of the study.

The findings of this investigation are expected to make significant contributions to the financial and business literature. It is worth noting that this study is the first of its kind to identify the relationship between innovation and firm performance specifically in the context of Palestine. The research sample consists of small and medium-sized companies, which are essential for the country's economic development. By understanding the key drivers of innovation and performance in Palestinian firms, policymakers and business leaders can make informed decisions to promote economic growth and development