Evaluation of Influence of Innovation on Enterprise Productivity

Abstract

In small and medium-sized enterprises of Kazakhstan, not enough attention has been paid to the relationship between innovation and enterprise productivity, as well as the measurement of the existing relationship. Therefore, the purpose of the article is to study the impact of innovations (productive or process, organisational, marketing) on the productivity of small and medium-sized enterprises of Kazakhstan. The data used in the research were obtained from the review conducted by the Business Environment and Enterprise Performance Survey and the European Bank for Reconstruction and Development and the World Bank. Besides, the results of the survey among small and medium-sized enterprises of Kazakhstan conducted in 2012-2014 were considered as well. Based on the survey results, descriptive statistics and correlation and regression analysis were conducted. According to the results of the study and econometric analysis, model creation and evaluation, the positive impact of innovation, investment and R&D on the performance of small and medium-sized enterprises in Kazakhstan was established. In conclusion, it can be stated that in order to increase the level of innovative activity, enterprises must focus their activities on expanding the production of new or improved products, be competitive in the market due to the application of new technologies and improve the quality of products.