The Effects of Openness on Managerial Innovation in Cameroonian Companies

Abstract

The objective of this study was to analyze the effects of openness on the adoption of managerial innovation by Cameroonian companies, as well as comparing the share of managerial innovation resulting from inter-organizational networks of the same group and of different groups. Noting a lack of such a study on Cameroon, this study used data from the Centre de Recherche en Economie et Gestion (CEREG) to achieve the objective. Using a binary probit model and a recursive bivariate probit model, the authors found that, first, a company that collaborates with other companies has an increased probability of 0.37 of adopting new managerial practices, compared to another company that does not collaborate. Second, a company belonging to a group that collaborates with companies of a different group has an increased probability of 0.30 of adopting new managerial practices, compared to a company that only collaborates with companies of the group to which she belongs. Business leaders should cooperate with all market players.