Innovation decision of Tunisian service firms: an empirical analysis

Table 4 Marginal effects of multinomial Probit model for innovation choice (first model)

Variables	Multinomial Probit model
	No-innovation		New-to-market only		New-to-firm only		Both
	dy/dx	SE	dy/dx	SE	dy/dx	SE	dy/dx	SE
Internal knowledge sourcing
Engaging in innovation activities (ENGAG)	0.104	0.110	−0.058	0.041	−0.026	0.023	−0.019	0.123
External knowledge sourcing
Cooperation (COOPER)	−0.251	0.088***	−0.041	0.036	0.029	0.029	0.262	0.101***
International orientation (INTER)	−0.034	0 .027	−0.011	0.018	−0.001	0.011	0.047	0.036
Absorptive capacity
Education level (QUAL)	0.098	0.114	−0.048	0.086**	0.178	0.079**	−0.228	0.175
Group membership (APP_GROUP)	0.048	0.094	−0.019	0.038	0.031	0.037	−0.060	0.119
Resources
Size (SIZE)	0.085	0.067	0.055	0.043	0.044	0.032	−0.185	0.084**
Size-squared	−0.004	0.008	−0.004	0.004	−0.004	0.004	0.012	0.010
Firm vintage (AGE)	−0.009	0.005*	−0.005	0.003	0.002	0.001	0.012	0.006*
The aims of the innovation
Replace obsolete services (SERV_OBS)	0.042	0.026	−0.004	0.015	−0.007	0.010	−0.031	0.032
Improve service quality (QUAL_SERV)	−0.035	0.039	0.132	0.062	−0.025	0.021	−0.072	0.076
Extend the line of services (GAM_SERV)	−0.022	0.028	0.042	0.027	0.021	0.013	−0.041	0.042
Sustain the market share (PART_MAR)	−0.052	0.040	−0.138	0.061**	0.021	0.018	0.169	0.081**
Reduce production cost (RED_COUT)	−0.027	0.020	−0.018	0.019	−0.025	0.011**	0.071	0.035**
Log-likelihood	−6964.8497
Likelihood Ratio statistic (LR)	10119.297
Prob > LR	[0.000]
AIC	14013.7
BIC	14122.69
R squared	0.42
Number of observation	99