Corporate ownership structure and its impacts on firms' innovation level: Tunisian cases

This article tests the impact of firms' ownership structure on their innovation level. The theoretical framework of this research is based on the major contributions provided by a cognitive approach of corporate governance. Noteworthy, this study analyses empirical data related to a sample consisting of 95 Tunisian manufacturing firms. Empirical evidence has shown that the industrial leaders and ownership concentration are significantly and positively associated with the firm's level of innovation. The increasing number of the industrial leaders and their dominance as proprietors has had a significant influence on corporate decisions. The results have also depicted the prevalence of a significantly negative relationship between the firm's institutional ownership and innovation policy. Eventually, the findings indicate that institutional investors may not influence management decision making concerning innovation investment.