The Impact of Political (in)Stability on the Innovation Performance: the Case of Bulgaria

Abstract

The innovations are something that have the potential to support the growth of the enterprises and it is suggested that every entrepreneur would invest in innovations. Nevertheless, not everyone does so because there are many factors that influence the innovation performance. One of these factors is the political environment. The latter can affect the innovation performance in various ways. Political instability can have many forms and one of them is frequent change of governments. Political environment in Bulgaria in the period 2007-2017 is marked exactly by frequent change of governments. The authors of the current study aims at identifying the relationship between this form of political instability and the innovation performance of the business enterprises.