The purpose of this study is to determine innovation capabilities of firms active in textile and wearing sector in Denizli and to investigate the relationship between innovation capability and determinant factors of innovation capability For this purpose a questionnaire is applied to firms active in textile and wearing sector in Denizli Questionnaire data is analyzed by logit and probit econometric estimation methods According to estimation results it is found that firm size R D activities investment purchase of technology service and ownership of quality certificate increase the probability of innovative activities that firms undertake Key Words: Firm level innovation Denizli textile and wearing sector

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