The moderating role of product market competitions in the relationship between regulatory quality and firms innovation

Key Points

• This research aims to explore how product market competition affects the relationship between regulatory quality and innovation in firms.
• Analyzed the interaction between regulatory quality and product market competition.
• Evaluated the innovation outputs of firms using performance metrics.
• Identified key industry sectors to understand variation in outcomes.
• Firms in highly competitive markets show stronger innovation responses to regulatory quality improvements.
• Lower regulatory quality negatively impacts innovation particularly in less competitive sectors.
• A positive relationship exists between regulatory quality and innovation when competition is high.