Authors: Divina M. Edralin, Maria Victoria P. Tibon, Paz Esperanza T. Poblador, and Junius W. Yu

Year: 2019, Volume 28 No. 3
Pages: 64-79


This study analyzed the insights of Filipina entrepreneurs in the handicrafts industry on creativity and sustainability as they relate to innovation. Specifically, the responses of the EntrePinays in Luzon, Visayas, and Mindanao pertaining to factors affecting their innovation activities; the degree of implementation of innovation activities; factors hampering innovation activities; and the effects/impact of innovation on sustainability and other outcomes were compared. The study utilized the conceptual framework on creativity and entrepreneurship by Matthews (2007) and the innovation measurement framework of the OECD/Eurostat (2005). Two hundred three Filipina entrepreneurs in the handicrafts industry from Luzon, Visayas, and Mindanao were interviewed using the adapted survey instrument from OECD/Eurostat (2005). Results indicate that on a national scale, only creativity and laws and regulations significantly influence product innovations. Moreover, the influence of creativity is twice as much as that of laws and regulations. Likewise, it was found that only the institutional factor (incentive
program for innovations) significantly influences process innovations. Among the innovation activities, product and marketing innovation activities have the highest level of implementation. Organizational innovations activities, on the other hand, are the least implemented. There are no significant differences in the degree of implementation of innovation activities among Luzon, Visayas, and Mindanao Entrepinays. Only product and organizational innovations affect sustainability. Thus, the study recommends that more training programs be offered, both by the government and private sectors, as well as the academe, to enhance entrepreneurs’ creativity; and for the government to ensure that laws and regulations affecting entrepreneurs’ efforts to undertake product innovation will protect and foster such initiatives for creative outcomes.

Keywords: creativity, innovation, sustainability, entrepreneurship, handicraft industry, women entrepreneur
JEL Classifications: L21, L22, L23, L25, L26