“…Several research works identify the positive effect of absorptive capacity on different aspects of innovation such as its innovative nature (radical and incremental), its innovative efforts (formal and nonformal R&D activities), the type of innovation (technical and administrative), and the output of the innovation process (product, process and organizational) (García-Morales, Ruiz-Moreno, & Llorens-Montes, 2007;Lane et al, 2006;Murovec & Prodan, 2009;Schmidt, 2010;Veirmeire, 2009). In order to avoid any misunderstanding concerning the general term innovation, Murovec and Prodan (2009) suggest employing innovation output as a direct measure for testing the influence of absorptive capacity on innovation in a more suitable manner.…”