INNOVATION AS A COMPETITIVE TOOL IN THE ECONOMIC DEVELOPMENT OF RURAL ACTIVITIES

Abstract

The main purpose of the study was to analyze the relationship between innovation efforts and market and cost performance in rural establishments in the Itapiranga-SC region. For that, a research with a quantitative approach was developed with 123 rural producers, using surveying as a strategy for data collection. The results indicate that innovation variables, such as the improvement of production quality and the increase in production capacity, account for 32% of economic performance in relation to revenue. And the variables related to the reduction of production costs, reduction of labor costs and reduction of the consumption of raw materials represent 23% in the evaluation of the cost reduction. The milk activity was the one that presented the most innovations. The variables related to "Structure" and "Management" are significant in relation to revenue and production costs. In general, the study highlights the relevance of innovations as a competitive factor for the productivity and economic performance of rural properties.