To read this content please select one of the options below:

The dark shadow of corruption on new product development

Saikat Banerjee (Institute of Management Technology, Hyderabad, India)

Benchmarking: An International Journal

ISSN: 1463-5771

Article publication date: 22 November 2021

Issue publication date: 24 November 2022




The study examines the effects of corruption activities on new product development of firms. The roles of senior managers in the relationship between corruption activities and new product development are also studies.


The data of Indian firms are collected from the Enterprise Survey conducted by World Bank in 2014. Variables on corruption, new product development, and other firm level factors are considered in the study. Logistic regression is used to examine the effect of firm's engagement in corruption activities on new product development.


Corruption activities of firms is negatively related to new product development. Senior manager's industry experience and engagement in regulatory activities weaken the negative relationship between firm's engagement in corruption activities and new products development.

Practical implications

With the increased focus on innovation, organizational managers have to work on the development of new products, and understanding of the negative relationship between engagement in corruption activities and new product development will help them to achieve the desired organizational goals.


The study contributes in three ways. Firstly, the paper extends the theoretical understanding of the implication of a non-market strategy, corruption on new product development. Secondly, the study contributes to the existing literature on the antecedents of new product development. Finally, the roles of senior managers helps to understand the importance of their industry and regulatory experience in the main relationship.



The authors thank the Enterprise Analysis Unit of the Development Economics Global Indicators Department of the World Bank Group for making the data available.

Source: Enterprise Surveys, The World Bank,


Banerjee, S. (2022), "The dark shadow of corruption on new product development", Benchmarking: An International Journal, Vol. 29 No. 9, pp. 2733-2756.



Emerald Publishing Limited

Copyright © 2021, Emerald Publishing Limited

Related articles