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This paper aims to propose an assessment framework to evaluate companies' innovation capability in the context of industrial clusters.

The assessment framework was built based on the Graph-Theoretic Approach (GTA) to measure the influence of the factors and sub-factors of innovation capabilities. To quantify the level of interdependence between factors and sub-factors of innovation capability Delphi method was adopted. The authors developed five case studies in firms from an Information and Communications Technology and Creative Economy cluster in Northeastern Brazil to test the framework's applicability.

The results showed that identifying and evaluating the factors of innovation capability allows a larger understanding of what affects these capabilities to a greater or lesser extent and contributes to strategic decision-making.

The framework evaluates the innovation capability of each firm, not providing an index for the whole industrial cluster. Besides, the framework does not consider the innovations developed by the companies through the innovation's capabilities. As the Delphi technique was adopted to analyze the levels of influence or interdependence between factors and sub-factors of innovation capability, different experts may lead to different results.

Among the managerial implications, the authors can highlight the innovation capability index as a practical performance measure to stimulate improvement initiatives regarding innovations in industrial clusters. Besides, as the proposed framework is generic, research organizations, public institutions and regional governments can adopt it to analyze innovation capabilities in cluster-based companies.

Previous industrial cluster studies have concentrated on knowledge transfer as the main attribute influencing innovation capabilities. The literature also presents assessment frameworks focusing on qualitative analyses or innovation capabilities outcomes (patents and products). Differently, the authors proposed a quantitative assessment framework considering specific factors (and sub-factors) of innovation capabilities in industrial clusters.

This paper aims to map literature about innovation capabilities (IC) taking into consideration industrial clusters to propose a conceptual framework that synthetizes the main factors and subfactors responsible for ICs; in addition, the paper also proposes a research agenda.

A systematic literature review (SLR) was performed; academic papers were analyzed qualitatively and quantitatively.

The authors provide a descriptive analysis followed by a thematic synthesis, in which we present 05 enablers and 20 critical factors (CF) of IC in clusters. The proposed framework emphasizes what needs to be done or improved to increase IC in cluster-based companies. Based on this systematic review and the framework proposed, the authors identified opportunities for future research.

The enablers and CF identified through SLR were not validated empirically. Therefore, future studies on the current topic are required to validate the framework by investigating which factors are more relevant to cluster-based companies that intend to improve their innovative performance.

The present findings have important implications for the identification of the factors and subfactors that may contribute to the development of IC, which may help managers and decision-makers in recognizing which factors are the most responsible for business innovation.

The paper identifies enablers related to the development of IC in industrial cluster and presents a research agenda. The framework represents a guideline for companies to achieve better innovation performance.