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Master's Thesis from the year 2024 in the subject Economics - Innovation economics, grade: A, Riphah International University Islamabad (Faculty of Management Sciences), course: Masters in Engineering Management, language: English, abstract: This study explores the influence of technological innovation on the performance of telecom firms, with a focus on the mediating role of creative behavior and the moderating role of government policies supporting innovation. Data was collected from 326 employees in managerial and operational roles across telecom firms in Pakistan, using a convenience sampling method. Quantitative analysis was performed with SPSS and Smart PLS software. Findings indicate that technological innovation significantly enhances telecom firms' performance. While creative behavior serves as a mediator, its impact is less pronounced. Contrary to expectations, government policies supporting innovation do not exhibit a moderating effect on the relationship between technological innovation and firm performance. This research provides actionable insights for policymakers and telecom regulators to review and refine innovation policies, addressing their current ineffectiveness. The novel exploration of creative behavior as a mediating factor enriches the existing literature on innovation in the telecom sector. Limitations include the focus on a subset of telecom firms in Pakistan and the use of cross-sectional data. The study offers practical implications for policy and decision-makers in fostering technological advancements, while contributing to theoretical understanding of innovation's role in enhancing firm performance in the digital age.
