Analysis of factors hindering technological innovation among firms in Tanzania: the case of Dar es Salaam Region

The objective of this study was to analyze factors hindering technological innovation among firms in Tanzania. For technological innovation among firms is becoming a driving force towards competitive production of goods and services. A survey methodology was employed to collect data. Data were captured from 45 firms with questionnaires, observations as well as interviews and analyzed by statistical SPSS software package. Results revealed that firms were positively influenced by technological information, technical skills, and technology management. Lack of education; funding; research and development (R&D); legal support system; training; and development opportunities negatively influence firms’ technological innovation level. Also it was revealed that establishing regulations that protect local innovations, government investment support, technological technical support and recent technological infrastructure support were significant. It is proposed to have technology information sharing within firm, government technological innovation support at different capacities, financial support, investment in R&D, and technology infrastructure development support. Prospects on Tanzanian firms about perpetual productivity depend on current and future achievements in technological innovation.