Currently, I am in the final stages of my thesis on political instability and firm innovation propensity. However, I have some trouble interpreting an interaction effect and I've been looking for an answer for a long time. Unfortunately, I have not found a convincing answer yet.

I am researching the effects of political instability (scale 0-5) on firm innovation (binary, not innovative / Innovative) using a logistic regression model. This effect is non-significant, however, I also hypothesize moderating effects. One of these is Internationalization (binary, not international (0) or international (1)). The main effect of internationalization on firm innovation is significant, the interaction effect of internationalization*politicalinstability on firm innovation is also significant. However, like I mentioned, the main effect of political instability on firm innovation is non-significant.

**SPSS output**

*(DV=Firm Innovation)*

**Political instability:**

(WALD=1.97, df=1, p=.161)

*B*=.157

*Exp(B)*=1.170

**Internationalization(1):**

(WALD=28.12, df=1, p<.001)

*B*=1.228

*Exp(B)*=3.415

**Internationalization(1)*Political Instability:**

(WALD=13.84, df=1, p<.001)

*B*=-.322

*Exp(B)*=.725

I've only followed two statistics courses and I am far from properly understanding SPSS, therefore I hope I have added the necessary information. If not, please let me know what is missing and I will provide whatever else is needed. After days of searching and not finding anything helpful, I hope someone on this forum can help me out with this. How would I interpret these results? Any help at all would be extremely appreciated!

Regards,

Mees