Equalization of decision-making influence and organizational innovation are two variables that have received much study in industrialized Western countries, but relatively little attention in Third World nations. This paper explores the relationship of influence equality to innovation in a national probability sample of Peruvian hospitals. The essential finding is that influence equalization can lead to innovation only when the organization has an adequate resource base. This interaction effect is incorporated into an additive-nonadditive regression model of innovation which explains 74% of the variance. Interestingly, the model appears applicable beyond the Third World environment.