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"hinder innovation" is correct and usable in written English.
You can use the phrase to refer to any kind of situation in which something is blocking or slowing progress or development. For example, "Competition between companies often hinders innovation."
Exact(33)
DO PATENTS help or hinder innovation?
Such laws could actually hinder innovation in those countries".
He also said the commission's penalties would "hinder innovation and slow economic growth, especially in Europe".
How does the way camps are designed, funded and serviced help or hinder innovation?
"Strong laws can hinder innovation which we do need in this area," Hoppe said.
Critics say patent litigation can be abused and can hinder innovation.
Similar(26)
In retail, too, paying for space hasn't necessarily hindered innovation.
The telltale signs of a company's bad behavior include raising prices, hindering innovation and excluding competitors.
He said lack of competition had hindered innovation and led to many outstanding students and academics continuing their careers abroad.
Whether such parsimony has truly hindered innovation in geothermal engineering is hard to say, for in a sense it is two different industries.
The Justice Department is investigating whether Monsanto, which has patents on the Roundup Ready system, is violating antitrust laws, unduly increasing prices or hindering innovation.
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Since I tried Ludwig back in 2017, I have been constantly using it in both editing and translation. Ever since, I suggest it to my translators at ProSciEditing.

Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com