IDEAS home Printed from https://ideas.repec.org/a/wsi/ijimxx/v24y2019i04ns1363919620500322.html
   My bibliography  Save this article

SOURCES OF INNOVATION CAPABILITY AND PERFORMANCE OF ICT AGGLOMERATED MSMEs IN NIGERIA

Author

Listed:
  • OLUSESAN MICHAEL AWOLEYE

    (African Institute for Science Policy and Innovation, Obafemi Awolowo University, Ile-Ife, Nigeria)

  • OLUGBENGA MATTHEW ILORI

    (African Institute for Science Policy and Innovation, Obafemi Awolowo University, Ile-Ife, Nigeria)

  • TIMOTHY OYEDEPO OYEBISI

    (African Institute for Science Policy and Innovation, Obafemi Awolowo University, Ile-Ife, Nigeria)

Abstract

It has been established in both developed and emerging economies that geographic concentration of firms contributed in no small ways to the growth of country’s economy. However, in developing countries like Nigeria, what constitutes innovation capability needed to transform local innovation system towards indigenisation of ICT products among the ICT clustered firms is not known; and where data are available, they are somewhat outdated. This paper therefore presented empirical evidences on Innovation capability among agglomerated MSMEs in Nigeria. The research adapted the 6th Community Innovation Survey (CIS) on 228 owners of ICT clustered enterprises. It was found that nontechnical innovations were more prevalent in the clusters. It was also discovered that firms with appropriate mix of both internal and external sources of Innovation Capability performed better. The research thus added to the body of knowledge in development literature on the role of capability mix in innovation management.

Suggested Citation

  • Olusesan Michael Awoleye & Olugbenga Matthew Ilori & Timothy Oyedepo Oyebisi, 2019. "SOURCES OF INNOVATION CAPABILITY AND PERFORMANCE OF ICT AGGLOMERATED MSMEs IN NIGERIA," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 24(04), pages 1-33, June.
  • Handle: RePEc:wsi:ijimxx:v:24:y:2019:i:04:n:s1363919620500322
    DOI: 10.1142/S1363919620500322
    as

    Download full text from publisher

    File URL: https://www.worldscientific.com/doi/abs/10.1142/S1363919620500322
    Download Restriction: Access to full text is restricted to subscribers

    File URL: https://libkey.io/10.1142/S1363919620500322?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Eric Hanushek & Ludger Woessmann, 2012. "Do better schools lead to more growth? Cognitive skills, economic outcomes, and causation," Journal of Economic Growth, Springer, vol. 17(4), pages 267-321, December.
    2. A.A. Egbetokun & A.A. Adeniyi & W.O. Siyanbola, 2012. "On the capability of SMEs to innovate: the cable and wire manufacturing subsector in Nigeria," International Journal of Learning and Intellectual Capital, Inderscience Enterprises Ltd, vol. 9(1/2), pages 64-85.
    3. repec:wsi:acsxxx:v:21:y:2019:i:08:n:s1363919619500117 is not listed on IDEAS
    4. Arkady Trachuk & Natalia Linder, 2018. "Innovation and Performance: An Empirical Study of Russian Industrial Companies," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 15(03), pages 1-22, June.
    5. Xavier Cirera & William F. Maloney, 2017. "The Innovation Paradox," World Bank Publications - Books, The World Bank Group, number 28341, December.
    6. Dimitrios Kafetzopoulos & Evangelos Psomas, 2016. "ORGANISATIONAL LEARNING, NON-TECHNICAL INNOVATION AND CUSTOMER SATISFACTION OF SMEs," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(03), pages 1-28, April.
    7. Bauer, Christian & Davies, Ronald B. & Haufler, Andreas, 2014. "Economic integration and the optimal corporate tax structure with heterogeneous firms," Journal of Public Economics, Elsevier, vol. 110(C), pages 42-56.
    8. Minna Saunila & Sanna Pekkola & Juhani Ukko, 2014. "The relationship between innovation capability and performance," International Journal of Productivity and Performance Management, Emerald Group Publishing Limited, vol. 63(2), pages 234-249, January.
    9. Lall, Sanjaya, 1992. "Technological capabilities and industrialization," World Development, Elsevier, vol. 20(2), pages 165-186, February.
    10. Romijn, Henny & Albaladejo, Manuel, 2002. "Determinants of innovation capability in small electronics and software firms in southeast England," Research Policy, Elsevier, vol. 31(7), pages 1053-1067, September.
    11. Schmidt, Tobias & Rammer, Christian, 2007. "Non-technological and Technological Innovation: Strange Bedfellows?," ZEW Discussion Papers 07-052, ZEW - Leibniz Centre for European Economic Research.
    12. Flora Wang, 2016. "What are the biggest obstacles to growth of SMEs in developing countries? - A picture emerging from an enterprise survey," Working Papers IES 2016/09, Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies, revised May 2016.
    13. Yao Wang, 2016. "What are the biggest obstacles to growth of SMEs in developing countries? – An empirical evidence from an enterprise survey," Borsa Istanbul Review, Research and Business Development Department, Borsa Istanbul, vol. 16(3), pages 167-176, September.
    14. Yam, Richard C.M. & Lo, William & Tang, Esther P.Y. & Lau, Antonio K.W., 2011. "Analysis of sources of innovation, technological innovation capabilities, and performance: An empirical study of Hong Kong manufacturing industries," Research Policy, Elsevier, vol. 40(3), pages 391-402, April.
    15. Amoako-Gyampah, Kwasi & Acquaah, Moses, 2008. "Manufacturing strategy, competitive strategy and firm performance: An empirical study in a developing economy environment," International Journal of Production Economics, Elsevier, vol. 111(2), pages 575-592, February.
    16. Guillermo Antonio Dávila & Susanne Durst & Gregorio Varvakis, 2018. "KNOWLEDGE ABSORPTIVE CAPACITY, INNOVATION, AND FIRM’s PERFORMANCE: INSIGHTS FROM THE SOUTH OF BRAZIL," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 22(02), pages 1-34, February.
    17. Germain, Richard, 1996. "The role of context and structure in radical and incremental logistics innovation adoption," Journal of Business Research, Elsevier, vol. 35(2), pages 117-127, February.
    18. Hanushek, Eric A., 2013. "Economic growth in developing countries: The role of human capital," Economics of Education Review, Elsevier, vol. 37(C), pages 204-212.
    19. Karl Wennberg & Göran Lindqvist, 2010. "The effect of clusters on the survival and performance of new firms," Small Business Economics, Springer, vol. 34(3), pages 221-241, April.
    20. Benn Lawson & Danny Samson, 2001. "Developing Innovation Capability In Organisations: A Dynamic Capabilities Approach," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 5(03), pages 377-400.
    21. Mourad Dakhli & Dirk De Clercq, 2004. "Human capital, social capital, and innovation: a multi-country study," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 16(2), pages 107-128, March.
    22. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    23. Oyelaran-Oyeyinka, Banji, 2006. "Learning in Local Systems and Global Links: The Otigba Computer Hardware Cluster in Nigeria," MERIT Working Papers 2006-007, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    24. Laforet, Sylvie, 2013. "Organizational innovation outcomes in SMEs: Effects of age, size, and sector," Journal of World Business, Elsevier, vol. 48(4), pages 490-502.
    25. Rosenberg,Nathan, 1994. "Exploring the Black Box," Cambridge Books, Cambridge University Press, number 9780521459556, January.
    26. Douglas Zhihua Zeng, 2008. "Knowledge, Technology, and Cluster-Based Growth in Africa," World Bank Publications - Books, The World Bank Group, number 6918, December.
    27. Hoffmann, Valmir Emil & Lopes, Gisele Silveira Coelho & Medeiros, Janann Joslin, 2014. "Knowledge transfer among the small businesses of a Brazilian cluster," Journal of Business Research, Elsevier, vol. 67(5), pages 856-864.
    28. Melo, Patricia C. & Graham, Daniel J. & Noland, Robert B., 2009. "A meta-analysis of estimates of urban agglomeration economies," Regional Science and Urban Economics, Elsevier, vol. 39(3), pages 332-342, May.
    29. Hashi, Iraj & Stojčić, Nebojša, 2013. "The impact of innovation activities on firm performance using a multi-stage model: Evidence from the Community Innovation Survey 4," Research Policy, Elsevier, vol. 42(2), pages 353-366.
    30. Rosenbusch, Nina & Brinckmann, Jan & Bausch, Andreas, 2011. "Is innovation always beneficial? A meta-analysis of the relationship between innovation and performance in SMEs," Journal of Business Venturing, Elsevier, vol. 26(4), pages 441-457, July.
    31. Salih Yeşil & Tuba Büyükbeşe & Alaeddin Koska, 2013. "Exploring The Link Between Knowledge Sharing Enablers, Innovation Capability And Innovation Performance," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 17(04), pages 1-20.
    32. Ouafa Sakka & Josée St-Pierre & Moujib Bahri, 2019. "INNOVATION COLLABORATIONS IN LOW-TO-MEDIUM TECH SMEs: THE ROLE OF THE FIRM’S INNOVATION ORIENTATION AND USE OF EXTERNAL INFORMATION," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 23(02), pages 1-34, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sipos, Norbert & Lukovszki, Lívia & Rideg, András, 2022. "A kisvállalati termék- vagy szolgáltatásinnováció erőforrás-alapú megközelítése [A resource-based view of small business product/service innovation]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(7), pages 929-961.
    2. Martínez-Román, Juan A. & Gamero, Javier & Tamayo, Juan A. & Delgado-González, Loreto, 2020. "Empirical analysis of organizational archetypes based on generation and adoption of knowledge and technologies," Technovation, Elsevier, vol. 96.
    3. A. Arrighetti & R. Brancati & A. Lasagni & A. Maresca, 2015. "Firms’ heterogeneity and performance in manufacturing during the great recession," Economics Department Working Papers 2015-EP03, Department of Economics, Parma University (Italy).
    4. Nanditha Mathew & George Paily, 2022. "STI-DUI innovation modes and firm performance in the Indian capital goods industry: Do small firms differ from large ones?," The Journal of Technology Transfer, Springer, vol. 47(2), pages 435-458, April.
    5. Agata Sudolska & Justyna Łapińska, 2020. "Exploring Determinants of Innovation Capability in Manufacturing Companies Operating in Poland," Sustainability, MDPI, vol. 12(17), pages 1-21, August.
    6. Saibal Ghosh, 2022. "Firm Performance and Productivity: Is Labour an Obstacle?," The Indian Journal of Labour Economics, Springer;The Indian Society of Labour Economics (ISLE), vol. 65(3), pages 709-728, September.
    7. Azeem, Muhammad Masood & Sheridan, Alison & Adapa, Sujana, 2022. "Women to women: Enabling innovation and firm performance in developing countries," Emerging Markets Review, Elsevier, vol. 51(PA).
    8. Schriber, Svante & Löwstedt, Jan, 2015. "Tangible resources and the development of organizational capabilities," Scandinavian Journal of Management, Elsevier, vol. 31(1), pages 54-68.
    9. Domingo García Pérez-De-Lema & Peter Bent Hansen & Antonia Madrid-Gujjarro & Jane Lucia Silva-Santos, 2019. "INFLUENCE OF THE BUSINESS ENVIRONMENT IN THE DYNAMICS OF INNOVATION AND IN THE PERFORMANCE OF SMEs," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 23(05), pages 1-25, June.
    10. Molden, Lars Hovdan & Clausen, Tommy Hoyvarde, 2021. "Playing 3D chess, or how firms can thrive under complexity: The mediating role of innovation capabilities in the use of innovation input," Journal of Business Research, Elsevier, vol. 125(C), pages 1-13.
    11. Inków Monika, 2020. "Organizational innovation capability as a result of knowledge management processes - a literature review," Management, Sciendo, vol. 24(1), pages 143-156, June.
    12. Linh Nguyen Phuong & Khanh Cao Tuan & Nhuan Nguyen Duc & Uyen Nguyen Thi, 2022. "The Impact of Absorption Capability, Innovation Capability, and Branding Capability on Firm Performance—An Empirical Study on Vietnamese Retail Firms," Sustainability, MDPI, vol. 14(11), pages 1-17, May.
    13. Renata Braga Berenguer De Vasconcelos & Ricardo Sérgio Gomes Vieira & Denis Silva Da Silveira, 2018. "What’S The Recipe To Innovate? An Analysis Of The Determinants Of The Degree Of Innovation In The Gastronomy Segment," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 24(01), pages 1-23, December.
    14. Marlenne G. Velazquez-Cazares & Anna M. Gil-Lafuente & Ernesto Leon-Castro & Fabio Blanco-Mesa, 2021. "Innovation capabilities measurement using fuzzy methodologies: a Colombian SMEs case," Computational and Mathematical Organization Theory, Springer, vol. 27(4), pages 384-413, December.
    15. Martínez-Román, Juan A. & Gamero, Javier & Delgado-González, María de Loreto & Tamayo, Juan A., 2019. "Innovativeness and internationalization in SMEs: An empirical analysis in European countries," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    16. Shi, Xianwei & Liang, Xingkun & Luo, Yining, 2023. "Unpacking the intellectual structure of ecosystem research in innovation studies," Research Policy, Elsevier, vol. 52(6).
    17. Gezahegn Tesfaye & Daniel Kitaw, 2018. "An Innovation Capability Development Process for Firms in Developing Countries: A Theoretical Conceptual Model," Journal of Entrepreneurship, Management and Innovation, Fundacja Upowszechniająca Wiedzę i Naukę "Cognitione", vol. 14(3), pages 87-110.
    18. Zulfiqar Ali & Hongyi Sun & Murad Ali, 2017. "The Impact of Managerial and Adaptive Capabilities to Stimulate Organizational Innovation in SMEs: A Complementary PLS–SEM Approach," Sustainability, MDPI, vol. 9(12), pages 1-23, November.
    19. Fuzhong Chen & Haifeng Li & Huini Wei & Wani Nelson, 2022. "The Ownership, Innovation, and Sustainable Development of Micro and Small Enterprises: Evidence of China," SAGE Open, , vol. 12(4), pages 21582440221, November.
    20. Lau, Antonio K.W. & Lo, William, 2015. "Regional innovation system, absorptive capacity and innovation performance: An empirical study," Technological Forecasting and Social Change, Elsevier, vol. 92(C), pages 99-114.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wsi:ijimxx:v:24:y:2019:i:04:n:s1363919620500322. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/ijim/ijim.shtml .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.