Religiosity and innovation: Empirical evidence from small and medium-sized enterprises in Nigeria

This empirical investigation examined the relationship between dimensions of religiosity and innovation among Small and Medium-sized Enterprises (SMEs) in Nigeria. It explored how different dimensions —cognitive, normative, and regulatory— of religiosity are connected to innovation within SMEs. Using a sample of 393 SMEs in the southwest region of Nigeria, data were collected via questionnaires administered through stratified sampling proportional to size. The study analyzed religiosity’ dimensions and their influence on innovation outcomes. The findings revealed significant connections between dimensions of religiosity and innovation among SMEs. Firstly, the cognitive dimension of religiosity indicated a considerable influence on innovative behaviours (t = 2.320, p < .001). Secondly, the normative dimension of religiosity substantially impacted innovation outcomes among SMEs (t= 8.397, p < .001). Lastly, the regulatory dimension of religiosity emerged as a robust predictor (t = 5.558, p < .001), underlining its substantial role in driving innovative behaviours among SMEs in Nigeria. These findings contribute to understanding the complex relationship between religiosity and innovation, particularly within the SME sector in Nigeria. The study is unique because it used primary data, applied the Religiosity-Innovation Dynamics (RID) theory and SMEs’ firm and individual innovativeness characteristics to examine dimensions of religiosity-innovation relationship.