Harnessing Technological and Non-technological Innovations for SMEs Profitability in the Nigerian Manufacturing Sector
Science, Technology and Innovation (STI) have played a significant role in driving manufacturing sector of the advanced economies. This study examines the impact of technological and non-technological innovations as well as size of firm on the profitability of SMEs. The study was conducted using questionnaire among the manufacturing SMEs in Nigeria with a total of 365 of them correctly filled and analyzed using qualitative and Ordinary Least Squares techniques. The result revealed that process innovation (p-value<0.041) and product innovation (p-value<0.078) which represent technological innovation, marketing innovation (p-value<0.089) which represents non-technological innovation and size of firms (p-value<0.005) were significant in driving the turnover of the SMEs, whereas organisational innovation was not significant at 10% level of significance. The study therefore suggests that the manufacturing SMEs should continuously engage in both technological and non-technological innovations to improve their productivity, which will further increase their contribution to the Nigeria’s GDP.
Technological Innovation, Non-technological Innovation, Small and Medium Enterprises, Manufacturing, Nigeria
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