Business Innovation and Competitive Advantage in Nigerian Manufacturing Sector

Abstract

The study examined the impact of business innovation on competitive advantage in the Nigerian Manufacturing Sector. The study was anchored on the theory of the resource-based theory and the dynamic capabilities theory. The descriptive survey design was employed. The population for the study comprised 496 staff of Nestle Nigeria Plc, Ogun State. A sample size of 217 respondents was selected through stratified sampling and a simple random sampling procedure. The questionnaire was administered to the respondents, out of which 207 were retrieved and subjected to further analysis. The stated hypotheses were tested using ordinal regression. The results showed that business innovation has a significant effect on the cost of the product (R2=0.729, F=11.237; p<.05), the sales of the product (R2=0.643, F=3.408; p<.05) and the quality of the product (R=0.845, R2=0.714, F=10.903; p<.05). The study recommended that multinational companies should pay more attention to customer satisfaction by increasing product quality. Emphasis should also be placed on innovation in order to cut a competitive edge.

Keywords

• business innovation
• quality
• product
• competitive advantage
• manufacturing sector