Innovation and success of small and medium enterprises (smes) in Kano state. Nigeria

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Kampala international international: College of Economics and Management
The study intended to establish the relationship between innovation and success of 85 selected small and medium enterprises (SMEs) in Kano Nigeria, using descriptive comparative, correlational and cross sectional survey designs. Using a standardized questionnaire data was collected to answer six specific questions on; 1. Profile of SMEs; 2.Level of innovation; 3.Level of success; 4.Difference in the levels innovation .Difference in the levels success; and 6.Relationship between innovation and success. Data analysis, using frequencies, percentages, means, test, one way ANOVA and regression analysis, revealed that 34% of SMEs in Kano have been in business for more than seven years, 51% employ more than ten 61 °/o are manufacturers and 37% are partnership. There were moderate levels of innovation activities (grand mean = 2.53), joint innovation activities (grand mean = 2.43) and overall average mean of all innovation activities (grand mean = 2.48) were lowest. Kano SMEs are more successful (grand mean = 2.65). The level of innovation does not differ significantly according to firm's age. The means revealed no major difference between new (young) and old firms. The level of innovation differed significantly according to the firm size in terms of employment level (>250) with means score of 2.81. The level of success does not differ significantly according to the firm's age. The level of success differed significantly according to firm's size in terms of employment levels, the firm's that employ more people have more advantage. The level of innovations (innovations and joint innovation) was fund to be positively and significantly correlated with all aspects of success (all sigs < 0.0001 nd all r-values> 0.58). ANOVA results showed innovation (Beta = 0.632) as the only activities which explain SMEs success and joint innovation (Beta = -0.008) which its contribution is very low. It was concluded that innovation activities significantly influence SMEs success while joint innovation activity do not. It was recommended that there is need to promote joint innovative activities through the links between universities and productive sectors of the economy, as higher research institutes are the main generators of knowledge, which is why a more fluid exchange would promote the formulation of innovation policies to drive forward the technological development.
A thesis presented to the college of higher degree and research Kampala international university Kampala, Uganda in partial fulfillment of the requirements for the degree Master of arts economics
Economics, Innovation, Success, Small and medium enterprises, Kano state