RESEARCH & DEVELOPMENT AND COMPETITIVENESS OF SELECTED MANUFACTURING SMES IN LAGOS STATE, NIGERIA
Abstract
Small and Medium Enterprises (SMEs) are generally considered as the bedrock of the growth of any economy. Despite their importance, it is observed that manufacturing small and medium enterprises struggle with growth. Studies from different scholars have shown that the connection between research and development and competiveness of small and medium scale enterprises has not been adequately established. Manufacturing SMEs in Nigeria have been performing below expectation as a result of inadequate research and development. Therefore, this study examined effect of research and development on competiveness of selected manufacturing SMEs in Lagos State, Nigeria. The study adopted a survey research design. The population of the study was 2,099 owner/managers of selected manufacturing SMEs. Sample size of 437 owner/managers was determined using Slovin’s formula. A structured questionnaire was adapted and validated to collect data from the respondents. Cronbach’s Alpha reliability coefficients for research and development and competiveness were 0.85 and 0.817 respectively. The response rate was 92%. Data collected were analyzed using descriptive and inferential statistics. The hypothesis was tested using the simple regression analysis. The findings revealed that research and development have significant effect on the competitiveness (β = 0.342, t = 7.838, p<0.05. The study concluded that research and development affect competitiveness of manufacturing SMEs in Nigeria. The study recommended that through the support of the government, small and medium scale enterprise SMEs in particular need to propagate and advocate a culture of research and development using research findings to create superior products and or services to gain competitive advantage.
Keywords: Research & Development, Competitiveness, Manufacturing SMEs
CITATION: Okoronkwo, G. I., Binuyo, A., & Nwankwere, I. A. (2021). Research & development and competitiveness of selected manufacturing SMEs in Lagos State, Nigeria. The Strategic Journal of Business & Change Management, 8 (2), 390 – 401.
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DOI: http://dx.doi.org/10.61426/sjbcm.v8i2.2003
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