Exploring the Application of Entrepreneurial Innovation in Selected Food Processing (Dairy) and Manufacturing Firms in Lusaka

Abstract

The growing population and urbanization increase food demand, but many local processors struggle with quality, affordability, and safety due to knowledge and investment gaps. The study purposed to investigate the extent of the application of entrepreneurial innovations in the food processing and manufacturing targeted firms in Lusaka from the year 2017 to 2021. The study was guided by three specific objectives which were: to establish the extent of application of entrepreneurial innovations in the food processing and manufacturing in targeted firms in Lusaka; to analyse the contribution of entrepreneurial innovations to the food processing and manufacturing industry from 2017 to 2021, and to assess the performance of the food processing and manufacturing industry in Zambia for the period under review with regard to application of entrepreneurial innovation. Three dairy processing industries in the Lusaka district were studied, focusing on their production of customer-centric solutions while adhering to food safety and quality standards. The study employed a descriptive research design to achieve the set objectives. Two sampling techniques were used: convenience sampling for selecting dairy food industries and snowball sampling for individuals with in-depth information on the thematic subject matter. The study used an interview guide to collect the required data from the ten overall interviewees and five key informants participated in semi-structured interviews. The interviews covered key themes like knowledge utilization, collaboration, innovation realization, triggers and outcomes, important decisions, and challenges. Data analysis was conducted using NVivo (version 12.2), and operational definitions of codes were developed. The findings showed that the two types of innovative entrepreneurship; product and market innovation were being applied in Zambia's diary food manufacturing industry though product innovation had a minimal effect on dairy manufacturing firms. Analysed in terms of the conduct of their businesses, entrepreneurial innovations to the food processing and manufacturing industry makes valuable contributions to the GDP by creating jobs, achieving economic development, reducing inequalities, and plays a crucial role in fostering economic transformation. With regard to the performance of the food processing and manufacturing industry, the study noted that the dairy manufacturing industry, which plays a significant role in economic development, could use entrepreneurial innovations as a tactical option to improve its competitiveness, survival, and growth in the fast-paced competitive business climate. Overall, the study showed that market innovation has an impact on how well dairy manufacturing companies succeed. These companies performed better when they expanded their market by luring new clients with discounts and by using online marketing. Accordingly, the study draws the conclusion that market innovation can enhance the performance of dairy manufacturing companies since it has a favourable and significant impact on performance. The study, therefore, recommends for the formulation and implementation of any policy regulatory and/or legislative corporate measures from government through the line ministries (livestock and fisheries, agriculture, commerce, trade and industries etc) aimed at easing the cost of doing business for the industry players to sustain their production, productivity, investment, profitability, and portfolio expansion.