The study sought to determine the impact of innovation as change strategy and diversification of manufacturing firms in North Central, Nigeria. The imperativeness of innovation in the manufacturing sector has made the strategy impeccable for any organization to do without. The specific objectives of the study were : (i) To a large extent technological innovation effect the quality of goods produced by manufacturing firms in North Central, Nigeria; (ii) Determine the extent to which process innovation techniques enhances competitive advantages of manufacturing firms in North Central, Nigeria; (iii) To what extent does marketing innovation enhances large market shares of manufacturing firms in North Central, Nigeria. The study adopted the survey design, were the researcher selected a total of 18 manufacturing firms with a population of 60 respondents made up of CEO and management staff of the manufacturing firms in North Central, Nigeria; as the study population as well as the sample size. Primary data was used for the study and collected through the use of structured five-point likert scale questionnaire and interview method. The hypotheses were tested using simple linear regression for hypothesis one and two; meanwhile hypothesis three was tested using Pearson product moment correlation technique. The findings revealed that: to a large extent there is significant positive effect of technological innovation on the quality of goods produced by manufacturing firms in North Central, Nigeria (r = .724, p < 0.05). To a large extent process innovation techniques enhances competitive advantages of manufacturing firms in North Central, Nigeria (r = .738, p < 0.05). Marketing innovation enhances large market shares of manufacturing firms in North central, Nigeria ( r= .741, p<0.05 ). Based on the findings of the study, it was recommended that innovation strategy should be enhanced by manufacturing firms as a means for their survival and diversification. More so, the proponent strategy should be embed as it tends to enhance efficiency of systems, goods produced and service delivery in a coherent and tactical manner. More importantly managers should embark on innovation training of their employees as this tends to ensure optimization of resource allocation, by prioritizing the areas that have the most significant impact on their target market that would bring about diversification of manufacturing process.
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