Frugal Innovation Strategies and Supply Chain Performance of Food and Beverage Firms in South-South Nigeria

Abstract

This study explored frugal innovation strategies and supply chain performance of food and beverage firms in South-South Nigeria. It critically analyzed the dimensions of frugal innovation strategies (value innovation, cost cutting advancement and technological innovation) and relate them to supply chain performance measures (product availability, on-time delivery and supply chain flexibility) of food and beverage firms. The study applied the positivist research philosophy and correlational research design. The population of this study comprised 82 registered food and beverage firms in South-South Nigeria. The sample size consisted of 68 food and beverage firms in South-South Nigeria. The Taro Yamene’s formula was used to determine the sample size for the study. The sampling unit consisted of managers of the selected food and beverage firms in South-South Nigeria. A structured questionnaire was used for data collection in this study. The data collected were analyzed statistically while the Pearson Product Moment Correlation Coefficient (PPMCC) was used to test the formulated hypotheses. The SPSS software program version 24 was used to correlate the data collected on the study variables. The findings revealed that value innovation has a significant relationship with product availability, on-time delivery and supply chain flexibility of food and beverage firms. This study also revealed that cost cutting advancement has significant relationship with product availability, on-time delivery and supply chain flexibility of food and beverage firms. The study equally revealed that technological innovation has a significant relationship with product availability, on-time delivery and supply chain flexibility of food and beverage firms. Based on these findings, it was concluded that frugal innovation strategies such as value innovation, cost cutting advancement and technological innovation are significant predictors of supply chain performance of food and beverage firms in South-South Nigeria. Based on the findings and conclusion, it was recommended that food and beverage firms in South-South Nigeria should adopt frugal innovation strategies as it would improve their supply chain performance.