Technological Environment and Innovation Performance: A Study from Nigerian Consumer Goods Industry

Securing a better innovation performance in the marketplace is necessary for any organization in the 21st century, noting that early adaptation to the technological environment holds greater opportunity for such a company. This study examines the effect of the technological environment on the innovation performance of the Nigerian consumer goods industry. Primary data were collected through purposive sampling technique from six (6) of the most valuable consumer goods companies based on their stock value. The technique was employed to select the required respondents for the study. Out of a population of 3394 middle and senior managers, 358 respondents constituted the study sample, generated using Taro Yamane's formula. Thereafter, a structured questionnaire was administered to elicit data from these crops of individuals. The data collected were analyzed using Partial Least Square – Structural Equation Model (PLS-SEM). The overall result of the study indicates that the technological environment has a positive and significant effect on innovation performance in the industry. The findings further expanded the main predictor by showing new technology development (β = 0.286, p <0.05), new production process (β = 0.242, p <0.05) and R & D activity (β = 0.180, p <0.05) as having significant effect on innovation performance. The adjusted R2 of 33% confirms that the technological environment is an important element in the achievement of innovation performance in the industry. The study concludes that a blend of the components of the technological environment promises a greater advantage for companies compared to when they are disaggregated. The implications for research and practice are discussed, and future research opportunities are outlined.