Effect of Frugal Innovation and Performance of Manufacturing Firms in South-East Nigeria

The study examined the effect of frugal innovation on performance of manufacturing firms in South-east Nigeria. Specifically, the study sought to examine the effect of low-cost products on large market share of manufacturing firms in South-east Nigeria and ascertain the effect of low-cost production methods on operational safety of manufacturing firms in South-east Nigeria. Research design is descriptive survey research. Study Area is South East, Nigeria. The sample size of 388 respondents was from population of 13,455 total numbers of staff of 45 manufacturing firms in South-East Nigeria. Research questions would be answered using mean score and standard deviation. The hypotheses stated would be tested using single logistic regression techniques. The empirical result show that low-cost products have significant effect on large market share of manufacturing firms in South-east Nigeria (t-statistic; 6.445; P-value; 0.000 < Sig-value; 0.05); low-cost production methods have significant effect on operational safety of manufacturing firms in South-east Nigeria (t-statistic; 11.226; P-value; 0.000 < Sig-value; 0.05); The study concluded that there is positive and significant effect of frugal innovation on performance of manufacturing firms in South-east Nigeria. The study recommended that Manufacturing companies should take advantage of the market opportunities that are available in the emerging markets and economies as it would increase their sales and market share which will consequently increase their profitability and firm competitiveness.