Micro Determinants of Product Innovation in Nigerian Family-Owned Micro and Small Enterprises.

Abstract Family firms commonly display distinctive characteristics in innovation activities paralleled to other firm’s ownership structure. This study examines the distinguishing factors that affect innovation performance of family-owned firms at micro level. The study employed survey design research to empirically test relationships. Consequently, 355 questionnaires were administered on managers and employees of family-owned firms in Northeastern Nigerian States. However, subjecting the returned questionnaires to scrutiny and validation, a total number of 289 valid questionnaires were used for the analyses. Statistical Package for Social Science (SPSS V27) was used to regress the relationship between the variable’s understudies. The results indicates that governance play significant positive influence on product innovation performance in Nigerian family firms. Accordingly, resource sufficiency and utilization significantly affect innovation performance of family-owned firms in Nigeria. However, teamwork was found to be insignificant factor in supporting innovation activities in Nigerian family firms. The study concludes that, although family firms have their own peculiar features when it comes to innovativeness, the importance of teamwork in attaining exceptional innovation performance in Today’s dynamic operating environment should not be underestimated. Employees need to be empowered to initiate and explore their ideas.