Innovation strategies for resilience: How SMEs in West Africa leverage technology during crises

This study investigates the impact of innovation strategies on the performance of small and medium-sized enterprises (SMEs) in Nigeria and Ghana during times of high uncertainty. Using data from 308 SMEs and employing Partial Least Squares Structural Equation Modeling (PLS-SEM), the study explores how technological capabilities influence firm performance and resilience in crisis contexts. The findings reveal that technological capabilities significantly enhance SME performance, particularly among non-family and women-led businesses, suggesting that digital transformation serves as a critical lever for sustaining competitiveness in uncertain environments. However, corruption and sectoral differences show a limited and statistically non-significant impact on performance, indicating that firms may have developed adaptive strategies to navigate institutional challenges. The study underscores the importance of innovation, particularly technology adoption, as a strategic response to external shocks, offering both theoretical and practical insights for managers and policymakers seeking to foster firm resilience in emerging markets. • Technological capabilities improve the resilience of SMEs during crises. • Innovation improves the performance of SMEs in conditions of high uncertainty. • Women led SMEs improve their performance more with the adoption of technology. • The impacts of the crisis vary depending on the structure and ownership of SMEs.