The Influence of Innovativeness on the Performance of Textile-Based Manufacturing Small Enterprises in Kenya

Abstract

This study investigates the influence of innovativeness on the performance of textile-based manufacturing small enterprises (SMEs) in Kenya, with a focus on product, market, and process innovations. SMEs are a vital component of Kenya's economy, contributing significantly to GDP and employment. However, their growth and survival rates are a concern, particularly in the textile manufacturing sector. A mixed-method research design was employed, encompassing quantitative and qualitative approaches. The target population for this study was 1,353 SMEs across various economic blocs in Kenya. After stratified sampling a total of 292 respondents were involved in the study. Quantitative data were analyzed using SPSS, employing descriptive and inferential statistics. Qualitative data underwent content analysis. The findings reveal a substantial positive relationship between innovativeness and SME performance. Innovativeness, as reflected in product, market, and process innovations, emerged as a critical determinant of success. Innovativeness contributed 80.2% of the variation in the performance of textile-based manufacturing small enterprises in Kenya. SMEs that embraced innovation exhibited better performance outcomes. Practical recommendations are offered, including the promotion of creativity, allocation of resources for research and development, and the establishment of platforms for idea generation and collaboration. In conclusion, fostering a culture of innovation is imperative for textile-based manufacturing SMEs in Kenya. This study sheds light on the pivotal role of innovativeness in enhancing performance and competitiveness. By implementing the recommended strategies, these enterprises can navigate the dynamic business landscape effectively, positioning themselves for sustainable growth and success.

Keywords: Innovativeness, Textile-based Manufacturing, Small Enterprises, Performance, 10.11648/j.innov.20250601.13