Linking absorptive capacity with innovative capabilities: A survey of manufacturing firms in Nigeria

The study was conducted to explore the role of manufacturing firms’ investments in the development of their absorptive capacity on their innovative capabilities. Data were collected from 225 firms through reliable-tested structured questionnaires and were analysed principally by testing association and predictions relating to firms’ investment in absorptive capacity to innovative capabilities. In a composite manner, the study found that investments in exclusive innovation and R&D activities are the main drivers of innovative capabilities with subsidiaries exhibiting more pronounced capabilities than indigenous firms. This outcome raises hope for further progress in the condition of Nigeria’s innovation system.