Competitive Advantage, Strategy and Innovation in Africa cover

204 pages · 2023

Catalog title1st Edition

Competitive Advantage, Strategy and Innovation in Africa

Issues and Applications

By Mohammed El Amine Abdelli · Nawal Chemma · Soudani Ahlem · Samir B. Maliki · Gurmeet Singh

Published
September 25, 2023
Imprint
Routledge
Edition
1st Edition
ISBN
9781003306405

Overview

About this book

The competitiveness of companies plays an important role in developing their effectiveness. But technology provides a strong competitive advantage to the companies and helps in achieving the sustainable development. This edited collection discusses various methods by which a firm can create a competitive advantage in a dynamic situation. The book highlights the strategies in global decisions related to changing business models and processes in the innovation era. The contributions by authors take readers through emerging trends in innovation that can support managers in making more strategic decisions, while reducing reconciliation and report preparation.

In a hyper-competitive environment, this book will assist researchers and management practitioners in appreciating new strategic sources. Radical strategies and competitive innovation, sustainable development, competitiveness, SMEs, direct and indirect investment, delocalization of businesses, and value creation will all be discussed in depth. Overall, this volume will help readers understand the importance of real-time smart business sources to gain a competitive advantage.

Competitive Advantage, Strategy and Innovation in Africa provides essential information on contemporary issues and challenges in management and change strategies. It will serve as a reference for academicians, researchers, and practitioners interested in the rapid transformation in the management sector due to technological advancement and high competition between companies.

Subjects

Area Studies, Economics, Finance, Business & Industry

Inside the book

Table of contents

Select a chapter to read its abstract.

Part 1Entrepreneurial Orientation, Innovations and Competitive Advantages

Pages: 82

No chapter abstract available.

Chapter 1Entrepreneurial Orientation and SMEs Upgrading Trajectory for Edible Oil Suppliers

Pages: 27

This chapter examines the mediating role of organizational culture and business environment dynamics on the relationship between entrepreneurial orientation and small and medium enterprises (SMEs) upgrading. Firm size was a moderator in these relationships, using a case study of edible oil suppliers in Tanzania. We used cross-sectional data collected from 284 SMEs edible oil suppliers. The results show that the organizational culture and the dynamics of the business environment mediate the relationship between entrepreneurial orientation and the SMEs upgrading. The results suggest that the degree of internal integration and the external adjustment of SMEs in the form of their organizational culture and the ensuing effects of the dynamics of the business environment generate both behavioural influences, entrepreneurial propensity and innovative spirit, as well as technological alertness, which in turn pave the way for the upgrading of SMEs. The organizational philosophy and learning flexibility of local suppliers from the business environment enabled product, process and functional upgrading of SMEs. However, size of the firm, resources and absorption capacity determined the scale and channel of SMEs upgrading. Therefore, SME owners and managers need to inculcate an organizational culture in their organizations that will help to instil an entrepreneurial mindset that encourages risk-taking, building dynamic skills to employees and tolerance for new ideas and innovations, leading to the SMEs upgrading. On the other hand, the role of governments in stimulating upgrading and competitiveness of SMEs remains crucial by improving the conditions for doing business, facilitating their access to modern technology, financing and regular training to help them meet the requirements of local and international business standards.

Chapter 2A Study of Innovations and Creativities as a Competitive Advantages Strategy in the Context of i-Sustainability Plus Theory via an African Cultural Approach

Pages: 23

Once upon a time, talking about creativity and innovation seemed unavoidable and out of reach. But the course of developments in the world, in particular, the impact of COVID-19, led societies and organizations to a point where sustainability was undoubtedly recognized as an important and influential challenge. In fact, without innovation, not only will we not be able to achieve our goals, but the nature of our lives and survival will also be questioned. Today we have passed the first wave (agricultural age), second wave (industrial age), third wave (post-industrial/information age) and fourth wave (virtual reality/digitalization era), and we are ready to enter tomorrow age or the fifth wave theory! Based on this theory, from 2020 to 2030 is the first stair to the edge of tomorrow (future), so today's challenges and tomorrow's crises should be considered. Organizational success in the face of today's challenges and tomorrow's crises is a change in organizational activities, especially the leadership and management of third millennium organizations. Today, the most important concern of most organizations is the development and implementation of strategies that ensure their success and survival in changing and complex environmental conditions. Creativity and innovation are key skills of the age of knowledge and are necessary for the survival of any organization, and over time, non-creative organizations disappear from the scene. Although such an organization may be successful in the operations it is involved in at some point in its life, it will eventually have to shut down or change the system. Despite the increasing number of innovations of African companies and research institutes in the current digital age, there is no investment in innovation and creativity to ensure the sustainability of the continent's companies. Accordingly, it is very important that in a world with changing and dynamic conditions and in a situation where the production is no longer art but the right present and sell art, organizations both use creativity and innovation or have already removed themselves from the competition. In this chapter, we intend to study the types of innovations and creativity as a competitive advantage and strategy in the context of i-Sustainability Plus theory via an African cultural approach.

Chapter 3An African Cultural Study of Proximity Learning, Competitive Intelligence, Cultural Sustainability/Synergy and 7PS Model as an Innovative Infrastructure through the Fifth Wave and DCT Theories

Pages: 30

The world today is always changing at a rapid pace. The phenomenon of globalization has led all businesses to find a way to survive and win in competition with their competitors. Evidence of abundance introduces innovation as the main driver of prosperity and economic growth, as well as maintaining a high level of profitability for companies. This means that businesses need to build the infrastructure for innovation in order to grow and sustain themselves in the face of today's shocks and tomorrow's crises. History has not yet forgotten what destruction the colonialism of European and Western countries has brought to the cultural, environmental, social, educational, technological, political and economic structures of Africa. In fact, instead of rebuilding innovation infrastructure, the country's limited capital and income is spent on buying military equipment and equipping the armed forces, and because poverty is rapidly increasing, people look to the future with despair. Education is not of proper quality and people are deprived of having a minimum life. There are very few specialized and literate people and there is not much access to computer equipment. Economic growth is not paying attention and investors have left the country with their capital, while the statesmen are proud of their ethnicity and look at other ethnic groups with malice, and the civil rights of African people are being violated quickly. Each of these alone can bend the back of sustainable development in different dimensions, especially culture, education and trade. In today's changing world economy, the topics that have received a lot of attention are cultural synergy, learning of proximity, competitive intelligence, cultural sustainability and sustainability plus as an infrastructure of innovation. Thus, if Africa wants to reach its true potential for the growth and success of its businesses, many of its businesses must think big. In fact, the growth and survival of small and medium-sized businesses play a key role in accelerating economic development and can serve the unmet needs of African markets, especially job creation. In this chapter, we intend to examine the issues raised as an infrastructure for innovation in African companies and cultural adaptation to meet today's challenges and tomorrow's crises.

Part 2Case Studies and Future Agenda

Pages: 107

No chapter abstract available.

Chapter 4Determinants of Category Management

Pages: 18

This chapter investigates the concept of category management and the relationship between its determinants. Indeed, this study will verify the mediating role of easy shopping between effective assortments and shopping time. A survey was conducted in 2020 with a sample of 360 individuals who frequently visit Tunisian supermarkets. The data were analyzed using structural equations and linear regressions. This research provides valuable and practical enlightenment for scientists, investors and regulators. It has significantly contributed to the literature discussing the relationship between the determinants of category management.

Chapter 5A Framework for Analyzing the Link between Innovation and Employment

Pages: 22

In this chapter, we empirically investigate the complex nature of the innovation-employment nexus. The research is based on data from the World Bank 2013–2015 in some selected African and Asian countries over 6,566 firms. We apply a logit-probit regression approach to test the effect between innovation and employment. The results show that years of employee education negatively affect the main types of innovation. Furthermore, temporary employment and training positively impact process innovation and marketing innovation. However, all expenditure on R&D, jobs and the sector of activity does not affect process innovation. Therefore, a formal training programme is vital for all product, process, organizational, marketing and logistic innovations.

Chapter 6The Duality of Digital Innovation and Sustainable Development in MENA Countries

Pages: 27

In recent years, interest has increased in innovation as the driving force behind development. Innovation promotes sustainable development, whether it is technological, ecological or social innovation. Digital technologies are among the most promising solutions to address global gaps, whether in terms of health, education, inclusion and empowerment, and digital innovations help to making our societies smarter, and this is what countries seek as an important step in their path towards development. This study focuses on the role of digital innovation in achieving sustainable development in light of the new and emerging challenges faced by the countries of the world in general and the countries of Middle East and North Africa (MENA) in particular. Quantitative and qualitative methods were relied upon to analyze the development of the Global Innovation Index (GII) for MENA countries during the period 2014–2021 and its contribution to achieving the dimensions of sustainable development compared to GDP in light of the development of digital indicators. The study concluded that despite the MENA countries achieving economic, social and environmental goals through the adoption of digital technology and modern technologies, they are still far from the expectations of sustainable development according to the GII, especially for North African countries Algeria in the GII for the year 2021 in late ranking for being in the 120th position, Egypt ranked 94th, Tunisia and Morocco with the middle group in the index ranking (71st and 77th), while the United Arab Emirates was able to rise to the 33rd rank globally thanks to its effective innovation strategy, and has achieved advanced ranks in some of the sub-indicators of innovation inputs, except that this was not commensurate with its outputs, and this indicates a lack of effectiveness of digital innovative activities in the MENA countries, which necessitates the need to work more on upgrading, modernizing and developing the pillars of innovation and supporting digital transformation to achieve sustainability.

Chapter 7Industrial Value Co-creation

Pages: 19

Many studies have identified the benefits of product's value co-creation like ability of the industry to capture customer needs and maintain competitiveness in the markets due to product differentiation and development. However, there are few studies that have established the motivation or reluctance of majority industries or customers in the developing countries of Africa, including Tanzania to participate in the product's value co-creation. This study intended to review different models of value co-creation and explore their relevance to industries of Tanzania; establish knowledge through which manufacturing industries can create and deliver value, and how customers evaluate value embedded in manufactured goods; and determine drivers for, and barriers to value co-creation by industries. In achieving the stated objectives, reviewed literatures were complemented with primary data collected from selected manufacturing industries in the Dar es Salaam city of Tanzania. Interview guide was used to obtain primary data from working staff in the surveyed manufacturing industries. Qualitative data were analyzed by using ATLAS.ti software. The results revealed that there are limited studies about products value co-creation by manufacturing industries in Tanzania. However, the value co-creation models practised elsewhere are still relevant to the country's industrial settings. Also, the study has shown that despite the benefits of value co-creation, many factors have been identified to have a significant influence on the industry's or customers motivation, or reluctance to participate in the products value co-creation which follow in to different categories such as financial, infrastructural, managerial, psychological and technological co-creation among others. This chapter, therefore, provides more knowledge about products’ value co-creation by the manufacturing industries.

Chapter 8Addressing the Challenges of Entrepreneurship and Innovation in Nigeria

Pages: 19

Entrepreneurship is a major driver of economic growth and development in any society. This is true of the modern world where economies are revolutionizing and innovation is rapidly evolving. Undoubtedly, entrepreneurship has ushered in novel methods of creating values and conducting economic activities in the major sectors of the economy using technology. This is to maximize opportunities for innovation and competitive edge for national, regional and international gains. However, observation shows that Nigeria is far behind in appropriating the benefits accrue to entrepreneurship. This is evident in the increasing rate of unemployment, graduates’ dependence on government jobs and importation of goods for economic survival, which translates to poor economic outlook and unfavourable balance of trade. The multifaceted nature of these problems requires a holistic approach for remedy that would mandate all sector to take proactive measures. Using theoretical analysis of relevant literature, this chapter examined the challenges of entrepreneurship and innovation, with emphasis on the Nigerian context and drawing pertinent issues around lack of effective entrepreneurship education, poor orientation and sensitization, fear of failure, knowledge gap in entrepreneurship training and practice, economic and political instability, lack of entrepreneurial intention, poor funding and the prevalence of insurgencies, being a threat to economic activities in recent times. Bearing in mind the central position of education in the economy, this chapter, through the lens of the Experiential Learning Theory (ELT), explored the essential roles of the higher education sub-sector in combating entrepreneurship challenges in Nigeria, with a view to strengthening the nation to produce innovative citizens for self-reliance and competitive advantage.