Description
In such a detailed data about campus entrepreneurship, innovativeness and business productivity musibau akintunde.
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
1
Campus Entrepreneurship, Innovativeness and Business
Productivity
Musibau Akintunde Ajagbe
Centre for Entrepreneurship Studies,
Department of Business Management,
Covenant University,
KM 10 Canaan Land,
Ota, Nigeria
Tel: +2349035414257
Email: [email protected] & [email protected]
E. I. Mercy Ogbari
Department of Business Management,
Covenant University,
KM 10 Canaan Land,
Ota, Nigeria
Tel: +2348060319126
E-mail: [email protected]
Adunola Oluremi Oke
Department of Business Management,
Covenant University,
KM 10 Canaan Land,
Ota, Nigeria
David T. Isiavwe
Department of Accounting,
Igbinedion University,
Okada, Nigeria.
[email protected]
The research is financed by University of Johannesburg, Blomfontein, South Africa & Covenant
University, Canaan Land, Ota, Nigeria
Abstract
The main purpose of this study is to examine the impact of institutional entrepreneurship and
innovativeness on productivity of entrepreneurship ventures particularly those situated in institutions of
higher learning in Nigeria. Giving that institutions are expanding beyond their main campuses
admitting more students to different satellite campuses with different levels of infrastructures, skills,
capabilities and necessities, it sought to find out if there was any significant improvement in business
productivity by reason of introduction of innovation in entrepreneurs activities. This study formulated
four hypotheses to find the level of relationship among the investigated variables. In order to test the
hypotheses, the survey research method was used in a cross sectional design through the use of
comprehensive questionnaires which were distributed to entrepreneurs in four tertiary institutions
campuses situated in Lagos state. Results from regression analysis finds that innovation adaptation has
a significant impact on labor and material productivity. In view of this, the researchers suggested that
entrepreneurs should formulate and coordinate policies that will encourage these ideas to be made
manifest in the labour capabilities of the enterprises. Hence, findings from this study will be useful for
entrepreneurs who do not have adequate capacity to embrace innovation so as to produce at optimum
capacity and gain competitive advantage as it would inform them of the innovation-enhancing role of
productivity.
Keywords: Campus Entrepreneurship, Enterprise Innovation, Organizational Productivity, Regression
Analysis, Nigeria.
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
2
1. Introduction
Ample studies revealed that entrepreneurs contribute substantially to national economy of countries.
Barringer & Ireland (2005) added that the activities of entrepreneurs lead to profit generation and have
ripple effect on the economic system, especially in terms of business operations. Ajagbe & Ismail
(2014) opine that this in turn apparently affects three sources of business growth and development.
They authors listed the three sources as production, improvements in the efficiency of allocation of
inputs across economic activities, and innovation that generates new products, new uses for existing
products and brings about increase in the efficient input/output combination within any type of
economic system. Ogbari et al. (2015) argued that the role of entrepreneurs in inter-industry can also
not be over emphasized particularly, as they affect joint venture, out-sourcing and sub-contracting
relationship. The nature of innovative process that affects economic growth emphasizes the active and
inactive functions of the entrepreneur. Many researchers have reviewed the entrepreneur differently but
more importantly as innovator who is responsible for the creation of new products, new methods of
production, new processes and capable of identifying new market (Shane & Venkataraman, 2000;
Hannafey, 2003; Ismail et al. 2011; Wang et al. 2012). The entrepreneurs are motivated by different
reasons to create their own ventures amongst which are desire for independence, wealth creation, and
acquisition, capital adequacy and family influence. Allen (2003) opine that they mix these variables to
obtain organizational expectation. Ajagbe (2014) argued that entrepreneurial activities and the
intending impact do not occur in isolation. Entrepreneurial activities are engaged within established
environmental context. The numerous factors of which the environment is composed exert significant
pressure and determination of effort on the entrepreneurial relationships. Coulter (2003) posit that the
need for entrepreneurs to proactively create and innovate within and beyond their internal and external
environment.
Shane (2003) suggested that entrepreneurs generate new concepts, new technology, new design, new
processes that explore numerous possibilities such as machine, material and labour productivity.
However, they emerge new market, possible improvement in services which undoubtedly assist in
ensuring that environmental opportunities are adequately and timely exploited, hence, leading to
generation of revenue. Oliviera et al. (2014) put forward that the role assigned to entrepreneurship in
economic growth and development most especially in the developed economies such as America,
United Kingdom, Canada, Japan, just to name a few ensures that they tailor their economies to
developmental concept and plan aimed at new enterprise development. Entrepreneurship as the engine
of economic growth and wheel that pedal the vehicle of economic development has been recognized
for its importance in the area of job creation, revenue
generation, poverty alleviation and wealth
creation (Abdallah et al. 2014; Bjorklund, 2011; Ajagbe et al. 2015b). These authors added further that
it has been recognized as the driver of employment and economic growth. In view of this, they are
perceived as product innovators, creators, developers, and it will not be out of place to view them as
vital function in national and corporate development of any ecosystem. Hence, there is need to
investigate the impact of innovation on entrepreneurship and national or corporate productivity.
Drucker (1985) argued that in many organizations, the adoption of varieties of material mixes has led
to serious consideration at industry level. For instance many productive organizations evaluate the
element of their material component from the perspective of material variance, material cost variance
and input-variances so as to be able to generate additional or improved profit. This process in most case
would lead to improved productivity. Oliviera et al. (2014) posit that the capacity to manage material
variable often differs from industry to industry, depending on level, skill, and intention of management
employed. To achieve this, the organizations usually ensure they adopt material productivity with
essential idea generator capacity (Oliviera et al. 2014; Abdallah et al. 2014; Ajagbe et al. 2015a). Idea
creator can then be employed by the manager of these organizations to ensure that the variables
necessary for productivity in the organizations are established. For instance, organizations would wish
to perform at their optimum level in terms of profitability, productivity, and the structure that will make
this attainable is the ability of the creator to make use of the necessary elements, either by making use
of what is available or creating such. The labour hour which is put in will give or have an impact on the
output of the organization.
Ku (2014) argued that the implementation of technology in virtually all facets of life is now a global
phenomenon. The author added that business managers improve on the obsolete technology so as to
advance more. Improving technology adoption through the initiation of new processes and rapidity of
change is perceived as a moving force that leads or paves way for organizational productivity. Saffu et
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
3
al. (2012) posit that material variance can be improved upon, it is also important to ascertain that
improved technology will achieve material productivity. New processes are pointers or key components
in improved technology that a manager adopts so as to improve on their level of labour productivity
(Ajjan et al. 2013; Bach et al. 2013; Ajagbe, 2014; Cheraghi, et al. 2004). The entrepreneurial manager
scans for opportunities in his environment and then exploits the opportunity and makes provision for
the implementation of the set goals with human resources, material, and machine availability.
Hanafizadeh et al. (2012) argued that the entrepreneur tends to recognize a market opportunity and
exploit it by organizing their research study effectively, an outcome that changes existing interactions
within a given sector. Giving that dynamism in global business environment requires urgent responses
there is need for the right structures to be put in place to respond to such unexpected changes. For an
organization to be effective and also efficient, it has to plan, so all organizations would definitely want
to achieve its set goals and objectives so it has no other choice than to plan, else he who fail to plan,
plan to fail. Organizations tend to improve on its technological ability. However, the general objective
of this research is to investigate the significant influence of innovation on productivity among
entrepreneurs who operate inside institutions of higher learning in Nigeria.
2. Methodology
The methodology adopted for this study is explanatory because it is a valuable means of finding
relationships among variables of research and more importantly to assess the phenomena in a new
perspective. The sampled population consist of selected tertiary institutions in Lagos State. These
institutions and what comprises the aggregate of entrepreneur based firms in the various institutions are
listed in table 1 below. In determining the sample size, different opinions have been expressed by
experts on this subject, while some experts have suggested that when population is large the sample
size should be 5% of the entire population while others believe that the sample size should be 10%
(Otokiti 2007; Meriam & Simpson, 1984; Thomas, 2006). This is due to recommendations of earlier
authors that for the most appropriate sample size of a study to be complete, it should include census of
the population, because all the components of the population are represented (Asika 1991; Trochim &
James, 2006; Muala et al. 2005). The overall population derived for the institutions are a total of 357,
of this population, 20 entrepreneurs had moved out of their business offices, 30 business offices were
yet to resume for the day and 27 business offices were undergoing renovation. Hence, the population
size for this study was reduced to 260. The sample frame for this study are entrepreneurs based in
higher institutions in Lagos area comprising of 5 Local Government Areas (LGA) of the state as listed
in table 1 below. This study adopted both primary and secondary sources of data, the primary source of
data used questionnaire while the secondary data used include textbooks, journals, previous research
works, internet and magazines. Trochim & James (2006) suggested that the selection of instrument for
a research should consider such factors as the nature of the study. Dana & Dana (2005) added that there
are four methods for measuring reliability, they include: test –retest method, split half reliability,
parallel/equivalent form method or alternative form method and the Kruder Richardson or Cronbach
alpha reliability tests (Creswell, 2012; Yin, 2012). For the purpose of this study, the Cronbach alpha
was used because it is a type of reliability test that proceeds by utilizing a single administration of a
single form based on the consistency of responses to all items of the test. In table 2 below, Cronbach
alpha is for the 27 items analysed together. This shows that the items are highly reliable with .732 as
they agree more than the widely accepted score of 0.6 which indicated that the research instrument
adopted is reliable.
Table 1: Campus Entrepreneurs
S/N Institutions Location
Firms Population Total Firms
Trading Firms Service Firms
1 LASU 1 Abulegba LGA 55 20 75
2 LASU 2 Ojo LGA 155 50 205
3 COE Ojo LGA 60 17 87
4 UNILAG Saba/Yaba LGA - - -
5 LBS Ibesa-lekki LGA - - -
Total 270 87 357
LASU: Lagos State University, UNILAG: University of Lagos, COE: College of Education, LBS: Lagos Business School, LGA:
Local Government Area.
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
4
Table 2: Reliability Statistics
Cronbach's Alpha N of Items
.732 27
3. Analysis of Demographic Data
This section presents discussions of the information gathered from the participant?s demographic data.
The presentation of demographic data was divided into two; the bio data of the participants were
presented before the description of variables raised in the hypotheses. The participants as presented
revealed a total of 68 females representing 26% and 192 males representing 74%. This indicates higher
number of male participants for the study. The age of the participant?s shows that a total of 128
participants are less than 25years of age representing 49%, 76 for 26-44 years accounted for 29%, above
45years were 56 representing 22%. This indicates a higher number of the respondents are within the age
group of less than 25years. The marital status of the participants as presented revealed a total of 42
representing 16% as single, 185 married representing 71%, 33 separated accounted for 13% and none
divorced. This shows that more women are getting involved in entrepreneurship business in Nigeria.
The educational status of the respondents as presented revealed a total of 40 representing 15% as
respondents with primary certificate, 160 with secondary school certificate representing 62%, 45
HND/OND accounted for 17% and 15 BSc. representing 6% . From this result, it can be reported that
majority of those who participated in this study possess secondary school certificate. In addition, among
the 260 respondents who completed the distributed questionnaires about 180 of them are sales
representatives representing 69% and 80 top executives representing 31%. This indicates that most of
the people who run these enterprises are the sales representatives rather than the top executives. For the
nature of the business ventures, about 190 participants representing 73% were involved in services while
70 respondents were involved in trading representing 27%. Therefore majority of the respondents are
involved in service provision because they are based in institutions of higher learning.
4. Test of Hypothesis
4.1 Hypothesis One
Objective 1- To investigate the impact of Idea Creation on Material Productivity.
Research question 1- Is there any significant relationship that exists between Idea Creation and
Material Productivity?
Hypothesis 1- Idea Creation would not significantly affect Material Productivity.
Table 3: Summary of Regression Analysis
R= .649
R
2
=.421
Adjusted
R
2
=.396
Std. Error of the Estimate= 1.4236
Variables Sum of Squares Df Mean Square F Sig
Regression 9275.4438 1 9275.4438 219.174 .05
Residual 10960.88 259 42.32
Total 20236.3238 260
a. Predictors: (Constant), Idea Creation, b. Dependent: Material Productivity
4.2 Hypothesis Two
Objective 2: To determine effect of Idea Creation on Labour Productivity.
Research question 2: Is there a significant relationship between Idea Creations on Labour Productivity?
Hypothesis 2: Idea Creation would not have any level of effect on Improved Performance of Labour
Productivity.
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
5
Table 4: Summary of Regression Analysis
R= .472
R
2
=.222
Adjusted
R
2
=.213
Std. Error of the Estimate= 1.116
Variables Sum of Squares Df Mean Square F Sig
Regression 4901.71 1 4901.71 198.28 .05
Residual 6402.48 259 24.72
Total 11304.19 260
a. Predictors: (Constant), Idea Creation, b. Dependent: Labour Productivity
4.3 Hypothesis Three
Objective 3: To ascertain the impact of Improved Technology on Labour Productivity.
Research Question 3: To what extent will Improved Technology affect Labour Productivity?
Hypothesis 3: There is no relationship between Improved Technology and Labour Productivity.
Table 5: Correlation Coefficient
Variation N df R Sig. Level
Improved Technology 260 259 0.84* 0.05
Labour productivity 260
*significant
4.4 Hypothesis Four
Objective 4: To determine how significantly Improved Technology achieves Material Productivity.
Research question 4: How significant will Improved Technology affect Material Productivity?
Hypothesis 4: Improved Technology has no impact on Material Productivity.
Table 6: Model Summary
Model Predictors R R
2
R
2
–Adjusted Std. Error
1 Improved Technology .724 .524 .496 .92743
a. Predictors (Constant), Improved Technology, b. Dependent Variable: Material Productivity
Table 7: ANOVA
Model Sources of
Variation
Sum of Squares df Mean Square F-ratio Sig
1 Regression
Residual
Total
16.115
222.79
238.855
1
259
260
16.115
.860
18.735 .000
a. Predictors (Constant): Improved Technology, b. Dependent Variable: Material Productivity
5. Discussions of Result and Findings
The adoption of regression analysis for this study is consistent with the suggestion of Trochim & James
(2006) who opine it is useful to determine the values of parameters for a function that cause the
function to best fit a set of predictable constraints. Mariam & Simpson (1984) argued that in linear
regression, the function is a linear (straight-line) equation. This regression analysis was therefore used
to model the relationship between material productivity (a response variable) and idea creation as a
predictor variable. The regression model adopted to test hypothesis one represents a simple linear
regression model because there is just one independent variable „x?, in the model. In this study,
regression models, the independent variable was referred to as regressor or predictor variable. The
dependent variable „y?, is referred to as the response. The slope, , and the intercept, , of
the line was used as regression coefficient. Whereas our,
, was interpreted as the change in the mean value of for a unit change in .
The result in table 3 provides useful information about the regression analysis as discussed earlier.
However, the simple R? column is the correlation between the actually observed independent variable
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
6
(Idea Creation) and the predicted dependent variable (Material Productivity, predicted by the regression
equation). „R square? is the square of R and is also known as the „coefficient of determination?. It stated
the proportion (or percentage) of the (sample) variation in the dependent variable that should be
attributed to the independent variable(s). In this study, 42.1% of material productivity variable
appeared accounted for new idea creation among the sampled organizations. The „adjusted R square?
which referred to the best estimate of R square for the population from which this study samples are
drawn. Hence, the „standard error of estimate? indicates that, on average, observed material
productivity scores deviated from the predicted regression line by a score of 1.4236. This is not
surprising, since it is already known that the regression model in the table explained 42.1% of the
variation, it cannot account for the other 57.9%. The first hypothesis which stated that” Idea Creation
would not significantly affect Material Productivity was rejected at R=.649, R
2
=.421, F
(1, 259)
=219.174;
p
In such a detailed data about campus entrepreneurship, innovativeness and business productivity musibau akintunde.
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
1
Campus Entrepreneurship, Innovativeness and Business
Productivity
Musibau Akintunde Ajagbe
Centre for Entrepreneurship Studies,
Department of Business Management,
Covenant University,
KM 10 Canaan Land,
Ota, Nigeria
Tel: +2349035414257
Email: [email protected] & [email protected]
E. I. Mercy Ogbari
Department of Business Management,
Covenant University,
KM 10 Canaan Land,
Ota, Nigeria
Tel: +2348060319126
E-mail: [email protected]
Adunola Oluremi Oke
Department of Business Management,
Covenant University,
KM 10 Canaan Land,
Ota, Nigeria
David T. Isiavwe
Department of Accounting,
Igbinedion University,
Okada, Nigeria.
[email protected]
The research is financed by University of Johannesburg, Blomfontein, South Africa & Covenant
University, Canaan Land, Ota, Nigeria
Abstract
The main purpose of this study is to examine the impact of institutional entrepreneurship and
innovativeness on productivity of entrepreneurship ventures particularly those situated in institutions of
higher learning in Nigeria. Giving that institutions are expanding beyond their main campuses
admitting more students to different satellite campuses with different levels of infrastructures, skills,
capabilities and necessities, it sought to find out if there was any significant improvement in business
productivity by reason of introduction of innovation in entrepreneurs activities. This study formulated
four hypotheses to find the level of relationship among the investigated variables. In order to test the
hypotheses, the survey research method was used in a cross sectional design through the use of
comprehensive questionnaires which were distributed to entrepreneurs in four tertiary institutions
campuses situated in Lagos state. Results from regression analysis finds that innovation adaptation has
a significant impact on labor and material productivity. In view of this, the researchers suggested that
entrepreneurs should formulate and coordinate policies that will encourage these ideas to be made
manifest in the labour capabilities of the enterprises. Hence, findings from this study will be useful for
entrepreneurs who do not have adequate capacity to embrace innovation so as to produce at optimum
capacity and gain competitive advantage as it would inform them of the innovation-enhancing role of
productivity.
Keywords: Campus Entrepreneurship, Enterprise Innovation, Organizational Productivity, Regression
Analysis, Nigeria.
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
2
1. Introduction
Ample studies revealed that entrepreneurs contribute substantially to national economy of countries.
Barringer & Ireland (2005) added that the activities of entrepreneurs lead to profit generation and have
ripple effect on the economic system, especially in terms of business operations. Ajagbe & Ismail
(2014) opine that this in turn apparently affects three sources of business growth and development.
They authors listed the three sources as production, improvements in the efficiency of allocation of
inputs across economic activities, and innovation that generates new products, new uses for existing
products and brings about increase in the efficient input/output combination within any type of
economic system. Ogbari et al. (2015) argued that the role of entrepreneurs in inter-industry can also
not be over emphasized particularly, as they affect joint venture, out-sourcing and sub-contracting
relationship. The nature of innovative process that affects economic growth emphasizes the active and
inactive functions of the entrepreneur. Many researchers have reviewed the entrepreneur differently but
more importantly as innovator who is responsible for the creation of new products, new methods of
production, new processes and capable of identifying new market (Shane & Venkataraman, 2000;
Hannafey, 2003; Ismail et al. 2011; Wang et al. 2012). The entrepreneurs are motivated by different
reasons to create their own ventures amongst which are desire for independence, wealth creation, and
acquisition, capital adequacy and family influence. Allen (2003) opine that they mix these variables to
obtain organizational expectation. Ajagbe (2014) argued that entrepreneurial activities and the
intending impact do not occur in isolation. Entrepreneurial activities are engaged within established
environmental context. The numerous factors of which the environment is composed exert significant
pressure and determination of effort on the entrepreneurial relationships. Coulter (2003) posit that the
need for entrepreneurs to proactively create and innovate within and beyond their internal and external
environment.
Shane (2003) suggested that entrepreneurs generate new concepts, new technology, new design, new
processes that explore numerous possibilities such as machine, material and labour productivity.
However, they emerge new market, possible improvement in services which undoubtedly assist in
ensuring that environmental opportunities are adequately and timely exploited, hence, leading to
generation of revenue. Oliviera et al. (2014) put forward that the role assigned to entrepreneurship in
economic growth and development most especially in the developed economies such as America,
United Kingdom, Canada, Japan, just to name a few ensures that they tailor their economies to
developmental concept and plan aimed at new enterprise development. Entrepreneurship as the engine
of economic growth and wheel that pedal the vehicle of economic development has been recognized
for its importance in the area of job creation, revenue
generation, poverty alleviation and wealth
creation (Abdallah et al. 2014; Bjorklund, 2011; Ajagbe et al. 2015b). These authors added further that
it has been recognized as the driver of employment and economic growth. In view of this, they are
perceived as product innovators, creators, developers, and it will not be out of place to view them as
vital function in national and corporate development of any ecosystem. Hence, there is need to
investigate the impact of innovation on entrepreneurship and national or corporate productivity.
Drucker (1985) argued that in many organizations, the adoption of varieties of material mixes has led
to serious consideration at industry level. For instance many productive organizations evaluate the
element of their material component from the perspective of material variance, material cost variance
and input-variances so as to be able to generate additional or improved profit. This process in most case
would lead to improved productivity. Oliviera et al. (2014) posit that the capacity to manage material
variable often differs from industry to industry, depending on level, skill, and intention of management
employed. To achieve this, the organizations usually ensure they adopt material productivity with
essential idea generator capacity (Oliviera et al. 2014; Abdallah et al. 2014; Ajagbe et al. 2015a). Idea
creator can then be employed by the manager of these organizations to ensure that the variables
necessary for productivity in the organizations are established. For instance, organizations would wish
to perform at their optimum level in terms of profitability, productivity, and the structure that will make
this attainable is the ability of the creator to make use of the necessary elements, either by making use
of what is available or creating such. The labour hour which is put in will give or have an impact on the
output of the organization.
Ku (2014) argued that the implementation of technology in virtually all facets of life is now a global
phenomenon. The author added that business managers improve on the obsolete technology so as to
advance more. Improving technology adoption through the initiation of new processes and rapidity of
change is perceived as a moving force that leads or paves way for organizational productivity. Saffu et
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
3
al. (2012) posit that material variance can be improved upon, it is also important to ascertain that
improved technology will achieve material productivity. New processes are pointers or key components
in improved technology that a manager adopts so as to improve on their level of labour productivity
(Ajjan et al. 2013; Bach et al. 2013; Ajagbe, 2014; Cheraghi, et al. 2004). The entrepreneurial manager
scans for opportunities in his environment and then exploits the opportunity and makes provision for
the implementation of the set goals with human resources, material, and machine availability.
Hanafizadeh et al. (2012) argued that the entrepreneur tends to recognize a market opportunity and
exploit it by organizing their research study effectively, an outcome that changes existing interactions
within a given sector. Giving that dynamism in global business environment requires urgent responses
there is need for the right structures to be put in place to respond to such unexpected changes. For an
organization to be effective and also efficient, it has to plan, so all organizations would definitely want
to achieve its set goals and objectives so it has no other choice than to plan, else he who fail to plan,
plan to fail. Organizations tend to improve on its technological ability. However, the general objective
of this research is to investigate the significant influence of innovation on productivity among
entrepreneurs who operate inside institutions of higher learning in Nigeria.
2. Methodology
The methodology adopted for this study is explanatory because it is a valuable means of finding
relationships among variables of research and more importantly to assess the phenomena in a new
perspective. The sampled population consist of selected tertiary institutions in Lagos State. These
institutions and what comprises the aggregate of entrepreneur based firms in the various institutions are
listed in table 1 below. In determining the sample size, different opinions have been expressed by
experts on this subject, while some experts have suggested that when population is large the sample
size should be 5% of the entire population while others believe that the sample size should be 10%
(Otokiti 2007; Meriam & Simpson, 1984; Thomas, 2006). This is due to recommendations of earlier
authors that for the most appropriate sample size of a study to be complete, it should include census of
the population, because all the components of the population are represented (Asika 1991; Trochim &
James, 2006; Muala et al. 2005). The overall population derived for the institutions are a total of 357,
of this population, 20 entrepreneurs had moved out of their business offices, 30 business offices were
yet to resume for the day and 27 business offices were undergoing renovation. Hence, the population
size for this study was reduced to 260. The sample frame for this study are entrepreneurs based in
higher institutions in Lagos area comprising of 5 Local Government Areas (LGA) of the state as listed
in table 1 below. This study adopted both primary and secondary sources of data, the primary source of
data used questionnaire while the secondary data used include textbooks, journals, previous research
works, internet and magazines. Trochim & James (2006) suggested that the selection of instrument for
a research should consider such factors as the nature of the study. Dana & Dana (2005) added that there
are four methods for measuring reliability, they include: test –retest method, split half reliability,
parallel/equivalent form method or alternative form method and the Kruder Richardson or Cronbach
alpha reliability tests (Creswell, 2012; Yin, 2012). For the purpose of this study, the Cronbach alpha
was used because it is a type of reliability test that proceeds by utilizing a single administration of a
single form based on the consistency of responses to all items of the test. In table 2 below, Cronbach
alpha is for the 27 items analysed together. This shows that the items are highly reliable with .732 as
they agree more than the widely accepted score of 0.6 which indicated that the research instrument
adopted is reliable.
Table 1: Campus Entrepreneurs
S/N Institutions Location
Firms Population Total Firms
Trading Firms Service Firms
1 LASU 1 Abulegba LGA 55 20 75
2 LASU 2 Ojo LGA 155 50 205
3 COE Ojo LGA 60 17 87
4 UNILAG Saba/Yaba LGA - - -
5 LBS Ibesa-lekki LGA - - -
Total 270 87 357
LASU: Lagos State University, UNILAG: University of Lagos, COE: College of Education, LBS: Lagos Business School, LGA:
Local Government Area.
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
4
Table 2: Reliability Statistics
Cronbach's Alpha N of Items
.732 27
3. Analysis of Demographic Data
This section presents discussions of the information gathered from the participant?s demographic data.
The presentation of demographic data was divided into two; the bio data of the participants were
presented before the description of variables raised in the hypotheses. The participants as presented
revealed a total of 68 females representing 26% and 192 males representing 74%. This indicates higher
number of male participants for the study. The age of the participant?s shows that a total of 128
participants are less than 25years of age representing 49%, 76 for 26-44 years accounted for 29%, above
45years were 56 representing 22%. This indicates a higher number of the respondents are within the age
group of less than 25years. The marital status of the participants as presented revealed a total of 42
representing 16% as single, 185 married representing 71%, 33 separated accounted for 13% and none
divorced. This shows that more women are getting involved in entrepreneurship business in Nigeria.
The educational status of the respondents as presented revealed a total of 40 representing 15% as
respondents with primary certificate, 160 with secondary school certificate representing 62%, 45
HND/OND accounted for 17% and 15 BSc. representing 6% . From this result, it can be reported that
majority of those who participated in this study possess secondary school certificate. In addition, among
the 260 respondents who completed the distributed questionnaires about 180 of them are sales
representatives representing 69% and 80 top executives representing 31%. This indicates that most of
the people who run these enterprises are the sales representatives rather than the top executives. For the
nature of the business ventures, about 190 participants representing 73% were involved in services while
70 respondents were involved in trading representing 27%. Therefore majority of the respondents are
involved in service provision because they are based in institutions of higher learning.
4. Test of Hypothesis
4.1 Hypothesis One
Objective 1- To investigate the impact of Idea Creation on Material Productivity.
Research question 1- Is there any significant relationship that exists between Idea Creation and
Material Productivity?
Hypothesis 1- Idea Creation would not significantly affect Material Productivity.
Table 3: Summary of Regression Analysis
R= .649
R
2
=.421
Adjusted
R
2
=.396
Std. Error of the Estimate= 1.4236
Variables Sum of Squares Df Mean Square F Sig
Regression 9275.4438 1 9275.4438 219.174 .05
Residual 10960.88 259 42.32
Total 20236.3238 260
a. Predictors: (Constant), Idea Creation, b. Dependent: Material Productivity
4.2 Hypothesis Two
Objective 2: To determine effect of Idea Creation on Labour Productivity.
Research question 2: Is there a significant relationship between Idea Creations on Labour Productivity?
Hypothesis 2: Idea Creation would not have any level of effect on Improved Performance of Labour
Productivity.
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
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www.scie.org.au
5
Table 4: Summary of Regression Analysis
R= .472
R
2
=.222
Adjusted
R
2
=.213
Std. Error of the Estimate= 1.116
Variables Sum of Squares Df Mean Square F Sig
Regression 4901.71 1 4901.71 198.28 .05
Residual 6402.48 259 24.72
Total 11304.19 260
a. Predictors: (Constant), Idea Creation, b. Dependent: Labour Productivity
4.3 Hypothesis Three
Objective 3: To ascertain the impact of Improved Technology on Labour Productivity.
Research Question 3: To what extent will Improved Technology affect Labour Productivity?
Hypothesis 3: There is no relationship between Improved Technology and Labour Productivity.
Table 5: Correlation Coefficient
Variation N df R Sig. Level
Improved Technology 260 259 0.84* 0.05
Labour productivity 260
*significant
4.4 Hypothesis Four
Objective 4: To determine how significantly Improved Technology achieves Material Productivity.
Research question 4: How significant will Improved Technology affect Material Productivity?
Hypothesis 4: Improved Technology has no impact on Material Productivity.
Table 6: Model Summary
Model Predictors R R
2
R
2
–Adjusted Std. Error
1 Improved Technology .724 .524 .496 .92743
a. Predictors (Constant), Improved Technology, b. Dependent Variable: Material Productivity
Table 7: ANOVA
Model Sources of
Variation
Sum of Squares df Mean Square F-ratio Sig
1 Regression
Residual
Total
16.115
222.79
238.855
1
259
260
16.115
.860
18.735 .000
a. Predictors (Constant): Improved Technology, b. Dependent Variable: Material Productivity
5. Discussions of Result and Findings
The adoption of regression analysis for this study is consistent with the suggestion of Trochim & James
(2006) who opine it is useful to determine the values of parameters for a function that cause the
function to best fit a set of predictable constraints. Mariam & Simpson (1984) argued that in linear
regression, the function is a linear (straight-line) equation. This regression analysis was therefore used
to model the relationship between material productivity (a response variable) and idea creation as a
predictor variable. The regression model adopted to test hypothesis one represents a simple linear
regression model because there is just one independent variable „x?, in the model. In this study,
regression models, the independent variable was referred to as regressor or predictor variable. The
dependent variable „y?, is referred to as the response. The slope, , and the intercept, , of
the line was used as regression coefficient. Whereas our,
, was interpreted as the change in the mean value of for a unit change in .
The result in table 3 provides useful information about the regression analysis as discussed earlier.
However, the simple R? column is the correlation between the actually observed independent variable
Australian Journal of Management, Policy and Law
ISSN: 2203-9473 (Print) ISSN: 2203-9481 (Online)
Australian Society for Commerce Industry & Engineering
www.scie.org.au
6
(Idea Creation) and the predicted dependent variable (Material Productivity, predicted by the regression
equation). „R square? is the square of R and is also known as the „coefficient of determination?. It stated
the proportion (or percentage) of the (sample) variation in the dependent variable that should be
attributed to the independent variable(s). In this study, 42.1% of material productivity variable
appeared accounted for new idea creation among the sampled organizations. The „adjusted R square?
which referred to the best estimate of R square for the population from which this study samples are
drawn. Hence, the „standard error of estimate? indicates that, on average, observed material
productivity scores deviated from the predicted regression line by a score of 1.4236. This is not
surprising, since it is already known that the regression model in the table explained 42.1% of the
variation, it cannot account for the other 57.9%. The first hypothesis which stated that” Idea Creation
would not significantly affect Material Productivity was rejected at R=.649, R
2
=.421, F
(1, 259)
=219.174;
p