THE ROLE OF DISRUPTIVE INNOVATION IN ENHANCING PERFORMANCE OF SMALLMARITIME SERVICE BUSINESSES IN NIGERIA

Abstract

Despite growing recognition of disruptive innovation as a driver of business competitiveness, empirical evidence on its distinct dimensions influencing small businesses in maritime services within emerging
economies remains limited. This study examined the influence of disruptive innovation on the performance of small businesses in Lagos State's maritime services sector, focusing on digital technology adoption,
business model innovation, process innovation, and service innovation. A quantitative cross-sectional survey was conducted with 147 owners and managers of registered small maritime service firms at Tin Can
Island Port Complex, selected using Yamane's sampling formula. Data were analysed using descriptive statistics and multiple regression analysis (SPSS Version 29) at a 5% significance level. Findings revealed that disruptive innovation significantly explained 59.0% of variations in business performance (R2=0.590; F= 50.216; p < 0.001). Digital technology adoption (B= 0.269; p < 0.001), business model innovation (B = 0.223; p < 0.001), process innovation (B= 0.196; p = 0.001), and service innovation (B = 0.248; p < 0.001) each exerted positive and significant effects. The study concludes that disruptive innovation represents a critical strategic capability for improving competitiveness and sustainability of small maritime
service firms. Recommendations include greater investment in digital transformation, continuous business model renewal, and supportive policy interventions to strengthen innovation-led growth within Nigeria's
maritime industry.