A framework for assessing innovation capacity in non-timber forest product enterprises

Innovation is critical for the survival, growth and competitiveness of firms, particularly for non-timber forest product (NTFP)-based enterprises which are gaining economic importance and an increasingly recognised role in the bioeconomy transition. Yet, a conceptually grounded and empirically informed innovation capacity framework to guide and enhance the innovation performance of NTFP enterprises remains lacking. This study employs an abductive qualitative multiple case study to characterise the innovation capacity of NTFP-based enterprises in the baobab (Adansonia digitata) industry. The findings identify ten interrelated capabilities and resources essential for fostering innovation performance of baobab-based enterprises, with broader implications for the NTFP sector. Synthesising the capabilities and resources, we propose an Innovation Capacity Framework (ICF) tailored for the NTFP sector. The ICF provides a structured tool for evaluating the innovation capacity of forest product-based enterprises and informing the design of innovation support policies. By addressing a conceptual gap in the NTFP sector, the study extends the sectoral scope of innovation capacity research in small businesses, and offers insights into how SMEs in the forest sector mobilise and integrate resources to drive innovation.

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