Innovation, Export Commitment and performance of Coffee Producers, Processors and Exporting Firms in Uganda

Abstract

This study was carried out to examine the relationship between innovation, export commitment and export performance of Coffee producers, processors and exporting firms in Uganda. Specifically, it sought to establish how innovation and export commitment relate with export performance Coffee producers, processors and exporting firms in Uganda.

The study adopted a correlational research design to establish the relationship between dependent and independent variables of the study. Data was collected from respondents by use of questionnaires. Simple random sampling techniques were used to select 36 firms out of the study population of 43 coffee exporting firms. Pearson correlations and multiple regression analysis were used to establish the relationship among the study variables. The correlations revealed that there was a statistically significant positive relationship between innovation r=.535, p-value<.005), export commitment, r=.677, p-value<.005,) and export performance of coffee export firms in Uganda.

The general implication was about innovation and export commitment practices have a statistically significant positive effect on the export performance of Coffee producers, processors and export firms. In addition, multiple regression analysis was also carried out and revealed innovation is the most significant predictor to export performance of Coffee producer processing and export firms. Its relationship with export performance of coffee producer processing and exporting firms innovation explains 41.9% of variation in the export performance of coffee producer processing and exporting firms in Uganda; while the whole regression model explains 42%. Further the study was adopted mediation test so as to establish if export commitment mediates on the relationship between innovation and export performance of coffee exports in Uganda. However, result of the mediating test was revealed that export commitment was partially mediated on the relationship between innovation and export performance.

The study findings were therefore recommended that managers of coffee producers, processors and exporting firms in Uganda should concentrate more on innovation and export commitment in order to enhance their export performance since two of these factors have a significant relation to good export performance.