Frugal innovation and entrepreneurial university: a case study of African first development university in Africa

Abstract

The concept of frugal innovation has gained significant traction in low middle-income countries due to its potential to contribute to sustainable development goals (SDGs). This study examines the role of universities in promoting frugal innovation and their capacity to drive socio-economic development through entrepreneurial initiatives. The objective is to explore how universities can serve as both entrepreneurial and development-focused institutions and to develop a conceptual framework to guide their efforts. The study utilizes an exploratory single case study methodology, focusing on the American University of Nigeria (AUN), a leading institution in Nigeria known for its development and entrepreneurship programs. Drawing on data from the AUN THE global impact ranking 2024, the results of the study indicate that the ability of a university to effectively manage technology and skills transfer in frugal innovations is influenced by six university capabilities, and the generation of frugal innovations is moderated by policy and innovation ecosystems involving government agencies, regulatory bodies, and policymakers. This study contributes to the existing body of knowledge by initiating a discussion on how development and entrepreneurship can support frugal innovation, and offers practical insights to inspire other universities to develop their own models for societal and economic impact. The study underscores the necessity of integrating “development” into the vision of universities, particularly in low middle-income and developing economies, and emphasizes the significance of universities embracing both entrepreneurial and development-focused roles. The findings highlight the potential of universities in advancing sustainable development goals, particularly in low middle-income and developing economies, as they work towards meeting the global SDGs by 2030.