Innovation as Empowerment: The Role of Youth Entrepreneurship in Reshaping Social Futures in Urban Kenya

Abstract

This study examined the relationship between entrepreneurial innovation and the social futures of youth in Biashara Ward, Nakuru City, Kenya. A convergent parallel mixed methods design was adopted, incorporating questionnaires administered to 137 youth drawn from thirteen registered youth groups, alongside focus group discussions and interviews involving five stakeholders. Quantitative data were analyzed using descriptive statistics, Pearson correlation, and regression analysis, while qualitative data were subjected to thematic analysis. The findings revealed that youth groups engaged in product and service innovation, community mobilization, technology adoption, and resource adaptation, which were associated with employment creation, income growth, improved livelihoods, and social inclusion. The multivariable regression model established that entrepreneurial innovation was a positive and statistically significant predictor of social transformation (β = .228, p = .031). The model explained 19.5% of the variation in social transformation (R² = .195; F(4, 132) = 7.973, p < .001). A strong positive correlation was established between social inclusion and employment creation (r = .88, p < .01). Qualitative findings identified collaborative learning, community forums, and informal savings networks as important mechanisms supporting entrepreneurial innovation. However, inadequate financing, high internet costs, limited market linkages, and insufficient institutional support constrained entrepreneurial development. The study concludes that community-based entrepreneurial innovation is positively associated with youth economic empowerment and social transformation. It recommends improved digital access, entrepreneurial mentorship, stronger market linkages, and integrated enterprise support.