This study investigates the relationship between digital innovation and sustainable entrepreneurial
performance among business owners and managers in Southwest Nigeria. The problem statement arises
from the imperative to understand how digital innovation influences regional businesses' long-term
success and viability. The study aims to assess the impact of digital innovation strategies, including
technology adoption, skills development, and access to infrastructure, on sustainable entrepreneurial
performance. Methodologically, a questionnaire administered via Google Forms was utilized to collect
data from a purposive sample of 238 business owners and managers. The analysis employed
measurement and structural models to examine the relationships between digital innovation variables
and entrepreneurial outcomes. The findings reveal significant positive relationships between digital
technology adoption, skills development, access to infrastructure, and sustainable entrepreneurial
performance. Implications for business managers include the importance of investing in digital
readiness initiatives, fostering a culture of innovation, and leveraging strategic partnerships to drive
sustainable growth and competitiveness. Managerial recommendations include prioritizing investments
in digital infrastructure, implementing supportive regulatory frameworks, and fostering continuous
learning and innovation within organizations.