ENTREPRENEURIAL SELF-EFFICACY AND SMALL AND MEDIUM ENTERPRISES PERFORMANCE IN NIGERIA
OMOYELE, Olufemi Samuel (P.hD.), BABARINDE, Solomon Adejare (P.hD.) and OBADARE, Grace Oluwatoyin (P.hD.)
Volume 9 Issue 2
Abstract
Entrepreneurial self-efficacy refers to the capabilities possessed by an individual which tends to modify their belief in the probability operates a new business. It is the extent to which an entrepreneur believes in his ability to successfully start a new business venture. Segal, et al (2005) opined that when a person has a high entrepreneurial self-efficacy, then the possibility of becoming an entrepreneur in the future becomes higher. This investigated entrepreneurial selfefficacy and SME performance in Nigeria. The study adopted the descriptive survey in which 250 SMEs were selected using Krejcie and Morgan’s (1970) formula from across different industries ranging from administrative and technical services, agriculture, construction, and information, to transportation. The questionnaire was adopted for data collection and the data collected was analyzed using descriptive statistics. Meanwhile, the hypotheses formulated were tested using Chi-Square analysis. The result of this study indicates that creativity, planning, and financial literacy which are self-efficacy variables investigated in this study, all have significant impacts on the performance of SMEs in Nigeria. With this result, the study concluded that entrepreneurial self-efficacy has a significant impact on SMEs performance in Nigeria; and thus recommends that entrepreneurs should develop their planning, creativity, and financial literacy skills for better performance. Keywords: Entrepreneurial, Self-Efficacy, Planning, Creativity, Financial Literacy SMES, Performance
Download Paper