EFFECT OF ENTREPRENEURIAL ECOSYSTEM ON THE PERFORMANCE OF AGRO PROCESSING MANUFACTURING FIRMS IN BENUE STATE
Abeda Tersoo , Monica Nnena Agu, PhD and Haruna Muhammed Awwal, PhD
Volume 5 Issue 2
Abstract
Agro-processing manufacturing performance in many developing countries continue to be weak despites its contribution in term of economic diversification of employment generation. This study examined the effect of entrepreneurial ecosystem dimensions on the performance of agro processing manufacturing firms in Benue State. Specifically, the study investigated the influence of entrepreneurial culture, human capital, and market access on the performance of agro-manufacturing firms. A cross-sectional survey research design was adopted, and primary data were collected through a structured questionnaire administered to owners and one senior staff member of selected agro-manufacturing firms in Benue State. A sample size of 100 respondents was determined using the consensus sampling method. The data were analyzed using descriptive statistics and multiple regression analysis with the aid of the Statistical Package for the Social Sciences (SPSS) Version 26. The regression results revealed that entrepreneurial culture (β = 0.182, t = 3.970, p < 0.05), human capital (β = 0.205, t = 4.410, p < 0.05), and market access (β = 0.221, t = 4.850, p < 0.05) each had a positive and statistically significant effect on the performance of agro-manufacturing firms in Benue State. Furthermore, the coefficient of determination (R² = 0.796) indicated that entrepreneurial culture, human capital, and market access jointly explained 79.6% of the variation in firm performance, while the remaining 20.4% was attributable to other factors not included in the model. The overall regression model was statistically significant (F = 96.418, p < 0.05), confirming the joint predictive power of the explanatory variables. The study concluded that entrepreneurial culture, human capital, and market access are critical determinants of the performance of agro-manufacturing firms in Benue State. It recommended that agro-manufacturing firms should strengthen entrepreneurial values, invest continuously in employee capacity development, and expand market access through improved distribution networks and strategic partnerships. The study also recommended that government should formulate supportive policies and provide adequate infrastructure to enhance the entrepreneurial ecosystem and improve the competitiveness of agro-manufacturing firms. Keywords: Entrepreneurial Ecosystem, Entrepreneurial Culture, Human Capital, Market Access, Agro-Manufacturing Firms, Firm Performance, Multiple Regression Analysis.
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