MODERATING EFFECT OF ENTREPRENEURIAL ORIENTATION ON THE RELATIONSHIP BETWEEN ENTREPRENEURIAL COMPETENCY AND SMALL AND MEDIUM ENTERPRISES (SMEs) PERFORMANCE IN NORTH-WEST NIGERIA
Aminu Umar and Anthony Unyime Abasido, PhD
Volume 13 Issue 1
Abstract
The study is set out to examine the moderating role of entrepreneurial orientation (EO) on the relationship between entrepreneurial competency and SME performance in North-West Nigeria. Entrepreneurial competency was measured using entrepreneurial knowledge, skills, and attitude. With a quantitative cross-sectional survey design, data was collected from SME owners and managers across seven North-Western state capitals adhering to stratified and cluster sampling techniques. A total of 499 questionnaires were distributed out of which 424 valid responses were analyzed using Partial Least Squares Structural Equation Modelling (PLS-SEM). The results indicated that entrepreneurial knowledge and entrepreneurial skills are significant positive as it relates to SME performance, while entrepreneurial attitude does not significantly influence performance. Furthermore, EO significantly moderates the relationship between entrepreneurial knowledge and SME performance, as well as between entrepreneurial skills and SME performance. However, EO does not significantly moderate the relationship between entrepreneurial attitude and SME performance. The study concludes that entrepreneurial orientation strengthens the performance impact of entrepreneurial competencies and plays a strategic role in SME success. The study recommends competency-based entrepreneurial training and policies that encourage innovation, proactiveness, and risk-taking among SME operators. Keywords: Entrepreneurial Orientation, Entrepreneurial Knowledge, Entrepreneurial Skills.
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