Volume 07 Issue 06 June 2024
1Ojo, Oloruntimilehin S,2Ijaiya, Gafar, T.(Ph.D.),3Oyedeji, Oluwasanmi,4Adebowale, Hammed A,5Megbowon, Ebenezer T.(Ph.D.),6Ademokoya, Joshua, I.
1,3Department of Liberal Studies, Economics’ Unit, Federal Polytechnic, Ado-Ekiti, Nigeria.
2,4Department of Economics, University of Ilorin, Nigeria
5Department of Economics and Business Science, Walter Sisulu University, South Africa.
6Department of Marketing, Federal Polytechnic, Ado-Ekiti, Nigeria.
DOI : https://doi.org/10.47191/ijsshr/v7-i06-50Google Scholar Download Pdf
ABSTRACT
Considering the enormous contributions of Small and Medium Scale Enterprises’ (SMEs) towards economic growth, employment generation and poverty alleviation across nations of the world, makes it impossible to de-emphasize its significant roles in bringing about desired development within an economy despite the various challenges confronting this sector. This study therefore seeks to investigate the determinants of the growth of small and medium scale enterprises in Ado-Ekiti Metropolis. The objectives of the study include assessing influence of technology and managerial competence on Small and Medium Scale Enterprises (SMEs) growth. Descriptive research design and ordinary least square techniques were used in analysing the primary data generated through the administered copies of questionnaire. Results obtained indicated that both technology and managerial competence positively impacted on the growth of SMEs in Ado-Ekiti. It is therefore concluded that technology and managerial competence have contributed to the growth of SMEs in Ado-Ekiti Metropolis but not as much as projected. Hence, it is recommended that improved technology should be adopted by SMEs coupled with competent management team to enable them produce at optimal level and to further engender their growth.
SUMMARY OF THE ARTICLE
The study explored the determinants of SMEs Growth in Ado-Ekiti Metropolis, Ekiti State, Nigeria. Simple percentages and Ordinary Least Squares technique of estimation were used in achieving the objectives of the study which are finding out if managerial competence can stimulate SMEs growth and likewise if technology impacts. From the study it was found that both factors significantly and positively impact the growth of the SMEs within the metropolis. Business registration and SMEs growth were found to be directly related implying that any business that is registered has the potential of growing faster than those that are not.
It therefore follows that private small business owners should be ready to invest more on the training and development of their personnel so as to further boost their productivity and ultimately the growth of SMEs. In the same manner, they should embrace the use of modern technology either locally invented where available or foreign technology in the absence of the former. Moreover, SMEs desirous of business expansion should formalise their business activities to enhance their greater acceptability in business world.
SMEs Growth, Technology, Managerial competence, Employment generation, Poverty alleviation
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