| Peer-Reviewed

Critical Success Factors (CSFs) of SMEs in Nigeria and the Mediating Impact of SMEDAN Initiative Between the CSFs and SMEs’ Success

Received: 5 April 2023     Accepted: 23 April 2023     Published: 10 May 2023
Views:       Downloads:
Abstract

The study is deduced from a Ph.D. thesis that investigated the critical success factors influencing SMEs in Jigawa State, Nigeria. Over twenty-one, critical success factors were identified in the literature review as influencing the success of SMEs across many locations and industries, and seven were considered important for this study. Studies confirmed the need to identify the CSFs that apply to SMEs of a location or industry. The federal government of Nigeria focused on developing entrepreneurship and SMEs to trigger socio-economic development, which resulted in many initiatives, including the establishment of SMEDAN to support the development of SMEs to reduce or eliminate their failure, as envisaged by many researchers. The objective was to discover the CSFs that influence the success of SMEs in Nigeria. The study using a mixed approach, considered the SMEs operating in Jigawa State, Nigeria, and selected a sample of four hundred respondents where 314 answered the self-administered survey questionnaire, and 15 owners/managers answered the semi-structured interview. The application of the SPSS statistical package revealed a higher educational level, prior work experience & management skills, adequate financial resources, and legal & regulatory compliance as influencing the success of SMEs of Jigawa State, Nigeria. Similarly, the SMEDAN initiative mediation between education level and finance resources: and the success of SMEs operating in Jigawa State is influencing their success. The CSFs of SMEs were considered information to be utilized by owners/managers to develop best business practice policies that will trigger socio-economic development by reducing unemployment and poverty in Nigeria. The paper positioned a CSFs model for SMEs operating in Jigawa State, Nigeria, and will serve as information that will be utilized to develop best business practices to mitigate SMEs’ failures.

Published in International Journal of Business and Economics Research (Volume 12, Issue 3)
DOI 10.11648/j.ijber.20231203.11
Page(s) 68-86
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2023. Published by Science Publishing Group

Keywords

Critical Success Factor (CSF), Small and Medium Enterprises, Socio-Economic Development (SED), SMEDAN, Entrepreneurial Factors, Enterprise Factors

References
[1] Rehman, U., Cela, A., Morina, F., & Gura, S. (2019). Barriers to growth of SMEs in Western Balkan countries. Journal of Management Development., 38 (1), 2-24. doi: https://doi.org/10.1108/JMD-09-2018-0273.
[2] Lin, F., Marshall, A., & Wu, W. (2020). Historical Development of Chinese SMEs. In Entrepreneurial Innovation and Economic Development. In Dubai and Comparisons to Its Sister Cities (pp. 86-114). IGI Global.
[3] Stancu, A., Filip, A., Rosca, I., Ionița, D., Caplescu, R., Cânda, A., & Rosca, D. (2020). Value Creation Attributes—Clustering Strategic Options for Romanian SMEs. Sustainability, 12 (17), 7007.
[4] Kurochkina et al., A. A. (2019). Management features of small and medium-sized business enterprises. Revista Espacios, 40 (34).
[5] Stankovic, M., Mrdak, G., & Stojanovic, S. (2018). The importance of small and medium enterprises in the modern economy. Knowledge International Journal, 28 (5), 1619-1624.
[6] Saari, D. (2020). Challenges Faced by SMEs When Accessing Loans from Financial Institutions in Nigeria. A bachelor’s Thesis. Helsinki: Helsinki Metropolia University of Applied Sciences.
[7] Akinbola, A., Sanni, A., & Akinbola, S. (2019). Entrepreneurship Support Agencies (ESA) and Development of Small and Medium Enterprises (SMEs) in Nigeria. Economic Studies & Analyses/Acta VSFS, 13 (1), 29 - 43.
[8] Berezhnytska, U. (2019). Innovative Model of SME Development. Proceedings of the 2019 7th International Conference on Modeling, Development and Strategic Management of Economic System (MDSMES 2019) (pp. 139-143). Atlantis Press.
[9] Merrick, C., & Howard, S. G. (2020). The Importance of Small Business and Entrepreneurship as Strategies to Alleviate Poverty. Social Innovations Journal, 2 (2020) 1-4.
[10] Schorch, M., Seifert, F., Syed, H. A., Kotthaus, C., & Pipek, V. (2020). Doing CSCW research in small and medium enterprises: experiences, options, and challenges. In Proceedings of 18th European Conference on Computer-Supported Cooperative Work. European Society for Socially Embedded Technologies (EUSSET).
[11] Tobar-Pesántez, L., & Solano-Gallegos, S. (2018). The Importance of Small and Medium Enterprises in the City of Cuenca-Ecuador and Their Contribution to the Creation of Employment. Academy of Accounting and Financial Studies Journal, 22 (2), 1-17.
[12] Van, H. T. T., & Ha, D. B. (2017). Small and Medium Enterprises in Vietnam. International Conference of the Korean International Trade Association, 148-161.
[13] Yoshino, N., & Taghizadeh Hesary, F. (2016). Major challenges facing small and medium-sized enterprises in Asia and solutions for mitigating them. Asian Development Bank Institute Working Paper Series, 564 (April 2016). Retrieved from https://www.adb.org/sites/default/files/publication/182532/adbi-wp564.pdf.
[14] Obaje, A. (2020). The impact of strategic planning on the performance of small and medium-sized businesses in Nigeria. Ph.D. Thesis. Cardiff Metropolitan University.
[15] Lussier, R. N. (1995). A nonfinancial business success versus failure prediction mo. Journal of Small Business Management, 33 (1), 8.
[16] Alfaadhel, S. (2010). An Empirical Study of Critical Success Factors for Small and Medium Enterprises in Saudi Arabia: Challenges and Opportunities, Ph.D. thesis. University of Bradford.
[17] Lampadarios, E. (2015). Critical Success Factors (CSFs) for Small Medium Enterprises (SMEs): An Empirical Study in the UK Chemical Distribution Industry. Post-Doctoral thesis. Leeds Beckett University.
[18] Chawla, S. K., Khanna, D., & Chen, J. (2010). Are small business critical success factors the same in different countries? SIES Journal of Management, 7 (1), 1-12.
[19] Marom & Lussier, S. R. (2014). A business success versus failure prediction model for small businesses in Israel. Business and Economic Research, 4 (2), 63-81. doi: http://dx.doi.org/10.5296/ber.v4i2.5997.
[20] Merchant, P., Kumar, A., & Mallik, D. (2018). Factors influencing family business continuity in Indian small and medium enterprises (SMEs). Journal of Family and Economic Issues, 39 (2), 177-190.
[21] Soriano, D. R., & Castrogiovanni, G. J. (2012). The impact of education, experience, and inner circle advisors on SME performance: insights from a study of public development centers. JSTOR Small Business Economics, 38 (3), 333-349.
[22] Azra, S. A. F., & Ummah, M. A. C. S. (2019). Impact of entrepreneur's behavior on small and medium enterprises (SMEs) growth: Special reference to Udunuwara division. Journal of Management, 14 (2), 51-58.
[23] Jawabri, A. (2020). The impact of big-5 model leadership traits on team entrepreneurship: An empirical study of small businesses in the UAE. Management Science Letters, 10 (3), 497-506.
[24] Leonelli, S., & Masciarelli, F. (2020). Entrepreneurial Personality and Small Business Management: Is There a Narcissist in Every Successful Entrepreneur? Edward: Elgar Publishing.
[25] Isaga, N. (2018). The relationship of personality to cognitive characteristics and SME performance in Tanzania. Journal of Small Business and Enterprise Development, 25 (4), 667-686.
[26] Zhou, M., Zhou, Y., Zhang, J., Obschonka, M., & Silbereisen, R. K. (2019). Person–city personality fit and entrepreneurial success: An explorative study in China. International Journal of psychology, 54 (2), 155-163.
[27] Anwar, M., Nidar, S. R., Komara, R., & Layyinaturrobaniyah, L. (2019). Rural bank efficiency and loans for micro and small businesses: evidence from West Java Indonesia. International Journal of Emerging Markets, 15 (3), 587-610.
[28] Kickul, J., & Gundry, L.. (2002). Prospecting for strategic advantage: The proactive entrepreneurial personality and small firm innovation. Journal of small business management, 40 (2), 85-97.
[29] Karpak, B. & Topcu, I. (2011). Small-medium manufacturing enterprises in Turkey: An analytic network process framework for prioritizing factors affecting success. International Journal of Production Economics, 125, 60–70.
[30] Rosa, P., Hamilton, D., Cater, S., & Burns, H. (1994). The Impact of Gender on Small Business Management: Preliminary Findings of a British Study. International Small Business Journal, 12 (3): 25-32.
[31] Loscocco, K. A., Robinson, J., Hall, R. H., & Allen, J. K. (1991). Gender and Small Business Success: An Inquiry into Women's Relative Disadvantage. JSTOR Social Forces, 70 (1), 65-85.
[32] Stranger, A., Roffey, B., Forsaith, D., Mcinnes, E., Petrone, F., Symes, C., & Xydias, M. (2002). Gender Differences in Small Business Owner-Managers: Implications for Accountants and other Providers of Assistance and Advice. Sage Journals, 3 (2). doi: https://doi.org/10.5367/000000002101299097.
[33] Chirwa, E. W. (2008). Effects of gender on the performance of micro and small enterprises in Malawi. Development Southern Africa, 25 (3), 347-362.
[34] Eitel, B. (2019). How gender and age Impact small businesses today. Retrieved September 26, 2020, from Lendio: https://www.lendio.com/blog/small-business-tools/gender-age-impact-small-businesses/
[35] Haus, I., Steinmetz, H., Isidor, R., & Kabst, R. (2013). Gender effects on entrepreneurial intention: a meta-analytical structural equation model. International Journal of Gender and Entrepreneurship, 5 (2), 130-156. doi: https://doi.org/10.1108/17566261311328828.
[36] MacGregor, R. C., & Vrazalic, L. (2006). E-commerce adoption barriers in small business and the differential effects of gender. Journal of Electronic Commerce in Organizations (JECO), 4 (2), 1-24.
[37] Cowling, M., Marlow, S., & Liu, W. (2019). Gender and bank lending after the global financial crisis: are women entrepreneurs safer bets? Small Business Economics, 1–28.
[38] Jadiyappa, N., Jyothi, P., Sireesha, B., & Hickman, L. E. (2019). CEO gender, firm performance and agency costs: evidence from India. Journal of Economic Studies, 46 (2), 482-495.
[39] Yacus, A. M., Esposito, S. E., & Yang, Y. (2019). The Influence of Funding Approaches, Growth Expectations, and Industry Gender Distribution on High-Growth Women Entrepreneurs. Journal of Small Business Management, 57 (1), 59-80.
[40] Bolton, D. L., & Lane, M. D. (2012). Individual entrepreneurial orientation: Development of a measurement instrument. Education+ Training, 54 (2/3), 219-233.
[41] Goulap, J. B. (2020). Entrepreneurial Orientation and Business Performance: An Assessment of Start-up Companies. International Journal of Engineering and Management Research (IJEMR), 10 (2), 151-163.
[42] Oni, O., Agbobli, E. K., & Iwu, C. G. (2019). Entrepreneurial Orientation and Performance of Small Business in Vryburg Region Northwest Province South Africa. Journal of Reviews on Global Economics, 8, 63-71.
[43] Chienwattanasook, K., & Jermsittiparsen, K. (2019). Influence of Entrepreneurial Orientation and Total Quality Management on Organizational Performance of Pharmaceutical SMEs in Thailand with Moderating Role of Organizational Learning. Systematic Reviews in Pharmacy, 10 (2), 223-233.
[44] Ferreira, J., Coelho, A., & Moutinho, L. (2020). Dynamic capabilities, creativity, and innovation capability and their impact on competitive advantage and firm performance: The moderating role of entrepreneurial orientation. Technovation, 92, 102061.
[45] Nkwabi, J., & Mboya, L. (2019). A Review of Factors Affecting the Growth of Small and Medium Enterprises (SMEs) in Tanzania. European Journal of Business and Management, 33 (1), 1-8.
[46] Amarteifio, E. N. A., & Agbeblewu, S. (2017). Level of Education, Business Experience, and Small and Medium Enterprise Performance in the Accra Metropolis of Ghana. Int. J. of Multidisciplinary and Current Research, 5.
[47] Bawono, I. R., Arofah, T., & Ubay, B. M. S. (2020). The Effect of Accounting Information and Internal Characteristics of Entrepreneurs toward SMEs Productivity. Journal Ilmiah MEA (Manajemen, Ekonomi, & Akuntansi), 4 (3), 337-356.
[48] Kankisingi, G. M., & Dhliwayo, S. (2016). The Impact of Educational Level on Behaviour during Knowledge Transfer in Small and Medium Enterprises (SMEs). SGBED wishes to recognize the following sponsors, 344.
[49] Charney, A. & Libecap, G. (2000). The impact of entrepreneurship education: an evaluation of the berger entrepreneurship program at the University of Arizona. Kauffman Research Series, 1985-1999.
[50] Daneji, A. A., Shavarebi, K., & Yap, J. B. H. (2019). Owner-manager characteristics influence on the SME's innovation orientation of SMEs: A literature exploration. International Journal, 1 (2), 01-12.
[51] Zhao, H., O'Connor, G., Wu, J., & Lumpkin, G. T. (2020). Age and entrepreneurial career success: A review and a meta-analysis. Journal of Business Venturing, 106007.
[52] Zhang, T., & Acs, Z. (2019). Different age effects by entrepreneur types: an investigation on US boomer entrepreneurs. In Handbook of Research on Entrepreneurship and Aging. Edward: Elgar Publishing.
[53] Chipunza, L. T., & Naong, M. N. (2020). Demographic variables as drivers of innovation in small accommodation businesses: A case of South Africa and Zimbabwe. African Journal of Science, Technology, Innovation, and Development, 1-9.
[54] Majumdar, S. K. (1997). The impact of size and age on firm-level performance: Some evidence from India. JSTOR Revie of Industrial Organization, 12 (2), 231-241.
[55] Hui, H., Jasimah, C., Jenatabadi, H. S., & Abu Kasim, F. (2013). The Impact of Firm Age and Size on the Relationship among Organizational Innovation, Learning, and Performance: A Moderation Analysis in Asian Food Manufacturing Companies. Interdisciplinary Journal of Contemporary Research in Business, 5 (4), 166-174.
[56] Vu, T. H., Nguyen, V. D., Ho, M. T., & Vuong, Q. H. (2019). Determinants of Vietnamese listed firm performance: Competition, wage, CEO, firm size, age, and international trade. Journal of Risk and Financial Management, 12 (2), 62.
[57] Yeni, F., Melmusi, Z., Wulandari, E., & Ilona, D. (2020). The Effect of the Board of Directors Characteristics on Company Value. 8th International Conference of Entrepreneurship and Business Management Untar (ICEBM 2019) (pp. 52-56). Atlantis Press.
[58] Rezaei, R. & Shabani, A. (2015). A study of the effect of firm size and quality of disclosure on the cost of company common stock disclosure on the cost of company common stock. International Journal of Innovation and Applied Studies, 10, 1038-1045.
[59] Widiatmoko, J., & Indarti, M. G. K. (2017). The Influence of Corporate Governance and company characteristics on intellectual capital disclosures. Advanced Science Letters, 23, 7059-7061.
[60] Abdullah, M. D. S., Ardiansah, N. M., & Hamidah, N. (2017). The Effect of Company Size, Company Age, Public Ownership and Audit Quality on Internet Financial Reporting. Sriwijaya International Journal of Dynamic Economics and Business, 1 (2), 153-166.
[61] Dobbs M. & Hamilton R. T. (2007). Small business growth: recent evidence and new directions. International Journal of Entrepreneurial Behaviour and Research, 13 (5), 296–322.
[62] Chell, E. & Baines, S. (2000). Networking, entrepreneurship, and microbusiness behavior. Entrepreneurship and Regional Development, 12, 195–215.
[63] Todeva, E. (2011). Business Networks. Twickenham: St Mary's University.
[64] Ricciardi, F., Zardini, A., & Rossignoli, C. (2018). Business network commons and their fragilities: Emerging configurations of local organizational fields. Journal of Business Research, 89, 328-335.
[65] Surin, E. F., Edward, O. T., Hussin, M. H. F., & Ab Wahab, I. (2016). Recognizing The Importance of Strategic Business Network On Business Performance Of SME Manufacturing Firms In Malaysia: Analyzing The Moderating Influence Of Human Capital And Business and business environment. International Journal of Arts & Sciences, 9 (4), 31-44.
[66] Burt, R. S. (2019). Network disadvantaged entrepreneurs: Density, hierarchy, and success in China and the West. Entrepreneurship. Theory and Practice, 43 (1), 19-50.
[67] Kristiansen, S., Furuholt, B. and Wahid, F. (2003). Internet cafe entrepreneurs: pioneers in information dissemination in Indonesia. The International Journal of Entrepreneurship and Innovation, 4 (4), 251-263.
[68] Bowersox, D. J. (2013). Supply chain logistic management. Singapore: McGraw Hill.
[69] Koy, S., Shipley, M. and Omer, K. (2007). Factors contributory to Success: A study of Pakistani’s small business owners. Journal of Developmental Entrepreneurship, 12 (2), 181-198.
[70] Ozaydin, H. (2020). Social customer relationship management: New Communication Approaches in the Digitalized World. In E. E. Mehmet Serdar Erciş, Customer Relationship Management in Small Businesses (pp. 363- 377). Cambridge Scholars.
[71] Hassan, S. H., Haniba, N. M. M., & Ahmad, N. H. (2019). Social customer relationship management (s-CRM) among small and medium-sized enterprises (SMEs) in Malaysia. International Journal of Ethics and Systems, 35 (2), 284-302.
[72] Chen, I. J. & Popovich, K. (2003). Understanding customer relationship management (CRM): People, process, and technology. Business Process Management Journal, 9 (5), 672-688.
[73] Bukola, A. A., Abosede, A. G., & Adesola, M. A. (2019). Customer Relationship Management and Small and Medium Enterprises Performance: Pragmatic Evidence from Oyo State, Nigeria. Asian Journal of Education and Social Studies, 5 (2), 1-9.
[74] Sexton, D. L., Upton, N. B., Wacholtz, L. E. and McDougall, P. P. (1997). Learning needs of growth-oriented entrepreneurs. Journal of Business Venturing, 12 (1), 1-8.
[75] Kim, P. H., Aldrich, H. E., & Keister, L. A. (2003). If I were rich? The impact of financial and human capital on becoming a nascent entrepreneur. Annual Meeting of the American Sociological Association. Atlanta.
[76] Zin, M. L. M., & Ibrahim, H. (2020). The influence of entrepreneurial support on business performance among rural entrepreneurs. Annals of Contemporary Developments in Management & HR (ACDMHR), Print ISSN, 2632-7686.
[77] Mbanugo, C. I., Nwannah, N. L., & Udegbunam, E. O. (2020). Financial Management Practices Applied by Entrepreneurs for Operations of Small and Medium Scale Enterprises International Scholar Journal of Arts and Social Science Research, 3 (1), 76-83.
[78] Rahim, H., & Abu Bakar, S. M. (2014). The impact of financial resources management on SME performance. International Journal of Humanities and Social Science, 4 (9), 198-200.
[79] Muneer, S., Ahmad, R. A., & Ali, A. (2017). Impact of financial management practices on SMEs profitability with moderating role of agency cost. Information Management and Business Review, 9 (1), 23-30.
[80] Qamariah, I., & Muchtar, Y. C. (2019). Analyzing business performance of small and medium enterprises (SMEs) based on human capital, social capital, and competitive advantage. Eco Forum Journal, 8 (2), 2019.
[81] Galabova, L., & McKie, L. (2013). The five fingers of my hand”: human capital and well-being in SMEs. Personnel Review, 42 (6), 662-683. doi: http://dx.doi.org/10.1108/PR-01-2012-0017.
[82] Farace, S., & Mazzotta, F. (2015). The effect of human capital and networks on knowledge and innovation in SMEs. Journal of Innovation Economics Management, (1), 39-71.
[83] Li, P., Zheng, S., Si, H., & Xu, K. (2019). Critical challenges for BIM adoption in small and medium-sized enterprises: evidence from China. Advances in Civil Engineering. Retrieved from https://www.hindawi.com/journals/ace/2019/9482350/.
[84] Vixathep, S., & Phonvisay, A. (2019). Human capital, innovation, and entrepreneurship in micro and small businesses in Laos. In Innovation in Developing Countries (pp. 99-121). Singapore: Springer.
[85] Xu, J., & Li, J. (2019). The impact of intellectual capital on SMEs’ performance in China. Journal of Intellectual Capital, 20 (4), 488-509.
[86] Wu, B., & Deng, P. (2020). Internationalization of SMEs from emerging markets: An institutional escape perspective. Journal of Business Research, 108, 337-350.
[87] Javalgi, R. R. G., & Todd, P. R. (2011). Entrepreneurial orientation, management commitment, and human capital: The internationalization of SMEs in India. Journal of Business Research, 64 (9), 1004-1010.
[88] Etemad, H., & Wright, R. W. (2003). Internationalization of SMEs: Toward a new paradigm. Small Business Economics, 1-4.
[89] Bagheri, M., Mitchelmore, S., Bamiatzi, V., & Nikolopoulos, K. (2019). Internationalization orientation in SMEs: The mediating role of technological innovation. Journal of International Management, 25 (1), 121-139.
[90] Freixanet, J., & Renart, G. (2020). A capabilities perspective on the joint effects of internationalization time, speed, geographic scope, and managers’ competencies on SME survival. Journal of World Business, 55 (6), 101110.
[91] Spacey, J. (2017). Market development vs. product development. Retrieved October 3, 2020, from Simplicable: https://simplicable.com/new/market-development-vs-product-development
[92] Krishnan, V., & Ulrich, K. T. (2001). Product development decisions: A review of the literature. Management Science, 47 (1), 1-21.
[93] Barringer, B. R. & Jones, F. F. (2004). Achieving rapid growth - revisiting the managerial capacity problem. Journal of Developmental Entrepreneurship, 9 (1), 73-87.
[94] Digman, L. A. (1990). Strategic Management: Concepts, Decisions, Cases, 2nd ed. Homewood, IL: Irwin.
[95] Cooper, R. G. (2019). The drivers of success in new-product development. Industrial Marketing Management, pp. 76, 36–47.
[96] Abosede, A. J., Obasan, K. A., & Alese, O. J.. (2016). Strategic management and Small and Medium Enterprises (SMEs) development: A review of literature. International Review of Management and Business Research, 5 (1), 315-335.
[97] Cohen, H. (2011). 72 marketing definitions. Retrieved October 4, 2020, from Actionable Marketing Guide: https://heidicohen.com/marketing-definition/.
[98] Sadiku-Dushi, N., Dana, L. P., & Ramadani, V. (2019). Entrepreneurial marketing dimensions and SMEs performance. Journal of Business Research, 100, 86-99.
[99] Hawkins, D. I., & Mothersbaugh, D. L. (2013). Consumer behavior building marketing strategy. New York: McGraw-Hill Education.
[100] Nwankwo, C. A., & Kanyangale, M. (2020). Deconstructing entrepreneurial marketing dimensions in small and medium-sized enterprises in Nigeria: a literature analysis. International Journal of Entrepreneurial Venturing, 12 (3), 321-341.
[101] Yusfiarto, R., & Pambekti, G. T. (2019). Do internet marketing factors with Islamic value improve SMEs' performance? Journal of Islamic Monetary Economics and Finance, 5 (4), 807-828.
[102] Eze, S. C., Chinedu-Eze, V. C., Bello, A. O., Inegbedion, H., Nwanji, T., & Asamu, F. (2019). Mobile marketing technology adoption in service SMEs: a multi-perspective framework. Journal of Science and Technology Policy Management.
[103] Salam, S., & Hoque, A. S. M. M. (2019). The Role of social media and Effect of Relationship Marketing on SME Performance in Bangladesh: Multi-Group CFA. Asian People Journal (APJ), 2 (1), 12-31.
[104] Gumel, B. I. (2019). The impact of strategic planning on the growth of small businesses in Nigeria. SEISENSE Journal of Management, 2 (1), 69-84.
[105] Snyder, N. H. (1982). Research notes and communications. Strategic Management Journal, 3 (3), 265 267.
[106] Daniel, O. A., Oluyomi, A. P., Felix, T. S., & Daniel, O. C. (2020). Empirical Evaluation of Strategic planning and sustainable business growth performance of small and medium enterprises (SMEs). International Journal of Innovative Research and Advanced Studies (IJIRAS), 7 (5), 181-190.
[107] Delmar, F., & Shane, S. (2003). Does business planning facilitate the development of new ventures? Strategic management journal, 24 (12), 1165–1185.
[108] Gică, O. A., & Negrusa, A. L.. (2011). The impact of strategic Planning Activities on Transylvanian SMEs-empirical research. Procedia-Social and Behavioral Sciences, 24, 643-648.
[109] Onyshchenko, S., Maslii, O., & Ivaniuk, B. (2020). The Impact of the External Environment on the Economic Security of Ukrainian Business. ЕКОНОМІКА І РЕГІОН Науковий вісник, 1 (76), 22-29.
[110] Worthington, I. & Britton, C. (2009). The Business Environment, 6th edition. Harlow, Essex: Financial Times Prentice Hall.
[111] Wetherly, P. & Otter, D. (2014). (2014). The business environment: themes and issues in a globalizing world, 3rd edition. Oxford: Oxford University Press.
[112] Olaoye, D., Adebayo, S., Francis, D., Akintola, A., Olusola, M., & Cornelius, N. (2019). Microeconomics Variables: Evidence on Credit Facility Obtained by SMEs in Nigeria. Netufo Cornelius, Microeconomics Variables: Evidence on Credit Facility Obtained by SMEs in Nigeria. American Based Research Journal, 8 (12).
[113] Alper, E., Clements, B., Hobdari, N., & Moya Porcel, R. (2020). Do interest rate controls work? Evidence from Kenya. Review of Development Economics, 24 (3), 910-926.
[114] Dobeš, K., Virglerová, Z., & Kramoliš, J. (2019). Impact of selected factors on the perception of SMEs' macroeconomic and financial environment (empirical study from the Czech Republic and Slovak Republic). Scientific papers of the University of Pardubice, 45/2019.
[115] Kissi, E., Amoah, P., Ahadzie, D. K., & Debrah, C. (2019). Critical risk factors in the pricing of construction resources of SME construction firms in Ghana. 43RD AUBEA, (p. 341).
[116] Rajak, P. K. (2020). Impact of foreign direct investment in micro, small-medium enterprises (MSME) in India. Mukt Shabd Journal, IX (V), 2347-3150.
[117] Saddiq, S. A., & Bakar, A. S. A. (2019). Impact of economic and financial crimes on economic growth in emerging and developing countries. Journal of Financial Crime, 26 (3), 910-920.
[118] Kozubikova, L., Kotaskova, A., Dvorský, J., & Ključnikov, A. (2019). The impact of political factors' perception on the suitability of international business environment: the case of startups. Economics & Sociology, 12 (1), 61-79.
[119] Belas, J., Belas, Ľ., Čepel, M., & Rózsa, Z. (2019). The impact of the public sector on the quality of the business environment in the SME segment. Administratie si Management Public, 32, 18-31.
[120] Zhang, D., & Guo, Y. (2019). Financing R&D in Chinese private firms: Business associations or political connection? Economic Modelling, 79, 247-261.
[121] Eziokwu, C. D. & Onuoha, B. C. (2019). Political Uncertainties and Growth of Small and Medium Scale Enterprises (SMEs): Rivers State experience. International of Sustainable Development, 12 (1), 16-23.
[122] Samuel, T. E. (2019). Effect of social insecurity on the development of small businesses in the Niger Delta region of Nigeria. International Journal in Management and Social Science, 7 (5), 32-50.
[123] Sifuna, F. M. (2018). The impact of crime on business performance in Kenya: a case of small scale and micro enterprises in Garissa town (Doctoral dissertation). Nairobi, Kenya: University of Nairobi.
[124] Hofstede, G., Bond, M. (1988). The Confucius connection: From cultural roots to economic growth. Organizational Dynamics, 15 (1), 4-21.
[125] Thornton, P. H., Ribeiro-Soriano, D., & Urbano, D. (2011). Socio-cultural factors and entrepreneurial activity: An overview. International small business journal, 29 (2), 105-118.
[126] Chrisman, J. J., Chua, J. H., & Steir, L. P. (2002). The influence of national culture and family involvement on entrepreneurial perceptions and performance at the state level. Entrepreneurship Theory and Practice, 26 (4), 113-131.
[127] Kadam, R., Rao, S., Abdul, W. K., & Jabeen, S. S. (2019). Impact of cultural intelligence on SME performance. Journal of Organizational Effectiveness: People and Performance, 6 (3), 161-185.
[128] Eniola, A. A., Olorunleke, G. K., Akintimehin, O. O., Ojeka, J. D., & Oyetunji, B. (2019). The impact of organizational culture on total quality management in SMEs in Nigeria. Heliyon, 5 (2019), e02293.
[129] Kareem, A. O., Jiboye, T. F., Adejumo, O. O., & Akinyosoye, M. O. (2020). Socio-cultural factors and performance of the small-scale enterprise in agro-allied manufacturing firms in Nigeria. In The Palgrave Handbook of Agricultural and Rural Development in Africa (pp. 495-512). Palgrave: Macmillan.
[130] McGuire, J. B., Sundgren, A., & Schneeweis, T. (1988). Corporate social responsibility and firm financial performance. Academy of Management Journal, 31 (4), 854-872.
[131] Agudelo, M. A. L., Jóhannsdóttir, L., & Davídsdóttir, B. (2019). A literature review of the history and evolution of corporate social responsibility. International Journal of Corporate Social Responsibility, 4 (1), 1.
[132] Debelle, G. (2019). Climate change and the economy. Public Forum hosted by the Centre for Policy Development. Sydney.
[133] Stone, A., & Levy, B. & Paredes, R. (1996). Public institutions and private transactions: a regulatory environment for business. In S. Levy, Empirical studies in institutional change (pp. 95-126). New York, NY: Cambridge University Press.
[134] Palmer, A. &. (2012). The business environment, 7th Ed. London: McGraw-Hill Higher.
[135] Kirkpatrick, C., & Parker, D. (2004). Regulatory impact assessment—an overview. Edward Elgar Publishing.
[136] SMEDAN. (2020). Home Page. Retrieved September 18, 2020, from SMEDAN: https://smedan.gov.ng/
[137] Baltzan, P. (2015). Business Driven Technology. New York: McGraw-Hill Irwin.
[138] Osmyatchenko, V., Oliinyk, V., Mazina, O., Matselyukh, N., Ilin, V., & Orzeł, A. (2019). The influence of global technological changes on principles and function of accounting and formation of the organization strategy. Journal of Security & Sustainability, 8 (4).
[139] Belik, E. B., Petrenko, E. S., Pisarev, G. A., & Karpova, A. A. (2019). Influence of technological revolution in the sphere of digital technologies on modern entrepreneurship. Institute of Scientific Communications Conference, (pp. 239-246).
[140] The Climate Finance Challenge. (2020). Small and medium enterprises development agency (SMEDAN). Retrieved October 24, 2020, from devex: https://www.devex.com/organizations/small-and-medium-enterprise-development-agency-smedan-137356
[141] SMEDAN REG Portal. (2020). Home. Retrieved October 24, 2020, from Smedan: https://smedanregister.ng/
[142] SMEDAN Mandate. (2020). The mandate of SMEDAN is contained in the enabling Act. Retrieved October 24, 2020, from SMEDAN: https://smedan.gov.ng/about/
[143] Okunade, T. (2019). SMEDAN to move 40 million informal businesses to the formal sector, registers MSMEs. Retrieved October 24, 2020, from Nairametrics: https://nairametrics.com/2019/12/23/smedan-to-move-40-million-informal-businesses-to-formal-sector-registers-msmes/
[144] Akpoviroro, K. S. (2019). Moderating influence of training and development on entrepreneurial performance: A case of SMEDAN Nigeria. Strategii Manageriale, 11 (44), 45-55.
[145] Abubakar, S., & Junaidu, A. S. (2019). External Environmental Factors and Failure of Small and Medium Enterprises in Kano Metropolis. Asian Journal of Economics and Empirical Research, 6 (2), 180-185.
[146] Collis, J. & Hussey, R. (2014). Business Research: A practical guide for undergraduate and postgraduate students (4th.). Basingstoke: Palgrave Macmillan.
[147] Apuke, O. D. (2017). Quantitative research methods a synopsis approach. Arabian Journal of Business and Management Review (Kuwait Chapter), 6 (10), 40-47.
[148] Hussey, J., & Hussey, G. (1997). Business Research: A Practical Guide for Undergraduate and Postgraduate Students. Basingstoke: Macmillan Business.
[149] Cooper, P., & Schindler, S. (2017). Business research methods. New York: McGraw Hill Education.
[150] Lind, D. A., Marchal, W. G., & Wathen, S. A. (2015). Statistical techniques in business and economics (Ed. 16th). New York: McGraw Hill.
[151] Salkind, N. J. (2010). Encyclopedia of Research Design. Sage. doi: https://dx.doi.org/10.4135/9781412961288.n453.
[152] Chawla. D. & Sondhi, N. (2011). Research methodology concepts and cases. New Delhi: Vikas Publishing House PVT LTD.
[153] Saunders, M., Lewis, P., & Thornhill, A. (2019). Research methods for business students (8th ed). London: Pearson.
Cite This Article
  • APA Style

    Babandi Ibrahim Gumel, Barjoyai Bin Bardai. (2023). Critical Success Factors (CSFs) of SMEs in Nigeria and the Mediating Impact of SMEDAN Initiative Between the CSFs and SMEs’ Success. International Journal of Business and Economics Research, 12(3), 68-86. https://doi.org/10.11648/j.ijber.20231203.11

    Copy | Download

    ACS Style

    Babandi Ibrahim Gumel; Barjoyai Bin Bardai. Critical Success Factors (CSFs) of SMEs in Nigeria and the Mediating Impact of SMEDAN Initiative Between the CSFs and SMEs’ Success. Int. J. Bus. Econ. Res. 2023, 12(3), 68-86. doi: 10.11648/j.ijber.20231203.11

    Copy | Download

    AMA Style

    Babandi Ibrahim Gumel, Barjoyai Bin Bardai. Critical Success Factors (CSFs) of SMEs in Nigeria and the Mediating Impact of SMEDAN Initiative Between the CSFs and SMEs’ Success. Int J Bus Econ Res. 2023;12(3):68-86. doi: 10.11648/j.ijber.20231203.11

    Copy | Download

  • @article{10.11648/j.ijber.20231203.11,
      author = {Babandi Ibrahim Gumel and Barjoyai Bin Bardai},
      title = {Critical Success Factors (CSFs) of SMEs in Nigeria and the Mediating Impact of SMEDAN Initiative Between the CSFs and SMEs’ Success},
      journal = {International Journal of Business and Economics Research},
      volume = {12},
      number = {3},
      pages = {68-86},
      doi = {10.11648/j.ijber.20231203.11},
      url = {https://doi.org/10.11648/j.ijber.20231203.11},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20231203.11},
      abstract = {The study is deduced from a Ph.D. thesis that investigated the critical success factors influencing SMEs in Jigawa State, Nigeria. Over twenty-one, critical success factors were identified in the literature review as influencing the success of SMEs across many locations and industries, and seven were considered important for this study. Studies confirmed the need to identify the CSFs that apply to SMEs of a location or industry. The federal government of Nigeria focused on developing entrepreneurship and SMEs to trigger socio-economic development, which resulted in many initiatives, including the establishment of SMEDAN to support the development of SMEs to reduce or eliminate their failure, as envisaged by many researchers. The objective was to discover the CSFs that influence the success of SMEs in Nigeria. The study using a mixed approach, considered the SMEs operating in Jigawa State, Nigeria, and selected a sample of four hundred respondents where 314 answered the self-administered survey questionnaire, and 15 owners/managers answered the semi-structured interview. The application of the SPSS statistical package revealed a higher educational level, prior work experience & management skills, adequate financial resources, and legal & regulatory compliance as influencing the success of SMEs of Jigawa State, Nigeria. Similarly, the SMEDAN initiative mediation between education level and finance resources: and the success of SMEs operating in Jigawa State is influencing their success. The CSFs of SMEs were considered information to be utilized by owners/managers to develop best business practice policies that will trigger socio-economic development by reducing unemployment and poverty in Nigeria. The paper positioned a CSFs model for SMEs operating in Jigawa State, Nigeria, and will serve as information that will be utilized to develop best business practices to mitigate SMEs’ failures.},
     year = {2023}
    }
    

    Copy | Download

  • TY  - JOUR
    T1  - Critical Success Factors (CSFs) of SMEs in Nigeria and the Mediating Impact of SMEDAN Initiative Between the CSFs and SMEs’ Success
    AU  - Babandi Ibrahim Gumel
    AU  - Barjoyai Bin Bardai
    Y1  - 2023/05/10
    PY  - 2023
    N1  - https://doi.org/10.11648/j.ijber.20231203.11
    DO  - 10.11648/j.ijber.20231203.11
    T2  - International Journal of Business and Economics Research
    JF  - International Journal of Business and Economics Research
    JO  - International Journal of Business and Economics Research
    SP  - 68
    EP  - 86
    PB  - Science Publishing Group
    SN  - 2328-756X
    UR  - https://doi.org/10.11648/j.ijber.20231203.11
    AB  - The study is deduced from a Ph.D. thesis that investigated the critical success factors influencing SMEs in Jigawa State, Nigeria. Over twenty-one, critical success factors were identified in the literature review as influencing the success of SMEs across many locations and industries, and seven were considered important for this study. Studies confirmed the need to identify the CSFs that apply to SMEs of a location or industry. The federal government of Nigeria focused on developing entrepreneurship and SMEs to trigger socio-economic development, which resulted in many initiatives, including the establishment of SMEDAN to support the development of SMEs to reduce or eliminate their failure, as envisaged by many researchers. The objective was to discover the CSFs that influence the success of SMEs in Nigeria. The study using a mixed approach, considered the SMEs operating in Jigawa State, Nigeria, and selected a sample of four hundred respondents where 314 answered the self-administered survey questionnaire, and 15 owners/managers answered the semi-structured interview. The application of the SPSS statistical package revealed a higher educational level, prior work experience & management skills, adequate financial resources, and legal & regulatory compliance as influencing the success of SMEs of Jigawa State, Nigeria. Similarly, the SMEDAN initiative mediation between education level and finance resources: and the success of SMEs operating in Jigawa State is influencing their success. The CSFs of SMEs were considered information to be utilized by owners/managers to develop best business practice policies that will trigger socio-economic development by reducing unemployment and poverty in Nigeria. The paper positioned a CSFs model for SMEs operating in Jigawa State, Nigeria, and will serve as information that will be utilized to develop best business practices to mitigate SMEs’ failures.
    VL  - 12
    IS  - 3
    ER  - 

    Copy | Download

Author Information
  • Department of Finance, Faculty of Business Administration, LIGS University, Honolulu, Hawaii, USA

  • Department Business Administration, Faculty of Administrative and Management Sciences, Al-Madinah International University, Kuala Lumpur, Malaysia

  • Sections