EFFECT OF ENTREPRENEURSHIP ON THE DEVELOPMENT OF SMALL AND MEDIUM SCALE ENTERPRISES IN ENUGU METROPOLIS

Abstract

This study is on the effect of entrepreneurship on the development of small and medium scale enterprises in Enugu metropolis. The objectives of the study are to examine the effect of idea generation on sustainability of SMEs and ascertain the effect of Opportunity evaluation on the equity of SMEs in Enugu state. The study employed descriptive survey design. The population of the study consists of the owners and senior staff of the selected SMEs in Enugu metropolis with the total population of three hundred and sixty-four (364). The study made use of the whole population as its sample size due to small number. Data from the questionnaire were administered and analyzed using simple percentages, mean and standard deviation, and the research hypotheses were tested using Z – test. The findings of the study revealed that idea generation had significant positive effect on sustainability of SMEs in Enugu State, Z (95, n = 319), 9.980< 10.750, P. <. 05 and that opportunity evaluation had significant positive effect on the equity of SMEs in Enugu state, Z (95, n = 319), 9.350 < 10.260, P. <. 05. The study concludes that the essence of entrepreneurship lies in the perception and exploitation of new opportunities in the realm of business. It always has to do with bringing about a different use of national resources in that they are withdrawn from their traditional employ and subjected to new combinations. The study among other things recommended that SMEs should endeavour to have idea generation to facilitate development and communication of new ideas and concepts, which become the basis of our innovative strategies.