The Effect Of Environmental Factors On The Performance Of Small And Medium Scale Business In Nigeria

1.5 SIGNIFICANCE OF THE STUDY

This study will be highly useful after its completion for both current and future entrepreneurs, business organizations and the government. This research study on the effects of environment factors on performance of small scale business in Oshimili North Local Government Area would have considerable benefits on the small scale business operating within this business environment in that it would;

Help these businesses become sensitive to the uncontrollable external environmental factors impinging on the performance of their businesses and how they can effectively manage these factors and top the opportunities for enhanced productivity and profitability.

To an entrepreneur: The knowledge obtained from this study will enable them to know how critical environmental factors are and how to effectively manage these factors for the survival and growth of small scale businesses.

To organizations and the society: The study will equally be useful to organization and the society at large in the sense that knowledge about technological advancement generation through small scale business source of credit facilities to establish small business will be acquired.

To the Government:   This research will also be useful to the government in the formulation of policies towards small scale enterprises development in Nigeria. It will also help the government to identify the importance of small scale enterprises in the achievement of economic growth and development in Nigeria.

1.6 SCOPE AND LIMITATION OF THE STUDY

This study covers environmental factors and its effects on the performance of small scale businesses in Oshimili North Local Government Area. The study basically focused on the challenges of these businesses managing the dynamic nature of their business environment in achieving organizational performance.

The researcher encounters some constraints which limited the scope of the study;

FINANCE: Due to the nature of office and business within the scope, the researcher spends a lot of money on visiting, traveling from one location to another, from one business organization to the other and even had to repeat a visit more than three times to seek for information, all these involves money considering the financial constraint of the researcher and limited resources available to him/her.

 SOURCES OF INFORMATION: Many registered and non-registered business owners were reluctant to give out or provide information about the research, since the researcher was not related or close enough to them.

INADEQUATE RECORD KEEPING: Some of the respondents visited were unable to present complete and comprehensive records of their business, while some were not keeping proper records of their business activities and as such could not give adequate and correct information on the effect of entrepreneurship on their businesses.

TIME: Time constraint has been another vital limitation and obstacle towards effective realization of the main objectives of this study. Time was really not on my side since I have to combine the little time left with my academic work and preparation.