Advanced Management

STRATEGIES FOR EFFECTIVE GROWTH OF TABLEWATER BUSINESS IN AWKA SOUTH LOCAL GOVERNMENT AREA OF ANAMBRA STATE

BY
 
 
IFEYINWA ONYINYE OKEREKE
 
 
DOCTOR OF STRATEGIC MANAGEMENT AND
LEADERSHIP DEVELOPMENT (DSMLD)
 
scaredove81@yahoo.com
 
+2347069115087 
 
2024

ABSTRACT

This study investigates the strategies for the effective growth of table water businesses in Awka South Local Government Area of Anambra State, focusing on the approaches adopted by sales representatives. The research aims to identify the current sales strategies in use, examine the challenges faced by sales representatives in implementing these strategies, and explore opportunities for enhancing sustainable growth in the table water business sector. Data were collected through structured surveys administered to sales representatives of table water businesses in the area. The study is guided by research questions on the effectiveness of current strategies, the challenges encountered, and potential opportunities for growth. Two hypotheses were tested to determine whether differences in sales strategies and challenges exist between male and female, as well as young and old sales representatives. The findings provide insights that could support the development of more targeted strategies for improving the growth and sustainability of tablewater businesses in Awka South.

 Keywords: Sales Strategies, Table Water Business, Sustainable Growth, Sales Representatives, Awka South, Business Challenges, Gender differences /Age Related Challenges

  1. : INTRODUCTION
    1. Background of the Study

         The table water business is a fast-growing industry in Nigeria, particularly in urban areas where access to clean and safe drinking water is limited. Anambra State, specifically the Awka South Local Government Area, is one of the regions where the table water business has experienced significant growth in recent years. The tablewater business in Awka South Local Government Area of Anambra State is densely populated and home to several tablewater businesses with a high demand for packaged water. As a result, many entrepreneurs have ventured into the table water business in the study area. However, despite the high demand, many businesses struggle to grow and remain competitive.

        This paper focuses on the strategies for the effective growth of table water business in Awka South Local Government Area of Anambra State. The goal of this journal is to explore the challenges and opportunities facing table water in the area and to provide recommendations on how these businesses can grow and succeed in a competitive market. This study explores the sales strategies for the effective growth of the table water business in Awka South Local Government of Anambra State. The table water business in Awka South Local Government Area is thriving with an increasing number of water bottling companies and brands entering the market. The demand for table water has increased as consumers seek safe and hygienic drinking water. The competition in the market is stiff, with companies vying for market share through aggressive marketing campaigns and innovative packaging strategies.

              This paper aims to provide valuable insights and recommendations for table water businesses in Awka South Local Government Area and other similar areas on how to effectively grow and succeed in the competitive table water market, by implementing the strategies outlined in this journal, and other previously journal written about it. The strategies used by the sales representatives of the various table water in Awka South Local Government Area of Anambra State to achieve the effective growth of the table water business in the study area.

In recent years, there has been a noticeable increase in the number of table water businesses in the area leading to competition and the need for effective growth strategies. As a result, there is a significant need for tablewater businesses in the study area to adopt innovative approaches to stay competitive and grow their market share.

1.2: Statement of Problem

The table water industry is a vital component of the beverage sector, serving as a convenient and essential source of potable drinking water for consumers. In Awka South Local Government Area of Anambra State, the demand for table water is increasing due to population growth, urbanization, and heightened awareness of the importance of clean drinking water. However, despite the promising market conditions, many tablewater businesses in the area face challenges that hinder their growth and success. One of the key challenges identified is the lack of effective sales strategies employed by Sales Representatives of the table water businesses in Awka South. According to Smith (2017), inadequate marketing efforts can limit a business’s reach and visibility among potential consumers, ultimately impacting sales and growth opportunities. To address this challenge, tablewater companies can implement targeted marketing campaigns, utilize social media platforms, and collaborate with

 distributors to enhance brand awareness and attract new customers.

 Another common challenge faced by tablewater businesses in the region is the limited distribution channels available for their products.

Research by Jones et al. (2019) emphasizes the importance of establishing a robust distribution network to ensure products reach customers efficiently and timely. Expanding distribution channels to supermarkets, convenience stores, and online platforms can help businesses tap into new markets and increase their customer base, thereby driving growth and revenue.

 Furthermore, intense competition within the table water industry in Awka South poses a significant obstacle for businesses striving for growth. With numerous players vying for market share, Tablewater businesses must differentiate themselves through product quality, packaging innovation, and competitive pricing strategies. According to Brown et al. (2018), offering value-added services such as home delivery, bulk discounts, and customizable packaging can help businesses stand out in a crowded marketplace and attract loyal customers.

Regulatory compliance is another critical aspect that tablewater businesses in Awka South must navigate to ensure sustainable growth. Adhering to quality standards, safety regulations, and packaging requirements is essential to in still consumer trust and uphold industry credibility. By investing in quality control processes, obtaining necessary certifications, and conducting regular inspections, businesses can demonstrate their commitment to producing safe and reliable products, enhancing their reputation and competitiveness in the market.

The multifaceted challenges faced by table water businesses in Awka South Local Government Area of Anambra State underscores the importance of implementing effective strategies to drive growth and success in the industry. By addressing issues such as marketing deficiencies, distribution limitations, competitive pressures, and regulatory compliance, businesses can position themselves for sustainable growth, increased market share, and long-term viability in the dynamic table water market landscape.

1.3: PURPOSE OF THE STUDY: The purpose of this study is to investigate the strategies that can be employed by sales representatives for the survival and growth of table water businesses in Awka South Local Government Area of Anambra State. 

1.4: OBJECTIVES

1. To identify the current sales strategies employed by table water businesses in Awka South Local Government Area.

2. To investigate challenges faced by sales representatives of the table water businesses in implementing effective sales strategies in the study area.

3. To examine the opportunities in implementing the sales strategies for improving sustainable growth for tablewater businesses in the study area.

1.5: RESEARCH QUESTIONS:

1. What are the current sales strategies adopted by table water businesses in Awka South Local Government Area?

2. What are the main challenges faced by the tablewater businesses in implementing effective sales strategies.

3. What are the opportunities in implementing the sales strategies for sustainable growth of tablewater businesses in the study area?

HYPOTHESES

HO1: There is no significant difference between male and female sales representatives with regard to strategies for the growth of table water businesses in Awka South Local Government Area.

HO2: There is no significant difference between young and old sales representatives regarding the challenges faced by table water businesses in the study area

HO3: There is no significant difference between young and old sales representatives regarding the opportunities in implementing the sales strategies for sustainable growth of table water businesses in the study area.                           

2.0: LITERATURE REVIEW:

Ogbuji, Anyanwu, and Onah, (2011) in their ‘Empirical Study of the Impact of Branding on Consumer Choice for Regulated Bottled Water in Southeast, Nigeria employed the use of a survey design and probability sampling technique of Stratified Random Sampling adopted in this study.

The population was the senior staff academic and senior non-teaching staff.

A probability sampling technique of Stratified Random Sampling was used to select 374  participants for the study. Data was analyzed using, simple percentages, bar charts, and pie charts were used. For the test of hypotheses and analysis/interpretation of data, simple and stepwise multiple regression techniques were used.

This research work is therefore an investigation into the impact of branding on consumer choice for bottled water, with a special focus on the contributory roles of its various elements in impacting consumer behavior.

 It was discovered among other things, that of all the elements of branding, company-of-make, and packaging play a greater role than brand name and brand mark, in terms of influencing consumer choice for bottled water. It was against this backdrop that this research work proposed two models namely; Review of Consumer Buying Behaviour Processes 1 and 2. It equally recommended among other things that firms should focus more attention on the company name and packaging but should also integrate the brand name and brand mark as supportive elements in fashioning an effective branding strategy for beating

Gjr, (2023), assessed the effect of product innovation on the sales growth of Monas table water company Gombe.  The study utilized the Meta-analysis of literature from independent primary studies, sourced from current journal articles, textbooks, and previous research of scholars related to the study. The study concluded that companies should always innovate their products to attract more customers which will bring about an increase in sales. Relying on older means of advertisement may also decrease sales rates in the company because some customers are digital.

Francesco Scalamonti (2021) using a Meta-analysis, surveyed the Italian bottled water industry with a quantitative approach The results confirm that the operative volumes depend positively and significantly on itself lagged by one order and the other explicative variables up cited. In conclusion, the study captures the market dynamics of the industry in the long-term, and it brings to the attention of managers, researchers, and business economists an industry much more important for socio-economic implications and environmental impacts that can cause the consumption of bottled water that policymakers cannot afford to ignore.

Agada and Ahmad, (2015), assessed the extent of compliance to ethical standards in the production of Bottled water in Nigeria, with particular reference to selected bottled water companies to determine whether producers of bottled water are aware of the existence of ethics, the level of compliance to ethical standards required by the regulatory agency, and whether consumption of bottled water reduces health hazards or not.  They made use of a survey design. Data for the study were obtained from Primary Sources and analyzed using frequency tables and Pearson Chi-Square to test the three hypotheses of the study. The results showed that producers of bottled water are significantly aware of the existence of

business ethics and are also complying with required ethical standards set by the regulatory agencies that consumption of bottled water significantly reduces health hazards such as deadly waterborne diseases such as typhoid fever, diarrhea, and measles have been drastically reduced to the barest minimum. It recommended awareness of business ethics and consistent compliance with the required standards as required by the regulatory agencies be upheld and sustained over time without compromising by water-producing firms.

Bello, Shuangqin, and Dalibi (2017), studied ‘Economic impacts of packaged and bottled water businesses in Nigeria.’ Meta-analysis was employed for this study to examine and discuss the Economic Impacts of Packaged and Bottled Water Businesses in Nigeria to identify the Economic Impacts and to extend the existing literature on the Economic Impacts of Packaged and Bottled Water Businesses in Nigeria. The main data sources were journals, conference/seminar/workshop papers, textbooks, newspapers, magazines internet sources, etc., which were used to review literature in the Water Business field.  It was found that the economic impacts of packaged and bottled water businesses identified in this work were as follows: an entity that provides business opportunities; it engages small-scale packaged and bottled water manufacturers; it provides employment opportunities; it provides profits and wages; it offers a medium of economic growth; it provides a source of revenue to the government e.g. Tax etc. and it provides water at affordable prices. These impact Nigerians economically and also the business environment from which they operate.

2.1: Summary of Literature:

 Five empirical studies were reviewed, four focused on table water in Nigeria, out of which one is in the South East of Nigeria, but not in AwkaUnlike the current study, three of the studies reviewed applied the use of Meta-analysis of literature, while like the current study, the others used surveys. Although various aspects of the table water business were reviewed none of the studies were reviewed; and, no study known to the researcher dwelt onStrategies for effective growth of table water business in Awka South Local Government Area Of Anambra State. This is the gap this study filled.

3.0:  METHODOLOGY:

3.1:Research Design

Design of the Study: This study adopted a descriptive non-experimental research design carried out ex-post facto research design, which implies ‘after the fact’ as no variable is controlled or manipulated (Nwankwo and Emunemu 2015:147), because only one single event- investigation of the strategies that can be employed by sales representative for the survival and growth of table water businesses, which has already happened, was focused on.

  • : Area of Study

The area of study is Awka in Awka South Local Government Area of Anambra State, where a lot of table water companies are found.

3.3: Population of the Study

The population of this study will include all 250 sales representatives of Table Water Businesses operating in Awka South Local Government Area of Anambra State. This includes (74.2%) 186 male and 31 (25.8%) female sales representatives across different age groups, reflecting a diverse representation of individuals involved in the table water business.

3.4. Sample Size and Sampling Technique

A sample of 163 sales representatives was selected from the target population using a stratified random sampling technique. The stratification will be based on gender (74.2%) (male and 66 (25.8%)  female) and age groups (young and old) to ensure that the sample is representative of the diverse characteristics of sales representatives in the table water business. The random selection within each stratum ensured that each sales representative had an equal chance of being included in the sample.

3.5.   Instrument for Data Collection: The primary instrument for data collection is a structured questionnaire designed specifically for this study. The questionnaire is divided into four sections:  Section A collects demographic information of the respondents, Section B has three clusters focusing on, the current sales strategies employed by the table water businesses (six items), challenges faced by sales representatives in implementing effective sales strategies (seven items) and the opportunities for improving sustainable growth through the implementation of sales strategies (eight items), respectively. The 24-item questionnaire (Appendix I) includes both closed-ended questions for quantitative data and open-ended questions to allow respondents to provide more detailed responses with response patterns of Strongly Agree, Agree, Disagree, Strongly Disagree, and Neutral.

3.6. Procedure for Data Collection:

Data collection was carried out by the researcher with the assistance of trained research assistants. The questionnaires were administered in person to the selected sales representatives, and the research assistants provided clarification where necessary. Respondents were given sufficient time to complete the questionnaires, which were collected on the same day to ensure a high response return rate.

3.7: Validation of the Instrument: Three experts were requested to ascertain the appropriateness and clarity of the items of the instruments to ascertain if they measured what they purported to measure.                                                                                                                                                                    

Their comments, suggestions, and observations were taken into consideration in the production of the final draft of the instruments. (App I).

3.8: Reliability of the Instrument: The instruments were trial tested through a pilot study, on 10 respondents at Aqua Rafa, another table water company in Enugu state, which is outside the study area. The internal consistency of the instrument was computed using Cronbach Alpha method which yielded 0.88 for the entire instrument, which was therefore considered reliable enough for the study.

 3.9: Method of Data Analysis

The data collected were analyzed using both descriptive and inferential statistics. Descriptive statistics, such as frequency counts, percentages, mean, and standard deviation, were used to summarize and describe the data. For the inferential analysis, independent samples t-tests will be conducted to test the hypotheses on the differences between male and female sales representatives and young and old sales representatives regarding the strategies for growth and challenges faced in the table water business. The decision was reached using a criterion mean score of 2.50 for the research questions. This implies that any means below 2.50 was taken to mean NOT Accepted, while any means of 2.50 and above were Accepted for the same reason. Independent Sample Test of Levene’s Test for Equality of Variances was adopted in the t-test for Equality of Means at a 95% level of probability or 0.05 level of significance.  The levels of significance were determined with the P-table value about the 0.05 level of significance. This implies that when the P-value is below 0.05 level of significance, when t- the calculated is smaller than t- table (1.96) it implies a Significant Difference between the means tested, thus the Null Hypothesis was Not Accepted.  On the other hand, when the P-value is higher than 0.05 level of significance when t- calculated is greater than t- table (1.96), it implies No Significant Difference between the means tested. Therefore, the Null Hypothesis was tested using t-test analysis.

4.0: RESULT:

The data generated for the study were analyzed using Descriptive Statistics and SPSS Statistical Analysis. The results are presented in six tables in line with the research questions and hypotheses that guide the study.

4.1: Data Overview

The dataset includes demographic information of the respondents, their experience, and insights regarding Sales Strategies, Challenges, and Opportunities in the table water business. For analysis, I grouped the data into key clusters

Table 1: Demographics Figure

Table 1.1 Gender Distributions

GENDER DISTRIBUTIONMALEFEMALE
NUMBER / PERCENTAGE89:  74.2%31: 25.8%

Table1.2: Age Group

AGE GROUP18-45 YEARS46 YEARS AND ABOVE
NUMBER / PERCENTAGE102:  85%18: 15.%

Table 1.3: Years of Experience

YEARS OF EXPERIENCELESS THAN 6 YEARSMORE THAN 6 YEARS
NUMBER / PERCENTAGE73:  56.5%57: 43.5%

Demographics:

The table water business in the sample is dominated by Younger, Male Sales Representatives /Entrepreneurs (85%).  The majority have less than six years of experience, with the bulk of the respondents (102) between 18-45 years suggesting younger sales representatives in the study. Most respondents (73) have less than 6 years of experience, suggesting that most of the sales representatives are inexperience in the table water business in the study area.

Research Questions One: What are the current sales strategies adopted by table water businesses in Awka South Local Government Area?

Key: A= ACCPT; NA=Not Accepted. E= Effective; NE= Not effective

  Table 1: Current sales strategies that can be adopted by table water businesses for growth of table water business   Sales strategies that can be employed in table water business             Effectiveness of the strategies
S/No                            N=150MeanSDDec   MeanSDDec.
1Direct sales to consumers 2.561.21A3.121.04E
2Sales through retailers 1.230.64NA2.010.12NE
3Online marketing and sales 2. 591.11A3.031.44E
4Discounts and promotions 1.500.13NA2.491.51NE
5Door-to-door sales 1.510.27NA2.441.36NE
6Marketing and Promotion2.381.03NA2.551.07E
7Product Quality Improvement2.691.28A3.001.81E
8Expanding Distribution Channels2 .551.23A3.102.03E
9Customer Service Enhancements1.721.14NA3.021.05E
10Pricing Strategies2.621.27A2.751.62E
11Innovation and Product Diversification   Key: SD =Standard Deviation: Dec= Decision; A= Accepted; NA= Not Accepted; VE= Very Effective; E= Effective: NE=Not Effective2.561.30A3.041.85E

                                                                                                                                                                       Table 1 shows that items 1, 3, 7, 8, 10, and 11 have criterion means of 2.50 and above.  This implies that the respondents Accept Direct sales to consumers (item 1); Online marketing and sales (item 3); Door-to-door sales (item 5); Product Quality Improvement (item 7); (item 8); Pricing Strategies (item 10); and Innovation and Product Diversification (item 11) as Current sales strategies that can be adopted by table water businesses for sustainable growth of table water business. The table further shows that the respondents perceive; Direct sales to consumers (item 1); Online marketing and sales (item 3); Marketing and Promotion (item 6); Expanding Distribution Channels (item 8); Customer Service Enhancements (item 9); Pricing Strategies (item 10); and Innovation and Product Diversification (item 11) as Effective sales strategies as their means are between 2.49 and 3.49.

Hypothesis 1: There is no significant difference between male and female sales representatives about strategies for the growth of table water businesses in Awka South Local Government Area.

Table 2 shows that the mean values are, 0.74 and 0.11 for males and females respectively with 1,96 t-value and 0.60 t-calculated showing No significant difference between the two means. The hypothesis that There is no significant difference between male and female sales representatives regarding strategies for the growth of table water businesses in Awka South Local Government Area was therefore Accepted.

Table 2:

T-test analysis of significant differences between male and female sales representatives about strategies for the growth of table water businesses in Awka South LGA.

GroupNMeant-valuedft-CalSig.Dec
Male890.741.96                               122               0.60       0.05Not Sig./Accept
Female310.11    

Key: SD= Standard Deviation, df= Degree of Freedom; t-cal ; t -table; t-cal= t- Calculated; Dec= Decision

Research Questions 2: What are the main challenges faced by tablewater businesses in implementing effective sales strategies?

           Table  3: Challenges Facing  Table Water Business, 
                                                                                Challenges in my table water                       Level of   Effectiveness 
NOITEMSMeanSDDecision MeanSDDecision
1Regulatory Issues2.851.41A2,551.43Effective
2Supply Chain Disruptions2.441.25NA1.870.65Ineffective
3Lack of Skilled Labour2.641.21A2.221.13Ineffective
4Market Demand Fluctuations3.012.43A1.240.08Ineffective
5Competition3 522.52A1.050.02Ineffective

Key: SD= Standard deviation: A= Accepted: NA= Not accepted.

Table 3 shows that the respondents Accepted the following as challenges facing table water businesses in Awka, Issues; Market Demand Fluctuations; Lack of Skilled Labour

 , and Competition. The table further shows that only Regulatory Issues were perceived to be effective in implementing the strategies to avert the challenges affecting sustainable sales of tablewater.

Hypothesis Two: There is no significant difference between young and old sales representatives regarding the challenges faced by table water businesses in the study area

Table 4:

t-test Analysis of  significant differences between young and old sales representatives about the challenges faced by table water businesses in the study area

GroupNMeant-valuedf   t-CalSig.Dec
Young Sales Rep1020.851.96                               118               0.55       0.05Not Sig./Accept
Old Sales Rep  180.15    

Key: SD= Standard Deviation, df= Degree of Freedom; t-cal ; t -table; t-cal= t- Calculated; Dec= Decision

Table 4 shows that the mean value is, 0.85 and 0.15 for young and old sales representatives respectively with 1.96 t-value and 0.55 t-calculated, also showing No significant difference between the two means. The hypothesis that there is no significant difference between young and old sales representatives about the challenges faced by table water businesses in the study area, was therefore Accepted.

Research Question Three: What are the opportunities in implementing the sales strategies for sustainable growth of tablewater businesses in the study area?

Table 5:

 Opportunities in implementing sales strategies for sustainable growth of table water businesses and level of the opportunities 

                                    Opportunities In Implementing Sales Strategies                                  Level of Opportunities
 ITEMSMeanSDDec.MeanSDDecision
1Expanding Market Demand3.322.11Accept3.002.01High
2Partnerships with Retailers 3.422.10Accept3.212.18High
3 Government Support Programs3. 042.04Accept3.512.02Very High
4Technological Advancements (e.g. online sales) 3.332.24Accept3.552.03Very High
5Financial Support 2.501.01Accept3.652.07Very High
6Training and Development Programs2.561.02Accept3.322.04 High
7 Improved Infrastructure3.202.11Accept3.022.01 High
8Marketing and Promotional Support 2 501.01Accept2.652.07 High

 Table 5: indicates that the respondents Accept all the items, Expanding Market Demand (item 1);Partnerships with Retailers (item 2);Government Support Programs (item 3); Technological Advancements (e.g online sales) (item 4);Financial Support  (item 5);  Training and Development Programs (item 6); Improved Infrastructure (item 7); Marketing and Promotional Support (item 8)with criterion means 2.50 and above as opportunities in implementing sales strategies for sustainable growth of table water businesses and level of the opportunities. The table also indicates that the levels of opportunity for, Government Support Programs (item 3); Technological Advancements (e.g online sales) (item 4);Financial Support (item 5), are Very High but High for the others; Expanding Market Demand (item 1);Partnerships with Retailers (item 2);Training and Development Programs (item 6); Improved Infrastructure (item 7); Marketing and Promotional Support (item 8).

Hypothesis Three: There is no significant difference between young and old sales representatives concerning the opportunities in implementing the sales strategies for sustainable growth of table water businesses in the study area.

Table 4:

t-test Analysis of significant differences between young and old sales representatives concerning opportunities in implementing sales strategies for sustainable growth of table water businesses.

GroupNMeant-valuedf   t-CalSig.Dec
Young Sales Rep1020.851.96                               118               0.62       0.05Not Sig./Accept
Old Sales Rep  180.15    

Key: SD= Standard Deviation, df= Degree of Freedom; t-cal ; t -table; t-cal= t- Calculated; Dec= Decision

Table 4 portrays the mean values 0.85 and 0.15 for young and old sales representatives, respectively, with 1.96 t-values and 0.62 t-calculated, also showing no significant difference between the two means. The hypothesis that there is no significant difference between young and old sales representatives about opportunities in implementing sales strategies for sustainable growth of table water businesses was, therefore, Accepted.

Summary of findings: This study’s summary of findings was presented in accordance with the research questions and hypotheses that guided the study.

Research Question One: What are the current sales strategies adopted by table water businesses in Awka South Local Government Area?

 Finding 1: The current sales strategies adopted by table water businesses in Awka South Local Government Area are;

  • Direct sales to consumers (x=2.56)
  • Online marketing and sales (x=2.59)
  • Product Quality Improvement (x=2.69)
  • Expanding Distribution Channels(x=2.55)
  • Innovation and Product Diversification (x=2.56)

  The following sales strategies are found to be effective ingrowing the table water business in Awka South LGA.

  • Direct sales to consumers (x=3.12);
  •  Online marketing and sales (x=3.03);
  •  Marketing and Promotion (x=2.55)
  • Product quality improvement(x=3.00)
  •  Expanding Distribution Channels (x=3.10)
  •  Customer Service Enhancements (x=3.02)
  •  Pricing Strategies (x=2.75) and
  •  Innovation and Product Diversification (x=3.04)

Hypothesis One: There is no significant difference between male and female sales representatives about strategies for the growth of table water businesses in Awka South Local Government Area.

Finding 2: The hypothesis that there is no significant difference between male and female sales representatives about strategies for the growth of table water businesses in Awka South Local Government Area, isAccepted.

Research Question 2: What are the main challenges faced by tablewater businesses in implementing effective sales strategies?

Finding 3: The main challenges faced by tablewater businesses in implementing effective sales strategies include,

  • Regulatory Issues (x=2.85) were found to be effective in implementing the strategies to avert the challenges affecting sustainable sales of tablewater.
  • Market Demand Fluctuations (x=3.01);
  • Lack of Skilled Labour (x=2.65) and
  • Competition (x=3.52) but, was found ineffective in implementing the strategies to avert the challenges affecting sustainable sales of table water.

Hypothesis Two: There is no significant difference between young and old sales representatives about the challenges faced by table water businesses in the study area.

Finding 4: The hypothesis that there is no significant difference between young and old sales representatives about the challenges faced by table water businesses in the study area is Accepted.

Research Question 3: What are the opportunities in implementing the sales strategies for sustainable growth of tablewater businesses in the study area?

Finding 5: The opportunities in implementing the sales strategies for sustainable growth of table water businesses in the study area include,

  • Expanding market demand (x=3.32) was found to be high.
  • Partnerships with retailers (x=3.42), were found to be high.
  • Government support programs (x=3.04), were found to be very high.
  • Technologicaladvancements(e.g.online sales) (x=3.33), were found to be very high.
  • Financial support (x=2.50), was found to be very high. 
  • Training and development programs (x=2.56), were found to be high.
  • Improved infrastructure (x=3.20), was found to be high.
  • Marketing and promotional support (x=2.50), was found to be high.
  • Hypothesis Three: There is no significant difference between young and old sales representatives concerning the opportunities in implementing the sales strategies for sustainable growth of table water businesses in the study area.

Finding 6: The hypothesis that there is no significant difference between young and old sales representatives with regards to the opportunities in implementing the sales strategies for sustainable growth of table water businesses in the study area is Accepted.

DISCUSSION:

Current Sales Strategies Adopted by Tablewater Businesses In Awka South Local Government Area: Tablewater businesses in Awka South LGA, like most businesses, adopt sales strategies for growth. As Nigeria faces the problem of table water, it has since become a lucrative business in the area. To this end marketers adopt various strategies including Direct sales to consumers; Online marketing and sales; Product Quality Improvement; Expanding Distribution Channels Innovation and Product Diversification. Consequently, they make a lot of sales.

 This finding supports Jones et al. (2019) on the importance of establishing a robust distribution network to ensure products reach customers efficiently and timely; Smith (2017) and Brown et al. (2018),  inadequate marketing efforts can limit a business’s reach and visibility among potential con the need for good marketing strategies to enable distribution channels and customer satisfaction.

Main challenges faced by the table water businesses in implementing effective sales strategies: Like most Nigerian businesses, table water businesses also face a lot of challenges in implementing effective sales strategies, such include, and Regulatory Issues, Market Demand Fluctuations and Lack of Skilled Labour as well as Competition also make things difficult for tableware businesses. However, though a challenge, competition is found ineffective in implementing the strategies to avert the challenges affecting sustainable sales of table water. This finding supports Bello, Liu Shuangqin, and Dalibi  (2017)  who observed that numerous challenges can mar success in water businesses.

Opportunities in implementing the sales strategies for sustainable growth of table water businesses in the study area: Despite the challenges there are many opportunities in implementing the sales strategies for sustainable growth of table water businesses. These opportunities keep the business going. They include Expanding market demand, Partnerships with retailers; Government.

Support programs, Technologicaladvancements(e.g.online sales; Financial support; Training and development programs; Improved infrastructure Marketing, and promotional support. It is not surprising that marketers will find the above opportunities high especially in a country where business people have little or no such opportunities. It is a pity that Nigeria especially Anambra state lacks a basic amenity like water, which should be one of the priorities of the government, leaving the lot and health of the people in the hands of the struggling table water marketers. The World Bank while commenting on the world water challenge stated that access to water supply services and sanitation is a major factor in reducing child mortality (Bello, Liu Shuangqin, and Dalibi(2017)).  The people of Awka LGA should therefore not lack water as water is found to be essential for life, the most common, most widely distributed, and most useful liquid on earth the most precious natural resource that exists on our planet (). From the above finding, the water supply situation in Nigeria has not yet met the Millennium Development Goal (MDG) target of 75% coverage for safe drinking water, so there is much more to do in Nigeria in this regard, This study agrees with Ogbuji, Chinedu & Anyanwu, Aham & Onah, Julius. (2011) and Gjr Publication. (2023) that there are a lot of opportunities in employing adequate strategies in marketing table water of which branding is highly recommended.

CONCLUSION: The study concludes that the strategies adopted by sales representatives are effective growth of table water business in Awka south local government area of Anambra state. A lot of challenges confront the business but there are high opportunities for the growth of the business.

Implications:   The Anambra state government Federal government of Nigeria and the Anambra state government, in particular, should leverage the opportunities in implementing the sales strategies for sustainable growth of tablewater businesses and ensure that tablewater is made a lucrative business so as to achieve the Sustainable Development Goal (SDG) 6 of ‘Clean Water and Sanitation,’ by 2030.

Contributions To Knowledge;

  1. This study has brought to light the various strategies that can be adopted for effective tablewater businesses. Entrepreneurs interested in table water business can employ the use of these strategies in their businesses.
  2. This study has also contributed to solving the problem of the dearth of literature in this area.
  3. It has x-rayed to need for Nigeria and Anambra state governments to leverage the opportunities in implementing the sales strategies for sustainable growth of tablewater businesses and ensure that tablewater is made a lucrative business so as to achieve the Sustainable Development Goal (SDG) 6 of ‘Clean Water and Sanitation,’ by 2030.

.

Recommendations

Based on the findings of the study, the following recommendations are made.

  1. Addressing Challenges and Leveraging on the Strategies and Opportunities:The Nigerian government and Anambra state government in particular, must endeavor to address the challenges and leverage the strategies and opportunities to achieve the Sustainable Development Goal (SDG) 6 of ‘Clean Water and Sanitation,’ by 2030.
  • Adoption of Digital Marketing Strategies; Tablewater businesses should explore and fully integrate digital marketing strategies to reach a broader audience and improve customer engagement.
  • Capacity Building for Sales Representatives: Business owners and sales representatives should undergo formal training in marketing and sales strategies to improve their skills and execution of their jobs. Workshops and seminars organized by local business associations or government agencies could be beneficial.
  • Expanding Direct Sales and Retailer Partnerships, which are perceived as effective sales strategies for the growth of table water business in the study area. Businesses should pursue Partnerships with retailers and other service providers to increase market penetration and visibility, as collaboration with supermarkets, restaurants, and event centers could help boost sales.
  • Addressing Regulatory Issues and Competition challenges, perhaps through collective action or lobbying for better policies will also boost the business in the study area.
  • Expansion and Diversification: Tablewater businesses should explore expanding their market to neighboring towns and states.  They should also consider diversifying their product ranges to include health-focused options such as vitamin-enriched or flavored water to meet emerging consumer demands.
  • By implementing these recommendations, table water businesses in Awka South Local Government Area can overcome their current challenges and achieve sustainable growth in a highly competitive market.

REFERENCES:

Agada, J., A. & Ahmad, A., Y. (2015), Assessment of compliance to ethical standards in bottled water producing firms in Nigeria: A study of selected bottled water companies. International Journal of Public Administration and Management Research (IJPAMR), Vol. 3, No 1, July, 2015. Website: http://www.rcmss.com. ISSN: 2350-2231 (Online) ISSN: 2346-7215 (Print) 3(1):29-36 29 Research Centre for Management and Social Studies (RCMSS)

Ogbuji, C., Anyanwu, A., Onah, J., (2011). An Empirical study of the impact of branding on consumer choice for regulated bottled water in Southeast, Nigeria. International Journal of Business and Management. 6. 1833-8119. 10.5539/ijbm.v6n6p15

Gjr Publication. (2023). Product innovation and sales growth; A study of Monas Table Water Company Gombe. 3(6):14-18. 10.5281/zenodo.10090739

Francesco Scalamonti (2021) Bottled water industry: A quantitative study approach. Italian Review of Agricultural Economics 76(2): 31-44. DOI: 10.36253/rea-13095

Bello, A. S.,   Liu Shuangqin and Dalibi, S. G.,   (2017) Economic impacts of packaged and bottled water businesses in Nigeria. International Journal of Advanced Engineering and Management Research Vol. 2 Issue 3, 2017 www.ijaemr.com ISSN: 2456-3676.

Nwakwo, J. I. and Emunemu, B. O., (2015). Handbook on Research in Education and Social Sciences: A Resource for Theses, Dissertations and Projects. Giraffe Books, Nigeria.

Agu, O. (2019). Entrepreneurial Strategies and Business Growth: A Study of Small and Medium Enterprises in Nigeria.  Journal of Business Management, 5(2), 45-59.

Ajayi, S. & Ugochukwu, J. (2018) The Role of Marketing in the Growth of Small Businesses in Nigeria: A Case Study of Table Water Businesses. African Journal of Business and Economics, 10(1), 72-85.

Anyanwu, A. (2015). Marketing Principles and Management. Owerri: Avan Global Press.

Eze, S. & Okechukwu, P. (2020). Sales Strategies and Performance of Table Water Companies in South-Eastern Nigeria. Journal of Business Strategies, 7(3), 33-49.

Kalu, F. & Nwosu, C. (2017). Sustainable Business Growth: Key Strategies for SMEs in Nigeria. International Journal of Small Business and Entrepreneurship, 8(2), 92-105.

Ogbonna, C. & Nwachukwu, T. (2016). Challenges and Opportunities in Small Business Marketing: A Study of Table Water Businesses in Awka South. Journal of Nigerian Business Studies, 3(2), 50-64.

Onyeka, G. & Okoro, A. (2021). Strategic Marketing and the Growth of SMEs in Nigeria. Business Development Review, 6(1), 15-30.

APPENDIX:  MY INSTRUMENT

SALES REPRESENTATIVES STRATEGIES FOR EFFECTIVE TABLE WATER BUSINESSES GROWTH QUESTIONNAIRE ( SRSETWBG).

INSTRUCTIONS TO RESPONDENTS

 I am a student at Learn to Live Business School (LLBS), pursuing a doctorate program. You are kindly requested to be objective (honest) in your answers. Please note that there are no implications whatsoever with your responses, which will be used for research purposes only. There are no right or wrong answers just be honest. There are four options Kindly TICK only one:  Kindly answer ALL the questions.

SA =   Strongly Disagree

A    =   Agree

N    =   Neutral

D    =   Disagree

SD =    Strongly Disagree

And Where Applicable;

  VE =   Very effective 

E =     Effective 

N =     Neutral

IE =    Ineffective 

VIE = Very ineffective

NC =  Not Challenging

SC  =  Slightly Challenging

MC = Moderately Challenging

VC = Very Challenging

EC = Extremely Challenging

Thank You

           OKEREKE IFEYINWA ONYINYE

            LLBS/DOC/5212/01223/003

DOCTORATE DEGREE CLASS

STRATEGIES FOR EFFECTIVE GROWTH OF TABLE WATER BUSINESS IN AWKA SOUTH LOCAL GOVERNMENT AREA OF ANAMBRA STATE

SECTION 1: RESPONDENTS’ DEMOGRAPHICS

1. Gender:  [  89  ] Male         [  31 ] Female

2. Age Group:  [ 102 ]  18-45 years             [ 18  ] 46 years and above

3.  Years of Experience in the Table Water Business: [73] Less than 6 years    [57] More than 6 years

Cluster 1: Current sales strategies that can be adopted by tablewater businesses for sustainable growth of table water businesses
The following sales strategies can be currently employed in my table water business, with the following effectiveness.
S/No. SAADNSD VEE ME IEVIE
 Direct sales to consumers           
  Sales through retailers           
 Online marketing and sales           
  Discounts and promotions           
 Door-to-door sales           
 Marketing and Promotion          
  Product Quality Improvement          
  Expanding Distribution Channels          
  Customer Service Enhancements          
  Pricing Strategies          
  Innovation and Product Diversification          
 Others (please specify)    
Cluster 2: I face the following challenges in my table water business, which I perceive as follows
 CompetitionSAANDSD NCSCMCVCEC
 Regulatory Issues           
 Supply Chain Disruptions           
 Lack of Skilled Labour           
12.Market Demand Fluctuations           
13.Other (please specify) _____           
15.Competition           
16.Regulatory Issues           
 Others Specify………………………..
Cluster 3: I perceive the following Opportunities in implementing sales strategies for sustainable growth of table water businesses  and the level of the opportunities  are as follows:
  SAADNSD VEE ME IEVIE
 Expanding market demand           
 Partnerships with retailers            
  Government support programs                   
 Technological advancements (e.g., online sales)            
 Financial support            
 Training and development programs           
  Improved infrastructure           
 Marketing and promotional support            
  Others (Please specify): _______           
 Expanding market demand           
             
  • In your opinion, what improvements or changes could be made to enhance the growth of table water businesses in Awka South Local Government Area?

    Answer:——————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————-

  • What role do sales representatives play in overcoming challenges and implementing

 effective strategies?

    Answer:——————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————————–

Thank you for your participation!

STRATEGIES FOR EFFECTIVE GROWTH OF TABLEWATER BUSINESS IN AWKA SOUTH LOCAL GOVERNMENT AREA OF ANAMBRA STATE Read More »

MEDIA STRATEGIES AND PROMOTION OF YOUTH ENTREPRENEURSHIP AWARENESS IN NIGERIA

MUNACHIMSO KALU NJASI
SCHOOL OF COMMUNICATIONS AND MEDIA STUDIES, LLBSUK
 
+2348165541544
njasimunachi@gmail.com
 
2024

ABSTRACT

This study investigated Media Strategies and the Promotion of Youth Entrepreneurship Awareness in Nigeria, guided by three research questions and three hypotheses. Using a descriptive ex-post facto research design, purposive and snowballing sampling method, 127 youths were selected from all states in Nigeria and Abuja. A structured online questionnaire was designed using the Google Forms platform. Data was analyzed descriptively using Chi-Square to test hypotheses. Results show that youths employ digital media strategies. Traditional media helps in disseminating information that promotes entrepreneurship opportunities but digital media makes it more educative, accessible, and interesting. The greatest potentials of traditional media include; Established trust and Cultural relevance. The greatest challenges involve the slowness of releasing information and the Poor reading culture of today’s Nigerian youths. The greatest potentials of digital media include Easy access and Cost-effectiveness. Its greatest challenges include; Limited access in rural areas, Lack of/Poor network, and Difficulty in verifying credible sources. There are significant differences in males’ and females’ opinions regarding strategies, roles, potentials, and challenges of media strategies. The study concludes that digital media are employed by youths, but the challenges prevent sole dependence on them for promoting entrepreneurship awareness. Recommendations cover, Gender-Inclusive Approaches, Improved Infrastructure, and Content Curricula Development.

Keywords: Media-Traditional media; Digital Media; Strategies; Youth Entrepreneurship and Awareness

INTRODUCTION:

Background of the Study:

Youth entrepreneurship is a key driver of economic development and innovation, tackling issues like unemployment and poverty in Nigeria. The youth population and dynamic economic landscape in Nigeria make fostering entrepreneurial skills a national priority. This is because youths accumulate savings at a higher rate, facilitating further investment-led growth and development (UN 2023). Studies also have it that “a youthful and dynamic population brings fresh ideas and energy to the economy, as a compulsory subject fostering innovation and entrepreneurship” (UN 2023). Therefore, harnessing these positive outcomes can lead to accelerated economic growth and development and improve living standards in the country. There are several perceptions of Youth entrepreneurship, which can be summed as the transformation of one’s creative and innovative ideas into useful ventures by young people for socio-economic reasons such as poverty and unemployment. The above concepts of youth entrepreneurship suggest its importance in economic growth and development in every nation. Aathis governs the introduction of Entrepreneurship Education in all secondary and tertiary institutions in Nigeria.

Youths have several definitions depending on perceptions. The UNESCO/ILO defined youths as people aged 15 to 32. To the UN-Habitat (Youth Fund), it is those aged 15-32. For the African Youth Charter, they are between 15 to 35 years, In Nigeria, the 2009 National Youth Policy chronologically defined youth as persons of age 18 to 35 years. Anaeche (2018) observed that youth in Nigeria includes citizens of the Federal Republic of Nigeria aged 18-35 years, while the National Bureau of Statistics identifies the Youth population in Nigeria from 15-35 years (Nigerian Youth SDGs 2024).Youths in this study, are regarded as young people who are still in school or out of school, including tertiary intuitions, and are still not economically engaged and or still searching for jobs. They are those vulnerable to the use of media strategies for promoting youth entrepreneurship in Nigeria.  

There are two main types of media, traditional and digital. Traditional media refers to mass communication methods that were popular before the internet, such as print and broadcast media o outlets that existed before the internet, including TV, radio, and billboards Print media. It includes newspapers, magazines, books, direct mail advertisements, and off-site signs. It is a one-way communication- information flow channel- the sender to the recipient without direct or immediate feedback (Indeed Editorial Team (2024) https://www.indeed.com/career-advice/career-development/traditional-media-vs-digital-media#:~:text=).

Digital media, known as new media, is a two-way communication, where recipients can provide immediate feedback.  It involves online platforms, including email, social media, websites, and video streaming. Digital media has increased substantially, over the years presenting many attractive features that benefit the youth. For instance, digital media strategies tend to be more cost-effective and easier to handle, thus making the youths more engrossed in it than the traditional media (Egunjobi, 2022)

Although traditional and digital media have many differences, is beneficial to use both methods to reach target audiences. Media platforms, traditional and digital, shape societal perceptions, spread information, and promote entrepreneurial ventures. With the rapid evolution of digital technologies, youths are increasingly using online platforms to access business resources and networks. However, traditional media remains relevant in Nigeria today, especially in communities with limited access to digital tools. The role of media in shaping entrepreneurial landscapes has gained attention in developing countries, particularly Nigeria, where youth unemployment is rising. Traditional media, including television, radio, and print, has historically been crucial in disseminating information, but digital media has transformed the way information is shared and consumed, offering new opportunities for engagement and outreach. Morah & Omojola (2022), observed that while both could be competition with each other, traditional and digital media can work together to increase to enhance youth entrepreneurship. Therefore, both traditional and digital media provide diversity for youth entrepreneurship in Nigeria. This is why this study is interested in exploring Media strategies (Traditional and Digital) and the promotion of youth entrepreneurship in Nigeria. It will also test if there is a significant difference between them about youth entrepreneurship in Nigeria. 

             Many studies abound on media strategies and youth entrepreneurship. African Union in its 2020 Policy Brief, ‘Promoting Youth Entrepreneurship in Africa’, examined the policies promoting youth entrepreneurship in Africa, focusing on legal frameworks, education, and ecosystem development. Chidiebere et al. (2020) emphasized the importance of youth empowerment through entrepreneurship in Nigeria and the Sub-Saharan African region. Young individuals are crucial to global economic progress, contributing to employment, income generation, and social change. Supportive government policies and infrastructure are needed to empower youth and stimulate economic growth. Okoli and Okoli (2013) conducted an empirical literature review on entrepreneurship training for Nigerian youths, recommending equipping them with knowledge, skills, and support to navigate challenges. Opportunities in youth entrepreneurship include the widespread adoption of technology, Nigeria’s diverse consumer base, and social innovation in healthcare and education. Non-Governmental Organizations (NGOs), private philanthropists, and mentorship programs also offer financial aid, guidance, and networking opportunities (Erondu & Erondu, 2023). The above authors simply based their studies on youth entrepreneurship, with no focus on Media strategies  

             However, Mohd and Mohd (2020), in a more related study, ‘Social media: A catalyst for entrepreneurship and marketing’, explored how social media acts as a tool for entrepreneurship and marketing, particularly for small and medium enterprises This study examined digital media’s role in promoting entrepreneurship, aligning it to assess digital media’s contribution to youth entrepreneurship. However, it lacks focus on traditional media and the Nigerian context. More relevant studies from the home sector include Egunjobi (2022), which explores the potential need and benefits inherent in the use of social media as an instrument for creating entrepreneurs and generating employment amongst youths in Nigeria given the high youth unemployment rate. This paper addressed both social media and youth entrepreneurship but not the traditional and digital media and their roles, and strategies in promoting youth entrepreneurship, as well as potentials and challenges for youth entrepreneurship in Nigeria as in this study.

   Morah & Omojola (2022), is another closely related study, but it examined the use of social media platforms (Facebook and Whatsapp) and how they support the growth of Small and Medium Scale Enterprises (SMEs) Lagos and Onitsha, unlike this study that focused generally on media strategies and promotion of youth entrepreneurship in Nigeria and oy Nigeria in general.

Guanah & Okowa-Nwaebi (2022) investigated the experiences and perceptions of Delta State youth on the variables that affect their decision to become entrepreneurs, among other objectives. The basic framework of this study was on motivation theory analyzes how social media and motivation can boost youth‟ ‘s participation in entrepreneurship programs. The current study though very similar in many perspectives is based on traditional and digital media, their roles, in promoting youth entrepreneurship as well as potentials and challenges for youth entrepreneurship in Nigeria as in this study.

Omeje, Jideofor & Ugwu (2020) focused only on youth empowerment and entrepreneurship in Nigeria and its implication for economic diversification.Nwankwor, Odanwu, Osarosee, and Arumede’s (2024) paper was on social media entrepreneurship and youth unemployment reduction in River State, Nigeria, and not necessarily on entrepreneurship. Shrilekha & Sharmin (2022) focused on strategies of social media marketing and its impact on small businesses and not particularly on entrepreneurship. The above studies present a significant lacuna which this study will fill by focusing on media strategies and the promotion of youth entrepreneurship in Nigeria.

Statement of the Problem:

     Entrepreneurship is a dynamic process that allows an individual with a vision to venture into a business, for the generation and execution of innovative ideas and solutions, which can transform the individual and the society. It is in the realization of this fact that the Nigerian government introduced compulsory Entrepreneurship education in all secondary schools and tertiary institutions. However, studies Chiaha, Agu, Edikpa, and Okoro (2016a); Chiaha, Edikpa, Abella, and Chiaha (2016b); Chiaha, Agu, Eberendu and Chiaha (2016c); Ubogu. (2023); Okeke and Edikpa (2014); Okon (2021). Ekwesianya, Wordah & Ekine (2013). Agu, Nwokolo, Ezeanwu, Ogbuakanne, Nwokolom & Onyedika (2022) and the researchers and experience have shown that school and university graduates still roam the streets in search of jobs. Entrepreneurship education in schools has not yielded the desired result in Nigeria. This seems to justify the reason for this study which seeks alternative means of promoting youth entrepreneurship in Nigeria through media strategies. Specifically, the study will address the following objectives:

  1. Identify traditional and digital media strategies employed in shaping entrepreneurial awareness among Nigerian youths.
  2. Find out the roles of digital media strategies in promoting youth entrepreneurship in Nigeria.
  • Investigate the potentials and challenges of traditional and digital media platforms for youth entrepreneurship in Nigeria.

Research Questions:

The following research questions guide this study.

  1. What traditional and digital media strategies are employed in shaping entrepreneurial awareness among Nigerian youths?
  • What are the roles do digital and media media strategies in promoting youth entrepreneurship in Nigeria?
  • What are the potentials and challenges in utilizing traditional and digital media platforms for youth entrepreneurship in Nigeria?

Hypotheses

The study tested the following hypotheses at a 0.05 level of significance.

HO1: There is no significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths.

HO2: There is no significant difference in the opinions of male and female youths regarding the roles traditional and digital media strategies play in promoting youth entrepreneurship in Nigeria.

HO3: There is no significant difference in the opinions of male and female respondents regarding the potential and challenges in utilizing traditional and digital media platforms for youth entrepreneurship development in Nigeria.

METHODOLOGY

Research Design:

A descriptive ex-post facto research design was adopted for this study, in that the youths used for this study were those conversant with the use of traditional and digital media strategies as data was gathered via online surveys.

Study of Area

The study was conducted nationwide through several online platforms to cover as many youths as possible across Nigeria. The study ensured diversity in terms of geographic location and media access by employing online surveys to reach a wide range of participants. Nigeria has 36 states including Abuja. It is a country with diverse cultures and religious affiliations. However, the interesting thing is that no culture or religion in Nigeria is against the use of traditional or digital media. 

Population of the Study

The target population is Nigerian youths, in or out of school or university. The Nigerian population is estimated to be 230 million with 70% being youths between Nigerians. 

Sample and Sampling Technique

Using a non-probability convenience sample technique, involving the snowballing method, a sample size of 300 youths that use traditional and digital platforms in promoting their entrepreneurship skills were targeted from the 36 states and Abuja using accidental, purposive, and snowballing sampling methods. An online survey Monkey was disseminated across several digital channels, such as youth works, entrepreneurship forums, and social media.

 Instrument for Data Collection:

A structured online questionnaire designed using platforms like Google Forms was used. The questionnaire has two sections: Demographic Information including; Age, gender, educational level, occupation, and location. Section B consists of 37 items designed on a 4-point Likert-type scale and response pattern of Strongly Agree; Agree; Disagree; Strongly Disagree, weighted 4, 3, 2, and 1 respectively.

Validation of the Instrument: The instrument was face-validated by three experts in Research methodology, business administration, and Entrepreneurship. They determined the correctness of the instrument and ensured that it would measure what it intended to measure. Their guidance led to the final instrument. 

 Reliability of the Instrument: This was determined after a trial testing of the instrument among Ghanaian youths using an online survey method. The internal consistency of the instrument was determined using the Cronbach Alpha method that yielded 0.76 for clusters I to iii, which made the instrument considered reliable enough for the study.

Method of Data Collection: Data was collected online using Survey Monkey. The contacts of the youths were collected through the snowballing method. Data collection took two weeks. In the end, 127 youths (70 males and 57 females) participated in the study.

Method of Data Analysis: A descriptive method was used, while Chi-Square statistics was applied in testing the hypotheses.

RESULTS and DISCUSSIONS:

Results will be presented in line with the research questions and hypotheses.

Fig 1:

Demographic Information of the Respondents

VariableFrequency (%)Percentage (%)
Age  
23-27 years6349.6
28-32 years4333.9
18-22 years1411.0
33-35 years75.5
Total127100.0
   
Gender  
Male7055.1
Female5744.9
Total127100.0
   
Highest Level of Education  
Higher National Diploma (HND)/Bachelor’s Degree7760.6
Postgraduate Degree3628.3
Secondary School Certificate75.5
National Diploma (ND)75.5
Total127100.0
   
Occupation  
Employed7155.9
Self-employed3527.6
Student1411.0
Unemployed75.5
Total127100.0

Figure 1 shows the demographic information of the respondents. The variables indicate that the 127 respondents ages range between 23 (49.6%) and 35(5.5%) consisting of 70 (55.1%) males and 57(44.9%) females.  The figure also indicates that the respondents’ highest level of education ranges from 77 (60.6%) HND/Bachelor Degree holders and seven (5.5%) ND and Secondary school Certificate holders each.  The figure further displays the occupation of the respondents to include 71 (55.9) employed youths, 35 (27.6) Self-employed, 14 (11%) students, and 7 (5.5%) unemployed youths.

RQ One: What media strategies (traditional and digital) are employed in shaping entrepreneurial awareness among Nigerian youths?

Table 1:

 Media Strategies (Traditional and digital), employed in shaping entrepreneurial awareness among Nigerian youths.

S/nItemsMale (M) = 70Female (F) = 57(MF) Total = 127
 CLUSTER I:  xSDDecxSDDecXSDDec
1Television (Traditional)2.501.03A2.391.00NA2.451.01NA
2Radio (Traditional)2.500.93A2.250.66NA2.390.83NA
3Newspapers (Traditional)2.100.71NA1.880.60NA2.000.67NA
4Social media (e.g., Facebook, Instagram, Twitter, LinkedIn (Digital)3.900.30A3.510.71A3.720.56A
5Blogs/Websites (Digital)3.000.90A3.510.50A3.230.79A
6Podcasts (Digital)2.500.93A2.750.83A2.610.89A

Key:

  x = Mean; SD =Standard Deviation; Dec = Decision Level; A = Accepted; NA= Not Accepted

Criteria: A mean ≥ 2.50 is accepted, while a mean < 2.50 is Not Accepted.

Table 1 shows that in items 4, 5, 6, and 7 only the Digital media strategies have their means same as and above the 2.50 criterion mean. The table shows that  No Traditional media strategies are employed, whereas, the following are accepted as the media digital media strategies are employed in shaping entrepreneurial awareness among Nigerian youths in Nigeria: social media (e.g., Facebook, Instagram, Twitter, LinkedIn (x=3.17); Blogs/Websites (x=3.23) and Podcasts (x=2.61).Mean ± SD: 3.61 ± 0.76 shows strong agreement with moderate variability.

RQ Two: What roles do digital and media strategies play in promoting youth entrepreneurship in Nigeria?

Table 2:

Roles digital and media strategies (Traditional and Digital) play in promoting youth entrepreneurship in Nigeria.

S/NItems/Male (M) = 70Female (F) = 57(MF) Total = 127
 CLUSTER II:XSDDecxSDDecXSDDec
 Traditional Media Roles in Entrepreneurship
7Television programs promote entrepreneurship opportunities3.100.95A2.630.49A2.890.81A
8Radio shows provide useful business information for young entrepreneurs3.000.78A2.880.33A2.940.62A
9Newspaper articles have raised awareness about entrepreneurship among youth3.100.95A2.390.70NA2.780.92A
10Special Magazines and Newspapers promote entrepreneurship opportunities3.800.40A3.880.33A3.830.37A
 Roles of Digital Media in Promoting Youth Entrepreneurship
11Social media platforms help me learn about entrepreneurship opportunities3.800.40A3.880.33A3.830.37A
12Digital media has made entrepreneurship education more accessible3.600.49A3.610.49A3.610.49A
13Blogs/websites offer valuable resources for starting and growing a business3.000.64A2.260.84NA2.670.82A
14Social media platforms help me learn about entrepreneurship opportunities3.000.78A2.630.70A2.830.76A

Key:

  x = Mean; SD =Standard Deviation; Dec = Decision Level; A = Accepted; NA= Not Accepted

Criteria: A mean ≥ 2.50 is accepted, while a mean < 2.50 is Not Accepted.

Table 2 indicates that the means of items 7 to 10 and 11 to 14 are their means same and above the 2.50 criterion mean indicating their acceptance that; Television programs promote entrepreneurship opportunities (x=2.89); Radio shows provide useful business information for young entrepreneurs (x=2.94); Newspaper articles have raised awareness about entrepreneurship among youth (x=2. 78); Special Magazines promote entrepreneurship opportunities (x=3.83) as the roles traditional media play and Social media platforms help me learn about entrepreneurship opportunities (3.83); Digital media has made entrepreneurship education more accessible (3.61); Blogs/websites offer valuable resources for starting and growing a business (2.67); Social media platforms help me learn about entrepreneurship opportunities (2.83) as the ones played by digital media in promoting youth entrepreneurship in Nigeria.

RQ Three: What are the potentials and challenges in utilizing traditional and digital media platforms for youth entrepreneurship in Nigeria?

Table 3 indicates that the means of items 15 to 17 are their means same and above the 2.50 criterion mean, indicating their acceptance that; Established trust (x= 3.61) and Cultural relevance (x= 3.61) are the greatest potentials of traditional media in promoting youth entrepreneurship, while the greatest challenges of traditional media in promoting youth entrepreneurship are; Lacks speed in releasing information (x=3.66); Difficulty in verifying credible source (x=2.33); Occupies space (x=3.25) and Poor reading culture of today’s youths (x=3.21).

       Furthermore, table 3 signifies that the means of items 24 and 26 and 28 to 33 have their means same and above the 2.50 criterion mean, indicating their acceptance as the greatest potentials and challenges of digital media in promoting youth entrepreneurship. Thus, the table records; Ease of access (x=3.50); Interactivity and engagement (x=2.54); Cost-effectiveness (x=3.50) as the greatest potential and Limited access in rural areas (x=3.34); Lack of entrepreneurship-focused programs (x=3.87); Lack/Poor network (x=3.00); High Cost of data (x=3.80); Information overload (x=3.50); Difficulty in verifying credible source (x=3.00) as the greatest challenges of digital media in promoting youth entrepreneurship.

Table 3:

Potentials of Media Platforms: Greatest Potentials of traditional media (TV, radio, newspapers) in promoting youth entrepreneurship

S/NItemsMale (M) = 70Female (F) = 57(MF) Total = 127
 CLUSTER III: xSDDecxSDDecxSDDec
15Broad reach and accessibility2.101.54A2.381.24NA2.241.67NA
16Established trust3.700.46A3.490.50A3.610.49A
17Cultural relevance3.700.46A3.490.50A3.610.49A
 Greatest Challenges in Traditional Media
18Lacks speed in releasing information3.600.46A3.450.46A3.660.51A
19Difficulty in verifying the credible source3.000.60A2.651.29A2.331.15NA
20Not Cost-effectiveness1.702.46NA1.252.41NA1.520.40NA
21Occupies space3.000.60A3.550.58A3.250.66A
22Poor reading culture of today’s youths 3.100.54A3.590.60A3.210.63A
23Lack of entrepreneurship-focused programs1.701.46NA1.491.32NA1.610.47NA
 Potentials of Digital Media
24Ease of access3.700.46A3.250.66A3.500.60A
25Interactivity and engagement2.001.10NA2.751.09A3.341.16A
26Cost-effectiveness3.700.46A3.250.66A3.500.60A
 Greatest Challenges in Digital Media
27Limited access in rural areas2.001.10NA2.751.09A2.541.16A
29Lack of entrepreneurship-focused programs3.291.17A3.370.86A3.871.15A
30Lack/Poor network3.711.29A3.390.80A3.001.15A
31High Cost of data4.750.84A5.000.00A3.800.76A
32Information overload3.330.48A3.000.00A3.500.51A
33Difficulty in verifying the credible source3.000.00A3.000.00A3.000.00A

Key:

  x = Mean; SD =Standard Deviation; Dec = Decision Level; A = Accepted; NA= Not Accepted

Criteria: A mean ≥ 2.50 is accepted, while a mean < 2.50 is Not Accepted.

Hypotheses

The study tested the following hypotheses at a 0.05 level of significance.

Hypotheses One: There is no significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths.

Table 4 shows an analysis of the significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths. According to the table, the p-values of all the items are smaller than 0.05. The table concluded that there is a significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths. The null hypothesis is therefore Rejected.

Table 4:

Analysis of the significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths.             

S/n   Items  SA   A  D  SDTotalP-valueMean ± SD
 GenderM   FM   FM   FM FMF  
 Social Media (e.g., Facebook, Instagram, Twitter, LinkedIn63   367    140     7     –   –1270.003.72 ± 0.56
 Blogs/Websites21   2935   287     07    01270.003.23 ± 0.79
 Podcasts14   1414   1535   287    01270.092.61 ± 0.89
 Television14    721   2221   1414  141270.082.45 ± 1.01
 Radio7     035   2114   2914   71270.012.39 ± 0.83
 Newspapers–     –21   735   3614   141270.062.00 ± 0.67

Conclusion: Null Hypothesis is Rejected

Hypotheses Two: There is no significant difference in the opinions of male and female youths regarding the roles traditional and digital media strategies play in promoting youth entrepreneurship in Nigeria.

Table 5:

Analysis of the significant difference between the opinions of male and female youths regarding the roles traditional and digital media strategies play in promoting youth entrepreneurship in Nigeria.             

S/n   Items  SA   A  D  SDTotalP-valueMean ± SD
 GenderM   FM   FM  FM   FMF  
 Social Media (e.g., Facebook, Instagram, Twitter, LinkedIn42 5021 7– –7 91270.003.61 ± 0.76
 Blogs/Websites28 3535 227 0– –1270.013.44 ± 0.60
 Podcasts14 1435 1521 28– –1270.022.83 ± 0.76
 Television14 021 721 3614 11270.002.22 ± 0.91
 Radio28 021 147 2914 141270.002.50 ±1.07
 Newspapers14 028 714 3614 141270.002.28 ± 0.93

Conclusion: Null Hypothesis is Rejected

Table 5 shows the analysis of the significant difference between the opinions of male and female youths regarding the roles traditional and digital media strategies play in promoting youth entrepreneurship in Nigeria. According to the table, the p-values of all the items are smaller than 0.05. The table concluded that there is a significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths. The null hypothesis is therefore Rejected.

Hypotheses Three: There is no significant difference in the opinions of male and female respondents regarding the potential and challenges of utilizing traditional and digital media strategies in promoting youth entrepreneurship in Nigeria.

Table 6:

Analysis of the significant difference between the opinions of male and female youths regarding the potentials and challenges in utilizing traditional and digital media strategies in promoting youth entrepreneurship in Nigeria.             

S/n   Items     GenderTotalP-valueMean ± SD
 GenderMalesFemalesMF  
 Limited access in rural areas2814420.002.34 ± 1.16
 Lack of entrepreneurship-focused programs280 280.003.87 ± 1.15
 Lack/Poor network High Cost of data029 290.0005.00 ± 1.15

Conclusion: Null Hypothesis is Rejected

Table 6 shows the analysis of the significant difference between the opinions of male and female youths regarding the potential and challenges of utilizing traditional and digital media strategies in promoting youth entrepreneurship in Nigeria.           According to the table, the p-values of all the items are smaller than 0.05. The table concluded that there is a significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths. The null hypothesis is therefore Rejected.

Summary of Findings:

Research Question One: What traditional and digital media strategies are employed in shaping entrepreneurial awareness among Nigerian youths?

Findings 1:

  • No Traditional media strategies are employed in shaping entrepreneurial awareness among Nigerian youths in Nigeria.
  • The following digital media strategies are employed in shaping entrepreneurial awareness among Nigerian youths in Nigeria: social media (e.g., Facebook, Instagram, Twitter, LinkedIn (x=3.17); Blogs/Websites (x=3.23) and Podcasts (x=2.61).

Hypothesis One: There is no significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths.

Finding Two: The null hypothesis is Rejected. There is a significant difference between the media strategies employed by male and female youths in shaping entrepreneurial awareness among Nigerian youths.

Research Question Two: What are the roles do digital and media strategies in promoting youth entrepreneurship in Nigeria?

Finding Three: The roles traditional media play in promoting youth entrepreneurship in Nigeria are;

  • Television programs promote entrepreneurship opportunities in Nigeria (x=2.89);
  • Radio shows provide useful business information for young entrepreneurs (x=2.94);
  • Newspaper articles have raised awareness about entrepreneurship among youth (x=2. 78);
  • Special Magazines and Newspapers promote entrepreneurship opportunities (x=3.83).

The roles digital media plays the following roles in promoting youth entrepreneurship in Nigeria are;

  • Social media platforms help me learn about entrepreneurship opportunities (3.83);
  • Digital media has made entrepreneurship education more accessible (3.61); Blogs/websites offer valuable resources for starting and growing a business (2.67);
  • Social media platforms help me learn about entrepreneurship opportunities (2.83) as the ones played by digital media in promoting youth entrepreneurship in Nigeria.

Hypothesis Two: There is no significant difference in the opinions of male and female youths regarding the roles traditional and digital media strategies play in promoting youth entrepreneurship in Nigeria.

Finding Four: The null hypothesis is Rejected. There is a significant difference in the opinions of male and female youths regarding the roles traditional and digital media strategies play in promoting youth entrepreneurship in Nigeria.

Research Question Three: What are the potentials and challenges in utilizing traditional and digital media platforms for youth entrepreneurship in Nigeria?

Finding Five: The greatest Potentials of traditional media in promoting youth entrepreneurship in Nigeria are;

  • Broad reach and accessibility (x= 3.00);
  • Established trust (x= 3.61) and
  • Cultural relevance (x= 3.61).

The greatest challenges of traditional media in promoting youth entrepreneurship are that it;

  • Lacks speed in releasing information (x=3.66); 
  • Occupies space (x=3.25);
  • Poor reading culture of today’s youths (x=3.21) and

The greatest potential of digital media in promoting youth entrepreneurship is;  

  • Ease of access (x=3.50);
  • Interactivity and engagement (x=3.34);
  •  Cost-effectiveness (x=3.50)

The greatest challenges of digital media are;

  • Limited access in rural areas (x=3.34);
  • Lack of entrepreneurship-focused programs (x=3.87);
  • Lack/Poor network (x=3.00);
  • High Cost of data (x=3.80);
  • Information overload (x=3.50);
  • Difficulty in verifying credible source (x=3.00)

Hypothesis Three: There is no significant difference in the opinions of male and female respondents regarding the potential and challenges of utilizing traditional and digital media strategies in promoting youth entrepreneurship in Nigeria.

Finding Six: The null hypothesis is Rejected. There is a significant difference in the opinions of male and female respondents regarding the potential and challenges of utilizing traditional and digital media strategies in promoting youth entrepreneurship in Nigeria.

DISCUSSION: This will be done in line with the research questions and hypotheses that guide this study.

Traditional and digital media strategies employed in shaping entrepreneurial awareness among Nigerian youths.

      No traditional media strategy is employed by male and female youths in shaping entrepreneurial awareness among Nigerian Youths. This is not surprising as youths are no longer interested in traditional media in this digital age.

 The digital media employed by the majority of male and female youths in shaping entrepreneurial awareness include social media. The mean ± SD: 3.72 ± 0.56 indicates strong agreement with a low variation in responses. Social media is perceived as a significantly impactful medium for entrepreneurial awareness, with males using it more extensively than females. Blogs/Websites Data is another digital media strategy employed. A mixed distribution where males show a slight tendency toward disagreement shows moderate agreement with moderate variation. Blogs and websites are recognized as significant but less impactful than social media, with no pronounced gender disparity. The Podcasts Data also employed in shaping entrepreneurial awareness among Nigerian youths have a wide variety of opinions, with more disagreement across genders. P-value: 0.09 (not significant at p < 0.05). Mean ± SD: 2.61 ± 0.89 reflects low agreement with high variability. Podcasts are perceived as having a negligible impact on entrepreneurial awareness, with no significant gender differences. Podcasts, television, and newspapers are less influential in shaping entrepreneurial awareness. Radio demonstrates a significant difference, with males showing higher engagement than females. The null hypothesis, which states that there is no significant difference between the media strategies employed by male and female youths, is rejected due to significant differences in: Social Media, Blogs/Websites, and Radio. Males show higher engagement with impactful media (social media and radio). Females exhibit similar patterns in blogs/websites but show less reliance on radio and podcasts.

Opinions of Male and Female Youths Regarding the Roles Traditional and Digital Media Strategies Play in Promoting Youth Entrepreneurship in Nigeria. \

     For the traditional media strategies, males see radio as more significant in promoting entrepreneurship than females, who largely disagree with this. The mean ± SD: 2.22 ± 0.91 on Television shows males’ overall disagreement with moderate variability, with a slightly more favorable view of television’s role than females, but both genders generally disagree about its effectiveness. Regarding Newspapers, males indicate moderate disagreement with moderate variability, since Newspapers are perceived as ineffective, with males slightly more favorable than females. The null hypothesis that there is no significant difference in opinions between male and female youths is rejected because the p-values for all media types are significant. 

    As for the digital media strategies, both genders agree that social media significantly promotes youth entrepreneurship, with females showing slightly higher levels of agreement Blogs and websites are widely seen as effective media strategies, with females slightly more in agreement than males. Males reflect more on Podcasts with a mix of agreement and disagreement, with moderate variability. Podcasts are moderately regarded as tools for promoting entrepreneurship, with males showing slightly more positive views than females.

        On Gender-Specific Trends, Digital Media (Social Media, Blogs/Websites), both genders strongly agree on the effectiveness of digital media strategies in promoting entrepreneurship, with females showing slightly higher agreement. On traditional media (Radio, Television, Newspapers), males generally hold more favorable opinions about traditional media than females. Females overwhelmingly disagree about the relevance of traditional media. Conclusively, digital media strategies are perceived as more effective than traditional media. There is a significant gender disparity in these opinions about the relevance of traditional media, suggesting potential differences in media consumption or trust.

The potentials and challenges in utilizing traditional and digital media platforms for youth entrepreneurship development in Nigeria.

  In the limited access in rural areas mean ± SD: 2.34 ± 1.16 indicates moderate to low agreement, with significant variability. ILimited access in rural areas is recognized as a significant challenge, with males more likely to identify this issue than females.  Lack of Entrepreneurship-Focused Programs with Mean ± SD: 3.87 ± 1.15 reflects strong agreement with moderate variability, indicating that males are more concerned about the absence of entrepreneurship-focused programs, while females did not identify this as a major challenge. Lack/Poor Network with a Mean ± SD: 5.00 ± 1.15 reflects very strong agreement with moderate variability indicating that females view poor network connectivity as a critical barrier, while males did not highlight this as a significant issue.  For high cost of data Mean ± SD: 4.80 ± 0.76 reflects very strong agreement with low variability for both genders strongly agreeing that the high cost of data is a major challenge in utilizing media for youth entrepreneurship development. Challenges specific to males indicate males strongly emphasize the lack of entrepreneurship-focused programs and limited access in rural areas. Challenges specific to females view poor network connectivity as a critical barrier, reflecting unique challenges that may disproportionately affect their participation. A common challenge for both genders is that the high cost of data is a universal challenge. Challenges related to digital and traditional media platforms vary significantly between genders, likely reflecting differing levels of access, priorities, or exposure to these barriers.

Conclusion: The study concludes that digital media strategies are mostly employed by youths in promoting their entrepreneurship and that both traditional and digital media strategies have roles to play in this regard, with potential but the challenges make it difficult for youths to fully depend on the media strategies in the promotion of youth entrepreneurship in Nigeria

 Implications: The implications of the findings of this study imply that topromote youth entrepreneurship in Nigeria emphasis should be on the use of digital media strategies. Consequently,

  • Policymakers should address limited access to internet services in rural areas by investing in infrastructures to bridge the digital divide.
  • Develop programs targeting entrepreneurship skill-building through media platforms, ensuring inclusivity for both genders.
  • Subsidize data costs or introduce affordable internet plans for young entrepreneurs.
  • Educators and Program Developers should create gender-specific solutions to address unique barriers, such as improving network access for females in underserved areas.
  • Expand entrepreneurship-focused content on digital and traditional platforms to cater to young males’ and females’ needs. For Media Providers:
  • Partner with organizations to reduce the cost of data.
  • Focus on expanding rural connectivity and ensuring content is accessible in low-resource settings.
  • Media Providers should partner with organizations to reduce the cost of data and focus on expanding rural connectivity and ensuring content is accessible in low-resource settings.

Contributions to Knowledge: The study made several contributions to knowledge.

  1. The study is a sort of edified illuminative evaluation of the media strategies that promote youth entrepreneurship in Nigeria.
    1. It x-rayed the traditional and digital strategies, roles they play in promoting youth entrepreneurship in Nigeria as well as their potentials and challenges.
    1. It brought to light the need for female youths’ inclusiveness in promoting youth entrepreneurship in Nigeria. This is because a significant difference was observed in the opinions of males and females indicating female exclusiveness in the scheme of media strategies and promotion of youth entrepreneurship in Nigeria.
    1. The study also identified the lack of employment of traditional media strategies despite their potential in potentials in promoting youth entrepreneurship in Nigeria.
    1. The paper also contributes to literature to other researcher interested in carrying out further studies in this area. 

Suggestions for Further Studies: Further studies should be carried out on:

  1. Improvement of traditional media strategies for the promotion of youth entrepreneurship in Nigeria.
    1. Female inclusiveness in employing media strategies and promotion of youth entrepreneurship in Nigeria.
      1. Provision of infrastructures in rural areas for the improvement of traditional and digital media services for promoting youth entrepreneurship in Nigeria
      1. Also, studies should be carried out on developing Entrepreneurship-Focused Program Curricula on media strategies and the promotion of youth entrepreneurs at all levels of the educational system.

Recommendations: The following the findings, these recommendations were made: 

  1. Improved Infrastructure: The government of Nigeria should deploy mobile and digital connectivity solutions in underserved areas to address access challenges.
    1. Affordable Data Plans: Advocacy for government and telecom partnerships to make internet access more affordable for youths.
    1. Content Development: Entrepreneurship-focused programs should be launched on popular digital media channels to inspire and educate young entrepreneurs.
    1. Gender-Inclusive Approaches:  With the finding of significant differences existing between males and females in this context, strategies tailored to address the specific concerns of males (e.g., program availability) and females (e.g., network access) should be developed.

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MEDIA STRATEGIES AND PROMOTION OF YOUTH ENTREPRENEURSHIP AWARENESS IN NIGERIA Read More »

LEADERSHIP AND EMPLOYEE MOTIVATION IN REMOTE WORK ENVIRONMENT: A STUDY OF GRADUATE TRAINEE AT KONGA

RUTH ADEBUKOLA ILESANMI 07087145283
Ilesanmiruth46@gmail.com
 
 
DOCTORATE STUDENT OF STRATEGIC MANAGEMENT AND LEADERSHIP DEVELOPMENT, LEARN TO LIVE BUSINESS SCHOOL, UK. 
 
2024/25

ABSTRACT

This study examined the impact of leadership styles on the motivation, job satisfaction, productivity, and professional growth of graduate trainees in a remote work environment, using Konga as a case study. The research aimed to explore whether leadership styles significantly affect these variables among remote employees. The study utilized a descriptive survey design, with 23 graduate trainees as respondents. Data were collected through a structured questionnaire, and the hypotheses were tested using ANOVA. The findings revealed that leadership style significantly influences employee motivation (p=0.045), job satisfaction and productivity (p=0.034), and professional growth (p=0.029). These results underscore the crucial role of effective leadership, particularly transformational leadership, in remote work environments. The study concluded that leadership approaches directly affect employee outcomes and recommended that organizations enhance communication, leadership development, and professional growth opportunities to maintain motivation and productivity in remote settings.

Keywords: Leadership, Employee motivation, Job performance, Remote work, ANOVA, Graduate trainees

INTRODUCTION

Background of the Study

Leadership is a critical determinant of employee success in any organizational setting, influencing motivation, job satisfaction, and overall productivity. In the last decade, the dynamics of leadership have been reshaped due to changes in workplace structures, including the rise of remote work environments. Remote work has become increasingly common, with technological advancements allowing organizations to operate seamlessly despite geographical dispersion. However, this shift also introduces significant challenges, particularly in managing and motivating employees physically separated from their supervisors (Martins et al., 2020). Traditional leadership styles that rely on face-to-face interactions may not be as effective in remote work environments, requiring a transformation in how leaders communicate, motivate, and engage their teams.

The relationship between leadership style and employee motivation has been extensively researched in traditional settings. Transformational leadership, characterized by inspiring and motivating employees to exceed expectations, has consistently been shown to improve job satisfaction and performance (Bass & Riggio, 2014). In contrast, transactional leadership, which focuses on the execution of tasks and rewards for performance, tends to result in lower levels of motivation and creativity. However, as remote work becomes more prevalent, the effectiveness of these leadership styles in such contexts needs to be re-evaluated. The lack of direct, physical supervision and real-time communication can create a sense of isolation and disengagement among employees, which may negatively impact their motivation and job performance (Clark & Williams, 2021).

Graduate trainee programs, designed to develop future leaders, are particularly vulnerable to these challenges. These programs rely heavily on mentorship, professional development, and close supervision elements that are more difficult to implement in remote settings. As companies increasingly adopt hybrid or fully remote work models, it becomes crucial to understand how leadership styles can be adapted to maintain the effectiveness of trainee programs and ensure that trainees remain motivated and productive.

Statement of the Problem

Leadership in remote work settings has been a subject of debate, as traditional methods of supervision and communication are often inadequate for maintaining motivation and productivity. Despite the significant increase in remote work, especially after the COVID-19 pandemic, there is limited empirical research examining the influence of leadership styles on employee motivation, job satisfaction, and performance in remote environments (Clark & Williams, 2021). For graduate trainees, the issue is even more complex, as these programs are designed to foster learning, growth, and development through direct supervision, feedback, and mentorship. The transition to remote work potentially undermines these key components, leading to lower motivation, inadequate professional development, and reduced job satisfaction. Without clear evidence of the effectiveness of different leadership styles in remote settings, organizations risk using outdated or ineffective strategies that fail to meet the needs of their remote workforce. Therefore, it is imperative to explore how leadership styles influence motivation and job performance in remote settings, specifically within the context of graduate trainee programs, to ensure the long-term success of both the trainees and the organization.

Purpose of the Study

The primary purpose of this study is to investigate the impact of leadership styles on employee motivation, job satisfaction, and productivity within the context of a graduate trainee program operating in a remote work environment. The study will specifically focus on how leadership styles such as transformational and transactional leadership influence these factors.

Objectives of the Study

  1. To examine the relationship between leadership style and employee motivation among graduate trainees at Konga in the remote work environment.
  2. To assess the impact of leadership style on the productivity and job satisfaction of graduate trainees at Konga.
  3. To determine if leadership style contributes to the professional growth of trainees at Konga in remote work settings.

Research Questions

  1. What is the relationship between leadership style and employee motivation among graduate trainees at Konga in a remote work environment?
  2. How does leadership style impact the productivity and job satisfaction of graduate trainees at Konga?
  3. Does leadership style contribute to the professional growth of graduate trainees at Konga in a remote work setting?

Hypotheses

HO1: There is no significant relationship between leadership style and employee motivation. HO2: Leadership style does not significantly impact employee job satisfaction and productivity. HO3: Leadership style does not contribute significantly to the professional growth of trainees. Scope of the Study

This study focuses on graduate trainees working in a remote work environment within a corporate setting. The sample population includes 23 graduate trainees across different departments. The study examines leadership styles and their effects on motivation, job satisfaction, and productivity, with data collected through structured questionnaires.

Significance of the Study

The results of this study will provide valuable insights into how leadership styles can be optimized in remote work environments to enhance employee motivation and job satisfaction. The findings will also contribute to the development of leadership strategies that cater to the specific needs of graduate trainees working remotely,  offering practical recommendations for improving professional development in these settings.

REVIEW OF LITERATURE

Leadership Styles and Employee Motivation

Leadership styles have long been recognized as key determinants of employee motivation and job satisfaction. Studies on transformational leadership suggest that leaders who inspire, provide individualized consideration, and encourage innovation tend to foster higher levels of motivation and job satisfaction among employees (Bass & Riggio, 2014). Transformational leadership is particularly effective in environments that require adaptability and creativity, as it encourages employees to take initiative and feel empowered. This leadership style contrasts with transactional leadership, which is more focused on setting clear goals, monitoring performance, and rewarding employees based on results (Robinson & Shepard, 2017). While transactional leadership may work well in task-oriented environments, it is less effective in promoting long-term employee engagement and motivation (Johnson & Daniels, 2018).

Remote work environments pose unique challenges to leadership, as the physical distance between employees and supervisors can lead to feelings of isolation and reduced motivation. Studies have shown that leaders need to adjust their communication styles to maintain motivation and productivity in remote settings (Clark & Williams, 2021). Transformational leaders, who emphasize open communication and provide regular feedback, are more likely to succeed in remote environments, as these behaviors can help bridge the gap created by physical distance (Martins et al., 2020).

Job Satisfaction and Leadership

Job satisfaction is closely linked to leadership styles. Employees who perceive their leaders as supportive and understanding tend to report higher levels of job satisfaction (Smith & Jones, 2019). Supportive leadership is particularly important in remote work environments, where employees often feel disconnected from their teams. Research suggests that leaders who make an effort to build strong relationships with their employees through regular check-ins, feedback, and recognition are more likely to maintain high levels of job satisfaction in remote settings (Johnson et al., 2018).

Professional Development and Leadership in Remote Settings

Professional development is a key component of graduate trainee programs, and leadership plays a crucial role in ensuring that trainees receive the necessary support to grow and advance in their careers. In remote work settings, the absence of face-to-face interactions can hinder the effectiveness of traditional mentorship and professional development strategies (Clark & Williams, 2021). Leaders who adapt their approach to provide remote trainees with virtual mentorship, regular feedback, and opportunities for skill development are more likely to foster professional growth (Bass & Riggio, 2014).

Gaps in Existing Literature

While there is a significant body of research on leadership styles and their impact on employee motivation and job satisfaction, there is limited research specifically focused on remote work environments, especially within the context of graduate trainee programs. The existing studies largely focus on traditional work settings, leaving a gap in understanding how leadership styles need to be adapted for remote work. This study aims to fill this gap by examining the challenges and opportunities associated with leadership in remote trainee programs.

METHODOLOGY

Research Design

This study adopted a descriptive research design, which allows for the exploration of relationships between variables without manipulating the study environment. Descriptive research is ideal for this study as it enables the collection of data on leadership styles, employee motivation, and job performance in a real-world remote work setting (Nelson & Daniels, 2020). The design also facilitates the use of quantitative analysis to test the hypotheses and examine the extent to which leadership styles impact the variables in question.

Area of Study

The study was conducted within Konga, an online commercial retail company that operates a remote graduate trainee program. Participants in the study were spread across various departments but worked exclusively in a remote environment.

Population of Study

The target population for this study consisted of 30 graduate trainees enrolled in the remote work program. These trainees were selected because they represent the future leaders of the organization and are directly affected by the leadership styles of their supervisors.

Sample and Sampling Technique

The sample size for the study was 23 participants, selected using a purposive sampling technique. This non-random sampling method was chosen because the study focuses on a specific group— graduate trainees working in a remote environment. Purposive sampling ensures that only those who meet the study’s inclusion criteria are selected, providing a more focused and relevant dataset (Nelson & Daniels, 2020).

Instrument for Data Collection

Data was collected using a structured questionnaire (a Google form), divided into four sections: demographic information, leadership style, employee motivation, and job performance. The questionnaire utilized a Likert scale ranging from “strongly agree” to “strongly disagree” to measure participants’ perceptions of their supervisors’ leadership styles and the impact on their

Motivation and job performance. The instrument was pre-tested with a small group of trainees to ensure clarity and reliability.

Validation and Reliability

The validity of the questionnaire was established through expert review by the researcher’s supervisor, with feedback provided and corrections made until certified valid for the study. The reliability of the instrument is confirmed based on prior use in similar studies. A similar questionnaire format by (Nelson & Daniels, 2020). has been successfully employed to assess leadership styles, job motivation, and job satisfaction in work environments. The consistency of results from past applications indicates that the instrument is reliable.

Method of Data Collection

Data was collected over two weeks through online questionnaires distributed via Google Forms. Participants were given five days to complete the questionnaire, and reminders were sent every two days to ensure a high response rate. The data collection process ensured confidentiality and anonymity, as participants were not required to provide their names or other identifying information.

Method of Data Analysis

Data was analyzed using both descriptive and inferential statistics. Descriptive statistics such as frequencies, percentages, means, and standard deviations were used to summarize the demographic data and general responses. Inferential statistics (ANOVA) was used to test the hypotheses and examine the relationships between leadership style, motivation, and job performance. All statistical analyses were conducted using SPSS version 23.

RESULTS AND FINDINGS

Demographic Characteristics

The demographic profile of the respondents is presented in Table 4.1, which includes age, gender, and duration of participation in the graduate trainee program.

Table 4.1: Demographic Characteristics of Respondents

Age

Variables                                                        Frequency               %

18–24                                                                                                         12                       52.2

25–30                                                                                                         8                         34.8

31–35                                                                                                         3                         13.0

Gender

Male                                                                                                           10                      43.5

Female                                                                                                        13                      56.5

How long have you been part of the graduate trainee program

Less than 6 months                                                                                  8                        34.8

6–12 months                                                                                            10                      43.5

Over 1 year                                                                                              5                        21.7

From the table, the majority of the respondents (52.2%) are between the ages of 18–24, followed by those in the 25–30 age range (34.8%), and the lowest percentage (13.0%) falls within the 31– 35 age group. Female respondents constitute a larger portion of the sample (56.5%) compared to males (43.5%). Regarding how long respondents have been part of the trainee program, most participants (43.5%) had spent 6–12 months in the program, while 34.8% had less than 6 months of experience and 21.7% had over 1 year.

Research Question 1: What is the relationship between leadership style and employee motivation among graduate trainees at Konga in a remote work environment?

Table 4.2: Leadership Style 
Question SA A D SD
 F%F%F%F%
My supervisor provides clear and consistent1043.48939.13313.0414.35
guidance in the remote work environment My  supervisor  supports  my  professional  8  34.78  11  47.83  3  13.04  1  4.35
development My supervisor is accessible and responsive  9  39.13  10  43.48  3  13.04  1  4.35
to my queries My supervisor sets realistic and achievable  7  30.43  12  52.17  3  13.04  1  4.35
goals for me        
The feedback I receive from my supervisor is constructive and helpful1147.83834.78313.0414.35

From Table 4.2, 82.61% (SA + A) of the respondents agree that their supervisor provides clear and consistent guidance in the remote work environment, while 13.04% disagreed. A majority (47.83%) agreed that their supervisors support their professional development, with 34.78% strongly agreeing. Additionally, 82.61% of the respondents agreed or strongly agreed that their supervisors were accessible and responsive to their queries. In terms of goal setting, 30.43% strongly agreed that their supervisors set realistic and achievable goals, with 52.17% agreeing. The feedback provided by supervisors was viewed as constructive and helpful by 47.83% of the respondents, further indicating positive leadership effectiveness in remote settings.

Answers to Research Question 1:

There is a positive relationship between leadership style and employee motivation. The majority of respondents expressed satisfaction with the clarity, accessibility, and constructive feedback provided by their supervisors, which likely contributed to their overall motivation.

Test of Hypothesis HO1:

There is no significant relationship between leadership style and employee motivation. Table 4.3: ANOVA Test for Leadership Style and Employee Motivation

Source of VariationSSdfMSFp-valueF crit
Between Groups1.8220.913.260.0453.29
Within Groups4.54160.28   
Total6.3618    

The ANOVA result shows an F-value of 3.26 and a p-value of 0.045, less than the

significance level of 0.05. Therefore, the null hypothesis (HO1) is rejected, indicating a significant relationship between leadership style and employee motivation.

Research Question 2: How does leadership style impact the productivity and job satisfaction of graduate trainees at Konga?

Table 4.4: Job Satisfaction and Productivity

Question                                                                       SA                  A                  D                SD

  I  am  satisfied  with  my  current  role  andF 8% 34.78F 12% 52.17F 2% 8.70F 1% 4.35
responsibilities in the remote work setting The current leadership approach contributes  9  39.13  11  47.83  2  8.70  1  4.35
positively to my professional growth I can maintain  a  high  level  of  7  30.43  11  47.83  4  17.39  1  4.35
productivity while working remotely The remote work environment allows me to  10  43.48  9  39.13  3  13.04  1  4.35
achieve a good work-life balance        
I      receive       adequate        support       from      my supervisor to perform my duties effectively939.131043.48313.0414.35

From  Table  4.4,  most  respondents  (86.95%)  are  satisfied  with  their  current  roles  and

responsibilities, while 86.96% (SA + A) acknowledged that the leadership approach contributes positively to their professional growth. A high percentage (78.26%) maintained productivity levels in the remote work setting, and the majority (82.61%) felt they achieved a good work-life balance. Supervisor support was also rated positively by most respondents (82.61%).

Answers to Research Question 2

Leadership style positively impacts job satisfaction and productivity among graduate trainees at Konga. Respondents expressed satisfaction with their roles, productivity, work-life balance, and professional growth, all influenced by the leadership approach.

Test of Hypothesis HO2

Leadership style does not significantly impact employee job satisfaction and productivity.

Table 4.5: ANOVA Test for Leadership Style and Job Satisfaction

Source of VariationSSdfMS             Fp-valueF crit
Between Groups2.1321.065         4.150.0343.29
Within Groups4.11160.257  
Total6.2418   

The ANOVA results show an F-value of 4.15 and a p-value of 0.034, less than 0.05.

Therefore, we reject the null hypothesis (HO2) and conclude that leadership style significantly impacts job satisfaction and productivity.

Research Question 3: Does leadership style contribute to the professional growth of graduate trainees at Konga in a remote work setting?

Table 4.6: Professional Growth

Question                                                                       SA                  A                  D                SD

  I feel that my contributions are valued in theF 11% 47.83F 10% 43.48F 2% 8.70F 0% 0
remote work setting The       leadership        approach       in    my   team  9  39.13  10  43.48  3  13.04  1  4.35
positively affects my motivation to work I      receive       adequate        support       from      my  9  39.13  10  43.48  3  13.04  1  4.35
supervisor to perform my duties effectively        

Answers to Research Question 3

Leadership style significantly contributes to the professional growth of graduate trainees at Konga. The majority of respondents expressed that the leadership approach fostered their professional development.

Test of Hypothesis HO3

Leadership style does not contribute significantly to the professional growth of trainees. Table 4.7: ANOVA Test for Leadership Style and Professional Growth

Source of VariationSSdfMS             Fp-valueF crit
Between Groups2.8721.435         4.720.0293.29
Within Groups4.85160.303  
Total7.7218   

With an F-value of 4.72 and a p-value of 0.029, which is below the 0.05 threshold, we reject the

null hypothesis  (HO3). This indicates that leadership style significantly contributes to the professional growth of trainees.

DISCUSSIONS, CONCLUSION, AND RECOMMENDATIONS

Discussions

Research Question 1 and HO1: What is the relationship between leadership style and employee motivation among graduate trainees at Konga in a remote work environment?

The findings of this study reveal a significant relationship between leadership style and employee motivation. The ANOVA test confirmed that the p-value (0.045) was less than 0.05, leading to the rejection of the null hypothesis (HO1), which stated that there is no significant relationship between leadership style and employee motivation. This finding aligns with theories of transformational leadership, which emphasize that leaders who provide clear guidance, support, and constructive feedback tend to motivate their employees more effectively, even in remote work settings. Similar studies reviewed in the literature, such as those by Avolio et al. (2018) and Bass (2015), support this relationship, emphasizing that transformational leadership styles are associated with increased employee motivation, particularly when employees perceive their leaders as accessible and supportive. I found this result expected because leadership in remote environments requires more proactive engagement to maintain motivation, as previous coursework has highlighted the importance of communication and goal-setting in employee management. Given the challenges posed by remote work, these findings underscore the crucial role of leadership in sustaining motivation when direct supervision is minimal.

Research Question 2 and HO2: How does leadership style impact the productivity and job satisfaction of graduate trainees at Konga?

The analysis showed that leadership style significantly affects both job satisfaction and productivity, as demonstrated by the p-value of 0.034, which is less than the significance level of

  1. Therefore, the null hypothesis (HO2) is rejected. The respondents expressed a high level of satisfaction with their roles and productivity, attributing these to effective leadership approaches. This result is consistent with Herzberg’s two-factor theory, which suggests that job satisfaction is driven by motivators (e.g., recognition and responsibility) and hygiene factors (e.g., working conditions). Comparing this finding with previous studies, such as those by Judge and Piccolo (2019), which indicate that leadership has a direct impact on employee satisfaction, further reinforces that employees who perceive their leaders as supportive and involved are more likely.

To feel satisfied and perform better. The remote setting makes leadership even more critical for maintaining clear expectations and providing feedback that can enhance satisfaction and productivity. I was not surprised by these findings because my academic background has emphasized the importance of leadership in determining employee outcomes in varying work environments.

Research Questions 3 and HO3: Does leadership style contribute to the professional growth of graduate trainees at Konga in a remote work setting?

The ANOVA test confirmed that leadership style significantly contributes to professional growth, with a p-value of 0.029. This led to the rejection of the null hypothesis (HO3), suggesting that employees perceive their leaders as instrumental to their career development. This finding aligns with the path-goal theory, which posits that effective leaders clarify the paths that employees should follow to achieve both personal and professional goals. From the literature, studies such as those by House (2016) confirm that leadership styles, especially those that are participatory and supportive, significantly contribute to professional development. My findings were expected, as previous coursework has reinforced the idea that leaders who invest in the development of their team members foster long-term organizational growth and employee retention. In a remote setting, this professional growth might be particularly challenging without the right leadership approach, emphasizing the importance of clear guidance and developmental opportunities.

Conclusion

This study concludes that leadership style has a significant impact on employee motivation, job satisfaction, productivity, and professional growth in a remote work environment, as evidenced by the experiences of graduate trainees at Konga.

Recommendations

Based on the findings of this study, the following recommendations were made;

  1. Organizations should invest in leadership development programs that focus on transformational leadership styles to improve employee motivation, especially in remote work settings.
  1. Leaders should be encouraged to maintain open, accessible, and frequent communication with their team members to support job satisfaction and productivity.
  2. Companies should establish clear career growth paths and offer mentorship programs to foster professional growth among remote employees.
  3. Leadership approaches should be tailored to the specific needs of remote employees to maintain their engagement and motivation in the absence of in-person interaction.

Implications For the Study

The implications of this study are significant for organizational leadership, particularly in remote work environments. The findings suggest that organizations that invest in effective leadership styles, such as transformational leadership, are more likely to experience higher employee motivation, job satisfaction, productivity, and professional growth. This study also implies that remote work, while challenging, can be managed effectively with the right leadership approaches.

For managers, the study highlights the need for more intentional efforts in employee engagement and development when face-to-face interactions are limited. Furthermore, the study’s implications extend to leadership training and organizational development programs, which should incorporate strategies for managing teams in remote work environments.

Limitations For the Study

  1. The study was conducted within a single organization, which limits the generalizability of the findings to other organizations or industries.
  2. The study focused exclusively on a remote work environment, which may have different dynamics compared to traditional office settings. The findings may not fully apply to in-person work environments.
  3. The data was collected through self-reported questionnaires, which may be subject to bias as participants could provide socially desirable responses rather than accurate reflections of their experiences.

REFERENCES

Avolio, B. J., Walumbwa, F. O., & Weber, T. J. (2018). Leadership: Current theories, research, and future directions. Annual Review of Organizational Psychology and Organizational Behaviour, 5, 423-452.

Bass, B. M., & Riggio, R. E. (2014). Transformational leadership (2nd ed.). Psychology Press.

Clark, T. & Williams, J. (2021). Remote work and its impact on employee motivation: A systematic review. Journal of Organizational Behaviour, 42(2), 134-150.

House, R. J. (2016). A path-goal theory of leader effectiveness. Administrative Science Quarterly,

16(3), 321-339.

Johnson, D. W., & Daniels, C. (2018). Transactional leadership and employee engagement: A study of the effects in the workplace. Journal of Leadership Studies, 12(3), 34-47.

Johnson, D. W. (2018). Building connections: The role of leadership in enhancing job satisfaction in remote work settings. Journal of Business Psychology, 33(2), 257-272.

Judge, T. A., & Piccolo, R. F. (2019). Transformational and transactional leadership: A meta-analytic test of their relative validity. Journal of Applied Psychology, 92(2), 755-768.

Martins, L. L., Gilson, L. L., & Maynard, M. T. (2020). Virtual teams: What do we know and what do we need to know? Annual Review of Organizational Psychology and Organizational Behaviour, 7, 185-210.

Nelson, T. R., & Daniels, J. (2020). Understanding descriptive research design and its applications in organizational studies. Journal of Research Methods in Management, 15(1), 45-60.

Robinson, S. P., & Shepard, J. M. (2017). The impact of transactional leadership on employee performance. Leadership & Organization Development Journal, 38(5), 707-718.

Smith, A. B., & Jones, C. D. (2019). Supportive leadership and job satisfaction in remote teams.

International Journal of Human Resource Management, 30(4), 560-578.

Questionnaire: Impact of Leadership Approach on Employee Motivation and Performance Section A: Demographic Characteristics

Age: (a) 18 – 24 (b) 25 – 30 (c) 31 – 35

Gender: (a) Male (b) Female

How long have you been part of the graduate trainee programme: (a) Less than 6 months (b) 6 – 12 months (c) Over 1yr

Section B: Leadership Style

ItemSAADSD
My supervisor provides clear and consistent guidance in the remote work environment.    
My supervisor supports my professional development.    
My supervisor is accessible and responsive to my queries.    
My supervisor sets realistic and achievable goals for me.    
The feedback I receive from my supervisor is constructive and helpful.    

Section C: Job satisfaction and productivity

ItemSAADSD
I am satisfied with my current role and responsibilities in the remote work setting.    
The current leadership approach contributes positively to my professional growth.    
I can maintain a high level of productivity while working remotely.    
The remote work environment allows me to achieve a good work-life balance.    
I  receive adequate support from my supervisor to perform my duties effectively.    

Section D: Professional Growth

ItemSAADSD
I feel that my contributions are valued in the remote work setting    
The leadership approach in my team positively affects my motivation to work.    
I  receive adequate support from my supervisor to perform my duties effectively.    

LEADERSHIP AND EMPLOYEE MOTIVATION IN REMOTE WORK ENVIRONMENT: A STUDY OF GRADUATE TRAINEE AT KONGA Read More »

UTILIZATION OF ARTIFICIAL INTELLIGENCE AS A VERITABLE TOOL FOR PSYCHOSOCIAL PREPAREDNESS IN THE MODERN AGE, PERCEPTION OF PRE-RETIREMENT EMPLOYEES OF FCDA ABUJA

By
 
NKECHINYERE STEPHANIE CHINEDU-OKORO
E-mail: (kekestephanie@yahoo.co.uk)
Phone no. +2348034510095
 
MASTERS IN BUSINESS ADMINISTRATION, LEARN TO LIVE BUSINESS SCHOOL.
 
2024

ABSTRACT:

Retirement preparedness in modern times has shifted from just financial planning, which has dominated discussions on retirement preparedness over the years, to the psychosocial aspect of retirement preparedness. The decade is replete with remarkable improvements in every area of human development brought about by Artificial Intelligence.  However, the perception of individuals has limited the acceptance and utilization of Artificial intelligence coupled with the incredulity associated with its application in their careers especially in their psychosocial preparation for new levels of their lives such as retirement from their workplaces.  

This study sought to determine the perception of pre-retirees to the utilization of Artificial Intelligence as a tool in their retirement preparedness. This study explored and analyzed the participants’ views, which were drawn from 87 pre-retirement employees of FCDA Abuja using a purposeful sampling technique. Oral interviews and printed-out questionnaires were used to collect data, 3 research questions and 3 hypotheses guided this study. Statistical analysis was applied using the chi-square to determine outcomes. The null hypothesis was tested at a 0.5 confidence level. The results showed that gender had no significant difference in perception and utilization of Artificial intelligence. It was discovered that the use of Artificial intelligence was more welcomed in cases where there was human assistance in the interface than where participants had to interact with the machines directly. Also, there was appreciable acceptance from their participants when Artificial Intelligence was viewed as a benefit other than a trait to their job security. It is pertinent to mention that participants strongly expressed concerns about data privacy, which may be attributed to nationwide cyber insecurity being experienced in the locality.

KEYWORDS:

  • Artificial Intelligence
  • Retirement
  • Psychosocial
  • Preparedness
  • Acceptance
  • Rejection

INTRODUCTION:

BACKGROUND OF THE STUDY

New inventions and innovations are often met with skepticism or no acceptance until such innovations are proven to ameliorate and augment some aspects of our existence.

It is globally acknowledged that Artificial Intelligence is an evolving technology in which Computer systems are programmed to perform tasks that only humans could hitherto accomplish. According to Emeritus Stanford Professor John McCarthy (1955), “Artificial Intelligence is the science and engineering of making intelligent machines”. It is an evolving technology that tries to simulate human intelligence using machines. These include intellectual characteristics and problem-solving attributes. The inclusion of automation in our daily living has been gradually accepted, and we find individuals cut across every age and strata of society adhering to the acceptance of this new normal. Over the last decade, there has been a rapid proliferation of Artificial Intelligence in many organizations, as rightly pointed out by Bonson et al (2022). However, there seems to be a glitch and disconnect between the use of Artificial Intelligence as a tool for successful career achievements and the personalized use of Artificial Intelligence for daily living especially in issues concerning preparations for retirement.

Retirement is a process when employees planning decisions generally focus on the real exit of an individual from a career job, which he has held for almost all his active years accompanied by changes that include his psychosocial performance, social and interpersonal, cognitive and cultural part of him that determines his motivation, relationships, unconscious dynamics that may influence his temperament, his drive, energy and generally his performance in his meaningful daily life activities as cited by Titru et al (2019).  In her work, Ghilarducci (2024) portrayed retirement as “taking a dignified off-ramp from working years”. However, as employees transit from workers to retirees, there arises the need to examine the extent to which the use of this technology which simplifies livelihood is accepted or adopted as a tool for preparing for their new level. Also, Lifestyle and choices for retirement readiness should entail re-modeling life quality in the remaining years after retirement, which requires preparedness. Davidson (2024) described Artificial Intelligence as “a transformative technology that is reshaping how we approach retirement planning” but there is a need to examine the extent the AI technology has been adopted by those concerned.

Psychosocial according to the Oxford English Dictionary, 2012 means “About the influence of social factors on an individual’s mind or behavior, and the interrelation of behavioral and social factors”. Thus Psychosocial dimension/aspects of human performance are those social and interpersonal, cognitive and cultural parts of a person that determine his motivation, relationships, and unconscious dynamics that may influence his temperament, drive, energy, and generally his performance in his meaningful daily life activities as defined by the American Journal of Occupational Therapy (vol.58, issue 6). 

Kath Woodward (2015) shows psychosocial as combining the personal and social elements of human behavior. It can also mean an individual’s sense of self and agency. An individual’s sense of self is influenced by the social, cultural, personal, Psychological, and Spiritual contexts in which these occupations occur as given by Ramsey (2004). More explicitly, Mosey (1996) defines Psychosocial as “About intrapersonal, interpersonal, and social experiences and interactions that influence occupational behavior and development. These are aspects of personality, temperament, energy, and drive for their daily life. 

No doubt, Artificial Intelligence has the potential to significantly enhance psychosocial preparedness for employees as it offers personalized support and resources but understanding employee perception and addressing their concerns will be very vital, especially in aspects of their lives that can be enhanced with Artificial Intelligence tools or applications for retirement planning which include but not limited to finance planning, communication, investment planning and tracking, health management etc.

Globally, Artificial Intelligence utilization has been employed as an effective tool to reorder or alleviate the stress and anxiety associated with the transition from worker to retiree, more so as there is the need to maintain the individual’s relevance in their social, acquisition, and professional lives. Skills influenced by Artificial Intelligence have proven to be the ladder to improve life expectancy, and response to situational and environmental changes that can directly support an individual’s potential. Tools like speech recognition devices, multi-lingual translators even intelligent conversational computer systems and Emotional Intelligence tools such as facial recognition and expression interpreters are all assistants that will make life easier for their users.

STATEMENT OF THE PROBLEM

Artificial intelligence technology introduced many innovations, which have affected our daily lives and our mode of living. The use of intelligent devices has simplified our lives with the numerous advantages it brings, however, the concerns of personal data disclosure and accessibility have affected its perception and utilization, especially among Pre-retirement employees. We will seek to determine how these individuals perceive Artificial Intelligence and how much they are willing to utilize automation. We shall also examine those factors that can facilitate its acceptability.

PURPOSE OF THE STUDY

The concern of this study is, therefore, to investigate how the acceptance or rejection of Artificial Intelligence technologies can support psychosocial preparedness, analyzing the sentiments of the employees and also advocate a positive outlook of Artificial Intelligence by these individuals to improve their response to automation which will, in turn, respond to their situation and could support them harness their potentials and contribute to their immediate needs communities, economically, socially, politically and otherwise even after retirement.

Studies on differences in the perception of Artificial Intelligence depending on age were conducted by Pelau et al (2018), in their research on “Difference in the perception on Artificial Intelligence Depending on Age” at the proceedings of the International Conference on Economic and Social Sciences, they analyzed this study in the area of perception of Artificial Intelligence by individuals of different age brackets. However, this study will be looking at the Utilization of Artificial Intelligence as a tool for psychosocial preparedness in the modern age, with a particular focus on pre-retirement employees from Federal Capital Development Authority Abuja Nigeria. In as much as studies have shown that Artificial Intelligence is more accepted by the younger generation than in the older people, we shall seek to find the reasons for the non-acceptance, whether it is because it is a nouvelle technology, or if it a gender issue, a social status placement factor, illiteracy or any other reason that should be addressed.

SIGNIFICANCE OF THE STUDY

This study will benefit not only the individual but also the society as it touches the psychosocial life of these individuals, and their response to situational and environmental changes that can support their potential to continue to contribute to their immediate needs, to their communities, economically, socially, politically and otherwise. A positive perception will enhance an individual’s response to these things and a negative perception will only draw the individual very far from present-day realities and in the long run affect the society at large.

This study is anchored on the theory of perception because there is noticeable skepticism about the application of automation to an individual’s personal life especially by the older generation; even when they have been exposed to computers in their daily work during their active days.  We want to ascertain why there is a disconnection and also how much one stands to gain if these disconnects are eliminated.

THE OBJECTIVES OF THIS STUDY ARE:

1) To investigate how employees of FCDA perceive Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement.

2) To examine how employees of FCDA utilize Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement.

3) To outline factors that promote the acceptance or reservations of the employees of FCDA in incorporating Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement.

RESEARCH QUESTION

The following research questions guided this study:

1) How do employees of FCDA perceive Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement?

2) How do employees of FCDA utilize Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement?

3) What factors promote the acceptance or reservations of the employees of FCDA in incorporating Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement?

HYPOTHESES

The following Hypotheses were tested at a 0.05 level of probability to guide this study:

HO1: There is no significant difference between the opinion of male and female

 respondents with regards to how employees of FCDA perceive Artificial

 Intelligence as a veritable tool for psychosocial preparedness for retirement.

HO2:   There is no significant difference between the opinions of male and female

 respondents concerning how employees of FCDA utilize Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement.

HO3:   There is no significant difference between the opinions of male and female

respondents concerning factors that promote the acceptance

or reservations of the employees of FCDA in incorporating Artificial Intelligence

 as a veritable tool for psychosocial preparedness for retirement.

EMPIRICAL STUDIES

In their presentation titled “Difference in the Perception of Artificial Intelligence Depending on Age” Pelau et al (2018) determined the perception of different segments of consumers regarding the use of smart devices and forms of artificial intelligence. By applying the discriminant analysis, they tested the impact of demographic characteristics such as age, gender, and income on the perception of situations in which artificial intelligence is used. The result of the research showed that analyzed perception is different depending on age, in the sense that the younger generation rather accepts Artificial intelligence, for demographic factors gender, and income, no significant difference was observed. 

As was noted by Walubengo et al (2022) in their study on “Effects of Psychological Preparedness on Pre-Retiree Retirement Planning Behaviour”, retirement planning had recently seen a shift to Psychological and social preparedness from financial planning which before now was the only consideration made on retiree preparedness. The study analyzed quantitative data using descriptive interferential statistics with the Statistical Package for Social Science version 25.0 for Windows. The study found that Psychological preparedness significantly influences retirement planning behaviors thus it should not be dominated by financial planning and preparedness. 

Lusardi et al(2007) in their write-up on “Financial literacy and retirement preparedness: Evidence and implications for financial Education programs” pointed out that most older people in different countries are woefully under-informed about financial literacy which in turn have serious implications for their retirement planning and preparedness.

This current study looks at Artificial Intelligence perception in Pre-retirees especially in FCDA Abuja, its acceptance and utilization as a veritable tool for retirement preparedness. It will seek to find the relevance, advantages, impact, and factors that will enhance acceptance and the use of Artificial Intelligence. It will also address the reason for rejection of the use of Artificial Intelligence on the part of the employees if any, and make suggestions on the way forward. This study explored and analyzed the participants’ views drawn from 87 pre-retirement employees of FCDA Abuja 10 years to retirement. The study applied the chi-square statistical analysis using collected data to determine the result.    

 METHODOLOGY 

RESEARCH DESIGN: This study used the survey research design thus interviews and questionnaires were administered to participants.

AREA OF STUDY: The study was conducted in the Federal Capital Development Authority (FCDA). FCDA was established in 1996 following the creation of Abuja as the new capital city of Nigeria. It was the arm in charge of planning and managing the capital city, hence the moving of Government staff of different grade levels from Lagos, the former capital of the country, to Abuja. As of 2023, the establishment boasts a staff strength of over 5,000 professionals from different strata of society.

The establishment is made up of Secretariats and Departments. The Secretariats include Area Council Services, Education, Transportation, Agriculture and Rural Development, Youth Development, Women Affairs, Health and Human Services, while the Departments Include Development Control, Abuja Geographic Information Systems (AGIS), Abuja Environmental Services, and the Department of Development Control, etc.

Professionals in different field are employed at several departments such as Teachers, Nurses, Engineers, Administrators, Town planners, Architects, and also Estate Valuers, which makes it easier to interact with these diverse calibers of individuals.           Since its inception, the establishment has turned out a good number of retirees with the passing years hence the quest of how prepared these individuals are to face the society after their retirement more especially in this modern age where automation has come to replace our traditional ways of doing things. What is the perception of these individuals towards Artificial Intelligence and how much of it are they willing to accept as a tool for retirement preparedness?

POPULATION: The employee population within the FCDA is currently estimated at above 5000 individuals thus it is necessary to reduce those to be sampled to manageable proportions. The study focused on staff with less than 10 years to retirement.

The sample size was made up of 87 respondents, which were drawn mainly from the staff of the Head Office and particularly from the Department of Development Control and the Education Departments.

SAMPLING TECHNIQUE: Purposive sampling technique was employed to gather insights as the aim was to test individuals close to retirement and also with different working backgrounds, genders, orientations, and grade levels whose sentiments may not be the same.

INSTRUMENT OF DATA COLLECTION: Printed-out survey Questionnaires and oral interviews.

VALIDATION AND RELIABILITY: The instrument was passed through a validation and reliability test.

METHOD / PROCEDURE FOR GATHERING DATA:  Participants were hesitant to give out their e-mail addresses nor were they willing to fill out an online questionnaire unless the researcher was willing to individually go through it with them while they select their answers. Thus, the resolve to use hard-copy printouts of the questions, which facilitated the work. A few oral interviews were also used.

Questionnaires were administered to the Participants through their Departmental Heads to facilitate ease and convenience of completion and the questionnaires were collected three days later. In the meantime, follow-ups with phone calls and reminders were done through the Heads of Departments as most participants were field workers at their site offices and seldom found time to sit in the office. The Participants were asked about their experiences with Artificial Intelligence tools perceptions of these tools in the context of retirement, and the psychosocial challenges they face. Most were reluctant to access the questions online consequently, hard-copy printouts were mostly attended to. Also, a personal interview was used to complement data generated with a questionnaire to provide much-needed information on the study. It also enabled the researcher to verbally shed more light on areas that may not be well explained in the questionnaire.

METHOD OF DATA ANALYSIS

The data collected through questionnaires were analyzed using simple percentages, tabulations, and frequency distributions.

The chi-square statistical method was used to test the hypotheses.

Formula: X2 = Σ(f0–fe)2

                               fe

where              f0 = observed frequency

                        fe =expected frequency

                        Σ = summation

                        X2= chi-square

The analysis procedure for the chi-square statistical method as stated by Chisenell (1973) is as follows:

Set the null hypothesis (Ho) and alternative hypothesis (H1)

Construct a contingency table for observed frequency (fo)

Construct a contingency table for expected frequency (fe) by multiplying a row total by the corresponding column total and dividing the result by the grand total i.e

fe = Row total x Column total

                                       Grand total

Degree of freedom = (R-1) (C-1)

                        Where R = Row

                                    C = Column

A 5% significant (allowance for error) which is standard for research study would be employed.

Calculate the chi-square value using the formula:

X2 = Σ(f0–fe)2

                               fe

Read off the table chi-square value (X2 tab) from the chi-square table using a 5% level of significance on the column and the calculated degree of freedom on the row.

Compare the calculated chi-square value with the table chi-square value.

Give Decision Rule.

The Null Hypothesis is rejected where the value of the calculated chi-square is greater than the value on the chi-square table, otherwise, we will accept the Hypothesis.

BACKGROUND OF RESPONDENTS:

GENDER OF RESPONDENTS (Table 1)

SEXNUMBER OF RESPONSESPERCENTAGE
Male5260
Female3540
Total87100

The table shows that 60% of respondents are male, while their female counterparts constitute 40%. This shows that the male respondents are the majority.

AGE DISTRIBUTION OF RESPONDENTS (Table 2)

RESPONSESNUMBER OF RESPONSESPERCENTAGE
BELOW 3044.5
31 – 4055.75
41 – 502023.0
51 – 605765.5
61 to retirement11.25
Total87100

From the table, the highest percentage of 65.5% falls between the ages of 51-60. This shows that the highest number of respondents are between the ages of 51-60

ACADEMIC QUALIFICATION OF RESPONDANTS (Table 3)

QUALIFICATIONNUMBER OF RESPONDENTSPERCENTAGE
WAEC78.1
NCE/ OND3135.6
DEGREE AND ABOVE4956.3
OTHERS
TOTAL87100

The highest percentage, 56.3%, are holders of a Bachelor’s Degree or above, which means that the highest number of respondents are Degree holders or above.

POSITION HELD BY RESPONDENTS (Table 4)

RESPONDANTS GRADE LEVELNUMBER OF RESPONDENTSPERCENTAGE
BELOW G/L 71517.2
G /L 8 -102225.3
G /L 12-144652.9
ABOVE G /L 1544.6
TOTAL87100

From the table, the highest percentage which is 52.9% constitute those in Grade levels 12-14. This shows that the majority of the respondents are senior staff.

RESULTS AND FINDINGS

The results of the study are presented by the research questions and hypotheses.

RESEARCH QUESTION I: How do employees of FCDA perceive Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement?

AI PERCEPTION BY RESPONDENTS (Table 5)

PERCEPTIONPositiveNeutralNegativeTotal
Male30121052
Female2010535
Total50221587

Calculate expected frequency (fe)

fe = (Row Total) X (Column Total)

               Grand Total

Expected value:

fe Male and Positive

52 X 50

    87                = 29.89

fe Male and Neutral

52 x 22

   87                 = 13.16

fe  Male and Negative

52 x 15

   87                 =8.97

fe Female and Positive

35 X 50

    87                = 20.11

fe Female and Neutral

35 x 22

    87                = 8.84

fe Female and Negative

35 x 15

    87                = 6.03

Calculate the Chi-Square (X2)

Formular: X2 = Σ(f0–fe)2

                               fe

where             f0 = observed frequency

                        fe =expected frequency

                        Σ = summation

                        X2= chi-square

Male and Positive

(30-29.89)2      (0.11)2

    29.89       =   29.89    =  0.0004

Male and Neutral

(12 – 13.16)2   (-1.16)2

    13.16       =   13.16    =  0.0989

Male and Negative

(10- 8.97)2       (1.03)2

    8.97       =    8.97       =  0.1183

Female and Positive

(20-22.11)2      (0.11)2

    20.11       =   20.11    =  0.0006

Female and Neutral

(10-8.84)2        (1.16)2

    8.84      =      8.84   =  0.1629

Female and Negative

(5- 6.03)2         (-1.03)2

     6.03      =     6.03    =  0.1771

Summation: Σ

X2 = 0.0004 + 0.0989 + 0.1183  + 0.0006 + 0.1629 + 0.1771 = 0.5582

Degree of freedom = (R-1) (C-1)

                        Where R = Row i.e (2) (male and female)

                                    C = Column (3) (Positive, neutral & negative)

 df = (2-1) (3-1) = 1 x 2 = 2

Critical value: for α = 0.05 and df = 2

                                    The critical value is approximately 5.99

The calculated Chi-square statistic 0.5582 is less than the Critical value of 5.99

Conclusion: We accept the null hypothesis. This means that there is no significant difference between male and female employees’ perceptions of Artificial Intelligence based on the data provided

TEST HYPOTHESIS:

Ho       There is no significant difference between male and female

 respondents about how employees of FCDA perceive Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement.

RESEARCH QUESTION I1:  How do employees of FCDA utilize Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement?

DESCRIPTION OF RESPONDENTS USE OF AI  (Table 6)

DESCRIPTIONVery regularlyRegularlyOccasionallyTotal
Male405752
Female208735
Total60131487

RESPONDENTS IN FAVOUR OF ASSISTED UTILIZATION OF AI (Table 7)

AGENUMBER OF POSITIVE RESPONSESPERCENTAGE
BELOW 3044.5
31 – 4055.75
41 – 502023.0
51 – 605765.5
61 to retirement11.25              
Total87100

From Table 6, the highest percentage 100% is ok using AI with the help of a middleman. This shows that all the responses are in favor of the assisted use of AI.

The null hypothesis is tested using Chi-square statistical methods:

Formular: X2 = Σ(f0–fe)2

                               fe

The expected frequency (Fe) is calculated thus:

fe Male, Very regularly            = 52 X 60

        87            = 35.69

 fe Male,  regularly                   = 52 X 13

        87            = 7.80

fe Male, occasionally               = 52 X 14

        87            = 8.37

fe female, Very regularly         = 35 X 60

        87            = 24.14

fe female,   regularly                = 35 X 13

        87            = 5.20

fe female, occasionally            = 52 X 14

        87            = 5.63

Calculate the Chi-Square (X2)

Formular: X2 = Σ(f0–fe)2

                               fe

where              f0 = observed frequency

                        fe =expected frequency

                        Σ = summation

                        X2= chi-square

Male very Regularly =

(40-35.69)2      (4.31)2

                                     35.69              =  35.69    =  0.525

Male, Regularly =

(5 -7.80)2         (-2.80)2

                                       7.80              =  7.80     =  1.012

Male Occasionally =

(7 – 8.37)2       (-1.37)2

                                        8.37             = 8.37      =  0.227

Female very Regularly = (20-24.14)            (-4.14)2

                                       24.14            =  24.14    =  0.711

Female, Regularly =

(8 – 5.20)2       (2.80)2

                                        5.20             = 5.20     =  1.51

Female Occasionally =

(7 – 5.63)2       (1.37)2

                                        5.63             = 5.63      =  0.323

Summation: Σ

X2 = 0.525 + 1.012 + 0.227 + 0.711 + 1.15 + 0.323 = 4.31

Degree of freedom = (R-1) (C-1)

                        Where R = Row i.e (2) (male and female)

                                    C = Column (3) (Positive, neutral & negative)

 df = (2-1) (3-1) = 1 x 2 = 2

Critical value: for α = 0.05 and df = 2

                                    The critical value is approximately 5.99

Comparing X2 with critical value,

The calculated Chi-square statistic 4.31 is less than the Critical value of 5.99

                                                4.31 < 5.99

Conclusion: we accept the null hypothesis.

We conclude based on the hypothetical data that there is no significant difference between male and female employees in how they utilize AI.

TEST HYPOTHESIS

HO2:   There is no significant difference between the opinions of male and female

respondents with regards to how employees of FCDA utilize Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement.

RESEARCH QUESTION I11: What factors promote the acceptance or reservations of employees of FCDA to incorporating Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement?

FACTORS THAT PROMOTE ACCEPTANCE OF AI (Table 8)

FACTORSBENEFIT AWARENESSTRAINING  & SUPPORTJOB SECURITYTotal
Male3015752
Female2010535
Total50251287

The null hypothesis is tested using Chi-square statistical methods:

Formula: X2 = Σ(f0–fe)2

                               fe

The expected frequency (Fe) is calculated thus:

fe Male, Very regularly            = 52 X 50

        87            = 29.89

 fe Male,  regularly                   = 52 X 25

        87            = 14.94

fe Male, occasionally               = 52 X 12

        87            = 7.17

fe female, Very regularly         = 35 X 50

        87            = 20.11

fe female,   regularly                = 35 X 25

        87            = 10.10

fe female, occasionally            = 52 X 12

        87            = 4.83

Calculate the Chi-Square (X2)

Formula: X2 = Σ(f0–fe)2

                               fe

where              f0 = observed frequency

                        fe =expected frequency

                        Σ = summation

                        X2= chi-square

Male, Benefit awareness =

(30-29.89)2      (0.11)2

                                     29.89              =  29.89    =  0.0004

Male, Training & support =

(15 -14.94)2     (0.06)2

                                       14.94            =  14.94     =  0.0002

Male, Job Security  =

(7 –7.17)2        (-0.17)2

                                        7.17             = 7.17      =  0.0040

Female, Benefit awareness =

(20- 20.11)2     (-0.11)2

                                       20.11            =  20.11    =  0.0051

Female, Training & support  =

(10-10.10)2      (-0.1)2

                                        10.10           = 10.10     =  0.0010

Female Job security  =

(5-4.83)2          (0.17)2

                                        4.83             = 4.83      =  0.0061

Summation: Σ

X2 = 0.0004+ 0.0002 + 0.0040 + 0.0051+ 0.0010 + 0.0061 = 0.0168

Degree of freedom = (R-1) (C-1)

                        Where R = Row i.e (2) (male and female)

                                    C = Column (3) (Positive, neutral & negative)

 Df = (2-1) (3-1) = 1 x 2 = 2

Critical value: for α = 0.05 and df = 2

                                    The critical value is approximately 5.99

Comparing X2 with critical value,

The calculated Chi-square statistic 0.0168 is less than the Critical value of 5.99

Conclusion: we accept the null hypothesis.

We conclude based on the hypothetical data that there is no significant difference between male and female employees on how they utilize Artificial Intelligence.

TEST HYPOTHESIS

HO3:   There is no significant difference between the opinion of male and female

respondents with regards to factors that promote the acceptance or reservations of employees of FCDA to incorporating Artificial Intelligence as a veritable tool for psychosocial preparedness for retirement.

DISCUSSIONS:

The objective of the study was to investigate how pre-retirement employees perceive and utilize Artificial Intelligence. Also to examine factors that affect its acceptance by the employees.

In the course of this study, the following was discovered:

  1. Respondents expressed a growing awareness of Artificial Intelligence Tools.

Participants acknowledged that these resources are often easily accessible and user-friendly.

  • They noted that Artificial Intelligence tools facilitate learning about lifestyle changes, which they might not have expected and were not exposed to but for this technology.
  • The participants agreed that Artificial Intelligence offers personalized resources and recommendations based on their peculiar needs. However, they question its ability to understand and address their emotional needs.
  • The social status of the respondents played no significant role in their acceptance or rejection of Artificial Intelligence, however, we cannot overlook the fact that the internet plays a role in the use of Artificial Intelligence and the cost of the internet is not cheap. 
  • Education and exposure to technology played a major role in positive perception of the importance of utilizing Artificial Intelligence.
  • With the help of an assistant, more respondents were more confident and willing to utilize Artificial Intelligence (see Table 7)

LIMITATIONS OF THE METHODOLOGY

In this study, certain shortcomings of the method applied were visible. Some of these include:

  1. Participants were reluctant to access the questionnaire online even though it was their best bet as they could answer the questions on the go.
  2. The majority of them considered the research a waste of time claiming that it will not serve any useful purpose to them as most opine that working for the Government lives one with little or nothing to fall back on thus financial plans, tourism, and investment plans are mere fantasy that they may not attain even after retirement.
  3. Some of the respondents who took the questionnaires never returned them while the ones who saw the questions online only attended to it when the administrator was there to read it out to them.

The last point raised here showed that people were more willing to use automated machines with the assistance of a middleman or a mediator between the machine and them. Their skepticism about divulging their details especially online is palpable. At every point they required someone whom they would hold responsible should their personal opinion be seen as counterproductive.

  • In addition, there was the possibility of bias in the responses received. In some cases, the respondents were seen trying to impress the administrator with the questions rather than expressing their sincere opinion on the subject matter.
  • Socially, they fear that the embrace of the use of Artificial Intelligence will cause a withdrawal from gatherings and human interaction, which might in turn promote loneliness and eventually, depression.
  • Considering the diverse cultural background and their unique needs. Religion and its effect on people’s mode of life cannot be overlooked. The mentality and mindset of some participants were also a major determinant of their perception of AI. They also fear that machines without souls and emotions will give out Artificial Intelligence recommendations that may not fully address their peculiar individual situations.
  • The fear of over-dependence on automation is another factor that impedes the full acceptance of AI by these Pre-retirees. The addictive nature of AI tools which the younger generation is battling is also a factor for its rejection by these participants.

RECOMMENDATIONS:

  1. This work has discussed that Artificial Intelligence is the ability of machines to improve retirement preparedness, however, while AI can serve as a valuable tool for psychosocial preparedness, its limitations must be acknowledged. A balanced approach that incorporates human interaction alongside AI intervention is essential for addressing the needs of Pre-retirement employees.
  • Introduction of the use of Artificial Intelligence in the schedule of courses and trainings for employees in the course of their work will not only facilitate their work but will help eliminate fear and enhance trust in the use of automation which will in turn increase their willingness to use AI in retirement planning and enhance their psychosocial preparedness.  Automation Programs should be designed to cover not only financial but necessary psychosocial needs of employees. Instead of randomly coming up with programs, that may not encourage personalized use of AI, training courses should include courses on psychological and social preparedness with AI. Relevant organizations should make concerted efforts to bring their employees up to speed with this evolving technology, which will address their psychosocial needs.
  • A supportive working environment that will combine AI with human interaction will better prepare employees for the transition to retirement. 
  • Training, workshops, online courses, peer mentoring, and technical training on tools or applications such as social engagement apps, travel planning apps, and financial and health management apps which could enhance employees’ ability to make a living after retirement should be introduced to these individuals in preparation for retirement.
  • Virtual counselors and online support forums should be introduced within organizations as this will help improve workers’ perception of Artificial Intelligence in the course of their jobs, and their daily living.
  • Factors that were noted in the course of this research (see Table 8) such as Benefit awareness, training support, and job security will help convince these workers that AI is not intended to run them out of their jobs but to help facilitate their work.
  • Assurance that AI does not cause job loss but job facilitation will encourage a positive perception. Job security is every employee’s topmost concern. 

REFERENCES:

Titrus G. Gathiira, Stephen M. A. Muathe & James M. Kilika, (2019) Psychosocial Programmes and employees Retirement Preparedness: Empirical Evidence From the Educational Sector in Kenya. (International Journal of Business Administration, Sciedu Press, Vol. 10(2), Pages 85-95, March.

Ruth Ramsey (2004)  Psychosocial aspect of Occupational therapy (American Journal of Occupational Therapy (vol.58, issue 6) Novrmber – December.

Emeritus Stanford Professor John McCarthy (1956), Dartmouth Conference on Artificial Intelligence, Dartmouth College Press

Teresa Ghilarducci, 2024, Work, Retire, Repeat, University of Chicago Press

Kath Woodward (2015), Psychosocial studies an introduction. Routledge Taylor & Francis Group London.

Rescuing Retirement, Teresa Ghilarducci & Tony James (2018), Colombia University Press

Exploring Artificial intelligence (1988) American Association for Artificial Intelligence, Morgan Kaufmann Publishers

Smart Retirement Harnessing AI for your golden years (2024) Dizzy Davidson Pure Water Books, August

Anne Cronin Mosey, (1996) Occupational Therapy Configuration of a Profession, Ravent Press, December

Corina PELAU, Bogdan NISTOREANU and Irina ENE (2018), “Difference in the perception of Artificial Intelligence Depending on Age” International Conference on Economic and Social Sciences, University of Bucharest University of Economic Studies, Romania, Vol. 1(1), pages 466-472, April.

Rose Walubengo and S Kipchumba (2022), “Effects of Psychological Preparedness on Pre-Retiree Retirement Planning Behaviour” International Journal of Research and Innovation in Social Sciences, Vol.6 (5), Pages 679-692, May

Annamaria Lusardi and Olivia s Mitchell (2007) in their write-up on “Financial literacy and retirement preparedness: Evidence and implications for financial Education programs” Working Papers 144, University of Michigan Retirement Research Center.

Enrique Bonson & Michaela Bednarova (2022), “Artificial Intelligence Disclosures in Sustainability Reports: Towards an Artificial Intelligence Reporting Framework”, Lecture notes on Information Systems and Organisation, Digital Transformation in Industry, Pages 391-407, Springer.

APPENDIX

My name is Nkechinyere Chinedu-Okoro, I am conducting research in fulfillment of my Master’s Degree in Business administration at Learn to Live Business School, UK. I am reaching out to you to participate in my research work with the topic: “UTILIZATION OF ARTIFICIAL INTELLIGENCE AS A VERITABLE TOOL FOR PSYCHOSOCIAL PREPAREDNESS IN MODERN AGE, PERCEPTION OF PRE-RETIREMENT EMPLOYEES OF FCDA ABUJA”.

Kindly oblige me by responding to the following questions:

PLS TICK SELECTED RESPONSES.  For this questionnaire, we shall abbreviate Artificial Intelligence to AI.

Gender: þ             MALE (    )            FEMALE  (    )

Age Range:           w21-30                  

w31-40                                                  

w41-50                                                  

w51-60                                                                  

Qualification:       WAEC/SSC

                                  NCE

                                  DEGREE / HND

                                  POSTGRADUATE

Grade Level:         Below G/L 7

                                            G/L 8-10

                                                G/L12-14

                                                G/L 15 & Above

(1) Are you acquainted with the use of Artificial Intelligence? (Yes) (Not much) (No)

(2) How much can you describe your use of AI?          (Occasionally)(Regularly)(Always)

(3)           What is your view about AI and its application in everyday living?

                (Positive) (Not certain) (I can do without it)

(4)           Do you think that your level of literacy affects your view of AI (Yes) (No)

(5)           Does gender play any role in the perception of AI (Yes)  (No)

(6)           Are you willing to use AI devices if they are introduced to you? (Yes) (No)

(7)           Do you think AI can help improve your daily living as an employee?

(Yes) (No)

(7b) If yes, kindly enumerate how

………………………………………………………………………………..

………………………………………………………………………………..

(8)           Has AI been useful to your Psychosocial life (inter/ intra personal, social

                interactions that influence occupational behavior) (Yes) (No)

Please, give details……………….………………………………………………

(9)           What do you think are the primary concerns of pre-retirement employees?

………………………………………………………………………………..

……………………………………………………………………………….

(10))       Can you use AI as an effective tool to address these concerns? (Yes) (No)

11)          Do you have plans for post-retirement  (Yes) (No)

(12)         Do you think you are ready to take on these plans and achieve them with

the help of AI? (Yes) (No)

(13)         What factors influence your position on effectiveness in using AI?

…………………………………………………………………………………

…………………………………………………………………………………

(14)         What can be done to enhance the acceptance and use of AI by pre-retirees?

UTILIZATION OF ARTIFICIAL INTELLIGENCE AS A VERITABLE TOOL FOR PSYCHOSOCIAL PREPAREDNESS IN THE MODERN AGE, PERCEPTION OF PRE-RETIREMENT EMPLOYEES OF FCDA ABUJA Read More »

LEVERAGING STRATEGIC LEADERSHIP FOR EFFECTIVE BUSINESS MANAGEMENT: A CASE OF LOVEBITE BREAD INDUSTRY  NNOBI

NGOZI JOAN OBI-CHUKWUMA
LLBS/DOC/5212/01223/00
DSMLD PROGRAMME
nobichukwuma@gmail.com
08033926854.
2024

ABSTRACT

This study investigated the role of strategic leadership for effective business development: A case of lovebite bread industry, Nnobi, Anambra State. Three research questions in line with three specific purposes with three null hypotheses guided the study. The study adopted a descriptive survey research design and was carried out in Nnobi, Anambra State. The population for the study consisted of 125 respondents, comprising key stakeholders such as employees, managers, and executives with a sample size of 95 respondents obtained using Taro Yemane’s formula. The instrument for data collection was a structured Likert-scale and weighted questionnaire with a 35-item statement developed by the researcher titled “Strategic Leadership for Effective Business Management Questionnaire (SLEBMQ)”. The instrument was validated by three research experts while the reliability index of 0.81 was established using Cronbach Alpha in SPSS. In analyzing the data collected, mean and standard deviation were used to answer the research questions while the t-test was used for the null hypotheses. The result of analyses revealed that leadership by example influences the organizational culture of the Lovebite Bread Industry to a large extent as it is aligned with the company’s mission and vision, leaders’ actions and behaviors shape the organizational culture at Lovebite Foods and Beverages, it is extremely important in promoting an ethical work environment at Lovebite Foods and Beverages Ltd. It was therefore recommended among others that more emphasis should be made by concerned individuals on leadership by example as seen as significant in influencing the organizational culture, and an awareness campaign should be made to emphasize the importance of continuous learning on the overall performance and growth of establishments in Anambra State.

Keywords: Strategic Leadership; Organizational Culture: Innovation: Decision-Making Process.

INTRODUCTION

Today’s business environment is becoming more competitive than ever before. The ability to navigate complex market dynamics, manage resou

rces efficiently, and drive innovation has become essential for businesses targeting competitive edge in the businesses. Therefore, strategic leadership, which involves guiding the organization toward its long-term goals while adapting to changes in the business landscape, has emerged as a critical factor in achieving the objectives of sustainability and growth. Strategic leadership goes beyond traditional management practices by integrating a forward-looking vision with the ability to execute plans effectively. Ireland & Hitt (1999, pp 43-57).  It encompasses the capacity to make informed decisions, inspire and motivate teams, and align organizational efforts with the overarching goals. Op.cit

  For businesses, especially in the manufacturing sector, leveraging strategic leadership can significantly enhance operational efficiency, improve decision-making processes, and ultimately lead to sustained growth. Avolio & Bass (2002, pp20-30).

Strategic leadership, a critical element in achieving organizational success, is defined by the leader’s ability to create a vision, align that vision with organizational goals, motivate employees, and execute strategies effectively. In the field of business management, strategic leadership integrates long-term vision with practical management to ensure sustained competitiveness and adaptability. This leadership approach is built around several core components, which directly influence business outcomes thus:

  • . Visionary Thinking and Direction-Setting: Strategic leadership begins with establishing a clear, forward-thinking vision for the organization. Leaders articulate a direction that reflects the long-term aspirations of the company, taking into account future trends, market demands, and potential challenges. This vision provides a roadmap that guides all decision-making processes and informs strategic planning. According to Hitt, Ireland, and Hoskisson (2016, p.5), effective strategic leaders must anticipate future industry shifts and guide their organizations accordingly, creating opportunities and positioning the company for future success. In the context of business management, visionary thinking allows leaders to align their teams and resources with overarching business goals. For example, a strategic leader in a manufacturing company may foresee an industry shift toward automation and proactively invest in technology and employee retraining to maintain competitiveness.
  •  Aligning Organizational Goals and Resources: Effective strategic leadership involves aligning the organization’s goals, strategies, and resources to ensure cohesion across all departments and functions. Leaders must ensure that every part of the organization works toward the same objectives, from top management to

front-line employees. Hitt et al. (2016, p.89) emphasize that successful alignment requires leaders to ensure that resources are efficiently deployed to support strategic objectives. In practical terms, alignment means ensuring that resources such as human capital, technology, and finances are allocated in ways that support the strategic vision. This coordination helps prevent resource misallocation and promotes efficient decision-making, key principles in effective business management.

  • Decision-Making and Risk Management: One of the most critical components of Strategic Leadership is the ability to make informed and timely decisions that drive the organization toward its strategic goals. Strategic leaders gather relevant data, assess risks, and consider internal and external factors when making decisions. According to Ireland and Hitt (1999, p.47), strategic decision-making involves balancing risks and opportunities while ensuring that decisions align with the organization’s long-term vision. Effective decision-making in business management means balancing short-term operational needs with long-term strategic objectives. The ability to manage trade-offs and assess risks ensures that the organization remains adaptable and responsive to market changes.
  •  Fostering a Culture of Innovation and Learning: Strategic leaders recognize that fostering a culture of continuous learning and innovation is vital for long-term success. This involves encouraging employees to think creatively, solve problems, and engage in continuous improvement. Tushman and O’Reilly (1996, p.14) suggest that strategic leaders must create an environment that promotes both exploration and exploitation of opportunities, ensuring that innovation is a consistent part of the organization’s culture. In business 

management, innovation can lead to new products, services, or business processes that differentiate the company in the market. Strategic leadership in such organizations focuses on building an innovative culture and providing employees with the resources and autonomy to explore new possibilities.

  •  Inspiring and Motivating Teams: A core function of strategic leadership is to inspire and motivate employees to perform at their best. Leaders achieve this by communicating the organization’s vision clearly and showing employees how their work contributes to the company’s broader goals. As noted by Yukl (2013, p.109), effective leaders use a variety of techniques, such as recognition and incentives, to inspire and drive team performance. In business management, motivated employees are more productive, engaged, and willing to go above and beyond to ensure organizational success. Strategic leaders foster an environment of trust and empowerment, driving the overall success of the business.

The Lovebite Bread Industry, based in Nnobi, serves as a pertinent case study for exploring the impact of strategic leadership on business management. As a key player in the local bakery industry, the Lovebite Bread Industry faces various challenges, including fluctuati

on in

market demands, intense competition, and the need for continuous innovation. In this context, understanding how strategic leadership can be utilized to overcome these challenges and drive the company toward long-term success is of great importance. This research seeks to examine the role of strategic leadership in enhancing business management within the Lovebite Bread Industry. By analyzing the company’s leadership practices, decision-making processes, and organizational culture, the study aims to provide insights into how strategic leadership can be effectively leveraged to improve business outcomes. The findings of this research are expected to contribute valuable knowledge to the field of business management, particularly in the rapidly evolving global business environment where the importance of strategic leadership cannot be overemphasized. Organizations across various industries are

Recognizing that traditional leadership approaches, focused primarily on operational management, are no longer sufficient to navigate the complexities of modern business challenges. Strategic leadership, characterized by the ability to envision the future, make proactive decisions, and inspire innovation, has become a crucial element in driving organizational success and sustainability. Boal & Hooijberg (2001, pp515-549).

The bakery industry, a vital segment of the food production sector, is highly competitive and subject to changing consumer preferences, economic fluctuations, and technological advancements. The bakery industry plays a significant role in the Nigerian economy: providing essential food products and employment opportunities; however, businesses within this sector, particularly Small and Medium-sized Enterprises (SMEs), often face significant challenges such as intense competition, rising costs of raw materials, and the need for continuous innovation to meet evolving customer demands. Eniola & Ektebang (2014, pp75-86).   

 Lovebite Bread Industry, located in Nnobi Anambra State, represents a typical example of an SME operating within this competitive landscape founded to provide high-quality bread products to the local community, the company has grown over the years to become a recognized brand in its region. Despite its success, Lovebite Bread Industry, like many others in the bakery industry, encounters challenges related to resource management, market expansion, and maintaining product quality. These challenges underscore the need for effective business management practices that can adapt easily to market changes and drive sustained growth. Strategic Leadership offers a potential solution to these challenges by providing a framework for making informed decisions, aligning organizational resources with long-term goals, and fostering a culture of continuous improvement. The question therefore is could the application of Strategic Leadership in the Lovebite Bread Industry leads to enhanced operational efficiency, better market positioning, and improved overall performance. This research seeks to explore how Lovebite Bread Industry can leverage strategic leadership to enhance its business management practices. By examining the leadership strategies, organizational structure, and decision-making processes, the study aims to identify key factors that could contribute to effective management in the context of a dynamic business environment. The insights gained from this research could serve as a valuable reference

for other SMEs in the bakery industry and beyond, highlighting the critical role of strategic leadership in achieving business success.

                                     ‘‘statement of the Problem’’

 In a dynamic and ever increasingly complex business environment where organizations face stiff challenges in maintaining competitive advantage and operational efficiency, the ability to anticipate future trends, make informed decisions, and align organizational resources and capabilities is often seen as a key factor in effective business management, a critical tool for navigating these challenges and achieving long-term success. Research consistently shows that a significant percentage of new businesses fail within their first five years. According to the U.S. Small Business Administration (SBA) and similar studies globally, 20% of new businesses fail within the first year. By the end of the fifth year, about 50% of businesses close down while only 30% remain operational after ten years.

Lovebite Bread Industry, based in the semi-urban town of Nnobi in Anambra State, serves as a pertinent case study for exploring the impact of strategic leadership on business management. Founded in 2019, Lovebite Bread Industry, as a key player in the local bakery industry, has against these findings, continued to grow rapidly into a world-class bakery with an installed capacity of 30tons of finished products per day and a distribution channel covering 11 cities in the Southeast, two states in the south-south, three states in the south-west and Benue State and Abuja in the north; operating in an era when the Industry is facing various challenges, including fluctuating market demands, intense competition, and the need for continuous innovation. In this context, whether leveraging strategic leadership to overcome these challenges has driven the company toward long-term success is the kernel of this study. Studies on leveraging strategic leadership for effective business management are extensive and cover multiple areas of leadership, strategy, and organizational effectiveness.

 However, despite several areas in strategic leadership for effective business management have been explored, significant gaps remain, particularly in areas like digital transformation, cross-cultural leadership, and sustainability.

This study aims to fill this gap by providing an in-depth analysis of how leveraging strategic leadership has enhanced business management within the Lovebite Bread Industry, offering practical insights for similar organizations in the industry.

                              ‘‘Purpose/Objectives of the study’’

The purpose of this study is therefore to explore whether leveraging strategic leadership has enhanced effective business management within the Lovebite Bread Industry in Nnobi.

 Towards this purpose, the following specific objectives were sought:

1:    To investigate the extent to which leadership by example influences organizational

         culture of  Lovebite Bread Industry. 

                                                                                                                                                                             6

2.      To examine how Encouraging Innovation can impact decision-making processes in 

          Lovebite Bread Industry.

 3.    To evaluate the impact of Continuous Learning on the overall performance and growth of the Lovebite  Bread Industry. 

                                             ‘‘ Research Questions’’

Flowing from the above objectives, the following research questions were formulated to guide this study:

1. To what extent can Leadership by Example influence the organizational culture of the Lovebite Bread Industry?

  • How can Encouraging Innovation impact decision-making processes in the Lovebite Bread Industry?

 3: To what extent does Continuous Learning impact the overall performance and growth

      of the Lovebite Bread Industry?

                                                       ‘‘ Hypotheses’’

The following hypotheses were tested at a 0.05 level of significance to guide this study.

 HO1: There is no significant difference between the opinions of new and old employees on

             the extent Leadership by Example influences the organizational culture of Lovebite

              Bread Industry.

HO2: There is no significant difference between the opinions of new and old employees on      

       How encouraging Innovation can impact decision-making in the Lovebite Bread Industry.

HO3: There is no significant difference between the opinions of new and old employees on

           the extent Continuous Learning impact on the overall performance and growth of

           Lovebite  Bread Industry

                                         ‘‘Scope of the study’’

Being a case study the Scope of the investigation is limited to the employees of Lovebite Bread Industry, Nnobi in Anambra state. The content scope covers Leadership by Example Influence, Organization, and Culture of the Lovebite Bread Industry; how  Encouraging Innovation can impact decision-making processes, and the impact of Continuous Learning on the overall performance and growth of the Industry.

                                      ‘‘ Significance of the Study’’

 This study shall be of great importance to multiple stakeholders, including business leaders, policymakers, scholars, and the broader business community. The findings and insights from this research will contribute to a deeper understanding of the critical role of strategic leadership in driving business success, particularly in the context of small and medium-sized enterprises (SMEs) in Nigeria’s bakery industry.                                            

 REVIEW OF LITERATURE:

 A review of literature related to the research study was done in two parts –conceptual and empirical review. The materials reviewed included textbooks, journals, and lecture notes, sourced primarily from the Internet.

Finally, the Review was followed by the presentation of the Theoretical framework of the Research study.

                             ‘‘Concept of Strategic Leadership’’:

The concept of strategic leadershiphas garnered significant attention in both academic research and practical business management due to its critical role in guiding organizations through complex and dynamic environments. This literature review examines the key theories, frameworks, and empirical studies on strategic leadership, its impact on business management, and its relevance to small and medium-sized enterprises (SMEs) like Lovebite Bread Industry in Nnobi.

Strategic leadership is often defined as the ability to influence others in an organization to make decisions that enhance the prospects for long-term success while maintaining short-term financial stability. According to Ireland and Hitt (1999 p.44), strategic leaders are responsible for setting the direction, aligning resources, and creating a conducive environment for achieving the organization’s vision. This involves not only developing and implementing strategic plans but also fostering a culture of innovation, adaptability, and continuous improvement.  House and Aditya (1997 p.460) further describe strategic leadership as encompassing both visionary and managerial roles. Visionary leadership involves setting the long-term goals and direction of the organization, while managerial leadership focuses on the day-to-day operations and the implementation of strategies. These dual roles highlight the importance of balancing visionary thinking with practical execution in ensuring organizational success.

                                        ‘‘ Strategic Leadership and Business Management’’

The relationship between strategic leadership and effective business management has been widely explored in the literature. According to Rowe (2001 p.83), strategic leadership is a key determinant of organizational performance, particularly in turbulent environments. Leaders who can anticipate changes, make informed decisions, and mobilize resources effectively are more likely to achieve sustainable competitive advantages. Several studies have demonstrated the positive impact of strategic leadership on various aspects of business management, including decision-making, resource allocation, and organizational culture. For instance, Boal and Hooijberg (2001 p.521 emphasize that strategic leaders must be adept at managing paradoxes, such as balancing short-term performance with long-term growth, and that their ability to do so significantly influences organizational outcomes. Additionally, the literature highlights the role of strategic leadership in fostering innovation and adaptability. Hitt et al. (2007 p.25) argue that strategic leaders play a crucial role in promoting a culture of innovation by encouraging risk-taking, supporting creative initiatives, and ensuring that the organization remains agile in response to market changes. This is particularly relevant for SMEs like Lovebite Bread Industry, where innovation can be a key differentiator in a competitive market.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 Challenges and Opportunities for Strategic Leadership in SMEs:

While strategic leadership is widely recognized as essential for organizational success, its application in SMEs presents unique challenges and opportunities. SMEs often operate with limited resources, making it difficult to invest in long-term strategic planning and leadership development. However, SMEs also benefit from greater flexibility and the ability to quickly adapt to changes, which can be leveraged through effective strategic leadership. Studies by Wang, Walker, and Redmond (2007 p.9) suggest that strategic leadership in SMEs is often concentrated in the hands of a few individuals, usually the founders or owners. This concentration of leadership has both advantages and disadvantages. On one hand, it allows for quick decision-making and a strong alignment between the vision and operational activities. On the other hand, it may result in a lack of diverse perspectives and resistance to change, which can hinder the organization’s ability to innovate and grow. The literature also points to the importance of leadership development in SMEs. Training and mentoring programs that focus on strategic thinking, decision-making, and people management can enhance the effectiveness of leaders in SMEs. According to Beaver and Jennings (2005 p.15), investing in leadership development can lead to improved business performance, employee satisfaction, and organizational resilience.

          ‘‘Strategic Leadership in the Context of the Bakery Industry’’

Specific studies on strategic leadership within the bakery industry are limited; however, general insights can be drawn from the literature on strategic leadership in the manufacturing and food production sectors. The bakery industry is characterized by intense competition, low-profit margins, and the need for continuous product innovation. Strategic leadership in this context involves not only managing operational efficiencies but also driving innovation in product offerings, marketing strategies, and customer engagement. A study by Dawson and Andriopoulos (2014 p.182) on innovation in the food production industry highlights the importance of strategic leadership in fostering a culture of creativity and experimentation. For companies like Lovebite Bread Industry, which operates in a highly competitive market, strategic leadership can play a critical role in differentiating the brand through unique products, quality improvements, and effective market positioning. Moreover, the literature emphasizes the role of strategic leadership in managing supply chain complexities and  ensuring product consistency, which is crucial for maintaining customer loyalty in the bakery industry. Effective strategic leadership can help SMEs like Lovebite Bread Industry to optimize their supply chain, reduce costs, and enhance overall business performance.

                            ‘‘ Review of Empirical Studies’’

This examined how various studies have collected and analyzed data to explore the relationship between strategic leadership and business management effectiveness. This section presents findings from different research works that have tested and validated the impact of strategic leadership practices on business performance, decision-making, and innovation.

                         ‘‘Strategic Leadership and Organizational Performance’’

Several studies have explored the direct relationship between strategic leadership and organizational performance. For instance, Boal and Hooijberg (2001) conducted a quantitative study involving 200 organizations from the manufacturing sector. They examined the role of strategic leadership in driving performance through adaptability, vision articulation, and managing human capital. Their findings demonstrated a positive correlation between strategic leadership and financial performance, with leaders who practiced foresight and flexibility having better long-term profitability.

A study by Waldman et al. (2004) investigated the influence of visionary leadership on firm performance in a sample of 100 technology firms. Using Structural Equation Modeling (SEM), they found that visionary leadership significantly impacted firms’ market value and innovative capabilities, suggesting that leaders who effectively communicate long-term visions encourage innovation and enhance competitive advantage. 

Key Findings of the study show that:      

  • Strategic Leadership that emphasizes vision and adaptability positively impacts financial and market performance.
  • Organizations with strategic leaders exhibit higher levels of innovation, which contributes to sustained competitive advantage.

‘‘Leadership by Example and Organizational Culture’’

Empirical studies have also demonstrated the impact of leadership by example on organizational culture. Kouzes and Posner (2002) conducted a survey-based study across 500 companies, finding that leaders who model desired behaviors foster stronger workplace cultures of accountability, trust, and ethical standards. This, in turn, positively affects employee motivation and commitment. In another study, Groves (2005) examined how transformational leaders influence organizational culture by leading through example. Using a sample of 250 mid-level managers in the

healthcare industry, the research found that when leaders demonstrate the behaviors they expect from employees, it enhances employee engagement and creates a shared sense of purpose within the organization. This also results in lower employee turnover and higher productivity. 

Key Findings reveal that Leadership by example strengthens organizational culture by fostering trust, accountability, and ethical standards. Employees are more motivated and engaged when leaders practice what they preach, improving both individual and organizational performance.

                                ‘‘Continuous Learning and Decision-Making’’

The role of continuous learning in enhancing decision-making processes has been highlighted in various studies. Garvin, Edmondson, and Gino (2008) conducted a longitudinal study in multiple industries and found that organizations where leaders emphasize continuous learning were more adaptable to changing market conditions. Their research involved interviews and performance data analysis from 300 organizations, revealing that firms that invest in leadership development and continuous education experience faster decision-making cycles and improved strategic outcomes.

In a study by DeChurch and Marks (2006), the researchers explored how strategic leaders who promote a culture of learning impact team-based decision-making processes. Using a combination of qualitative and quantitative methods across 30 organizations, they found that leaders who support learning create environments where employees feel empowered to contribute innovative ideas. This open environment enhances the collective decision-making capacity of the organization, leading to more informed and effective business. Major Findings show that Continuous learning promotes quicker and more effective decision-making processes, which allow organizations to adapt more rapidly to external changes. Leaders who foster learning environments encourage innovation, leading to better strategic decisions.

               ‘‘Innovation and Organizational Competitiveness’’

The link between strategic leadership and innovation has been empirically examined in multiple industries. Jansen et al. (2009) conducted a study on 170 companies across the telecommunications and software industries, focusing on how strategic leadership drives exploratory and exploitative innovation. The results showed that leaders who foster an innovative culture and provide the necessary resources for innovation initiatives had higher levels of product and process innovation, which in turn improved competitive positioning. In another study, García-Morales et al. (2008) analyzed the relationship between transformational leadership and organizational innovation in 350 Spanish companies. The study used regression analysis to show that transformational leaders significantly contribute to both radical and incremental innovations. They concluded that strategic leaders who encourage innovation enhance the firm’s ability to respond to competitive threats and exploit new opportunities. Key Findings are that Strategic leadership is crucial in fostering innovation, which is key to maintaining organizational competitiveness and Companies with leaders who support exploratory innovation (new ideas and products) and exploitative innovation (refining existing processes) perform better in dynamic markets.                                                                                                                                                                       

                                   ‘‘ Strategic Planning and Business Sustainability’’

Empirical research also highlights the role of strategic leadership in the planning process to achieve long-term business sustainability. Mintzberg (1994) conducted case studies of organizations across different industries and found that leaders who effectively engage in strategic planning processes tend to improve their organization’s adaptability and resilience in competitive environments. The study suggested that strategic planning, guided by visionary leadership, enhances the firm’s ability to predict market trends, allocate resources effectively, and ensure sustainable growth. Similarly, Bonn (2001) used a mixed-method approach to explore the relationship between strategic leadership and sustainable development in multinational corporations. The study, involving interviews and financial analysis of 50 firms, found that companies whose leaders prioritize long-term sustainability in their planning are more likely to achieve both environmental and financial success. Key Findings of the Study are that Strategic leadership that incorporates long-term planning ensures business sustainability and competitive advantage just as effective planning, backed by visionary leadership, enables organizations to anticipate market changes and allocate resources efficiently for long-term growth. 

                                            ‘‘Summary of Review’’

The empirical evidence reviewed in this section demonstrates that strategic leadership has a profound impact on various aspects of business management, including organizational performance, decision-making, innovation, and long-term sustainability.  The review underscores the critical role of strategic leadership in driving effective business management, particularly in challenging and competitive environments, revealing that  Leaders who model the desired behaviors, foster continuous learning, and encourage innovation position their organizations for sustained success.  For SMEs like Lovebite Bread Industry, strategic leadership can provide the necessary guidance to navigate market complexities, foster innovation, and achieve sustainable growth.

                                          ‘‘Gaps in the Literature’’

 While the existing literature provides valuable insights into the role of strategic leadership in business management, there are notable gaps, particularly concerning its application in specific industries and regions.  There is a lack of empirical research on the impact of strategic leadership in the Nigerian bakery industry, specifically within SMEs like Lovebite Bread Industry. The unique challenges faced by SMEs in implementing strategic leadership practices, especially in the context of the Nigerian bakery industry, highlight the need for further research. This study therefore aims to fill this gap by providing an in-depth analysis of the extent to which leveraging strategic leadership enhanced business management within Lovebite Bread Industry, offering practical insights for similar organizations in the industry.       

                                        ‘‘Theoretical Framework’’

This study is anchored on Ireland and Hitt’s (1999), Strategic Leadership Theory, SLT.

The Theory posits that leaders’ ability to anticipate, envision, and maintain flexibility, and to empower others to create strategic change is necessary. According to the Theory, Strategic leaders ensure the alignment of the organization’s vision with strategic objectives and create a dynamic environment that supports continuous learning and adaptation. This theory is central to the study as it directly relates to how strategic leadership can be leveraged for effective business management. The theory highlights the importance of visionary leadership and its role in achieving long-term success, a core aspect of the study’s focus on Lovebite  Foods and Beverages Ltd. Strategic Leadership Theory (SLT) focuses on the role of leaders in driving an organization’s long-term performance and competitive advantage by making strategic decisions and influencing organizational culture. It suggests that effective leaders guide the strategic direction, adapt to changing environments, and ensure the organization’s sustainability and growth. SLT integrates elements from leadership theory and strategic management, providing a comprehensive understanding of how leaders can affect not just short-term operations but long-term success.

                               ‘‘Key Aspects of  Strategic Leadership Theory’’

1. Vision and Direction Setting: Strategic leaders are responsible for developing a compelling vision that motivates and guides the organization. They create a clear strategic direction that aligns with the organization’s goals and mission. According to Ireland and Hitt (1999), vision is crucial as it provides the foundation for strategic decisions and is key to inspiring followers to pursue long-term objectives.

2. Balancing Short-Term and Long-Term Objectives: Leaders must balance the need for immediate results with long-term strategic goals. This ability to manage competing priorities is critical for ensuring sustainable success. Boal and Hooijberg (2000) argue that strategic leaders possess cognitive flexibility, allowing them to focus on immediate operational issues while keeping an eye on future opportunities.

3. Influencing Organizational Culture: Strategic leaders shape organizational culture, which, in turn, affects how strategies are executed. Leadership decisions, actions, and behaviors set the tone for the values and norms within the organization. Finkelstein, Hambrick, and Cannella (2009) suggest that leaders play a central role in embedding strategic values into the organizational culture, ensuring that employees’ behaviors align with the company’s strategic objectives.

4. Managing Resources and Capabilities: A key responsibility of strategic leaders is resource allocation, ensuring that both tangible (capital, technology) and intangible (knowledge, skills) resources are efficiently used to achieve strategic goals. According to Barney (1991), effective leaders can leverage an organization’s unique resources to build a sustainable competitive advantage.

5. Adaptability and Learning: Strategic leadership involves being adaptive to external changes. Leaders must continually learn and evolve, encouraging a culture of continuous improvement. According to Vera and Crossan (2004), strategic leaders facilitate organizational learning, enabling the company to innovate and respond to changing  market conditions.

   ‘‘Criticisms and Limitations of Strategic Leadership Theory’’

1. Complexity of Leadership Impact: One criticism is that SLT can overestimate the direct impact of leaders on organizational outcomes. While leaders play a critical role, other factors—such as market dynamics, economic conditions, and technological changes—also influence performance. Strategic leadership’s contribution may be difficult to isolate and measure accurately.

2. Overemphasis on Top Leadership: SLT often focuses heavily on the role of top leaders, such as CEOs or senior executives, while underestimating the contributions of middle management and lower-level employees. This top-down focus may ignore how leadership is distributed throughout the organization (Yukl, 2013).

3. Leadership Style Variability: Not all leadership styles fit every organizational context. SLT tends to emphasize certain traits and behaviors (e.g., vision, adaptability), but what works in one organization may not be effective in another. For instance, a highly innovative firm may require a more transformational leadership approach, while a stable firm might benefit from a transactional style (Bass & Avolio, 1993).

4. Cultural Contexts: Strategic leadership theories have often been developed in Western contexts and may not fully apply in other regions with different cultural norms, organizational structures, or business environments. Leaders in different parts of the world may need to adapt their strategic approaches to local conditions (House et al., 2004).

Conclusion

Strategic Leadership Theory emphasizes the importance of leaders in guiding an organization toward long-term success through vision setting, resource management, and adaptability. It therefore offers a valuable framework for understanding how leadership influences strategic decision-making and performance. However, it is essential to recognize the limitations of SLT, particularly in terms of overemphasizing top leaders and underestimating other factors that affect organizational outcomes.  

                                                                 METHODOLOGY:

Methodology,according to Adepoju, (2003 p.47), quoted in Obi-Chukwuma, (2016  p.54),  is ‘a set of principles or technicalities which a scientific study follows to yield reliable results’.This research adopts a qualitative approach to examine the extent to which leveraging strategic leadership has enhanced effective business management, using Lovebite  Foods and Beverages Ltd, Nnobi, as a case study. The methodology involves the following components:

  • Research Design
  • Area of Study
  • Population of Study
  • Sample and Sampling Technique
  • Instrument for Data Collection
  • Procedure for Data Collection
  • Method of Data Analysis

                                                       ‘‘Research Design’’

Research Design is a researcher`s agenda for scientific inquiry. In the opinion of Asika (1991,p.37 ) in Obi-Chukwuma (2016 p.54),  Research Design means the restructuring of investigation aimed at identifying variables and their relationships to one another. It is an outline of the Scheme that serves as a useful guide to the researcher in his efforts to generate data”.

The research is structured as a case study that focuses on the leadership strategies employed by Lovebite Foods and Beverages Ltd. The case study approach is chosen to provide in-depth insights into real-world applications of strategic leadership within the context of a growing food and beverage company. This Research is designed as a Sample Survey; a descriptive study in which only a sample (part) of the population, selected in such a manner that it is representative of the population, is studied, and the findings are usually generalized to the entire population. The relevance of this Design to the Study is that Surveys are more useful in measuring dominant public opinions, attitudes, or orientation. Again, Survey instruments can be used to carry out investigations in real-time settings. More so, the cost of carrying out a Survey is relatively low when considering the quantum of data generated as the Researcher can control his expenditures by selecting a low-cost type of Survey.

                                                ‘‘Area of Study’’

The Area of this Research Study is Nnobi, a semi-urban city in Idemmili South Local Government Area of Anambra State, Southeast Nigeria.

Nnobi is known for its local businesses including bakeries. Though it may be difficult to get the exact number of bread factories in Nnobi, Idemmili South hosts several markets and small enterprises. Bread production is a significant business in the region, supported by local bakeries across various towns including Nnobi. Anambra State itself is known for having numerous bakeries due to the high demand for bread with several quality bread brands.

                                         ‘‘Population of Study’’

Population is a group of people or objects about which a Researcher sets out to study and among whom findings of the Study will be generalized.

 For this research, the target population is all staff of Lovebite Foods and Beverages Ltd, Nnobi, both old and new. According to data supplied by the Personnel unit of the Organisation, the population was 125 personnel including key stakeholders such as employees, managers, and executives.

                                  ‘‘Sample Size and Sampling Technique”

 Sample Size:  A Sample size is the sub-set of the Population that is representative of the entire population (Wimmer & Domonick, 2011 p.56 quoted in Obi-Chukwuma 2016 p. 57). It is a microcosm of the population. Flowing from this, the researcher used Taro Yamane’s formula to determine the Sample size with a margin error of 0.05; thus:

                                            n =           N

                                                          ———-

                                                           (1+N(e)²)                                                                                                                                                                                                                                                                                                                       Where

n=sample size

N = population (125)

e= marginal error (0.05 0r 5%) 

               125

  N =

 (1+N[e]²)

125 =       __________

         1 + 125   (  0.05 )²

                              125

=                  ________________

                     1 + 125 0.0025  

=                             125

                   ______________

                      1   + 0.3125

 =                      125  ____________

                           1.3125         

  =                 95.24

Hence, the Sample size (n) is approximately 95, assuming a 5% margin of error and this represents 76% of the population which is considered by the Researcher as appropriate for the study.

                                   ‘‘Sampling Technique: 

A stratified Random Sampling Technique was used in selecting the sample size.

This method enhances the reliability of findings as it ensures that sub-groups within the population are proportionally represented. The population was divided into sub-groups (Strata) based on their departments. Within each stratum, respondents were proportionally selected using random sampling which ensures that every member of each stratum/ department had an equal chance of being selected.  The justification for choosing this Technique is that apart from ensuring equal selection opportunity, it minimizes bias, improves the accuracy of findings, and allows for more generalizable results related to the topic of discussion.

                            ‘‘Instrument for Data Collection’’

The Primary Instrument for Data collection is the Questionnaire. The Researcher specifically structured the questionnaire with the questions, open-ended, and designed in a manner that they supplied answers to the Questions raised by the Research. The Questionnaire was divided into 2 parts; Part 1 was on the demography of the respondents, (4 items) while Part 2 had three sections. Section 1: Leadership by Example, (11 items), section 2: Encouraging Innovation Impact on decision-making processes in Lovebite Bread Industry (11 items), and Section 3: The extent to which continuous learning impacts the overall performance and growth of Lovebite Bread Industry (13 items).  The 35-item questionnaire was designed to relate to each research question.

                       ‘‘Procedure for Data Collection”

The collection of data for the Research was done by the Researcher who administered the questionnaire to the respondents. To facilitate the process, the Researcher employed the assistance of two experienced Research Assistants.                                                                                                                                                                              Clarifications were made where needed. To ensure high response return, the respondents were assured of confidentiality and anonymity.

                                      ‘‘Method of Data Analysis’’

             The data collected were analyzed using descriptive and inferential statistics, including mean scores and Standard Deviation. For testing the hypotheses, a t-test was used, while the interview was analyzed qualitatively to buttress the result from the questionnaire. Data generated were interpreted using real limits of numbers as follows for research questions 1 and 2;

Mean Range          Decision Level

Very Large Extent (VLE)   = 3.50 – 4.00

Large Extent            (LE) =     2.50 –3.49

Small Extent             (SE) =     1.50 –2.49

Very Small Extent    (VSE) =  0.50 –1.49S

For research question 3 criterion mean was employed to arrive at the decision level. This implies that items with mean scores below 2.50 were not to be Accepted, while items with mean scores of 2.50 and above are Accepted to the extent Leadership by Example can influence the organizational culture and Continuous Learning impacts on the overall performance and growth of Lovebite Bread Industry respectively. The data collected from the interview were qualitatively analyzed in essay format.

                                                                        ‘‘Results’’

The result of the study is presented below. This is based on 92 copies of the questionnaire collected after completion out of the 95 copies distributed. This represents a 96.84% return rate.

Research Question 1

To what extent can leadership by example influence the organizational culture of Lovebite Bread Industry?

 Table 1: Mean Ratings and Standard Deviations of Respondents on the extent to which Leadership by Example can Influence the Organizational Culture of the Lovebite Bread Industry.

S/NLeadership by example influences the organizational culture as:  New Employees N = 49Old Employees N = 43Overall N = 92Overall Remark
x1SD1x2SD2xGSD G          
                                                                                                                                                
1Leaders at Lovebite Foods and Beverages Ltd. Lead by example2.911.072.691.102.801.09LE
 2Leadership by example influences the organizational culture at Lovebite Foods and Beverages Ltd.2.741.022.981.092.861.06LE
3Leaders’ actions and behaviors shape the organizational culture at Lovebite Foods and Beverages3.021.022.911.092.971.06LE
4Leaders at Lovebite Foods and Beverages Ltd practice the values they promote2.531.072.441.072.491.07SE
5New employees model their behaviors based on the example set by leaders at Lovebite Foods and Beverages Ltd.2.831.052.951.032.891.04LE
6Leadership by example helps to foster a cooperative and collaborative culture among employees of Lovebite Foods and Beverage Ltd.2.281.012.261.022.271.02SE
7Leadership by example is extremely important in promoting an ethical work environment at Lovebite Foods and Beverages Ltd.3.380.972.520.832.950.90LE
8The leadership at Lovebite Foods and Beverages Ltd is aligned with the company’s                                                                                                                                                                                                                                                       Mission and vision.2.580.853.430.693.010.77LE
9Leadership by example builds trust and commitment among employees at Lovebite Foods and Beverages Ltd.2.550.982.760.912.660.95LE
10New employees are motivated by how leaders At Lovebite Foods handle crises.2.841.102.671.022.761.06                               LE
11Leadership by example encourages a higher level of accountability and professionalism at Lovebite Foods and Beverages Ltd.2.730.972.491.052.611.01LE
 Grand Mean/SD2.761.012.740.992.751.00LE

Key: LE: Large Extent; SM: Small Extent; SD = Standard Deviation.

Source: Researcher’s Field Survey (2024).

In Table 1, the mean scores obtained for the new employees on items number 1 to 5 and 7 to 11 ranged from 2.53 to 3.38, indicating that the respondents accepted that the listed leadership by example items influence the organizational culture of Lovebite Bread Industry to a large extent while item number 6 with the mean score of 2.28 denotes that the listed leadership by example item influences the organizational culture of Lovebite Bread Industry to a small extent by the new employees. Similarly, the Table shows that the mean score range of 2.52 to 3.43 is obtained for the old employees on items number 1, 2, 3, 5, 7, 8, 9, and 10, indicating large extent perceptions while the mean score range of 2.26 to 2.49 obtained for the old employees on the rest of the items shows small extent perceptions accordingly.  Thus, the overall (grand) mean score of 2.75 shows that leadership by example can influence the organizational culture of Lovebite Bread Industry to a large extent. Thus, the overall (grand) standard deviation score of 1.00 denotes the homogeneity of opinions of the respondents.

Hypothesis 1

            There is no significant difference between the opinions of new and old employees on the extent Leadership by Example influences the organizational culture of the Lovebite Bread Industry.

Table 2: T-test statistics on the Mean Rating of New and Old employees on the extent to which Leadership by Example Influences the Organizational Culture of Lovebite Bread Industry.

Variables (Employees)NtdfSig. (2tailed)Mean DifferenceStd. Error DifferenceRemark
New490.313900.3470.531410.56551  NS
Old43      

Note: NS: Not Significant

Table 2 shows that the t-value of 0.313 is obtained at a 0.05 level of significance and 90 degrees of freedom with a significant value of 0.347. However, since the significant value is more than the level of significance set for the study, the null hypothesis is statistically insignificant and thus, not rejected for these items (Accept Ho). This implies that there is no significant difference between the opinions of new and old employees on the extent leadership by 20 examples influences the organizational culture of Lovebite Bread Industry. Hence, the employment status of the respondents is seen as insignificant concerning their responses to the said items.

Research Question 2

To what extent does continuous learning impact the overall performance and growth of the Lovebite Bread Industry?

 Table 3: Mean Ratings and Standard Deviations of Respondents on the Extent to Which Continuous Learning Impacts on the Overall Performance and Growth of Lovebite Bread Industry.

S/NContinuous learning impact on the overall performance and growth by:  New Employees N = 49Old Employees N = 43Overall N = 92Overall Remark
x1SD1x2SD2xGSDG
12Provision of training and development opportunities for employees2.531.072.441.072.491.07SE
13Improving individuals at Lovebite Foods and Beverages Ltd (LBIL)2.831.052.951.032.891.04LE
14Contributing to the professional development of employees of Lovebite Foods and Beverages Ltd.2.400.972.391.032.401.00SE
15Enhancing overall company performance at Lovebite Foods and Beverage Ltd                                            2.721.032.701.082.711.05LE
16Continuous learning enhances the business strategies of Lovebite Foods and Beverage Ltd.                                      2.571.182.491.092.531.16LE
17Giving new employees the same training and development opportunities as old employees2.981.012.390.782.690.90LE
18improving employee efficiency and productivity  at Lovebite Foods and Beverages Ltd                                                       2.530.862.610.912.570.89LE
19Adopting the culture of continuous learning for all employees promoted2.930.992.271.102.601.05                                       LE                           
20Helping employees meet the changing needs of Lovebite Foods and Beverages Ltd2.561.192.491.162.531.18LE
21Making learning critical for the long-term growth of Lovebite Foods and Beverages Ltd2.211.002.950.932.580.97LE
22Enhancing teamwork and collaboration across departments of Lovebite Foods and Beverages Ltd.2.911.072.691.102.801.09LE
 Grand Mean/SD2.651.042.581.032.621.04LE

Data as presented in Table 3 shows that the mean scores obtained for the new employees on items number 12, 13, 15 20, and 21 ranged from 2.53 to 2.98, indicating that the listed continuous learning items impact the overall performance and growth of Lovebite Bread Industry to a large extent while items number 14 and 21 with the mean scores of 2.40 and 2.21 denotes small extent perception by the new employees. Similarly, the Table shows that the mean score range of 2.61 to 2.95 is obtained for the old employees on items number 13, 15, 18, 21, and 22, indicating large extent perceptions while the mean scores of 2.44, 2.39, 2.49, 2.39, 2.27 and 2.49 obtained for the old employees on the rest of the items shows that the listed continuous learning items impact on the overall performance and growth of Lovebite Bread Industry to a small extent respectively. However, the overall (grand) mean score of 2.62 obtained shows that continuous learning impacts the overall performance and growth of the Lovebite Bread Industry to a large extent, while the overall (grand) standard deviation score of 1.04 depicts no remarkable differences in the opinions of the respondents.

Hypothesis 2

            There is no significant difference between the opinions of new and old employees on the extent continuous learning impacts the overall performance and growth of the Lovebite Bread Industry.

Table 4: t-test Statistics on the Mean Rating of New and Old employees on the extent to which Continuous Learning Impacts on the Overall Performance and Growth of Lovebite Bread Industry.

Variables (Employees)NtdfSig. (2tailed)Mean DifferenceStd. Error DifferenceRemark
New490.163900.5010.573380.56813  NS
Old43      

                                                                                                                                                              Concerning data as inTable 4, the t-value of 0.163 is obtained at a 0.05 level of significance and 90 degrees of freedom with a significant value of 0.501. However, since the significant value is more than the level of significance set for the study, the null hypothesis is statistically insignificant and thus, not rejected for these items (Accept Ho). By implication, there is no significant difference between the opinions of new and old employees on the extent Continuous Learning impacts the overall performance and growth of the Lovebite Bread Industry.

Research Question 3

How can encouraging innovation impact decision-making processes in the Lovebite Bread Industry?

 Table 5: Mean Ratings and Standard Deviations of Respondents on how Encouraging Innovation can Impact Decision-Making Processes in the Lovebite Bread Industry.

S/NEncouraging innovation can impact on decision-making processes by:  New Employees N = 49Old Employees N = 43Overall N = 92Overall Remark
x1SD1x2SD2xGSDG
23Lovebite Foods and Beverages Ltd encourage innovation for total transformation2.091.022.870.892.480.96Disagree
24Encouraging innovation improves the decision-making process at Lovebite Foods and Beverages Ltd.2.130.972.830.962.480.97Disagree
25Employees are encouraged to share innovative ideas in decision-making processes Ltd.2.981.012.390.782.690.90Agree
26New employees are often invited to share their innovative ideas to improve decision-making2.530.862.610.912.570.89Agree
27Innovation is crucial for solving business challenges and improving decision-making at Lovebite Foods and Beverages Ltd.                2.930.992.271.102.601.05Agree
28Leaders at Lovebite Foods and Beverages Ltd. encourage employees to think outside the box.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                When it comes to decision-making.2.571.042.511.152.541.08                            23Agree
29Encouraging innovation leads to better decisions by the leadership at Lovebite Foods and Beverages Ltd.2.791.222.491.132.661.19Agree
30Innovative ideas are often implemented into business decisions at Lovebite Foods and Beverages Ltd.2.701.122.541.112.631.11Agree
31Innovation is supported by the resources provided by Lovebite Foods and Beverages Ltd.2.211.002.950.932.580.97Agree
32Encouraging innovation leads to improved competitive advantage at Lovebite Foods.2.070.812.491.212.281.01Disagree
33New employees bring fresh ideas that influence decisions at Lovebite Foods.2.531.072.841.072.691.07Agree
34Innovation plays a critical role in strategic decisions at Lovebite Foods and Beverage.2.951.032.831.052.891.04Agree
35Leaders reward innovative ideas and creative solutions within Lovebite Foods and Beverages Ltd.2.261.022.281.012.271.02Disagree
 Grand Mean/SD2.521.012.611.022.571.02Agree

Data, as presented in Table 5, shows that the mean scores obtained for the new employees on items number 25, 26, 27, 28, 29, 30, 33 34, and 21 are 2.98, 2.53, 2.93, 2.57, 2.79, 2.70, 2.53 and 2.95, indicating that the respondents agree that the listed items are how encouraging innovation impacts on decision-making processes in Lovebite Bread Industry while items number 23, 24, 31, 32 and 35 with the mean scores of 2.09, 2.13, 2.21, 2.07 and 2.26 denotes disagree responses by the same employees. Similarly, the Table shows that the mean score range of 2.51 to 2.95 is obtained for the old employees on items number 23, 24, 26, 28, 30, 31, 33, and 34, indicating agree responses while the mean scores below 2.50 obtained for the old employees on items number 25, 27, 29, 32 and 35 shows disagree responses respectively. However, the overall (grand) mean score of 2.57 obtained shows that encouraging innovation impacts on decision-making processes in the Lovebite Bread Industry with the overall (grand) standard deviation score of 1.02 indicating a slim disparity in the opinions of the respondents.

Hypothesis 3

            There is no significant difference between the opinions of new and old employees on how encouraging innovation can impact decision-making in the Lovebite Bread Industry.

Table 6: T-test statistics on the Mean Rating of New and Old employees on how Encouraging Innovation can Impact on Decision-Making in Lovebite Bread Industry.

Variables (Employees)NtdfSig. (2tailed)Mean DifferenceStd. Error DifferenceRemark
New49-0.349900.4910.539180.46871  NS
Old43      

Concerning data as inTable 6, the t-value of -0.349 is obtained at a 0.05 level of significance and 90 degrees of freedom with a significant value of 0.491. Thus, since the significant value is more than the level of significance set for the study, the null hypothesis is statistically insignificant and thus, not rejected for these items (Accept Ho). By implication, there is no significant difference between the opinions of new and old employees on how encouraging innovation can impact decision-making in the Lovebite Bread Industry.

                                             DISCUSSION OF FINDINGS

In line with the findings of the study as regards the extent to which leadership by example can influence the organizational culture of Lovebite Bread Industry, the study revealed that leadership by example influences the organizational culture of Lovebite Bread Industry to a large extent as it is aligned with the company’s mission and vision, leaders’ actions and behaviors shape the organizational culture at Lovebite Foods and Beverages, it is extremely important in promoting an ethical work environment at Lovebite Foods and Beverages Ltd, new employees model their behaviors based on the example set by leaders at Lovebite Foods and Beverages Ltd, among others. Given these findings, it becomes paramount to state that leadership by example is significant in ensuring the attainment of set organizational goals and objectives. Hence, necessary for all heads/leaders of organizations to exhibit leadership by example as seen to influence the organizational culture of the Lovebite Bread Industry to a large extent. Similarly, the hypothesis test of no significant difference between the opinions of new and old employees on the extent to which leadership by example influences the organizational culture of Lovebite Bread Industry showed that there is no significant difference between the opinions of new and old employees on the extent Leadership by Example influences the organizational culture of Lovebite Bread Industry. This is evident as the obtained significant value is great than the level of significance set for the study. By implication, the extent leadership by example influences the organizational culture of Lovebite Bread Industry.

These findings are tallied with the findings of Kouzes and Posner (2002) who found that that leaders who model desired behaviors foster stronger workplace cultures of accountability, trust, and ethical standards. This, in turn, positively affects employee motivation and commitment. In agreement with the above, Boal and Hooijberg (2001) stated that a positive correlation exists between strategic leadership and financial performance, with leaders who practiced foresight and flexibility having better long-term profitability.

Concerning the extent to which continuous learning impacts the overall performance and growth of the Lovebite Bread Industry, the study revealed that continuous learning impacts the overall performance and growth of the Lovebite Bread Industry to a large extent. This is in affirmation with the perceptions of the respondents who agreed that continuous learning impacts the overall performance and growth by improving individuals at Lovebite Foods and Beverages Ltd (LBIL), enhancing teamwork and collaboration across departments of Lovebite Foods and Beverages Ltd, enhancing overall company performance at Lovebite Foods and Beverage ltd, and many more. Thus, continuous learning is seen as impactful on the overall performance and growth of the Lovebite Bread Industry with its numerous benefits geared towards productivity. Thus, based on the hypothesis, a significant difference does not exist between the opinions of new and old employees on the extent continuous learning impacts the overall performance and growth of the Lovebite Bread Industry.

This aligns with Garvin, Edmondson, and Gino (2008) who found that organizations where leaders emphasize continuous learning were more adaptable to changing market conditions. The authors stressed that firms that invest in leadership development and continuous education experience faster decision-making cycles and improved strategic outcomes. DeChurch and Marks (2006) added that leaders who support learning create environments where employees feel empowered to contribute innovative ideas.

However, the study on how encouraging innovation can impact decision-making processes in the Lovebite Bread Industry indicated that encouraging innovation has a positive impact on decision-making processes. The study revealed that through the encouragement of innovation, a critical role in strategic decisions at Lovebite Foods and Beverage, new employees bring fresh ideas that influence decisions at Lovebite Foods, employees are encouraged to share innovative ideas in decision-making processes Ltd, better decisions by the leadership at Lovebite Foods and Beverages ltd are made, among other benefits. Thus, the place and benefits of encouraging innovation cannot be over-emphasized as it breeds the maximization of all units of production. Based on the corresponding hypothesis, there is no significant difference found between the opinions of new and old employees on how encouraging innovation can impact decision-making in the Lovebite Bread Industry.

The findings above agree with Jansen et al. (2009) noted that leaders who foster an innovative culture and provide the necessary resources for innovation initiatives had higher levels of product and process innovation, which in turn improved competitive positioning. García-Morales et al. (2008) in another study identified that strategic leadership is crucial in fostering innovation, which is key to maintaining organizational competitiveness and companies with leaders who support exploratory innovation (new ideas and products) and exploitative innovation (refining existing processes) perform better in dynamic markets.

Conclusion

The study covered the strategic leadership for effective business development: A case of Lovebite Bread Industry, Nnobi. Based on the results of the data analyses, the study showed that leadership by example influences the organizational culture, continuous learning impacts on the overall performance and growth, and encouraging innovation impacts on decision-making processes in the Lovebite Bread Industry. Similarly, the hypotheses test of no significant difference yielded a higher significant value than the level of significance set for the study and by implication, there is no significant difference between the opinions of new and old employees on the extent leadership by example influences the organizational culture; extent continuous learning impact on the overall performance and growth; and on how encouraging innovation can impact on decision-making in Lovebite Bread Industry. Given the above, it is believed that if leaders/ heads/ management of Lovebite Bread Industry adopt and exhibit the afore-discussed strategies in their daily activities, it would invariably result in enhanced productivity in Lovebite Bread Industry and by extension foster development in Nnobi at large.

Implications

1. Enhanced Understanding of Strategic Leadership in Business ManagementThis study provides valuable insights into how strategic leadership influences business outcomes, particularly in a real-world setting like Lovebite Foods and Beverages Ltd. By examining leadership styles, decision-making processes, and their impact on company performance, this research deepens the understanding of the role of strategic leadership in fostering innovation and sustainable growth.

2. Improvement of Leadership Practices

Findings from this study can inform business leaders of the importance of leadership by example, promoting a culture of continuous learning, and encouraging innovation. These practices can be adopted by managers and executives in similar organizations, guiding them toward building high-performance cultures and enhancing overall organizational effectiveness.

3. Guidance for Small to Medium Enterprises (SMEs)

The case study provides practical examples and actionable insights specific to SMEs in Nigeria and similar emerging markets. The strategies and leadership practices explored in this research can help SME owners better navigate the complexities of their business environments, achieve operational efficiencies, and gain a competitive edge.

4. Basis for Policy Formulation and Development

Insights from this research can guide policymakers in creating policies and frameworks that support the growth and sustainability of small and medium enterprises. Policies that promote strategic leadership, organizational innovation, and continuous learning could drive sector-wide improvements and economic growth.

Contribution to Knowledge

1. Expands the Literature on Strategic Leadership

This research adds to the body of knowledge on strategic leadership by providing empirical data from Lovebite Foods and Beverages Ltd. It highlights the specific leadership practices that positively impact organizational performance, filling a gap in the literature on leadership within SMEs in Nigeria and similar contexts.

2. Advances Understanding of Leadership’s Impact on Organizational Culture

By exploring how leadership by example and encouragement of continuous learning shape organizational culture, this study contributes to understanding how leaders directly influence a company’s working environment, employee motivation, and engagement.

3. Provides a Framework for Effective Business Management in SMEs

This study offers a practical framework that can guide leaders in small and medium enterprises in adopting strategic leadership practices that foster growth. It bridges theoretical insights with real-life applications, thus creating a roadmap for achieving sustainable competitive advantage.

Suggestions for Further Studies

1. Comparative Analysis of Strategic Leadership in SMEs and Large Corporations

Future studies could compare the impact of strategic leadership in SMEs versus large corporations to see if and how different organizational sizes and structures affect leadership effectiveness.

2. Investigating Industry-Specific Leadership Models

Further research could examine if strategic leadership practices vary across industries. For example, studying strategic leadership in the food and beverage sector against technology or manufacturing sectors could yield sector-specific insights.

3. Longitudinal Studies on Leadership’s Impact on Business Performance

Conducting a longitudinal study that tracks the effects of strategic leadership over a longer period would provide a deeper understanding of its long-term impact on organizational performance and adaptability.

4. Exploring Cultural Influences on Strategic Leadership in Emerging Markets

Since culture plays a significant role in shaping leadership styles, further research could explore how cultural factors influence strategic leadership effectiveness in other emerging markets, offering a broader understanding of its application across diverse cultural contexts.

5. Evaluating the Role of Technology in Strategic Leadership

A study focusing on how digital transformation and technological tools support or hinder strategic leadership practices in SMEs could provide insights into how leaders can leverage technology for more effective business management.

Recommendations

Based on the findings of the study, the following recommendations were proffered:

1.   More emphasis should be placed by concerned individuals on leadership by example as seen as significant in influencing the organizational culture.

2.   An awareness campaign should be made to emphasize the importance of continuous learning on the overall performance and growth of establishments in Anambra State.

3. Measures to encourage innovation should made by appropriate authorities to enhance decision-making processes in establishments in Anambra State.

REFERENCES

Barney, J. 1991. Firm Resources and Sustained Competitive Advantage. Journal of Management, 17(1), 99-120.

Bass, B. M., & Avolio, B. J. (1993). Transformational leadership and organizational culture. Public Administration Quarterly, 17(1), 112-121.   

Beaver, G., & Jennings, P. (2005). Competitive advantage and entrepreneurial power: The dark side of entrepreneurship. Journal of Small Business and Enterprise Development, 12(1), 9-23.  

 Boal, K. B., & Hooijberg, R. (2000). Strategic leadership research: Moving on. The Leadership Quarterly, 11(4), 515-549.

Dawson, P., & Andriopoulos, C. (2014). Managing change, creativity and innovation (2nd ed.). SAGE Publications Ltd.

Finkelstein, S., Hambrick, D. C., & Cannella, A. A. (2009). Strategic leadership: Theory and research on executives, top management teams, and boards. Oxford University Press.

Freeman, R. E. (1984). Strategic management: A Stakeholder approach. Boston: Pitman.

Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2007). Strategic Management: Competitiveness and Globalization (7th ed.). Thomson/South-Western.

House, R. J., & Aditya, R. N. (1997). The social scientific study of leadership: Quo Vadis Journal of Management,23(3), 409-473.

House, R. J., Hanges, P. J., Javidan, M., Dorfman, P. W., & Gupta, V. (2004). Culture, leadership, and organizations: The GLOBE Study of 62 Societies. Sage Publications.

Ireland, R. D., & Hitt, M. A. (1999). Achieving and maintaining strategic competitiveness in the 21st century: The role of strategic leadership. Academy of Management Executive, 13(1), 43-57

Obi-Chukwuma, N. J (2016). State television stations and the challenges of 2017 analog switch-off: A study of Anambra Broadcasting Service (ABS) Awka.

 Vera, D., & Crossan, M. (2004). Strategic leadership and organizational learning. Academy of Management Review,29(2), 222-240

Wang, C., Walker, E. A., & Redmond, J. (2007). Explaining the lack of strategic planning in SMEs: The importance of owner motivation. International Journal of Organizational Behavior,12(1), 1-16.  

 Yukl, G. (2013). Leadership in Organizations (8th ed.).Pearson.

List of Tables

 Table1. Mean Scores and Standard Deviations of Respondents on the Extent to

Leadership by Example can Influence the Organizational

Culture of Lovebite Bread Industry 24

 Table 2. T-test Statistics on the Mean Scores of New and Old employees on the

extent to which Leadership by Example Influences the Organizational

Culture of Lovebite Bread Industry 25

Table 3 Mean Scores and Standard Deviations of Respondents on the extent to which

Continuous Learning Impact on the Overall Performance and Growth of

Lovebite Bread Industry. 26

Table 4. T-test Statistics on the Mean Scores of New and Old employees on the extent

to which continuous learning impacts on the overall performance and growth

of Lovebite Bread Industry 27

Table 5 Mean Scores and Standard Deviations of Respondents on How Encouraging

Innovation can Impact on Decision-Making Processes in Lovebite Bread

Industry 28

Table 6 T-test Statistics on the Mean Scores of New and Old employees on how

Encouraging Innovation Can Impact Decision-Making in Lovebite Bread

Industry 29

Appendix

                      Leveraging Strategic Leadership for Effective Business Management ( LSLEBMQ)

Dear Participant, this questionnaire is designed to collect data on Leveraging Strategic Leadership for Effective Business Management of Lovebite Bread Industry in Nnobi, The information you provide will remain confidential and used solely for academic purposes. There are no right or wrong answers. Please be honest.

Section 1: Demographic Information:

What is your employment status at Lovebite Foods and Beverages Ltd?

a) New employee (less than 5 years)

b) Long-term employee (more than 5 years)

What is your job role?

a) Entry-level

b) Mid-level

c) Senior-level

d) Management

What department do you work in?

a) Production

b) Sales and Marketing

c) Administration

d) Logistics

e) Others: _______________

How many years have you worked at Lovebite Foods and Beverages Ltd?

a) Less than 1 year

b) 1-3 years

c) 4-6 years

d) Over 6 years

Section 2:

Instruction to respondents: There are four options as in below, kindly TICK only one:  Kindly answer ALL the questions.

VLE= Very Large Extent 

 LE= Large Extent

SE=   Small Extent  

VSE= Very Small Extent 

             And

SA  = Strongly Disagree

A   =  Agree

D   =  Daisgree

SD =  Strongly Disagree

Cluster A: Leadership by Example and Organizational Culture: 
Indicate the extent Leadership by Example can influence the organizational culture of the Lovebite Bread Industry; To WHAT EXTENT DO/DOES:VLELESEVSE
  Leaders at Lovebite Foods and Beverages Ltd. lead by example.    
 Leadership by example influences the organizational culture at Lovebite Foods and Beverages Ltd.    
 Leaders’ actions and behaviors shape the organizational culture at Lovebite Foods and Beverages.    
 Leaders at Lovebite Foods and Beverages Ltd practice the values they promote    
 New employees model their behaviors based on the set examples by leaders at Lovebite Foods and Beverages Ltd.    
 Leadership by example helps foster a cooperative and collaborative culture among the employees of Lovebite Foods and Beverage Ltd.    
 Leadership by example is important in promoting an ethical work environment at Lovebite Foods and Beverages Ltd.    
 The leadership at Lovebite Foods and Beverages Ltd is aligned with the company’s mission and vision.    
 Leadership by example builds trust and commitment among employees at Lovebite Foods and Beverages Ltd.    
 New employees are motivated by how leaders at Lovebite Foods handle crises.    
 Leadership by example encourages higher levels of accountability and professionalism at Lovebite Foods and Beverages Ltd.    
Cluster B:  Extent Continuous Learning impacts the overall performance and growth of Lovebite Bread Industry Ltd. (LBIL)    
TO WHAT EXTENT DOES LOVEBITE BREAD INDUSTRY/ TO WHAT EXTENT IS/ DOES;    
 Provide training and development opportunities for employees.    
 Continuous learning improves individuals at Lovebite Foods and Beverages Ltd. (LBIL)    
 Continuous learning contributes to the professional development of employees of Lovebite Foods and Beverages Ltd.    
 Continuous learning enhances overall company performance at Lovebite Foods and Beverages Ltd.                                                
 Continuous learning enhances the business strategies of Lovebite Foods and Beverages.                                                                                                        
 New employees are given the same training and development opportunities as old employees.    
 Has continuous learning improved employee efficiency and productivity  at Lovebite Foods and Beverages Ltd                                                           
 Is the culture of continuous learning for all employees promoted?    
 Continuous learning helped employees meet the changing needs of Lovebite Foods and Beverages Ltd.    
 Is continuous learning critical for the long-term growth of Lovebite Foods and Beverages Ltd?    
22.Continuous learning enhances teamwork and collaboration across departments of Lovebite Foods and Beverages Ltd.    
Cluster C: How Encouraging Innovation can impact decision-making processes in the Lovebite Bread Industry. Indicate your level of Agreement or Disagreement with the following statements.
24Lovebite Foods and Beverages Ltd encourage innovation SAADSD
25Encouraging innovation improves the decision-making process at Lovebite Foods and Beverages Ltd.    
26Employees are encouraged to share innovative ideas in decision-making processes Ltd.    
27New employees are often invited to share their innovative ideas to improve decision-making.    
28Innovation is crucial for solving business challenges and improving decision-making at Lovebite Foods and Beverages Ltd.                                                         
29Leaders at Lovebite Foods and Beverages Ltd. encourage employees to think outside the box when it comes to decision-making.    
30Encouraging innovation leads to better decisions by the leadership at Lovebite Foods and Beverages Ltd.    
31Innovative ideas are often implemented into business decisions at Lovebite Foods and Beverages Ltd.    
32Innovation is supported by the resources provided by Lovebite Foods and Beverages Ltd.    
33Encouraging innovation leads to improved competitive advantage at Lovebite Foods.    
34New employees bring fresh ideas that influence decisions at Lovebite Foods.    
35Innovation plays a critical role in strategic decisions at Lovebite Foods and Beverage.    
36Leaders reward innovative ideas and creative solutions within Lovebite Foods and Beverages Ltd.    
      
      

Thank you for your participation!

LEVERAGING STRATEGIC LEADERSHIP FOR EFFECTIVE BUSINESS MANAGEMENT: A CASE OF LOVEBITE BREAD INDUSTRY  NNOBI Read More »

TRADITIONAL APPRENTICESHIP AND GROWTH OF THE TEXTILE INDUSTRY IN SOUTH EAST NIGERIA

By
 
JOSHUA ONUOHA
Learn to Live Business School, UK
 
 
Email: onuohaloshuagmail.com
Phone No +234796 074 8383
 
2024

ABSTRACT:

The purpose of this study was to investigate traditional apprenticeship and the growth of the textile industry in SE Nigeria. It employed an ex-post facto descriptive non-experimental research design. Three research questions and three hypotheses guided the study. The sample consists of 300 Masters selected using multistage, purposive, accidental, and snowballing sampling techniques from five states in SE Nigeria. Questionnaires, direct contact, and social media administration strategies helped with data collection. Means, Standard deviation, and Analysis of Variance (ANOVA) were used. Results show that traditional apprenticeship encourages the growth of the textile industry in several ways, with the highest being through a multiplier effect; Trading skills; Further mentoring after graduation; Assistance in expanding and opening branches; Provision of funds, and practical hands-on training. A lot of challenges face traditional apprenticeship, with the greatest being, Gender bias, Outdated teaching methods without innovation and experimentation; and non-technologically driven teaching methods, with no statistical difference found among the SE states. It was concluded that traditional apprenticeship enhances the growth of the textile industry to a Large Extent. It was recommended that the formal schooling system adopt the multiplier effect and job creation devices of the traditional apprenticeship to improve the educational system and reduce unemployment in Nigeria.

Keywords: Traditional Apprenticeship;  Textile Industry;  Master and  Multiplier effect.

INTRODUCTION:

Background of study

       Apprenticeship is a sort of informal schooling characterized by practicals and hands-on experience, where the participant learns directly on the job. No wonder it is described as on-the-job training that enables new-generation practitioners to gain a license to practice in a regulated occupation (Asare, Nyarko, Fobiri, & Marfo 2023).  Apprenticeship is also defined as a “form of training in which an individual learns an art, trade, or craft under a legal agreement that outlines the duration and conditions of the relationship between the master and apprentice” (AI-generated definition based on: the International Encyclopedia of Education -Third Edition, 2010). In this training, skills are learned and knowledge transferred from the Master or Mentor to the apprentice, typically through hands-on practice and instruction, which takes various forms such as traditional crafts, vocational education, classical music, and even spiritual traditions.     

          The traditional apprenticeship system has long been practiced in Nigeria alongside the formal educational system. The traditional apprenticeship system in this study involves a written contract or agreement between master and apprentice, stating the conditions for both parties and the terms of apprenticeship. Often the apprenticeship especially for a business, such as trading in textile fabrics, takes up to four years during which the apprentice lives with the master as a family member and trades with the master. The master on his part, trains the apprentice for the period in his type of business and settles the apprentice at the end of the contract period. The graduation is usually celebrated with a party involving the master’s presentation of the take-off fund. This marks the official accreditation of the apprentice as a journeyman of the textile fabrics trade, making it possible for him or her to get his or her shop and open his or her own fabrics trading business.

          The textile industry involves several sections, including, the production of raw materials, and fabric production. Marketing the fabrics and producing clothing from the fabrics. This study is interested in the marketing of the fabrics. The growth of the industry in this respect involves expansion and an increase in the quality of services. Growth is a “socially constructed factor” (Dugguh et al., 2018) and implies a change in size during a determined period, involving an increase in sales and investments to adapt to new demands Onwuka and Nwaneri (2023). Asare, Nyarko, Fabri, & Marfo (2023) observed that growth implies an increase in sales, and the number of employees. Profit, increase in assets, increase in the firm´s value, and internal development. The growth of textile industries in this study will be measured by the above perspectives.

 Statement of the problem:

           The traditional apprenticeship system has long been an integral part of the economic and social fabric of Southeast Nigeria, an area occupied by the Igbos, known for their acumen and steadfastness in business. Initially, the traditional apprenticeship system was patronized mainly by illiterates and the poor. Still, these days, due to a lack of jobs for school leavers and tertiary institution graduates, as well as growth in entrepreneurship among the elites in Nigeria, the traditional apprenticeship system has started to boom once more. Studies show that entrepreneurs are not the sole vectors to growth as there are many other agents involved, such as clients, kin, suppliers, and nature and challenges to the apprenticeship. This study therefore investigated traditional apprenticeship and growth of the textile industry inSouth East Nigeria, to identify how it encourages growth of the textile industry and the challenges confronting it. Many studies have been carried out on apprenticeship systems.  For instance, Gallup (2024) sought to find out  About Registered Apprenticeship:  in his  Systematic Review and Synthesis of 30 Years of Empirical Research, Suhaimy, Sumardi, Sumardi & Ansari (2022)  looked at factors that influence the transfer of training within an apprenticeship program, while Sani & Adamu & Adamu  & Umar  (2022) investigated the impact of apprenticeship training on job creation among artisans in Bauchi and provided the conceptual framework to express the relationship between the apprenticeship component and job creation.Uwameiye, Ede, and Iyamu’s 2002 study focused on the training methodology used by the Nigerian Indigenous apprenticeship system; Ifechukwu-Jacobs, (2022)  studied the effect of Igbo trade apprenticeship system on unemployment reduction in Onitsha, The return on investment of apprenticeship systems for enterprises: evidence from cost-benefit analyses was examined by Muehlemann and  Wolter (2014).  A very recent and close study by Chukwu, Ugochukwu, and Njoku (2024) focused on challenges and prospects challenges and prospects of the Igbo apprenticeship system in the modern world. The current study which is the first of its kind, dwelt on the traditional apprenticeship and growth of the textile industry in South East Nigeria, which is the lacuna filled by this study.  Southeast Nigeria is well known for its creativity which is often displayed in the various designs of the fabrics produced and in the sewing designs, making the business very lucrative. It is not surprising that many Igbos go into the textile business as clothing is often considered next to food and shelter in Maslow’s hierarchy of Needs. This study therefore sets the following objectives;

  1. To examine how traditional apprenticeship encourages the growth of the textile industry in SE Nigeria.
  • To determine the extent the customary apprenticeship enhances the growth of the textile industry in SE Nigeria and
  •  To explore the challenges confronting traditional apprenticeship in the growth of the textile industry in SE Nigeria.

 Research Questions: The following research questions were posed to guide that study;

  1. How does traditional apprenticeship encourage the growth of the textile industry in SE Nigeria?
  •  To what extent has traditional apprenticeship enhanced the growth of the textile industry in SE Nigeria?
  •  What challenges confront traditional apprenticeship in the growth of the textile industry in SE Nigeria?

 Hypotheses: These hypotheses tested at a 0.05 confidence level guided the study.

HO1:  There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on how traditional apprenticeship encourages the growth of the textile industry in SE Nigeria.

 HO2:There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on the extent traditional apprenticeship has enhanced the growth of the textile industry in SE Nigeria.

HO3:  There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on the challenges that confront traditional apprenticeship in the growth of the textile industry in SE Nigeria.

  LITERATURE REVIEW:  

The literature review in this study is presented under Conceptual framework, Theoretical framework, and Empirical Studies                                                                                                      

Conceptual framework: Apprenticeship has been severally defined as informal schooling or learning involving practicals and hands-on experience on-the-job training (Asare, Nyarko, Fobiri, & Marfo 2023); training where an individual learns an art, trade, or craft under a legal agreement between the master and apprentice” (AI generated definition based on: International Encyclopedia of Education (Third Edition), 2010); A way of job creation Sani & Adamu & Adamu  & Umar  (2022), an informal and unstructured training programme, scheduled for an agreed period during which the apprentice learns the trade, acquires a desirable part of entrepreneurship skills,  masters the rudiments of the trade, and offers services to the master for an agreed-upon period, (Kanu, 2020; Alike &Orjiako-Umunze, 2019; Orugun&Nafiu, 2014). In addition, it is a process of bringing up a child (Kanu, 2020). (Kanu, 2020), (Alike and Orjiofor-Umunze, 2019), (Doekpe, 2017), Onwuka & E.C. Nwaneri 2023, Cresent (2019) where no salaries are paid.  However, it is also perceived as an unpaid business and incubator model that lets people learn the business from a master for some years Kanu (2019. This study defines apprenticeship as a sort of informal schooling characterized by practicals and hands-on experience, where the participant learns directly on the job.

Theoretical framework: This study is framed on the Human Capital Theory postulated by Becker (1964). The theory assumes that investments in education or training contribute to an individual’s productivity and earning capacities. This implies that the traditional apprenticeship system, makes individuals acquire valuable skills, knowledge, and experience that enhance their human capital, which in turn, enables them to create wealth, improve productivity, and earn more, thereby enhancing growth in the industry.

Empirical studies: Empirical studies were discussed under, studies in Apprenticeship. Studies in Traditional apprenticeship, studies in  Growth in textile industries.

Studies in Apprenticeship:

          Pirrioni, (2018) investigated ‘promoting apprentices’ professional development: integrating formal and informal learning, HRM, and learning goal orientation in promoting apprentices’ competencies, A cross-sectional and a longitudinal approach were employed to complement the qualitative data on 233 apprentices operating in the engineering sector in England. It was found that organizations can leverage to promote apprentices’ development using formal and informal learning. The current study, unlike this one, did not test any model but investigated using ex post facto research design, thetraditional apprenticeship, and the growth of the textile industry inNigeria a study carried out in England.

          Suhaimy, Sumardi, Sumardi, & Anshari (2022) in their empirical study of training transfer in an apprenticeship programme for a conducive workforce, used an extended Training Transfer Model, to examine the factors that influence the transfer of training within an apprenticeship program.  Like the current study, In-depth semi-structured interviews with participants who had undergone the apprenticeship programme were carried out. The data were analyzed using thematic analysis, and bibliographic analysis was performed. The findings reveal that trainee characteristics, training design, and work environment influence training transfer.

          Sani & Adamu & Adamu & Umar (2022) Apprenticeship Training and Job Creation: A Conceptual Framework of their Relationship focuses on the impact of apprenticeship training on job creation among artisans in Bauchi state. It provides the conceptual framework to express the relationship. The study recommended that apprenticeships be revitalized and updated, as well as that ethnic-based union be legalized and reorganized to fulfill both social and economic functions.

          Gallup, (2024) investigated ‘What We Know About Registered Apprenticeship: A Systematic Review and Synthesis of 30 Years of Empirical Research’, using a Meta-analysis, the author undertook a systematic literature review and a qualitative synthesis of empirical research, interpreting findings on RA over 30 years. The review identified 36 scholarly studies and an additional 98 articles from the practitioner literature. The synthesis derived three themes: expansion, benefits, and outcomes for minoritized groups, revealing gaps in research on learning for apprentices.

         Uwameiye and Iyamu (2002) examined ‘Training Methodology Used by the Nigerian Indigenous Apprenticeship System,’ to investigate the training orientation given to apprentices; common training techniques employed by the master craftsmen; and how the apprentices are evaluated to ascertain their mastery. A questionnaire was used to gather data for the study.  Similar samples of Master and apprentice were used. The findings show that there is no formal curriculum in use for training, and customers help to determine the mastery of apprentices.

         Nnonyelu, Nnabuife, Onyeizugbe, Anazodo, and Onyima, (2023) examined Igbo apprenticeship (Igba boyi) as an exemplar of the Indigenous African entrepreneurship model. The specific objective was to ascertain the influence of the Igbo apprenticeship system on the Indigenous African entrepreneurship model, showing how Indigenous entrepreneurship has been boosted by the apprenticeship scheme and highlighting the nexus between the Igbo apprenticeship scheme and entrepreneurship. The paper seeks to unpack the enablers of Igbo apprenticeship, and why it is largely seen as the poster face of local Igbo entrepreneurs.  A case for the scalability and adoption of the igba boyi Indigenous entrepreneurial model as a vehicle for the development and sustenance of Indigenous entrepreneurship practices for African developments was made.

          Ifechukwu-Jacobs (2022) examined the effect of the Igbo trade apprenticeship system on unemployment reduction in Onitsha. Like the current study, it employed the use of a structured questionnaire. However, percentage table and correlation were used for the analysis.  Both studies employed the use of a similar population and sample. While this study sample was determined by Gorg & Ball formula, the current study sample was determined by Chiaha (2023). It was found that: Apprentice skill acquisition has a significant effect on unemployment reduction at Onitsha: The apprenticeship training system has a significant effect on unemployment reduction to ascertain the impact of apprentice skill acquisition on unemployment reduction in Onitsha. Like the current study, this study recommended that the masters (Ogas), should ensure the timely settlement of their diligent apprentices.

         Chukwu, Ugochukwu, and Njoku’s (2024) study, which is very relevant to the current one, examined the challenges and prospects of the Igbo apprenticeship system in the modern.  Similar research designs, samples, methods of data collection, and data analysis were employed in both studies. The empirical result showed that there are significant challenges and significant prospects for the Igbo apprenticeship system in the modern world.  The current study is interested in identifying the current challenges facing apprenticeship in the textile industries only but it will not be involved in the prospects since it will explore the extent the which apprenticeship impacts on growth of the textile industries.

          Onyebuchi-Igbokwe, Grace & Chinyere, Ndebilie. (2024). An Empirical Approach to Textile Production and the Correlates of Technology Options in Nigeria’s Textile Industry, to investigate how the economic ties between China and Nigeria have affected the growth of Nigeria’s textile sector between 2021 and 2023. Data was collected using qualitative research methods as in this study. The study found that Nigeria’s textile sector has developed favorably as a result of the economic ties between China and Nigeria. It recommended that the economic relationship needs to be further strengthened.

 Summary of Literature Review: The study adopts the concepts of, Asare, Nyarko, Fobiri, & Marfo 2023; (AI generated definition based on: International Encyclopedia of Education (Third Edition), 2010); Sani & Adamu & Adamu  & Umar  (2022) and (Kanu, 2020; Alike &Orjiako-Umunze, 2019; Orugun & Nafiu, 2014) and admits that traditional apprenticeship is an informal training where an individual learns the fabric trading business under a legal agreement between the master and apprentice”. The study was anchored on the Human Capital traditional apprenticeship system, implying that the apprenticeship makes individuals acquire the entrepreneurial skills that enable them to create wealth by implication, enhance growth in the textile industry. Nine empirical studies were reviewed, one focused on the growth of the textile industry, one on an apprenticeship in England the rest on an apprenticeship in England, and the rest on an apprenticeship in Nigeria out of which, three dealt with an apprenticeship in Igboland. However, out of the studies reviewed no study known to the researcher investigated ‘traditional apprenticeship and the growth of the textile industry in southeast Nigeria. This is the lucuma the study fills.

METHODOLOGY:

The methodology in this paper involvesResearch Design and Area of Study. Population, Sample and Sampling Methods, Instrument for Data Collection, Validation and Reliability, Method of Data Collection, and Analysis.

Research Design: This study employed an ex-post facto descriptive non-experimental research design, which implies ‘after the fact’ because the event ‘Apprenticeship’, being investigated has already occurred. Nwankwo and Emunemu (2015), noted thatNon-experimental research design does not attempt to control or manipulate any variable.  However, it focuses on one single event that had occurred therefore, the researcher examines the phenomena. The researcher found this design appropriate for this study as it investigated what had happened in Apprenticeship in SE Nigeria.

Area of the Study: The area of this study is South-East of Nigeria, with five states, Abia, Anambra, Ebonyi, Enugu, and Imo. The area is a core Igbo-speaking race, known for their, hard work and business acumen. The practice of Apprenticeship has existed in this area for ages.

Population of the Study: The population of this study consists of all the  Markets in Southeastern Nigeria where 10436 masters that deal in the textile business, especially fabrics operate (Source: Market Union Registers, 2022) (See App II).                                                                                                                         

 Sample and Sampling Methods:  The study adopted Krejcie & Morgan 1970) and Chiaha (2023) determinants of a sample size from a given population. A multistage, purposive, accidental, and snowballing sampling technique was employed in selecting 300 participants for this study.   Firstly, out of the five states in SE, a random sample of three was selected by balloting. Secondly,  a purposive sample of 3754 Masters who have been in the fabrics business for over five years was selected. Finally, using snowballing and accidental sampling methods, 300 8% were selected and used for the study. (See App II).                                                                                                                         

Instruments for Data Collection: The instrument used for data collection was a questionnaire titled ‘Traditional Apprenticeship and Textile Industry Growth Questionnaire                                                                            (TATIGQ). The TATIGQ has two sections, A and B. Section A has three items designed to collect respondents’ demographics, while Section B  has 25 items with three clusters aimed at collecting data for the research questions. It is structured on a 4-point Likert-type rating scale with options of; SA- Strongly Disagree; A- Agree; D-Disagree; SD – Strongly Disagree and D -Disagree and VLE-Very Large Extent; LE-Large Extent; SE-Small Extent and VSE-Very Small Extent, weighted 4, 3, 2 and 1 respectively. (See App III).                                                                                                                     

 Validation of the Instrument: Three experts were requested to ascertain the appropriateness and clarity of the items of the instruments to ascertain if they measured what they purported to measure. Their comments, suggestions, and observations were considered in the production of the final draft of the instruments. (App II and III).

 Reliability of the Instrument: The instrument was trial tested through a pilot study, on 10 respondents (SMEs) from Ebonyi state, which is outside the study area. The internal consistency of the instrument was computed using the Cronbach Alpha method which yielded 0.85 for the entire instrument. The instruments were therefore considered reliable enough for the study.

Method of Data Collection: The study adopted direct contact and social media administration strategies in which the researcher with her well-trained research assistants directly collected the data from the respondents. The researcher personally contacted the masters through their WhatsApp. The data administration lasted for two weeks with a high return rate of 88.87%

Method of Data Analysis: The data generated for the study were analyzed using means and Standard Deviation (SD) for data collected from the questionnaire. Decisions were arrived at using the criterion mean score of 2.50. This implies that Means below 2.50 were taken to indicate that the corresponding items were NOT Accepted by the SMEs, and Means of 2.50 and above were taken to indicate that the corresponding items were Accepted for the same reason.  For research question 2 with EXTENT response format Real Limits of Numbers were employed as follows;

                   Mean Range      Options                          

                   3.50 -4.00 = Very Large Extent;

                   2.50 -3.49 =  LE-Large Extent;

                   1.50 -2.49 =  SE-Small Extent and

                   0.00 -1.49 = VSE-Very Small Extent

For the hypotheses testing, Analysis of Variance (ANOVA) at a 95% level of probability or 0.05 level of significance.  The significant level was determined with the P- P-table value. This implies that when the P-value is below 0.05 level of significance when T- calculated is greater than the t- table (1.96) it implies a Significant Difference between the means tested, thus the Null Hypotheses were Not Accepted.  On the other hand, when the P-value is higher than 0.05 or the T- calculated is greater than the t- table (1.96), it implies No Significant Difference between the means tested. Therefore, the Null Hypotheses was Accepted.   

RESULTS:  The results were presented in six tables.

Table 1, shows that all the 11 items are accepted by the Masters as how traditional apprenticeship encourages growth of textile industry in SE Nigeria gives a lot of trading skills to Apprentices (x=3.63); exposes apprentices to wholesale strategies (x=3.33);  online textile marketing and sales (x=3.33);textile financial management (x=3.38); provides practical hands-on training with good employment, (x=3.50);  has a multiplier effect in that as apprentices graduate and gather more skills, they train more apprentices  thus enhancing growth of the industry (x=3.70); provides continuous mentoring by the master trainer (x=3.48); and practical hands-on training with good employment, (x=3.53);  further mentoring is given to the apprentices in the business even after graduation, (x=3.58);  The master assists the apprentice in expanding and opening more branches,(x=3.55);  Funds are provided to apprentices when needed for business expansion and innovation and product diversification is encouraged (x=3.43).

Research Question 1: How does traditional apprenticeship encourage the growth of the textile industry in SE Nigeria?

Table1:

How traditional apprenticeship encourages the growth of the textile industry in SE Nigeria

Sn                                                           ItemsMeanSD    Decision
 It gives a lot of trading skills to Apprentices3.630.490   Accept
 They are exposed to wholesale strategies3.330.694   Accept
 They learn online textile marketing and sales3.330.694   Accept
 They learn textile financial management3.380.674   Accept
 It provides practical hands-on training with good employment prospects3.500.550   Accept
 It has a multiplier effect as apprentices graduate and gather more skills3.700.467   Accept
 Provides continuous mentoring by the master trainer3.480.509   Accept
 Apprentices are helped to further their education in the business3.530.506   Accept
 The master assists the apprentice in expanding and opening more branches3.580.535   Accept
 Funds are provided to apprentices when needed for business expansion3.550.504   Accept
 Innovation and product diversification are encouraged in apprenticeship3.430.629   Accept

Hypotheses 1: There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on how traditional apprenticeship encourages the growth of the textile industry in SE Nigeria. The table indicates that the traditional apprenticeship.

Table 2:

 ANOVA analysis on the significant differences between the textile dealers in Abia, Anambra, and Enugu on how traditional apprenticeship encourages the growth of the textile industry in SE Nigeria.

Sn ItemsF-valuep-value (Sig.)
It gives a lot of trading skills to the Apprentices1.1710.321
They are exposed to wholesale strategies1.4440.249
They learn online textile marketing and sales1.4440.249
They learn textile financial management1.9000.164
It provides practical, hands-on training with good prospects for employment after training2.6620.083
It has a multiplier effect in that as the apprentice graduates, he/she gathers more people1.1460.329
It provides continuous mentoring as Master continues to mentor even after graduation1.7860.182
Apprentices are helped to further their education in the business1.5190.232
The Master helps the Apprentice expand his/her business, opening up more branches1.7030.196
Funds are provided to Apprentices when needed for the expansion of the business2.7090.080
Innovation and Product Diversification is encouraged in Apprenticeship for business growth0.6800.513

Table 2 shows the ANOVA analysis of significant differences between the textile dealers in Abia, Anambra, and Enugu on how traditional apprenticeship encourages the growth of the textile industry in SE Nigeria revealing that all p-values exceeded the alpha level of 0.05. Therefore, I Accept the null hypothesis (H₀), concluding that, there is no significant difference in how traditional apprenticeship encourages growth in the textile industry across the three states.

Research Questions 2: To what extent has traditional apprenticeship enhanced the growth of the textile industry in SE Nigeria?

Table 3 shows that the Cluster mean reveals that respondents agree that traditional apprenticeship enhances the growth of the textile industry in SE Nigeria to a Large Extent (x=3.42).

Table 3:

The extent to which traditional apprenticeship enhances the growth of the textile industry in SE Nigeria.

Sn                         ItemsMeanSD       Decision
 Acquisition of trading skills3.530.554       VLE
 Exposed to wholesale strategies3.480.554          LE
 Mastering online textile marketing and sales3.250.670          LE
 Mastering textile financial management3.400.545          LE
 Provides practical hands-on training with good employment prospects3.500.550       VLE
 The multiplier effect where apprentices gather more people3.650.529       VLE
 Continuous mentoring by the Master3.450.552          LE
 Helping apprentices to further their education in the textile business3.550.504       VLE
 Provision of funds for business expansion3.580.535       VLE
 Innovation and product diversification3.430.629          LE
  Cluster Mean/SD3.420.601      LE

Hypotheses 2: There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on the extent the traditional apprenticeship has enhanced the growth of the textile industry in SE Nigeria.

Table 4:

 ANOVA analysis on significant differences among the textile dealers in Abia, Anambra, and Enugu on the extent the traditional apprenticeship has enhanced the growth of the textile industry in SE Nigeria.

S/n                                       ItemsF-valuep-value (Sig.)
1.Acquisition of trading skills1.3760.312
2.Exposed to wholesale strategies1.4440.249
3.Mastering online textile marketing and sales1.4440.249
4.Mastering textile financial management1.9000.164
5.Provision of practical hands-on training with good employment prospects2.6620.083
6.Multiplier effect: apprentice gathers more people1.1460.329
7.Continuous mentoring by the Master after graduation1.7860.182
8.Support in furthering education in the textile business1.5190.232
9.Assistance in business expansion, opening more branches1.7030.196
10.Provision of funds to Apprentices for business expansion2.7090.080
11.Encouragement of Innovation and Product Diversification0.6800.513

The ANOVA analysis conducted to assess the impact of traditional apprenticeship on the growth of the textile industry among dealers in Abia, Anambra, and Enugu reveals that all obtained p-values are greater than the significance level of 0.05. Therefore, I Accept the null hypothesis (H₀), concluding that there is no significant difference between the textile dealers in the three states regarding the extent to which traditional apprenticeship has enhanced the growth of the textile industry in Southeast Nigeria.

Research Questions 3:  What challenges confront traditional apprenticeship in the growth of the textile industry in SE Nigeria?

 Table 5 shows that Challenges confronting traditional apprenticeship in the growth of the textile industry in SE Nigeria, include Lack of financial support (x=3.40); Fear of completion of the apprenticeship due to master’s behavior (x=3.35); Living with the master’s family (x=3.00); Get-rich-quick syndrome affecting youths’ patience in completing the apprenticeship (x=3.00); Gender bias in apprenticeship, with males mostly involved (x=3.58);  Lack of theoretical knowledge alongside practical training (x=3.18); Outdated teaching methods without innovation and experimentation (x=3.55);  Non-technologically driven teaching methods (3.50); Apprentices continually being regarded as servants by masters even after skill acquisition and graduation (x=3.40).

Table 4:

Challenges confronting traditional apprenticeship in the growth of the textile industry in SE Nigeria

 Sn                                   ItemsMeanSD   Decision
 Lack of financial support3.400.709 Accept
 Fear of completion of the apprenticeship due to master’s behavior3.350.802 Accept
 Living with the master’s family3.000.906 Accept
 Get-rich-quick syndrome affects youths’ patience in completing the apprenticeship3.580.549 Accept
 Gender bias in apprenticeship, with males mostly involved3.180.827 Accept
 Lack of theoretical knowledge alongside practical training3.550.506 Accept
 Outdated teaching methods without innovation and experimentation3.500.590 Accept
 Non-technologically driven teachings3.480.509 Accept
 Apprentices are continually regarded as servants by masters even after skill acquisition3.430.629 Accept

Hypotheses 3: There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on the challenges that confront traditional apprenticeship in the growth of the textile industry in SE Nigeria

Table 6:

ANOVA analyzes significant differences between the textile dealers in Abia, Anambra, and Enugu on the challenges that confront traditional apprenticeship in the growth of the textile industry in SE Nigeria

S/n    VariableF Valuep Value
1. Lack of financial support0.6240.624
2. Fear of completion of apprenticeship0.9850.181
3. Living with the family of masters0.8490.849
4. Gender biases in apprenticeship0.7820.318
5. Lack of theoretical knowledge0.7231.011
6. Outdated teaching practices0.6630.663
7. Inconsistent teaching methodologies0.7820.182
8. Limited resources0.8490.851
9. Continued perception as servants by masters even after skill acquisition0.9850.985

Table 6 portrays the ANOVA analysis examining the challenges confronting traditional apprenticeship in the growth of the textile industry among dealers in Abia, Anambra, and Enugu and indicates that all p-values exceed the significance level of 0.05. Therefore, I Accept the null hypothesis (H₀), concluding that there is no significant difference between the textile dealers in the three states regarding the challenges they face in traditional apprenticeship in the growth of the textile industry in SE Nigeria.

Summary of the findings: This is presented in line with the research questions and hypotheses that guide the study.

Research Question One: How does traditional apprenticeship encourage the growth of the textile industry in SE Nigeria?

Finding 1: How traditional apprenticeship encourages the growth of the textile industry in SE Nigeria, in descending order of acceptance include;

  1. Apprenticeship has a multiplier effect in that as apprentices graduate and gather more skills, they train more apprentices thus enhancing the growth of the textile industry (x=3.70)
  2. Apprenticeship gives a lot of trading skills to Apprentices (x=3.63)
  3.  In apprenticeship, further mentoring is given to the apprentices in the business even after graduation, (x=3.58);
  4. The master assists the apprentice in expanding and opening more branches, (x=3.58);
  5. Funds are provided to apprentices when needed for business expansion (x=3.55);
  6. Apprenticeship encourages practical hands-on training with good employment opportunity, (x=3.50).
  7. It provides continuous mentoring by the master trainer (x=3.48)
  8. Innovation and product diversification is encouraged in apprenticeship (x=3.43).
  9. Apprenticeship exposes apprentices to textile financial management (x=3.38) and
  10. Apprenticeship exposes apprentices to wholesale strategies (x=3.33).
  11. They are exposed to online textile marketing and sales (x=3.33);

Hypothesis One:  There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on how traditional apprenticeship encourages the growth of the textile industry in SE Nigeria.

Finding 2: There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on how traditional apprenticeship encourages the growth of the textile industry in SE Nigeria.

Research Question Two: To what extent has traditional apprenticeship enhanced the growth of the textile industry in SE Nigeria?

Finding 3: Traditional apprenticeship enhances the growth of the textile industry in SE Nigeria to a Large Extent (x=3.42).

Research Question Three:  WhatChallenges confront traditional apprenticeship in the growth of the textile industry in SE Nigeria?

Finding 4: The following Challenges confront traditional apprenticeship in the growth of the textile industry in SE Nigeria, in descending order of acceptance.

  1. Gender bias in apprenticeship, with males mostly involved (x=3.58).
  2. Outdated teaching methods without innovation and experimentation (x=3.55)
  3. Non-technologically driven teaching methods (3.50)
  4. Lack of financial support (x=3.40).
  5. Apprentices are continually regarded as servants by masters even after skill acquisition and graduation (x=3.40).
  6. Fear of incompletion of the apprenticeship due to some master’s behavior (x=3.35)
  7. Lack of theoretical knowledge alongside practical training (x=3.18);
  8. Living with the master’s family (x=3.00)
  9.  Get-rich-quick syndrome affecting youths’ patience in completing the apprenticeship (x=3.00); 

Hypothesis Three: There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on the challenges that confront traditional apprenticeship in the growth of the textile industry in SE Nigeria.

Finding Six: There is no significant difference among the textile dealers in Abia, Anambra, and Enugu on the challenges that confront traditional apprenticeship in the growth of the textile industry in SE Nigeria.

DISCUSSIONS:  The findings will be discussed in line with the objectives that guide the study.

How traditional apprenticeship encourages the growth of the textile industry in SE Nigeria.

          It was found that the multiplier effect tops the list of howtraditional apprenticeship encourages the growth of the textile industry in SE Nigeria. This implies that as apprentices graduate, they become Masters and gather more apprentices, train and graduate them thus enhancing the growth of the textile industry. It is therefore not surprising that Suhaimy, Sumardi, Sumardi, & Anshari (2022), perceives the apprenticeship programme as a conducive workforce, while, Ifechukwu-Jacobs, 2022) found it very effective for unemployment reduction. The study also supports Sani & Adamu & Adamu & Umar (2022), who describe it as a way of job creation. All these make it possible to enhance the growth of the textile industry. It is also interesting to note that all the states in SE Nigeria are in tandem with this finding as there is no significant difference found among them. This finding implies that in this system of training, there is no unemployment, unlike the formal school system where most graduates remain unemployed for years after graduation.  According to the 2024 Graduate Report, Nigeria produces approximately 600,000 graduates yearly. A Covenant University Repository report by Aderinsola Adio-Adepoju in November 2021, states that 36.26% of recent graduates are unemployed. (https://www.universityworldnews.com/post.php?story=20211113143735211)

The extent traditional apprenticeship enhances the growth of the textile industry in SE Nigeria:

           It was found that traditional apprenticeship enhances the growth of the textile industry in SE Nigeria to a Large Extent. This is not surprising especially as it assists in the acquisition of trading skills, provides practical hands-on training with good employment prospects, has a multiplier effect that enables the training of more apprentices, helps apprentices to further their education in the textile, and provides funds for business expansion to a large extent. Consequently, the growth of the textile industry is largely enhanced. This implies that businesses can be improved by giving practical training, through a multiplier effect which requires encouraging young ones to gather others and train them as well, if not, the business of the profession will become extinct This is why it is important to ensure that the teaching profession is encouraged so more professionals can be produced to enhance growth n economy. This study is in tandem with Onyebuchi-Igbokwe & Ndebilie, (2024) that found that apprenticeship is a vehicle for the development and sustenance, of Indigenous entrepreneurship and boosts unemployment reduction Ifechukwu-Jacobs (2022).

Challenges confronting traditional apprenticeship in the growth of the textile industry in SE Nigeria.

           It was found that traditional apprenticeship in SE Nigeria is fraught with many challenges with the top three being, Gender bias in apprenticeship, with males mostly involved, Outdated teaching methods without innovation and experimentation, and non-technologically driven teaching methods. It is not surprising that gender bias topped the list of the challenges. This shows that the Igbos still practice gender inequality in this regard. Not many parents in Igboland will be willing to expose their daughters to the hazards of the apprenticeship system in the textile industry, where they will be under the Masters and living with them. Men who want their wives to become entrepreneurs would prefer to train them- their wives, themselves. In that case very few if any girls will be found as Fabric Apprentices, rather they may be used as house helpers under the Madams of the house and not the Masters. Since the training is an informal one involving little or no research, experimentation, innovations, and technology; the teaching methods will surely be outdated. This finding supports Uwameiye and Iyamu (2002), on the types of training methodology used by the Nigerian Indigenous Apprenticeship System. These and other challenges call for modernization of the system. The finding is in line with Chukwu and Njoku’s (2024) study, which found significant challenges in the apprenticeship system in Igboland.

Implications: Implications of the findings are that traditional apprenticeship:

  1. Enhances growth in businesses, providing a multiplier effect that encourages growth in businesses.
  2. It provides immediate employment
  3. The traditional apprenticeship should be encouraged.
  4. The modern schooling system should emulate themultiplier effect and job device creation of the traditional apprenticeship system.

Contributions to Knowledge:

  1. The study has exposed the importance of the traditional apprenticeship system especially its multiplier effect and job creation.
  2. It provides traditional apprenticeship literature for researchers.
  3. It provides a framework for the formal schooling system on how to ensure the growth of the educational system and enhance the employment of school leavers.
  4. It has also x-rayed the challenges of the traditional apprenticeship, which can be explored and improved upon.

Suggestions for Further Studies:   

  1. This study should be carried out in other states and other industries in Nigeria.
  2.  Studies should be carried out on how to modernize and improve the traditional apprenticeship system.
  3. Studies should be carried out on how the formal school system can apply the multiplier effect to reduce unemployment and enhance the educational system in Nigeria.

Recommendations: Based on the findings the following recommendations were made;

  1.  The formal school system should adopt the multiplier effect model as apprentices to ensure graduates are employed after schooling so that they can contribute to the economic development and growth of the country.
  2. More females should be involved in traditional apprenticeships to avoid gender bias.
  3. Traditional apprenticeship training should be more technologically driven.
  4. Teaching methods should involve more innovation and experimentation.

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Sani, G., Adamu, M., Adamu, B. and Umar, N., (2022). Apprenticeship training and job creation: A conceptual framework of their Relationship. ATBU Journal of Science, Technology and Education 9 (4), 274-281.

Suhaimy, M. H., Sumardi, W. A., Sumardi, W. H., & Anshari, M. (2022). An empirical study of training transfer in an apprenticeship programme for a conducive workforce.International Journalof Training Research, 21(2),134–166.https://doi.org/10.1080/14480220.2022.2152471

Uwameiye, R. and Iyamu, E.O. S., (2002). Training methodology used by the Nigerian indigenous apprenticeship system. Adult Education And Development, 59, 2002, p. 169-180 https://unesdoc.unesco.org/ark:/48223/pf0000208529

APPENDICES:

Appendix I: List of Selected Markets and Population and Sample of the Study.

S/N         MARKETS                               *MASTERS  Population  *MASTERS  sample

1 **  Ariaria International Market – Aba           729**                                     729

2 **  New Market – Aba                                    547 **                                     547

3       Ekeoha Market – Aba                                677

4       Cemetery Market – Aba                            574

5       Alaoji Market – Aba                                  834

6  ** Onitsha Main Market – Onitsha                1126 **                                 1126

7       Ojidi Building Market – Onitsha               1126

8         Inter. Electronic Market – Onitsha         1126

9         Nkwo Nnewi Market – Nnewi                601

10 **  Ochanja Inter. Market – Onitsha              826 **                                     826

11       Alaba Inter. Market – Owerri                  391

12       Industrial Cluster Naze – Owerri              378

13       Timber Market Naze – Owerri                404

14       Malaysia Market – Obowo                      352

15       Relief Market Owerri                              143

16**   Ogbete main Market Enugu                    250    **                                  250

17**     New market Enugu                                276   **                                   276

Total                                                                  10436                             3754 –  8%= 300.25

Source: Market Union Registers, 2022

*  Masters are the Mentors of the apprentices.

         **  Samples selected for the study.            

Appendix II: Traditional Apprenticeship and Textile Industry Growth Questionnaire (TATIG)

             To Respondents

 I am a student at Learn to Live Business School (LLBS), pursuing a postgraduate degree program.  I am glad to inform you that you have been selected as a participant in this study, CONGRATULATIONS!  Consequently, you are kindly requested to be very honest in your answers. Note that there are no implications whatsoever in your responses, as they will be used for research purposes only. There are no right or wrong answers just be frank. There are four options Kindly TICK only one but ensure you answer ALL the questions.

 Thank you

 JOSHUA ONUOHA

SA  = Strongly Disagree

A   =  Agree

D   =  Disagree

SD =  Strongly Disagree

             OR

  VLE= Very Large Extent  

 LE= Large Extent  

SE=   Small Extent  

VSE= Very Small Extent  

 Where Applicable:

SECTION 1: Respondents’ Demographics

  1. State of business location:  [    ] Abia State       [   ] Anambra   [   ] Enugu

2.     No of Apprentices you have:  [   ] below 5 [   ] 6 – 10    [  ]  above 10

3.     No of years in the Fabric business [   ] Less than 5 years [   ] More than 5 years  [  ] Over 10 years 

Cluster I: How traditional apprenticeship encourages the growth of the textile industry in SE Nigeria
 The following is how traditional apprenticeship encourages the growth of the textile industry in SE Nigeria.
S/ NINDICATE YOUR LEVEL OF AGREEMENT OR DISAGREEMENTSAADSD
 It gives a lot of trading skills to the Apprentices.    
 They are exposed to wholesale strategies.    
  They learn online textile marketing and sales.    
  They learn textile financial management.    
 It provides practical, hands-on training with good prospects for employment after training.    
 It has a multiplier effect in that as the apprentice graduates he/she gathers more people to be trained in the business thereby enhancing business growth.            
 It provides continuous mentoring whereby the Master continues to mentor the Apprentice even after graduation, thereby protecting the business from folding up and therefore, enhancing growth.    
 Apprentice are helped to further their education in the business.    
   The Master helps the Apprentice expand his/her business by opening up more branches.    
  Funds are provided to Apprentices when needed for the expansion of business.    
  Innovation and Product Diversification are encouraged in Apprenticeship for business growth.    
           Cluster II: Extent the traditional apprenticeship enhances the growth of the textile industry in SE Nigeria:// To what extent does the following help in enhancing the growth of the textile industry in                                       SE    VLE    LE    SE    VSE
  Acquisition of trading skills    
 Exposed to wholesale strategies    
 Mastering online textile marketing and sales     
  Mastering textile financial management     
12.Provision of practical, hands-on training with good prospects for employment after training    
13.The multiplier effect where the apprentice graduate gathers more people to train in the business    
15.Continuous mentoring whereby the Master continues to mentor the Apprentice even after graduation, thereby protecting the business from folding up.    
16.Helping the apprentice to further their education in the textile business    
 Provision of funds to Apprentices when needed for expansion of business.    
Cluster III: Challenges confronting traditional apprenticeship in the growth of textile industry in SE Nigeria Are:
  Lack of financial support SAADSD
 Fear of incompletion of the Apprenticeship due to the wickedness of some masters    
 Living with the family of masters          
 ‘Get rich quick syndrome’, which makes modern youths not wait long enough to graduate.
 Low standard of education among Apprentices. Many do not pass through Primary or secondary schools. Very few if any are university graduates    
 Apprenticeship in SE is gender biased as males are mostly involved.    
 Training as no theoretical knowledge is provided alongside practical experience.    
 Teaching is usually outdated without innovations and experimentation.    
 Teachings are not technologically driven.    
 Apprentices are continually regarded as ‘Servants’ by their ‘Masters; even when they have graduated.    

THANK YOU

TRADITIONAL APPRENTICESHIP AND GROWTH OF THE TEXTILE INDUSTRY IN SOUTH EAST NIGERIA Read More »

STRATEGIES FOR IDENTIFYING AND ALLEVIATING FAKE NEWS ON SOCIAL MEDIA IN NIGERIA

BY
 
EKOH, Favour Ozioma
Learn to Live Business School, UK
 
 
Correspondence: favourekoh6@gmail.com
Phone No.: 0703036 8401

Acknowledgments

Acknowledgment is hereby given to Dr Ugochukwu Okorozoh for his immense contribution to this project.

ABSTRACT

The study examined strategies for identifying and alleviating fake news on social media in Nigeria. The study adopted the simple linear correlation research design. The study employed a cross-sectional survey approach and a five-point Likert scale questionnaire was used to elicit responses from 385 respondents from the selected social media tools using a purposive sampling technique which was used to ensure full representation of each of the strata under study. The Cronbach Alpha statistic was used to obtain index coefficient values of 0.821 for the dependent variable and 0.894 for the independent variable as the instrument reliability ratio. The dataset was first subjected to a normality test for the residual term using the Kolmogorov-Smirnov Statistic, but the result revealed that the normality assumption was not satisfied for the three independent variables; hence the introduction of the parametric regression analysis technique (Theil regression) was appropriately employed. The research questions were answered using the Spearman rank correlation coefficient to establish the relationship between the dependent and independent variables in the study. The hypotheses were tested with the Theil regression technique to measure the “significance” of the degree of relationships existing between the dependent and independent variables. The analysis was enabled by the use of R-Studio and Minitab software packages. The study concluded the effectiveness of fact-checking training, AI-powered fake news detection tools, and collaboration between social media platforms and fact-checking organizations in reducing the spread of misinformation. The study recommended among others that social media platforms should implement AI-powered fake news detection tools to reduce the spread of misinformation.Keywords: Fake news, social media, Nigeria, media literacy, fact-checking, misinformation

INTRODUCTION

Information fabrication otherwise known as ‘fake news’ is not new. Misinformation, disinformation, and propaganda have been features of human communication, but never before, has there been a technology that effectively disseminates it than social media. Standage (2017) believes that “fake news has been known since the earliest days of printing however, the proliferation of fake news on social media has become a significant concern globally, with Nigeria being no exception (Ojebuyi & Ukpabi, 2020).

Fake news and hoaxes have been a thing over time, and have been trending even before the advent of the Internet. Fake news in the information world are fictitious articles created and spread by rumor mongers that deliberately deceive readers knowingly or unknowingly. Unfortunately, social media and other fake news outlets publish and circulate hoaxes to increase readership and sales of their commodities and generate revenue for economic gains and benefits. Their acclaimed benefit in many cases is a disadvantage to society. Finally, the arrival of the Internet in the late 20th century, followed by social media in the 21st century unimaginably escalated the dangers of misinformation, disinformation, propaganda and hoaxes”. In Nigeria, fake news – intentional or unintentional is equally not new. For instance, in November 1989, the Nigerian Television Authority (NTA) announced the death of the first Governor General and President of Nigeria, Dr Nnamdi Azikwe. By the next morning, the news was on the front pages of most of the country’s newspapers. It took two days before Dr. Nnamdi Azikwe cleared the air about his health status and informed the world that he was still alive and the false claim was relatively contained. Thirty years later, rumors circulated that General Mohammadu Buhari had died during one of his lengthy absences from Nigeria in 2017 on medical grounds and that he had been replaced by a clone called Jubril from Sudan. The supposed death of General Mohammadu Buhari in contrast spread like wildfire on Twitter, Facebook, WhatsApp, and many other social media platforms so much so that he had to address the claim at a news conference (News Wires, 2019).     Indeed, both errors and fraudulent content now go viral through peer-to-peer distribution, and news satire is regularly misunderstood and re-shared as straight news by unwitting social media users. Hence, we now live in a world with computational propaganda, state-sponsored ‘sock-puppet networks’, troll armies, and technology that can mimic legitimate news websites and seamlessly manipulate audio and video to create synthetic representations of any number of sources (Posetti & Mattews, 2018).  The spread of fake news on the Internet is further necessitated by the internet’s ever-growing and connected nature and the preference for speed over accuracy and impact. Because internet content providers and distributors are in a zero-sum, winner-takes-all battle for attention and patronage, they do all within their reach to boost traffic. Unlike the print media which exercise due diligence before reporting any news, online media are usually overwhelmed by the frenzy of the opportunities of the new technology so much so that (Adeleke, 2016) alleges that, many journalists would rather publish first and verify later. This scenario is fuelling the spread of fake news in Nigeria and the world with its accompanying negative security implications.

To achieve the set objective of this study, it will focus attention on social media platforms: Facebook, Twitter, WhatsApp, Instagram, and YouTube, types of fake news:  and other local initiatives, media literacy programs: Educational institutions, civil society organizations, and government agencies to contribute to the development of effective strategies for identifying and alleviating fake news on social media in Nigeria, and promote a more informed and critical online community.

1.1       Statement of the Problem

The proliferation of fake news on social media in Nigeria has become a significant threat to national security, political stability, and social cohesion despite efforts to combat misinformation. Fake news continues to spread rapidly, often with devastating consequences. The lack of effective strategies to identify and alleviate sham news on social media has led to increased polarization and erosion of trust in institutions, manipulation of public opinion and electoral processes, incitement of violence and communal conflicts, undermining of credible journalism and fact-based reporting, erosion of social cohesion and national unity.

It is for these issues, consequences, challenges, other gaps, and the need for effective strategies that this study is meant to address with more focus on developing effective solutions to mitigate the spread of misinformation and promote fact-based reporting.”

1.2       Objectives of the Study

The primary objective of this study is to identify effective strategies for identifying and alleviating fake news on social media in Nigeria, through the following:

i.          Investigate the effect of fact-checking training on social media users’ ability to identify fake news;

ii.         Examine the effectiveness of AI-powered fake news detection tools in reducing the spread of fake news;

iii.        Investigate the impact of collaboration between social media platforms and fact-checking organizations on reducing fake news.

1.3       Research Questions

The study was guided by the following research questions:

  1. To what extent does fact-checking training improve social media users’ ability to identify fake news in Nigeria?
  2. How effective are AI-powered fake news detection tools in reducing the spread of fake news on social media in Nigeria?
  3. To what extent does collaboration between social media platforms and fact-checking organizations reduce the prevalence of fake news on social media in Nigeria?

1.4       Research Hypotheses

H01: There is no significant difference in the ability to identify fake news between social media users in Nigeria who receive fact-checking training and those who do not;

H02: The use of AI-powered fake news detection tools will not reduce the spread of fake news on social media in Nigeria;

H03: Collaboration between social media platforms and fact-checking organizations will not lead to a significant reduction in fake news on social media in Nigeria.

2          LITERATURE REVIEW

2.1       Fake News: a Conceptual Clarification

The phrase “fake news” comprises two simple words; ‘fake’ – meaning, something not genuine, but meant to be taken as authentic; and ‘news’- meaning, information about current events. Therefore, one can literarily say that fake news is information/news that is not genuine which is presented as, and is expected to be believed as being authentic. However, this definition may seem too simplistic and narrow, so we explore available literature for the opinions of other scholars from various backgrounds on the concept of fake news. According to McGonagle (2017), fake news is information that has been deliberately fabricated and disseminated to deceive and mislead others into believing falsehoods or doubting verifiable facts. In this regard, to the information professional, fake news and hoaxes are disinformation that is presented as, or is likely to be perceived as news. A type of yellow journalism or propaganda that consists of deliberate disinformation or hoaxes spread via traditional media or online social media. Also, Alawode, Olorede, and Azeez (2018) view fake news as news articles that are intentionally and verifiably false and could mislead readers. The authors explained that fake news includes false information that can be verified as such, created with dishonest intentions to mislead readers. So far, the core deducible elements of fake news are the ‘falseness’ of news content and the intent to deceive or mislead. Therefore, false content is created in error and circulated without the intention of misleading the consumers and may be dismissible since no human system is immune to mistakes.  It is against this background that Claire Wardle cited in Ogbette, Idam, Kareem, and Ogbette (2019), discussed seven types of fake news.

Misinformation

2.1.1 Types of Fake News

Satire/Parody
Disinformation 

Misinformation

Propaganda
Deepfakes
Clickbait
Hoaxes

 

Fig.1. Different

 Source: Wardle, C. (2017). Fake news: It’s complicated. First Draft News

1. Misinformation: False or inaccurate information spread without the intention to deceive.

2. Disinformation: False information spread to deceive or manipulate.

3. Satire/Parody: Humorous or ironic content misinterpreted as factual.

4. Propaganda: Biased or misleading information promoting a particular ideology or agenda.

5. Hoaxes: Fabricated stories or claims presented as factual.

6. Clickbait: Sensationalized headlines or content to attract clicks.

7. Deepfakes: Manipulated audio, video, or images to deceive.

From the foregoing, it is clear that fake news takes different forms, from the harmless to the harmful. This understanding is important in discussing ‘fake news’ as a societal vice. Therefore, we define fake news as deliberately manipulated or fabricated information or news content carefully disseminated with the intent of causing anxiety, uproar, incitement, and harm at either individual or communal scale. In the fall of 2016 during the presidential elections in the United States of America, fake news began to dominate news headlines and fuel public discourse. But how did it all begin?

2.1.2 Strategies for Identifying and Alleviating Fake News on Social Media in Nigeria

The following are the recommended strategies. 

Table 1: Strategies for Identifying and Alleviating Fake News on Social Media in Nigeria

Identification Strategies:  Alleviation Strategies:  Nigeria’s Specific
Verify information through reputable sources  Media literacy education and training  Utilize local languages to combat fake news.  
Check for corroboration from multiple sources.  Promote critical thinking and skepticism.   Engage with local influencers and thought leaders.  
Be cautious of sensational or emotive headlines.  Encourage users to report fake news.  Develop Nigeria-specific fact-checking initiatives.  
Use fact-checking websites and tools.  Implement social media platform algorithms to detect and remove fake news.  Collaborate with Nigerian media outlets and regulatory bodies.  
Look for red flags such as grammatical errors, poor formatting, and unprofessional language.  Collaborate with fact-checking organizations and independent media.  Address socio-cultural factors contributing to fake news.  
Check the dateEngage in public awareness campaignsLeverage technology and innovation to combat fake news  
Consider the purposeDevelop and enforce policies against fake newsSupport media literacy programs in Nigerian schools  
Watch for emotional appeals.Support independent media and fact-checking initiatives.  Encourage Nigerian celebrities and public figures to promote fact-checking.  
Check the authorEncourage cross-checking and verification of informationDevelop a Nigerian fake news reporting system  
 Foster a culture of truthfulness and accountability.   Foster partnerships between Nigerian organizations and international fact-checking bodies.  

2.2       Theoretical Framework

2.2.1    Uses and Gratification Theory (UGT) 1974

This is a communication theory that explains how people use media to satisfy their needs and desires. It was first introduced by Elihu Katz, Jay Blumler, and Michael Gurevitch in 1974. The key assumptions of UGT are that people actively seek out media to satisfy their needs, media use is goal-oriented and motivated by personal needs, and people have different needs and use media accordingly.

Gratifications sought from media include: 1. Cognitive needs (information, knowledge), 2. Affective needs (entertainment, emotional connection), 3. Personal integrative needs (identity, self-esteem), 4. Social integrative needs (social connection, community), 5. Escapism needs (relaxation, distraction)

UGT has been applied to various media, including social media, to understand how people use platforms like Facebook, Twitter, and Instagram to satisfy their needs.

In the context of fake news on social media in Nigeria, UGT can help explain why people share fake news (e.g., to satisfy social integrative needs or to express their identity), how people use social media to seek information and knowledge (cognitive needs), why people are motivated to engage with fake news (e.g., affective needs, escapism needs)

By understanding the gratifications people seek from social media, researchers and practitioners can develop strategies to mitigate the spread of fake news and promote fact-based information.

2.2.2 Social Constructivist Theory (SCT) explains how individuals and groups construct meaning and understanding through social interactions and language. Key concepts include:

1. Social construction: Reality is constructed through social processes, rather than an objective truth.

2. Meaning-making: Individuals and groups create meaning through interactions and language.

3. Contextualization: Meaning is shaped by the social context in which it is constructed.

4. Negotiation: Meaning is negotiated and agreed upon through social interactions.

5. Power dynamics: Power relationships influence the construction of meaning.

In the context of fake news on social media in Nigeria, SCT can help explain, how false information is constructed and spread through social interactions, how meaning is negotiated and agreed upon among social media users, how power dynamics, such as influence and credibility, shape the construction of meaning, how social context, such as cultural and political factors, influences the construction of meaning.

By applying SCT, researchers can gain a deeper understanding of how fake news is constructed, spread, and understood on social media in Nigeria, and develop effective strategies to mitigate its impact.

2.3       Empirical Review

Fact-checking training as a strategy for mitigating fake news was investigated by Oyebode et al. (2022). The study aimed to examine the effect of fact-checking training on social media users’ ability to identify fake news. A quasi-experimental design and quantitative methodology were employed. 200 social media users in Nigeria were randomly selected. Descriptive statistical methods and ANOVA were used for data analysis. The study’s findings indicated that fact-checking training significantly improved participants’ ability to identify fake news (p < 0.05). The study recommended fact-checking training as an effective strategy for alleviating hoax news.    

The effectiveness of AI-powered fake news detection tools was examined by Adewole et al. (2020). The study aimed to investigate the impact of AI-powered tools on reducing counterfeit news spread. An experimental design and quantitative methodology were used. 500 social media posts were analyzed. Accuracy and precision metrics were employed. The study findings showed that AI-powered tools detected fake news with 85% accuracy. The study recommended AI-powered tools as a viable solution for mitigating fake news.

The impact of collaboration between social media platforms and fact-checking organizations on fake news reduction was investigated by Nwosu et al. (2021). The study aimed to examine the effectiveness of collaboration in reducing fake news. A case study design and qualitative methodology were employed. Three social media platforms were analyzed. Content analysis and thematic analysis were used. The study’s findings indicated that collaboration led to a 40% reduction in fake news spread. The study recommended collaboration as a crucial strategy for alleviating fake news.

The role of media literacy in mitigating fake news was examined by Okeke et al. (2022). The study aimed to investigate the impact of media literacy education on critical thinking skills. A quasi-experimental design and quantitative methodology were used. 300 participants were randomly selected. Descriptive statistical methods and ANOVA were employed. The study’s findings showed that media literacy education significantly improved critical thinking skills (p < 0.01). The study recommended media literacy education as an essential strategy for alleviating fake news.

2.4       Gap in Literature

From empirical findings, the researchers believed that there had been studies on fake news reduction and social media users’ ability to identify fake news, but no one to the best of our knowledge was carried out on strategies for identifying and alleviating fake news on social media in Nigeria; again the indiscriminate use of the statistical techniques was another challenge from the past literature. All the past studies employed parametric statistical techniques but none subjected the data to parametric assumptions; Hence making the interpretation of the results unreliable. This lacuna prompted this study to fill the gaps.

3          METHODOLOGY

This study employed a cross-sectional survey approach and a five-point Likert scale questionnaire was used to elicit a response from 385 respondents from the selected social media tools using a purposive sampling technique which was used to ensure full representation of each of the strata under study. The respondents were selected based on their usage and understanding of the concept under study. Primary and secondary sources of data were deployed. However, data gathered which was mainly primarily generated through the use of a structured questionnaire was analyzed using simple percentages and tables.

The population for this study includes Nigerian social media users, media professionals, fact-checking organizations, and government agencies involved in media regulation with a focus on urban and rural areas from 2022 to 2024. Digital 2022 Nigeria Data Report provided accurate numbers of the categories of participants studied.

The research questions were answered with the Spearman rank correlation coefficient, to establish the relationship between the dependent and independent variables in the study. The basis for the decision for the research questions’ conclusion was as follows: 0.00– 0.20 = very low extent relationship, 0.21–0.40 = low extent relationship, 0.41–0. 60 = moderate extent relationship, 0.61–0.80 = high extent relationship and 0.81–1.00 = very high extent relationship. Hypotheses were tested with the Theil regression technique, to measure the “significance” of the degree of relationships existing between the dependent and independent variables. This implied that it helped to ascertain if the coefficient of the relationship was significant or not. The rejection of the null hypothesis was achieved if the calculated p-value was less than the level of significance (0.05); otherwise, the null hypothesis was not rejected.

4          RESULT

The researcher retrieved three hundred and sixty-two (362) copies of the distributed instrument, which represents the (94.0%) return rate of the distributed instrument.

4.1       Tests for Normality Assumption for the Bivariate Regression Model

This assumption requires that the residuals from the model be normally distributed. When residuals are normally distributed, we can test a specific hypothesis about a bivariate regression model. Hence, it becomes statistically important to first examine the normality assumption before proceeding to the hypotheses. However, it should be noted that when the assumption fails, using the regression model directly leads to errors in the interpretation of the result. Here we tested the normality assumption based on using the dependent variable with each of the independent variables via the Kolmogorov-Smirnov Statistic. The key assumption of simple regression analysis to be satisfied is the normality assumption, but where it fails, the non-parametric equivalent (Theil-Sen regression) would be employed.

4.1.1    Normality of Errors Assumption –Alleviation/Reduction of Fake News versus Effectiveness of Strategies

The hypotheses of the Kolmogorov-Smirnov Statistic test are as follows:

H0: Errors are normally distributed

H1: Errors are not normally distributed

Fig. 1: Normal Probability Plot of Residual for Research Question/Hypothesis One

Source: Minitab

Since the p-value (<0.010) is less than 0.05 from Fig. 1, the null hypothesis is rejected. This implies that the assumption of normality distributed errors research question/hypothesis one is not satisfied.

Fig. 2: Normal Probability Plot of Residual for Research Question/Hypothesis Two

Source: Minitab

Since the p-value (<0.010) is less than 0.05 from Fig. 2, the null hypothesis is rejected. This implies that the assumption of normality distributed errors for research question/hypothesis two is not satisfied.

Fig. 3: Normal Probability Plot of Residual for Research Question/Hypothesis Three

Source: Minitab

Since the p-value (<0.010) is less than 0.05 from Fig. 3, the null hypothesis is rejected. This implies that the assumption of normality distributed errors for research question/hypothesis three is not satisfied.

4.2       Analysis and Results of Research Questions

Research Questions/Hypotheses One to Three

The Spearman rank correlation coefficient and the Theil regression techniques were employed to address research questions and hypotheses respectively since the normality assumption of the error term was not all satisfied, Hence, the parametric Pearson correlation coefficient and linear regression analysis were no longer valid statistical tools for this study.

Research Question One

To what extent does fact-checking training improve social media users’ ability to identify fake news in Nigeria?

Table 2: Spearman’s Rank Correlation Summary for Research Question One

VariablesnSDr
Ability to identify fake news36213.7543.864 
    0.884
Receipt of fact-checking training36214.4503.961 
Very High Relationship

     Source: R-Studio Software

Table 2 shows the result obtained concerning research question one. The result reveals that the Spearman rank correlation coefficient is 0.884, which is very high. This implies that fact-checking training improves social media users’ ability to identify fake news in Nigeria to a very high extent.

Testing of Hypothesis One

H01: There is no significant difference in the ability to identify fake news between social media users in Nigeria who receive fact-checking training and those who do not

Table 3: ANOVA Summary for Theil-Sen Regression for Hypothesis One

 DfSum of SquaresMean SquaresF-valuep-value
Predictor11974.761974.76  
    238.7860.000
Residuals3602975.648.27  

         Source: R-Studio Software

The result in Table 3 shows that the mean squares of 1974.76 for receipt of fact-checking training and 8.27 for residuals, F-calculation value of 238.786 and a p-value of 0.000 which is less than 0.05. This indicates a statistically significant result. Therefore, the null hypothesis which stated that there is no significant difference in the ability to identify fake news between social media users in Nigeria who receive fact-checking training and those who do not is rejected. Hence, the study concludes that participation in fact-checking training is associated with an improved ability to identify fake news among social media users in Nigeria.

Research Question Two

How effective are AI-powered fake news detection tools in reducing the spread of fake news on social media in Nigeria?

Table 4: Spearman’s Rank Correlation Summary for Research Question Two

VariablesnSDr
Reduction in the spread of fake news36214.6693.003 
    0.796
Use of AI-powered fake news detection tools36215.1053.322 
High Relationship

     Source: R-Studio Software

Table 4 shows the result obtained concerning research question two. The result reveals that the Spearman rank correlation coefficient is 0.796, which is high. This implies that AI-powered fake news detection tools used in reducing the spread of fake news on social media in Nigeria are highly effective.

Testing of Hypothesis Two

H02: The use of AI-powered fake news detection tools will not reduce the spread of fake news on social media in Nigeria

Table 5: ANOVA Summary of Theil-Sen Regression for Hypothesis Two

 DfSum of SquaresMean SquaresF-valuep-value
Predictor11844.881844.88  
    221.2090.000
Residuals3603004.628.34  

         Source: R-Studio Software

The result in Table 5 shows that the mean squares of 1844.88 for the use of AI-powered fake news detection tools and 8.34 for residuals, F-calculation value of 221.209 and a p-value of 0.000 which is less than 0.05. This indicates a statistically significant result. Therefore, the null hypothesis which stated that the use of AI-powered fake news detection tools will not reduce the spread of fake news on social media in Nigeria is rejected. Hence, the study concludes that the implementation of AI-powered fake news detection tools is associated with reduced spread of fake news on social media in Nigeria.

Research Question Three

To what extent does collaboration between social media platforms and fact-checking organizations reduce the prevalence of fake news on social media in Nigeria?

Table 6: Spearman’s Rank Correlation Summary for Research Question Three

VariablesnSDr
Prevalence of fake news36214.6693.003 
    0.946
Collaboration between social media platforms and fact-checking organizations36215.1242.873 
Very High Relationship

     Source: R-Studio Software

Table 6 shows the result obtained concerning research question three. The result reveals that the Spearman rank correlation coefficient is 0.946, which is very high. This implies that collaboration between social media platforms and fact-checking organizations reduces the prevalence of fake news on social media in Nigeria to a very high extent.

Testing of Hypothesis Three

H03: Collaboration between social media platforms and fact-checking organizations will not lead to a significant reduction in fake news on social media in Nigeria.

Table 7: ANOVA Summary of Theil-Sen Regression for Hypothesis Three

 DfSum of SquaresMean SquaresF-valuep-value
Predictor11874.811874.81  
    249.6420.000
Residuals3602704.627.51  

         Source: R-Studio Software

The result in Table 7 shows the mean squares of 1874.81 for collaboration between social media platforms and fact-checking organizations and 8.34 for residuals, F-calculation value of 249.642 and a p-value of 0.000 which is less than 0.05. This indicates a statistically significant result. Therefore, the null hypothesis which stated that collaboration between social media platforms and fact-checking organizations will not lead to a substantial reduction in fake news on social media in Nigeria is rejected. Hence, the study concludes that collaboration between social media platforms and fact-checking organizations is associated with a reduced prevalence of fake news on social media in Nigeria.

5          DISCUSSION OF FINDINGS

In the study, it was observed from research question one that fact-checking training improves social media users’ ability to identify fake news in Nigeria to a very high extent, whereas hypothesis one concludes that participation in fact-checking training is associated with improved ability to identify fake news among social media users in Nigeria. The findings of this study are in line with the findings of Kim et al. (2018) who found that fact-checking training enhanced individuals’ ability to distinguish between true and false information; Roozenbeek et al. (2020) who discovered that fact-checking interventions improved participants’ fake news detection skills and Guess et al. (2020) who reported that fact-checking training increased social media users’ skepticism towards fake news. The results of this study partially agreed with the findings of Jones (2019) who found that fact-checking training had a moderate effect on improving fake news identification skills, hence the present study found a great extent and Walter et al. (2020) reported that fact-checking training was more effective for certain demographics, whereas the present study found no demographic differences.

Research question two reveals that AI-powered fake news detection tools in reducing the spread of fake news on social media in Nigeria are highly effective, whence the result from hypothesis two shows that the implementation of AI-powered fake news detection tools is associated with the reduced spread of fake news on social media in Nigeria. The results of this study are in agreement with the findings of Shu et al. (2018) who found that AI-powered fake news detection tools achieved accuracy rates of 85-90% in detecting fake news; Wang et al. (2019) who reported that AI-powered tools reduced fake news spread by 40-60% on social media and Ahmed et al. (2020) who discovered that AI-powered fake news detection tools improved detection accuracy by 25% compared to human fact-checkers. Also, the findings of this study are in partial agreement with the results of Horne et al. (2019) who found that AI-powered tools are effective in detecting fake news, but with varying accuracy rates (70-85%) depending on the algorithm and Zhang et al. (2020) who reported that AI-powered tools reduced fake news spread, but with limited effectiveness against sophisticated fake news.

The result from research question three shows that collaboration between social media platforms and fact-checking organizations reduces the prevalence of fake news on social media in Nigeria to a very high extent, while the result from hypothesis three reveals that collaboration between social media platforms and fact-checking organizations is associated with reduced prevalence of fake news on social media in Nigeria. The results of this study are consistent with the findings of Bode et al. (2018) who found that collaboration between social media platforms and fact-checking organizations reduced fake news spread by 30-40%; Stencel et al. (2018) who reported that fact-checking collaborations improved accuracy of information on social media and Tsfati et al. (2020) whose result discovered that collaborative fact-checking efforts increased public trust in information. Also, the findings of this study are partially in agreement with the findings of Brennen et al. (2020) who found that collaboration reduced fake news, while effectiveness varied depending on fact-checking methods, and Grinberg et al. (2019) who reported that collaboration improved fact-checking accuracy but faced challenges in scaling.

6          CONCLUSION

The study examined strategies for identifying and alleviating fake news on social media in Nigeria. The findings demonstrated the effectiveness of fact-checking training, AI-powered fake news detection tools, and collaboration between social media platforms and fact-checking organizations in reducing the spread of misinformation.

7          RECOMMENDATIONS

In line with the findings of this study, the following recommendations are made:

  1. Social media platforms should implement AI-powered fake news detection tools to reduce the spread of misinformation;
  2. Fact-checking organizations should collaborate with social media platforms to verify information and debunk false claims;
  3. Educational institutions and organizations should provide fact-checking training to enhance critical thinking and media literacy skills;
  4. Policymakers should establish regulations to promote transparency and accountability in online information dissemination.

8          SUGGESTIONS FOR FURTHER RESEARCH

The following research areas are suggested for further studies:

  1. Investigate the long-term effects of fact-checking training on social media users’ behavior;
  2. Explore the effectiveness of AI-powered fake news detection tools in detecting sophisticated fake news tactics;
  3. Examine the impact of collaboration between social media platforms and fact-checking organizations on public trust in information;
  4. Develop and test context-specific fact-checking interventions for Nigerian social media users;
  5. Investigate the role of social media influencers in spreading or combating fake news in Nigeria.

STRATEGIES FOR IDENTIFYING AND ALLEVIATING FAKE NEWS ON SOCIAL MEDIA IN NIGERIA Read More »

Mentoring in Entrepreneurship: Building Bridges Between Theory and Practice Among Entrepreneurs of Small Business Owners in Calabar, Cross Rivers State, Nigeria

By
Divine Godwin Agabaidu
Course: Master in Business Administration (MBA)
Email: dagabaidu@gmail.com
Phone: 07061100051

ABSTRACT

This study explores the role of mentoring in entrepreneurship, specifically among small business owners in Calabar, Cross River State, Nigeria. The research aims to bridge the gap between theoretical concepts and practical applications of entrepreneurship, highlighting the challenges and opportunities faced by entrepreneurs in this region. Through a mixed-methods approach, combining surveys and in-depth interviews, this study investigates the mentoring needs and experiences of small business owners in Calabar. The findings reveal significant challenges, including limited access to funding, resources, and networks, as well as a lack of entrepreneurial skills and knowledge. However, the study also highlights the potential benefits of mentoring, including improved business performance, increased confidence, and enhanced networking opportunities. The study’s recommendations emphasize the importance of tailored mentoring programs, addressing the specific needs of entrepreneurs in Calabar, and fostering collaborative relationships between mentors and protégés. By building bridges between theory and practice, this research contributes to the development of effective mentoring initiatives, supporting the growth and success of small businesses in Nigeria.

Keywords: Mentoring, Entrepreneurship, Small Business Owners, Calabar, Cross River State, Nigeria, Theory and Practice, Entrepreneurial Skills, Knowledge, Business Performance, Networking, Collaboration, Mentorship, Entrepreneurial Mindset, Business Environment, SMEs (Small And Medium-Sized Enterprises), Entrepreneurial Ecosystem, Innovation, Leadership, Management, Strategic Planning.

INTRODUCTION

 Background of the Study:

 Mentoring in entrepreneurship refers to the process of guiding and supporting entrepreneurs in their personal and professional development. In this study, mentoring is defined as a process where an experienced individual guides and supports a less experienced individual in their personal and professional development. Entrepreneurs are defined as individuals who create and run their businesses. Theory refers to abstract concepts and frameworks that explain entrepreneurship, while practice refers to the actual application and implementation of entrepreneurship concepts.

Mentoring in entrepreneurship is a developmental relationship between a more experienced individual (mentor) and a less experienced individual (protégé) intended to promote the protégé’s personal and professional growth (Kerr & Nishimura, 2016). It involves supporting and encouraging individuals to develop their skills, knowledge, and abilities (Gibson, 2015) and helping them reach their full potential (Megginson, 2000). In entrepreneurship, mentoring serves as a vital bridge between theory and practice, particularly among small business owners who are often inexperienced in their business. Clint (2017), citing Bozeman & Feeney (2007, P.17), noted that mentoring especially in entrepreneurship is a process of passing on knowledge, social capital, and psycho-social support for job development. Mentoring accordingly entails face-to-face informal communication which usually is for a sustained period, between the expert and the person being assisted (protege) {Kent, Dennis, and Tanton, 2003. P.441}.

Globally, entrepreneurship has been recognized as a key driver of economic growth and development. In Nigeria, the government has implemented policies to support entrepreneurship, but challenges persist, including limited access to funding and finance, inadequate infrastructure and resources, poor business environment and regulatory framework, limited access to markets and customers, inadequate skills and training, high risk and uncertainty, limited access to technology and innovation, corruption, and bureaucracy (Adebayo, 2019).

Previous studies have examined the impact of mentoring on entrepreneurship success. For instance, Schmidt (2017) found that entrepreneurs who had mentors had higher levels of entrepreneurship success, including increased revenue and job creation. Similarly, Faizal (2018) observed that mentoring had a positive impact on entrepreneurship success, including increased entrepreneurship skills, knowledge, and networks. In the context of Nigeria, Adebayo (2019) found that access to funding was a significant predictor of entrepreneurship success, while Ojo (2020) found that training was a key factor in entrepreneurship success. Furthermore, Eze (2017) found that mentoring programs were effective in improving entrepreneurship skills, knowledge, and networks in Nigeria. However, a gap still exists in exploring the challenges faced by entrepreneurs in Calabar, Nigeria.

Overall, this study is necessary to support the growth and development of entrepreneurship in Calabar, Nigeria, and to contribute to the body of knowledge on mentoring in entrepreneurship development.

Statement of the Problem:

Calabar, a growing and burgeoning entrepreneurial hub in Nigeria, is home to numerous small business owners who face various challenges that hinder their growth and success, requiring guidance and support to thrive. While mentoring is recognized as a crucial factor in entrepreneurship development, little is known about the specific challenges entrepreneurs in Calabar face in accessing effective mentoring that can build bridges between theory and practice. This study aims to fill this gap by investigating the mentoring needs of entrepreneurs in Calabar, exploring the skills required for effective mentoring, and examining how mentoring can translate theoretical concepts into practical applications, ultimately leading to entrepreneurship success. This study will provide insights into the challenges faced by entrepreneurs in Calabar, Nigeria, and the impact of mentoring on entrepreneurship success, with a focus on small business owners in the formal and informal sectors. Specifically, the study will explore how mentoring can help entrepreneurs in Calabar apply theoretical concepts to real-world problems, navigate the gap between academic knowledge and practical experience, and develop the skills and competencies necessary for success. By focusing on the specific context of Calabar, Nigeria, and the experiences of small business owners, this study will provide a nuanced understanding of the mentoring needs and challenges faced by entrepreneurs in this region.

                                                                                                                                                                                                                                                                                                                                                                    Specifically, the study objectives are:

1. To investigate the challenges faced by entrepreneurs in Calabar during mentoring.                       

2. To determine how the challenges faced by entrepreneurs in Calabar during mentoring  can be addressed

3. To explore the skills required for effective mentoring of entrepreneurs in Calabar

4. To find out how mentoring can build bridges between theory and practice among entrepreneurs in Calabar

Research Questions: The following research questions were posed to guide the study;

1. What challenges do entrepreneurs face in Calabar when mentoring them?

2. How can the challenges faced by entrepreneurs in Calabar when mentoring them be addressed?

3.  What skills are required for effective mentoring of entrepreneurs in Calabar?

4. How can mentoring build bridges between theory and practice among entrepreneurs in Calabar?

Hypotheses: The following hypotheses were tested at .050 probability to guide the study.

HO1:  There is no significant difference in the opinions of mentors and protégés (mentees)  with regard to the challenges facing entrepreneurs in Calabar. 

HO2:  There is no significant difference in the opinions of mentors and protégés (mentees)  with regard  to how the challenges faced by entrepreneurs in Calabar can be addressed.

HO3:  There is no significant difference in the opinions of mentors and protégés (mentees)  with regards to the skills required for effective mentoring of entrepreneurs in Calabar.

HO4:  There is no significant difference in the opinions of mentors and protégés (mentees) with regard to how mentoring can build bridges between theory and practice in entrepreneurs in Calabar.

Significance of the Study:

This study is necessary because it will help identify the specific challenges faced by entrepreneurs in Calabar, Nigeria, and examine the impact of mentoring on entrepreneurship success in the region. Additionally, it will explore the skills required for effective mentoring in entrepreneurship development, providing valuable insights for policymakers, entrepreneurs, and mentoring organizations on how to improve mentoring programs in Calabar. Furthermore, this study will contribute to the development of entrepreneurship in Nigeria and Africa, bridging the gap between theory and practice in entrepreneurship development, and providing recommendations for future research and practice. Ultimately, this study will help address the challenges and capitalize on the opportunities of mentoring in entrepreneurship development, leading to greater success and growth for entrepreneurs in Calabar and beyond.

Methodology

Research Design

The study will employ a mixed-methods approach, combining quantitative and qualitative methods. This approach will enable a comprehensive understanding of the mentoring needs and challenges entrepreneurs face in Calabar, Nigeria. The quantitative method will involve a survey of entrepreneurs to gather data on their mentoring needs, challenges, and experiences. The qualitative method will involve in-depth interviews with mentors and protégés (mentees) to gather more detailed and nuanced insights into their experiences and perspectives.

Population and Sampling

The population consist of entrepreneurs in Calabar, Nigeria, including small business owners in the formal and informal sectors. A stratified random sampling technique will be used to select a representative sample of 100 entrepreneurs. This sampling technique will ensure that the sample is representative of the population and that the results can be generalized to the larger population. Additionally, 20 mentors and 20 protégés (mentees) will be selected for in-depth interviews, providing a more detailed understanding of their experiences and perspectives.

Data Collection

A structured questionnaire will be used to collect data from the entrepreneurs. The questionnaire will include questions on demographics, mentoring needs, challenges, and experiences. This will provide a comprehensive understanding of the mentoring needs and challenges entrepreneurs face in Calabar, Nigeria. In-depth interviews will be conducted with mentors and protégés (mentees) to gather more detailed insights into their experiences and perspectives. This will provide a nuanced understanding of the mentoring process and the challenges entrepreneurs face.

Data Analysis

Quantitative data will be analyzed using descriptive and inferential statistics (e.g., regression analysis). This will provide a comprehensive understanding of the mentoring needs and challenges entrepreneurs face in Calabar, Nigeria. Qualitative data will be analyzed using thematic analysis, providing a nuanced understanding of the mentoring process and the challenges entrepreneurs face. This will enable the identification of patterns and themes in the data, providing a more detailed understanding of the mentoring needs and challenges entrepreneurs face in Calabar, Nigeria.

RESULTS

Answers to the Research Questions

Research Question 1: What challenges entrepreneurs face in Calabar when mentoring them?

Table 1: Challenges faced by entrepreneurs in Calabar when mentoring them

ChallengeFrequencyPercentage
Lack of Funding4040%
Limited Access to Resources3030%
Poor Business Environment2020%
Limited Skills and Knowledge1010%
Total100100%

Research Question 2: How can the challenges faced by entrepreneurs in Calabar when mentoring them be addressed?

Table 2: Ways to address challenges faced by entrepreneurs in Calabar when mentoring them

WayFrequencyPercentage
Provide funding and resources5050%
Improve business environment3030%
Offer training and development programs2020%
Encourage networking and collaboration1010%
Total100100%

Testing of Hypotheses

Hypothesis 1: There is no significant difference in the opinions of mentors and protégés (mentees) with regard to the challenges facing entrepreneurs in Calabar.

Table 3: Comparison of opinions of mentors and protégés (mentees) on challenges facing entrepreneurs in Calabar

ChallengeMentor opinionProtege opinionP-Value
Lack of Funding40%30%0.01
Limited access to resources30%20%0.05
Poor business environment20%10%0.01
Limited Skills and Knowledge10%5%0.05

Hypothesis 2: There is no significant difference in the opinions of mentors and protégés (mentees) with regard to how the challenges faced by entrepreneurs in Calabar can be addressed.

Table 4: Comparison of opinions of mentors and protégés (mentees) on ways to address challenges faced by entrepreneurs in Calabar

WayMentor opinionProtege opinionP-Value
Provide funding and resources50%40%0.01
Improve business environment30%20%0.05
Offer training and development programs20%10%0.01
Encourage networking and collaboration10%5%0.05

Note: P-values < 0.05 indicate significant differences in opinions between mentors and protégés (mentees).

 Discussion of the findings:

The study’s findings provide valuable insights into the challenges faced by entrepreneurs in Calabar when mentoring them and how these challenges can be addressed.

Challenges faced by entrepreneurs in Calabar when mentoring them:

The study reveals that entrepreneurs in Calabar face significant challenges when it comes to mentoring.

– Lack of funding (40%): This is a significant challenge faced by entrepreneurs in Calabar, which can limit their ability to start or grow their businesses.

– Limited access to resources (30%): Entrepreneurs in Calabar may face difficulties in accessing resources such as technology, equipment, and raw materials, which can hinder their productivity and competitiveness.

– Poor business environment (20%): The business environment in Calabar may not be conducive to entrepreneurship, with factors such as corruption, bureaucracy, and inadequate infrastructure posing challenges to entrepreneurs.

– Limited skills and knowledge (10%): Entrepreneurs in Calabar may lack the necessary skills and knowledge to effectively run their businesses, which can limit their growth and success.

Ways to address challenges faced by entrepreneurs in Calabar when mentoring them:

-Provide funding and resources (50%): Providing access to funding and resources can help entrepreneurs in Calabar overcome the challenges they face and grow their businesses.

– Improve business environment (30%): Improving the business environment in Calabar can help entrepreneurs operate more efficiently and effectively.

– Offer training and development programs (20%): Providing training and development programs can help entrepreneurs in Calabar acquire the necessary skills and knowledge to run their businesses successfully.

– Encourage networking and collaboration (10%): Encouraging networking and collaboration among entrepreneurs in Calabar can help them build relationships, share knowledge and resources, and support each other’s growth.

These solutions are crucial to helping entrepreneurs in Calabar overcome the hurdles they face and achieve success. By providing access to funding and resources, entrepreneurs can secure the necessary support to grow their businesses.

Comparison of opinions of mentors and protégés (mentees):

Interestingly, the findings also show significant differences in the opinions of mentors and protégés (mentees) on the challenges faced by entrepreneurs in Calabar and how these challenges can be addressed. Mentors are more likely to identify lack of funding and limited access to resources as significant challenges; while protégés (mentees) are more likely to identify poor business environments and limited skills and knowledge as significant challenges. Mentors are more likely to suggest providing funding and resources in order to address challenges, while protégés (mentees) are more likely to suggest improving the business environment and offering training and development programs. This highlights the need for effective communication and collaboration between mentors and protégés (mentees) to ensure that entrepreneurs in Calabar receive the support they need to succeed.

CONCLUSION

Overall, the findings highlight the importance of providing support to entrepreneurs in Calabar, particularly in terms of funding and resources, training and development programs, and improving the business environment. Additionally, the findings suggest that mentors and protégés (mentees) may have different perspectives on the challenges faced by entrepreneurs in Calabar and how these challenges can be addressed, which highlights the need for effective communication and collaboration between mentors and protégés (mentees). The study’s findings have important implications for policymakers, business leaders, and other stakeholders seeking to support entrepreneurs in Calabar.

Recommendations:

1. Develop mentorship training programs that address the challenges faced by entrepreneurs and mentors.

2. Provide business development workshops and networking events to support entrepreneurs and mentors.

3. Emphasize communication and business acumen skills in mentorship training programs.

4. Encourage collaboration between entrepreneurs, mentors, and policymakers to build bridges between theory and practice.

Limitations:

This study’s findings are limited to Calabar and may not be generalizable to other contexts.

Future Research Directions:

1. Explore the impact of mentoring on entrepreneurship outcomes in different contexts.

2. Investigate the effectiveness of mentorship training programs in addressing the challenges faced by entrepreneurs and mentors.

REFERENCES

Adebayo, A. (2019). Mentoring in Entrepreneurship: A Study of Small Business Owners in

Calabar, Cross River State, Nigeria. Journal of Entrepreneurship and Innovation, 12(2),

1-15.

Eze, U. (2017). Building Bridges between Theory and Practice in Entrepreneurship: A Mentoring

Perspective. Journal of Small Business Management, 55(3), 538-554.

Eze, U. (2017). Effectiveness of mentoring programs in entrepreneurship development. Journal of

Entrepreneurship and Innovation, 18(2), 1-12.

Nwosu, C. (2019). Impact of mentoring on entrepreneurship success in Calabar

Gibson, K. (2015). Mentoring in Entrepreneurship: A Review of the Literature. Journal of Entrepreneurship Education, 18(2), 1-18.

Gartner, W. B. (1988). Who is an entrepreneur? That is the wrong question. Entrepreneurship Theory and

Practice, 12(4), 21-32.

Hisrich, R. D., Peters, M. P., & Shepherd, D. A. (2017). Entrepreneurship. McGraw-Hill Education.

Kuratko, D. F. (2016). Entrepreneurship: Theory, Process, and Practice. Cengage Learning

Rae, D., & Carswell, M. (2001). Towards a conceptual understanding of mentoring in entrepreneurship.

Journal of Small Business and Enterprise Development, 8(2), 159-173.

Kerr, R., & Nishimura, C. (2016). Mentoring in Entrepreneurship: A Study of Small Business Owners in

Nigeria. Journal of African Business, 17(2), 150-164.

Kerr, M. P., & Nishimura, K. (2016). The role of mentoring in entrepreneurship. Journal of Small

Business Management, 54(3), 531-545.

Megginson, D. (2000). Mentoring in Entrepreneurship: A Review of the Literature. Journal of Small

Business Management, 38(2), 150-162.

Schmidt, A. (2017). Mentoring in Entrepreneurship: A Study of Small Business Owners in Calabar, Cross

River State, Nigeria. Journal of Entrepreneurship and Innovation, 10(1), 1-12.

Schmidt, C. (2017). The impact of mentoring on entrepreneurship success. Journal of Small Business

Management, 55(3), 531-545.

Faizal, P. (2018). Mentoring and entrepreneurship success: A systematic review. International Journal of

Entrepreneurship, 22(2), 1-15.

Adebayo, A. (2019). Access to funding and entrepreneurship success in Nigeria. Journal of

Entrepreneurship and Innovation, 20(1), 1-12.

Ojo, O. (2020). Training and entrepreneurship success in Nigeria. Journal of Small Business Management,

58(2), 345-

Kerr, M. P., & Nishimura, K. (2016). The role of mentoring in entrepreneurship. Journal of Small

Business Management, 54(3), 531-545.

Appendix

INSTRUMENTS

Building Bridges between Theory and Practice Mentoring in Entrepreneurship Questionnaires (BBTPME)

Introduction:

Hello, my name is Divine Godwin Agabaidu, and I am a Master’s degree student in Administration (MBA) at Learn to Live Business School (LLBS). I am conducting research on “Building Bridges between Theory and Practice: Mentoring in Entrepreneurship” and would like to request your participation in this study.

Instructions to Respondents:

Thank you for agreeing to participate in this study! Please be assured that your responses will be used solely for research purposes and will remain anonymous. I kindly request that you answer the questions honestly, as there are no right or wrong answers. Your objective responses will greatly contribute to the success of this study.

Please note the following:

– There are four options for each question. Kindly select only one option by ticking (√) the appropriate box.

– Please answer all questions.

– The rating scale is as follows:

    – NC = Not Challenging

    – SC = Slightly Challenging

    – MC = Moderately Challenging

    – VC = Very Challenging

    – EC = Extremely Challenging

Or

    – SA = Strongly Agree

    – A = Agree

    – N = Neutral

    – D = Disagree

    – SD = Strongly Disagree

Thank you for your time and cooperation. Your participation is greatly appreciated!

Divine Godwin Agabaidu

                                                                Questionnaire

Section A: Demographic Information

1. Status     [   ]  mentors           [   ] protégés (mentees)

Building Bridges between Theory and Practice Mentoring in Entrepreneurship Questionnaires (BBTPME)

S/No Indicate your level of challenge posed by these statements
Cluster AChallenges faced when mentoring in entrepreneurship
  NCSCMCVCEC
      1.Limited access to funding     
      2.Limited time     
      3.Limited access to networking opportunities     
      4.Lack of experienced mentors     
      5.Difficulty in finding suitable mentees     
      6.Limited access to training     
Cluster BAddressing challenges faced when a mentor
      SAANDSD
      9.Increasing access to resources and funding     
     10Providing training and development programs for mentors     
     11 Improving networking opportunities     
     12Encouraging collaboration among entrepreneurs     
Cluster CSkills required for effective mentoring
     NCSCMCVCEC
     13 Business acumen Communication skills     
     15Industry expertise or knowledge     
     16Leadership skills     
     17Emotional intelligence     
Cluster DHow mentoring can build bridges between theory and practice among  entrepreneurs
    SAANDSD
    18Providing practical applications of theoretical concepts     
    19Offering experiential learning opportunities     
    20Encouraging innovation and creativity     
    21 Facilitating collaboration between academics and entrepreneurs     
       
  

Thank you for taking the time to complete this questionnaire! Your responses will greatly contribute to the success of this study.

Alternative Questionnaire

Section A: Demographic Information

1. Status     [   ]  mentors           [   ] protégés (mentees)

Building Bridges between Theory and Practice Mentoring in Entrepreneurship Questionnaires (BBTPME)

_Cluster A: Challenges faced when mentoring in entrepreneurship_

1. What challenges do you face when mentoring entrepreneurs in Calabar? (Select all that apply)

– Limited resources (e.g., time, funding)

– Lack of experienced mentors

– Difficulty in finding suitable mentees

– Limited access to networking opportunities

– Other (please specify)

1. How challenging are the following aspects of mentoring for you? (Rate each option on the scale below)

– Building trust with mentees: NC SC MC VC EC

– Providing guidance on business planning: NC SC MC VC EC

– Offering support on marketing and sales: NC SC MC VC EC

– Facilitating access to funding and resources: NC SC MC VC EC

– Other (please specify): NC SC MC VC EC

_Cluster B: Addressing challenges faced when mentoring_

1. How can the challenges faced by entrepreneurs in Calabar when mentoring them be addressed? (Select all that apply)

– Providing training and development programs for mentors

– Increasing access to resources and funding

– Improving networking opportunities

– Encouraging collaboration among entrepreneurs

– Other (please specify)

1. How important are the following strategies in addressing the challenges faced by entrepreneurs in Calabar when mentoring them? (Rate each option on the scale below)

– Mentorship training programs: SA A N D SD

– Business development workshops: SA A N D SD

– Networking events: SA A N D SD

– Access to funding and resources: SA A N D SD

– Other (please specify): SA A N D SD

_Cluster C: Skills required for effective mentoring_

1. What skills do you think are essential for effective mentoring of entrepreneurs in Calabar? (Select all that apply)

– Communication skills

– Business acumen

– Industry expertise

– Leadership skills

– Other (please specify)

1. How proficient are you in the following skills? (Rate each option on the scale below)

– Active listening: NC SC MC VC EC

– Goal-setting: NC SC MC VC EC

– Problem-solving: NC SC MC VC EC

– Conflict resolution: NC SC MC VC EC

– Other (please specify): NC SC MC VC EC

_Cluster D: Building bridges between theory and practice_

1. How can mentoring build bridges between theory and practice among entrepreneurs in Calabar? (Select all that apply)

– Providing practical applications of theoretical concepts

– Facilitating collaboration between academics and entrepreneurs

– Offering experiential learning opportunities

– Encouraging innovation and creativity

– Other (please specify)

1. How important are the following outcomes in building bridges between theory and practice among entrepreneurs in Calabar? (Rate each option on the scale below)

– Improved business performance: SA A N D SD

– Increased innovation and creativity: SA A N D SD

– Enhanced entrepreneurship skills: SA A N D SD

– Better understanding of theoretical concepts: SA A N D SD

– Other (please specify): SA A N D SD

Thank you for taking the time to complete this questionnaire! Your responses will greatly contribute to the success of this study.

Mentoring in Entrepreneurship: Building Bridges Between Theory and Practice Among Entrepreneurs of Small Business Owners in Calabar, Cross Rivers State, Nigeria Read More »

INNOVATION AND BUSINESS GROWTH IN THE FASHION INDUSTRY: A CASE STUDY OF NSUKKA, ENUGU STATE

By
 
NKIRUKA STELLA NGENE
Learn to Live Business School, UK.
 
 
 
October, 2024
 
Correspondence: nkiruka.ngene@unn.edu.ng;
  +234703 862 7767

ABSTRACT

In a rapidly evolving global fashion landscape, local businesses should find strategies to overcome the significant challenges in adopting innovative practices essential for competitiveness and sustainable growth. This study explored the importance of innovation in driving business growth in Nsukka’s fashion industry, Enugu State, Nigeria. The study adopted a case study approach with a survey questionnaire as an instrument. The population for the study was 269 respondents, randomly drawn following the suggested sample from G*Power. The questionnaire used for the data collected was validated, and tested for reliability using Cronbach’s alpha. An overall reliability coefficient of 0.947 was obtained. Data analysis was based on percentages, mean, and ANOVA statistics. Findings showed that different types of fashion businesses operate in Nsukka, and recognize the value of social media, digital marketing, and e-commerce as innovations, while other innovative tools are underutilized or unknown. Barriers to innovation adoption include lack of funds and government support. Major strategies to enhance innovation adoption and drive fashion business growth were access to funds with low interest rates, partnerships, and access to different technologies and experts. This research contributes to a deeper understanding of how innovation can drive regional economic development in emerging fashion markets.

Keywords: Business growth, Fashion Industry, Innovation, Nsukka

INTRODUCTION

            Fashion is beyond the looks of an individual. Fashion is the art and practice of designing, creating, and wearing clothing, accessories, and footwear that reflect personal style, cultural influences, and current trends. According to Sumathi (2007), fashion is a prevailing style or custom adopted by a significant portion of society at any given time. It reflects not only clothing but also various aspects of life, such as behavior, accessories, and home decor, influenced by cultural, social, and economic factors. Fashion serves as a mode of self-expression, representing the individual’s personality and societal identity while continually evolving with changing trends. Maintaining and sustaining styles and trends in fashion requires an industrial approach; thus a fashion industry refers to the sector that encompasses the design, production, marketing, and retail of clothing, footwear, accessories, and related products. Čiarnienė and Vienažindienė (2014) explained that fashion and its industry is a key component of the broader social and cultural phenomenon called the “fashion system,” where the fashion system includes both the business and artistic aspects of fashion, as well as the processes of production and consumption. Aside from the fashion industry paying attention to the culture of the populace, there are challenges of supply chain complexities and sustainability issues, as well as digital transformations and innovations that are vital to succeeding in the industry.

            Innovation involves the creation or significant enhancement of products, services, processes, or business models, offering new value to organizations, industries, or consumers. Ionela-Andreea (2019) emphasizes that innovation is closely tied to design and creativity, as it involves developing, implementing, and communicating fresh ideas to achieve goals like reaching new customers, entering bigger markets, or gaining a competitive advantage. In the fashion industry, innovation spans various areas, such as technological advancements, sustainable materials, digital marketing, and improved customer experiences (Colombi & Casciani, 2021). It can be incremental, gradual improvements, or disruptive, reshaping industry standards (Ionela-Andreea, 2019). The fashion sector’s innovations are often fueled by digital transformation, including the rise of e-commerce, social media, and technologies like AI, virtual fitting rooms, and 3D printing. These innovations have transformed consumer shopping habits, brand marketing strategies, and the fashion supply chain. Fashion is no longer confined to physical stores or seasonal releases, as consumers access brands and trends online. However, a critical question remains: how many of these innovations are accessible to small and medium enterprises (SMEs), particularly within the fashion industry?

            Despite the global competition aims of industries, innovation adoption in the fashion industry has predominantly been embraced by large-scale enterprises. Zahra et al. (2021) noted that small and medium enterprises (SMEs) in the fashion sector tend to lag in adopting innovative practices. The literature emphasizes the benefits of innovation for SMEs, such as improved business performance through faster response times, increased transparency, real-time market analytics for product development, enhanced productivity, cost savings, streamlined monitoring, quicker product development cycles, and greater access to international markets (Mittal et al., 2018; Zahra et al., 2021). Okanazu (2018) found that the most common innovations among SMEs in Enugu State included digitizing products and making them accessible via mobile platforms. However, SMEs in fashion businesses like tailors, fabrics/accessories sellers, and boutiques face challenges unique to the industry. According to Zahra et al., (2021), these challenges include short product life cycles, unpredictable market demands, high trend uncertainty, and a volatile supply chain. Despite these hurdles, research consistently highlights the positive impact of innovation on expanding the fashion industry’s reach, enabling consumer engagement in novel ways, and fostering business growth, even on a global scale. Furthermore, Spescha and Woerter (2018) emphasize that innovation acts as a catalyst for business growth.

            Business growth refers to a company’s expansion and increased profitability, marked by higher revenue, market share, and operational scale. In the fashion industry, growth is achieved through market expansion, product diversification, innovation, and improved operational efficiency. This growth can be organic, involving geographical expansion, increased product offerings, or inorganic, through mergers and acquisitions (Hubbard & Hubbard, 2013). Additionally, fashion industry growth involves enhancing brand equity, fostering customer loyalty, and adopting scalable, sustainable business models for long-term success (Yang & Jang, 2020). Key growth metrics include financial performance, expanding the customer base, and strengthening market position relative to competitors (Morgan et al., 2009). In Nigeria, evidence suggests that the fashion industry has significant growth potential.

            Fashion (2024) reports that Nigeria’s fashion market is booming, with projected revenues expected to reach US$1.194 billion by 2024, showing consistent annual growth of around 17% over the past decade. This impressive growth has been largely driven by small and medium enterprises (SMEs) that play a crucial role in creating jobs and fueling economic growth (Zahra et al., 2021). Empowering SMEs with the necessary technologies can significantly enhance their development and competitiveness in the marketplace. Innovation is key to unlocking new possibilities and improving business processes, with business growth often reflecting the success of these innovations in expanding and scaling a brand. Given this potential, a critical question arises: What innovations are SMEs in fashion businesses within Nsukka adopted or willing to adopt, and what outcomes can be expected from innovating in the face of current challenges?

            Nsukka, Enugu State, is a culturally rich and economically vibrant region, home to numerous small-scale fashion entrepreneurs. While the local fashion industry draws heavily on traditional aesthetics and craftsmanship, it faces challenges in adopting innovative practices that could scale operations and enhance business growth. Many fashion businesses in Nsukka operate with limited resources, often relying on outdated production techniques and traditional marketing methods. These limitations impede their ability to compete effectively in a globalized market that increasingly demands innovation. As a result, fashion businesses in Nsukka struggle to reach their full potential, missing out on opportunities for growth, profitability, and wider market reach.

            This study is particularly vital given the rising importance of innovation in the global fashion industry. Technological advancements such as 3D printing, artificial intelligence, and digital platforms have revolutionized how fashion products are designed, produced, and marketed. Furthermore, there is a growing demand for sustainability, with consumers favoring brands that incorporate ethical sourcing, environmentally friendly materials, and circular economy practices. For Nsukka’s fashion sector to thrive in this context, there is a pressing need to explore how innovation can be leveraged to overcome the barriers local businesses face and drive sustainable growth. By focusing on Nsukka, this research aims to uncover the unique challenges and opportunities for innovation in the town’s fashion industry, providing insights that can benefit other emerging fashion markets facing similar conditions.

STATEMENT OF THE PROBLEM

            Like many other emerging markets, the fashion industry in Nsukka, Enugu State faces significant challenges in achieving sustainable business growth. Many fashion businesses, from small-scale designers to retail outlets, struggle to remain competitive in an increasingly globalized market. A lack of innovation, limited access to cutting-edge technology, inadequate business management skills, and an over-reliance on traditional methods of production and sales have impeded growth and reduced profitability for these businesses.

            In Nsukka, most fashion enterprises operate with limited resources and often lack the knowledge or tools to adopt innovative practices, such as digital marketing, advanced production techniques, or sustainable sourcing. As a result, they are unable to effectively compete with larger brands that have embraced innovation to improve operational efficiency, reduce costs, and meet evolving consumer demands. Furthermore, the fashion sector in this region has not fully explored the potential of technological advancements like e-commerce, artificial intelligence, or sustainable design practices to create value and drive business growth.

            This study is driven by the need to address these gaps and explore how innovation can catalyze business growth in the fashion industry in Nsukka. By examining the barriers to innovation adoption and understanding the specific challenges faced by fashion businesses in this area, this research aims to identify strategic solutions that could foster innovation, enhance competitiveness, and ultimately stimulate business growth in the local fashion sector.

PURPOSE OF THE STUDY

            This study explores the link between innovation and business growth in the fashion industry among SMEs in Nsukka, Enugu State. Specifically, the study determines the:

  1. the current state of innovation adoption among fashion businesses in Nsukka.
  2. Barriers to innovation among fashion businesses in Nsukka.
  3. Strategies for enhancing innovation and business growth among fashion businesses in Nsukka.
  4. Impact of innovation on business growth among fashion businesses in Nsukka.  

RESEARCH QUESTIONS

The following research questions were answered in this study:

  1. What is the current state of innovation adoption among fashion businesses in Nsukka?
  2. What are the barriers to innovation among fashion businesses in Nsukka?
  3. What are the strategies for enhancing innovation and business growth among fashion businesses in Nsukka?
  4. How does innovation impact business growth among Nsukka fashion businesses?

HYPOTHESES

The following hypotheses were tested at a 0.05 level of significance:

  1. There is no significant difference in the current state of innovation adoption among fashion businesses in Nsukka.
  2. There is no significant difference in the barriers to innovation among fashion businesses in Nsukka.
  3. There is no significant difference in the strategies for enhancing innovation and business growth among fashion businesses in Nsukka.
  4. The impact of innovation on business growth does not differ significantly among fashion businesses in Nsukka.  

METHODOLOGY

RESEARCH DESIGN

            This study adopted a case study research design based on survey responses of fashion business owners and workers within Nsukka Local Government Area, Enugu State. A case study design allows for a comprehensive and detailed examination of issues of interest (Priya, 2021). It enables the researcher to explore the unique characteristics, challenges, and opportunities specific to fashion businesses within Nsukka. This approach is ideal for investigating phenomena, such as innovation adoption, in real-world settings. Given the focus on Nsukka, the case study design provides the flexibility to analyze the local dynamics, industry-specific factors, and individual business strategies, which might not be fully captured through broader research methods.

            Likewise, using a survey questionnaire allows for the collection of quantifiable data from a larger sample of fashion businesses. This method ensures that responses are standardized, making it easier to compare across different groups or subcategories, such as tailoring, fabric/accessories sellers, and boutiques. The survey enables the collection of specific information about the state of innovation, technological adoption, and business practices, providing a clear picture of how widely innovation is embraced among fashion businesses in Nsukka. Moreover, the survey can capture data on both perceptions and actual business practices, offering insights into the barriers, and expected impact of innovation.

AREA OF THE STUDY

            Nsukka, a suburban city in Southeastern Enugu State, Nigeria, was chosen for this study due to its growing population, urbanization, and expanding commercial activities. These factors have fueled a thriving fashion business sector, with numerous tailoring shops, fabric sellers, and boutiques emerging in response to rising demand. As the sub-urban grows, the fashion industry flourishes alongside it, becoming a vital part of the local economy. Nsukka serves as a reflection of the broader urbanization trends across Nigeria, where fashion entrepreneurs are capitalizing on the city’s development to cater to its increasingly fashion-conscious population.

POPULATION AND SAMPLING METHOD

            There are three quarters in the Nsukka metropolis namely Onuiyi, Odenigbo, and Ogige, with a population of about 450,000 (Nsukka Local Government Area, Nigeria, n.d.). The population for this study was determined using G*Power, a widely recognized statistical tool designed to calculate the appropriate sample size needed for various types of statistical analyses. G*Power was specifically utilized to compute the “A priori sample size required for conducting an ANOVA (Analysis of Variance) test with a fixed effect omnibus approach and one-way test design” (Faul et al., 2007). This type of ANOVA is used to assess whether there are any statistically significant differences between the means of multiple groups. After running the calculations through G*Power, the tool generated a sample size of 252, which is deemed appropriate to ensure sufficient statistical power and reliability for the study’s analysis. This method ensures that the sample size is neither too small (which could lead to inaccurate results) nor unnecessarily large, maintaining efficiency while maximizing the study’s ability to detect significant differences.

            However, to ensure that an adequate population sample was realized, 10% of 252 was added to account for errors in completing the instrument, not retrieving copies, etc. Thus, a total population of 277 was sampled for the study. A total of 269 valid questionnaires were duly completed, comprising 121 Tailors, 53 fabrics/accessories dealers, 85 boutique owners/staff, and 10 others including laundry service providers, shoemakers, etc. The details of the population are shown in Table 1, Figures 1 and 2.

INSTRUMENT FOR DATA COLLECTION

            The instrument for the data collection was a structured questionnaire developed from the literature review. The instrument is titled Innovation for Business Growth Questionnaire (i4BuG). It began with an opening statement assuring respondents of the voluntary nature of their responses, as well as the anonymity and confidentiality promises. It has two sections, A and B. Section A ascertains demographic information of the respondents such as the type of fashion business, how long the business has been, and the number of employees. Section B has 40 items spread over 4 four parts, denoted I – IV, according to the specific purposes. Part I has 11 items to ascertain the state of current innovation adoption among fashion businesses in Nsukka. Respondents were asked to select from the list, the innovation they have used in business using two response options of Yes (2) or No (1). Part II has 10 items that ascertain barriers to innovation in fashion businesses, Part III has 8 items that ascertain the strategies for enhancing innovation and growth in fashion businesses, while Part IV consists of 11 items that elicit the impact of innovation on the growth of fashion businesses. Parts II-IV elicited responses using a 5-point Likert scale of SA (Strongly Agree) = 5; A (Agree) = 4; N (Neutral) = 3; D (Disagree) = 2; SD (Strong Disagree) = 1. Thus, respondents were asked to indicate the extent to which they agreed with the statements.

            The instrument was face-validated by three experts from two Departments at the University of Nigeria, Nsukka. The experts’ views and corrections were integrated into the final copy of the instrument. The reliability of the instrument was tested using Cronbach’s alpha. The reliability test showed an overall reliability coefficient of 0.947, which is judged acceptable for the study. Data collection was through direct administration and retrieval using 12 research assistants. The research assistants were briefed on the motive of the data collection, the voluntary nature, anonymity and confidential statements, before being sent across the three parts of the suburban city. Data collection lasted for one week.

METHOD OF DATA ANALYSIS

            The collected data were analyzed using simple percentages for demographic information, as well as mean, standard deviation, and one-way ANOVA to compare the responses of different groups. Simple percentages were used to illustrate the demographic characteristics of the respondents and the state of innovation adoption thus far. The mean and standard deviation were applied to assess the level of agreement expressed by respondents on the questionnaire items. Using a 5-point rating scale, a mean score of 3.50 was considered the threshold, with scores of 3.50 or higher indicating “Agreed,” while scores below 3.50 signified “Disagreed.” For research question 1, the percentage of “Yes” below 50% is termed Poor, above 50% Adequate, while exactly 50% is termed average. Additionally, ANOVA was employed to compare the responses from three different groups, and the significant differences between these groups were tested at a 0.05 significance level.

RESULTS

DEMOGRAPHIC INFORMATION

Table 1 shows the types of fashion businesses prevalent in Nsukka. Tailoring had the highest frequency among the fashion businesses while boutique owners/staff came second. Others who were found relevant in the fashion businesses include shoemakers, laundry shops, hairdressers, and barbers.

Table 1

Sampled Fashion Business Types

S/NFashion Business TypeFrequencyPercentage
1.Tailoring12145.0
2.Fabric/Accessories Sales5319.7
3.Boutique8531.6
4.Others103.7
 Total269100.0

Figures 1 and 2 reveal the age of the fashion businesses and their respective number of employees or workers. Most of the businesses were still incubating as only 7% (18) had operated for more than 6 years. On the other hand, no fashion business has more than 10 employees, indicating that the fashion business in Nsukka could mainly be classified as small and medium scale enterprises.

Figure 1

 Age of Fashion Businesses Sampled

Figure 2

Number of Employees in the Fashion Businesses Sampled

RESEARCH QUESTIONS AND HYPOTHESES

RQ1– What is the current state of innovation adoption among fashion businesses in Nsukka?

Table 2

Percentage of Innovation Adoption Status in Fashion Businesses

S/NInnovations in Fashion BusinessesYes%No%Status
1.Live stream of designs and processes238.624691.4Poor
2Augmented reality00269100Poor
3Virtual Fashion62.226397.8Poor
4Artificial Intelligence00269100Poor
5.Online Sales /Marketplace (e-commerce)259.324490.7Poor
86Virtual influencers238.624691.4Poor
7Real-time tracking/inventory management72.626297.4Poor
8Use of sustainable materials103.725996.3Poor
93D printing186.725193.3Poor
10.Social media marketing (Instagram, Facebook, WhatsApp, Twitter)3613.423386.6Poor
11.Digital Marketing2910.824089.2Poor

Results in Table 2 reveal that Innovation adoption among fashion businesses in Nsukka is notably low. Most modern technologies, such as augmented reality, virtual fashion, and artificial intelligence, are barely used, with 0% to 2.2% of businesses adopting these innovations. Even more commonly adopted innovations, such as e-commerce platforms (9.3%) and digital marketing (10.8%), still show relatively low penetration. The highest adoption rate is for social media marketing (13.4%), suggesting that while businesses recognize the value of social media, other innovative tools are being underutilized or are not even known at all.

Ho1 – There is no significant difference in the current state of innovation adoption among fashion businesses in Nsukka.

Table 3

Descriptive and ANOVA Results of Current State of Innovation Adoption among Fashion Businesses

S/N Business TypeDescriptiveANOVA
 No.MeanSD dfFSig.Remark
1Tailoring1211.72.18Between Groups34.438.005S
2Fabrics/Accessories531.76.19Within Groups265   
3Boutique851.80.15Total268   
4Others101.84.20     
5Total2691.76.18     

Key: No. = Frequency/Number of Respondents; SD = Standard Deviation; df = degree of freedom; F = critical value, Sig.= Probability level of significance; NS = Not Significant; S = Significant

Data in Table 3 shows the ANOVA results with a significant difference in innovation adoption across different business types (p = 0.005). This means that some business categories, like Tailoring, Fabrics/Accessories, and Boutiques, adopt innovations at different levels. However, the results also indicate that Boutiques (Mean = 1.80) have slightly higher innovation adoption compared to Tailoring (Mean = 1.72), Fabrics/Accessories (Mean = 1.76), and Other businesses (Mean = 1.84). This suggests that boutiques may be slightly more innovative than other types of fashion businesses in Nsukka. Based on the result in Table 3, hypothesis one was not accepted.

RQ2 – What are the barriers to innovation among fashion businesses in Nsukka?

Table 4

Barriers to Innovation in Fashion Businesses

S/NBarriers to Innovation in Fashion BusinessesMeanSDRemarks
12.Lack of funding3.581.13Agreed
13.Limited knowledge3.381.28Disagreed
14.Fear of failure3.221.33Disagreed
15.Fear of technology3.77.96Agreed
16.Lack of skilled personnel3.571.06Agreed
17.Poor government support3.621.11Agreed
18.Lack of training opportunities using innovative fashion tools3.591.25Agreed
19.Limited access to the technology3.82.97Agreed
20.Lack of networking opportunities3.831.0Agreed
21.Poor access to quality information3.771.0Agreed
 Cluster_Barriers3.61.77Agreed

Table 4 shows the barriers to innovation in fashion businesses among which the top barriers include: lack of funding (Mean = 3.58), fear of technology (3.77), lack of skilled personnel (3.57), poor government support (3.62), and limited access to technology (3.82). These barriers highlight the challenges that fashion businesses in Nsukka face in adopting innovations. The cluster mean (3.61) further shows that most respondents agree that these factors significantly hinder innovation.

HO2 – There is no significant difference in the barriers to innovation among fashion businesses in Nsukka.

Table 5

Descriptive and ANOVA Results of the Barriers to Innovation in Fashion Businesses

S/N Business TypeDescriptiveANOVA
 No.MeanSD dfFSig.Remark
1Tailoring1213.52.83Between Groups31.577.195NS
2Fabrics/Accessories533.75.46Within Groups265   
3Boutique853.69.80Total268   
4Others103.42.94     
5Total2693.61.77     

Key: No. = Frequency/Number of Respondents; SD = Standard Deviation; df = degree of freedom; F = critical value, Sig.= Probability level of significance; NS = Not Significant; S = Significant

The descriptive results in Table 5 show that the business type notwithstanding, Tailoring (Mean = 3.52), Fabrics/Accessories sales (3.75), and Boutiques (3.69), the perceived barriers are comparable. This suggests that barriers like funding, technology access, and skilled personnel shortages are universally problematic. Also in Table 5, the ANOVA results revealed that there was no statistically significant difference in mean barriers across different business types (p = 0.195), indicating that all fashion businesses, regardless of type, face similar obstacles. Hence, the null hypothesis was accepted.

RQ3 – What are the strategies for enhancing innovation and business growth among fashion businesses in Nsukka?

Table 6

Strategies for Enhancing Innovation and Growth in Fashion Businesses

S/NStrategies for Enhancing Innovation and Growth in Fashion BusinessesMeanSDRemarks
22.Access to funding, with zero or single-digit interests3.981.06Agreed
23.Training programmes on available innovative fashion according to the level of recipients3.511.16Agreed
24.Access to technology such as inventory management software, Digital design tools, Customer relationship management software, etc.3.731.10Agreed
25.Partnerships with universities, fashion institutes, or industry experts 3.751.08Agreed
26.Provide a guide for skills in e-commerce platforms, social media marketing tools, etc.3.351.10Disagreed
27.Providing short courses and workshops on fashion design and business management3.451.33Disagreed
28.Effective and efficient networking opportunities3.951.15Agreed
29.An organized provision to shared resources and innovative expertise. 3.811.21Agreed
 Cluster_Strategies3.74.71Agreed

Table 6 shows that six of the eight strategies were agreed to be helpful in adopting innovation across the fashion businesses in Nsukka. In order of priority, the six strategies are access to funding with zero or single-digit interest rates (Mean = 3.98), effective networking opportunities (3.95), shared resources and innovative expertise (3.81), partnerships with universities, fashion institutes, or industry experts (3.75), and access to different technology (3.73). These strategies suggest that businesses recognize the importance of external resources and support, such as funding and technology, as critical to boosting innovation.

            Data in Table 6 also show that some strategies were less supported: providing guides for e-commerce platforms and social media marketing tools (Mean = 3.35) and short courses and workshops on fashion design and business management (3.45). These may indicate that businesses either already have access to some of these tools or do not see these as a high priority for innovation.

Ho3 – There is no significant difference in the strategies for enhancing innovation and business growth among fashion businesses in Nsukka.

Table 7

 Descriptive and ANOVA Results on Strategies for Enhancing Innovation Adoption in Fashion Businesses

S/N Business TypeDescriptiveANOVA
 No.MeanSD dfFSig.Remark
1Tailoring1213.80.68Between Groups32.927.034S
2Fabrics/Accessories533.85.70Within Groups265   
3Boutique853.63.72Total268   
4Others103.23.66     
5Total2693.74.71     

Key: No. = Frequency/Number of Respondents; SD = Standard Deviation; df = degree of freedom; F = critical value, Sig.= Probability level of significance; NS = Not Significant; S = Significant

Data in Table 7 reveal that Tailoring (Mean = 3.80) and Fabrics/Accessories sales (3.85) businesses have higher scores for strategy adoption, while Boutiques (3.63) and Other businesses (3.23) have lower scores. This indicates that tailoring and fabrics/accessories businesses may be more proactive in implementing growth strategies compared to other business types. The ANOVA results show a significant difference (p = 0.034) in strategy adoption among different business types. This suggests that some business types may be more inclined to adopt certain strategies. Based on the variant acceptance of the strategies across the fashion business types, the null hypothesis was not accepted.

RQ4 – How does innovation impact business growth among Nsukka fashion businesses?

Table 8

Impact of Innovation on the Growth of Fashion Businesses

S/NImpact of Innovation on the Growth of Fashion BusinessesMeanSDRemarks
30.Improves customer satisfaction3.81.95Agreed
31.Helps in attracting new customers3.611.16Agreed
32.Contributes to increased revenue in business3.87.83Agreed
33.Helps businesses to expand into new markets3.641.23Agreed
34.Improves speed and efficiency in product development3.721.03Agreed
35.Reduces the operational cost of fashion businesses3.381.32Disagreed
36.Helps business to maintain a competitive edge3.451.29Disagreed
37.Easy adaptation to changing fashion trends and consumer preferences3.621.39Agreed
38.Improves business-to-customer interaction3.291.37Disagreed
39.Helps in building strong customer relationships and loyalty2.941.42Disagreed
40.Improves the overall shopping experience for your customers3.501.19Agreed
 Cluster_Impact3.84.87Agreed

Table 8 shows that seven of the items were agreed to be impacts of adopting innovation across the fashion businesses in Nsukka. The respondents agreed that adopting innovation would impact fashion business growth by improving customer satisfaction (Mean = 3.81), attracting new customers (3.61), contributing to increased revenue (3.87), as well as improving speed and efficiency in product development (3.72) among others. These findings suggest that there is a clear idea of what is expected from innovation among fashion businesses in Nsukka.

            Data in Table 8 also show that some impacts were less supported. For instance, respondents disagreed that innovation reduces the operational cost of fashion businesses (Mean = 3.38), indicating that they have an initial cost of acquisition and perhaps maintenance in their thoughts. Results also show a disagreement with the innovation’s help in building strong customer relationships and loyalty (Mean = 2.94), as the least accepted. These may indicate that the importance of innovation adoption is solely to pursue a personally conceived goal, hence the goal may not be generalized.

Ho4 – The impact of innovation on business growth does not differ significantly among fashion businesses in Nsukka.  

Table 9

Descriptive and ANOVA Results on Impacts of Innovation Adoption in Fashion Businesses

S/N Business TypeDescriptiveANOVA
 No.MeanSD dfFSig.Remark
1Tailoring1213.40.93Between Groups31.276.283NS
2Fabrics/Accessories533.67.76Within Groups265   
3Boutique853.46.84Total268   
4Others103.62.98     
5Total2693.48.87     

Key: No. = Frequency/Number of Respondents; SD = Standard Deviation; df = degree of freedom; F = critical value, Sig.= Probability level of significance; NS = Not Significant; S = Significant

The descriptive results in Table 9 show that the impact of innovation varies across the business types: Tailoring (Mean = 3.40), Fabrics/Accessories sales (3.67), and Boutiques (3.46), Others (3.62), while the overall was below 3.50, further validating the ungeneralizable acceptance of what innovation would do for the fashion businesses. Also in Table 9, the ANOVA results revealed that there was a statistically significant difference in the mean impact of innovation across different fashion business types (p = 0.283), indicating that all fashion businesses do not attach the same level of importance to their pursuit of innovation. Hence, the null hypothesis was accepted.

FINDINGS OF THE STUDY

The following findings emerged from the study:

  1. There are different types of fashion businesses in Nsukka, such as tailoring, fabric/accessories sales, boutiques, shoemaking, saloon/barbing, and laundry services.
  2. Fashion businesses recognize the value of social media, digital marketing, and e-commerce as innovations, but many other innovative tools are underutilized or not even known.
  3. Some barriers hinder fashion businesses in Nsukka from adopting innovations, including lack of funds, and lack of government support among others.
  4. Fashion businesses agreed with strategies to enhance innovation adoption such as access to funds with low interest rates, partnerships, and access to different technologies and experts, even if they will be shared among several businesses.
  5. The respondents agreed that adopting innovation would impact fashion business growth by improving customer satisfaction, revenue, and production time, showing a clear idea of what is expected from innovation among fashion businesses in Nsukka.
  6. There is a significant difference in the current state of innovation adoption among fashion businesses in Nsukka.
  7. There is no significant difference in the barriers to innovation among fashion businesses in Nsukka.
  8. Fashion businesses in Nsukka have significantly different strategies for enhancing innovation and business growth.
  9. The impact of innovation on business growth does not differ significantly among fashion businesses in Nsukka.

DISCUSSION

Different Types of Fashion Businesses

            The findings from this study showed that there are different types of fashion businesses in Nsukka, such as tailoring, fabric/accessories sales, boutiques, shoemaking, saloon/barbing, and laundry services. The variety is not surprising given the general landscape of fashion businesses. A broader search across sources, such as websites and studies, confirms the prevalence of these businesses in Nsukka and the surrounding area. Spacey (2017) offers further validation by identifying 22 different types of fashion businesses that are popular globally, including bespoke and made-to-measure tailoring, footwear manufacturing, jewelry design, and costume-making. This comparison with Spacey’s categorization demonstrates that the fashion businesses in Nsukka are part of a broader spectrum of industry types that are not only thriving globally but are also locally adapted.

            This finding is critical because it underscores the versatility of the fashion industry. Fashion is not limited to clothing design and production alone but includes a wide range of connected services and products that add value to the sector. The local adaptation of global fashion business types indicates both opportunity and diversity within the sector and proves that those in Nsukka are tapping into different areas of the fashion industry, contributing to economic growth and creating jobs. The variety of businesses also points to the different skill sets within the local fashion community, from artisanship in tailoring and shoemaking to the entrepreneurial skills required to manage boutiques and salons. This diversity further demonstrates the potential for growth in various niches within the fashion business. These businesses not only meet local demand but also offer avenues for innovation and economic contribution, reinforcing the industry’s importance in both local and global contexts.

Innovation adoption status across fashion businesses

            Fashion businesses within Nsukka adopt varying levels of innovation, with a focus on digital tools like social media, digital marketing, and e-commerce. These innovations are recognized and utilized by many local businesses, particularly boutiques. However, more advanced technologies such as augmented reality (AR) and artificial intelligence (AI) remain underutilized or even unknown in many cases. This uneven adoption is a significant point, indicating a gap between potential innovation and its implementation within the local industry.

            These findings align with the findings of Todeschini et al. (2017), who noted that while the fashion industry is generally innovation-driven, many businesses, especially smaller ones, are not fully aware of emerging trends like sustainability or cutting-edge technology applications. Similarly, Duml & Perlacia (2016) found that technological advances, including mobile technology and social media, have reshaped how fashion businesses interact with suppliers and customers. This shift has facilitated the growth of e-commerce, allowing fashion businesses to expand their reach and improve accessibility. The mention of Slyce (2015) further reinforces the idea that the internet has catalyzed new forms of commerce, notably e-commerce. This has opened new opportunities for fashion businesses in Nsukka to reach a broader market through online platforms, even though the full potential of digital innovation is not yet fully tapped. Lastly, while some fashion businesses in Nsukka are adapting well to basic digital tools, there is significant room for growth in the adoption of advanced innovations like AR and AI. The differences in innovation adoption between sectors, such as boutiques and tailoring, illustrate the varying degrees of digital transformation within the local fashion industry, a trend that may be alleviated if barriers are properly examined.

Barriers to innovation adoption in fashion businesses

            The finding on the barriers that hinder innovation adoption among fashion businesses in Nsukka, highlights challenges such as lack of funds and government support. These barriers are common across different business types, suggesting that any strategy to improve innovation adoption should target all sectors within the fashion industry equally. The issues faced by fashion businesses in Nsukka mirror those in many developing economies and among small and medium-sized enterprises (SMEs), as identified by Sari & Asad (2018) and Zahra et al. (2021).

            According to Zahra et al. (2021), many SMEs struggle to adopt innovation due to various constraints, particularly in developing economies. Sari & Asad (2018) identified key barriers, including human resource barriers – a shortage of skilled staff and a lack of necessary expertise limiting the ability to integrate innovations, operational resource barriers – the scarcity of raw materials and the difficulty in sourcing high-quality inputs further complicate innovation efforts; financial barrier – the high cost of innovation, lack of funding, and poor financial management are significant obstacles; imitation over innovation – where some businesses focus on copying competitors rather than investing in original innovation, limiting their potential for growth and differentiation.

            These barriers are universal to many SMEs, particularly in developing contexts, where financial and resource limitations are more pronounced. In Nsukka, the lack of both financial resources and institutional support further compounds the challenge, making it difficult for fashion businesses to embrace innovative practices, regardless of their type. Overcoming these barriers requires comprehensive support mechanisms, among other strategies for enhancing innovation adoption.

Strategies to enhance innovation adoption in fashion businesses

            The fashion businesses in Nsukka recognize several key strategies to enhance innovation adoption. These include access to low-interest funds, partnerships, and shared access to advanced technologies and expert resources. Despite agreeing on these strategies, the choice of how to implement them varies significantly across different fashion businesses in the region. Literature has studies corroborating the existence of different strategies.

            Some fashion businesses may prioritize access to funding, while others might focus more on partnerships or technological integration. Regardless of these preferences, the core strategies – improving funding opportunities, facilitating access to technology, and providing training for skilled personnel – are widely seen as essential to fostering innovation and business growth. Sari & Asad (2018) and Zahra et al. (2021) have suggested similar strategies for overcoming barriers to innovation, particularly for small and medium-sized enterprises (SMEs) in developing economies. Wijaya et al. (2023) further emphasized the importance of collaboration between the local fashion industry and technology developers, such as software and website application creators. These partnerships can help fashion businesses implement user-friendly technologies, improve customer engagement, and make better use of marketing research. By doing so, businesses can enhance customer satisfaction, streamline operations, and increase their competitive advantage. Collaboration with tech experts and proper use of digital tools, as suggested by Wijaya et al. (2023), can significantly elevate the local industry’s ability to innovate and grow.

Impact of innovation adoption on fashion businesses

            The findings of the study indicate that adopting innovation within fashion businesses in Nsukka positively influences business growth by enhancing customer satisfaction, increasing revenue, and reducing production time. This suggests that local businesses should have a clear understanding of what they expect from innovation: improved efficiency and customer experience. Moreover, the study shows that the impact of innovation on business growth is relatively uniform across different types of fashion businesses in Nsukka, highlighting a broad consensus on the benefits of innovation adoption.

            The literature consistently supports the view that innovation is critical for business growth in the fashion industry. Ogbari et al. (n.d.) emphasize that innovation can drive market expansion, allowing businesses to reach new customer segments, whether by broadening existing markets or penetrating new geographic, demographic, or psychological territories. However, despite the evident creativity in Nigeria’s local fashion industry, small-scale businesses often struggle to fully capitalize on global market opportunities. This challenge stems from their limited ability to promote their skills and navigate the barriers related to scaling production and distribution. Other studies, such as Wang (2019), confirm that innovation helps businesses retain market share and maintain their customer base, while noting that innovation improves production speed, contributing to overall operational efficiency. These impacts are crucial for the growth and sustainability of fashion businesses in Nsukka, as they align with the global understanding of innovation’s role in the fashion industry.

CONCLUSION

            The adoption of innovation is crucial for the growth of fashion businesses in Nsukka, improving customer satisfaction, revenue, and production efficiency. Despite the recognition of basic digital tools like social media and e-commerce, advanced technologies such as augmented reality and artificial intelligence remain underutilized. Barriers such as lack of funds, government support, and skilled labor hinder innovation adoption, which is a common challenge faced by SMEs in developing economies. Collaborative strategies, including partnerships, shared technologies, and increased funding, are essential for overcoming these obstacles and fostering innovation. Ultimately, innovation holds the potential to expand market reach, improve production processes, and ensure the long-term sustainability of fashion businesses in Nsukka; more support is needed to maximize these benefits.

RECOMMENDATIONS

Based on the findings, the following recommendations would suffice:

  1. Government agencies, financial institutions, and private investors should provide low-interest loans and grants to support innovation adoption in fashion businesses, especially for small and medium-sized enterprises (SMEs) in Nsukka.
  2. Local business associations and government bodies should offer training programs to familiarize fashion entrepreneurs with advanced technologies like augmented reality (AR), artificial intelligence (AI), and e-commerce platforms to enhance their operations.
  3. Fashion businesses in Nsukka should form partnerships with technology experts, software developers, and other industry stakeholders to share resources and implement innovative tools more effectively.
  4. Fashion businesses should leverage digital marketing and trade platforms to amplify their reach, enhance visibility, and tap into global markets, thereby addressing challenges in publicity and market access.

SUGGESTION FOR FURTHER STUDIES

The following are suggested for further studies:

  1. Impact of integrating advanced technologies on efficiency and customer engagement among fashion businesses in Nsukka.
  2. Comparative analysis of innovation adoption barriers among fashion businesses across various regions in Nigeria.
  3. Exploring the effectiveness of partnerships between fashion businesses and technology developers in business growth.

A longitudinal study on the impact of innovation adoption on business growth, market expansion, and customer satisfaction among fashion businesses in Nsukka

INNOVATION AND BUSINESS GROWTH IN THE FASHION INDUSTRY: A CASE STUDY OF NSUKKA, ENUGU STATE Read More »

PERCEPTION OF NEW GENERAL INSURANCE SERVICES IN NIGERIA BY SMALL AND MEDIUM ENTERPRISES (SMEs) IN ENUGU STATE

BY
 
NGOZI OBIOHA-NKEMDIRIM
DOCTOR OF STRATEGIC MANAGEMENT AND LEADERSHIP DEVELOPMENT PROGRAMME
LEARN TO LIVE BUSINESS SCHOOL, UK.
 
08037114608
ngshalom30@gmail.com
 
2024.

ABSTRACT:

SMEs are entrepreneurial initiatives and engines of economic development. They bear a lot of risks, which require cover under insurance companies. Initially, apathy was observed among the SMEs due to the poor performance of the insurance industries. However, the establishment of the National Insurance Commission (NAICOM) in 1997, ushered in a paradigm shift in the management of the insurance companies. This paper examined the perception of SMEs in Enugu state on the new general insurance services to determine the SMEs’ level of awareness and satisfaction with this paradigm shift. Two research questions and two hypotheses guided the study. A non-experimental ex-post facto research design was employed. A sample of 273 was drawn through a purposive, accidental, and snowballing sampling technique from 911 registered SMEs in the state. A questionnaire and interview schedule were used to collect data was analyzed using means and standard deviation. The results show that the SMEs are Not Aware of and Not Satisfied with the paradigm shift in the management of general insurance companies and are Not Willing to patronize insurance companies in Nigeria. No significant difference was found between the small and medium-scale enterprises. More sensitization of SMEs on the activities of NAICOM was recommended.

Keywords: Perception; Awareness; Satisfaction; Paradigm shift; Insurance; Small and Medium scale Enterprises (SMEs).

INTRODUCTION:

Background of the Problem:

Insurance is a financial and service product that helps protect individuals and businesses from potential losses or risks. It can also be described as a contract between two parties: the insurer (the insurance company) and the insured (the person or business being covered), where the insured pays a premium (a regular payment) to the insurer, who then promises to pay for specific losses or damages if they occur (https://www.naicom.nation.gov.ng). This is probably why Vaughan (2014) perceived it as an economic device whereby the individual substitutes a small certain cost (the premium) for a large uncertain financial loss (the contingency insured against).

Originally. insurance started with the practice of merchants in Italy in the 12th century. The history of insurance in Nigeria started as far back as the colonial era when the first Nigerian.

The insurance company, Royal Exchange Assurance Company, was established by the British, in 1921. Other local and foreign insurance companies followed. Later, the number of insurance companies licensed to operate in Nigeria rose to 67, as reported by NAICOM in Sunday Punch, 21 Aug 2023. Initially, the insurance sector was not managed by professionals and very little legal attention was paid to it in Nigeria, (Boma, 2019).

The traditional concept of mutual insurance found in many customary or communal practices “whereby members of a family or community collectively come to aid another member in times of disaster or misfortune” (Ajemunigbohun and Ayobami 2018), seemed to overcloud the initial practice of insurance in Nigeria. The pre-independence insurance market shows that before 1961, there was no statutory requirement for the registration of insurance businesses in Nigeria. The first legislation was the Insurance Companies Act of 1961 followed by others, but Insurance Decree 1997, established the supervisory body, National Insurance Commission (NAICOM) headed by the Commissioner for Insurance as applicable under the National Insurance Supervision Board (NISB), for more effective control and better supervision of the industry (Ajemunigbohun and Ayobami 2018). With the establishment of NAICOM as the supervisory body, professionals were introduced to the system of administration, and innovations were ushered into insurance management in Nigeria. This paradigm shift in administration changed the idea that insurance doesn’t work because previously when the insurance business was managed by agents who were not insurance professionals, claims were not paid at and when due to claimants but now the narrative is different as a result of the regulatory practices of the new Governing Board governing body, NAICOM. Claims were not paid to the claimant but currently, the narrative is different because insurance companies are now managed by Professionals with a regulatory board- NAICOM.   Governing.   The   primary   functions   of   NAICOM as indicated in … https://www.nairametrics.com.)  include:

  1. Licensing and regulating insurance companies
  2. Setting standards for insurance products and services
  3. Ensuring compliance with insurance laws and regulations
  4. Protecting policyholders’ interests
  5. Promoting the development of the insurance industry in Nigeria, with the following goals;
    1. 1 Enhance the stability and soundness of the insurance industry
    1. 2. Increase public confidence in insurance
    1. 3. Encourage innovation and competition
    1. 4. Protect consumers’ rights
    1. 5. Contribute to Nigeria’s economic growth and development ()

Insurance service products in Nigeria cover the insured’s life, paying a benefit to beneficiaries upon death; Health Insurance which covers medical expenses and healthcare costs; Property Insurance includes damages or losses to property, such as homes or cars; Liability Insurance covers legal liability for damages or injuries caused to others and Business Insurance, which covers businesses against various risks, such as property damage or employee injuries (). The administrative procedure according to (https://www.portal.naicom.gov.ng) involves, Application for insurance coverage; Underwriting, which requires the insurer to assess the risk and determine the premium; and Policy issuance by the insurer, outlining the coverage and terms. Premium payments, whereby the insured pays premiums to maintain coverage; Claim filing, requires the insured to file a claim for a covered loss or damage and Claims processing, where the insure processes and settles the claim. Insurance marketers are expected to explain the application for insurance coverage, and the strategies and tactics used to promote and sell insurance products to potential customers very well during the advocacy. Some key aspects of insurance marketing according to (https://www.naicom.nation.gov.ng) include

  • Target Market Identification: Understanding the demographics, needs, and preferences of potential customers.
  • Product Positioning: Highlighting the unique benefits and features of insurance products
  • Branding: Building a strong brand identity to establish trust and credibility.
  • Digital Marketing involves leveraging online channels such as social media, email, and search engine optimization (SEO).
  • Content Marketing: Creating informative and engaging content to educate and attract customers
  • Lead Generation: Generating leads through various channels, such as referrals, online forms, and events.
  • Sales Strategies: Developing effective sales techniques to convert leads into customers.
  • Customer Retention: Building strong relationships to retain existing customers and encourage loyalty.
  • Data-Driven Marketing: Using data analytics to inform marketing decisions and measure campaign effectiveness.
  • Regulatory Compliance: Ensuring marketing efforts comply with industry regulations and laws.

Small and medium-sized enterprises are usually perceived as vehicles for economic development, especially in developing countries like Nigeria, Abotsi et al., 2014; Ahmed, Abdul- man, 2016; Chatterjee, Wehrhahn, 2017) and closing the gap between the downtrodden and the upper class. SMEs are also described as being labor intensive, the main source of employment, economic advancement, revenue-generating source, and technology innovation. (Ikeotuonye 2019). Studies show that they contribute to over 95% of enterprises, worldwide and about 60% of the private sector employment (Ayyagari, Demirguc-Kunt, Maksimovic 2011) and so with These indicate that their contribution to Nigeria’s economy cannot be overemphasized and should not be left out of the recent innovation in the insurance sector in Nigeria. This governs the concerns of this study. There are many studies on insurance and its performance as well as customers’ perceptions and acceptance (Boma, 2019); most centered on developed countries and in Africa. The only one available to the researcher was carried out in the cosmopolitan city of Lagos. For instance, Diara, Norlida, and Shahrul’s (2023) study is on risk transfer, and Chanti’s (2023) study is on the contribution of insurance companies to the growth of SMEs. Willieth (2020) surveyed insurance demand for SMEs in India, while Unachukwu, Oyewole, Olabode, and Aderonke (2020) focused on SME development amid COVID-19 in Lagos State, Nigeria but not on insurance. Also, Ekerete, Olawoye, Gam, and Ikon (2018) focused on the insurance industry in Nigeria but not on SMEs.

Nevertheless, only (Ajemunigbohun and Ayobami 2018) investigated insurance awareness and acceptance among SMEs in Lagos. Very closely related to this paper is that of Sagagi & Ekperi & Nwadike (2019) which evaluates awareness level and public perception of the image of insurance companies in Enugu state.

However, the study although in Enugu state focused on the public awareness and perception of leaving this study as the first to dwell on the awareness and perceptionof the new general insurance services in Nigeria by SMEs in Enugu state.  This is the lacuna this study filled.

The study scope covers all registered SMEs operating in Enugu state before and after the establishment of NAICOM. SMEs with less than five years of existence will be delimited as they may not be conversant with the paradigm shift in the administration. The study content scope will be limited to awareness of and perception/ satisfaction with NAICOM administration, services, and products.

Statement of the problem:

Enugu state is part of Igboland where the inhabitants are known for their business acumen. However, Enugu is not a cosmopolitan city, and most residents are not as well off as their counterparts in bigger cities. Lagos, Abuja, kano, or Port Harcourt. Consequently, they are very mindful of gains and losses in their business and so are likely to tread cautiously with any policy that may not guarantee profit to their enterprises. Understandably, there was an initial apathy among SMEs in Enugu due to low outputs and poor performance of the insurance industries especially the issue of no settlement of claims, due to one flimsy reason or the other. The Insurance Information Institute (2005) noted that most small business owners are at risk of disaster and do not have a disaster recovery plan. As observed, previously, insurance in Nigeria has been criticized for a lack of trust, low popularity and patronage (Nwankwo and Ajemunigbohun, 2013), low awareness and poor image, and low demand and patronage of insurance products and services. (Sagagi, Marafa & Ekperi, Paul & Nwadike, Stanley 2019) which might have scared the SMEs from patronizing insurance industries. However, due to the innovations, introduced by the new insurance administration in Nigeria, spanning over a decade now, it will be interesting to ascertain if the Small and Medium Enterprises (SMEs) patronage of the insurance sector in Enugu has improved. Could it be said that the introduction of new service products by NAICOM is the elixir that will wake up the SMEs in Enugu state, to benefit from this paradigm shift in management of the Nigerian insurance sector? This is the kernel of this study that investigated the awareness and perception of the new general insurance services in Nigeria: Case of Small and Medium Enterprises (SMEs) in Enugu. The purpose of this study is therefore to examine the level of awareness and perceptions of the SMEs in Enugu state Nigeria on the paradigm shift in the management of general insurance companies in Nigeria. Precisely, the objectives of this study are to:

  1. To find out the level of awareness of SMEs in Enugu state on the paradigm shift in the management of general insurance companies in Nigeria.
  • To determine the level of satisfaction of the SMEs in Enugu with the paradigm shift in the management of general insurance companies in Nigeria.

Research Questions: The following research questions guided this study.

  1. What is the level of awareness of SMEs in Enugu state on the paradigm shift in the management of general insurance companies in Nigeria?
  • What is the level of satisfaction of the SMEs in Enugu with the paradigm shift in the management of general insurance companies in Nigeria?

Hypotheses: These hypotheses were tested at a 0.05 level of probability to guide the study.

HO1: There is no significant difference in the level of awareness of Small and medium-scale Enterprises in Enugu state regarding the paradigm shift in the management of general insurance companies in Nigeria.

HO2: There is no significant difference in the level of satisfaction of the Small and Medium scale Enterprises in Enugu state, about the paradigm shift in the management of general insurance companies.

LITERATURE REVIEW:

Sagagi & Ekperi & Nwadike, (2019), evaluated the awareness level of public perception of insurance companies in Enugu State. Like this study, they employed a structured questionnaire to elicit information from 400 respondents. Percentage means scores, and the Pearson Chi-Square test was used in data analysis. Findings show low awareness by the public of insurance enterprise in Enugu State, even though the city is viewed as an enlightened city. The image of insurance companies in Enugu State was also found to be poor and the demand was low, due to the poor public image of the insurance companies. The study thus recommends among others that insurance companies should engage in trade fairs, workshops, radio/TV jingles, etc. as this will serve as effective communication strategies to enlighten the public on their products and services.

Ime, (2018) studied ‘Empirical Appraisal of Nigerian Insurance Sector and the Performance of Nigerian Stock Exchange, to appraise the Nigerian insurance sector and the performance of the Nigerian stock exchange. Like the current study, he adopted an ex-post facto research design and historical data, the study covered the period 1981 to 2014 and covered all the quoted insurance firms on the Nigerian Stock Exchange operating in Nigeria. The findings reveal there is a significant relationship between insurance companies’ investments and the all-share index of the Nigerian Stock Exchange, also there is no positive effect of stock/securities prices of insurance companies on the market capitalization of the stock market and the Insurance sector growth has a significant influence on the performance of Nigerian Stock Exchange.

Li & Li (2020), analyzed the relationship between inflation, increase in investment in fixed assets, monetary policy, financial openness, national savings, macro-economic climate index, deposit rate, and the development of the insurance industry in China. Though this study was carried out in China, the analysis, unlike the current study integrated a multiple linear regression, stepwise regression, and robustness analysis for the empirical analysis. However, the result indicated that (a) the national savings and macro-economic climate index are the major factors that influence the development of the insurance industry in China and; (b) improve the development of the insurance industry, both the economic growth and people’s income should continue to advance; and (c) financial openness should be paid more attention to, which is insufficient, and there is lack of competitive vitality in the whole insurance market, underscores to need for the insurance companies in Nigeria to carry along the SMEs in their services and development for economic growth of the people of Enugu state.

Ajemunigbohun & Ayobami (2018), investigated ‘Insurance awareness and acceptance: Empirical evidence among SMEs in the Lagos State. The relationship between this study and the current one lies in the fact that both studied SMEs and employed the descriptive approach and survey design, stage cluster sampling technique, questionnaire, and interview schedule on awareness and its acceptability among small business and medium-sized operators in the Lagos and Enugu metropolis respectively. The results of this study assume that insurance products have not gained high popularity among small business and medium-sized operators in the Lagos metropolis. They have also shown a low but slightly positive relationship between insurance awareness and its acceptance among small business owners in the Lagos metropolis. Our formulated hypotheses have been supported. This study’s recommendation that greater attention should be placed on SMEs and their engagement in the design of insurance products related to their activities to allow for a sense of ownership, effective risk management communication, and proper risk financing techniques, throws a challenge on the present study conducted six years after this one, to find out if the situation has changed in Enugu State.

Although these studies are in one way or the other related to the current study, no study known to the researcher investigated the Perception of New General Insurance Services in Nigeria by Small and Medium Enterprises (SMEs) in Enugu state. This study is the first of its kind to explore the perception of the paradigm shift in insurance services in Nigeria by Small and Medium Enterprises (SMEs). This is the lacuna this study filled.

RESEARCH METHODOLOGY:

Design of the Study: This study adopted a descriptive non-experimental research design carried out ex-post facto or retrospectively, ‘looking backward. This implies ‘after the fact’ because according to (Nwankwo and Emunemu 2015:147),

Like all designs, non-experimental research design does not attempt to control or manipulate any variable. It is focused on one single event (i.e., a single case design) and the researcher’s interest or objective is to investigate and report what has happened.

This design is deemed appropriate for this study as it investigated what had already occurred with the SMEs. Hdv’s study dealt with those SMEs that existed before and after the establishment of NAICOM and so must have experienced the insurance companies’ services and products before and after the paradigm shift in administration.

Area of the Study: The area of this study is the state of Enugu. Enugu state is in the South-East of Nigeria with three senatorial zones, Enugu East, Enugu West, and Enugu North. The zone has a total of 911 SMEs (NBS 2020), Most of the residents in the zone are public servants. The people are a core Igbo-speaking race known for their business acumen. Like other parts of Nigeria NAICOM supervises the insurance companies in the state and the new changes also are being implemented in Enugu state.

The study’s population includes all the 911 registered SMEs in Enugu state (Source: NBS 2020).

Sample and Sampling Techniques: The study adopted Krejci & Morgan 1970) and Chiaha (2023) determinants of a sample size from a given population. Using a purposive, accidental, and snowballing sampling technique 30% (273) of the SMEs were used for this study. Due to the smallness of the sample, the entire state was used. Purposively, SMEs that existed before and after the establishment of NAICOM were sampled. For snowballing, available SMEs were requested to supply the names and phone numbers of their colleagues which the researcher and her assistants used to contact them. In the end, 265 SMEs were used for the study.

Instruments for Data Collection: Two instruments were used for data collection including a questionnaire titled ‘New General Insurance Services Awareness and Perception-SMEs Questionnaire (NGISAP–SMEsQ) and an interview schedule titled ‘‘New General Insurance Service Awareness and Perception – SMEs Interview Schedule (NGISAP–SMEsQ).

The NGISAP–SMEsQ is structured on a 4-point Likert-type rating scale with options of; VA- Very much Aware; NA- Not aware; UA- Unaware; VUA- Very much Aware

Or SA- Strongly Disagree; A- Agree; N- Neutral; D-Disagree; SD – Strongly Disagree and VS- Very Satisfied; S- Satisfied; NS- Not Satisfied; VUS- Very Unsatisfied where applicable; and weighted 4, 3, 2 and 1 respectively. It has two sections, A and B. Section A, with 2 items was designed to collect respondents’ demographics, while Section B with three clusters and 23 items aimed at collecting data for the research questions.

Validation of the Instrument: Three experts were requested to ascertain the appropriateness and clarity of the instruments’ items to determine whether they measured what they purported to measure. Their comments, suggestions, and observations were considered in the production of the final draft of the instruments (App II and III).

Reliability of the Instrument: The instruments were trial tested through a pilot study, on 10 respondents (SMEs) from Ebonyi state, which is outside the study area. The internal consistency of the instrument was computed using the Cronbach Alpha method which yielded 0.79 for the entire instruments. The instruments were therefore considered reliable enough for the study.

Method of Data Collection: The study adopted a direct contact administration strategy in which the researcher with her well-trained research assistants directly collected the data from the respondents. The researcher personally interviewed 25 Chief Executive Officers (CEOs) of the SMEs in their offices. The data administration lasted for two weeks with a high return rate of 78.87%

Method of Data Analysis: The data generated for the study were analyzed using percentages, means, and Standard Deviation (SD) for data collected from the questionnaire. Decisions were arrived at using the criterion mean score of 2.50. This implies that Means below 2.50 were taken indicate that the corresponding items were NOT Accepted by the SMEs, while Means of 2.50 and above were taken to indicate that the corresponding items were Accepted for the same reason.

Inference

The results from the SMEs Interview Schedule (NGISAP–SMEsQ were qualitatively analyzed. For the hypotheses testing, the Independent Sample Test of Levene’s Test for Equality of Variances was adopted in the t-test for Equality of Means at a 95% level of probability or 0.05 level of significance. The significant level was determined with the P- P-table value about the. This implies that when the P-value is below 0.05 level of significance, when t- calculated is greater than t- table (1.96) it implies a significant difference between the Means tested, thus the Null Hypotheses were Not Accepted. On the other hand, when the P-value is higher than 0.05 or the t- calculated is greater than the t-table (1.96), it implies No Significant D

between the means tested. Therefore, the Null Hypotheses was Accepted.

RESULTS:

The findings of the study are presented in four tables with the research questions and hypotheses based on the research questions and null hypotheses that guided the study. The data analyses were based on 209 copies of the questionnaire collected after completion, out 265 copies distributed. This represents the return rate.

Table 1:

Mean Ratings and Standard Deviations of Respondents on the Level of Awareness of SMEs in Enugu State on the Paradigm Shift in the Management of General Insurance Companies in Nigeria.

S/NLevel of  awareness of  the new changes in Small Businesses Include:Small Business N = 113  Medium Business N = 96Overall N = 209
XSDDec.XSDXDec.XDec.
1.Insurance companies are now managed by professional2.34  1.25  NA  2.64  1.21  NA  2.47  1.24  NA  
2.The  new  regulatory  board  Governing  body  the Nigerian Insurance Commission- NAICOM2.371.23NA2.401.31NA2.381.27 A
3.The   primary   functions   of   NAICOM  include Protecting policyholders’ interests2.501.39A2.431.30NA2.46           1.34NA
4.The  primary  functions of  NAICOM  also  include2.24           1.24NA2.551.28A         2.381.27NA
5.Insurance companies have services and products that can help protect losses in your businesses                                       2.42                                       1.29                                        NA2.631.22NA2.63      1.221.22A2.511.26A
6.Are you aware that claims are now easily paid by Insurance companies.2.49       1.23NA2.701.22A2.58        1.23A
Are you aware of the following insurance service products in Nigeria;
7.Life insurance-Paying benefits to death2.581.20A2.46    1.21NA2.531.21A
8.Health Insurance- which covers medical  healthcare costs;2.521.30A2.40    1.29NA2.46        1.29NA
9.Property  Insurance,  which  includes  losses to property, such as homes or cars;2.391.36NA2.33    1.25NA2.36        1.31NA
10.Liability  Insurance  that  covers  legal  damages or injuries caused to others2.581.20A2.48    1.34NA2.531.26A
11.Business Insurance, which covers businesses various risks, such as property damage or employee injuries2.441.28NA2.39    1.28NA2.42        1.28NA
Cluster Mean/SD                                     2.44     1.27          NA            2.49       1.26         NA            2.46       1.27      NA

NB: SD= Standard Deviation, A= Aware, NA= Not Aware, Dec = Decision

Research Question One: What is the level of awareness of SMEs in Enugu state on the paradigm shift in the management of general insurance companies in Nigeria?

Table 1 shows that the mean scores of the small businesses on items number 3, 7, 8, and 10 are 2.50, 2.58, 2.52, and 2.58. This depicts that the small businesses are Aware of the indicated new changes in the management of insurance companies in Nigeria, while items number 1, 2, 4, 5, 6, 9, and 11 with mean scores below 2.50 denotes that the same respondents are Not Aware of listed new changes in the management of insurance companies in Nigeria. Hence, the study also indicated that the mean scores of 2.64, 2.55, 2.63, and 2.70 are obtained for the medium businesses on items number 1, 4, 5, and 6, indicating that the medium enterprises are Aware of concerned new changes in the management of insurance companies in Nigeria, while items number 2, 3, 7, 8, 9, 10 and 11, with mean score range of 2.33 to 2.48 denotes Not Aware responses by the same medium businesses. However, the overall mean scores ranged from 2.51 to 2.53 for Aware and

2.38 to 2.47 for Not Aware responses respectively. Thus, the cluster mean score of 2.46 obtained for all the items under study depicts that the respondents (both small and medium businesses) are Not Aware of the new changes in the management of insurance companies in Nigeria while the cluster standard deviation of 1.27 denotes homogeneity in the opinions of the respondents.

Hypothesis One: There is no significant difference in the level of awareness of the small and medium scale Enterprises in Enugu state with regard to the paradigm shift in the management of general insurance companies in Nigeria.

Table 2 shows that the t-value (t-calculated) of -0.654 is obtained at a 0.05 significance level and 207 Degrees of Freedom with a significant value of 0.514. Thus, since the significance value (0.514) is more than the level of significance (0.05) set for the study, the null hypothesis is therefore not statistically significant, and hence, the hypothesis is Accepted. This implies that there is no significant difference in the level of awareness of the small and medium scale Enterprises in Enugu state about the paradigm shift in the management of general insurance companies in Nigeria.

Table 2:

GroupNMeanSDt-ValueDft-CalSig. (2 tailed)Dec
Small Business Owners1132.440.571.96207 0.67Accept HO
Medium Business Owners962.460.48     

t-test Statistics on the Significant Difference in the Level of Awareness of the Small and Medium Scale Enterprises in Enugu State with regards to the Paradigm shift in the Management General Insurance Companies in Nigeria.

NB: SD= Standard Deviation, Df= Degree of Freedom

Research Question Two: What is the level of satisfaction of the SMEs in Enugu with the paradigm shift in the management of general insurance companies in Nigeria?

Table 3 shows that the mean scores of the small businesses on items number 12, 16, and 19 are 2.69, 2.58, and 2.61. This depicts that the small businesses are Satisfied with insurance companies in terms of the listed items while items number 13, 14, 15, 17, and 18 with mean scores ranging from 2.34 to 2. 46 (below the 2.50 criterion mean), indicate that the same respondents are Not Satisfied with insurance companies in terms of the concerned items. Thus, the study also shows that the mean scores of 2.56, 2.57, 2.64, and 2.60 are obtained for the medium businesses on items number 12, 13, 16, and 18, indicating that the medium business owners are Satisfied with insurance companies concerning the listed items while items number 14, 15, 17 and 19 with a mean score range of

2.24 to 2.48 denotes that medium business enterprises are Not Satisfied with the paradigm shift in the management of general insurance companies in Nigeria.

The table also shows the level of willingness of the SMEs to patronize insurance companies in Nigeria. The mean score range of 1.86 to 2.46 for both SMEs indicates that they are Not Willing to patronize insurance companies in Nigeria. The cluster mean score of 2.43 and 2.41 respectively, obtained for the SMEs, show that they are Not Satisfied. Also, an overall cluster mean score of 2.42 obtained for all the items denotes that the SMEs are not satisfied with the paradigm shift in the management of general insurance companies in Nigeria. The cluster standard deviation of 1.27 depicts that the disparity in the opinions of the respondents is slim.

Table 3:

Level of satisfaction of the SMEs in Enugu with the Paradigm shift in the management of general insurance companies in Nigeria

S/NHow satisfied are you with insurance companies in terms of:Small Business N = 113  Medium Business N = 96Overall N = 209
XSDDec.XSDXDec.XDec.
12Understanding of the demographics that is needs, and preferences of SMEs and potential customers2.691.19S2.561.28S2.631.23S
13.Unique benefits and features of imsuranceproducts2.341.29NS2.571.24S2.441.27NS
14.Efforts to build a strong brand identity to establish trust and credibility of SMEs and customers2.341.27NS2.391.34NS2.361.30NS
15.Insurance companies use of online channels, such as social media, email and search engine, in communicating with the SMEs and customers2.461.11NS2.481.23NS2.471.16NS
16.Insurance companies creation of informative and engaging contents to educate and attract customers2.581.27S2.641.27S2.611.27S
17Insurance companies’ sales strategies for developing effective sales technique to convert leads into customers2.391.28NS2.241.38NS2.321.33NS
18.Insurance companies’ efforts in building strong relationships to retain existing customers and encourage loyalty2.431.22NS2.601.27S2.511.24NS
19.Insurance companies’ efforts to ensure that marketing efforts comply with industry regulations and laws2.611.22S2.261.36NS2.451.29NS
Your willingness to patronize insurance companies in Nigeria:
20.I am willing to Patronise insurance companises in Nigeria2.381.23NW2.461.26NW2.241.24NW
21.I have already insured my business2.381.26NW2.441.32NW2.411.29NW
22.My  business had previously benefitted from the services and products of insurance companies in Nigeria2.451.30NW2.411.23NW2.431.26NW
23.I am willing to encourage my colleagues in SMEs to patronize insurance companies in Nigeria.2.071.31NW1.861.32NW1.981.31NW
 
Cluster Mean/SD                                     2.44     1.27          NA            2.49       1.26         NA            2.46       1.27      NA

NB: SD= Standard Deviation, S= Satisfied, NS= Not Satisfied. D= Disagree; Dec = Decision; NW = Not Willing

Hypothesis Two: There is no significant difference in the level of satisfaction of the small and medium scale Enterprises in Enugu state, with regard to the paradigm shift in the management of general insurance companies.

The data presented in Table 4 shows that the t-value of 0.283 is obtained at a 0.05 significance level and 207 Degrees of freedom with a significant value of 0.777. Hence, since the significance value is more than the level of significance set for the study, the null hypothesis is therefore statistically insignificant and, not rejected for the said items. There is, therefore, no significant difference in the level of satisfaction of the small and medium-scale Enterprises in Enugu state, concerning the paradigm shift in the management of general insurance companies. The hypothesis is upheld.

Table 4:

t-test Statistics on the Significant Difference in the Level of Awareness of the Small and Medium Scale Enterprises in Enugu State with regards to the Paradigm shift in the Management General Insurance Companies in Nigeria.

GroupNMeanSDt-valueDft-CalSig. (2 tailed)Dec
Small Business Owners1132.430.450.283207 0.777Accept HO
Medium Business Owners962.410.47     

NB: SD= Standard Deviation, Df= Degree of Freedom

Results from the SMEs Interview Schedule (NGISAP–SMEsQ :

Research Question 1: What is the level of awareness of SMEs in Enugu state on the paradigm shift in the management of general insurance companies?The CEOs of the SMEs interviewed indicated that they were not aware of the paradigm shift in the management of new general insurance companies in Nigeria. Most of them showed that they were not interested in their services as they did not benefit from the insurance companies that they wanted. They complained of delays and bottlenecks which make payment difficult and mostly impossible when it comes to claims. However, many confessed that they do not attend the NAICOM conferences and Briefs as they ‘do not have much time to waste due to their businesses’.

Research Question 2: What is the level of satisfaction of the SMEs in Enugu with the paradigm shift in the management of general insurance companies?

On the issue of satisfaction with the paradigm shift in the management of general insurance companies, the CEOs were very emphatic that they were not satisfied with the services in the insurance companies. Their lack of satisfaction is because the insurance companies cannot be trusted. They also indicate the Unwillingness to patronize the insurance companies, rather they would prefer to support their thrift system managed by the SMEs, even though they accept that they are aware that they can benefit more insurance companies.

Summary of Findings:

Research Question 1: What is the level of awareness of SMEs in Enugu state on the paradigm shift in the management of general insurance companies in Nigeria?

Finding 1: The SMEs in Enugu state are Not Aware of the paradigm shift in the management of general insurance companies in Nigeria.

Hypotheses 1: There is no significant difference in the level of awareness of the Small and Medium scale Enterprises in Enugu state with regards to the paradigm shift in the management of general insurance companies in Nigeria.

Finding 2: There is no significant difference in the level of awareness of the Small and Medium scale Enterprises in Enugu state with regard to the paradigm shift in the management of general insurance companies in Nigeria.

Research Question 2: What is the level of satisfaction of the SMEs in Enugu with the paradigm shift in the management of general insurance companies in Nigeria?

Finding 3: The SMEs in Enugu state are Not Satisfied with the paradigm shift in the management of general insurance companies in Nigeria and are Not Willing to patronize insurance companies in Nigeria.

Hypotheses 2: There is no significant difference in the level of satisfaction of the Small and Medium scale Enterprises in Enugu state, with regards to the paradigm shift in the management of general insurance companies.Finding 4: There is no significant difference in the level of satisfaction of the Small and Medium scale Enterprises in Enugu state, with regard to the paradigm shift in the management of general insurance companies.

DISCUSSIONS: The findings of this study are discussed in line with the specific objectives and hypotheses that guided the study.

SMES Level of Awareness of the Paradigm Shift in the Management of General Insurance Companies in Nigeria:

The findings show that the SMEs in Enugu state are Not Aware of the paradigm shift in the management of general insurance companies in Nigeria. This is quite disturbing as the SMEs are the engine for economic development in the state. There is no significant difference in the level of awareness and satisfaction of the Small and Medium scale Enterprises in Enugu state, concerning the paradigm shift in the management of general insurance companies indicating that both small and medium-scale enterprises have the same opinion. Not being aware of the paradigm shift in the management of general insurance companies in Nigeria implies that they may not take advantage of the services of the insurance companies to enable them to protect their businesses. The response of the CEOs from the interview shows that the SMEs do not even attend the NAICOM conferences and Briefs as they ‘do not have much time’.

It is therefore not surprising that they are unaware of the paradigm shift in the new management of general insurance companies. Their biases are due to the previous management’s compromise with the payment of claims which have overclouded their reasonings.

This finding supports Ajemunigbohun & Ayobami (2018), that insurance products have not gained high popularity among small businesses and medium-sized operators in the Lagos metropolis. It is surprising to find that even after five years of the findings of Sagagi, Ekperi & Nwadike, (2019), indicating low awareness by the public of insurance enterprise in Enugu State, the findings of this study show that nothing changed, as the SMEs in Enugu state are still unaware of the new paradigm shift. This implies that the SMEs are unaware of the improvements and innovations introduced by NIACOM. Like Sagagi, Ekperi & Nwadike, (2019), who found low demand and patronage of insurance products and services in the Enugu state, this study also found that the SMEs in Enugu state are not satisfied and therefore unwilling to patronize the insurance companies in Nigeria. Probably NIACOM is emphasizing institutions, which have less and minimal risks, with little or no advocacy for the SMEs that have higher risks. Probably this is why the SMEs formed their local insurance, which they prefer to patronize even when the local insurance does not have as many benefits as that of NAICOM.

Conclusion: The study concludes that SMEs in Enugu state are not aware of the paradigm shift in the new management of the general insurance companies in Nigeria and are not satisfied nor willing to patronize them.

Implications of the study:

  1. SMEs are very beneficial to the economic growth of Nigeria and if they are not protected from risks, many will fold up and it will affect the country’s economy drastically, so NAICOM must ensure that they are properly educated to benefit from the risk management of the insurance companies.
  • NAICOM should note that as long as the SMEs are not aware of the paradigm shift in the new management of the general insurance companies in Nigeria, they may not be satisfied nor willing to patronize them, so making the SMEs aware of the paradigm shift in the new management of the general insurance companies is very paramount in getting their satisfaction and patronage.

Contribution to Knowledge: This study has made significant contributions to knowledge.

  1. The SMEs are not properly insured in Enugu state and therefore the study shows that many of the SMEs may be at risk of folding up.
  2. It has shown the need for advocacy to enable the SMEs to benefit from the products and services of NAICOM.
  3. It has contributed to the literature and will be helpful to researchers carrying out similar studies in this area.

Suggestions for Further Studies: Studies should be carried out to find the reasons for the continued low patronage of insurance companies in Nigeria in Enugu and other states in Nigeria. And how to improve advocacy for the public, especially the SMEs.

RECOMMENDATIONS:

  1. NAICOM must endeavor to sensitize SMEs in Enugu to become aware of their services as well as the paradigm shift in the new management of the general insurance companies in Nigeria. This will enable the SMEs to patronize them.
  • The insurance companies in Nigeria should ensure that they settle the claims for their customers promptly by avoiding bottlenecks and delays.
  • NIACOM should pay more attention to small and medium business owners, and educate them on the paradigm shift introduced by the new management and other products and activities for the insurance companies. This is because of the importance of the SMEs in promoting economic development in Nigeria.
  • NIACOM should understudy the local insurance of the SMEs to find out why they prefer to patronize it and learn from it how to attract the SMEs.

PERCEPTION OF NEW GENERAL INSURANCE SERVICES IN NIGERIA BY SMALL AND MEDIUM ENTERPRISES (SMEs) IN ENUGU STATE Read More »