Effect of Enterprises Management on the Performance of Poultry
Farming in North Central Nigeria
NWAUBANI, REX UGOCHUKWU, CROSS OGOHI DANIEL, MAY NWOYE,
HADIZA SAIDU ABUBAKAR
Department of Business Administration, Nile University of Nigeria, Abuja, NIGERIA
Abstract: In Nigeria, despite the enormous contribution of MSMEs to the development of the agricultural
sector is plagued by severe funding constraints. This study investigates the effect of enterprise management on
the performance of Micro, Small, and Medium Scale poultry farming in North Central Nigeria. Other specific
objectives are: Examine the extent to which strategic orientation affects the growth of poultry farmers in
North Central Nigeria, Investigate how resource orientation influences the profitability of poultry farming in
North Central Nigeria, Evaluatethe degree to which management structure improve the performance of
poultry farming in North Central Nigeria, Examine the extent to which growth orientation influence the
performance of poultry farming in North Central Nigeria, Examine the extent to which entrepreneurial culture
influence the performance of poultry farming in North Central Nigeria, Investigate the effect of Reward
philosophy on profitability of poultry farming in Nigeria. The study utilized mixed methods research design
based on a population of five hundred and six (506) registered livestock farmers across North Central
comprising of Kogi, Benue, Plateau, Niger, Kwara, Nasarawa and Abuja from which a multi-stage sample of
two hundred and twenty-three (223) sample arrived using Taro Yamane’s size calculation formula. The data
collected through a well-structured questionnaire was analyzed using both simple percentage and regression
analysis at, 0.05 alpha level of significance. The study found that there is a significant and positive
relationship between strategic orientation, management structure, entrepreneurial culture and business growth,
profitability and business sustainability of poultry farming. It was also found that assets strategic orientation
has a significant positive effect on business growth. In addition, the study found that management structure
has a positive significant effect on profitability. Finally, it was established that government subsidies is a
common denominator used in promoting business sustainability for young graduate poultry farmers. The
study submitted that enterprise management play a significant role in promoting economic the growth of
poultry farming operating in the agricultural sector. Among others, the study recommended that financial and
technical support should be provided for small-scale business enterprises across sectors especially those into
poultry farming. Also, the government should provide conducive macroeconomics that will raise the creation
of decent jobs through the Agricultural sector.
Keywords: Enterprise Management, Performance, Productivity, poultry farming, north-central Nigeria
Received: March 19, 2022. Revised: March 12, 2023. Accepted: April 18, 2023. Published: May 30, 2023.
1. Introduction
MSME is core in the lives of both individual and a
nation; for individual, MSMEs create employment
and raise the standard of living of both employers
and employees. In the same vein, MSMEs
contribute to the development of a nation by
complementing large-scale modern sector
enterprises, utilize agricultural and other raw
materials that bring about small-scale production,
mobilize resources that are left untapped by the
mainstream industry and then provide the
necessary platform for take-off into large-scale
modern production (Gelgelu, 2018).
Micro, Small and medium-sized enterprises
(MSMEs) have long been viewed as an important
source of job creation and output growth (Hijzen et
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al., 2010; Criscuolo et al., 2014). MSMEs exist in
many different sectors of the economy, one of
them being the agricultural sector. Agriculture,
either commercial or subsistence, forms the
backbone of most economies. Agricultural
MSMEs include individual farmers or farmer-
based organisations and cooperatives engaged in
primary crops and animal production. In Africa
Economy, MSMEs have become an important
pillar in every economy and served in fighting the
everlasting problem of unemployment; as well as a
key driver of economic and social development
(Vedaste & Ruranga, 2018).
In Nigeria, the importance of MSMEs to the
Nigerian economy cannot be overemphasised; they
contribute to the economy through their payment
of tax, and the generation of over 84.02%
employment both in the formal and informal
sectors (Anande-kur & Faajir, 2020). Most
developing countries all over the world have
leveraged on the potentials of Micro, Small and
Medium Scale Enterprises to play important role
in economic and social development. Not only do
they provide employment and income for the bulk
of the population and provide the primary source
of new jobs, they have been acknowledged as
critical nurturing grounds for domestic
entrepreneurial capacities, technical skills,
technological innovativeness and managerial
competencies for private sector development
(Onyeiwu, et al., 2021).
Kersten, et al (2017) also found that MSMEs
contribute to a country’s GDP in two ways-by
either manufacturing goods of value, or through
the provision of services to both consumers and/or
other enterprises. This encompasses the provision
of products and, to a lesser extent, services to
foreign clients, thereby contributing to overall
export performance. Livestock sector plays a
crucial role in rural economy and livelihood. This
is one sector where the poor contributes to the
growth directly instead of getting benefit from
growth generated elsewhere. In Nigeria, the
livestock sector forms an important livelihood
activity for most of the farmers, supporting
agriculture in the form of critical inputs,
contributing to the health and nutrition of the
household, supplementing income, offering
employment opportunities, and serving as a store
of wealth in times of need. It acts as
supplementary, complementary enterprise.
It is also an important part of agricultural
diversification and income enhancement and it
contributes to overall economic development of
the farm households and the nation. The
prolificacy of livestock which includes cattle,
sheep, goat, pig, and poultry are the influencing
factor for engaging in livestock enterprise. The net
returns under efficient enterprise management are
quick and losses, if any, are minimal and are
recovered quickly. Also, it was discovered that
livestock resources as at 2015 has 160 million
birds (58.2 percent of the total livestock
production) which produced 650,000 metric tons
of eggs and 290,00 metric tons of poultry meat
(David, 2018).
An enterprise manager seizes any promising
business opportunity irrespective of the level and
nature of resources currently controlled (Brazeal &
Krueger, (2015); Brown et al, 2016). One can
therefore deduce from the foregoing discussion
that, an enterprise manager is someone who acts
with ambition beyond that supportable by the
resources currently under his or her control, in
relentless pursuit of an opportunity (Brown et al,
2016).
Statement of the Problem
The proposition is that those organisations which
continuously monitor their processes, set
comprehensive targets and pay close attention to
the performance of their workforce will perform
better than those which do not monitor their
operations, have few targets and do little to
address employee under-performance. Such
management practices are thus viewed as being
akin to a ‘technology’, in that they serve as an
output-increasing factor of production (Bloom et
al., 2016). In a large, multi-country panel sample
of manufacturing firms, greater use of such
practices is associated with higher labour
productivity, a lower probability of
bankruptcy/closure, better stock market
performance and faster sales growth.
It may also arise if the close networks that exist
between managers and employees in small firms
allow such firms to share information and
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knowledge without the costs of formalisation.
Broszeit et al (2016) explicitly investigate the
impact of formal management practices on SME
performance, finding that such practices have a
positive effect, but one which is weaker than that
found among larger firms. There are, however, to
the best my knowledge only a few studies of
SMEs in Sub-Saharan Africa which link data on
management practices with data on firm
performance to permit a similar investigation.
Those studies which do exist have used subjective
ratings of performance provided by the same
respondents who report on the firm’s use of
management practices. Broszeit, and Laible (2016)
& Sheehan (2014) all find positive associations
between the use of formal management practices
and performance among SMEs. Given the dearth
of literature that incorporate the indices of human
resources management, and operational
management practice, in the analysis of
performance of MSMEs, especially in a
developing economy like Nigeria where micro,
small and medium Poultry farmers constitute the
bulk of livestock production; and particularly
when the policy of government (The federal
government’s Agricultural Transformation Agenda
(ATA); Agricultural Promotion Policy (APP);
also, the Central Bank of Nigeria (CBN) Anchor’s
Borrowers’ Scheme, as well as the Off-takers
program) in agriculture is indeed an incentive to
agricultural commercialization.
This study also anticipated the difficulty of getting
enterprise managers to release account type data to
outsiders (even for research purposes); we
therefore sought to include questions that will
elicit memory recall without necessarily requesting
for enterprise account documents. Based on the
aforementioned constraint, the study therefore
limits its scope to the North Central geopolitical
zone of Nigeria.
The main objective of this study is to examine the
effects of enterprises management practices on the
performance of Micro, Small and Medium Poultry
farmers in North Central Nigeria. The specific
objectives are to:
i. examine the extent to which strategic orientation
affects the productivity of MSM Poultry farmers in
North Central Nigeria;
ii. evaluate the effect of commitment to opportunity
on the productivity of MSM Poultry farmers in
North Central Nigeria;
iii. analyse the degree of influence of resources
orientation on the productivity of MSM Poultry
farmers in North Central Nigeria;
2. Literature Review
2.1 Concept of Enterprise Management
In the SME sector, the role of management is
always derived from the size of the organization
and the role of the owner. Primary importance of
management function is not by Yusuf et al (2018)
determined so much by the fact that management
has unquestioned responsibility for the formulation
and implementation of strategy as the assumption
that competitiveness is created or at least affected
by all management activities in terms of features
and functions of management with a focus on
resources, competencies and processes. Size of
organization however, does not necessarily reduce
the level of strategic management importance. In
large enterprises responsibility for strategic
management takes the entire department of
analysts and competent managers, but in small
businesses the primarily strategic manager role
takes usually the owner.
According to Voronkova et al. (2018) strategic
management based on long-term forecasts, helps
the company to anticipate future challenges and
opportunities. The term strategy is closely linked
with the objectives that it tracks. According to
Kuruppu et al, (2017) strategy should express the
basic idea of which way the company goals will be
achieved. The importance of strategy for
innovation development and competitiveness of
firms emphasized many authors in the last years
(Garter 2018, Davidson, 2018).
The application of strategic management in the
business environment is still at a very low level.
The ability to succeed in constantly changing
environment demands highly competent
management in which enterprise have, by Miller
(2018) significant gaps especially in terms of lack
of strategic thinking and awareness.
According to Song (2020) the empirical evidence
suggests that more strategic planning and more
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new product development projects lead to better
firm performance. Although strategic planning is a
process for anticipating environmental turbulence,
the logical sequential process often prescribed in
the literature is not sufficient to influence
performance. Flexibility in decisions is needed to
change operational issues, such as products and
services or their production and to change
financial issues, such as capital and gearing in
order to impact on financial performance (Miller,
2018).
Strategic Orientation
Strategic Orientation describes what factors drive
the formulation of strategy. It can be described as
the philosophy that effects every decision about
strategy. The pure promoter’ strategy is solely
driven by the opportunities that exist and not
limited by the resources that may be required to
exploit them. Because the strategy is opportunity
driven, almost any opportunity is relevant to the
firm. Acquiring and marshaling the necessary
resources represents a secondary step and only
follows after an opportunity is identified.
The other extreme, the pure trustee’s strategy is to
utilize the resources of the firm most efficiently.
Even though the trustee is aware that opportunities
exists and are important, only opportunities that
relate to existing resources are relevant as the
strategy is resourcedriven.
Commitment to Opportunity
The second dimension is also related to strategic
issues. But whereas Strategic Orientation is about
the identification and election of opportunities, the
commitment to opportunity is about its pursuit.
The promoter is actionorientated and therefore
willing and able to act in a very short time frame.
He or she can therefore chase an opportunity
quickly (Brown et al, 2016). This means the
promoter is able to commit and decommit to
actions rapidly. On the other hand, the trustee
tends to be stationary. His decision process is
timeconsuming and, once made, leads to a
commitment of long duration. Accordingly the
trustee’s administrative behaviour tends to be slow
and inflexible as a result of multiple decision
constituents, negotiated strategies, and an eye
towards risk reduction (Brown, Davidsson et al.
2016). As a result, the promoter is more likely than
is the trustee to pursue a given opportunity. Once
the trustee decides to pursue an opportunity
however, it would be with a much larger initial
investment and with an intention to remain in this
line of business for considerable time.
Resources Orientation
While both, trustee and promoter need resources to
pursue an opportunity, they differ in the way of the
commit to these resources. The promoter attempts
to maximize value creation by minimizing the
resource set. Therefore his commitment of
resources is multistage and with a minimum
exposure at each stage or decision point. This
commitment of resources in a multistep manner
allows the promoter to stop and change direction
rapidly, if and when circumstances change. This
flexibility allows the promoter to take new
information about the opportunity or the
environment into account and to change his
strategy accordingly very quickly.
Related to the commitment of resources is the way
those resources are owned and controlled. The
promoter tries to further reduce as much as
possible the amount of used and owned resources.
The promoter is less concerned about the
ownership of resources, but more concerned about
having access to others’ resources (e.g. financial
capital, intellectual capital, skills, competencies).
This strategy provides more flexibility and the
opportunity to participate on the latest technology,
knowledge and market development.
However, as a firm grows it becomes increasingly
difficult to follow this approach to resource
control, as the growth quite often leads to resource
accumulation. In contrast, the trustee focuses on
the ownership or employment of resources and the
accumulation of further resources. His or her
advantage in this strategy is an immediate access
to owned resources without being depended on
markets. Furthermore the trustee might be able to
use the resources he or she owns more effectively
as he or she is familiar with them.
Productivity of MSMEs
MSMEs performance is a measure of MSMEs
productivity in achieving its goals. Productivity of
MSMEs is defined as an association's capacity to
make activity and worthy results (Pfeffer &
Salancik, 2017). Different scholars have different
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view of performance measurement of SMEs.
Henezel (as cited in Shahbaz, Asifah, & Amina,
2017) explained that to measure performance,
MSMEs must establish some standards and then
they must gauge and evaluate their strategies,
values, practices by benchmarking with high
performance. Also, Kravchuk & Schack (2016)
asserted that performance is measured for
evaluating how well MSMEs is performing cited
in (Shahbaz, et al 2014).
One performance measure that is widely used
among small businesses, as a subjective indicator
of the overall business performance is the degree
of owner/managers’ satisfaction with the business
performance. Few researchers have consulted
owner/managers about their views on success of
their business ventures (Simpson, Nicki &
Bellamy, 2017). Gartner (2018) identified the
productivity of small businesses as actual
performance equal to or exceeding the business
owner/managers’ expectations.
The diverse range of measures that can be adopted
to define success can lead to a false judgment on
the actual performance. For example, a small
business with declining profits or market share
could be failing when in fact its owners/managers
are satisfied with the overall business
performance. Adequate income, job satisfaction, a
happy workforce, and a stable market position are
all factors that lead to small business
owners/managers’ satisfaction. For this study,
performance measurement indicators (dependent
variable) of measuring SMEs performance in an
enterprise is measured by increase in productivity,
profitability, innovation, effectiveness and
efficiency.
Theoretical Anchor
This study is anchored on resource-based view
theory of the firm advanced by Edith Penrose’s
work in the late 1950s. It was largely introduced to
the field of strategic management in the 1980s and
became a dominant framework in the 1990s.
Penrose (2015) viewed the heterogeneity of the
firms, with productive services available from
their internal resources that give a peculiar
character to each firm (Hosseininia et al, 2016)
and from this, Penrose (2015) developed the
Resource-Based View (RVB) where the firms is
conceptualized as bundles of heterogeneous
resources distributed across firms that exist over
time (Rugman & Verbeke, 2017). And these
resources are valuable, non-substitutable, rare and
inimitable that enables the firm to achieve a
competitive advantage (Eisenhardt & Martin,
2020). The unique resources define the firm
performance and differentiate it from others
sustainably (Pribadi & Kanai, 2020).
Resources include all of a firm’s tangible and
intangible assets, such as capital, equipment,
employees, knowledge, and information. An
organization’s resources are directly linked to its
capabilities, which can create value and ultimately
lead to profitability for the firm (Barney, 2015).
Hence, resource-based theory focuses primarily on
individual firms rather than on the competitive
environment (Babafemi et al., 2015; Kent et al.,
2017; Quartey et al., 2017). Based on this theory,
MSMEs would prefer to finance themselves and
use their own resources.
3. Methodology
This study adopts a robust survey research method
because of its capacity and usefulness in collecting
standardized data from large cohorts. The
standardized data provided the information used in
answering the research questions needed to
properly analyse the effects of enterprise
management on micro, small, and medium scale
enterprises with a special focus on poultry MSMEs
farmers in North Central to include the FCT.
The population of this study comprises of
registered livestock/poultry farmers with
MSMEDF in North Central Nigeria. Currently the
North Central region accounts for 12.4% of the
estimated population of Nigeria. This can be
broken down in order of magnitude as Benue
5,741,815; Niger 5,556,247; Kogi 4,473,490;
Plateau 4,200,442; FCT 3,564,126; Kwara
3,192,893 and Nasarawa – 2,523,395 people.
The sample frame consisted of 506
livestock/poultry farm establishments from the six
states including the FCT. Since the researcher may
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not be able to access the whole population due to
time constraints and available resources, the
sample frame was used as the representative for all
the members of the population of interest.
Due to the geographical nature of the target
population, the following sampling technique will
be employed at different stages of study. A
multistage sampling technique consisting of
cluster, purposive, proportional and simple random
sampling was employed at different stages of
selection. The North Central geographical area of
Nigeria has been divided into clusters six states
and the FCT. From each of these clusters, capitals
of each states were purposively selected, out of
which farmers were sampled proportionally based
on the population of farmers in each states. Hence,
simple random technique was used to randomly
select poultry farmers within each capital based on
uneven distribution of poultry farmers across the
selected capitals. Essentially, this allows for a
lower margin of error and enables for a close fit to
the research context (Formplus, 2021).
For the purpose of this study, proportional simple
random sampling will be used to select size of
poultry farmers from the six state capitals. The
sample size for this study will be determined using
the formula of Cochran (Stephanie Glen, 2021)
since the population size is already known. The
total number of poultry farmers in the North
central is 506 (Author’s Field Survey, 2021).
According to traditional statistics and as cited in
Stephanie Gen, For a sampling frame of 506
poultry farmers, a sample of 216 of needed.
The quantitative and qualitative data was collected
for this research. The utilization of a well-
structured coding scheme made it possible to
attach numeric values to each variable. The data
collected was coded and analyzed using both
descriptive and inferential statistical procedures
using the statistical package for social sciences
(SPSS 20). The hypotheses are rejected at p-
value 0.05 and the results are be presented in
tables.
Model Specification
To establish the relationship between the variables
in order to test the hypotheses, the research
adopted the model of Daramola (2016) with the
use of Pearson Product Moment Correlation and
Chi-Square. The Pearson Product Moment
Correlation formula is given as:
󰇛󰇜󰇛󰇜
󰇛󰇜 󰇛󰇜
……………….………………. (3.1)
Where: r = Correlation coefficient
x = Dependent variable
y = Independent variable
= Summation
Similarly, the Chi-Square formula is given
as:
󰇛󰇜
…………….………………………………
……. (3.2)
Where:
O = Observed frequency
E = Expected frequency.
∑ = Summation
4. Data Presentation and Analysis
A questionnaire was developed and distributed to
the 220 sample selected across the small and
medium poultry farmers in North Central Nigeria.
Out of the 220 copies distributed, 216
questionnaires, or approximately 98%, were
returned. The remaining four (4) questionnaires, or
2%, were not returned. Some of the small and
medium poultry farmers in North Central Nigeria
who did not return their questionnaire gave
reasons such as lost questionnaires and insufficient
time to complete them. The specifics of the
response rate are displayed in Table 1
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Table 1: Analysis of Response Rate
Number of Questionnaires Distributed
Respondent
Percentage (%)
Copies of returned questionnaire
216
98
No of questionnaire not returned
4
2
Total Distributed
216
100
Source: Field Survey, 2022.
Scale of Poultry Enterprise
Table 2: Employee size of the poultry farms
Frequency
Percentage (%)
63
29.2
64
29.6
72
33.3
17
7.9
216
100
Source: Author’s field survey 2022
Figure 1: Frequency distribution of total employees in the poultry farms.
The essence of the descriptive statistics for the
number of employees is to ascertain the status and
category in which the MSMEs poultry farmers fall
into. Parenthetically, it is evident from Table 2 and
figure 1 above that majority of the poultry farmers
run on either a micro-scale or medium-scale
enterprise with those who have less than 10
employees constituting 63(29.2%) and those with
between 10 and 50 employees constitute
64(29.6%). On the other hand, those with medium-
scale poultry business constitute 72(33.3%) of the
total participants while those who are running a
large-scale poultry business with more than 250
employees constitute about 17(7.9%) of the whole
participants.
Table 3: Flock size of poultry enterprise
Flock size
Frequency
Percentage (%)
Less than 5000 birds
68
31.5
5000-10000 birds
75
34.7
10000-20000 birds
53
24.5
More than 20000 birds
20
9.3
Total
216
100
Source: Author’s field survey 2022
29%
30%
33%
8%
Number of employees
Less than 10
Between 10 and 50
Between 50 and 250
More than 250
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Figure 2: Frequency distribution of total flock size in the poultry farms
The analysis of the poultry size is in a bid to know
the enterprise category of the poultry farming
business. Evident from Table 3 and the figure 2
above, it can be observed that majority of the
poultry farmers have 5,000 to 10,000 birds this
represents about 75(34.7%) of the poultry farmers.
Also, it can be gleaned from the above that quite a
number of the poultry farmers 68(31.5%) own less
than 5,000 birds in their poultry farm. Much less,
about 53(24.5%) of them own 10,000 to 20,000
birds in their poultry farm while only 20 poultry
establishments have more than 20,000 birds in
their poultry enterprise.
Table 4: Asset value of the farm
Asset value
Frequency
Percentage (%)
Less than #5 million
68
31.5
Between #5 million
and #10 million
75
34.7
Between #10 million
and #20 million
53
24.5
More than #20 million
20
9.3
Total
216
100
Source: Author’s field survey 2022
Figure 3: Frequency distribution of the Asset value of the farm
31%
35%
25%
9%
Flock size of Poultry
Less than 5000 birds
5000-10000 birds
10000-20000 birds
More than 20000 birds
0
10
20
30
40
50
60
70
80
Less than #5 million Between #5 million and
#10 million
Between #10 million and
#20 million
More than #20 million
Frequency
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From the above table and figure, it can be deduced
that about 68(31.5%) of the poultry establishments
worth less than 5 million naira, while about 34.7%
of the poultry enterprises agreed that their
establishments is worth between #5 million naira
and #10 million, quite less, about 24.5% of the
respondents agreed that their enterprise is worth
between #10 million and #20 million. Whereas,
only 20 (9.3%) of the respondents had their total
asset value worth more than #20 million.
Summarily, this means that majority of the poultry
enterprises sampled in the North Central Nigeria
were either a micro or a small-scale enterprise.
Table 5: Source of finance of poultry farms
Assessment
Frequency
Percentage (%)
Personal savings
46
21.3
Money Lending
63
29.2
Financial Institutions
50
23.1
Government grants
57
26.4
Total
216
100
Source: Author’s field survey 2022
Figure 4: Source of finance of poultry owners
In order to ascertain the financial means of the
poultry owners, we examine the source of finance
for the poultry enterprises in the North Central
Nigeria states and the FCT (Abuja). From the
above figure and table, it can be gleaned that
majority of the poultry 63(29.2%) funded their
enterprise through money lending. More so, quite
a number of the poultry owners 57(26.4%) had
sourced their establishment running funds from
government grants, 50(23.1%) of the poultry
farmers aggregately agreed of sourcing funds from
financial institutions, while only 46(21.3%) of the
poultry farmers sourced used their personal
savings for running the business.
Hypotheses Testing
Hypothesis One
To further answer the research questions, test the
hypotheses and make conclusions on the effect of
strategic orientation does not significantly effect
21%
29%
23%
27%
Source of finance
Personal savings
Money Lending
Financial Institutions
Government grants
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on the productivity of MSM Poultry farmers in
North Central Nigeria, it is essential to conduct the
inferential statistical test such as Chi-square and
Correlation analysis to determine if there exist any
significant effect of strategic orientation does not
significantly effect on the productivity of MSM
Poultry farmers in North Central Nigeria..
H0: strategic orientation does not significantly
effect on the productivity of MSM Poultry farmers
in North Central Nigeria.
Table 6: Chi-Square Tests of relationship between strategic orientation does not significantly effect on the
productivity of MSM Poultry farmers in North Central Nigeria.
Chi-Square Tests
Value
df
Asymp. Sig. (2-sided)
Pearson Chi-Square
93.118a
12
.000
Likelihood Ratio
90.055
12
.000
Linear-by-Linear Association
54.304
1
.000
N of Valid Cases
216
The Chi-Square test above showed that the p-value
is less than the level of significance (α) i.e 0.000 <
0.05 which shows the significance of the first
hypothesis test set above.
This necessitate the rejection of the null hypothesis
(H0) and the acceptance of the alternative
hypothesis (H1), i.e. there is a significant
relationship between strategic orientation and
productivity of MSM Poultry farmers in North
Central Nigeria. at 5% significance level.
Therefore, conclusions can be made that strategic
orientation does significantly influences the
performance of MSM poultry farmers in North
Central Nigeria and in the FCT (Abuja).
Table 7: Correlation Analysis
Correlation
Productivity
Experience
Productivity
Pearson Correlation
1
.503**
Sig. (2-tailed)
.000
N
216
216
From table 7 above, it can be deduced that there is
a significant linear relationship between strategic
orientations in relative to the performance of the
poultry enterprises in North Central Nigeria. We
have that the p-value is less than the level of
significance i.e 0.000 < 0.05. Therefore, we reject
the null hypothesis and conclude that there is
significant linear relationship between strategic
orientation and the performance of the poultry
establishments. Furthermore, a correlation
coefficient of 0.503 suggests that there is a
strongly positive relationship between them.
Hypothesis Two
To test the significant effect of commitment to
opportunity on the productivity of MSM Poultry
farmers in North Central Nigeria and make a
conclusion as regards the second hypothesis, Chi-
square and Correlation analysis was conducted.
This was done to determine if there exist any
significant effect of commitment to opportunity on
the productivity of MSM Poultry farmers in North
Central Nigeria.
H0: commitment to opportunity does not
significantly effect on the productivity of MSM
Poultry farmers in North Central Nigeria
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DOI: 10.37394/232022.2023.3.4
Nwaubani, Rex Ugochukwu, Cross Ogohi Daniel,
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Table 8: Chi-Square Tests of relationship between commitment to opportunity and productivity of MSM
Poultry farmers in North Central Nigeria
Chi-square Test
Value
Df
Asymp. Sig. (2-sided)
Pearson Chi-Square
93.118a
12
.000
Likelihood Ratio
90.055
12
.000
Linear-by-Linear Association
54.304
1
.000
N of Valid Cases
216
The Chi-Square test above showed that the p-value
is less than the level of significance (α) i.e 0.000 <
0.05 which shows the significance of the second
hypothesis test set above. This necessitate the
rejection of the null hypothesis (H0) and the
acceptance of the alternative hypothesis (H1), i.e.
there is a significant relationship between
commitment to opportunity and the productivity of
MSM Poultry farmers in North Central Nigeria.
Therefore, conclusions can be made that
commitment to opportunity significantly influence
the performance of MSM poultry farmers in North
Central Nigeria and in the FCT (Abuja).
Table 9: Correlation Analysis
Correlation
Productivity
Collaboration
Productivity
Pearson Correlation
1
.280**
Sig. (2-tailed)
.000
N
216
216
From table 9 above, it can be deduced that there is
a significant linear relationship between
commitment to opportunity in relative to the
productivity of the poultry enterprises in North
Central Nigeria. The p-value is less than the level
of significance i.e 0.000 < 0.05. Therefore the null
hypothesis is rejected and concludes that there is
significant linear relationship between
commitment to opportunity and the productivity of
the poultry establishments. Furthermore, a
correlation coefficient of 0.280 suggests that there
is a weak positive relationship between them.
Summarily, as the employees work towards a
common goal being considered as a criterion for
team work and quality circles influences a
significant positive change, although quite weak,
in the performance of the poultry farmers in North
Central Nigeria.
Hypothesis Three
H0: resources orientation does not significantly
effect on the productivity of MSM Poultry farmers
in North Central Nigeria.
Table 10: Chi-Square Tests of relationship between resources orientation and productivity of MSM Poultry
farmers in North Central Nigeria
Chi-square Test
Value
df
Asymp. Sig. (2-sided)
Pearson Chi-Square
8.683a
8
.000
Likelihood Ratio
8.037
8
.040
Linear-by-Linear Association
2.774
1
.006
N of Valid Cases
216
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DOI: 10.37394/232022.2023.3.4
Nwaubani, Rex Ugochukwu, Cross Ogohi Daniel,
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E-ISSN: 2732-9984
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The Chi-Square test above showed that the p-value
is less than the level of significance (α) i.e. 0.000 <
0.05 which shows the significance of the third
hypothesis test set above. This necessitate the
rejection of the null hypothesis (H0) and the
acceptance of the alternative hypothesis (H1) i.e.
there is a significant relationship between
resources orientation does not significantly effect
on the productivity of MSM Poultry farmers in
North Central Nigeria. Therefore, conclusions can
be made that resources orientation significantly
influence the productivity of MSM Poultry farmers
in North Central Nigeria and in the FCT (Abuja).
Table 11: Correlation Analysis
Correlation
Productivity
Collaboration
Productivity
Pearson Correlation
1
0.197**
Sig. (2-tailed)
.004
N
216
216
From table 11 above, it can be deduced that there
is a significant linear relationship between
resources orientation and productivity of MSM
Poultry farmers in North Central Nigeria. Since the
p-value is less than the level of significance i.e.
0.004 < 0.05, this study reject the null hypothesis
and conclude that there is significant linear
relationship between resources orientation and
productivity of the poultry establishments.
Furthermore, a correlation coefficient of 0.197
suggests that there is a positive relationship
between them. Summarily, the appraisal and
incentives influences a significant positive change,
although quite weak, in the productivity of the
poultry enterprise in North Central Nigeria.
Discussion of Findings
The findings from the analysis of research
questions and test of hypothesis shows that there is
a significant and positive effect of the indicators of
enterprise management practices (strategic
orientation, commitment to opportunity, resources
orientation) and productivity of MSM poultry
farmers in North Central Nigeria. The Chi-Square
test showed that the p-values are less than the level
of significance (α) which shows the significance of
all the hypotheses test. This necessitate the
rejection of the null hypotheses (H0) and the
acceptance of the alternative hypotheses (H1). This
implies that there is a significant relationship
between strategic orientation, commitment to
opportunity, resources orientation, and
performance of MSM poultry farmers in North
Central Nigeria and in the FCT (Abuja).
Therefore, conclusions were made that enterprise
management practices significantly influence the
performance of MSM Poultry farmers in North
Central Nigeria and in the FCT (Abuja). This is in
line with the findings of Banos-Carballero et al.,
2016, Schammo, 2019 and Eniola and Entebang,
2015. Among many, others have reached similar
conclusion that enterprises management practices
improves performance of MSM poultry farmers in
Nigeria.
5. Conclusion
Based on the findings from this study, conclusions
were made that there is significant relationship
between enterprise management of small and
medium scale enterprises and the performance of
MSM poultry farmers in North Central Nigeria
and in the FCT (Abuja).
This finding is in line with the submission in
Perking Order Theory (POT) which was initially
suggested by Canadian economist, Gordon
Donaldson in 1961, and popularized in 1984 by
American economists, Stephen Myers and Nicolas
Majluf (Chipeta & McClelland, 2018; Park &
Jang, 2018; Brown et al., 2016). This theory
implies that most enterprises would prefer internal
sources of financing first should the need arise
then enterpreneurial debt and finally
enterpreneurial equity (Babafemi et al., 2015; Kent
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et al., 2017; Quartey et al., 2017). Based on this
theory, MSMEs would prefer to finance
themselves from their own earnings before seeking
credit or loans from entrepreneurial sources such
as banks or giving up equity stakes in their
business. This theory helps policymakers to design
best policies and also expose underutilized
financing sources.
6. Recommendations
The following recommendations have been made
based on the findings of the study:
i. Financial and technical support should be provided
for the small-scale business enterprises.
ii. The government should provide conducive
macroeconomic, social, legal and political
frameworks for the large-scale creation of
sustainable and decent jobs by well-established
business enterprises, both foreign and domestic.
iii. Emphasis on the role of entrepreneurship in
Nigeria’s development policies;
iv. Government should create market demand for the
goods and services produced.
v. Policies should be formulated to ensure business
enabling environment.
vi. Government should provide infrastructure like
water, transport, cost of energy, and
telecommunications.
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Contribution of Individual Authors to the
Creation of a Scientific Article (Ghostwriting
Policy)
The authors equally contributed in the present
research, at all stages from the formulation of the
problem to the final findings and solution.
Sources of Funding for Research Presented in a
Scientific Article or Scientific Article Itself
No funding was received for conducting this study.
Conflicts of Interest
The authors have no conflicts of interest to declare
that are relevant to the content of this article.
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DESIGN, CONSTRUCTION, MAINTENANCE
DOI: 10.37394/232022.2023.3.4
Nwaubani, Rex Ugochukwu, Cross Ogohi Daniel,
May Nwoye, Hadiza Saidu Abubakar
E-ISSN: 2732-9984
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