FORMALIZATION AND PERFORMANCE OF MICRO, SMALL AND MEDIUM ENTERPRISES IN NIGERIA; THE ROLE OF OPEN MINDEDNESS AND COMMITMENT TO LEARNING

Authors

  • Shaibu, O. Blessing Federal University Wukari, Taraba State, Nigeria
  • Prof. Karwai, Sulaiman Ahmadu Bello University Zaria
  • Sahnun, Ladan PhD Ahmadu Bello University Zaria
  • Idris, Isma’il Tijjani PhD Ahmadu Bello University Zaria

Keywords:

Formalization, MSME Performance, Open Mindedness, Commitment to Learning

Abstract

The aim of this study was to examine if formalization can be adopted by MSMEs in Nigeria as a way ensuring better performance and if open mindedness and commitment to learning can both affect MSMEs performance as well as strengthen the relationship between formalization and performance of MSMEs in Nigeria. With a population of 39,654,385 MSMEs in Nigeria, yamene formula was used to obtain a sample size of 400 out of which 368 of the responses were found usable for the study. Hypothesis was tested using SmartPLS version 3.4 and the result indicated that Formalization, open mindedness and commitment to learning significantly affects the performance of MSMEs in Nigeria. However, open mindedness and commitment to learning did not significantly moderate the relationship between formalization and performance of MSMEs. The study concluded that formalization, open mindedness and commitment to learning individually are key to growth and development of MSMEs but open mindedness and commitment to learning will not strengthen formalization since they assume opposite principles. The study recommended that operators of MSMEs should ensure rules and regulations guiding their operations are clearly written and/or established as well as followed.

Author Biographies

Shaibu, O. Blessing, Federal University Wukari, Taraba State, Nigeria

Department of Business Administration,
Federal University Wukari, Nigeria

Prof. Karwai, Sulaiman, Ahmadu Bello University Zaria

Department of Business Administration,
ABU Business School, Ahmadu Bello University, Nigeria

Sahnun, Ladan PhD, Ahmadu Bello University Zaria

Department of Business Administration,
ABU Business School, Ahmadu Bello University, Nigeria

Idris, Isma’il Tijjani PhD, Ahmadu Bello University Zaria

Department of Banking and Finance,
ABU Business School, Ahmadu Bello University, Nigeria

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Published

2024-03-18

How to Cite

Shaibu, O. B., Karwai, S., Sahnun, L., & Idris, I. T. (2024). FORMALIZATION AND PERFORMANCE OF MICRO, SMALL AND MEDIUM ENTERPRISES IN NIGERIA; THE ROLE OF OPEN MINDEDNESS AND COMMITMENT TO LEARNING. FUW-International Journal of Management and Social Sciences, 9(1), 31–44. Retrieved from https://fuw-ijmss.com.ng/index.php/fijmss/article/view/62