Small Business Operators Research Articles

Nexus between Working Capital Management and Financial Performance of Small Enterprises

This study investigates the impact of working capital management on the financial performance of small enterprises in Kano, Nigeria. A cross-sectional survey of small enterprises owners or managers in Kano was conducted through selfadministered questionnaire. Variance-base structural equation modelling statistical technique called partial least square (PLS) version 4.0.9.5 was utilized to examine the relationship between working capital management and financial performance. The findings of the study indicate that working capital management has a statistically significant positive impact on financial performance of small enterprises. Specifically, the results show that small enterprises with higher working capital management have better financial performance in terms of sales growth, profitability, liquidity, solvency, and return on assets. The study offers useful recommendations to small business operators and suggests interesting direction for future research.

Cash Management Techniques and Small Scale Enterprises’ Effectiveness In Public Universities In Cross River State, Nigeria

The study examined the influence of cash management techniques on small scale enterprises’ effectiveness in public universities in Cross River State, Nigeria. To achieve the purpose of the study, two hypotheses were formulated and tested. Survey research design was used. 266 respondents were selected using a combination of stratified, proportional and accidental sampling techniques. However, only 259 respondents participated in the study. A structured questionnaire was the main instrument for data collection and it was validated by three experts. To guarantee the reliability of the instrument, the researcher conducted a trial test of the instrument on 30 small scale business operators outside the ones that were used for the study and Cronbach Alpha procedure was used to establish the reliability indices ranging from 0.75 – 0.87. Data collected was analyzed using simple linear as well as multiple regression statistical techniques and the finding revealed that cash budgeting as well as liquidity management significantly influence small scale enterprises’ effectiveness in public universities. The study also revealed that cash management techniques sub-variables such as cash budgeting and liquidity management have significant composite influence on small scale enterprises’ effectiveness in public universities. Based on the findings, it was recommended among others that business operators should use credit cards more often with her suppliers and review expenses regularly to lower costs; this would aid the business in recouping its capital quickly.

Unraveling the Impact of Lockdowns on E-commerce: An Empirical Analysis of Google Analytics Data during 2019–2022

This paper presents an empirical analysis of e-commerce data obtained through Google Analytics (GA) from two small businesses’ perspectives: an IT components company and a tourism agency website located within the same county in Romania. The objective of our study is to examine the enduring effects of the COVID-19 pandemic and seasonal variations over the last four years. The data collection spanned from January 2019, predating the onset of the COVID-19 pandemic, until mid-February 2023. To facilitate our analysis, we categorize the GA metrics into groups that encompassed website performance, site accessibility, and user behavior for the IT company. As for the tourism agency, we focus on website accessibility, user behavior, and marketing campaigns. Our goal is to empirically group or associate GA metrics according to their intrinsic meaning and check if each group reflects a certain latent concept (such as user behavior or site accessibility). Furthermore, our study aims to formulate and test five hypotheses regarding the immediate and long-lasting impact of the COVID-19 pandemic on the operations of small businesses. Our contribution consists of formulating and verifying the five hypotheses by providing descriptive data from the results of the Pearson correlation test, empirically grouping the GA metrics and verifying whether they reflect certain latent factors or topics, interpreting the results from the application of the ANOVA technique and Scarpello’s adaptation of the one factor test, respectively.

Upaya Peningkatan Kesadaran Hukum Melalui Pendaftaran Merek Bagi Pelaku Usaha Kecil Menengah Berbasis Mahasiswa

This article addresses the crucial issue of legal protection for products and services by business entities, known as intellectual property. In the effort to value and safeguard intellectual creations, the concept of Intellectual Property Rights (IPR) emerged with the aim of providing recognition, appreciation, and protection to these creations, also contributing to economic growth. The Directorate General of Intellectual Property Rights (IPR) is responsible for managing the administration of copyrights, trademarks, patents, and others. Trademark registration also serves as a symbol of business legitimacy, reducing risks and enhancing consumer trust in products. The article highlights the urgency of intellectual property registration, particularly in sectors requiring legal protection. In light of this, community engagement is conducted to impart understanding to small and medium-sized business operators among students and provide training on business trademark registration. The method employed in this community engagement involves participatory dialogue-based socialization and trademark registration training. The outcomes of this community engagement reveal that many students engaged in small and medium-sized businesses lack business legitimacy. Hence, there is a need for trademark registration training to be conducted.

Farmers' markets or the supermarket? Channel selection in small farming businesses

PurposeDespite the abundance of small-scale farms in the USA and their importance for both rural economic development and food availability, the extensive research on small business management and entrepreneurship has mostly neglected the agricultural context, leaving many of these farms' business challenges unexplored. The authors focus on informing a specific decision faced by small farm managers: selling directly to consumers (i.e. farmer's markets) versus selling through aggregators. By collecting historical data and a series of interviews with industry experts, the authors employ simulation methodology to offer a framework that advises how small-scale farmers can allocate their product across these two channels to increase revenue in a given season. The results, which are relevant for operations management, small business management and entrepreneurship literature, can help small-scale farmers improve their performance and compete against their larger counterparts.Design/methodology/approachThe authors rely on historical and interview data from key industry players (an aggregator and a small farm manager) to design a simulation analysis that determines which factors influence season-long farm revenue performance under varying strategies of channel allocation and commodity production.FindingsThe model suggests that farm managers should plan to evenly split their production between the two distribution channels, but if an even split is not possible, they should plan to keep a larger percentage in the nonaggregator (farmers' market/direct) channel. Further, the authors find that farmers can benefit significantly from a strong aggregator channel customer base, which suggests that farmers should promote and advertise the aggregator channel even if they only use it for a limited amount of their product.Originality/valueThe authors integrate small business management and operations management literature to study a widely understudied context and present practical implications for the performance of small-scale farms.

An examination of vocational rehabilitation requirements for self-employment technical assistance and consultative services

BACKGROUND: The Rehabilitation Act references self-employment in its definition of competitive integrated employment (CIE) and description of vocational outcomes. The Act also references self-employment within its scope of services and stipulates that rehabilitation services include “technical assistance and other consultation services to conduct market analyses, develop business plans, and otherwise provide resources, to the extent those resources are authorized to be provided through the statewide workforce development system, to eligible individuals who are pursuing self-employment or telecommuting or establishing a small business operation as an employment outcome” 34 CFR 361.48(b)(19). OBJECTIVE: This policy review identifies and highlights specific SVRA policy regarding TA and consultation for self-employment. METHODS: Policies from all 50 states and the District of Columbia’s combined or general SVRAs and policies from 18 blind SVRAs were reviewed and coded into categories (no reference, generic, internal, and external references) to determine the types of TA and consultation for self-employment that are outlined in state policy. RESULTS: The majority of general or combined SVRAs (n = 38) have policies for self-employment technical assistance and consultation that are generic and the majority of blind SVRAs (n = 16) have generic policies for self-employment technical assistance and consultation. These rehabilitation agencies’ policies only reference generic services and do not identify dedicated resources designed to meet the intent and scope of rehabilitation services. CONCLUSION: SVRAs must make a concerted effort to ensure that self-employment policy is adequately aligned to account for necessary supports, activities, and interventions that lead to positive self-employment outcomes.

Information Technology and Entrepreneurship Success in Bayelsa State, Nigeria: Small and Medium Enterprises (SMEs) Perspective

The paper examined relationship between information technology and entrepreneurship success in Bayelsa State. Specifically, the study is to examine the relationship between information technology and SMEs success in Bayelsa State, and the challenges of adopting information technology for entrepreneurship success in Bayelsa State. This paper adopted the quantitative research approach and adopting cross-sectional survey design which involve multiple SMEs in Bayelsa State. Population for this study consist of fifty (50) entrepreneurs in Bayelsa state. A self-designed questionnaire was modified and adopted as the instrument of primary data collection, which was previously used by Olusegun (2015), with an overall reliability coefficient of 0.64 for all question items in the Likert-5 response scale instrument. Data collected was analyzed adopting descriptive analysis for the socio-economic data and Pearson Moment Correlational Coefficient as the inferential analysis. The result shows that there is an empirical link between information technology and SMEs success in Bayelsa State, and there are visible challenges in adopting information technology for entrepreneurship success in Bayelsa State. In Conclusion, the use of information technology to small business operations has had a significant positive influence on entrepreneurial practices from the viewpoints of SMEs in Bayelsa State, Nigeria. The paper recommended that the government need to provide entrepreneurs sufficient funding so that they may employ modern technologies in their small businesses, which will help them expand.

Accounting Records-keeping and Utilization by Small Scale Business Operators in Rivers state Nigeria

The study was aimed at examining the relationship between accounting records keeping and utilization by small scale business operators in Rivers State. Two specific objectives and two research questions guided the study. Two null hypotheses were tested at 0.05 probability level. The study adopted a survey design and was conducted in Rivers State of Nigeria. The population of the study consisted of 4090 registered small scale business operators in Rivers State of Nigeria out of which 450 were randomly selected and used as sample for the study. A questionnaire instrument titled Accounting Records Keeping and Utilization Questionnaire (ARKUQ) was developed by the researcher and used for data collection. The instrument contained 11 items and was structured on a five point likert scale. The instrument was validated by two research experts in the Federal College of Education (Technical), Omoku and the University of Uyo respectively. It was thereafter trial tested on thirty (30) Small Scale Business Operators (SSBOs) in Rivers State who were not part of the study. The data collected was subjected to Cronbach-Alpha reliability technique. This test yielded a reliability coefficient of 0.77. The data generated from the study were analyzed using Pearson Product Moment Correlation (PPMC). The null Hypotheses were tested at 0.05 probability level. It was found that there is a high positive relationship between accounting records-keeping and utilization in the subsidiary books and ledger accounts. Furthermore, the null hypotheses tested revealed that there were significant relationships between accounting records keeping in the identified books of account and the utilization of those records by small scale business operators in Rivers State. It is recommended among others that small scale business operators be equipped through trainings and education to be able to keep and utilize appropriate accounting records.

Valuation of the Potential of Small and Medium-Sized Businesses for Investment Purposes

The current economy makes it relevant to invest not only in organized securities markets but also ‘directly’ in small and medium-sized businesses, as they represent quite promising objects of capital investment, and are highly likely to secure large incomes provided that certain "postulates" of investment activity are taken into account. The postulates are initially based on fundamental analysis of many factors of both the external and internal environment of the company; these factors, undoubtedly, affect both the current bottom line of the organization's activities and the prospects for further prosperity of the business entity. However, to determine these factors, in the sense of the basic "vector of movement" of the company, certain aspects of study of the organization as a business should be taken into consideration, potentially ensuring that a prospective investor can obtain considerable profits. In this regard, the article investigates the main aspects of operation of small and medium-sized businesses in the economic sphere, as well as the risks accompanying these operations. In addition, some factors having a significant impact on economic actors, both at macro and micro levels, are analyzed, which must be taken into account not only when carrying out the initial processes of "picking" investment objects, but also while owning a certain asset, in order to systematically check whether certain assets still possess investment relevance.

Market Focus Factors Influencing on the Competitiveness of Small and Medium Enterprises (SME) in the Case of the Covid-19 Crisis in Nonthaburi Province

This research aimed to study market focus factors influencing on the competitiveness of small and medium enterprises (SME) in the case of the Covid-19 crisis in Nonthaburi Province. The research instrument was a questionnaire. The population in the research was a group of small and medium-sized business (SME) entrepreneurs in Nonthaburi Province. There were 400 samples. For a test of research instrument, the IOC value was 0.88 and the confidence value was 0.989. The data were analyzed by using statistical techniques to analyze the structural equation model, percentage, mean, standard deviation.The results were found as follows:The relationship path model of factor causal structure based on the influential market focus factors was relatively consistent with the empirical data byconsidering the evidence as follows: (1) Chi-square Probability Level: CMIN-p is 16.829, (2) Relative Chi-square: CMIN/df is 1.683, Goodness of Fit Index: GFI is .930, and (4) Root Mean Square Error of Approximation: RMSEA is .079. Considering the sum of influences was found that the market focus factors of small and medium-sized businesses (SMEs) consist of 3 areas. They are 1) customer focus factor 2) competitor focus factor, and 3) coordination factors within the organization influencing factors of competitiveness of small and medium-sized business operators (SME) in the case of the COVID-19 crisis in Nonthaburi Province with a sum of influence equal to 0.47

Main Directions and Priorities of Strengthening State Support for Small Businesses in Georgia

The article is related to the point that the development of small and medium-sized businesses is one of the priority tasks. Small and medium business, as a subsystem of the national economy, as a special form of economic activity, cannot develop only thanks to the conditions created for it, no matter how favorable they may be. In the national economy, special institutions must be created and "grown" that ensure the sustainable operation of small and medium-sized businesses. The evolution of approaches to the study of the concept of "success" in various fields of science is discussed, and based on this, its essence is specified, the features of the success of small and medium-sized businesses in our country are analyzed. The analysis of success factors is included. The author's classification of factors is given, based on their division into internal and external factors; Internal factors control the companies themselves, while external factors go beyond the boundaries of the companies and affect the company's activities as a whole. Keywords: small business, state support, grant, production growth, entrepreneurship.

Advancing South Africa’s District-Centred Model of Economic Development

There is a history of small enterprise failure in South Africa, which is concerning, given the country’s high unemployment levels. The complex skills required to succeed as a small business operator can, however, be attained through deliberate practice techniques. In this paper, the literature is used to contextualise rural enterprise development in South Africa. Furthermore, the study utilises primary data to investigate support for aspirant entrepreneurs in rural KwaZulu-Natal using qualitative research methodologies. The findings reinforced certain facts within the body of knowledge as it relates to rural enterprise development. However, there are also some interesting new insights that this paper presents. These insights are highlighted, and recommendations are proposed in the context of the government’s districtcentred model of economic development.

Deciphering small business community disaster support using machine learning

With the increase in severity and frequency of natural hazards due to climate change, developing a holistic understanding of community resilience factors is critically important to disaster response and community support. Our investigation of small business survey responses about COVID-19 impacts finds that they are conduits of national support to their local communities. Small businesses that have demonstrated high levels of pre-disaster local involvement are more likely to take an active role in community resilience during a disaster, regardless of their own financial security. In addition, businesses with natural hazard experience before or during COVID-19 provided help to more community groups than hazard inexperienced businesses. While community resilience models often characterize small businesses as passive actors using variables such as employment or financial security, this research suggests that small businesses take an active role in community resilience by providing critical local support. The pandemic presented an opportunity to consider small business’ role in community resilience nationally, which was utilized here to identify the multi-dimensional factors that predict small business operators’ community disaster support. This study improves upon previous research by studying the small business-community resilience interface at both regional (n = 184) and national (n = 6,121) scales. We predict small business’ active involvement in community resilience using random forest machine learning, and find that adding social capital predictors greatly increases model performance (F1 score of 0.88, Matthews Correlation Coefficient of 0.67).

Intersections of small business mobility, adaptive capacity, and resilience during crises

Over 5 years, multiple hurricanes and a pandemic impacted small businesses in Charleston, South Carolina. In order to better understand the impacts of disasters on public-facing small businesses, we conducted a case study of customer, labor, location, and supply chain mobility. Although the disaster contexts of multiple hurricanes and the 2019 novel coronavirus (COVID-19) pandemic vary considerably, comparing the experiences of small business operators furthers our understanding of local disruptions and the potential for adaptive capacity. Drawing on 2 years of survey data, we focus on the importance of mobility to public-facing (e.g. service and recreation) small business recovery and adaptation. We then consider the relationship between multiple forms of mobility and resilience to two different disaster types. We conclude by identifying additional areas of small business adaptation and resilience inquiry informed by both hurricane and pandemic experiences. In contrast to previous global or regional mobility studies, this case study explores hyper-local small business mobility disruptions.

Financial Inclusion and SMEs’ Performance: Mediating Effect of Financial Literacy

This study examines the mediating effect of financial literacy on the relationship between financial inclusion and SMEs’ performance. Using a targeted sampling technique, we selected SMEs that have been in operation for 5 years and are duly registered with SMEDAN. Meanwhile, a simple random sample was used to select 250 SME operators or managers for the study. Data were analyzed using structural equation modeling (SEM). The results show that financial inclusion is positively and significantly associated with SME performance. There is also evidence that financial inclusion is directly related to financial literacy. Furthermore, the results show that financial literacy has a large positive impact on the performance of SMEs. Financial literacy has also been found to partially mediate financial inclusion and SME performance. The study then recommends that small business regulators work with accounting professional organizations to organize financial literacy workshops, seminars, and short courses for small business owners. This goes a long way in making funding more accessible for small business operators.

Congruent internal marketing efforts to reduce turnover intentions among restaurant employees in the midst of COVID-19

PurposeThe purpose of this article is to examine the factors that influence turnover intentions by examining the effect of congruent internal marketing on turnover intentions among restaurant employees in North Cyprus. The study also integrates work immersion variables to factor in the reduction of turnover intentions of employees.Design/methodology/approachThe quantitative study employed questionnaires distributed to 150 participants at various restaurants throughout Northern Cyprus. The study's results were utilized to examine the effect of several components of congruent internal marketing on turnover intention, including work engagement, job satisfaction, coaching and employee development structural equation modelling.FindingsThe study confirmed a positive and significant relationship between congruent internal marketing and turnover intentions, work engagement, job satisfaction and management coaching. It is evident that congruent internal marketing is contingent on elements that minimize employees' turnover intentions. Given the increasing pace of voluntary and involuntary turnover, it is critical to provide concise research for both present and future analysis.Research limitations/implicationsThe data collection for this study was limited to the cities of Northern Cyprus, as it focuses on small business operations. Additionally, the researchers were able to collect data from only 30 establishments during the pandemic. Quintessential implication of the current study posits how internal marketing efforts coupled with coaching and engagement practises helps to reduce turnover.Originality/valueRecently, turnover intention has emerged as a major source of concern for business and organizational survivors, particularly during this COVID-19 pandemic. This had a detrimental effect on local and international enterprises, health, education, hotels and tourism. In essence, the current crisis has had a profound effect on both internal marketing and employee turnover intentions. Drawn from the POS and SET theories, the current study develops and tests parsimonious model in fostering avenues to reduce turnover.

Strategies Employed by Umrah Business Owners to Survive the Covid-19

The presence of Covid-19 has brought a number of negative consequences globally including economic disaster. In the context of Kingdom of Saudi Arabia, the Covid-19 has severely impacted the Umrah tourism, and this has led to many Umrah business operators to experience loss. In addition, many small and medium business operators have to stop operating due to financial difficulties. This study aims to identify the strategies that have been employed by the Umrah business operators to survive the downward of market due to Covid-19 pandemic. Specifically, the study attempts to understand the mechanisms that have been adopted by the affected Umrah business operators to maintain their business. As such, a total of three business operators in the Makkah region were selected to be interviewed. The interviews were later transcribed and thematically analyzed. The analysis of interview responses followed the Wenzel (2020)’s Crisis Response Strategies that has been the study’s conceptual framework. Findings showed that the strategies that the business owners adopted can be grouped into two themes; first is retrenchment where the business owners will reduce the number of staff being employed and second is perseverance where the business owners will actively look for assistance mainly from the government. The findings have highlighted limited strategies employed by the business owners. This information can be helpful for training purposes where many strategies can be adopted by business owners when they are faced with economic difficulties.

DIGITAL TRANSFORMATION AS A CHANCE FOR SMALL BUSINESS DEVELOPMENT

Human civilization has entered a completely new era in which the digital, virtual, innovative and imaginary becomes the main driver of national and economic development. Digital transformation has become the “conditio sine qua non” of modern organizations. The issue of digital transformation of business has become the subject of interest of theoreticians and practitioners, but only in the last few years. That is why its ultimate goal is to create added business value. The use and introduction of a large number of digital technologies in a small business by itself will not provide the expected benefits in the process of innovation itself. The highlighted importance of digital transformation refers to user experience, operational processes, business models, employee experience and digital platforms, as well as to the key domains of small business operations that digitalization is changing. The task of the work indicates the impact that digital transformation in the business process has on a small entrepreneurial venture. Bearing this in mind, the goal itself is focused on the possible directions of digital transformation of business in conditions of strong penetration of digital technologies and strong impact on small business.

EMBRACING DIGITAL INTERACTIVE PLATFORMS FOR RAPID INTERNATIONALIZATION

Digital interactive platforms (DIP) enhance communication in a growing online interaction and promote innovation in small business operations. However, there is still a lack of knowledge about the interactions between small and medium-sized enterprises (SMEs) and stakeholders via DIP and the factors contributing to accelerating internationalization. Therefore, this study aims to explore the DIP used by SMEs to interact with service providers to accelerate their internationalization. This study applied the case study methodology and used a dyadic process with selected service providers and Malaysian manufacturing SMEs. The findings of this study examine the interactions of SMEs and service providers, specifically through DIP. From the analysis, two factors contributing to SMEs' rapid internationalization can be deduced. The novelty of this study is that it contributes to the understanding of the DIP used by SMEs to interact with service providers and identifies internal resources and the external environment as DIP factors for SMEs' rapid internationalization. A framework is provided for SMEs to use DIP for rapid internationalization.

INTEGRATION OF INFORMATION SYSTEMS IN SMALL BUSINESS OF UZBEKISTAN

Small business is an integral part of any developed state. It is this sector of the economy that is most exposed to the processes that characterize a dynamically progressing society. The article proposes approaches developed by the authors to create a comprehensive system for integrating information systems into small businesses. Information technologies are becoming an integral part of modern society, which means that it is the small business sector that is the first to respond to modern trends, strives to make the most complete informatization possible. The effective implementation of the methods of information support for small businesses described in the article will create conditions for the successful operation of small businesses in the national market. This article discusses how necessary information technology is in a small business. The tasks that are set for the system of information support for small businesses are described. Perspective directions in solving the problems of creating a modern IT infrastructure at small enterprises are considered. KEYWORDS: information technology, small business, innovations