Ethnic Entrepreneurship and Industrialization of Small and Medium Enterprises (SMEs) in Nigeria

This study examined the relationship between ethnic entrepreneurship and Small and Medium Enterprises (SMEs) industrialization in Nigeria. Using a mixed-methods approach, quantitative data were collected from a sample of 200 ethnic entrepreneurs in Nigeria. The study was guided by the Theory of Ethnic Entrepreneurship and Social Capital Theory. Descriptive statistics was employed to summarize the demographic characteristics of respondents, while Pearson correlation analysis was conducted using Stata version 13 to assess the strength of relationships between the independent variables (ethnic clustering, social capital, cultural transmission) and the dependent variables (industrialization of SMEs in Nigeria). Multiple regression analysis was conducted to determine the predictive influence of ethnic clustering, social capital, and cultural transmission on industrialization of Small and Medium Enterprises (SMEs) in Nigeria. The findings revealed significant positive relationship between ethnic clustering and social capital with industrialization of Small and Medium Enterprises (SMEs) in Nigeria. Moreover, cultural transmission was found to have a substantial impact on industrialization of SMEs in Nigeria. The study concludes that ethnic entrepreneurs in Nigeria can enhance SMEs industrialization in Nigeria by fostering stronger social networks and leveraging cultural assets. These insights offer practical implications for policy development, particularly in supporting the industrialization of ethnic SMEs in Nigeria.