Microfinancing and Entrepreneurship Growth among Women in Ogun State, Nigeria

Authors

  • G. Oluwakemi Adeoti Department of Accounting, Babcock University, Ilishan Remo, Ogun State, Nigeria
  • T. Tunji Siyanbola Department of Accounting, Babcock University, Ilishan Remo, Ogun State, Nigeria
  • F. Folajimi Adegbie Department of Accounting, Babcock University, Ilishan Remo, Ogun State, Nigeria
  • D. Olubukola Adekola Department of Software Engineering, Babcock University, Ilisan-Remo, Ogun State, Nigeria

DOI:

https://doi.org/10.51983/ajms-2021.10.2.2855

Keywords:

Credit Repayment Strategies, Entrepreneurship Growth, Microcredit Facilities, Microfinancing, Non-Financial Services

Abstract

Entrepreneurship has continually been a tenacious tool in responding to global poverty. The last few decades recorded tremedous activities of women entrepreneurs. Funding is a critical challenge to present and prospective women entrepreneurs. Microfinancing contitutes a principal source of easy access to funds. Microfinancing comprises financial and non-financial services which could possibly be a driving force to women entreprenuship and empowerment. However, the presence of microfinancing is though visible but there is lack of necessary investigation revealing the impact of microfinancing on entrepreneurial activities among women. Also, repayment problems pose threats of continuity to both microcredit institutions and entrepreneurs. A number of repayment strategies are in existence but there is lack of necessary investigation showing the influence of these repayment strategies on entrepreneurship growth among women. The focus of this study was to evaluate how Microfinancing has influenced entrepreneurship growth among women. This study adopted survey research design and convenience sampling technique. The study concluded that microfinancing has a significant impact on entreprenuship growth among women in Ogun State, Nigeria. Moreover, the developed model would serve as a useful inspiring construct for researchers.

References

Abdulkadir, F. I., Umar, S., Bashir G. I., & Ibrahim, S. H. (2012). “The Impact of Micro-finance Banks on Women Entrepreneurial Development in Metropolis”, Microeconomics and Macroeconomics, 1(3) 28-38. DOI: 10.5923/j.m2economics.20120103.01.

Alalade, Y. S., Amusa, B. O., & Adekunle, O. A. (2013). Microfinance bank as a catalyst for entrepreneurship development in Nigeria: evidence from Ogun State. International Journal of Business and Social Science, 4(12), 286-303.

Amaechi, A. (2018). Why trademoni matters. Retrieved from https://www.vanguardngr.com/2018/10/why- tradermoni-matters.

Anwaru, K. N. (2016). Impact of Micro-finance on women empowerment in Bangladesh. The Millennium University Journal, 1(1), 1-18.

Anyanwu, J. C., & Uwatt, U. B. (1993). Banking for the poor: the case of the people's bank of Nigeria. African Review of Money Finance and Banking, 1(1), 87-103.

Atandi, F. G., & Wabwoba, T.B. (2013). Effect of credit on micro and small enterprises performance in kitale town. International Journal of Academic Research in Business and Social Sciences, 3(9), 570-583.

Awojobi, O. N. (2018). Microcredit as a strategy for poverty reduction in Nigeria: a systematic review of literature. Global journal of social sciences, 18(1), 53-64.

Ayadi, O. F., Hyman, L. M., & Williams, J. (2008). The role of community banks in economic development: a Nigerian case study. Centre for Socio-economic Dynamics and Cooperation of the University of Bergamo,32(2), 159-173.

Ayodele, A. E., & Kayode, A. (2014). The impact of microfinance on economic growth in Nigeria. Journal of Emerging Trends in Economics and Management Sciences,5(5), 397-405.

Bangoura, L. (2012). Microfinance as an approach to development in low income countries. Bangladesh Development Studies, 35(4), 35-47.

Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 71-121.

Barney, J. B. (1986). Strategic factor market: Expectations luck and business strategy. Management Science, 32(1), 1512-1514.

Berenbach, S., & Guzman, D. (1994). The solidarity group experience worldwide in the new world of microenterprise finance, London: Intermediate Technology Publications.

CBN. (2005). Regulatory and Supervisory Guidelines for Microfinance Banks (MFBs) in Nigeria.

Cooper, N. (2012). The impact of microfinance services on the growth of small and medium enterprises. (unpublished MBA project, University of Nairobi. Kenya)

Drucker, P.F. (1985).Innovation and entrepreneurship: practice and principles. London: Pan Books, WD.

Ekpe, B., Mat, N. B., &Razak, R. C. (2010). The Effect of microfinance factors on women entrepreneurs performance in Nigeria: a conceptual framework. International Journal of Business and Social Science, 1(2), 255–263.

Esbroeck, D. (2019). The thinking of Hayek and Schumpeter on the efficiency of markets: similarities and differences. Retrieved from https://corporatefinancelab.org/2019/04/11/the-thinking-of-hayek-and -schumpeter-on-th

Gupta, S. (2014). Empowering Women Entrepreneurs through Microfinance: A Way to Gender Equality. International Journal of Research in Management & Social Science, 2(1), 24-30.

Hanush, H., & Pyka, A. (2007). Elgar Companion to Neo-Schumpeterian Economics, Edward Elgar, Cheltenham, 857

Hossain, M. (1988). Credit for alleviation of rural poverty: the grameen bank in Bangladesh. International Food Policy Research Institute, 65. Washington, DC

Kotir, K., & ObegOdoom, D. (2009) Microfinance and rural household development: A Ghanaian perspective. Journal of Developing Societies, 25(1), 85-105.

Kurotimi, M.F., Abara, O., & Francis, D. P. (2016). Entrepreneurship cure for economic under-development in Nigeria: A theoretical perspective. World Academy of Science, Engineering and Technology International Journal, 10(9), 3168-3173.

Lawal, A. A., Kio, J. S., Sulaimon, A. A., & Adebayo, I. O. (2000). Entrepreneurship development in small scale business. Adeola Printing Press Ltd. 1-7.

Lantara, N. F. (2015). The roles of woman as leader and housewife. Journal of Defense Management, 5(1), 1-5.

Lazar, D., & Palanichamy, P. (2008). Microfinance and poverty eradication: Indian and global experiences. New Delhi: Pondicherry University.

Makorere, R.F. (2014). Factors affecting loan repayment behavior in Tanzania: empirical evidence from Dar essalaam and Marogoro regions. Int. J. Dev. Sustain, 3(3), 481-492.

Muogbo U. S., &Tomola, O. (2018). The impact of microfinance bank on entrepreneurship development in Nigeria. Journal of Business and Economic Development, 3(2), 51-61.

Muritala, T. A., Awolaja, A. M. &Bako Y. A. (2012). Impact of small and medium enterprises on economic growth and development. American Journal of Business Management, 1(1), 18-22.

Mwewa, N. M. (2013). Effect of microfinance services on the growth of SMEs in Machakos County. (Nairobi: unpublished MBA project, UoN).

Nwachukwu, J. (2014). Interest Rates, Target Markets and Sustainability in Microfinance. Oxford Development Studies, 42(1), 86–110.

Nwanyanwu, O. J. (2011). Microfinance in Nigeria: problems and prospects. An International Multi-Disciplinary Journal, Ethiopia. 5(2), 87-103.

Nyakambi, A.G. (2014). Effect of microfinance credit on poverty alleviation at household level in Nakuru. (Unpublished MBA project), University of Nairobi.

Kuckertz, A., Hinderer, S., & Röhm, P. (2019). Entrepreneurship and entrepreneurial opportunities in the food value chain. NPJ science of food, 3, 6. https://doi.org/10.1038/s41538-019-0039-7.

Morgan, B., Elijah, M., & Christopher, N. (2019). Influence of microfinance financial strategies on growth of small and micro enterprises in homa bay county, Kenya. International Journal of Scientific & Technology Research, 8(5), 1-10.

Obi, J. N. (2015). The role of micro-finance banks in entrepreneurship development in Nigeria and some selected countries. African Journal of Social Policy and Administration, 3(1), 21-27.

Ogunlana, F. (2018). The Role of Entrepreneurship as the driver of Economic Growth. Thesis Submitted to Centria University of Applied Sciences. Retrieved from https://www.theseus.fi/bitstream/handle/ 10024/144309/Ogunlana%20_Folarin.pdf?sequence=1&isAllowed=y

Okibo, B. W., & Makanga, N. (2014). Effects of microfinance institutions on poverty reduction inKenya. International Journal of current research and Academic Review, 2(2), 76-95.

Owuor, A. M. (2015), Effect of microfinance services on the growth of women owned small and medium enterprises in ruiru sub-county. (A desertion, University of Nairobi, Kenya). Retrieved from https://pdfs.semanticscholar.org/bbf4/.

Riinvest. (2017). Women's Entrepreneurship - Analysis of Business Doing Business in Kosovo. Republic of Kosovo: Riinvest Institute. Retrieved from https://www.riinvestinstitute.org/uploads/files/2017/ November/10/Womens_Entrepreneurship1510307815.pdf

Robinson, M. S. (2001). The Microfinance Revolution -- Sustainable Finance for the Poor. Washington D.C.: The World Bank, Open Society Institute.

Saparila, W. & Wisanupong, P. (2019). Microfinance Repayment Performance of SMEs in Indonesia: Examining the Roles of Social Capital and Loan Credit Terms.

Schumpeter, J. A., (1934). The theory of economic development. Cambridge, Mass: Harvard University Press.

Simpeh, K. N., (2011). Entrepreneurship theories and Empirical research: A Summary Review of the Literature. European Journal of Business and Management, 3(6), 1-9.

Umemezia, E. & Osifo S. J. (2018a). Microfinance and female entrepreneurship in Nigeria. DBA Africa Management Review, 8(1), 34-43.

Umemezia, E. & Osifo S. J. (2018b). Challenges Female entrepreneurs Encounter in accessing Microfinance in Nigeria. Huria journal, 25(1), 77-99.

Utsch, A., Rauch, A., Rothfuss, R. & Frese M. (1999). Differences between Entrepreneurs and Managers in East Germany. The EMBO Journal, 37(3), 31-42.

Wilkinson, T. J. (2013). Strategic Management in the 21 Century: Theory of Strategic Management, 3. Praeger An Imprint Of Abc-Clio, Llc, Oxford, England.

World Bank (2000). World development report 2000/2001 Oxford. University Press, Inc. 200 Madison Avenue, New York, 10016.

Yunus, M. & Weber, K. (2007). Creating a world without poverty, social business and the future of capitalism. New York, Public Affairs.

Yusuf, S. A. (2014). Effect of microfinance on small scale enterprise in Osun State, Nigeria. American Journal of Contemporary Research, 4(6), 190-200.

Downloads

Published

05-11-2021

How to Cite

Oluwakemi Adeoti, G., Tunji Siyanbola, T., Folajimi Adegbie, F., & Olubukola Adekola, D. (2021). Microfinancing and Entrepreneurship Growth among Women in Ogun State, Nigeria. Asian Journal of Managerial Science, 10(2), 16–26. https://doi.org/10.51983/ajms-2021.10.2.2855