P.Y. OYAREBU-SHAIBU

Small-scale businesses have become major drivers of socio-economic change in developing societies of the world, but especially so in Nigeria, where they account for over 90% of businesses in the country and employ a significant part of the labor market. This research explored the role of small- scale businesses as contributors to economic development in Edo State, Nigeria. The objectives were to evaluate how small businesses contribute to employment generation, income generation, industrial development, and economic growth in Edo State. A descriptive survey research design was adopted, and data from 347 respondents made up of owners and managers of small-scale businesses across the three senatorial districts of Edo State were collected. Questionnaires' structured format was used to collect data, while descriptive statistics, frequency counts, percentages, and mean scores were employed as tools of data analysis.

The findings of the research confirmed a significant contribution of small-scale businesses to employment generation jobs, which were for skilled and unskilled laborers; thus, a reduction was achieved in the number of unemployed people in the state. The research also revealed that small businesses have significantly enhanced income generation leading to improved standards of living and promoted industrial dependent linkages through adding value and the use of local raw materials, but challenges such as inadequate access to finance, multiple taxation, poor infrastructure, and inconsistent government policies have negatively contributed to optimal performance. In addition, the research showed that government support such as training programs, access to loans, and tax incentives has a positive but limited impact on business sustainability

This study examined the effect of entrepreneurial competencies on the success of small and medium enterprises (SMEs) in Benin City, Edo State. Entrepreneurial competencies are widely recognised as essential behavioural and skill-based attributes that enable entrepreneurs to effectively identify opportunities, manage resources, and sustain competitive advantage in dynamic business environments. The specific objectives of the study were to: Examine the effect of opportunity recognition on SME success Assess the influence of risk-taking on SME success Evaluate the effect of innovativeness on SME success Investigate the impact of networking on SME success Determine the effect of managerial competence on SME success. A survey research design was adopted, and structured questionnaires were administered to owners and managers of SMEs in Benin City using a purposive sampling technique. Data were analysed using descriptive statistics, correlation, and multiple regression analysis. The results revealed that opportunity recognition (B = 0.113, p = 0.048), innovativeness (B = 0.253, p = 0.016), and managerial competence (B = 0.372, p = 0.000) had positive and statistically significant effects on SME success, while risk-taking (B = –0.006, p = 0.939) and networking (B = 0.065, p = 0.301) exhibited positive but statistically insignificant effects. The regression model (R² = 0.642, F = 39.040, p = 0.000) indicated that the independent 13 variables collectively explained about 64.2% of the variance in SME success, suggesting a strong overall model fit. The study concludes that entrepreneurial competencies are critical determinants of SME success in Benin City, particularly opportunity recognition, innovativeness, and managerial competence. It recommends that SME operators enhance their entrepreneurial skills through continuous training and strategic learning to improve adaptability, innovation, and long-term competitiveness within the business environment.