This study examined the impact of coronavirus on the performance of small and medium-sized businesses in Benin City. The study population consists of 200 employees of selected Benin-based SMEs. The researcher utilized questionnaires as the data gathering instrument. Using a descriptive survey research design, this study was conducted. The survey utilized 133 respondents comprised of supervisors, secretaries, sales representatives, and junior staffs. The acquired data were tabulated and evaluated using straightforward percentages and frequencies.
Background of the study
Small and Medium Enterprises (SMEs) play an essential part in Nigeria’s economic development. They are a critical engine for the Nigerian economy, since they generate growth, create jobs, particularly for youth, and pioneer innovation. They give a consumer base to larger enterprises along the supply chain and provide essential goods and services to businesses and families, hence keeping the economy afloat. In addition, they can use their agility to invent and incubate new technologies and business models in order to construct a better future. Many of Nigeria’s SMEs have the potential to become the continent’s great enterprises of the future, which are necessary for the continent to continue on its road to progress and prosperity. From a trade standpoint, intra-African commerce is unlikely to increase if barriers to SME involvement are not addressed. However, numerous studies suggest that the expansion of small and medium-sized enterprises (SMEs) in Nigeria is hindered by a lack of financial assistance, bad management, corruption, lack of training and expertise, inadequate infrastructure, and inadequate profits. They are currently very susceptible to the ill effects of Coronavirus (COVID-19). Clearly, ensuring their existence is essential not only for lessening the economic systemic damage, but also for sustaining employment and fostering future growth once the pandemic has passed. This paper’s primary purpose is to assess how SMEs in Nigeria are affected by COVID-19 and to make recommendations for lessening the impact.
Small and Medium-Sized Businesses (SMBs) have been severely impacted by the COVID-19 pandemic as a result of the suggested closures and decreased working hours to combat the spread of the virus. This deadly virus has had a detrimental impact on the global economy, resulting in a crisis among enterprises worldwide. Coronavirus illness has significantly impacted both the financial and non-financial performance of businesses in Nigeria, according to Aifuwa et al. The purpose of this study is to explore the impact of coronavirus on the performance of small and medium-sized businesses in Benin city.
Description of the problem
COVID-19 has triggered a significant economic upheaval. This study will investigate the influence of COVID-19 on the landscape of small businesses in Nigeria by focusing on three questions. How have small firms adapted to the economic upheavals caused by COVID-19? Second, how long did businesses anticipate the crisis to endure, and how did this affect their decision-making? How might alternative policy approaches affect the resiliency of businesses and employment?
The purpose of the study
The study’s aims are as follows:
Determine the impact of COVID19 on the performance of small and medium enterprises in Benin city.
Determine how small and medium-sized businesses in Benin city adjusted to the economic disturbances caused by COVID-19.
Determine the impact of COVID19 on the Nigerian economy
The researcher came up with the following research hypotheses:
H0: COVID19 has little effect on the performance of small and medium-sized businesses in Benin city
H1: COVID19 has an effect on small and medium firm performance in Benin city
Importance of the research
The study will be of great importance to both students and policymakers. This study will shed light on the impact of coronavirus on the performance of small and medium-sized businesses in Benin city. This study will investigate the influence of COVID-19 on the landscape of small businesses in Nigeria by focusing on three questions. How have small firms adapted to the economic upheavals caused by COVID-19? Second, how long did businesses anticipate the crisis to endure, and how did this affect their decision-making? How might alternative policy approaches affect the resiliency of businesses and employment?
Limitations and scope of the study
The scope of this study includes the impact of coronavirus on the performance of small and medium-sized businesses in Benin City. The researcher faces a constraint that restricts the study’s scope;
a) AVAILABILITY OF RESEARCH MATERIAL: The researcher has insufficient research material, consequently limiting the scope of the investigation.
b) TIME: The time allotted for the study does not allow for a broader scope because the researcher must mix it with other academic activities and examinations.
c) FUNDING: There is insufficient funding to acquire the necessary resources, thereby limiting the scope of the investigation.
1.7 Definitions of Terms
Coronavirus: Coronavirus disease (COVID-19) is a newly found coronavirus that causes an infectious disease.
SME: Small and medium-sized enterprises or small and medium-sized businesses are organizations with fewer than a specified number of employees. International entities such as the World Bank, the European Union, the United Nations, and the World Trade Organization use the abbreviation “SME.”
Business Performance: Is a set of analytic methods that permits the management of an organization’s performance in order to attain certain objectives.
EFFECT OF CORONAVIRUS ON THE PERFORMANCE OF SMALL MEDIUM ENTERPRISES IN BENIN CITY