Moderating Effect of Training and Development on Entrepreneurial Competence as Remedy for SMEs Performance
In this dynamic landscape of Small and Medium Enterprises (SMEs), the role of entrepreneurial competence in influencing performance has garnered attention. This study explores the intricate interplay between entrepreneurial competence and SME performance, with a specific focus on the moderating impact of training and development. The ability of entrepreneurs to navigate both micro and macro business environments, showcasing competencies such as problem-solving, information seeking, and opportunity-taking, is vital for SME success. Conducting research in Lagos State, we gathered 194 responses from a distributed pool of 238 questionnaires among SME owners. Employing a combination of linear regression models and Pearson Product-Moment Correlation Coefficient (PPMCC), our analysis revealed a robust and positive significant relationship between entrepreneurial competence variables (problem-solving, opportunity-taking, and information-seeking) and SME performance. Notably, the study sheds light on the moderating effect exerted by training and development, emphasizing their role in shaping the aforementioned relationship. The implications of these findings underscore the importance of incorporating entrepreneurial competency development within SME owners' and managers' training and development programs. By doing so, we advocate for a strategic enhancement of problem solving, opportunity-taking, and information-seeking competencies, recognizing them as pivotal elements for optimizing SME performance in today's competitive business environment. Keywords: Entrepreneurial Competency, Information Seeking Competence, Opportunity Taking Competence, Problem Solving Competence, Training and Development. JEL Classification Codes: M13, L26, O31