Government Support and Entrepreneurial Development in Oyo State, Nigeria

This study investigates the influence of government support on entrepreneurial development in Oyo State, Nigeria, aiming to evaluate the effects of financial aid, training initiatives, and regulatory support on small and medium-sized enterprises (SMEs). The study employs the Resource-Based View (RBV) and Institutional Theory to address a knowledge gap about the role of government interventions in fostering entrepreneurial growth. A descriptive research methodology was utilised, utilising a standardised questionnaire disseminated to proprietors and administrators of SMEs throughout all three senatorial districts of Oyo State. In 2021, the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) reported a total of 31,739 SMEs within the population. A multi-stage sampling method was employed to determine a sample size of 1,300 SMEs. A pilot study involving 130 SMEs across ten LGAs in Lagos State yielded a reliability coefficient of 0.81, confirming the validity and reliability of the research instruments. The model summary suggests an R2 of 0.951, suggesting that these factors explain approximately 95.1% of the variance in entrepreneurial development. The findings demonstrate that financial aid, training programmes, and regulatory support greatly enhance entrepreneurial development. The research suggests that fostering entrepreneurial development in Oyo State necessitates robust governmental support. Officials are recommended to enhance and sustain support programmes to bolster the entrepreneurial ecosystem in the region.