This study analyzed the environmental factors affecting manufacturing SMEs in Kogi State, Nigeria. The target is to investigate the effects of internal factors as they affect the profitability of manufacturing SMEs in Kogi State. The survey research design was adopted for the study; covered 171 SME owners in Kogi State. The clusters of SMEs were located and utilized for this study. Data were analyzed using descriptive statistics, principal component factor analysis, and binary logit regression. Findings show that business strategy has a significant negative relationship with the profitability of SMEs in Kogi State. Operational strength and debt leveraging significantly and positively relate to the profitability of SMEs in Kogi State. These factors play critical roles in the sustainability of the profitability of manufacturing SMEs in Kogi State. The study recommended that manufacturing SME owners should seek knowledge and skill to crafting and adopting an effective business strategy, boost their operational strength and manage their debt leveraging distinctively to sustain their profitability in the competitive business environment of Kogi State. Contribution/Originality: This study contributes to the existing literature on the environmental factors affecting Manufacturing SMEs. The study uses new methods of principal component analysis and binary logit regression to analyze the environmental factors affecting manufacturing SMEs in Kogi State, Nigeria. 1. INTRODUCTION Recently, the dominion of Small and Medium-scale Enterprises (Manufacturing SMEs) in all aspects of the Kogi State"s economy can never be overemphasized. Importantly, the annual increase in their numbers has been observed to be transformative upon the progress of the economy. Essien (2014) opined that "their increasing number is due to the fact that they require less capital, less labor, low technological knowledge and a little managerial ability for their establishment". Notably, the economic progress abrupt by Manufacturing SMEs appears to be the reason why the political phase of Kogi State has not collapse the economy. Many Manufacturing SMEs have been affected by political undertone that they have either witnessed entropy or folded up few years after startup. It is observed that some other Manufacturing SMEs have witnessed entropy or folded up in the past as a result of frustration by many other environmental forces apart from political force. It is uncontroversial that Manufacturing SMEs do not exist in a vacuum. There must be forces around the operations of Manufacturing SMEs which rather facilitate or frustrate its objectives. It is good to know that opportunities are open to SME owners who take cognizance of the business environment, and those who do not
In Nigeria, the marketing of agricultural produce is far from being efficient. Unpredictable fluctuation in the prices of various foodstuffs like Gari has become a common feature of the nation’s economy. The situation is such that the consumers of agricultural foodstuff pay exorbitant prices while the producers receive relatively low prices. This research focused on the economics of Gari Marketing Enterprise in Ankpa Local Government Area of Kogi State, Nigeria. Ankpa Local Government Area consists of 5 districts out of which 3 were sampled and used for the study. 6 wholesalers and 6 retailers were sampled from each village making a total of 120 respondents. Responses from 100 respondents made up of 40 wholesalers and 60 retailers. Profitability analysis model was used in data analysis. Finding shows that Marketing of Gari was found to be profitable at the whole sale. This study recommend that marketers should form cooperative societies to enable them handle some of the marketing activities as well as establish Gari processing mills silos to reduce costs.
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