Financial Literacy and Entrepreneurial Risk Attitude of Selected Small and Medium Sized Enterprises in Nigeria

Ogorchukwu Augustine Isimoya and Taiwo Olarinre Oluwaleye
Additional contact information
Ogorchukwu Augustine Isimoya: University of Lagos, https://orcid.org/0000-0001-9171-1139
Taiwo Olarinre Oluwaleye: Ekiti State University, https://orcid.org/0000-0001-8335-5584

Management Dynamics in the Knowledge Economy, 2023, vol. 11, issue 4, 372-384

Abstract: The importance of financial literacy as a source of information for making financial decisions has been acknowledged, but little research has been done on how it affects SMEs' attitudes about taking risks. In order to examine the financial literacy and risk-taking behavior of small and medium-sized firms in Ekiti State, Nigeria, the research created an integrated model from a knowledge-based viewpoint. A survey research design was used for this study with a multi-stage sampling procedure. The study analyzed the primary data collected from the questionnaire. 154 managers and owners of SMEs in Ado-Ekiti, Ekiti State, made up the sample. According to the results of multiple regression, financial behavior, knowledge, and attitude all have a positive and substantial impact on how risk-averse small and medium-sized businesses in Ekiti State, Nigeria, are about taking risks. The study's findings revealed that a high level of financial management literacy has a critical and significant influence on enhancing the entrepreneur's risk-taking attitude, which leads to the growth of small businesses.

Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.managementdynamics.ro/index.php/journal/article/view/515 (application/pdf)
https://www.managementdynamics.ro/index.php/journal/article/view/515 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nup:jrmdke:v:11:y:2023:i:4:372-384

Access Statistics for this article

Management Dynamics in the Knowledge Economy is currently edited by Contantin BRATIANU, Florina PINZARU, Elena Madalina VATAMANESCU and Alexandra ZBUCHEA

More articles in Management Dynamics in the Knowledge Economy from College of Management, National University of Political Studies and Public Administration Contact information at EDIRC.
Bibliographic data for series maintained by Cristian-Mihai VIDU ().