Title: Entrepreneurial Ecosystem and Startup Sustainability of SMEs in Rivers State, Nigeria.
Authors: Harees Olanrewaju Bhadmus and B. Chima Onuoha
Volume: 9
Issue: 11
Pages: 103-113
Publication Date: 2025/11/28
Abstract:
This study explores the relationship between the entrepreneurial ecosystem and the sustainability of startups within small and medium-sized enterprises in Rivers State, Nigeria. This investigation addresses the difficulties faced by small and medium-sized enterprises in acquiring essential financial resources and developing adequate human capital to sustain profitability and ensure long-term survival in a competitive and unpredictable business environment. The study employed a survey design to achieve its objectives. An extensive assessment of SME owners and managers in Rivers State was conducted, and a representative sample size was determined using the Krejcie and Morgan (1970) table. Data were collected through a structured questionnaire that evaluated characteristics of the entrepreneurial ecosystem, including access to funding and the development of human capital, as well as variables related to startup sustainability, such as business longevity and profitability. Five structured items were employed to examine each dimension and assess the measurements. The Spearman rank order correlation coefficient was utilised to analyse the data of the study and assess its hypotheses. The results revealed strong and statistically significant relationships between elements of the entrepreneurial ecosystem and measures of startup sustainability, with correlation coefficients of *0.745, *0.708, *0.874, and *0.867. The findings indicate that the entrepreneurial ecosystem, particularly the availability of financial resources and the development of human capital, supports the sustainability of small and medium-sized enterprises in Rivers State. The findings indicate that small and medium-sized enterprises ought to prioritise the enhancement of their workforce and leverage available funding options. Simultaneously, it is essential for policymakers and financial institutions to establish frameworks that facilitate access to loans for SMEs and enhance their capabilities, enabling sustainable growth in the long term.