Human Capital Development and Performance of Small Enterprises in Cross River State, Nigeria: The Moderating Influence of Micro and Macro Factors

This paper focused on human capital development and performance of small enterprises in Cross River State, Nigeria: The moderating influence of micro and macro factors. To achieve the purpose of this study, three research objectives, three research questions, and hypotheses were formulated to guide the study. Related literature was reviewed based on the purpose of the study. Quantitative survey research design was adopted for the study. The population for the study comprised registered and unregistered small enterprises selected from 18 Local Government Areas of Cross River State. Total sample of two hundred and thirty-six (236) respondents were selected for the study. A pilot survey was conducted on 80 SEs employees and owners, these respondents were randomly selected from 18 Local Government Areas of Cross River State. A structured questionnaire was the instrument used for data collection. The validity of the instrument was determined by three experts from Business Management and Accounting Department. Hierarchical Multiple Regression analysis was used to test the hypotheses. Findings revealed that training intensity, educational qualifications and moderator variable such as entrepreneurial orientation had significant influence on performance of small and medium enterprises in Cross River State. The study concluded that the relationship between the predictor variables and performance of SMEs in Cross River State is not linear but that the entrepreneurial culture of the firm and markets volatility influence the relationship between the variables. The study recommended among others that training should be continuous and context-specific rather than ad hoc, ensuring that it addresses immediate skill gaps relevant to SMEs’ markets.