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Overcoming the Challenges Confronting Startups in Nigeria

Received: 27 April 2023     Accepted: 16 May 2023     Published: 25 May 2023
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Abstract

The word 'Startup' has become a worldwide phenomenon. Every year millions of startup companies spring up worldwide. These startups have a great impact on the economies of countries in terms of new production and employment. The study aims include studying the concept of startups, examining major challenges facing startups in Nigeria, suggesting key solutions that will ease the pains of startups in Nigeria and identifying the recent efforts by the Government to ease the challenges of doing business in Nigeria. Data was collected from the primary source by using a structured questionnaire. The sample was selected using a stratified random sampling technique. The target respondents were business startups across various sectors of the economy and the year of operations between 1 to 3 years. Data were gathered electronically using Google form from 1078 respondents in Nigeria, out of which valid responses were 1065. Microsoft Excel was used for analysis. The study showed that lack of startup capital, lack of access to an accelerator and access to bank loans were strongly major factors of startup problems for businesses in Nigeria. The important factors for the successful business startup identified include the idea, training, marketing, business model, teamwork and timing were other factors for the success of businesses in Nigeria. Further research can be done on the solutions for startup businesses' access to funds, training, and marketing business models, among others, to sustain business growth in Nigeria. The findings would be valuable to startup businesses, young entrepreneurs, researchers and Government (policymakers) in understanding startup challenges and highlighting the significant support that startup entrepreneurs need. It also offered useful inputs to policymakers in improving the existing entrepreneurial ecosystem in Nigeria.

Published in European Business & Management (Volume 9, Issue 2)
DOI 10.11648/j.ebm.20230902.12
Page(s) 32-42
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2023. Published by Science Publishing Group

Keywords

Startups, New Businesses, Ease of Doing Business, Resource Based View, Population Ecology Theory

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  • APA Style

    Bamkole Peter, Aladejebi Olufemi. (2023). Overcoming the Challenges Confronting Startups in Nigeria. European Business & Management, 9(2), 32-42. https://doi.org/10.11648/j.ebm.20230902.12

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    ACS Style

    Bamkole Peter; Aladejebi Olufemi. Overcoming the Challenges Confronting Startups in Nigeria. Eur. Bus. Manag. 2023, 9(2), 32-42. doi: 10.11648/j.ebm.20230902.12

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    AMA Style

    Bamkole Peter, Aladejebi Olufemi. Overcoming the Challenges Confronting Startups in Nigeria. Eur Bus Manag. 2023;9(2):32-42. doi: 10.11648/j.ebm.20230902.12

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  • @article{10.11648/j.ebm.20230902.12,
      author = {Bamkole Peter and Aladejebi Olufemi},
      title = {Overcoming the Challenges Confronting Startups in Nigeria},
      journal = {European Business & Management},
      volume = {9},
      number = {2},
      pages = {32-42},
      doi = {10.11648/j.ebm.20230902.12},
      url = {https://doi.org/10.11648/j.ebm.20230902.12},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ebm.20230902.12},
      abstract = {The word 'Startup' has become a worldwide phenomenon. Every year millions of startup companies spring up worldwide. These startups have a great impact on the economies of countries in terms of new production and employment. The study aims include studying the concept of startups, examining major challenges facing startups in Nigeria, suggesting key solutions that will ease the pains of startups in Nigeria and identifying the recent efforts by the Government to ease the challenges of doing business in Nigeria. Data was collected from the primary source by using a structured questionnaire. The sample was selected using a stratified random sampling technique. The target respondents were business startups across various sectors of the economy and the year of operations between 1 to 3 years. Data were gathered electronically using Google form from 1078 respondents in Nigeria, out of which valid responses were 1065. Microsoft Excel was used for analysis. The study showed that lack of startup capital, lack of access to an accelerator and access to bank loans were strongly major factors of startup problems for businesses in Nigeria. The important factors for the successful business startup identified include the idea, training, marketing, business model, teamwork and timing were other factors for the success of businesses in Nigeria. Further research can be done on the solutions for startup businesses' access to funds, training, and marketing business models, among others, to sustain business growth in Nigeria. The findings would be valuable to startup businesses, young entrepreneurs, researchers and Government (policymakers) in understanding startup challenges and highlighting the significant support that startup entrepreneurs need. It also offered useful inputs to policymakers in improving the existing entrepreneurial ecosystem in Nigeria.},
     year = {2023}
    }
    

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  • TY  - JOUR
    T1  - Overcoming the Challenges Confronting Startups in Nigeria
    AU  - Bamkole Peter
    AU  - Aladejebi Olufemi
    Y1  - 2023/05/25
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    N1  - https://doi.org/10.11648/j.ebm.20230902.12
    DO  - 10.11648/j.ebm.20230902.12
    T2  - European Business & Management
    JF  - European Business & Management
    JO  - European Business & Management
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    EP  - 42
    PB  - Science Publishing Group
    SN  - 2575-5811
    UR  - https://doi.org/10.11648/j.ebm.20230902.12
    AB  - The word 'Startup' has become a worldwide phenomenon. Every year millions of startup companies spring up worldwide. These startups have a great impact on the economies of countries in terms of new production and employment. The study aims include studying the concept of startups, examining major challenges facing startups in Nigeria, suggesting key solutions that will ease the pains of startups in Nigeria and identifying the recent efforts by the Government to ease the challenges of doing business in Nigeria. Data was collected from the primary source by using a structured questionnaire. The sample was selected using a stratified random sampling technique. The target respondents were business startups across various sectors of the economy and the year of operations between 1 to 3 years. Data were gathered electronically using Google form from 1078 respondents in Nigeria, out of which valid responses were 1065. Microsoft Excel was used for analysis. The study showed that lack of startup capital, lack of access to an accelerator and access to bank loans were strongly major factors of startup problems for businesses in Nigeria. The important factors for the successful business startup identified include the idea, training, marketing, business model, teamwork and timing were other factors for the success of businesses in Nigeria. Further research can be done on the solutions for startup businesses' access to funds, training, and marketing business models, among others, to sustain business growth in Nigeria. The findings would be valuable to startup businesses, young entrepreneurs, researchers and Government (policymakers) in understanding startup challenges and highlighting the significant support that startup entrepreneurs need. It also offered useful inputs to policymakers in improving the existing entrepreneurial ecosystem in Nigeria.
    VL  - 9
    IS  - 2
    ER  - 

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Author Information
  • Business School, Pan-Atlantic University, Lagos, Nigeria

  • The Business School, University of Lagos, Lagos, Nigeria

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