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TITLE PAGE

THE EFFECTS OF ENTREPRENEURIAL CHARACTERISTICS ON BUSINESS PERFORMANCE (APEX PAINT LTD)

BY

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EE/H2013/01430
DEPARTMENT OF ----
SCHOOL OF ---
INSTITUTE OF ---

DECEMBER,2018

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APPROVAL PAGE

This is to certify that the research work, "the effects of entrepreneurial characteristics on business performance (apex paint ltd)" by ---, Reg. No. EE/H2007/01430 submitted in partial fulfillment of the requirement award of a Higher National Diploma on --- has been approved.

By
---                                                     . ---
Supervisor                                                  Head of Department.
Signature……………….                           Signature……………….        

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External Invigilator

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DEDICATION
This project is dedicated to Almighty God for his protection, kindness, strength over my life throughout the period and also to my --- for his financial support and moral care towards me.Also to my mentor --- for her academic advice she often gives to me. May Almighty God shield them from the peril of this world and bless their entire endeavour Amen.

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ACKNOWLEDGEMENT

The successful completion of this project work could not have been a reality without the encouragement of my --- and other people. My immensely appreciation goes to my humble and able supervisor mr. --- for his kindness in supervising this project.
My warmest gratitude goes to my parents for their moral, spiritual and financial support throughout my study in this institution.
My appreciation goes to some of my lecturers among whom are Mr. ---, and Dr. ---. I also recognize the support of some of the staff of --- among whom are: The General Manager, Deputy General manager, the internal Auditor Mr. --- and the ---. Finally, my appreciation goes to my elder sister ---, my lovely friends mercy ---, ---, --- and many others who were quite helpful.

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The study examined the effect of entrepreneurial characteristics on business performance. The main objectives of the study were to find out the effect of entrepreneurial characteristic on business performance with the case study of APEX paint Ltd. The research also described the performance of the business based on the characteristics exhibited by the entrepreneurs. Quantitative research method was used in the study. The total population of the study is 290, while relevant data was gathered with the aid of a structured questionnaire. The Survey questionnaire was sent to the staff for the research. Empirical study was conducted by sending a questionnaire to the staff of APEX paint Ltd. There were 290 respondents. The results driven from the research showed that there is a strong effect of entrepreneurial characteristics on business performance. four hypothesis was formulated and inferential statistical tool was used to analyze the data specifically Pearson product moment correlation was used to examine the relationship between entrepreneurial characteristics and business performance, while Regression analysis was used to examine the significant effect of entrepreneurial characteristics on business performance.

TABLE OF CONTENTS
Contents
Certification
Declaration
Dedication
Acknowledgements
Table of Contents
List of Tables
Abstract
CHAPTER ONE
INTRODUCTION
1.1Background of the Study.
1.2 Statement of Research Problem2
1.3 Research Aim and Objectives
1.4 Research Questions3
1.5 Research Hypotheses
1.6 Significance of the Study
1.7 Limitation of the Study
1.8 Scope of the Study
1.9 Outline of Chapters
1.10 Operationalization
1.11 Definition of Terms

CHAPTER TWO
LITERATURE REVIEW
2.1 Introduction
2.2 Conceptual Review
2.2.1 Conept of entrepreneurship
2.2.1.1charactristics of entrepreneurship
2.2.1.2:the effect of entrepreneurial Characteristics on business performance
2.3 Theoretical review
2.3.1 Economic entrepreneurship theory
2.3.2 Psychological entrepreneurship theory
2.3.3 Sociological entrepreneurship theory
2.3.4 Anthropological entrepreneurship theory
2 .3.5 Opportunity-Based entrepreneurship theory
2.4 Empirical review
2.5 Gap in literature

CHAPTER THREE
3.0 Research Methodology
3.1 Introduction
3.2 Research Method
3.3 Research Design
3.4 Population of Study
3.5 Sampling Technique/ Procedure
3.6 Research Sample Frame
3.7 Sources of Data and Procedure for Data Collection
3.8 Research Instruments
3.9 Validity of Research Instruments
3.10 Reliability of the Research Instrument
3.11 Ethical Issues for Consideration

CHAPTER FOUR
4.1Introduction
4.2Presentation of Data
4.3Data Analysis And Interpretation
4.3.1Analysis of Demographic Data
4.3.2 Test of Questionnaire
4.3.2.1 Employee From Different Background
4.5 Discussion of Results

CHAPTER FIVE
5.1 Introduction
5.2 Summary
5.3 Summary of Findings
5.3.1 Theoretical Findings
5.3.2 Empirical Findings
5.4 Conclusion
5.5 Recommendations
5.6 De-limitation
5.7 Suggestion for Further Study
5.8 Contribution to Knowledge

REFERENCES
Appendix II

CHAPTER ONE
INTRODUCTION

• Background of the Study

  Starting from the time of report of the fascinating study of entrepreneurs by McClelland (1961) in which he came out with a list of nine characteristics of the entrepreneur, several other writers have equally illuminated the list of entrepreneur characteristics. McClelland (1961) listed the following characteristics of   entrepreneur; need for achievement, desire for responsibility, preference for moderate risks, perception of probability of success, stimulation by feedback, energetic activity, future orientation, skill in organizing and attitude toward money.
An entrepreneur is an innovator who implements changes within a market through the carrying out of new combinations. The carrying out of new combination can take several forms; the introduction of a new good quality, therefore; the introduction of a new method of production, the opening of a new market; the congress of a new source of new materials or parts; the carrying out of the new organization of any industry. Furthermore, an entrepreneur is an individual that identifies, develop and brings vision to life under condition of risk and a considerable uncertainty. The vision may be an innovative idea, an opportunity or simply a better way to do something (Mamma, 2010).
This is the reason why it is often said that every entrepreneur is a human being but not every human being is an entrepreneurs. Going by this adage; it can be said that entrepreneurs are special people with distinguishable features or characteristics. As such an entrepreneur is result oriented; future oriented; creative, innovative, has self-confidence; has a good human relations; must be self-discipline; copies with uncertainty and above all profit oriented.
A lot of business falls due to the inability of the innovators of such business to exhibit the time entrepreneurial characteristic in the day to day management of their business enterprise, hence such business do not stand the test of time. This is evident in the way and manner in which small and medium scale business collapse in Nigeria. It is against this background that the research sees the subject matter of this research: the effect of this entrepreneurial characteristic on business performance worthy of empirical investigation.
An effective organization can broadly be defined as one that makes the best use of its resources to attain high level of performance, thus successfully achieving its purpose and objectives while also meeting its responsibilities to stakeholders. There is no single factors, which will guarantee organizational effectiveness, but the following is a selection of factors which, in one way or the other, will contribute to success.

• A clear and well-articulated vision of the future of the organization.
• A well-defined mission and goals, and strategies to accomplish them.
• A value system with emphasis on performance, productivity, customer services, teamwork and flexibility.
• A powerful management team.
• A well-motivated, committed, skilled and flexible workforce.
• Continuous pressure to innovate and grow.
• The ability to respond fast to opportunities and threats.

1.2       Statement of Problem
Launching into a business venture without having the basic trade instinct or the characteristic of an entrepreneur is suicidal. This is so because such an enterprise cannot stand on the test of time. For instance, an individual who goes into business initially must face difficulty before the business break-even. However, people who do not have trait of an entrepreneur would not be patient enough to nurture a business to a profit-making stage. This is the reason why so many small and medium scale businesses fail. The inability to effectively exhibit a basic trade instinct as well as lack of motivation, goals, and talent for venture creation sequel to the absence of entrepreneurial characteristics in most business proprietor impedes the performance of business enterprise in no small way. As such, the subject matter of this research becomes an empirical issue worthy of investigation.
Nigeria is a country with numerous entrepreneurs as a result of the abundant human and natural resources it possesses. The growth of these entrepreneurs in the country is important to economic growth.

1.3       Objectives of the study
The central subject of the study is to examine the effect of entrepreneurial characteristic of business performance in Nigeria.

 The specific objectives are to:

• Identify the impact of innovation on the market.
• Evaluate the impact of self-belief, hard work and disciplined dedication onbusiness performance.
• Identify the problems militating against entrepreneurs in the performance of their business.
• To proffer solutions to the identified problems.

1.4       Research Question
To achieve the purpose of the study, research questions were formulated as follows:

• What is the impact of innovation on business performance?
• What is the impact of commitment on business performance?
• What is the impact of market on business performance?
• What is the impact of customers on business performance?

1.5        Research Hypothesis
H1: Innovation has a positive impact on business performance
H0: Innovation has a negative impact on business performance
H2: Commitment has a positive impact on business performance
H0: Commitment has a negative impact on business performance
H3: Market has a positive impact on business performance
H0: Market has a negative impact on business performance
H4: Customer has a positive impact on business performance
H0: Customer has a negative impact on business performance

1.6       Significance of the study
The study will be beneficial to entrepreneurship development; as such the country can utilize the findings of the research as a basis for policy formulation as regard entrepreneurship development.
The study will also contribute to the existing knowledge on entrepreneurship development.It is also worthy to note that the study can be used as a basis for further research, as the research can be used as a spring board for further research as well as a good reference material to students undertaking similar research.

1.7    Limitation of the study
Limitation faced in the course of this research includes;
Financial constraint
Time constraint
Inadequate data.

1.8     Scope of the study
The study covers an empirical examination of the effect of entrepreneurial characteristics on business performance. The study also identifies the practical approaches use in developing entrepreneurship as well as the problems militating against entrepreneurship development.

1.9 Operationalization
X=f(Y)
X= independent variables
Y= dependent variables
Entrepreneurial Characteristics(X)Business Performance(Y)
X1 Innovation                                                                                   Y1 Market
X2 Adaptability                                                                                 Y2 Product
X3 Commitment                                                                                Y3 Customers
X4 Money Management   Y4 Capital
X1 Innovation                                                        Y3 Customers
X3 Commitment                                                      Y1 Market

1.10     Definition of terms

• Entrepreneurship: is an innovative act, which includes endowing existing resources for new wealth – producing capacity (Afonja, B. 1999). Entrepreneurship can be seen as a process which involves the effort of an individual (or individuals) in identifying viable business opportunities in an environment and obtaining and managing the resources needed to exploit those opportunities.
• Entrepreneur:as an innovating individual, who initiates and nurtures to growth a new and an ongoing business organization, where none existed before. He is an individual who successfully thinks or conceives of a new business concern, organizes or initiates action to start it, and manages it through its initial problems and struggles for survival. An individual that identifies develops and brings vision to life under – condition of risk and a considerable uncertainty (Bashar, O. 2005)
• EntrepreneurialCharacteristic: These are traits that make an individual an entrepreneur (Tonga, R. 2009). These are the qualities of a successful entrepreneur.

Business Performance: it can be defined as a process or set of processes for establishing shared understanding about what is to be achieved, and of managing and developing people in a way which increases the probability that it will be achieved in the short and longer term. It is about improving both results and the quality of an organization success.

1.11                                                         PROJECT ORGANISATION
The work is organized as follows: chapter one discuses the introductory part of the work,   chapter two presents the literature review of the study,  chapter three describes the methods applied,  chapter four discusses the results of the work, chapter five summarizes the research outcomes and the recommendations.

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