Appraisal of Factors Influencing Small and Medium Enterprises (SMES) in Textile Sub-sector in Yoruba Land, Southwest Nigeria

Abstract

SMEs in the textile sub-sector are the main players in domestic economic activities, especially as providers of job opportunities for unemployed youths. However, the sector has been devilled by the high influx of counterfeit and smuggled goods which have resulted in low patronage of Nigerian-made textiles materials. This study, therefore, seeks to appraise the factors influencing SMEs in the textile sub-sector in Yoruba Land, Southwest, Nigeria. Purposive sampling technique was employed to select 50 indigenous textile entrepreneurs from Iseyin, Oyo State, Nigeria. The study employed primary data, sourced through structured questionnaire Descriptive statistics such as frequency, simple percentage, and mean were used to analyze the data. Results reveal that the major motivating factors are; employment generation, to have control over life, opportunity to create a fortune, high job security, and impressive profit attraction. Results also reveal that the high influx of counterfeit and smuggled goods are most factors affecting the performance of SMEs in textiles in Nigeria. Subsequently, the study recommends that the federal government should earmark a substantial amount to bail out the SMEs in the textile sub-sector and also to ban the importation of textiles. This will ultimately drive many young graduates into the sector.