Determinants of Growth in Women Operated Agribusiness Enterprises in Abia State, Nigeria

Abstract

The study was set out to analyse the determinants of growth in women operated agribusiness enterprises in Abia state, Nigeria. The specific objectives are to: estimate the relationship between growth and years of existence of the agribusiness venture as well as start up capital; estimate the determinants of growth in women operated agribusiness enterprises in the study area; and make recommendations based on the findings.Multi-stage sampling procedure was adopted in the study. First two Local Government Areas (L.G.As) each were selected from each of the three agricultural zones of Abia state. After which, twenty women were selected randomly from these Local Government Areas, making a total of one hundred and twenty (120) women.Data for the study were primary data, which were collected through the aid of a set of questionnaire administered to the respondents.Correlation coefficient and multiple regression models were employed in the analysis. There was a positive relationship between growth and years of existence of women operated enterprises in Abia state, Nigeria. Enterprise age and start-up capital were statistically significant and positively related to growth among the enterprises in Abia state, Nigeria. They werestatistically significant at 1 and 5 percent significant levels respectively. In estimating the determinants of growth in the enterprise using the ordinary least square estimates, the exponential functional form was chosen as the lead equation using some econometric conditions as the R2 value, the F – ratio, the number and size of significant variables. The estimates showed that, the coefficients of age of the enterprise, years of experience in related area, income, output, access to credit and start-up capital were all significant at 1 percent probability level with positive relationship except the educational attainment of the entrepreneurs and start-up capital which came out with a negative sign. The study recommended that accessibility to credit facilities should be made available to these entrepreneurs at free interest rates or very low interest rate, especially during start-up periods, policies which are not favourable to this group of people should be revisited by the government, among other things.