The Nigerian Entrepreneurial Ecosystem: Understanding its Leverage and Exploits
DOI:
https://doi.org/10.54878/avre8163Keywords:
Entrepreneurial ecosystem, Actors,, Factors, Support systemsAbstract
Despite the potential in entrepreneurship to drive economic growth and job creation, there exist some systematic barriers that hinder startup development and scalability, resulting from limited interactions among the components of the entrepreneurial ecosystem. This study examines the persistent challenges constraining Nigeria's entrepreneurial ecosystem in Nigeria. Through a rigorous desk review methodology analyzing secondary data from peer-reviewed journals (2019-2024), government reports (CBN, SMEDAN), and global databases (World Bank, NBS), this research proposed a tripartite framework identifying three interdependent ecosystem components: actors (entrepreneurs, investors, policymakers), factors (institutional frameworks, infrastructure, financing), and support systems (incubators, networks). This proposed novel tripartite framework is built on the existing literature by considering and harvesting all the scattered perspectives on the entrepreneurial ecosystem. The study reveals critical challenges including policy inconsistencies, infrastructural deficits costing businesses $29 billion annually, and financial exclusion affecting 80% of SMEs, alongside emerging opportunities in digital transformation and informal sector resilience. Key findings established that entrepreneurs employ adaptive strategies like fintech solutions and frugal innovation to navigate constraints, though these remain insufficient without structural reforms. The study concludes by recommending policy harmonization through centralized coordination, targeted infrastructure investment, hybrid financing models, ecosystem-aligned education reform, and decentralized support networks - providing stakeholders with a comprehensive framework for transforming Nigeria's entrepreneurial landscape into a catalyst for inclusive economic development.
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