Business environment and entrepreneurial activity in Nigeria: implications for industrial development

Abstract

Commonsense suggests, and academic studies agree, that an ameliorative business environment enables entrepreneurial activity and boosts enterprise performance. This paper examines the business environment in southeast Nigeria, using two separate but complementary studies. Defined in terms of infrastructure, access to credit, bureaucratic practices and regulatory policy, the business environment in southeast Nigeria is stressful, and so has the capacity to limit entrepreneurial activity. This stressful business environment, which is a nationwide phenomenon, poses obstacles to Nigeria's industrial development.