IMPACT OF INTERNAL BUSINESS ENVIRONMENT ON THE PERFORMANCE OF SMALL AND MEDIUM ENTERPRISE IN JALINGO TARABA STATE

Abstract

The main objective of this study is to investigate the impact of internal business environment on performance of small and medium enterprises (SMEs) in Jalingo Taraba State, Nigeria. Specifical-ly, the study is designed to evaluate the impact of financial capability on SMEs performance, to ex-amine the impact of marketing capability on SMEs performance, to access the impact of manage-rial competence on SMEs performance and to determine the effect of supply chain capability on the performance of SMEs in Jalingo Taraba State. Descriptive survey research design is adopted for the study. The total population of 3,876 with a sample size of 351 derived using krejcie and Mor-gan table (1970) is used. The instrument used for data collection is an adapted questionnaire made of up four Likert scale with closed ended questions. Descriptive statistics are used to describe the demographic characteristics of the respondents, while the inferential statistics of multiple regression is used to test the hypothesis of the study. Findings show that internal business environment of financial, marketing, managerial and supply change capability has positive and significant impact on SMEs performance in Jalingo, Taraba State. Therefore, the study recommends the need for government to create the enabling environment for small scale business enterprises to promote their products and services for its survival and success.