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COVID-19 PANDEMIC AND SURVIVAL STRATEGIES OF SMALL AND MEDIUM SCALE ENTERPRISES IN BORNO STATE, NIGERIA: IMPLICATIONS FOR COUNSELLING

Abstract

The study was a descriptive survey that determined the survival strategies of small and medium scale enterprises in Borno State, Nigeria. Target population of this study comprised of all the registered 7,216 small and medium scale enterprises in Jere Local Government Area and Maiduguri Metropolis, Borno State. However, 312 entrepreneurs were selected as sample across fourteen business locations in the study area. Stratified random sampling technique was used in picking sample. The stratification was based on gender, business location, type of enterprise, duration of business operation, source of capital and staff/apprentice strength. Researchers’ self-designed 51 items questionnaire tagged “Entrepreneurs’ Survival Questionnaire” (ESQ) was the instrument used in eliciting data for this study. The questionnaire was formulated using Five Points Likert-Type rating scale ranging from Strongly Agreed (SD) to Strongly Disagreed (SD) and the average mean score (cut-off mark) is 3.0The ESQ consisted of 3 sections (A to C). Section “A” focused on bio-data of the respondents, Section “B” elicited data on effects of covid-19 pandemic on the business enterprise while Section “C” sought information on Government intervention and survival strategies adopted by the enterprises. Face and content validity of the instrument was .86 as determined by 3 experts from the University of Maiduguri. Reliability of the instrument was established through pilot-testing among 100 small and medium scale entrepreneurs outside those under study. The test-re-test method adopted using Cronbach alpha yield a reliability coefficient value of .78 Data collected were analyzed using descriptive and inferential statistics of frequency counts, percentages, rank order, mean, standard deviation and t-test at 0.05 alpha level. Four objectives, three research questions and one null-hypothesis piloted the study. Results of the study revealed shutdown of business activities, massive layoff of staff, increase in pump price and withdrawal of investors as some of the effects of Covid-19 pandemic on small and medium scale enterprises in Borno State. Business interruption loan scheme, job retention scheme, food/cash distribution to vulnerable, retail grant scheme, waiver of import duties and income tax reimbursement were some of the measures adopted by the government to cushion effects of the pandemic while some of the survival strategies of the enterprises during the pandemic include digital marketing, cutting down on rent, staff reduction, salary restructuring and loans rescheduling. Analysis of the null-hypothesis tested revealed no significant gender difference on the effect of Covid-19 pandemic on small and medium scale enterprises in the study area. Based on the findings, implications for counselling, conclusions and recommendations were made.

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