Abstract:

Small and Medium Enterprises are the backbone of a nation’s progress, and the entrepreneurial ecosystem is the platform that provides the necessary support, guide and promotes entrepreneurial activities. Hence, policies and programmes that enrich the entrepreneurial ecosystem aids extensively in promoting and empowering entrepreneurial activities. The ecosystem consist of six domains that deliver a favourable setting, in order to provide a solid grounding for the economic activities to prosper, and impact SMEs business performance. The objective of this study was to examine the Entrepreneurial Ecosystem influence on SMEs business performance. The finding indicated that the entrepreneurial ecosystem and all six domains are positively correlated to business performance, and the most significant of the six domains is human capital (r= 0.651). The finding of this study also indicated that entrepreneurial ecosystem has a high positive and significant correlation to SME performance, with r = 0.682. Implying that the domains within the ecosystem has each significant correlated to the performance of SME and as a whole it contributes to a strong positive correlation. This details that performance of are correlated to the influence of entrepreneurial ecosystem. Hence it can be concluded that the role that these domains and the whole ecosystem, are seen to be evidently significant in driving the SME to its success.