NEXUS BETWEEN FAMILY-OWNED BUSINESS MINDSET AND SMES EXPANSION IN AWKA METROPOLIS, ANAMBRA STATE

Abstract

This study investigates the nexus between family-owned business mindset and Small and Medium Enterprises (SMEs) expansion in Awka Metropolis, Anambra State, Nigeria. Recognizing the critical role of SMEs in economic development and the dominance of family-owned enterprises in the region, the research examines how different family business mindsets influence key dimensions of business growth. Specifically, the study explores the relationship between entrepreneurial family-owned business mindset and innovation-based expansion, conservative family-owned business mindset and growth expansion, and participative family-owned mindset and franchising expansion. A quantitative research design was adopted, utilizing structured questionnaires distributed to 320 owners and managers of family-owned SMEs within the metropolis. Data were analyzed using Pearson correlation analysis via SPSS. Findings revealed a statistically significant and positive relationship between entrepreneurial mindset and innovation-based expansion (r = 0.644, p < 0.05), conservative mindset and growth expansion (r = 0.678, p < 0.05), and a very strong relationship between participative mindset and franchising expansion (r = 0.911, p < 0.05). The study concludes that the mindset of family business owners significantly influences their scalability and expansion trajectory. It recommends the promotion of entrepreneurial training, the integration of strategic planning in conservative family firms, and the adoption of participatory governance structures to support franchising and sustainable growth. The findings provide practical insights for policymakers, SME support agencies, and family business consultants seeking to enhance SME performance and resilience through mindset transformation and targeted interventions