Small-scale Ventures and Blue Entrepreneurship Approach for Sustainability in Lagos Metropolis
Chapter One
Objective of the Study
The broad objective of this study is to investigate small-scale ventures and the blue entrepreneurship approach for sustainability in Lagos Metropolis. The specific objectives of this study include:
- Investigate the relationship between small-scale ventures and the Blue Entrepreneurship approach for sustainability in the Lagos metropolis
- Examine how government policies and market demand influence the relationship between small-scale ventures and the Blue Entrepreneurship approach
- Identify the role of access to finance and entrepreneurial skills play in the relationship between small-scale ventures and the Blue Entrepreneurship approach
- Examine how small-scale ventures in Lagos can adopt the Blue Entrepreneurship approach to achieve environmental sustainability.
CHAPTER TWO
LITERATURE REVIEW
Literature Review
Conceptual Framework
The conceptual model illustrates the relationship between small-scale ventures and the Blue Entrepreneurship approach for sustainability in Lagos Metropolis. At the core of the model is the Blue Entrepreneurship Approach, which emphasizes sustainable use of marine and water-based resources. Arrows from Small-Scale Ventures point toward the Blue Entrepreneurship approach, indicating a foundational relationship where these businesses are potential implementers of blue economy strategies.
Several moderating variables influence this relationship. Government Policies and Market Demand are positioned to the side, with arrows pointing toward the relationship arrow, suggesting they either strengthen or weaken the effectiveness of Blue Entrepreneurship adoption by small-scale ventures. These factors reflect regulatory frameworks and consumer preferences that can drive or hinder sustainable practices.
Another set of influencing variables—Access to Finance and Entrepreneurial Skills—are also shown with arrows pointing toward the relationship line. These represent internal capacities of small businesses that affect their ability to embrace innovation and environmentally friendly practices.
Finally, the model shows an arrow from the Blue Entrepreneurship approach to Environmental Sustainability, indicating the intended outcome of adopting this strategy. This framework provides a visual guide to understanding how internal and external factors shape the adoption and impact of Blue Entrepreneurship among Lagos-based small-scale ventures.
Concept of Small-Scale Ventures
Small-scale ventures, commonly known as small and medium-sized enterprises (SMEs), are integral to the socio-economic structure of both developed and developing nations. Ordinarily, they refer to small businesses that operate with modest capital investment, employ a relatively small number of people, and primarily serve local markets. These ventures encompass a variety of sectors, including retail, agro-processing, fashion, transport, food services, and small-scale manufacturing.
Scholarly definitions bring more precision to the term. Dubihlela and Van Schaikwyk (2024) define small-scale ventures as enterprises characterized by their minimal use of advanced technologies, limited access to capital markets, and informal governance structures. Similarly, Cant and Wiid (2023) assert that such ventures are often established out of necessity, especially in developing economies where unemployment and underemployment are prevalent.
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In developing economies like Nigeria, small-scale ventures have distinctive characteristics. They are often family-owned or individually operated, capital-intensive at the micro-level, and largely informal in structure (Lawal et al., 2016). They typically lack access to formal financing, rely on local raw materials, and operate within highly competitive and unregulated markets. Despite these constraints, small-scale ventures are widely acknowledged for their capacity to generate employment, alleviate poverty, and stimulate grassroots economic development (Ukabi et al., 2023).
CHAPTER THREE
METHODOLOGY
This chapter presented the research methodology used in the study. A cross-sectional survey design was adopted to examine blue entrepreneurship adoption among Lagos small businesses. Data was collected through structured questionnaires administered to 392 purposively selected small business owners across various sectors. The research employed both descriptive and inferential statistical techniques, with SPSS version 27 used for data analysis. Descriptive statistics summarized demographic characteristics and response patterns, while t-tests evaluated the hypothesized relationships. The methodology incorporated several validity and reliability measures, including pilot testing of instruments and verification of data collection procedures. Ethical considerations were strictly observed, including informed consent, confidentiality protections, and voluntary participation. The systematic approach ensured the study maintained methodological rigor while addressing the research objectives. The comprehensive methodology provided a robust framework for investigating blue entrepreneurship adoption patterns, barriers, and opportunities within Lagos’ small business ecosystem.
Research Design
The study adopted a correlational research design to investigate relationships between variables without experimental manipulation. This approach specifically examined associations between Blue Entrepreneurship adoption and business performance metrics among small-scale ventures in Lagos. The design enabled systematic analysis of potential linkages between sustainable marine-based practices and key indicators of business growth and viability. By measuring these naturally occurring relationships, the methodology identified meaningful patterns and trends connecting environmental sustainability practices with economic outcomes in the small business sector.
The correlational approach proved particularly appropriate for this investigation as it preserved real-world business conditions while examining how varying levels of Blue Entrepreneurship integration corresponded with performance measures. The design focused on quantifying the strength and direction of relationships between sustainability practices and business outcomes, though it deliberately avoided making causal claims. This methodology provided valuable insights into how ecological business approaches associated with economic performance, while acknowledging that observed correlations might be influenced by external factors not measured in the study. The approach effectively balanced scientific rigor with practical applicability to Lagos’ dynamic small business environment.
Study Area
The study was conducted in Lagos, Nigeria, a major economic center hosting numerous small-scale enterprises across diverse sectors. Lagos’ coastal geography provided an ideal context for examining Blue Entrepreneurship, offering unique opportunities to explore how small businesses could sustainably utilize aquatic and marine resources. The city’s dynamic business environment, combined with its access to coastal ecosystems, enabled investigation of marine-based sustainable practices in real-world commercial settings.
Lagos’ characteristic challenges – including infrastructure deficits, regulatory complexities, and intense market competition – created a valuable case study for understanding how small ventures navigate barriers to adopt sustainable models. These urban conditions allowed for meaningful examination of Blue Entrepreneurship’s potential to drive both ecological sustainability and business growth in coastal metropolitan areas. The findings yielded practical insights applicable not only to Lagos but to similar coastal cities in developing economies facing comparable sustainability challenges. The research setting’s distinctive combination of economic vibrancy and environmental pressures produced rich data on the realities of implementing blue economy principles in small-scale business operations.
Population of the Study
The study focused on small-scale business owners and entrepreneurs operating across Lagos, Nigeria, as its target population. Lagos hosts approximately 20,000 registered small-scale enterprises spanning key sectors including retail trade, light manufacturing, and service provision, representing a diverse and economically significant sample for examining Blue Entrepreneurship adoption. These ventures formed the backbone of Lagos’ informal and formal economic activities, with their sustainability practices holding substantial implications for the metropolitan region’s environmental and economic development trajectory.
The research specifically targeted these small businesses due to their characteristic flexibility and responsiveness to evolving market conditions, making them ideal subjects for investigating sustainable business model integration. Their typically lean operations and close community ties provided valuable insights into how resource-constrained enterprises could implement marine-based sustainability practices within challenging urban environments. The findings from this population segment yielded crucial understanding about the opportunities and constraints facing small ventures in adopting Blue Entrepreneurship principles, while offering practical guidance for policymakers and business development stakeholders working with similar enterprises in coastal urban economies. The study’s focus on these agile yet vulnerable businesses generated particularly relevant data for understanding sustainability transitions at the grassroots economic level.
CHAPTER FOUR
DATA PRESENTATION ANALYSIS AND DISCUSSION
Data Presentation
Demographic Distribution of Respondents
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
Summary of Findings
The study’s examination of blue entrepreneurship adoption among small-scale ventures in Lagos reveals a complex landscape of opportunities and challenges. The demographic profile shows a slightly male-dominated but relatively balanced gender distribution among business operators, with a majority falling within the 18-45 age range, indicating a youthful sector with potential adaptability to new business approaches. Educational attainment levels appear promising, with over half of respondents holding diplomas or degrees, suggesting adequate foundational knowledge for understanding sustainability concepts. However, a significant portion with only basic education may require additional support. The business landscape reflects Lagos’ service-oriented economy, dominated by retail and service industries rather than manufacturing or agriculture, which has important implications for how blue entrepreneurship principles might be applied across different sectors. Most operations are small in scale and relatively young, characteristics that influence both their flexibility to adopt new practices and their resource constraints.
Findings demonstrate strong recognition of blue entrepreneurship’s value among Lagos small businesses, with significant majorities agreeing these ventures contribute to sustainable development and seeing a positive relationship between their operations and blue entrepreneurship goals. This awareness proves particularly strong regarding environmental benefits, with most respondents believing blue practices could reduce pollution and waste while serving as practical climate change solutions. However, this positive perception contrasts sharply with implementation realities, as nearly half feel current business practices aren’t adequately aligned with blue entrepreneurship principles and many report limited awareness about how these concepts specifically support environmental goals. This gap between recognition and action suggests that while the conceptual foundation exists, practical adoption remains challenging.
Financial access emerges as the most significant barrier, with most respondents identifying it as a major constraint and citing limited funding options. This financial limitation affects both investment capacity in sustainable technologies and willingness to divert scarce resources from immediate operational needs. Entrepreneurial skills represent another critical factor, with many acknowledging current gaps but believing targeted training could effectively increase sustainable practice adoption. This skills-capacity link is reinforced by widespread agreement that skilled entrepreneurs are more likely to implement environmentally friendly practices. Government policies show mixed influence, with recognition of existing support but frustration over inconsistent implementation creating uncertainty. Market factors reveal a paradox where growing consumer support for sustainable products coexists with perceptions of demand limitations constraining blue entrepreneurship, possibly reflecting mismatches between consumer preferences and purchasing behaviors or businesses’ limited capacity to effectively market sustainable offerings.
Statistical analysis confirms a strong relationship between small ventures and blue entrepreneurship, validating respondents’ positive perceptions. However, the non-significant influence of government policies and market demand suggests these external factors haven’t yet achieved systematic impact, despite being recognized as important. Financial access and skills show significant but moderate influence, indicating they represent necessary but not sufficient conditions for adoption. The strong rejection of the hypothesis that small ventures cannot adopt blue entrepreneurship confirms their implementation capacity when properly supported.
Most businesses believe they possess fundamental capacity to implement blue practices, particularly for measures requiring more behavioral than technological shifts. However, persistent uncertainty rates highlight knowledge gaps about both concepts and practical applications, most pronounced regarding specific implementation pathways and measurable benefits. The varying adoption potential across business types suggests need for tailored approaches, with service industries possibly focusing on sustainable supply chains while manufacturers prioritize cleaner production techniques adapted to marine environments.
These findings collectively suggest that Lagos’ small businesses recognize blue entrepreneurship’s value and believe in their capacity to adopt such practices, but face substantial financial, knowledge and skills barriers. While external factors like policies and market demand are recognized as important, their current inconsistent implementation limits their positive influence. The path forward requires addressing financial constraints through targeted products, building practical skills through hands-on training, and improving policy consistency while helping businesses better connect with evolving consumer preferences. The strong foundation of awareness and willingness, combined with statistical confirmation of capacity, suggests significant potential for blue entrepreneurship growth in Lagos if these barriers can be systematically addressed through coordinated support mechanisms tailored to the city’s specific business and environmental context.
Conclusion
Based on the hypotheses tested, it was concluded that sustainable practices, technological innovation, and business incubation strategies significantly influenced the development and resilience of SMEs in Lagos State. The analysis revealed that enterprises that adopted sustainable practices were more likely to experience long-term growth and operational stability. Furthermore, the introduction and integration of technology within business operations proved essential in enhancing efficiency, reducing operational costs, and expanding market reach. Business incubation also played a critical role by providing startups with essential support services such as mentorship, access to funding, and training, which contributed to their survival and growth. The outcomes confirmed that environmental and institutional factors directly affected SME performance, emphasizing the need for structured support systems. In general, the findings supported the assertion that when SMEs are embedded in a supportive ecosystem that promotes innovation, sustainability, and entrepreneurial capacity-building, they tend to perform better and contribute more significantly to economic development. These results highlighted the importance of deliberate policies and strategic interventions that encourage sustainability and innovation in small and medium enterprises. The study ultimately demonstrated the relevance of aligning business practices with sustainability and technological advancement as a pathway to enhancing the competitiveness and longevity of SMEs in urban environments.
Recommendations
Based on the findings, the following recommendations were proposed:
- Develop Targeted Financial Products for Blue Entrepreneurship: Create specialised funding mechanisms such as blue economy microloans, sustainability grants, and low-interest green business loans to help small ventures overcome the financial barriers to adopting marine-friendly practices. Financial institutions should collaborate with development agencies to design products that meet SMEs’ specific needs.
- Implement Sector-Specific Blue Entrepreneurship Training Programs: Design practical, hands-on training modules tailored to different industries (retail, services, manufacturing) that teach concrete steps for implementing sustainable marine practices. Training should focus on converting awareness into action by demonstrating real-world applications and business benefits.
- Strengthen Policy Consistency and Implementation Frameworks: Establish clear, standardized guidelines for blue business operations and ensure consistent enforcement across Lagos. Create a dedicated regulatory body to oversee blue entrepreneurship initiatives and provide businesses with reliable policy information through accessible channels.
- Launch Consumer Awareness and Market Development Campaigns: Address the demand-side gap by educating consumers about the value of sustainable marine products while helping businesses effectively market their blue economy offerings. Initiatives could include eco-labeling systems, sustainability certifications, and promotional platforms for green businesses.
- Establish Blue Business Incubation Hubs in Coastal Areas: Develop specialized business support centres in Lagos’ mainland and island regions that provide clustered SMEs with shared resources, technology access, and peer learning opportunities focused on marine sustainability. These hubs should offer mentoring, networking, and demonstration of successful blue business models.
Limitations of the Study
This study has several limitations that should be considered when interpreting the findings. First, the research focused exclusively on Lagos, which may limit the generalizability of results to other coastal cities in Nigeria or different economic contexts. Second, the study relied primarily on self-reported survey data from business owners, which may be subject to response biases such as social desirability bias or inaccurate recall of information. Third, the cross-sectional design provides only a snapshot of blue entrepreneurship adoption, unable to capture longitudinal changes or long-term impacts. Fourth, the study did not fully explore sector-specific differences in adoption challenges, potentially overlooking unique barriers faced by particular industries. Finally, while the research identified financial constraints as a major barrier, it did not examine in depth the specific financial products or mechanisms that would be most effective in supporting blue entrepreneurship transitions. These limitations suggest areas for future research to build upon these findings.
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