Competencies of Women Entrepreneurs in Nigeria: Cost Strategy as a Mediator

Abstract

This study aimed at achieving three objectives: to examine relationship that exist between women entrepreneurial competencies and cost strategy; to examine relationship between cost strategy and firm performance; to analyse mediating effect of cost strategy between women entrepreneurial competencies and firm performance. A sample of 230 women entrepreneurs running various types of micro business units in Kaduna state, the northwest part of Nigeria, participated in this study. Data was collected from the respondents using questionnaires. The data collected were analysed using SPSS and Smart PLS. The findings revealed that strategic, opportunity and organizing competencies, influence cost leadership strategy positively. Cost leadership strategy also has direct positive relationship with firm performance. The result also showed that cost leadership strategy significantly mediates relationship between women entrepreneurial competencies and performance of their firms. Limitations, contributions and suggestions for future researchers are presented at the end of this paper.