Pages: (39-56 )
Abstract
Infrastructural facilities are perceived to influence the performance of small and medium enterprises. Consequently, this study examined the effectof infrastructural facilities on service quality of SMEs.The study employed survey research design with a population of 4,535 of SMEs registered with Small and Medium Enterprise Development Agency of Nigeria in Lagos State. Sample size of 478 was derived using Taro Yamane formula.Multi-stage sampling technique was used with the instrument validated.The Cronbach's Alpha coefficient for the instrument was 0.87. Result revealed that infrastructural facilities have a significant and positive effect on SME's service quality (R2= 0.872: p= 0.000<0.05).The study concludes that infrastructural facilities had a significant effect on service quality of SMEs in Lagos State Nigeria. Hence the study recommends that to enhance their overall performance,SME's should always ensure adequate scan of the external business environment which may hinder provision of infrastructural facilities to identify potential threats and opportunities within their operating environment. Moreover, infrastructural facilities in Lagos states should be given proper attention.
Keywords: Infrastructural facilities, Business environment, Government support, Performance of SMEs.,