MEDIATING ROLE OF BUSINESS NETWORKING TIES IN THE LINK BETWEEN ENTREPRENEURSHIP AND POVERTY REDUCTION
Keywords:Entrepreneurship, networking, poverty, collaboration, innovativeness
Extant literature reveals entrepreneurship plays vital role in reducing poverty. However, there seems to be no explanation as to how entrepreneurship brings about poverty reduction. Therefore, this study examines the mechanism through which entrepreneurship reduces poverty. The study perceived business networking ties as a mechanism through which entrepreneurship may reduce poverty. To achieve this, the study utilizes data from 226 entrepreneurs in the entertainment industry operating in north-west, Nigeria. The data was obtained via a self-administered questionnaire which took the form of cross-sectional survey. Results of the smart partial least squares – structural equation modelling (SmartPLS-SEM) analysis reveal that business networking ties mediates the relationship between entrepreneurship and poverty reduction. It shows that the more collaborations among entrepreneurs, the better their living condition. Thus, this may encourage building of networking ties among entertainers or businessmen or entrepreneurs and equally guide policymakers to initiate policies that may boost networking ties among entrepreneurs.