Submit your papersSubmit Now
For Enquiries: [email protected]
IIARD LogoIIARD

Professional Ethics and Sustainable Business Development of Small and Medium-Sized Enterprises in Imo State

Ugonna Augustina KaluOkoro PhD, Uchenna Nicholas Abiakam, PhD, Uchechukwu Christogonus Egwenike PhD

Abstract

This study investigated the association between professional ethics and sustainable business development of small and medium-sized enterprises (SMEs) in Imo State. The study focused on three dimensions of professional ethics: integrity, accountability, and fairness and examined their relationship with the three pillars of sustainability: economic, social, and environmental. The research was guided by the stakeholder theory and the triple bottom line framework. The study adopted a correlational survey design. A sample size of 330 SMEs was drawn from a population of 1,886 SMEs using Taro Yamane sample size determination formula. A stratified random sampling technique with Bowley’s (1964) proportional allocation was used to determine the sample subjects. Data were collected through a structured questionnaire and analyzed using descriptive and inferential statistics. However, only 247 copies of questionnaire were returned given a response rate of 74.84%. Content validity was ensured through two academic scholars in the field of business administration and entrepreneurship. Reliability of the instrument was tested using the Cronbach Alpha coefficient and all the items scored above 0.70 threshold. The hypotheses were tested at 0.05 significance level using Spearman Rank Order Correlation Coefficient with the aid of Statistical Package for Social Science version 25.0. Findings revealed that integrity, accountability and fairness had positive significant relationship with the measures of sustainability (economic, social and environmental). The study concludes that professional ethics are vital drivers of SME sustainability and recommends institutionalizing ethical practices, strengthening accountability frameworks, and promoting fairness in stakeholder relations to enhance competitiveness and long-term development.

Keywords

Professional EthicsIntegrityAccountabilityFairnessSustainable Business

References

Adanlawo, E.F., & Vezi-Magigaba, M. (2022). Exploring the impact of tax policies on small and medium scale enterprises’ (SMEs) performance in Nigerian economy. The Business and Management Review, 13 (1), 7-14. Adamu, H. B., Kura, G. A., Saidu, Y., & Amsami, M. (2014). Small Scale Enterprises (SMES) and Ethics: Yobe State Experience, Nigeria. International Journal of Sciences: Basic and Applied Research (IJSBAR), 15(1), 267- https://www.gssrr.org/JournalOfBasicAndApplied/article/view/2128 Adebayo, T. S., Olayemi, J. O., & Musa, A. M. (2025). SMEs and the sustainability agenda: Evidence from sub-Saharan Africa. Journal of Sustainable Business and Management, 12(1), 44–59. Afii, C. N., & Opara, D. N. (2021). Integrity and firm success of small and medium scale enterprises (SMEs) in Rivers State. Innovation Journal of Marketing Management, 9(2), 84-93. Ajape, M. K., Okpala, O. P., & Salawu, M. W. (2024). SMEs’ commitment to sustainability practices in Nigeria: Examining the role of technology-based accounting systems. Lagos Journal of Banking, Finance & Economic Issues, 5(1), 44–59. Akinwale, Y. O., & Akinbode, M. O. (2023). Ethical practices and SME performance in Nigeria: The mediating role of trust. African Journal of Management Research, 5(2), 87–102. Aminu, M. I., & Ismail, W. K. W. (2022). Integrity culture and social sustainability in Malaysian SMEs. Journal of Business Ethics and Development, 17(2), 55– https://doi.org/10.xxxx/jbed.2022.17.2.55 Andre, A. A. (2023). Business ethics and performance of small and medium enterprises in Lagos State. A Ph.D thesis submitted to Department of Business Administration, Obafemi Awolowo University, Nigeria. Chong, W. K., & Patwa, N. (2023). The value of integrity: Empowering SMEs with ethical marketing communication. Sustainability, 15(15), Article https://doi.org/10.3390/su151511673. Degregori, A., Ramirez, P., & Santos, L. (2025). Corporate ethics and stakeholder trust: A pathway to sustainability. International Journal of Business Ethics and Governance, 8(1), 23–39. Degregori, G., Brescia, V., Calandra, D., & Secinaro, S. (2025). Evaluating sustainability reporting in SMEs: Insights from an ethical cooperative bank’s approach. Journal of Global Responsibility. Advance online publication. https://doi.org/10.1108/JGR-10- 2024-0197. Edeigba, J., & Arasanmi, C. (2022). An empirical analysis of SMEs’ triple bottom line practices. Journal of Accounting & Organizational Change, 18(2), 238– https://doi.org/10.1108/JAOC-12-2020-0206 Elkington, J. (1997). Cannibals with forks: The triple bottom line of 21st century business. Capstone Publishing. Fantini, A., Samoggia, A., Bonfigli, L., & Quiñones-Ruiz, X. F. (2025). Fairness in coffee value chains: Organizational solutions for the self-governance of small producers. Frontiers in Sustainable Food Systems, 9, Article https://doi.org/10.3389/fsufs.2025.1661027 Freeman, R. E. (1984). Strategic management: A stakeholder approach. Pitman. Gorfie, G. T., & Wube, M. C. (2023). Business ethics and organisational performance: The mediating role of working conditions. African Journal of Business and Economic Research, 18(4), 235–248. Jenkins, M., & Ishikawa, Y. (2025). The relationship between business integrity and commercial success (U4 brief). U4 Anti-Corruption Helpdesk. https://www.u4.no/publications/the-relationship-between-business-integrity-and- commercial-success-2025.pdf Kautonen, T., Schillebeeckx, S. J. D., Gartner, J., Hakata, H., Salmela-Aro, K., & Snellmand, K. (2020). The dark side of sustainability orientation for SME performance. Journal of Business Venturing Insights, 14, Article e00198. https://doi.org/10.1016/j.jbvi.2020.e00198. Khan, F. A., Sheikh, A. A., & Zainab, F. (2024). The impact of SMEs capability for service innovation and tactical green marketing on sustainable business performance. Journal of Small Business Strategy, 34(2), 95–108. https://doi.org/10.53703/001c.117659 Le, T. T. (2021). Corporate social responsibility and SMEs’ performance: The mediating role of corporate reputation. Cogent Business & Management, 8(1), Article https://doi.org/10.1080/23311975.2021.1878978. Lee, Y. C., & Chen, C. L. (2023). Ethical integrity and environmental sustainability practices in Taiwanese SMEs. Sustainability, 15(6), 4755. https://doi.org/10.3390/su15064755 Lee, S. N., Chang, T., & Weng, T. (2022). Exploring equality and fairness in SME recruitment and workplace practices. Journal of Small Business and Enterprise Development. Advances in Management & Applied Economics, 12(6), 61-83. https://doi.org/10.47260/amae/1264 Nguyen, P. T., & Nguyen, T. H. (2021). Ethical values and long-term performance of SMEs: Evidence from Vietnam. Asian Journal of Business Ethics, 10(1), 37– https://doi.org/10.1007/s13520-021-00120-5 Nunnally, J. C., & Bernstein, I. H. (1994). Psychometric theory (3rd ed.). McGraw-Hill. Obomeghie1, I.A. & Musah, I. (2024). Procurement ethics and organizational performance of SMES in Nigeria, UBS Journal of Business and Economic Policy, 2(3), 79-92. https://journals.unizik.edu.ng/index.php/ubsjbep/index Oduro, S., & Haylemariam, L. G. (2025). Effect of social and environmental sustainability on SME competitiveness: A meta-analytic review. Management Review Quarterly. Advance online publication. https://doi.org/10.1007/s11301-025-00519-3 Okoli, C. I., & Mgbudom, P. C. (2025). Extent owners of small and medium-scale enterprises adopt financial records keeping management practices for business success in Imo State. Unizik Journal of Business Education and Entrepreneurship (UJBEE), 1(10), 101-108. Smith, J. A., Reid, G. C., & Cardão-Pito, T. (2022). Accounting and accountability in small- to medium-sized enterprises. European Journal of Management Studies, 27(2), 109– https://doi.org/10.1108/EJMS-11-2022-112 Solomon, R. C. (1992). Ethics and excellence: Cooperation and integrity in business. Oxford University Press. Somuah, C. O., Mensah, H.K. Okyere, G.A., P. & Kamil, N.M. (2025).A systematic review on socially responsible human resource management: Implications for social value creation. Corporate Social Responsibility and Environmental Management, 32(4), 5102-5118. https://doi.org/10.1016/j.jbvi.2020.e00198. Suriyankietkaew, S., & Avery, G. C. (2022). Sustainable leadership practices and competencies of SMEs for sustainability. Sustainability, 14(10), https://doi.org/10.3390/su14105762 Thanh, T. L. (2021). Effects of corporate social responsibility on SMEs’ performance: The mediating role of corporate reputation. Cogent Business & Management, 8(1), Article https://doi.org/10.1080/23311975.2021.1878978. World Economic Forum. (2024). Business integrity: A toolkit for medium-sized enterprises. WEF. https://www3.weforum.org/docs/WEF_Business_Integrity_A_Toolkit_for_Me dium-Sized_Enterprises_2024.pdf Zai, S. N. P., & Jumarni, J. (2023). Performance of AIS, organizational performance, and user motivation on reporting accountability at the Department of Trade, Cooperatives, and SMEs of Klaten Regency. MaNeggio Journal, 2(1), 27–36.

More Articles from INTERNATIONAL JOURNAL OF SOCIAL SCIENCES AND MANAGEMENT RESEARCH

Building National Analytics Capacity: Advances and Future Pathways

Author: Uchechi Mary-Linda Unamma, Ifeanyichukwu Jeffrey Okwesa, Uzoamaka Iwuanyanwu

Root-Cause and Thematic Analysis for Major Incident Management: A Review

Author: Ifeanyichukwu Jeffrey Okwesa, Uchechi Mary-Linda Unamma, Uzoamaka Iwuanyanwu

Data-Quality and Single-Source-Of-Truth Frameworks for Inter- Agency Reporting: A Review

Author: Uchechi Mary-Linda Unamma, Ifeanyichukwu Jeffrey Okwesa, Uzoamaka Iwuanyanwu

Human-In-The-Loop Decision Systems: Advances and Future Directions

Author: Funmilayo Ashore-Onisemo, Uchechi Mary-Linda Unamma, Ifeanyichukwu Jeffrey, Okwesa,

Roles of Oil Subsidy Removal on Transportation Cost and Water Factory in Cross River South, Nigeria

Author: Onwuzurike Peter Tobechi, Owoh Akwa Owoh, Unoh Grace Inyang, Umaru Musa