Project – The Influence of Business Ethics Education on Entrepreneurial Behaviour of Business Education Students in Nigerian Tertiary Institutions

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

Entrepreneurship has become a critical driver of economic growth, innovation, and job creation across the world. In developing countries such as Nigeria, where unemployment and underemployment among graduates remain persistent challenges, entrepreneurship is increasingly promoted as a viable solution to economic stagnation and poverty reduction. Consequently, Nigerian tertiary institutions have placed greater emphasis on entrepreneurship education, particularly within Business Education programmes, which are designed to equip students with practical skills, managerial competence, and entrepreneurial orientation necessary for self-reliance and business creation.

However, beyond technical and managerial competence, entrepreneurship also requires a strong ethical foundation. Business ethics refers to the moral principles, values, and standards that guide behaviour in business decisions and practices (Ferrell, Fraedrich, & Ferrell, 2019). Ethical issues such as corruption, dishonesty, fraud, exploitation, and lack of social responsibility have continued to undermine business sustainability and entrepreneurial success in Nigeria. Many small and medium-scale enterprises fail not only due to financial or managerial weaknesses, but also as a result of unethical practices that erode trust, damage reputation, and invite legal sanctions.

Business Ethics Education, as a component of Business Education, aims to inculcate ethical awareness, moral reasoning, and responsible decision-making among students. It exposes learners to ethical theories, corporate governance principles, social responsibility, and professional standards that guide acceptable business conduct. Scholars argue that ethical education plays a crucial role in shaping attitudes, values, and behavioural intentions of future entrepreneurs (Jones, Parker, & Ten Bos, 2005). Through structured learning experiences, students can develop integrity, accountability, fairness, and respect for stakeholders—qualities that are essential for ethical entrepreneurial behaviour.

Entrepreneurial behaviour refers to observable actions and tendencies such as risk-taking, innovation, opportunity recognition, persistence, proactiveness, and responsible business conduct (Hisrich, Peters, & Shepherd, 2017). In the context of Business Education students, entrepreneurial behaviour also includes ethical decision-making, compliance with business regulations, honest dealings with customers, and commitment to societal well-being. Ethical orientation influences how entrepreneurs respond to competitive pressure, financial constraints, and environmental uncertainty.

In Nigerian tertiary institutions, Business Education students are expected to graduate not only as competent entrepreneurs but also as ethical business leaders who can contribute positively to national development. Despite the inclusion of business ethics-related courses in many curricula, unethical entrepreneurial practices such as falsification of records, sharp practices, bribery, and disregard for consumer rights continue to be widespread in the Nigerian business environment. This raises concerns about the effectiveness of Business Ethics Education in shaping the entrepreneurial behaviour of students before they enter the business world.

Furthermore, Nigeria’s socio-economic environment is often characterized by weak institutional enforcement, corruption, and moral decadence, which may influence students’ perceptions of ethical behaviour as incompatible with business success. As a result, some students may view ethics as theoretical concepts rather than practical guides for real-life entrepreneurial decisions. This situation underscores the need to empirically examine whether Business Ethics Education has a meaningful influence on the entrepreneurial behaviour of Business Education students in Nigerian tertiary institutions.

Understanding this influence is important for curriculum development, instructional strategies, and policy formulation aimed at producing ethically responsible entrepreneurs. Therefore, this study investigates the influence of Business Ethics Education on the entrepreneurial behaviour of Business Education students in Nigerian tertiary institutions.

1.2 Statement of the Problem

Despite increased emphasis on entrepreneurship education in Nigerian tertiary institutions, unethical business practices remain prevalent among entrepreneurs and business operators in the country. Issues such as dishonesty, corruption, poor corporate governance, exploitation of consumers, and lack of social responsibility continue to affect business credibility and sustainability. These unethical practices often result in business failure, loss of public trust, and negative economic consequences.

Business Education programmes are designed to prepare students for entrepreneurial careers through skill acquisition and ethical orientation. However, there is growing concern that many graduates exhibit entrepreneurial tendencies that prioritize profit maximization over ethical considerations. This suggests a possible gap between the ethical knowledge acquired in school and actual entrepreneurial behaviour. Some students may possess theoretical knowledge of business ethics but fail to translate it into ethical entrepreneurial practices.

In addition, the Nigerian business environment, which often rewards unethical shortcuts, may negatively influence students’ ethical judgement and entrepreneurial intentions. As a result, Business Education students may develop entrepreneurial behaviours that are innovative and risk-oriented but ethically questionable. This situation raises questions about the effectiveness, relevance, and instructional delivery of Business Ethics Education in Nigerian tertiary institutions.

Empirical studies focusing specifically on the influence of Business Ethics Education on the entrepreneurial behaviour of Business Education students in Nigeria remain limited. Many existing studies examine entrepreneurship education or business ethics independently, without adequately exploring their interaction. The lack of sufficient empirical evidence makes it difficult for educators and policymakers to assess whether ethics education contributes meaningfully to shaping ethical entrepreneurial behaviour.

Therefore, the problem of this study is to determine the extent to which Business Ethics Education influences the entrepreneurial behaviour of Business Education students in Nigerian tertiary institutions.

1.3 Purpose of the Study

The main purpose of this study is to examine the influence of Business Ethics Education on the entrepreneurial behaviour of Business Education students in Nigerian tertiary institutions.

Specifically, the study seeks to:

1. examine the level of exposure of Business Education students to Business Ethics Education;

2. determine the nature of entrepreneurial behaviour exhibited by Business Education students;

3. assess the influence of Business Ethics Education on students’ ethical decision-making in entrepreneurial activities;

4. determine the relationship between Business Ethics Education and entrepreneurial behaviour of Business Education students.

1.4 Research Question

The following research question will guide the study:

1. What is the level of exposure of Business Education students to Business Ethics Education?

2. What is the nature of entrepreneurial behaviour exhibited by Business Education students?

3. To what extent does Business Ethics Education influence the ethical decision-making of Business Education students in entrepreneurial activities?

4. What relationship exists between Business Ethics Education and the entrepreneurial behaviour of Business Education students?

1.5 Research Hypothesis

The following null hypothesis will be tested at 0.05 level of significance:

H₀₁: Business Ethics Education has no significant influence on the entrepreneurial behaviour of Business Education students in Nigerian tertiary institutions.

1.6 Significance of the Study

The findings of this study will be beneficial to Business Education students, lecturers, curriculum planners, educational administrators, policymakers, and researchers. Business Education students will gain insights into the importance of ethical principles in shaping sustainable entrepreneurial behaviour. Lecturers will benefit from evidence-based recommendations on improving the teaching of business ethics to enhance ethical entrepreneurship.

Curriculum planners and educational administrators will use the findings to review and strengthen Business Ethics Education content in tertiary institutions. Policymakers will find the study useful in designing educational policies that promote ethical entrepreneurship as a tool for national development. Researchers will benefit from the study as a reference material for further studies in business education, ethics, and entrepreneurship.

1.7 Scope of the Study

The study focuses on Business Education students in selected Nigerian tertiary institutions. It examines Business Ethics Education as the independent variable and entrepreneurial behaviour as the dependent variable. The study is limited to ethical awareness, ethical decision-making, and observable entrepreneurial tendencies among students.

1.8 Operational Definition of Terms

• Business Ethics Education: Instructional process aimed at teaching moral principles, values, and standards that guide acceptable business behaviour.

• Entrepreneurial Behaviour: Actions and tendencies that reflect opportunity recognition, innovation, risk-taking, and ethical conduct in business activities.

• Business Education Students: Students enrolled in Business Education programmes in Nigerian tertiary institutions.

• Tertiary Institutions: Universities, polytechnics, and colleges of education offering post-secondary education in Nigeria.

Project – The Influence of Business Ethics Education on Entrepreneurial Behaviour of Business Education Students in Nigerian Tertiary Institutions