Harnessing Artificial Intelligence for Strategic Entrepreneurship Development: Analysis of Policy and Innovative Challenges among SMEs in Ilorin Metropolis, Kwara State.

The modern business environment demonstrates that small and medium sized businesses (SMEs) are crucial drivers of innovation, employment and economic growth. In Nigeria, particularly in Ilorin Metropolis, small and medium-sized enterprises (SMEs) remain central to economic development through the alleviation of poverty, provision of employment and innovation. The main objective of this study is to examine the role of Artificial Intelligence in strategic entrepreneurship development, with specific emphasis on policy considerations and innovative challenges facing SMEs in Ilorin Metropolis, Kwara State. Other specific objectives are to examine the relationship between artificial intelligence knowledge and strategic entrepreneurship development among SMEs in Ilorin Metropolis and to assess the relationship between artificial intelligence implementation and strategic entrepreneurship development among SMEs in Ilorin Metropolis. The underpinning theory of the study is Technology Organization Environment Framework. A cross-sectional survey research design was used to collect quantitative data for this study. The target population consists of three hundred and twenty (320) registered startups that were financially supported by the Kwara State Social Investment Programme in 2024. Data were collected using a five-point Likert scale, closed-ended questionnaire, which was distributed to the respondents through a simple random sampling technique to minimize bias. The results indicated that AI knowledge has a significant effect on strategic entrepreneurship, that is, when owners and managers of SMEs have an understanding of AI concepts, they are well positioned to realize opportunities, to solve existing problems, and to achieve improved growth and competitiveness through innovative trends. With respect to entrepreneurship development, the impact of AI implementation was a solid and socially meaningful one. The study recommended that there should be capacity-building programmes to facilitate knowledge about the concept of AI among SME owners and managers. Also, SMEs must be enabled and assisted through the everyday access of affordable AI tools, infrastructure, and technical support.