Understanding Demographic Influences on Positive Financial Risk Behaviour among Small and Medium Enterprises in Ludhiana

Description

Konica and Navdeep Aggarwal (School of Business Studies, Punjab Agricultural University, Ludhiana, Punjab)

This study examines the influence of gender and educational qualification of owners and managers on the financial risk attitude of small and medium enterprises (SME). This research examines the impact of demographic factors of owners and managers on the financial risk attitude of small and medium enterprises in Ludhiana. Ludhiana, particularly in Punjab considered a hub of small and medium scale industry. For research, primary data were collected through a pre-designed questionnaire covering demographic factors of small and medium enterprises and questions related to financial risk attitude. Data collected was analyzed using the Kruskal-Wallis and Dunn post hoc tests. The results show that gender has no significant effect on financial risk attitude, as both male and female respondents display similar comfort levels in taking financial risks and making investment decisions. However, educational qualification has a partial impact, with graduates and postgraduates showing slightly higher confidence and moderate risk-taking behavior than those with only high school education.