Year: 2024 | Month: February | Volume: 11 | Issue: 2 | Pages: 40-51
DOI: https://doi.org/10.52403/ijrr.20240206
Analyzing the Nexus Between Entrepreneurship and Business Mathematics - A Comprehensive Study on Strategic Decision-Making, Financial Modeling, and Risk Assessment in Small and Medium Enterprises (SMEs)
Debajyoti Sarkar1, Ashim Kumar Sarmah2
1Research Scholar, Department of Commerce, Rajiv Gandhi University, Arunachal Pradesh
2Assistant Professor, Department of Mathematics Mahapurusha Srimanta Sankaradeva Viswavidyalaya, Nagaon, Assam
Corresponding Author: Debajyoti Sarkar
ABSTRACT
This research undertakes a comprehensive exploration of the symbiotic relationship between entrepreneurship and business mathematics, focusing on strategic decision-making, financial modeling, and risk assessment within the context of Small and Medium Enterprises (SMEs). The study aims to elucidate how the integration of mathematical models influences the operational dynamics of SMEs, ultimately shaping their ability to navigate uncertainties and foster sustainable growth. The investigation delves into the theoretical underpinnings of this nexus, drawing from established theories such as the Resource-Based View, Decision Theory, Financial Modeling Theories, Prospect Theory, Systems Theory, and Entrepreneurial Learning Theories. These frameworks collectively form the basis for understanding how SMEs strategically leverage business mathematics to optimize resource allocation, assess risks, and make informed decisions. Methodologically, a mixed-methods research design is employed, combining qualitative in-depth interviews with SME entrepreneurs and quantitative surveys distributed among a representative sample. The research design aims to provide a nuanced understanding of how mathematical models are applied in SMEs, capturing both the qualitative insights of entrepreneurs and quantitative data on the prevalence and impact of business mathematics in strategic decision-making, financial modeling, and risk assessment. Challenges and opportunities associated with the integration of business mathematics are discussed, including issues of expertise, data quality, perceived complexity, and cost constraints. The research highlights the potential for technological advancements, collaborative platforms, educational initiatives, and supportive policies to bridge these gaps and unlock the transformative potential of mathematical models in SMEs. The research contributes to the growing body of knowledge on the intersection of entrepreneurship and business mathematics, providing insights for SMEs, educators, policymakers, and researchers. The findings underscore the importance of mathematical literacy in the entrepreneurial landscape, offering practical implications for enhancing decision-making processes, financial strategies, and risk management practices within SMEs.
Keywords: Entrepreneurship, Business Mathematics, Financial Modeling, Risk Assessment, Small and Medium Enterprises (SMEs), Entrepreneurial Finance, Probability Analysis.
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