Chapter 13: Developing Business Opportunities for Deprived Communities Through Community Entrepreneurship

The study aimed to analyse how entrepreneurial competencies (leadership, innovation, risk-taking and networking) influence the sustainability of small and medium-sized enterprises (SMEs) in disadvantaged communities. Using a quantitative approach, using stratified random sampling to 246 Peruvian SMEs in production, warehousing and distribution, selected from a population of 268,100 units, with a significance level of 5%. Information was gathered by means of pre-designed surveys (Using a Likert scale and free-form enquiries) to assess the impact of independent variables on financial performance. Multiple regression analysis revealed that innovation (3.9%), leadership (3%), networking (3.1%) and risk-taking (4.1%) have significant effects on SME survival. The findings highlight that continuous innovation, participative leadership, strategic alliances and calculated risk management are key to business resilience. SMEs are encouraged to foster these skills through training and supportive policies, while governments should facilitate access to resources and collaborative networks. As a whole, the research adds to the body of knowledge by empirically validating the relationship between entrepreneurial skills and sustainability, although it suggests expanding the research to rural contexts and other industries to generalise the findings.