in business. In these days and times, businesses are failing at alarming rate due to factors

beyond the control of the entrepreneurs themselves. The current high rate of inflation is making

it very difficult to predict prices of goods and services and this is having negative impact on

business performance most especially small and medium enterprises. Therefore, to survive in

business entrepreneurs will require a combination of competencies to enhance business

performance. Such competencies include: professional competencies, personal competencies

and social competencies. Some other specific competencies needed by entrepreneurs but

subsumed under the above classes of competencies are: financial management, marketing

management competency, planning competency, problem solving, negotiation skills, design

and creative thinking, leadership competency and so on. This study reviews literature on

entrepreneurial competencies and their effects on business performance. The review is done

from conceptual and empirical standpoints to evaluate the relationship between competencies

of entrepreneurs and business performance. The results show that entrepreneurial competencies

enhance business performance. Therefore, entrepreneurs should desire to acquire relevant

competencies to enhance their business performance and to gain competitive advantage over

competitors.