Analysis of Financial Decision-Making in Small Enterprises: Gaps Between Financial Mathematics Theory and Business Practice

Abstract

This study examined the gap between financial mathematics theory and the real-world financial decision-making practices of small entrepreneurs. Using a mixed-methods approach, surveys and a documentary review were conducted. The results revealed limited use of formal financial tools, despite frequent economic decisions. The study concludes that context-sensitive financial education is essential to improve decision-making quality and strengthen the sustainability of small businesses.