Regional and Local Development Studies
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Browsing Regional and Local Development Studies by Author "Abriham Lisanework"
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Item The Challenges in the Transitional Process of Micro and Small Enterprises in Addis Ababa City(Addis Ababa University, 2024-01) Abriham Lisanework; Belew Dagnew (PhD)The purpose of this study is to assess the challenges in the transitional process of micro and small enterprises in Addis Ababa city. The study attempted to address challenges that micro and small enterprises faced in their transition from infancy to maturity. The study was conducted using a descriptive study design. A quantitative approach was used to collect the data. A sample size of 340 micro and small enterprise owners and operators was represented from three sub cities namely Kolfe Keranyo, Addis Ketema, and Arada sub cities. A stratified sampling method was used to select the MSEs in different levels of transition from infancy, transition, and maturity based on their years of engagement in the sector. A random sampling method was used for selecting MSE respondents for the survey. The findings of the study revealed that the majority of entrepreneurs were young, with a secondary education level. Family size also played a role in business challenges, with larger families affecting business and family responsibilities. Woodworking and construction were the dominant sectors for MSEs, aligning with Ethiopia's traditional industries and growing construction demand. The analysis also identifies key factors that affect the transitional process of MSEs. These factors include support service factors like access to financial services, market opportunities, business trainings, machinery services, infrastructure, and necessary technologies. Socio-cultural factors such as network connections, attitudes towards products, Additionally, legal and administrative factors such as government support, regulatory knowledge, political interference, and bureaucratic hurdles were identified as crucial determinants of the success and growth of MSEs.