The Role of Micro and Small Scale Business Enterprises in Urban Poverty Alleviation: A Case Study on Cobble Stone Paving Sector in Addis Ababa City
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Date
2015-05
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Addis Ababa University
Abstract
MSEs are basically set up with the goal of poverty alleviation. Hence, the question whether the
objective of these MSEs is met merits special consideration by way of impact assessment.
Although several studies have been conducted so far, the impact of MSEs on poverty reduction
still remains an issue to be addressed. The main objective of this study is to assess the role of
micro and small scale enterprises in alleviating the poverty of MSE operators and members by
taking cobble stone paving sector of MSEs in Addis Ababa city. This study tries to answer three
important questions: can MSEs contribute in alleviating poverty of operators and members of
the enterprises, who are taking part in cobble stone paving sectors in the study area?; are MSEs
able to increase the income of the operators and members of the enterprises who are taking part
in MSEs of the cobble stone paving in the city?; and what are the constraints and problems with
regard to cobble stone paving operation in the city .With the above objectives in mind, the
research is carried out by gathering primary data through questionnaires and interviews with
key informants. In addition, secondary sources of data have also been used. Eventually, using a
mix of qualitative and quantitative tools, the study found out that MSEs have played positive role
in improving income, creation of employment and improving the quality of life of the participants
of the cobble stone paving in the study area. Hence, there is a need for strengthening the MSEs
growth and providing special financial support for the sector. Government and NGOs support
should also be focused on training and consultancy services on dimension like market
integration.
Key words: Micro and small business, poverty, cobble stone paving, alleviation
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Keywords
Micro and small business, poverty, cobble stone paving, alleviation