Marketing Practices and Problems of Micro and Small Enterprise [MSEs] in Addis Ababa
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Date
2010-02
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Addis Ababa University
Abstract
The purpose of this study is to assess the marketing practices and p roblems of
MSEs in Addis Ababa. The method used to conduct this research is descriptive
survey that assesses MSEs in three sub cities, specifically concerned on
construction, metal and wood work sub-sectors. The subjects of the study
were 315 operators, 69 experts and 5 officials in Arada, Yeka, and Kirkos
sub-cities. In addition, Regional MSE Bureau and micro finance institutions
have included as the study subject. Accordingly, respondent sampling was
carried out through purposive, stratified and available sampling techniques,
The data obtained from these sample respondents through questionnaires,
interviews and observation of actual setting and document analysis. The data
that have been collected from the sample respondents were analyzed using
percentage and frequency counts, weighted mean and t-test analysis. The
finding has also indicates that MSE products were not competitive in the world
market in terms of quality and productivity. It is also revealed that MSEs face,
in order of severity, problems related to legal procedw'es through f or.'niug
cooperatives, problems in fa cilitating working premises, problems ill securing
credit from micro finance institutions and problems related to financing.
Further more, the government did not make adequate level of supportive follow
up and monitoring services to MSEs. To this end, it recommended that certain
mechanism should be created and implemented for MSEs to easily access for
raw materials and supplies. In addition, the required amount of working
capital has to maintain for the smooth flexibility and work for the enterprises.
Further more, the government basically should set up a mechanism for
supportive follow up and monitoring services that helps to_achieve noticeable
progress and to take timely counter measures for the existing problems
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Keywords
Marketing Practices and Problems