Factors That Affect the Development of Micro and Small Enterprise: the Case of Gullele Micro and Small Enterprise

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Date

2019-07

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Publisher

Addis Ababa University

Abstract

The aim of this study is therefore to describe the relationship between development and personal related factors and business related factors on MSEs in Gullele sub city of Addis Ababa. In this study, descriptive research designs were used. Stratified random sampling was used to select proportional number of samples from the study area. Both primary and secondary source of data were used. To obtain the Primary data were collected from a sample of 82 randomly selected MSEs engaged in industry and service sector, through structured questionnaire by using stratified random sampling techniques. Data were analyzed using descriptive and inferential statistics. Specifically, analysis of variance was carried out to examine the variation in the development of enterprises related to the variation in each of the independent variables of the study. In terms of the result, descriptive statistics shows higher development for enterprises owned by individuals with better education level, prior management experience, marketing skill and planning and record keeping. However, results from analysis of variance show no significance variation on the development of MSEs in relation to the variations to each of the independent variables considered. But based on descriptive statistics result, MSEs should start using plan to their business activities and adopt a formal record keeping and financial control system in their internal practice. And also stake holders of the sector should work on preparing training programs on management issues and creating experience sharing opportunities especially to those enter into the sector without any management experience.

Description

A Thesis submitted to the School of Graduate Studies, Addis Ababa University, Faculty of Business and Economics, Department of Public Administration and Development Management in Partial Fulfillment of the Requirements for the Master of Arts in Development Management

Keywords

Development, Gullele, Micro and Small Enterprise

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