Challenges of Micro and Small Enterprises in Worabe Town, Silte Zone of SNNP Regional State of Ethiopia
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Date
2018-11
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Addis Ababa University
Abstract
Micro and Small Enterprises (MSE) play vital role in the process of development. It generates employment at low cost and helps the society to move on the path of wealth &growth. No wonder that government, particularly in the developing countries has made tremendous efforts to enhance the capacity of micro and small enterprises (MSEs). However, the MSEssector has fallen short of expectations. In respect of this, the fundamental objective of the study was to reveal the key Challenges for the developments of MSEs in Worabe town. To achieve the objective, the study employed both qualitative and quantitative research approach. The available data was gathered from primary and secondary sources and closely examined through probability and non probability sampling techniques. Generallythe study elicits key challenges which seem to affect performance of MSEs in Worabe town which include: finance related problems, market problems and working premises.The municipality should strive to do everything possible to improve the business environment in which MSEs operate through improved infrastructure such as an electrical power supply, water, shade (buildings) and roads that are necessary and basic to the effective performance of Micro and Small Enterprise in Worabe town. This is achieved through coordination of responsible sectors. To tackle marketing linkage challenges there should be a multi-dimensional and concerted effort by the local governments and Micro and Small enterprise owners/managers in such a way that instead of hanging around government market linkages the Micro and Small enterprise owners/managers should work more to be competitive and enhance market linkages were among the recommendations by the researcher.