INFLUENCE OF THE NEED FOR ACHIEVEMENT AND ENTREPRENEURIAL SKILLS TRAINING ON THE GROWTH OF MICRO AND SMALL ENTERPRISES IN BOMET COUNTY, KENYA
Abstract
Background: There is adequate data to indicate that micro and informal enterprises are responsible for about half of new employment opportunities in the African continent. In Kenya, the sector contributes to 33 percent of the Gross Domestic Product (GDP). However, the sector has both higher rates of death and rates of birth as compared to firms which are large firms. Therefore, there is need to understand all the probable causes of collapse and stunted growth of the sector. This will ensure that there will be continued growth of the sector in order to grow the job opportunities for youths and the growth of the overall economy. Most studies which have been done on this sector have concentrated on the factors of production especially capital in terms of finance. However, the current critical mean of production which is the entrepreneur has not been studied very well. These enterprises depend on the entrepreneur himself/herself for their survival and development. The objective of this study therefore is determine the influence of entrepreneurial characteristics in terms of the need for achievement on the growth of micro and small enterprises. The study will also determine if entrepreneurial skill training will influence the relationship between the characteristic and growth of enterprises.
Methodology: The target market consisted of the 14,574 micro and small businesses in Bomet County as of 2016. The manufacturing, trade, and services strata of micro and small firms were the ones from which the respondents were chosen for the study using the stratified sampling approach. There were 384 micro and small businesses in the sample. Data were gathered via a questionnaire. The instrument was given to the business owners or managers in order to collect the data. The computer program was used to process the data. To determine the connection between entrepreneurs' demand for success and business growth, a multiple regression model was utilized.
Conclusion: The main conclusions were that firms' growth in Bomet County, Kenya, is influenced by their demand for success. The study's main conclusion is that important MSMEs participants should develop their entrepreneurial skills, especially as training is essential for owners and managers to succeed. The conclusion of this study is that not everyone can succeed as an entrepreneur. To find the future entrepreneurs, there should be a methodology and tools available. The necessary resources and other capital cannot be made available to them until they have been identified
Keywords: Entrepreneurial characteristics, the need for achievement, entrepreneurial skills training, growth of micro and small enterprises.
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