Determinants of initial export market participation: (an empirical study on the internal-proactive and Internal-reactive factors among micro and small enterprises in the commercial craft sector in Kenya)
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Date
2013
Authors
Mwiti, Evans
Ofafa, Gorretty A.
Jagongo, A. O.
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Abstract
This study sought to investigate the determinants of initial export market participation among MSEs in the
commercial craft sector in Kenya. This was motivated by the available evidence that MSEs play a critical role in
the economy of most developing as well developed nations in terms employment creation occupation and
subsequent wealth creation. The study specifically sought to determine the effect of internal-proactive factors on
initial export market participation among MSEs in the commercial craft sector in Kenya. To investigate the effects
of internal-reactive factors on initial export market participation among MSEs in the commercial craft sector in
Kenya. The study adopted the stage theory and the factor proportions theories of internationalization and used a
mixture of explanatory and descriptive research designs on a target population of 140 MSEs in the commercial
craft sector in Kenya registered with EPC at the time of the study. Primary data was collected by use of a semistructured
questionnaire and the data was analyzed by use of measures of central tendencies, Factor analysis (for
data reduction) and multiple regression analysis (to establish the variable relationships). The findings show that
initial export market participation in Kenya MSEs is influenced significantly by internal proactive factors, (with
some variables depicting negative significant skew, while others provide positive skew effect). The study
concludes that to enhance export market participation and ensure a vibrant and competitiveness in the global
marketplace, these internal proactive factors need to be continuously scrutinized with adequate attention. The
study recommends that the governments and the relevant agencies need to collectively lobby and develop export
sensitization programmes anchored on appropriate policies intended to boost MSE export market participation
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Research paper
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Citation
International Journal of Business and Social Science Vol. 4 No. 7; July 2013