Evaluation of determinants affecting the growth of small scale retailers in Bomet county, Kenya: a case study of Konoin division

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Date
2014-07-14
Authors
Bii, Cheruiyot Paul
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Abstract
Micro and small scale enterprises have been accepted worldwide as instrument of economic growth and development. No wonder the government, particularly in developing countries has made tremendous efforts and establish policies to enhance the capacity of micro and small scale enterprises. However, despite government institutional and policies support to enhancing the capacity of small and medium scale enterprises, they have fallen short of expectations. This, then generate serious concerns and scepticism on whether SMEs can bring about economic growth and national development in Kenya. This study therefore, aimed at evaluating the determinants that affect the growth of small scale retailers in Konoin Division, Bomet County. This is because; many economic determinants affect the growth of small scale retailers which have a negative effects on their business. It was guided by the following objectives; to determine how entrepreneurs' preparedness affect the growth of their business, to evaluate the effect of marketing skills and knowledge on the growth of small business retailers, and to examine the effect of government regulations on the growth of small scale retailers. Which answered the following research questions; what is the effect of entrepreneurs' preparedness on the growth of their business? How does marketing skills and knowledge affect the growth of small scale retailers? How do the government regulations affect the growth of small scale retailers? A descriptive research design was adopted, employing questionnaires because it was easy to analyse. The target population was 660 respondents; this was achieved by using random sampling method. The data was analysed by use of Statistical Package for Social Science. Validity was achieved by pre-testing, reliability was ensured by discussing the relevance of the research with the supervisor. The findings were, most of the small scale retail businesses have stagnated due to poor marketing knowledge and skills of their business. Moreover, this is because most of the entrepreneurs have poor knowledge of the business they operate. Others are not aware of the existing programs that the government have put in place to assist in running their business. Recommendations are Entrepreneurs are encouraged to advertise their products and services through media and other social networks. The government should invest more on infrastructure like roads and electricity so as to assist these entrepreneurs to easily deliver their goods and services to the markets on time. The government should also provide advisory services to the small and medium enterprises. The government should provide friendly administrative services to these entrepreneurs so as to help them grow. Entrepreneurs are encouraged to create product awareness through publicity and advertisement. Most of them has been known by customers as well servicing and therefore has attracted more customers through their premise repute, they should therefore use the same method to increase sales and invest in voluntary support to the community as a way of creating the product and service awareness.
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Department of Business Administration, 49p. 2013, HD 2346 .K4C49
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