Government Entrepreneurial Interventions and Growth of Youth-Owned Micro and Small Enterprises in Kigali, Rwanda
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Date
2023
Authors
Niyonsaba, Benjamin
Journal Title
Journal ISSN
Volume Title
Publisher
Kenyatta University
Abstract
Micro and small enterprises are approved as economic engines that contribute towards the economic development of Rwanda and then help people improve their livelihoods in line with Rwanda's vision of 2050. The micro and small enterprise sector provides jobs for not only the young but all categories of people, as well as overwhelming macroeconomic issues of unemployment, income inequality, and poverty. Even considering their contribution to economic development, youth-owned micro and small enterprises are facing issues of intense competition from well-established larger firms, the need to adapt to rapidly changing customer preferences, insufficient entrepreneurial skills, a lack of financial resources, and multinational corporations that impede their growth. The study, therefore, investigated the influence of entrepreneurial interventions provided by the state on the growth of micro and small enterprises owned by youth in Kigali, Rwanda. The specific objectives of the research were to determine the influence of training regarding entrepreneurship, credit accessibility, online social media, and market accessibility on the growth of micro and small firms. The theory of the resource-based view is the main theory of the research and is supported by the theory of technology adoption, Gibb's MSE support theory, and firm growth theory. The explanatory and descriptive research designs were employed in determining the association between entrepreneurial interventions provided by the government and the growth of youth-owned micro and small enterprises, as well as to demonstrate the association between dependent and independent variables. Approximately 154 micro and small enterprises were sampled from 252 of the population; the respondents' selection was made using stratified random sampling techniques, and the respondents should be operating micro and small enterprises for the period of the study. Primary data were gathered using a method of semi-structured form, and a pilot study was conducted in the Gasabo district with 20 micro and small enterprises owned by the youth. To demonstrate the degree of reliability, Cronbach Alpha coefficients were used and validity was tested by the use of expert opinions. Inferential statistics were used to examine the role of entrepreneurial interventions supplied by the government in the growth of micro and small enterprises, whereas descriptive statistics were employed to calculate means and standard deviations. The results from the scrutinized data are demonstrated using tables, graphs, and other tools. The study indicated that youth-owned micro and small enterprises had grown more rapidly as a result of interventions offered by the government in Kigali, Rwanda. The study also found that personal characteristics yielded a beneficial moderating influence on the link between entrepreneurial interventions supplied by the government and the expansion of micro and small enterprises owned by youths in Kigali, Rwanda. The study proposes that the government should launch efficient and robust entrepreneurial interventions and program implementations for the expansion of micro and small firms. The study recommends that all micro and small enterprises should utilize technology-based online social media as a superior instrument for managing client relations for online businesses.
Description
A Thesis Submitted to the School of Business, Economics, and Tourism in Partial Fulfillment of the Requirement for the Award of the Degree of Master of Science in Entrepreneurship Development at Kenyatta University, October 2023.
Keywords
Government Entrepreneurial Interventions, Growth, Youth-Owned, Micro and Small Enterprises, Kigali, Rwanda