Influence of Entrepreneurial Skills on Sustainability of Women Owned Small and Medium Enterprises; a Case of Kenyatta Market,Nairobi County.

Abstract

This study discusses the influence of women entrepreneurs’ entrepreneurial skills on the performance of micro and small enterprises in Kenyatta market, Nairobi County. The background of the study discussed women in the micro and small enterprises around the world, in Africa, in Kenya and narrowed down to Kenyatta market of Nairobi County. This study addressed reasons why very few businesses owned by women grow both vertically and horizontally despite the government’s intention to empower women economically as per the statement of the problem. The purpose of this study was to establish the influence of women entrepreneurs’ management skills on the performance of micro and small enterprises in Kenyatta market of Nairobi County. Objectives of the study were to examine how women entrepreneurs’ financial management skills, explore how women entrepreneurs’ technical skills, establish how women entrepreneurs’ entrepreneurial skills, determine whether women entrepreneurs’ networking skills and assess how women entrepreneurs’ marketing skills influenced the performance of micro and small enterprises in Kenyatta Market, Nairobi County. This study adopted descriptive survey design with both qualitative and quantitative data collection approaches. A sample size of 132 respondents was drawn from a target population of 3000 women entrepreneurs within the Kenyatta Market. Questionnaires were used to collect data. On validity of the instruments, the study used content validity while the test re-test method was used to test reliability which yielded a Reliability coefficient of 0.8. Out of the 132 respondents sampled, 119 questionnaires were returned and this was 90.2% return rate that was acceptable. The findings of the study was that women entrepreneurs’ financial management skills, technical skills, entrepreneurial skills, networking skills and marketing skills have to be taken into consideration for women entrepreneurs to realize growth in their businesses. The study further found out that awareness on the relevant sources of finance is still low especially the Women Enterprise Fund. Most of the women entrepreneurs were quite sceptical about group-based loans as they felt it was quite punitive especially if a member defaults. On the contrary, the financial intermediaries given the responsibility to disburse individual loans had not created enough awareness on the Women Enterprise Fund loans. The study concluded that performance of women owned micro and small enterprises could only be achieved effectively through the government’s intervention by devising other means of disbursing the loans. A countrywide monitoring and evaluation team to be organized at grassroots levels to ensure access to these funds. Based on the findings, the study recommended that seminars and workshops to be organized through churches and village barazas in order to sensitize women entrepreneurs on the required management skills. The government through the ministry of gender to work in partnership with the local organizations in planning for trainings. Trainings to be organized in a flexible manner to cater for all. This will help reduce poverty levels by improving their living standards and encourage growth. A comparative study should be done on the women entrepreneurs’ uptake of Women Enterprise Fund loans. Entrepreneurship as an area of study to be incorporated in the school curriculum so that school leavers acquire the necessary skills in managing a business while still in school. This will help them venture into successful businesses and thus reduce unemployment rates.