The Causes and Consequences of the Increase in Small-scale Entrepreneurship in Mosocho Division, Kisii District
Abstract
This study was done in Mosocho division, Kisii District. The study was prompted
by the realization that there had been a marked increase in small-scale business activities in
the area and in the country in general. It was argued that poverty and meagre resources are
some of the factors that are explanatory to the resurgence of the small-scale
entrepreneurship. Scholars such as Hart (1973), Stockes (1975), McCormick (1988) and
Murphy (1996) have recounted observations of the rejuvenation of informal ways of
earning a living such as small-scale enterprises. The population in the study area has in the
past relied, largely, on small-scale farming for sustainance, albeit the high population
density that has reduced acreage ownership. Poverty is a major problem in the area. This is
characterized by high levels of unemployment, reduced agricultural production, poor state
of infrastructure and type(s) of shelter. The study set out to investigate the contributing
factors as well as the consequences of the increase in small-scale enterprise activities. The
study takes an anthropological perspective, which takes into account the local cultural
context. For instance, some cultural attributes were found to constrain entrepreneurship
while others were promotive. These hav'e-a bearing on the causes as well as consequences
of small enterprises as well as poverty reduction throqgh the impact on peoples'
socioeconomic status.
In the course of the study, data was collected using various methods such as
participant observation, the questionnaire, focus group discussions, and key informant
interviews. These data were analysed both by means of both quantitative and qualitative
techniques.
The study revealed that poverty, unemployment as well as cultural factors are -- pertinent issues in the increase in small-scale enterprises in the study area. In addition,
IV
there are various constraints to small-scale entrepreneurship such as lack of capital,
infrastructural constraints as well as certain cultural factors. A major conclusion of this
study is that small-scale entrepreneurship is contributing to the improvement of peoples
living standards. The decision-making process involved in these investments as well as
expenditure habits or patterns are influenced by both economic and cultural factors.
Citation
Master of ArtsSponsorhip
University of NairobiPublisher
University of Nairobi Faculty of Arts, University of Nairobi,Kenya