dc.description.abstract | The aim of this study was to establish the factors influencing establishment of small
business enterprises in urban centers of Machakos County, Kenya. The objectives of
the study were to establish whether; entrepreneurial skills, financial resources, county
business regulations and competition among small and large businesses influence
establishment of small business enterprises. The study adopted a descriptive survey
research design. The population comprised all small business enterprises in Machakos
town, Mavoko town and Matuu town with small businesses of 1500, 2150 and 896
respectively which were randomly selected using systematic sampling procedure for
the study. Purposive sampling was used to select Machakos Town, Mavoko and
Matuu as the study site. The study relied on interview and data collected through a
questionnaire structured to meet the objectives of the study. Quantitative information
was summarized into frequencies and percentages. Independent chi square test were
used to test hypothesis. Responses were tabulated, coded and processed by use of a
computer Statistical Package for Social Science (SPSS) version 17.0 to analyze the
data. Qualitative information in the interview guide were transcribed and reported in
narrative reports. The study findings were; some knowledge on how to conduct
business, cost of financing/source of financing, County regulations and competition of
already existing businesses all have significant influence on establishment of small
business enterprises significantly. The study concluded and recommended that the
County Government should consider reducing the county regulations to influence the
establishment of small scale businesses, the small scale businesses should also come
up with strategic alliances with other businesses or try networking with other
businesses that they shared the same goals with in order to counter competition from
already large existing businesses. By identifying and cooperating with those allies, the
small scale businesses could gain access to other local markets, increase sales and
revenue, access external sources of funds, gain technological know-how, and become
more resilient and stronger to withstand domestic and foreign competitive onslaughts
among other benefits. Key recommendation is for the County Government to consider
strategies of enhancing entrepreneurial skills to its citizens. Further similar studies
should be undertaken in other sample counties in the country, and particularly to
establish whether making entrepreneurial education a compulsory subject in all
educational programs may influence establishment of small scale businesses in Kenya. | en_US |