Factors Affecting the Success of Start Up of Youth Enterprises in Nairobi County, Kenya
Abstract
Entrepreneurs all over the world are considered as central players in economics. Many factors
come into play when starting a business, ultimately determining the success or failure of the
enterprise. The factors could be financial, social, technological, human resource related or even
based on the development of the product. As we continue to see some start-ups succeeding where
others are failing, there is need to identify the combination of attributes that work for or against
the success of these start up enterprises. This study was motivated by the need to determine the
factors which affect the start up of youth enterprises in Nairobi County. To achieve this
objective, the study collected data from start-up youth enterprises in Nairobi County. The study
adopted a descriptive and exploratory research design. The sampling frame of this study were
those youth enterprises that were newly established or were in the processes of being set up in
Nairobi County in the category of electronics, telecommunications, general and retail, M-pesa,
foodstuff stalls, cybercafés, graphics and design, hardware and welding. The data was collected
through purposive sampling with the use of a structured interview guide and analysed using
descriptive statistics such as mean and standard deviation.
The study found that start-up youth enterprises in Nairobi County were affected by
entrepreneurial skills possessed by the youths. The study findings indicate those youths who had
undergone training and had skills enjoyed superior skills such as managing time well, handling
of customers and in managing stock levels of their enterprises. Training has also helped the
youth entrepreneurs to keep business records, balance their cash books, in analysis of profit and
loses and in managing sudden increases in demand. Entrepreneurial innovativeness and
proactiveness benefited the enterprises in attracting more customers, remaining visible, and in
time management. Lastly, availability of funds and government legislation and policies also
influenced the performance of the start-up enterprises. The study found that availability of funds
influenced the type of enterprises the youths started and their viability while government policies
and regulations viewed to be prohibitive, lengthy and unnecessarily bureaucratic interfere with
the operations of the enterprises.
Publisher
University of Nairobi