Factors influencing development of professional entrepreneurship in the hotel industry in Kenya
Abstract
There have been concerted efforts to grow local entrepreneurship in Kenya. However, the hotel industry in Kenya has not attracted local entrepreneurs. This study therefore, sought to understand the factors influencing development of professional entrepreneurship in the hotel business in Kenya. The study used a descriptive survey design to achieve this objective. The study targeted all business and hospitality students in institutions of higher learning. A sample of 100 students from the University of Nairobi and 50 students from Kenya Utalii College was used for the study. Data collection was done using semi-structured questionnaires. Quantitative and qualitative data analysis techniques were used to process the data obtained. The study revealed that most business and hospitality students would consider self-employment after completion of their studies. Most students preferred starting a supplies business. Hospitality was the second best preferred field after supplies that students would consider starting their business. Factors that would be considered by those who prefer starting a hotel business in Kenya included market environment, availability of resources, security and target customers. Environmental factors such as national economy, competition, technology, infrastructure, and business environment are some of the most influential factors in decision to start a hotel business in Kenya. On the other hand, social factors such as personal traits, community values, and family background are the least influential in decision to start a hotel business in Kenya. Some of the encouraging factors to start hotel business in Kenya include ready market, availability of cheap labour, political stability, and Kenya’s endowment as a tourist destination hence increased demand for hotel and related hospitality business services.
The discouraging factors, on the other hand, include insecurity, terrorism threats,
inadequate capital, and fear of political instability associated with general elections in
Kenya. The low paying nature of the hotelier profession in Kenya compared to the others,
lack of government support to the profession, and lack of aggressive take up of the
profession by training institutions are some of the reasons there are few Kenyan
professional hoteliers. In addition, hotelier as a profession is not considered as a white
collar job in Kenya hence it has not been fully explored. The study concluded that
although hospitality field was among the preferred by the students, other factors, mostly
environmental related, prevent students from pursuing this profession to raise the number of professional entrepreneurs in hotel business. This is contrary to the conventional held beliefs that cultural and social factors are among the most influential in developing professional entrepreneurship. The findings of this study shows that focus on cultural and social factors has been over emphasized with little regard to other influential factors influencing development of professional entrepreneurship such as environmental, financial and professional considerations.
This study recommends that scholars should review their conceptualizations on how professional entrepreneurship in various fields develops. The professional hoteliers should look for ways of alleviating some of the challenges associated with the field rather than moving away from it. The government and other policy makers should consider friendly policies that encourage professional entrepreneurship. Future studies should come up with a framework to explain development of professional entrepreneurship among all professions.
Publisher
University of Nairobi School Of Business, University Of Nairobi