Managerial deficiencies in the Small and Medium Enterprises (SMEs) in the craft industry: An empirical evidence of SMEs at Great Zimbabwe in Chief Mugabe’s area

Abstract

The Small and Medium Enterprises continue to be the powerhouse of economic growth for economies of the world. Almost every economy that has achieved major economic growth had a concentrated drive to establish SMEs. In its quest to reverse the massive economic decline that has been principal characteristic of the last decade, Zimbabwean government has shown commitment on developing SMEs. This study discusses the fundamental managerial deficiencies of the SMEs in the craft industry at Great Zimbabwe in Chief Mugabe’s area. The study is based on the primary data collected from 20 SMEs based at Great Zimbabwe in Chief Mugabe’s area. Random sampling was employed to select the sample. The data was gathered using an open ended questionnaire and interviewing owner-managers of the SMEs. The study found out that the basic management functions of planning, organizing, leading and controlling are not practiced. It was also established that financial management and other key management areas are weak in SMEs in the craft industry. The study therefore recommends that managerial training be offered to the craft industry owner-managers. Government and local universities in Masvingo should participate in developing managerial knowledge to entrepreneurs of SMEs in the craft industry.

Key words: Small and Medium Enterprise, managerial deficiencies, craft industry.