Factors Constraining Survival of Micro and Small Enterprises in Ethiopia (A Case of Woliso Zone Sebeta Hawas Woreda)

Abstract

Currently, MSEs in both developed and developing countries are seen as the most important alternative sector in fostering socio-economic developments. This study is undertaken to analyze factors that determine the survival of MSEs in Ethiopia with specific reference to woliso zone sebeta hawas woreda. To achieve the objectives of the study both primary and secondary data was collected from the organized MSEs located in sebeta hawas woreda by using convenience method through the questionnaire and interview. The collected data were analyzed in descriptive and inferential analysis. The findings revealed that the problem of MSEs growth around the study area are the poor management style available in the enterprises, many MSEs are limited by their Owen perception, Government regulation and policy before and thereafter has not been very favorable to the small enterprise development and survival and Change of technology has posed a great challenge to small businesses. Hence, it concluded as individual, organizational, technological and regulatory environment have impacts on the growth of MSEs growth around the study area. Therefore, the individual entrepreneurs’ attitude towards the Micro and small enterprises program by the government should be changed and the government should also takes corrective actions before and after the organization of Micro and small enterprises.

DOI: 10.7176/EJBM/12-22-03

Publication date:August 31^st 2020