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ABSTRACT
This study aim to substantiate the effect of entrepreneurial training on Micro and Small
entities (MSEs) in Nyamagana district, Mwanza. In this study independent variable were
SMEs whose owners attended entrepreneurial training and those who never attended
entrepreneurial training. Dependent variables are performance of these MSEs whereby the
study focused on gross sales, return on equity and employment level between the two groups
as performance indicators. The dimensions of the entrepreneurial training adopted on the
study are pro activeness, innovativeness and record keeping. MSEs in this study are defined in
terms of number of employees employed and level of capital invested in the business. This
study focused on the Micro and Small enterprises which have 0 to 49 employees and with
capital limitation up to 200million.
This study covered 120 respondents of whom 60 respondents were SMEs with entrepreneurial
training and the other 60 are the MSEs without training. This study adopted descriptive survey
design as research methodology. The population of the study was 11,500 SMEs who are
located at Nyamagana district. Purposive sampling technique was used to select the sample
from the population. Concept of standard deviation as the measure of dispersion among the
two groups was used to come up with the final conclusion. Findings revealed that MSEs with
entrepreneurial training have higher performance compared to the MSEs whose owner never
attended any entrepreneurial training. Results further indicate that SMEs owners do not
support the idea that obtaining entrepreneurial training is the guarantee for the individual to be
successful in the business.
Study found that the barrier for SMEs to be successful is not only lack of entrepreneurial
training, there are a number of factors that hinder SMEs good performance, these factors are
like, shortage of capital, high tax rate and higher interest rate that are offered by some of
microfinance institutions. The study recommends to MSEs owners taking more initiative and
being proactive, innovative and maintains their records properly, this leads to a good business
performance. The recommendation was also offered to business consultants, government
institutions and policy makers for designing their training so as to suit the needs of the SMEs
rather than providing entrepreneurial training in general basis |
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