A dissertation submitted for partial fulfillment of the requirements for the Degree of Master in Business Administration in Corporate Management (MBA-CM) of Mzumbe University
The general objective of conducting this study was to assess the role of small-scale
industries in employment creation. The study specifically determines the extent of
employment rate among small scale industries at Mwenge Handicrafts Cluster,
secondly it determines the importance of small-scale handcraft industries on solving
the issues of unemployment in Tanzania, thirdly identify strategies for improving the
contribution of small scale handcraft industries on employment creation and lastly
identify the challenges facing small handcraft industries in Mwenge towards solving
the challenges of unemployment.
The study employed descriptive research design which allows the researcher to
employ various methods such as questionnaires, and interview guide. Primary data
were collected at Mwenge handcraft cluster along Sam Nujoma road. The study used
documentary review to add on the primary data. Furthermore, the study used a
sample of 80 respondents selected from Mwenge handcraft industries in Mwenge.
The study used both qualitative and quantitative data. Under quantitative data, data
were analyzed using Scientific Package for Social Science (SPSS) version 21.
Qualitative information recorded during interview data were presented through
respondents’ direct quotes.
The evidence shows that about 5000 individuals have directly involved in handcraft
business in Mwenge handcraft site. Therefore, directly and indirectly, handicraft
industries have acted as a major source of income of the people involved. Some of
the crafters acknowledge that they have managed to build their own houses, sending
their children to school, buying a motorcycle as well as affording day to day expenses
which are directly from handcraft business.
The study concludes that handicraft business is very important as a sector as it
enables creations of employment opportunities among the people. However, the
findings show that the number of jobs created is few as compared with the level of
unemployment in Tanzania. However, in Tanzania, there is no specific database or
report showing the exact number of employment opportunities created directly from
handcraft sector.