A Research Dissertation Submitted in Partial Fulfillment of the Requirement for
the Degree of Masters of Business Administration in Corporate Management
(MBA-CM) of Mzumbe University.
The role of small and medium enterprises (SMEs) in the economic and social
development of a nation cannot be overemphasized. The SME sector is considered as the
starting point of entrepreneurship, which is often driven by individual creativity.
However, effective achievements of the benefits of SMEs depend on various factors,
which facilitate the growth to the SMEs. The study was guided by three objectives
namely; to examine the contribution of training on SMEs growth in Ubungo
Municipality, to determine the influence of access to finance on the growth of SMEs in
Ubungo Municipality and to evaluate the role of markets on enhancing SMEs growth in
Ubungo Municipality. The study used qualitative and quantitative approaches in order to
enhance the collection and analysis of information from varied categories of respondents
and multiple methods for data collection. A total of 104 respondents were interviewed,
whereby 100 were entrepreneurs and 4 were key informants
Results show that being small scale entrepreneurs, with competences and skills in
business, managerial skills, record keeping and entrepreneurship skills facilitate the
growth of business. Family owned business, with adequate capital, good conditions for
loans acquisition help to increase the volume of business, increase business profit, and
facilitate the diversification of the profit to other income generating activities hence
results in business growth. Likewise, location, good products quality services, good
customer care and intensive promotion strategies lead to business growth.
It was concluded in the study that effective operation and supervision from the financial
sector to the borrowers is essential for achieving sustainable development to
entrepreneurs as well as perfect performance to the respective financial institution.
Financial institutions and SMEs should be used in consideration to benefit the present and
future generation. And this should be integrated into economic and other development
plan, which should be taken into account by applying financial objectives.