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This study wanted to understand the entrepreneurial capacity development for SMEs in
Tanzania. To achieve this rationale, a total of 100 stationery entrepreneurs comprising
35% males and 65% females in Ilala Municipality were surveyed. The study was guided
to achieve three objectives namely; to describe entrepreneurial competencies needed by
SMEs entrepreneur, to describe how entrepreneurial capacity development contributes
towards acquisition of competencies needed by SMEs entrepreneurs and to find out how
entrepreneurial competencies are utilized for development of SMEs among
entrepreneurs. The required data were gathered using closed ended questionnaires as well
as by reviewing relevant documents. From the survey data, it was understood that survival
of the stationery services depended on the level and background education and experience
of entrepreneurs of stationery services. Also, it was understood that while profit and loss
records of the stationery was explained by ones years in the stationery services, the same
was not clear with the level and background education of the stationery entrepreneurs.
Hence, related experience in entrepreneurship would account high rate of failure of the
newly established business ventures in Tanzania. In order to develop stationery services,
it was understood that the stationery entrepreneurs needed combination of three
categories of competencies namely; the behavioral, managerial and technical
competencies. These competencies were acquired through different means such as short
courses, consultancies and community outreach services. Also, the study found that
utilization of entrepreneurial competencies such as related education and knowledge did
not guarantee entrepreneurs to establish profitable stationeries which is contrary with
Sen’s Capability Theory arguing that individual possessing entrepreneurial education and
knowledge is likely to be more successful than one who is not. The researcher
recommends among other things that in order to develop SMEs entrepreneurs, capacity
development should identify specific entrepreneurial competencies specifically
entrepreneurship and business experience and ensuring enabling them to acquire them
through short courses, consultancies or community outreach services. |
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