scholarly journals Determinants of Accounting Practice in Micro and Small Enterprises: Evidence from Ethiopia

Author(s):  
Enyew Mulu Zelie ◽  
Tamiru Aniley Alebachew ◽  
Kenubish Asrat Alem

This study assesses the factors determining accounting recordkeeping practices among micro and small enterprises in Ethiopia's South Western Wollo region. It has been noted that, despite the enormous importance of accounting recordkeeping, the practice is still inadequate in micro and small businesses. This study used cross-sectional primary data collected from 343 micro and small enterprises. An ordered logistic regression analysis method was employed to analyze the explanatory variable's effect (education level, number of employees, frequency of transactions, size of the firm, and age of the firm) on micro and small enterprises' accounting practice. The study results show that the education level, the number of employees, the frequency of transactions, and the firm's size have a statistically significant and positive effect on the accounting practice of micro and small enterprises. On the other hand, the firm's age is found to have no statistically significant effect on micro and small enterprises' accounting practice. This study helps micro and small enterprises by showing the significant factors that affect their accounting practice and working towards better reporting and decision-making habits.

2021 ◽  
Vol 10 (1) ◽  
Author(s):  
Erstu Tarko Kassa

AbstractThe main objective of this study is to assess determinant factors for the continuous operations of micro and small enterprises during COVID-19 pandemic. The study adopted a cross-sectional  design, with both descriptive and explanatory research design. To achieve the objectives of the study, 276 respondents were selected from 890 micro and small enterprise owners. The sample of the study was selected through proportional stratified random sampling technique from the business types (manufacturing, construction, urban agriculture, service and trade). To collect the primary data, questionnaires were dispatched to owners/operators of micro and small enterprises. The collected data were analyzed through descriptive, correlation and regression analysis techniques. The finding of the study revealed that people and administrative factors, regulatory factors, economic factors, partnerships, leadership of owner have a positive relationship to micro–small enterprise continuous operations during COVID-19 pandemic with the value of r = 0.457, 0.558, 0.572, 0.519 and 0.654, respectively. The study regression analysis result assured that partnership, economic factors, and leadership of the owner has a positive statistical significant effect on the continuous operations of the micro and small enterprise during COVID-19 pandemic with the value of (p < 0.05). The researcher recommended that strenghtening partnership with stakeloders and excersing best leadership practices are essential to ensure the continuous operations of the micro and small enterpreses.


Author(s):  
Tulus Tambunan

It is undeniable that information and communication technology (ICT) has changed many things in business. The existence of ICT has also increasingly influenced the way business activities are financed via online, known as financial technology (fintech)-based peer-to-peer (P2P) lending companies. This chapter is based on a study which aims to explore the use of e-commerce by small businesses, represented by micro and small enterprises (MSEs), and the role of P2P lending companies in financing MSEs in Indonesia. As an exploratory investigation, it adopts a descriptive analysis. It analyses secondary data and primary data collected from interviews with randomly selected P2P lending companies and owners of MSEs that have been granted loans from these companies. The results suggest that the use of e-commerce by MSEs in Indonesia is still very low. Although national data is not available yet because it is a new phenomenon, this chapter suggests that the emergence of fintech, especially the P2P lending category, will expand MSEs access to funding from formal sources.


2020 ◽  
Vol 11 (4) ◽  
pp. 10
Author(s):  
Patrick M. Mutisya ◽  
Peter K'Obonyo ◽  
Kennedy Ogollah ◽  
James M. Njihia

The aim of this study was to establish the role of organizational design in the organizational ambidexterity - performance relationship among large manufacturing firms (LMFs) in Kenya. The studies linking ambidexterity to organizational performance are few and with mixed findings. The few studies indicate that there is no clear ambidexterity - organizational performance relationship. The research was founded on dynamic capabilities and configurations theories. Based on the reviewed literature, a conceptual model and hypotheses were formulated. The study was guided by positivist philosophy. The population of the research was the entire 107 Kenyan large manufacturing firms (LMFs). Cross-sectional research design was used. Primary data in respect of predictor variables was used and was collected using a structured questionnaire. The respondents were the senior managers of the large manufacturing firms (LMFs) in Kenya; namely Chief Executive Officers/Managing Directors (CEOs/MDs) or General Managers (GMs), or Heads of departments (HODs). Descriptive statistics, correlations, linear, multiple and hierarchical regressions were applied in the data scrutiny and interpretation. The study results showed partial organizational design mediating role in the organizational ambidexterity - performance association of LMFs in Kenya. The study findings are useful to practitioners and managers of LMFs, policymakers in government as well as scholars and researchers. The study recommends further studies on the mediating role of organizational design, different variable operationalization, diversify respondents and context as well as longitudinal study.


2018 ◽  
Vol 9 (2) ◽  
pp. 55
Author(s):  
Yared Teshome Geneti

In Ethiopia, Micro and Small Enterprise (MSE) is prioritised as important means of economic diversification, job creation, income generation and equity distribution as indispensable poverty reduction sector since 2006. Despite the great attention given to micro and small enterprises, little research exists that examines challenges and opportunities of the Sector in the implementation trajectory. With the new initiative of National Development Programme to Accelerate Sustainable Development to Eradicate Poverty (PASDEP) in 2006-2010, the government has been commencing a new Micro and Small Enterprises Development Strategy. However, the blue prints strategy would be able to prove in the process to achieve the goals and target through timely evaluation of its implementations. It has been long time and common to listen and observe complains of MSEs on the overall sectoral performance and strategic incompatibility both among the unemployed societies and existing MSEs. Based on this rationale, the study was intended to assess the challenges and opportunities of the existing MSE strategy in Ambo town. In this descriptive research primary data were collected from 135 MSEs in Ambo using stratified and purposive sampling design.<br />MSEs in Ambo town are facing different challenges. These challenges are identified as marketing, financial, good governance, i.e., lack of market place; inadequacy credit facilities and inefficient service delivery. The study shows that the long and delayed procedure to establish MSEs is the most common challenges observed in both the old (2006) and new (2011) strategies. These are mainly as a result of inefficient human resource capacities of the sector and cumbersome procedures of credit and saving institution in the town. Moreover, a little understanding of unemployed society on the strategy is the main gap creating misunderstandings. Findings indicated that, the above challenges are a bottle-neck to the goal set by the strategy to create jobs for unemployment and being urban base of local economic and social development. In prospect wise, the study asserted that, the 2011 strategy has been improving MSEs to have a clear definition, typical set ups and structure arrangements as enterprise. Therefore, the strategy has identified as the means to change the societal structure by creating broad local economic and social development to the extent of medium investors. Finally, promoting awareness to active unemployed citizens by giving continues capacity building for both office staff and members of enterprises, local governance reforms and the rechecking of MSE establishment procedures are important in alleviating the problems at implementation stage.


2018 ◽  
Vol 1 (1) ◽  
pp. 80-107
Author(s):  
Patrick Orengo Omari

Purpose: To determine the stakeholder aspects influencing implementation of food security projects in Msambweni District, KenyaMethodology: The study adopted a cross sectional descriptive case study. The population to be comprised the residents of Msambweni district who practice farming activities. Sampling of farmers was done at random from the existing divisions and locations of Msambweni district. The primary data was gathered using questionnaires that were semi-structured. Descriptive analysis was used and this included the use of weighted means, standard deviation, relative frequencies and percentages. The results of the analysis were presented using tables, percentages and bar-charts.Results: Results indicated that land ownership was a key determinant in influencing food projects implementation. The findings indicated that land ownership made the implementation of food security projects easy and faster. There was a positive and significant relationship between food security project implementation and land ownership. The findings also indicated that there are taboos in their community which discourage some types of farming methods and some food crops and if people in Msambweni were to disregard cultural beliefs farm productivity and food sufficiency would change positively. The findings were also supported by a negative correlation and the relationship between food project and cultural practices was found not to be statistically significant. Results indicated that farming methods and inputs were key determinants of food security project implementation. The findings indicated that farming methods influenced the implementation of food projects at Msambweni district.  The correlation between farming methods and food security project implementation was found to be strong and positive. Results indicated that education was a key factor that influences food security project implementation. However the findings also indicated that education level of the respondents did not matter so much as long as they apply the correct farming methods and attend farming seminars and workshops. There results also showed that there was a positive and significant relationship between education level and food security project implementation.Unique contribution to theory, practice and policy: Based on the results, it is recommended to the farmers to ensure that they retain their own lands and avoid selling and put the land into good use by practicing farming. It is recommended to the farmers that they review the existing taboos and beliefs and disregard them as this can lead to improved food security due to embracement of the government food security project implementation. It is also recommended that the farmers should have an open mind in fighting hunger as this will ensure that all people work to the betterment of improving food security issues regardless of the religion and culture. It is further recommended to the farmers to evaluate the advantages of mechanized farming methods and traditional farming practices and embrace the better option. The study also recommends that the farmers should attend the farmer’s workshops and seminars organized by the government to exchange ideas and learn also new tactics of farming activities. The study recommends that the farmers to organize themselves in groups to invite the agricultural officers so that they can be trained on various farming methods and on how to improve their productivity. It is also recommended that the government should look for ways of communication modern methods of farming using locally understood languages to ensure that the whole country embraces changes at the same pace.


Author(s):  
Castro Ngumbu Gichuki ◽  
Milcah Mulu Mutuku ◽  
Lydia Nkatha Kinuthia

Purpose – The purpose of this study is to investigate the inability to access affordable credit in Kenya which hinders many women entrepreneurs from either starting their own or expanding existing enterprises and capital base. The emergence of table banking groups attempts to fill the existing credit gap. Design/methodology/approach – A cross-sectional survey involving 225 randomly selected women entrepreneurs who participate in table banking groups within Nakuru Municipality was conducted. Data collection comprised a questionnaire whose reliability coefficient was 0.83 at 0.05 confidence level. Findings – Results indicated that a majority women entrepreneurs aged between 20 and 60 years with 71 per cent of them married. Further, 44 per cent had attained secondary-level education, while no illiterate entrepreneurs participated in the study. A positive increase in the number of employees, after members participated in table banking groups, was realized. Credit received from table banking influenced changes in the size of enterprises. Originality/value – The study shows that availability, affordability and accessibility of credit from table banking groups led to positive growth of women-owned enterprises.


2020 ◽  
Vol 5 (1) ◽  
pp. 44-58
Author(s):  
Dorothy Sikolia ◽  
Rev. Dr. Paul . Mathenge ◽  
Dr. Joseph Ntale

Purpose: This study focused on the social- cultural factors and growth of Micro and Small enterprises owned by women in Likuyani Sub County, Kakamega County, Kenya. The study sought to investigate the social –cultural factors that influence the growth of women-owned MSE enterprises in Likuyani sub County, Kakamega County, Kenya. The specific objectives for the study were :-To determine the influence of literacy on the Growth of women-owned MSEs in Likuyani Sub County, Kakamega County, determine the influence of discrimination on the Growth of women-owned MSEs in Likuyani Sub County, Kakamega County, find out the effects of domestic commitments on the Growth of women-owned MSEs in Likuyani Sub County, Kakamega County and to establish the influence of social networking on the Growth of women-owned MSEs in Likuyani Sub County, Kakamega County.Methodology: The study adopted a descriptive research design. The study targeted a population of 729 women-owned MSEs in Likuyani Sub County who were sampled using Stratified sampling to arrive at an adequate sample of 252 respondents. A structured questionnaire was used as a tool to collect primary data. Validity and reliability tests were done on the research tool through piloting before administration. The data collected was analyzed using quantitative analysis to produce descriptive statistics and inferential analysis to predict a study model.Findings: The study findings showed that; literacy, discrimination, domestic commitments and social networking, had a significant positive influence on the Growth of women-owned MSEs in Likuyani Sub County. In conclusion, the study revealed at 5% level of significance, 67.7% of variation in Growth of women-owned MSEs in Likuyani Sub County being explained by literacy levels, discrimination, domestic commitments, and social networking.Unique contribution to theory, practice and policy: The study recommended that; women in Kakamega County should seek to access basic secondary school education at minimum to  attain some basic entrepreneurial skill and business skills access; the county government of Kakamega should take stringent measures for ensuring that section of the constitution of Kenya relating to gender equity and rights of women are keenly observed for eliminating discrimination; there should  be equal sharing of domestic commitments and promotion of women rights through equal gender division of labour between husband and wife or within the family, women within the county should build strong social networking


2021 ◽  
Author(s):  
Teamur Aghamolaei ◽  
Shokrollah Mohseni ◽  
Azin alavi ◽  
mohammed hossein chalak ◽  
Hesamaddin Kamalzadeh Takhti ◽  
...  

Abstract Background: Misconceptions about the infection and health consequences of recovered Coronavirus Disease 2019 (COVID-19) patients often lead to a fear, social avoidance and discriminatory attitude. The present study explored the Factors associated with social avoidance and job-related discriminatory attitude against recovered COVID-19 patients. Methods: The present cross-sectional online study was conducted on 3,836 Iranian participants above 15 years old. The participant selected conveniently between February 19, 2021 and May 21, 2021. The data collected using a reliable and valid questionnaire that developed by research team. Univariate and multivariate linear regression analysis was used to identify the impact of factors related to social discrimination and discriminatory attitudes towards improved COVID-19 patients. Results: The results shows 56.72 and 49.06% of the population had social avoidance and job-related discriminatory attitude respectively. Furthermore, age, gender, education level, marital status, employment, presence of a recovered COVID-19 patient in family and place of residence were significant factors influencing social avoidance and job-related discriminatory attitude. As an instance, those in the 45-64 age group showed 1.1 times more social avoidance than the 20-29 age group. Also, men showed 37% less social avoidance than women. Social avoidance was significantly higher and the discriminatory attitude was higher in participants of lower education level. Besides, the job-related discriminatory attitude was 1.2 times higher in the 45-64 than the 20-29 age group. The discriminatory attitude was 16% less in men, 39%, 25% and 49% less, respectively in participants with a secondary school, diploma or university degree.Conclusions: To reduce social avoidance and job-related discriminatory attitude we suggest that the medical sector and relevant organizations provide clear and comprehensive information about improved COVID-19 patients to their families and general public through direct communication and the mass media. Base on the study results they need more focus on urban residents, women and families with a recovered member


Author(s):  
Breno José Burgos Paredes ◽  
Guilherme Alves de Santana

Alguns fenômenos vêm influenciando de forma marcante as atividades econômicas do estado de Pernambuco, como a globalização e a recente alocação de grandes indústrias. Neste cenário, às Micro e Pequenas Empresas localizadas na região exercem papel fundamental no desenvolvimento local, devido sua representatividade no fomento à economia. Partindo da necessidade de avaliar o cenário inovativo industrial pernambucano, este estudo mensura a evolução do grau de inovação organizacional de indústrias de transformação localizadas em Recife/PE. Para tanto, aplicou-se o diagnóstico Radar da Inovação em 30 Empresas de Pequeno Porte do setor. Os resultados apontaram que o setor apresenta um comportamento inovador ocasional, obtendo um Grau Médio de Inovação (GMI) inferior a 3,0. Dimensões voltadas a relacionamento, processos e ambiência inovadora se destacaram de forma positiva por causa do número de inovações realizadas e da evolução do grau médio de inovação.Abstract: Some phenomena have influenced markedly the economic activities of the state of Pernambuco, as globalization and the recent allocation of large industries. In this scenario, the Micro and Small Enterprises located in the region play a key role in local development, because their representation in stimulating the economy. Starting from the need to evaluate the Pernambuco innovative industrial setting, this study measures the evolution of the degree of organizational innovation in manufacturing industries located in Recife / PE. To this end, we applied the Innovation Radar diagnosis in 30 Small Businesses of the sector. The results showed that the sector presents an innovative casual behavior, providing a Middle Degree of Innovation (GMI) below 3.0. Dimensions focused on relationships, processes and innovative ambience stood out positively because of the number of innovations made and the evolution of the average degree of innovation.Keywords: Innovation; Industrial innovation; Industry of Pernambuco; Innovation Radar. 


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