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DETERMINANTS OF GROWTH OF MICRO AND SMALL SCALE AGRIBUSINESS ENTERPRISES IN KENYA: A CASE OF KIAMBU COUNTY

 

Beatrice Wairimu Mwangi

College of Human Resource and Development,

Jomo Kenyatta University of Agriculture and Technology

P. O. Box 62000, 00200 Nairobi, Kenya

Corresponding Author email: This e-mail address is being protected from spambots. You need JavaScript enabled to view it

 

Dr. Allan Kihara

College of Human Resource and Development,

Jomo Kenyatta University of Agriculture and Technology

P. O. Box 62000, 00200 Nairobi, Kenya

 

CITATION: Mwangi, B., W. & Kihara, A. (2017). Determinants Of Growth Of Micro And Small Scale Agribusiness Enterprises In Kenya: A Case Of Kiambu County. International Journal Of Strategic Management. Vol. 6 (5) pp 603 – 619.

ABSTRACT

 

The purpose of this study was to examine the determinants of growth of micro and small scale agribusiness enterprises in Kenya. The specific objectives of the study were to determine how managerial skills, access to finance, business information services and entrepreneurial skills affect growth of micro and small scale agribusiness enterprises in Kenya. The study was limited to the 766 registered agribusiness MSEs in Kiambu County which gave insights on the various growth related problems faced by the enterprises in the region. The study adopted a descriptive research approach to collect primary data. With the help of the statistical package for social sciences (SPSS) programme version 22 regression analysis was done and the results were used at .05 level of significance, determined the coefficients of the multiple regression model to establish the sample regression model and to evaluate the reliability of the estimated relationship. The regression model of growth of micro and small scale agribusiness enterprises coefficient of determination R Square was 0.638 and R was 0.799. The coefficient of determination R Square indicated that 63.8% of the variation on growth of micro and small scale agribusiness enterprises can be explained by the set of independent variables, namely; managerial skills, access to finance, access to business information services and entrepreneurial skills. The study contributes to the body of knowledge by examining the determinants of growth of micro and small scale agribusiness enterprises in Kenya. The study also contributes to the existing literature in the field of entrepreneurship by elaborating exiting theories, models and empirical studies on factors affecting growth of micro and small scale agribusiness enterprises. The current study should therefore be expanded in future in order to determine the effect of legal framework on the growth of micro and small scale agribusiness enterprises.

 

Key words: Managerial skills, Finance, Access to business information services, Entrepreneurial skills, Growth of micro and small scale agribusiness enterprises in Kenya.

 


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