Assessing the Challenges and Opportunities of Micro and Small Scale Enterprise for Economic Development in Shone Town (Published)

This study examines the challenges and opportunities of micro and small-scale enterprises for economic development of Shone town. The general objective of the study was to assess the challenges and opportunities of MSEs for economic development in Shone town. In this study mixed research design was used. Probable and non-probable sampling techniques were used. In this study there were 94 households are selected by using stratified, quota and simple random sampling techniques from 1685 households. This study used primary and secondary data sources were used. Primary data were collected through questionnaire, interview and observations and secondary data were collected from different written materials and documents. In this study both qualitative and quantitative method of data analysis were applied. MSEs have a crucial role because of their potential contribution to development of income distribution, employment creation, poverty reduction, industrial development and export growth and opportunities like providing a new and more important product and services, making products and services easily available, increase their income and improve their livelihood. However, these MSEs have constraints in socio-economic, institutional and physical (infrastructural) problems were identified. Based on the findings of the study different measures were recommended like giving training about the advantages of cooperation for works of MSEs, creating awareness where the respondents can produce and solve market place problems and market center small shops and giving for MSEs at minimum rate, the government should give material and technical support and other measures were recommended.

Citation: Alemu Ersino Ersado (2023) Assessing the Challenges and Opportunities of Micro and Small Scale Enterprise for Economic Development in Shone Town, International Journal of Development and Economic Sustainability, Vol.11, No.2, pp.71-87

 

 

 

 

 

 

Keywords: Business, Development, Enterprise, Entrepreneur, micro-scale and small-scale

Hindrances to Microfinancing: A Nigerian Case Study (Published)

Traditionally, commercial banks lend money to large, credit-worthy corporations and avoid doing business with small and medium enterprises due to the associated risks and costs. These small and medium enterprises depend on microfinance banks to obtain loans for their businesses, but for some reasons, some of these businesses do not approach microfinance banks for loans. This research investigates reasons why some businesses do not apply for loans from microfinance banks even though they need funds for the efficient running of their business. Results show that lack of collateral, ignorance of businesses about the existence of microfinance banks, and high interest rates are the main reasons that are hindering businesses in applying for loans from microfinance banks. Microfinance banks need to reach out to economically active poor businesses that cannot obtain loans from commercial banks or other financial institution.

Keywords: Business, Enterprise, Entrepreneur, Loans, Microfinance, Nigeria