Learning Orientation and Customer Retention Practices in Micro and Small Enterprises: Lessons from Agro-processing Firms in Tanzania (Published)
Over years Micro and Small Enterprises (MSEs) have been struggling to build their competitiveness in retaining customers in the highly dynamic business environment in which they operate. Learning has been identified as one of the strategic weapons that influence the the development of appropriate business practices in a turbulent environment. However, there is scanty development of appropriate business practices in a turbulent environment. However, there is scanty literature that relates learning orientation and customer retention practices in agro-processing MSEs specifically in developing economies like Tanzania. This study examines the influence of learning orientation on customer retention practices. The quantitative research approach and cross-sectional research design were adopted. We obtained a total response of 302 questionnaires distributed to owner-managers of micro and small agro-processing enterprises in Arusha, Morogoro and Dar es Salaam regions in Tanzania. Structural Modelling Equation was used in data analysis. The study established that, learning orientation dimensions of learning orientation were positively and significantly influence customer retention practices except shared vision which posted only a positive relationship with competitor analysis and inter-functional coordination practices of agro-processing MSEs. The results provide implications that owner-managers who wish to form appropriate customer retention practices should enhance their learning orientation by putting commitment to learning, opening their doors to new ideas and knowledge and having a shared share vision towards learning. The study recommends that business practitioners and institutions that oversee and support the activities of micro and small business enterprises in Tanzania need to develop a well-built learning environment to accelerate the learning behaviour, competitiveness and sustainability of these firms.
Citation: Nnko E. and John E. (2022) Learning Orientation and Customer Retention Practices in Micro and Small Enterprises: Lessons from Agro-processing Firms in Tanzania, International Journal of Small Business and Entrepreneurship Research, Vol.10, No.3, pp.,58-78
Keywords: Learning Orientation, Tanzania, agro-processing, customer retention practices, micro and small enterprises
Microfinance and Performance of Micro and Small Enterprises; Does Training Has an Impact (Published)
Access to finance is considered as very important for gaining high performance of Micro and Small Enterprises (MSEs). Yet it has been observed that despite the availability of access to finance the performance of several MSEs is poor, which is a major hurdle in the growth rate of MSEs. The purpose of this study was to find the difference in certain performance indicators of MSEs who owners have been given training against those whose owners have never been given any kind of training. In order to conduct study survey research has been conducted and a sample of 384 MSEs was selected on simple random basis. The findings revealed that all the performance indicators including sales increase, income increase, assets increase, employment increase, and meeting household expenses have shown a significant difference among the two groups. The findings of the study are very important for the policy makers and the people who are involved in microfinance industry.
Keywords: Growth, Microfinance, Performance, Training, micro and small enterprises