ASSESMENT OF SUCCESS FACTORES ON MIDUM AND SMALL ENTERPRISE A SURVEY OF MICRO AND SMALL ENTERPRISE IN ADDIS ABABA CITY (A CASE STUDY IN YEKA SUBCITY)

Abstract

This study was conducted to assess success factors of MSEs of business of Yeka sub city. Particularly it has tried to investigate internal factors like shard vision, Trust, commitment, compatibility and joint problem solving and external success factors such as government support, access to finance and marketing opportunity of MSEs businesses. Identifying success factors and their differential contribution to success of member’s form of business enterprises is the objective of the study. To achieve this objective, cross sectional survey design was used. Data was gathered from business partners and concerned administrative body using survey and interview. To gather data using questionnaire a sample size of 190 respondents were surveyed and finally 100 questionnaires were collected and analyzed. The collected data was analyzed using descriptive statistics to achieve objectives of the study. The software SPSS 16 was used to support the data analysis activities. The study result can be used as inputs for partners’ decision making regarding improvement of their business success and the result of the study was to fill the gap of academic research literature of the subject area. The result of the study shows that success of MSEs business is more determined by the internal success factors such as trust and commitment of the partners. Among the external factors, support from the government is mentioned as the most contributing factor. Finally, based on the finding of the study, possible recommendations were given. These include to sustain their business success, partners should give much attention to their internal success factors like trust and commitment and also the problem of access to finance should be eliminated by the concerned body preparing smooth and easy procedure to access credit financing.