The Roles And Challenges Of Microenterprises In The Economic Transformation Of The Society

TABLE OF CONTENTS

TABLE OF CONTENTS ............................................................................................. i

DECLARATION ....................................................................................................... iii

APPROVAL ................................................................................... .iv

DEDICATION············································································································ V

ACKNOWLEDGEMENT ......................................................................................... vi

DEFINITION OF TERMS ....................................................................................... vii

ABSTRACT ............................................................................................................. viii

CHAPTER ONE ......................................................................................................... 1

INTRODUCTION ...................................................................................................... 1

1.1 Background ........................................................................................................... 1

1.2 Statement of the problem ...................................................................................... 5

1.3 purpose of the study .............................................................................................. 6

1.4 Specific objectives ................................................................................................ 7

1.5 Hypothesis ............................................................................................................. 7

1.6 Scope of the study ................................................................................................. 7

1. 7 Significance of the study ....................................................................................... 8

. CHAPTER TWO .................................................................................................... 9

LITERATURE REVIEW ........................................................................................... 9

2.1 Theoretical evidence review ................................................................................. 9

2.1.1 The Relevance of Micro Enterprises sector to planning Model ........................ 9

2.2 Empirical evidence review .................................................................................. 11

2.2.1 Share of firms and employment ....................................................................... 11

2.2.2 Location ........................................................................................................... 12

2.2.3 Gender .............................................................................................................. 12

2.2.4 Firm Creation/Contraction ............................................................................... 13

2.2.5 Labor Intensity ................................................................................................. 13

2.2.6 Job Creation ..................................................................................................... 14

2.2. 7 Market Linkages .............................................................................................. 15

2.3 Taxation, registration and licensing of Micro enterprises .................................. 16

2.4 Credit policies in Tanzania ................................................................................. 17

2.5 Sources of credit to small and micro-enterprise.: ............................................... 18

2.6 Micro enterprises and its access to finance ......................................................... 21

2.8 Economic Empowerment .................................................................................... 22

CHAPTER THREE .................................................................................................. 24

RESEARCH METHODOLOGY .............................................................................. 24

3 .1 Sampling Design ................................................................................................. 24

3 .2 Sample size ......................................................................................................... 24

3 .3 .1 Sources of data ................................................................................................. 24

3.3.2 Methods of data Collection .............................................................................. 25

3 .4 Procedures for data analysis ................................................................................ 25

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3.5 Methods of Data Analysis ................................................................................... 26

3.6 Study Limitations ................................................................................................ 26

CHAPTER FOUR ..................................................................................................... 27

DISCUSSION AND PRESENTATION ................................................................... 27

4.1 Entrepreneurs & enterprises characteristics ........................................................ 27

4.2 The roles of micro enterprises in economic transformation ............................... 29

4.2.1 Matrix model hypothesis testing ...................................................................... 29

4.2.2 Correlation analysis hypothesis testing ............................................................ 33

4.2.1.3 Job creations ................................................................................................. 35

4.2.1.5 Women empowerment and development ....................................................... 36

4.3 Challenges in micro enterprises environment ..................................................... 37

CHAPTER FIVE ...................................................................................................... 44

5.0 SUMMARY, CONCLUSIONS AND RECOMMENDATIONS ...................... 44

5 .1 Summary ............................................................................................................. 44

5. 2 Conclusions ........................................................................................................ 44

5.3 Recommendations ............................................................................................... 45

5 .4 Areas of further research ..................................................................................... 4 7

REFERENCES ......................................................................................................... 49

APPENDICES .......................................................................................................... 54