Business sustainability practices in micro and small enterprises: A systematic review

This study was conducted in Durame Town, KembataTemaro zone, Southern Ethiopia. The objective of the study is to find out factors that determine growth of Micro and Small Enterprises and to assess current status of Micro and Small Enterprises in terms of employment and capital growth. Out of 148 Micro and Small Enterprises in the study area, 100 Micro and Small Enterprises (MSEs) were selected as a sample using stratified and simple random sampling technique. They were stratified based on the sector they are operating. The data were analyzed using descriptive statistical tools including mean, percentage and standard deviation. The binary logit model was applied to identify determinants of MSEs growth. The study used employment and capital as growth indicators. Growth rate for the two indicators was computed by the change of natural logarithm of employment or capita over the life of enterprise. After calculating growth rate, Micro and Small Enterprises were grouped into two categories growing and non growing. Micro and Small Enterprises which had growth rate < 0 categorized into non growing and Micro and Small Enterprises which had growth rate ≥ 0.The finding of the study shows that out of the total sample 40% of Micro and Small Enterprises are growing and 60% of Micro and Small Enterprises are non growing in terms of employment. In terms of capital 69% of Micro and Small Enterprises are growing and 31% are non growing. The model result indicated that out of 19 explanatory variables, 10 variables were found to be significant in determining Micro and Small Enterprises growth. Factors found to be significant for employment growth were: entrepreneurship training, location of enterprise, motivation of owner, market linkage, access to finance, access to water. Factors found to be significantly influencing capital growth were: education level of owner, motivation of owner, number of owners, initial employment size, social network. Hence, government and non-government organizations that are concerned with the promotion and development of MSEs need to take these factors in to account to accomplish better result and increase the potential contribution of MSEs to the economic growth.

Micro and small enterprises (MSEs) have failed to achieve set objectives of generating sustainable growth and employment. The growth and survival rate of micro and small-sized enterprises (MSEs) in Kenya has been one of the major concerns of the policy makers, practitioners and scholars. The high failure rate among small and medium enterprises businesses in Kenya has created an urgent need to identify strategies that will improve their levels of performance. The strategy and entrepreneurship literature suggests that an entrepreneurial competitive strategy improves firm performance, but empirical results are mixed. This study investigated how entrepreneurial competitive strategies: innovativeness, risk-taking and competitive aggressiveness), affect performance of MSEs in Kenya. In doing so, the study examined the moderating effect of external environment on these relationships. The objectives of the study was to determine: the influence of innovativeness, risk taking propensity, competitive aggressiveness, moderating influence of external environment on performance of micro and small enterprises of Dairy MSEs in Nyeri County. The study used a descriptive survey design. The study was anchored on Resource Based Theory, Diffusion Innovation Theory and Entrepreneurship Theories. The target population will be all the managers/Owners in the 146 Dairy MSEs in Nyeri, County Kenya. The study adopted two sampling designs namely stratified and simple random sampling design. The sample size will comprise of 146 respondents. The study used questionnaires to collect primary data. Pilot test was done to three respondents in three Dairy MSEs to refine the research instruments. Content validity was determined by experts. The reliability of the instrument was tested using Cronbach's Alpha coefficient. A Cronbach's coefficient alpha of .80 or higher was adequate in this study to allow the instrument for data collection. Data analysis was carried out using descriptive statistics. To establish the overall relationship between the independent and dependent variables in the conceptual framework. The study identified and recommended the factors that influence entrepreneurial innovation strategies on performance of dairy micro and small enterprises in Nyeri County, Kenya. These were replicated in areas with similar agro ecological zones facing similar challenges. The study found that entrepreneurship product innovation, process innovation and market innovation had a positive and significant influence on the performance of dairy micro and small enterprises in Nyeri County, Kenya. The study concluded that product innovations helps in developing improved versions of existing products in a market, enhancing the functionality or desire for an item by taking consumer feedback to make improvements or discovering additional features and technology to add. Innovative processes typically describe changes to how a company manufactures a product or performs a transaction, so it can yield better results and profits. The concept of marketing innovation identifies a framework for strategies to make important changes in a product/service, function, price, etc. to achieve higher business objectives such as attracting customers, enhancing image and gaining competitive advantages. The study recommended that the organization should determine its objectives first by being clear with their product goals. Understand its market at all times including its customers and competitors so as to understand what else is going on within its market segment. The organization should adopt new technology to increase efficiency and effectiveness such as automation tools that automates the manual tasks in a given process. The organizations can go for rebranding to match their marketing content to a new product or process the company is selling or using. Retain existing customers to help when selling innovative products.

Purpose: Micro and Small Enterprises (MSEs) are important drivers of economic growth and development in Kenya. These enterprises create employment, facilitate wealth creation and form the backbone for private sector growth and expansion. The numerous challenges facing MSEs in Kenya are both internal and external to their operations. Many businesses are characterized by entrepreneurs’ lack of proper entrepreneurial training, lack of marketing capacity and broad operational capacity, lack of business innovation, inadequate business training, lack of motivation for business and pro-activeness. The purpose of the study was to evaluate how entrepreneurial innovation competence influences the growth of micro and small enterprise in Nairobi County. Methodology: The study adopted a descriptive survey design. There were 1,236,907 operating businesses categorized as MSEs in Nairobi County by the year 2020. To select the MSE in all the regions in Nairobi County, cluster sampling techniques was employed, first to identify the various MSEs and clusters relevant to this study. Seventeen clusters were identified according to where they are located. 384 respondents formed the study sample. The selection of the sample from each cluster of the study was through simple random sampling. The study used a questionnaire to collect primary data, which was then analyzed using Statistical Package for Social Sciences (SPSS version 23). Data analysis was done using descriptive statistics, Pearson correlation coefficient and regression analysis. Findings: The findings showed that an increase in Innovation competence would result to increase in growth of micro and small enterprise in Nairobi County. The findings showed that a unit increase in Entrepreneurial Innovation competence would result to an increase of 0.622 units in growth of micro and small enterprise in Nairobi County. The univariate analysis fitted to test the relationship between innovation competence and growth of micro and small enterprises in Nairobi County show that entrepreneurial innovation competence explained 31.2% of the variation in growth of micro and small enterprises in Nairobi County other factors held constant. Unique Contribution to Theory, Practice and Policy: The Theory that underpinned the study was entrepreneurial competency theory. This study recommended that micro and small enterprises should invest in technological innovation to enhance their growth. Investing in the latest software and hardware solutions can help increase productivity, streamline operations, and improve customer service. Additionally, investing in technology can help micro and small enterprises stay competitive in the global marketplace.

Micro and Small Enterprises (MSEs) in DebreBerhan town does not show necessary growth level and some of the enterprises ceased from market in their infant age. Hence, this study conducted with the objective of assessing factors affecting growth of micro and small enterprises in DebreBerhan town. The study has used both descriptive and explanatory research designed. Data for the analyses collected through questionnaire and focus group discussions. The study has used stratified random sampling technique to select 109 MSES from 1511 fond in DebreBerhan town. The study has used correlation and regressions to establish the relationship between variables. Correlation coefficients revealed a significant relationship between the factors and growths of MSEs (current capital). Variables such as initial capital, access of infrastructure, technology use, habit of receiving feedbacks from customer, profitability of business and government motivation are positively influence to growth of MSEs (profit). Hence improving those variables increase growth of MSEs (current capital). Multiple regression analysis has also revealed that 60.6% the variation in response variable (current capital) is explained by predictor variables and improving those variables increase growth of MSEs (capital). The study recommends that MSEs Office could be transparent at the time of allocating the working place to the MSEs, better to design close supervisor of MSEs and linking the MSEs with other private contractors working around DebreBerhan town, support the establishment and strength of business development services. Moreover, in order to reduce the influence of factors on growth of MSEs, policy makers and the service provider institutions need to consider and revise the extent, intensity, and quality of support and their linkages.

Purpose: The ability of businesses to integrate information technology in their operations has been found to be an integral driver to their success. Through information technology, firms can utilize technological innovations to strengthen the uniqueness of their products in the market thus enhancing their competitive advantage. However, with limited evidence in the local context especially among the micro and small enterprises which continue to face a continuous decline, it warrants the study to assess how strategic technological innovations have been embraced among the small and micro enterprises and the role the innovations have played in enhancing the competitive advantage of the enterprises. Specifically, the study will examine the influence of enterprise’s IT Capabilities on competitive advantage among Micro and Small Enterprises (MSEs); determine the influence of Technological resources on competitive advantage among Micro and Small Enterprises (MSEs); explore the influence of adopted new technologies on competitive advantage among Micro and Small Enterprises; and establish the influence of Technological Processes and Products (TPP) on competitive advantage among Micro and Small Enterprises (MSEs) in Nairobi County, Kenya. The objectives will be anchored on dynamic capabilities theory, Schumpeter theory of innovation, technology acceptance model and diffusion theory of innovation. Methodology: Using a descriptive research approach, the study will collect and analyse both qualitative and quantitative data. This data was obtained from 386 micro and medium enterprises in Nairobi Central Business District, drawn from a population of 11,245 MSEs registered by the Nairobi City County in the CBD. A questionnaire was the main instrument of data collection, which was pilot-tested for validity and reliability. The collected data was analyzed using descriptive and inferential statistics. Findings: The findings were presented using frequency tables and graphs. In conclusion, the findings emphasize the critical role of technology in driving market expansion, customer engagement, and operational efficiency. The study highlights the importance of strategic support and intervention to address technological adoption challenges. By encouraging technological development and integration, policymakers and other stakeholders can assist MSEs in improving their operations, boosting the economy of Nairobi County. Investing in technological education and infrastructure is essential for MSEs to optimally benefit from TPP in the contemporary digital economy. Unique Contribution to theory, policy and practice: Training and development on how MSEs can use the platforms effectively, online marketing and selling needs to be promoted to help MSEs build their capacities. Therefore, when equipped with the appropriate knowledge and tools, the policymakers can help the MSEs to adopt e-commerce and increase their market access and productivity.

Globalisation and increasing competition affect all existing enterprises, as well as those in emerging economies. For this reason, enterprises continuously improve their own management systems and try to gain a competitive advantage in the market in addition to eliminating shortcomings. In emerging economies in Central Europe, including Slovakia, there are still not well-established tools to support management decisions that could reveal reserves, identify deviations from the required state and reflect all these attributes in the system of motivation, evaluation, and remuneration of employees. Controlling is such a tool, the implementation of which is a prerequisite for growth in performance and market value of the enterprise. The aim of the paper is to identify and present the optimal software support for controlling for the given segment of enterprises based on the mapping of the current state of using Business Intelligence to support controlling in micro and small enterprises (MSEs) in the conditions of the specific emerging economy, namely Slovakia. This information system will allow MSEs to respond flexibly to market changes, offer alternative options to support managerial decisions and can simulate the impact of any change in the plan on business management. Within empirical research, a questionnaire was used as a method to survey the given problem in the business practice of micro and small enterprises in Slovakia. The questionnaire was sent to 2,415 MSEs, with the research sample consisting of 421 respondents, i.e. of 17.43%. The survey meets the condition of a minimum sample size. We focused on groups of micro and small enterprises, as these represent 99% of the country’s market potential. While the introduction of the controlling module into the basic information systems of the company or Business Intelligence are investment-intensive for MSEs, as a real option, affordable software support for controlling based on the MS Excel programme was identified in practice. In view of the above, a prototype of a controlling information system called ‘SOFIN-KA’ was designed and successfully tested in the practice of the Slovak Republic in an MS Excel programme, which is customisable to each MSEs. Implications for Central European audience: For the success of micro and small enterprises (MSEs) in today’s turbulent business environment, it is important to make better and faster decisions. However, MSEs in Central Europe, including Slovakia, currently do not often have sufficiently established tools to support management decisions. One of the ways to solve this problem is controlling. The proposed software support for controlling is applicable not only in Slovak MSEs but also in V4 countries. The software has been designed this way that it can always be adapted to the specific conditions of each company.

Micro and Small Enterprises (MSEs) play an important economic role in many countries and recognized as an important vehicles of economic diversification, employment creation, income generation and distribution, and poverty alleviation. MSEs occupy a prominent position in the development agenda of many developing countries like Ethiopia. Currently, In Ethiopia, the Government has been promoting the development of MSEs through the formulation and implementation of Micro and Small Enterprises development strategy and the number of MSEs in the country is steadily growing. But, much more important than increase in their numbers, their current status, stage and pace of development is significant because most MSEs are hibernated from growing and faced with the threat of failure due to many factors. The purpose of this study is to assess the constraining factors related to marketing, management, finance and government supports hindering the growth of MSEs in Robe town. The study was employed through descriptive and explanatory research design in which stratified random sampling method was used to collect data from MSEs owners/ managers of five selected sectors according to the objective of the study with a total population of 949 and 281 samples. The samples were selected randomly from each stratum using proportionate allocation after stratification of the sectors. Questionnaires of data collection were used in the study. The data was analyzed using descriptive statistics and explanatory research design. The findings indicate that the most common factors constraining the growth of MSEs in Robe are: lack of working premises, lack of working capital and access to credit, lack of market access, inadequate availability of infrastructure, lack of managerial training and experience; and scanty of marketing information. Replication of this study using larger samples and a broader geographic base, longitudinal data collection and using more statistical tests is suggested for cross-validation purposes in future researches to identify the factors constraining the growth and survival of MSEs. Keywords: growth, continuity, micro and small enterprise, Robe town DOI: 10.7176/EJBM/12-16-03 Publication date: June 30th 2020

Purpose: The purpose of the study was to establish how entrepreneurial motivation competence influences the growth of micro and small enterprise in Nairobi County. Micro and Small Enterprises (MSEs) are important drivers of economic growth and development in Kenya. These enterprises create employment, facilitate wealth creation and form the backbone for private sector growth and expansion. The numerous challenges facing MSEs in Kenya are both internal and external to their operations. Many businesses are characterized by entrepreneurs’ lack of proper entrepreneurial training, lack of marketing capacity and broad operational capacity, lack of business innovation, inadequate business training, lack of motivation for business and pro-activeness. Methodology: The study adopted a descriptive survey design. There were 1,236,907 operating businesses categorized as MSEs in Nairobi County by the year 2020. To select the MSE in all the regions in Nairobi County, cluster sampling techniques was employed, first to identify the various MSEs and clusters relevant to this study. Seventeen clusters were identified according to where they are located. 384 respondents formed the study sample. The selection of the sample from each cluster of the study was through simple random sampling. The study used a questionnaire to collect primary data, which was then analyzed using Statistical Package for Social Sciences (SPSS version 23). Data analysis was done using descriptive statistics, Pearson correlation coefficient and regression analysis. Findings: The findings showed that an increase in Innovation competence would result to increase in growth of micro and small enterprise in Nairobi County. The findings showed that a unit increase in Entrepreneurial Motivation competence would result to an increase of 0.639 units in growth of micro and small enterprise in Nairobi County. The univariate analysis fitted to test the relationship between motivation competence and growth of micro and small enterprises in Nairobi County show that entrepreneurial motivation competence explained 29.9% of the variation in growth of micro and small enterprises in Nairobi County other factors held constant. Unique Contribution to Theory, Practice and Policy: The Theory that underpinned the study was entrepreneurial competency theory. This study recommended that micro and small enterprises should have a strong mission and vision that is shared with all employees. This will help to create a shared sense of purpose and ensure that everyone is working towards the same goal. Investing in training and development will help to increase employee motivation.

Purpose: The purpose of the study was to establish how entrepreneurial motivation competence influences the growth of micro and small enterprise in Nairobi County. Micro and Small Enterprises (MSEs) are important drivers of economic growth and development in Kenya. These enterprises create employment, facilitate wealth creation and form the backbone for private sector growth and expansion. The numerous challenges facing MSEs in Kenya are both internal and external to their operations. Many businesses are characterized by entrepreneurs’ lack of proper entrepreneurial training, lack of marketing capacity and broad operational capacity, lack of business innovation, inadequate business training, lack of motivation for business and pro-activeness. Methodology: The study adopted a descriptive survey design. There were 1,236,907 operating businesses categorized as MSEs in Nairobi County by the year 2020. To select the MSE in all the regions in Nairobi County, cluster sampling techniques was employed, first to identify the various MSEs and clusters relevant to this study. Seventeen clusters were identified according to where they are located. 384 respondents formed the study sample. The selection of the sample from each cluster of the study was through simple random sampling. The study used a questionnaire to collect primary data, which was then analyzed using Statistical Package for Social Sciences (SPSS version 23). Data analysis was done using descriptive statistics, Pearson correlation coefficient and regression analysis. Findings: The findings showed that an increase in Innovation competence would result to increase in growth of micro and small enterprise in Nairobi County. The findings showed that a unit increase in Entrepreneurial Motivation competence would result to an increase of 0.639 units in growth of micro and small enterprise in Nairobi County. The univariate analysis fitted to test the relationship between motivation competence and growth of micro and small enterprises in Nairobi County show that entrepreneurial motivation competence explained 29.9% of the variation in growth of micro and small enterprises in Nairobi County other factors held constant. Unique Contribution to Theory, Practice and Policy: The Theory that underpinned the study was entrepreneurial competency theory. This study recommended that micro and small enterprises should have a strong mission and vision that is shared with all employees. This will help to create a shared sense of purpose and ensure that everyone is working towards the same goal. Investing in training and development will help to increase employee motivation.

Kenya is among the world’s nations affected by HIV/AIDS with the virus claiming 600 people per day. The most endangered are the young people of the age bracket of 15-49 years who own/managers and employees of the Micro and Small Enterprises (MSEs). The pandemic has negatively impacted on the successful management of MSEs in Kenya. This study was carried out to determine the relationship between the knowledge on HIV/Aids and safety measures taken by MSEs in Gikomba market, Nairobi, Kenya. AIDS was recognized in 1984 and by 1995, 73,179 HIV/AIDS deaths related cases had been reported in Kenya. Presently, it is estimated that about 2.2 million Kenyans are infected with HIV/AIDS, while 1.5 million have already died from the virus. However, this figure has gone dawn to 1.6 million. The sectoral impact of HIV/AIDS studies done so far has tended to lean on health, education, military, communications, information and agriculture. Little work has been done to investigate the effects of HIV/AIDS on MSEs’ management despite its importance in the economic development and its contribution to the Gross Domestic Product (GDP) in Kenya. MSEs contribute 18% to the GDP in Kenya. The research was conducted using descriptive survey design to establish the relationship between the variables in the study of large group of individuals by studying a small group. The study used interview guide and questionnaires for data collection to achieve the desired objectives. The findings have showed that the deaths caused by either HIV/AIDS or its related immunodeficiency illnesses were common among the owners/ managers of MSEs at Gikomba market as attested by 80% on the entrepreneurs interviewed. The effects of HIV/AIDS on MSEs was found to be 93.3% of the about entrepreneurs interviewed. These effects were seen through loss of profits to meet expenses on HIV/AIDS ailments, contributions to medical bills, drug expenses, food supplements, absenteeism from work, psychological trauma, stigmatisation and deaths. The study also showed that 100% of owners/managers of MSEs are very much aware of HIV/AIDS and its effects but failed to manage it through behaviour change. It was concluded that the effects of HIV/AIDS on MSEs in terms of increased costs of running their businesses was due to cost of medical bills, burial expenses, drugs and food supplements, reduced productivity and absenteeism from work. The knowledge and awareness of HIV/AIDS, influence decisions and measures taken by MSEs owners/managers to control, manage and plan for the future of their businesses. The study has recommended measures that can be taken to control and manage the HIV/AIDS among the MSEs to reduce the effects including continued effort on awareness campaign among MSEs, change of policy and approach towards combating HIV/AIDS and direct involvement of MSEs owners/ managers and their employees in the campaign against HIV/AIDS pandemic. Keywords: HIV/AIDS pandemic, Management of micro and small enterprises (MSEs) Gikomba market, Nairobi, Kenya

Informal finance is a crucial financing method for small and micro enterprises (SMEs) in most developing countries. Interest rate risks (IRS) should be a vital component of SMEs' informal finance strategies (IFS), and public health emergencies (as COVID-19) is likely to modify IFS due to increased liquidity risks for SMEs. This article examines the relationship between IRS and IFS and its moderated effects by COVID-19. The study develops a structural equation model of SMEs' IFS to investigate SMEs' IFS, the causal relationship between IRS and SMEs' IFS, mediator effects of SMEs' corporate financial status and regional financial and economic conditions, and moderating effects of SMEs' variables. The empirical data is from Wenzhou, China, distributed between 2016 and 2021. The study concludes that IFS will continue to be a financing technique for Chinese SMEs, even if it may have a deterrent effect due to COVID-19. Additionally, there is a strong positive causal association between IFS and SMEs' IRS, as well as moderator and mediator effects. Recommendations for government policy include clarifying the connection between SMEs' IFS and influencing variables, providing scientific and methodical analysis tools for evaluating factors impacting SMEs' IFS, and encouraging the optimization and upgrading of SMEs' IFS.

This paper explores the impact of digital transformation trends on the financial management practices of small and micro enterprises (SMEs). It delves into the profound effects these trends have had on how SMEs handle their finances, from enhanced efficiency and transparency to new opportunities and challenges posed by technological advancements. The paper discusses how digital transformation has revolutionized the way SMEs collect, store, and analyze financial data, and how it has increased the transparency of SMEs’ financial operations. It also highlights how the application of digital technologies in financial management has opened up new avenues for SMEs to access financing and facilitated their integration into the global economy. However, the paper also acknowledges the challenges that come with the digital transformation of financial management in SMEs, such as data security concerns and the cost of adopting and maintaining digital financial management systems. Despite these challenges, the paper concludes that the overall impact of digital transformation on SME financial management has been overwhelmingly positive. It also discusses the significant impact of digital transformation on the way SMEs conduct their financial planning and budgeting. The paper further explores the various applications of digital technologies in the financial management of SMEs, focusing on areas such as automation, data analytics, cloud computing, blockchain, and artificial intelligence. It emphasizes the importance of integrating these technologies to create a comprehensive financial management system that is both efficient and effective. Finally, the paper explores the primary challenges encountered during digital transformation and outlines effective strategies for advancing this process in SMEs. It concludes that by adopting cost-effective solutions, seeking external expertise, fostering a culture of change, and prioritizing data standardization, SMEs can successfully navigate this transformation and reap the benefits of increased efficiency, transparency, and competitiveness.

This study examined the effect of financial management strategies on the financial performance of micro and small enterprises in Calabar Metropolis. The study was guided by three specific objectives: to determine the extent to which budgeting strategy, cash flow management, and investment decisions affect the financial performance of MSEs in Calabar Metropolis. A survey research design was employed, targeting all registered micro and small enterprises in Calabar Metropolis, encompassing a population of 1810 businesses in the commerce and industry sectors. A sample size of 317 micro and small enterprises was selected for the study. Data were collected using a validated 30-item structured questionnaire titled Financial Management Strategies and the Financial Performance of Micro and Small Enterprises Questionnaire (FMSFPMSEQ), assessed on a four-point rating scale. The reliability of the questionnaire was confirmed through Cronbach’s alpha, yielding coefficients of 0.80, 0.92, and 0.94. The data was descriptively analyzed using frequency tables, percentages, mean and standard deviation to evaluate the responses from the respondents, while an independent t-test was used to test the hypotheses at a significance level of 0.05. The findings revealed that budgeting strategy, cash flow management, and investment decisions significantly affect the financial performance of micro and small enterprises (MSEs) in Calabar Metropolis. Based on these findings, it was recommended, among other things, that micro and small enterprises adopt effective budgeting strategies to ensure better financial planning, resource allocation, and enhanced profitability Received: 15 May 2025 / Accepted: 28 June 2025 / Published: 18 July 2025

Purpose: The aim of this paper is analysis of selected parameters for the performance evaluation of the micro and small enterprise (MSE) sector in selected Central and Eastern European countries on the basis of data available in available statistical databases. The selected for analysis countries are the Czech Republic, Poland, Romania, Slovakia and Hungary. Design/methodology/approach: In the paper we define basic issues of micro and small enterprise and describe their role in the state economy. Then, on the basis of statistical data from years 2017-2020, an analysis of selected parameters for the assessment of MSE is carried out. Among others, such characteristics in each country are analysed as: the number of micro and small enterprises in the period 2017-2020, the structure by size of the enterprise, the structure by the number of people employed, on the basis of the analysis conducted. Findings: The performed analysis is used to evaluate different aspects of the development of the micro and small enterprises sector in the Central and Eastern European countries. The paper also tries to find an answer to the question of how the MSE sector developed in the post-Eastern Bloc countries between 2017 and 2020. Practical implications: In the paper, we highlighted the lack of research on the MSE sector in particular. The conducted analysis will facilitate a better understanding of the problems faced by micro and small enterprises and may contribute to the increased interest in this subject, to a more in-depth analysis and an increase in the number of studies concerning only the MSE sector. Originality/value: The study contributes to the discussion on the micro and small enterprise sector and its impact on the economy. Keywords: micro enterprise, small enterprise, sector of the economy. Category of the paper: research paper.

Micro and Small Enterprises (MSEs) [formerly Tiny and Small Scale Industries (SSIs)] are recognized as the main contributors in socio-economic advancement of any country especially the developing one like India. But due to some controllable and/or uncontrollable factors, MSEs cannot get themselves free from sickness. Sickness in MSEs expands its steps in all states in India amongst which West Bengal (WB) is specially notable mainly due to the continuous degradation of Micro and Small Engineering Enterprises of the then Birmingham/Sheffield of the East, Howrah. In WB, Howrah is considered to be the most incipient sickness-prone district for MSEs. Government effort to locate the probable causes of sickness of MSEs has exposed that in India, lack of demand of the product of MSEs in market is the most sever one, while in WB, marketing problem holds the maximum severity, followed by lack of demand which is also partially due to the marketing problem. The present paper aims at identifying how far the major responsible causes in marketing related area are liable in bringing about sickness in Micro and Small Engineering Enterprises.