Environmental Factors Affecting Growth of MSME’s Owned by Entrepreneurs with Disabilities in Rural Areas in Kenya: A Case of Meru County

Abstract

Purpose: In the recent past, the government of Kenya has paid much attention to entrepreneurship primarily because of the positive relationship between entrepreneurship, job creation and economic growth. In Kenya, over 1.3 million Persons live with disabilities with most of them being generally economically deprived and over-represented among the poor. The aim of the study study was to investigate the external business factors affecting growth of MSME’s owned by entrepreneurs with disabilities in rural areas in Kenya: a case of Meru County. Methodology: The target population comprised of 2021 entrepreneurs with disabilities. The researcher used a combination of stratified sampling, census and purposive sampling method to select the respondents. Data was collected by administration of questionnaires designed based on the research objectives. The data collected was then coded, entered, and analyzed using Statistical Package for Social Sciences (SPSS). Findings: The findings showed that if all factors; political-legal environment, social –cultural environment and technological environment had a positive and significant effect on growth of MSME’s. Political –legal factors had the greatest effect at 0,882, followed technological at 0.799 while social factors had 0.633. Unique Contribution to Theory, Practice and Policy: The study recommended that the government should provide adequate and timely funding to vocational and technical training institutions. Government funding programs such as Women, Youth and Uwezo fund should increase the minimum loan amount, simplify loan application process and ensure timely disbursement of funds as well as establish strategies of lending to individuals. Finally, a mentorship office should be established in every constituency to offer sector specific programs including activities geared towards exposing EwD’s to successful entrepreneurs.