Businesses In Tanzania Research Articles

Usability evaluation of frugal innovation: A case of mobile training for micro businesses in Tanzania

This study evaluated a mobile training pilot prototype designed for micro business owners in Tanzania. The paper focused on the extent to which features of the pilot prototype developed under frugal innovation confirmed the defined user requirements of the mobile training and met usability perception of the potential end users in solving the practical problem. The practical problems addressed are time, low education level and geographical challenges facing the training service. The evaluation assessed whether the features of the mobile training pilot prototype met the previously identified user requirements and investigated users’ perceptions of the pilot prototype’s attractiveness and perspicuity and their enthusiasm for it. In this mixed-methods study, data were drawn from a questionnaire and focus group discussions. The study found positive views on the features of the pilot prototype based on the defined user requirements, as well as the usability elements of attractiveness, perspicuity, and enthusiasm. The participants thought that the pilot prototype’s navigation and interaction features needed further modifications to make use of the mobile training application easier. This study contributed that, the artefact developed through frugality innovation within DSR framework confirmed earlier identified user requirements and met usability criteria of attractiveness, perspicuity, and enthusiasm.

Performance of Small Businesses in Tanzania: Human Resources-Based View

This study examined the performance of small businesses in Tanzania using human resources-based approach. A sample of 380 small business owners was surveyed using a structured questionnaire. Multi-stage sampling technique was used, whereas proportionate stratified sampling was applied which was followed by random sampling technique. In addition, snowball sampling technique was used to select cases of interest for in-depth interview. Excel and a Statistical Package for Social Sciences (SPSS) were used as analytical tools for quantitative data. Content analysis was used to analyse qualitative data from four case studies developed. Binary logistic regression model was used to estimate the effects of employees’ commitment, trustfulness and competencies on the performance of small businesses. The study revealed that employees’ commitment, honesty and competencies had a significant positive effect on the performance of small businesses. The study recommends that special training programmes should be designed and implemented for the purpose of imparting competencies and behavioural change to employees of small businesses.

A Critical Analysis of Effects of Loan Conditions on Accessibility to Loans by Small Businesses in Tanzania

Abstract: The study investigated the effect of loan condition on loans accessibility to small business in Tanzania. It explored the effect of loan covenants on small business on accessing loans and examined the effect of bank loan extension procedure on small business in accessing loans. Both theoretical and empirical literature was reviewed to inform the study. Quantitative and qualitative research approaches were employed to facilitate the study using a cross sectional study design. Data were collected from 89 respondents who included bank loans customers and loans officers. These respondents were sampled through the use of the purposive and stratified random techniques. Data were obtained through questionnaire, interview and documentary review. The data were then analyzed quantitatively and qualitatively. The findings revealed that bank created covenants affected small business in accessing loans from financial institutions. It was also revealed that customers differed in their conceptualization of the difficult and easiness of the bank provisions. Furthermore, it was evident that bank do formulate strict loans extension procedures so that to make sure that lessen loans defaults and increase the probability that loans are used as applied in the forms. It has been recommended that, improving business conditions boosting the capacity of SMEs, expanding financial sector and strengthening links between firms will permanently increase small business access to finance. It was also recommended that the government to play its role in creating conducive environment for the SMEs to flourish in Tanzania. Lastly based on study findings recommendations for further studies are proposed.

Analyzing Costs and Returns of Roasting Green Maize by Small Traders in Kibaha Town

Roasted fresh green maize just harvested from farms, is one of the growing small business in Tanzania, to many towns. It is evident that, little has been addressed on the pros and cons of roasting green maize to small traders. This study therefore analyzed costs and returns of roasting green maize by small traders in Kibaha town. In particular, it documented the demographic characteristics of the small traders of roasted green maize, estimated the amount of green maize purchased, roasted and sold, and determined the returns from selling roasted green maize in Kibaha town. On the other hand, the study employed purposive and simple random sampling techniques in which 30 respondents interviewed to convene information pertaining the objective of the study. Demographical characteristics of the interviewed indicated that majority of the traders had at least basic knowledge and skills of trading with roasted green maize effectively. Most of those engaged in this trade were youth and there was still low participation of female - youth. Almost 70% of the interviewed traders had at least one-year experience of trading with roasted green maize that could be an aid to managing business undertakings successfully. Findings from the profit margin analysis demonstrated the potentials of the roasted green maize trade in income generation for the livelihood of street maize vendors of Kibaha town. The interviewed traders generated income at a positive profit margin of Tshs. 431,581.00 besides a monthly mean profit margin ratio of 0.30. The positive profit margin earned could be associated to lower start-up capital, low operation costs, and tax-free as the small traders paid no taxes in the trading with roasted green maize. Other reasons were the level of education and experience in the trade. Some of the challenges faced this trade include regular disturbances from health officers and security guards from Kibaha District Council, poor maize variety that tend to shrink when roasted on fire, and low customers during summer. It is encouraged that, small traders should apply modern tools to keep roasted green maize warm. Motivate small famers to consider externalities in the green maize farming and trading by subsidizing them and whenever necessary, set a minimum quota for green maize sales. Additionally, make further inquiry on the other type of maize products like dry maize and maize flour dealing by involving all actors including farmers, intermediaries, whole sellers, retailers, and customers of such products. Keywords: Maize, Roasted green maize, Costs and Returns DOI : 10.7176/JESD/10-22-04 Publication date: November 30 th 2019

Determinants of Owner-manager Competencies for Small Business Operations: Evidence from a Small Restaurant Business in Tanzania

This study examines the influence of owner-manager demographic characteristics on attainment of their competencies in Tanzania, because there are scant empirical evidences on the same. The data used in this study were obtained through a survey of 392 small restaurant businesses from Ilala and Dodoma in Tanzania. Information was collected from the owner-managers of these entities by using structured questionnaires. Competencies of the owner-managers were measured subjectively by assessing their ability to perform entrepreneurial, managerial and functional works. Thus, the study uses Structural equation model to analyze the latent variable data collected. Study results have shown that among the demographic characteristics of the owner-manager, formal education and family background in doing business are more important in explaining how competent an owner-manager is in all three competencies. Furthermore, age of the owner-manager is very important in explaining how competent the owner-manager is in terms of managing the business while their industrial working experiences are more important in explaining the owner-manager ability to fulfill functional activities. These results imply that, whoever wants to operate the small restaurant business should try to understand their demographic characteristics. That is, to match themselves with the competencies of fulfilling entrepreneurial, managerial and functional activities or decide on any other way of compensating for their weaknesses for better business performances.

The Nexus of Entrepreneurial Motivation, Gendered Challenges and Business Formalisation

This qualitative study focusses on starting a small business in Tanzania, a developing country. This is not a voluntary action per se, but rather a complex event where the owner has to deal with two other influences external to entrepreneurial motivation: gender disparities and the (in)formality of the small business. In contrast to the majority of prior studies which have largely, and often quantitatively, researched the three subjects through the perspective of laws, regulations and rules that are provided by the formal institutions to structure economic activity, our study enriches the literature the insights stemming from the personal stories of small business owners and experts. Through these insights, this study contributes to the literature by showing how necessity forces small business owners to seize opportunities can make them feel proud, particularly the women who deal with overcoming gender inequalities and who are often active in the informal economy.

Success of Micro-franchising Business in Tanzania: An Analysis of Community Wellbeing Enhancement in Babati District

Success of Micro-franchising Business in Tanzania: An Analysis of Community Wellbeing Enhancement in Babati District

Building East Africa's Future: Tanzania and Accelerating Infrastructure Growth

At the August 2014 U.S.-Africa Leaders Summit, the White House brought together government officials from 50 African countries. The historic gathering in Washington focused on trade and investment in Africa, drawing scores of investors and American business executives. During the summit, Milken Institute staff members had the opportunity to attend these two events: the Institute’s Corporate and Investor Roundtable, and Doing Business in Tanzania, organized by the Corporate Council on Africa.The roundtable gathered leaders in the business and governance community, while Doing Business in Tanzania addressed that country’s focus on investing in infrastructure. In this white paper, we explore the importance of infrastructure in the growth of East African countries, the role of pension funds in infrastructure development, the emergence of a new East African bloc, and the emerging role of Tanzania in East Africa.We found compelling arguments for the tremendous potential of the East African Community (EAC) if Tanzania were to become more active member. Looking at the success of pension funds stimulating infrastructure growth in Chile as well as examining current prospects in the EAC countries, it has become apparent that a well-connected EAC could lead to exceptional economic opportunity.

Influence of Institutional Setting and Personal Attitude on Entrepreneurial Behaviour among Students

This study examined whether institutional settings and personal attitude have an influence on entrepreneurial intention to start a business. The study was a longitudinal which took female undergraduate students at the Institute of Accountancy Arusha as case study. The objective of the study was to investigate the role of institutional settings and personal attitude in influencing female with undergraduate degrees in starting business in Tanzania. Purposive samplings were applied to pick up the sample. Data was analyzed using Pearson Correlation and a Paired sample T-Test. The results provide sufficient evidence to sustain the claim that institutional settings and personal attitude have an impact on students’ starting a firm in future. Institutional settings have been associated with changes in attitudes and intentions towards entrepreneurship as proper infrastructure need to be compatible with the student-centered approach. Entrepreneurship infrastructure is likely to heighten awareness of entrepreneurship, increase self-confidence and intentions, but understanding and developing entrepreneurship requires an integrated research and teaching effort.

Survival, Growth Strategies and Performance of Women Owned Micro and Small Businesses in Tanzania

This study examines the impact of survival and growth strategies adopted by the women micro and smallbusiness on performance of their enterprises. The data used in this study were obtained through a survey of 221microcredit borrowers from PRIDE Microfinance program in Tanzania. The study uses logistic regressionanalysis to analyse the data. Study results have shown that among the growth strategies adopted by the owners,non-separation of business resources from household resources and ownership of multiple enterprises have apositive effect on enterprise profitability, while the use of unpaid family labour has a negative effect onenterprise profitability. Of the studied household and individual level variables, only household income; andbusiness skills had a positive effect on enterprise performance. Taken together, these results suggest thatintermingling of household and business resources; and household incomes were more important in theperformance of women enterprises that are supported by microcredit.

E-Government in Marketing a Country: A Strategy for Reducing Transaction Cost of Doing Business in Tanzania

There are limited studies examining the role of Investment Promotion Agencies (IPA’s) and their respective marketing techniques used in attracting Foreign Direct Investment (FDI). Using an exploratory case study approach, this article addresses this research gap by exploring the role of e-government as a promotion technique in eliminating barriers to FDI inflows in Tanzania; particularly barriers related to information accessibility and bureaucratic procedures facing foreign investors in acquiring relevant licenses and business permits. The findings indicate that foreign investors utilize information to create knowledge of business environment in the host country, though some additional information may not be found due to informational specificity of a particular investment project. In addition, the findings indicate that implementation of e-government has reduced some monetary and non-monetary transaction costs of complying with government authorities. The article contributes to the existing body of knowledge in the field of marketing by examining the role of e-government services in the public sector marketing within a macro-marketing domain.

TEACHING BUSINESS IN TANZANIA: EVALUATING PARTICIPATION AND PERFORMANCE

-This is the author's version of the article:Teaching Business in Tanzania: Evaluating Participation and Performance Journal of the European Economic Association, Volume 8, Issue 2-3, pages 561–570, April-May 2010.

Teaching Business in Tanzania: Evaluating Participation and Performance

There is increased awareness that success among small scale entrepreneurs in developing countries requires more than microfinance, and that an important limiting factor for business growth is the level of human capital among the entrepreneurs. The present paper uses a randomized control trial to evaluate a business training program in Tanzania. Our results show that there is a positive average treatment effect on business knowledge. It also appears that training has a stronger effect on the entrepreneurs with less formal education. Paradoxically, these entrepreneurs are also less consistent in their participation in the training program. An important implication from our study is therefore that when providing business training, special care should be given to ensure high participation rates.

Teaching Business in Tanzania: Evaluating Participation and Performance

There is increased awareness that success among small scale entrepreneurs in developing countries requires more than microfinance, and that an important limiting factor for business growth is the level of human capital among the entrepreneurs. The present paper uses a randomized control trial to evaluate a business training program in Tanzania. Our results show that there is a positive average treatment effect on business knowledge. It also appears that training has a stronger effect on the entrepreneurs with less formal education. Paradoxically, these entrepreneurs are also less consistent in their participation in the training program. An important implication from our study is therefore that when providing business training, special care should be given to ensure high participation rates.

Information needs of women in small scale businesses in Tanzania: a case study of Dar es Salaam Region

This paper examines information needs, information seeking behavior of small scale business women in Tanzania and sources of information they use, problems encountered in accessing information and training needs. The study was carried out in Kinondoni District, Dar es Salaam Region. The findings revealed that lack of access to information is one among several problems small scale women entrepreneurs face when trying to develop their businesses. It revealed that although women need access to information on business skills, business opportunities, market and technology, such information is inaccessible to them. University of Dar es Salaam Library Journal Vol.6(2) 2004: 1-12

Social Networks and Business Success

Abstract. The main objective of this paper is to illuminate social and cultural preconditions for networking and success in business in an African context. By in‐depth studies of small‐scale entrepreneurs in the wood business in Tanzania, we find that people belonging to an Asian subculture probably have a better standing for entering and thriving in business, due to group cohesion, mobility, and level of education. Through high‐quality social networks, characterized by a high number and variety of relations, certain groups seem to be in a better position to enact their business environment and raise entrepreneurial resources such as motivation and ideas, information, capital, and trust. To reduce social discontent and inter‐ethnic and religious conflicts in this area, we suggest that policy measures be taken to enhance levels of education and access to information for all citizens to create a “level playing field” in economic affairs.