An Investigation of Socio-Economic Factors Affecting Sustainability of Youth Group Enterprises in Kenya: A Case of Imenti South Sub County, Meru County |
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BibTeX: |
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@article{IJIRSTV4I4011, |
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Abstract: |
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Many youth group enterprises disintegrate even before take-off. Statistics show that many youth group enterprises break up even before take-off. It has been noted that out of the total number of registered youth enterprises, only 10 to 15% of the youth groups enterprises are operational. Another 30% of the youth group enterprises are experiencing financial and mismanagement problems and are at the verge of collapsing and the rest are either dormant or inactive. Youth group enterprises are an important contributor to the Kenyan economy accounting for 12–14% of GDP. With about 70% of such enterprises located in rural areas, the sector has a high potential for contributing to rural development. The government willingness to fund the youth group enterprises has led to an increase in the number of groups formed country wide. Therefore, this study sought to investigate the effect of socio-economic factors influencing sustainability of youth group enterprises in Kenya. Specifically the study investigated the effect of entrepreneurial orientation, entrepreneurial culture, investment practices and mentorship on the sustainability of youth group enterprises. The study employed a mixed methodology research design. Descriptive survey design research is concerned with collecting data in order to answer questions concerning the current status of the study subjects. While inferential methodology is concerned with giving the direction of the relationships between the study variables. The study population comprised of District Officers, Division youth officer, Secretaries, Youth group enterprises chairpersons and Committees Members. This study used semi structured and unstructured questions and likert scale questionnaires. The questionnaire was designed into 6 sections. Section A contains the bio data of the respondents. While section B to F were based on research objectives. Both binary and likert scale were use in the questionnaire the intent of this scale was that the statements represent different aspects of the same attitude. Likert scale was simple to construct, and easy for the respondents to read, understand and respond appropriately to the statements put across. It was specifically use self-administered drop and pick questionnaires to participants totaling to forty six (46). The findings of the regression also showed that entrepreneurial orientation, mentorship and investment practices had a significant relationship with sustainability of youth group enterprises in Imenti Sub-county in Meru County. The relationship between entrepreneurial culture and sustainability of youth group enterprises was insignificant. Therefore, this study concluded that stakeholders in this area should address these challenges if the sustainability of these enterprises is to be enhanced. The study recommends that Youth Enterprise Fund, The Women Enterprise Fund, and the Uwezo Fund among other initiatives should offer entrepreneurship training and mentorship to youth groups before funds are loaned out to these enterprises. Stakeholders in youth group enterprises should organized mentorship for infant youth group enterprises. This will enable to overcome some of the challenges affecting them. |
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Keywords: |
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Sustainability of Youth Group Enterprises in Kenya, An Investigation of Socio-Economic Factors |
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