IDEAS home Printed from https://ideas.repec.org/a/spr/joiaen/v11y2022i1d10.1186_s13731-022-00258-9.html
   My bibliography  Save this article

The role of market linkage in growth of micro and small scale enterprises: the case of Ambo town, Ethiopia

Author

Listed:
  • Obsa Ensermu Gudeta

    (Ambo University)

  • Daniel Tadesse Tulu

    (Ambo University)

Abstract

The research aims to investigate the roles of market linkage for the growth of MSE in Ambo town. The data were collected through questionnaires and interviews. A stratified sampling technique is used to select among the seven business sectors. Data were analyzed using descriptive and inferential statistics. The study elicited five major factors that affects the growth of MSE which include financial capacity, government support, entrepreneurial competency, marketing information, and types of business sectors. The findings from correlation and regression further indicate that there exists a positive and significant relationship between MSEs growth and, financial capacity, government support, entrepreneurial competency, marketing information, and types of business sectors. The concerned bodies should facilitate market linkage enhancement between MSE and the market. MSEs on their part are expected to improve financial capacity and competence. Furthermore, adequate market information has to be collected continuously to improve the linkage. By and general, growth of MSE is attributed to internal as well as external market linkage factors. In addition entrepreneurial competency of the person leading the enterprises is vital in creating good market linkage which in turn brings MSE growth.

Suggested Citation

  • Obsa Ensermu Gudeta & Daniel Tadesse Tulu, 2022. "The role of market linkage in growth of micro and small scale enterprises: the case of Ambo town, Ethiopia," Journal of Innovation and Entrepreneurship, Springer, vol. 11(1), pages 1-14, December.
    • Handle: RePEc:spr:joiaen:v:11:y:2022:i:1:d:10.1186_s13731-022-00258-9
    DOI: 10.1186/s13731-022-00258-9
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1186/s13731-022-00258-9
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1186/s13731-022-00258-9?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Endalew Terefe Alene, 2020. "Determinants that influence the performance of women entrepreneurs in micro and small enterprises in Ethiopia," Journal of Innovation and Entrepreneurship, Springer, vol. 9(1), pages 1-20, December.
    2. Erstu Tarko Kassa, 2021. "Socioeconomic determinants of micro and small enterprise growth in North Wollo and Waghimira Zone selected towns," Journal of Innovation and Entrepreneurship, Springer, vol. 10(1), pages 1-14, December.
    3. Hayelom Abrha Meressa, 2020. "Growth of micro and small scale enterprises and its driving factors: empirical evidence from entrepreneurs in emerging region of Ethiopia," Journal of Innovation and Entrepreneurship, Springer, vol. 9(1), pages 1-22, December.
    4. David Devins, 2009. "Enterprise in deprived areas: what role for start-ups?," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 8(4), pages 486-498.
    5. Nagy K. Hanna, 2010. "Enabling Enterprise Transformation," Innovation, Technology, and Knowledge Management, Springer, number 978-1-4419-1508-5, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. John Kiplangat Cheruiyot BA DipEd MSc MBA, 2024. "The Resilience of Micro and Small Enterprises in Kenya from a Strategic Perspective: A Systematic Literature Review," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(3s), pages 3197-3218, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Samuel Godadaw Ayinaddis, 2023. "Socio-economic factors affecting women’s entrepreneurial performance in MSEs in Bahir Dar City, Ethiopia," Journal of Innovation and Entrepreneurship, Springer, vol. 12(1), pages 1-21, December.
    2. Beza Muche Teka, 2022. "Determinants of the sustainability and growth of micro and small enterprises (MSEs) in Ethiopia: literature review," Journal of Innovation and Entrepreneurship, Springer, vol. 11(1), pages 1-16, December.
    3. Belay Mengstie, 2022. "Impact of microfinance on women’s economic empowerment," Journal of Innovation and Entrepreneurship, Springer, vol. 11(1), pages 1-12, December.
    4. Saymon Ricardo Oliveira Sousa & Wesley Vieira Silva & Claudimar Pereira Veiga & Roselaine Ruviaro Zanini, 2020. "Theoretical background of innovation in services in small and medium-sized enterprises: literature mapping," Journal of Innovation and Entrepreneurship, Springer, vol. 9(1), pages 1-26, December.
    5. Sukhjeet Kaur Matharu & Divya Juneja, 2023. "The Influence of Perceived Motivational Factors on Success of Women-Driven Ventures and Their Contribution in Economic Development," Vision, , vol. 27(5), pages 616-627, November.
    6. Manuel Chaves-Maza & Eugenio M. Fedriani, 2022. "Defining entrepreneurial success to improve guidance services: a study with a comprehensive database from Andalusia," Journal of Innovation and Entrepreneurship, Springer, vol. 11(1), pages 1-26, December.
    7. Agnieszka Ma³kowska & Ma³gorzata Uhruska, 2022. "Factors affecting SMEs growth: the case of the real estate valuation service industry," Oeconomia Copernicana, Institute of Economic Research, vol. 13(1), pages 79-108, March.
    8. Mulugeta Chane Wube & Heena Atwal, 2024. "Supply chain management of micro, small, and medium enterprises (MSMEs) in Africa: a bibliometric analysis," Journal of Innovation and Entrepreneurship, Springer, vol. 13(1), pages 1-13, December.
    9. Michael Hans Gino Kraft & Gerriet Hinrichs, 2019. "How Important Are Linguistic Competencies on the German Labour Market? a Qualitative Content Analysis of Job Advertisements," European Journal of Economics and Business Studies Articles, Revistia Research and Publishing, vol. 5, ejes_v5_i.
    10. Wondmagegn Biru Mamo, 2023. "Growth Determinants of Micro and Small Enterprises (MSEs): Evidence from Entrepreneurs in the Eastern Region of Ethiopia," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 14(1), pages 138-160, March.
    11. Jim Secka & Joanna Wisniewska & Katarzyna Szopik-Depczynska, 2023. "Women in Business-Prospects of SMEs in Gambia," European Research Studies Journal, European Research Studies Journal, vol. 0(1), pages 121-131.
    12. John Kiplangat Cheruiyot BA DipEd MSc MBA, 2024. "The Resilience of Micro and Small Enterprises in Kenya from a Strategic Perspective: A Systematic Literature Review," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(3s), pages 3197-3218, August.
    13. Hayelom Abrha Meressa, 2022. "Micro- and small-scale enterprises’ financing preference in line with POH and access to credit: empirical evidence from entrepreneurs in Ethiopia," Journal of Innovation and Entrepreneurship, Springer, vol. 11(1), pages 1-30, December.
    14. Asem Alkahtani & Norfarah Nordin & Rizwan Ullah Khan, 2020. "Does government support enhance the relation between networking structure and sustainable competitive performance among SMEs?," Journal of Innovation and Entrepreneurship, Springer, vol. 9(1), pages 1-16, December.
    15. Getachew Ayalu & Aradom Gebrekidan Abbay & Hossein Azadi, 2023. "The role of micro- and small-scale enterprises in enhancing sustainable community livelihood: Tigray, Ethiopia," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(8), pages 7561-7584, August.
    16. Amare Abawa Esubalew & Sunday Abayomi Adebisi, 2024. "Entrepreneurs' competency, marketing innovation, and enterprise growth: uncovering the mediating role of marketing innovation," Future Business Journal, Springer, vol. 10(1), pages 1-12, December.
    17. H. A. K. N. S. Surangi, 2022. "A critical analysis of the networking experiences of female entrepreneurs: a study based on the small business tourism sector in Sri Lanka," Journal of Innovation and Entrepreneurship, Springer, vol. 11(1), pages 1-19, December.
    18. Korzenevica, Marina & Fallon Grasham, Catherine & Johnson, Zoé & Gebreegzabher, Amleset & Mebrahtu, Samrawit & Zerihun, Zenawi & Ferdous Hoque, Sonia & Charles, Katrina Jane, 2022. "Negotiating spaces of marginality and independence: On women entrepreneurs within Ethiopian urbanization and water precarity," World Development, Elsevier, vol. 158(C).
    19. Luminita Hurbean, 2013. "Redefining Project Management Information Systems with New IT Services," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 9(2), pages 203-212, April.
    20. Marvello Yang & Norizan Jaafar & Abdullah Al Mamun & Anas A. Salameh & Noorshella Che Nawi, 2022. "Modelling the significance of strategic orientation for competitive advantage and economic sustainability: the use of hybrid SEM–neural network analysis," Journal of Innovation and Entrepreneurship, Springer, vol. 11(1), pages 1-28, December.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:joiaen:v:11:y:2022:i:1:d:10.1186_s13731-022-00258-9. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.