Causes of Failure of Small Business in Tanzania: the case of Business in Kinondoni Municipality Council
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Date
2008
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
University of Dar es Salaam
Abstract
This study examines the factors that lead to failure of small businesses in the Kinondoni Municipality. The high failure rate can be attributed to the lack of support that the small, medium and micro – enterprises (SMEs) receive from support institutions as well as to their own internal weaknesses. Strategies are recommended that will help small businesses be more successful. The study was exploratory, descriptive and qualitative in nature. Semi structured interviews with questionnaire guidance were used to gather data. Result indicated that the most common causes of business failure were lack of knowledge regarding legal matters, lack offunding and a general lack of business acumen, lack of financial support from institutions, lack of technology, poor location and infrastructure, bureaucratic framework in business registration and licensing. The study recommends that the government should improve the effectiveness of its support mechanisms and that the record keeping and cash flow management training is critical for SMEs. These recommendations, if applied properly, will ensure small businesses ‘success in Kinondoni Municipal Council and the rest of Tanzania.
Description
Available in print form, East Africana Collection, Dr. Wilbert Chagula Library, Class mark (THS EAF HD62.7T34R26)
Keywords
Small business enterprises, Small business management, business administration
Citation
Raphael, Revina (2008) Causes of Failure of Small Business in Tanzania: the case of Business in Kinondoni Municipality Council, Master dissertation, University of Dar es Salaam