EFFECT OF ENTREPRENEURIAL ORIENTATION ON THE GROWTH OF SOCIAL ENTERPRISES AMONG SMALL AND MICRO ENTERPRISES WITHIN NAIROBI CITY COUNTY, KENYA
Faith Mumbi Kinuthia - Master of Science in Entrepreneurship, Jomo Kenyatta University of Science and Technology, Kenya
Dr. Susan Were - Lecturer, Jomo Kenyatta University of Agriculture and Technology, Kenya
ABSTRACT
As part of the greater focus on the role of firms and entrepreneurship in development, spotlight has recently fallen upon so-called ‘social enterprises’. The inherent purpose of social enterprises is generation of social change through commercial means which is effectuated through innovative business model hybrids. There are several success stories globally for social entrepreneurs, yet there are some barriers which still hinder social entrepreneurs from reaching their full potential. This study looked at the effect of entrepreneurial orientation on the growth of social enterprises among SMEs within Nairobi County. The study used relevant theories to both the dependent and independent variables. The study used survey research design which was helpful in indicating trends in attitudes and behaviours and enable generalization of the findings of the research study to be done (Mugenda & Mugenda 2003). The target population comprised of the directors or owners of social enterprises located within Nairobi city County as indicated by the population frame provided by the East Africa Social Enterprises Network (2016) consisting of ninety four (94) social enterprises operating within Nairobi County. The total anticipated population was 94 where in each firm 1 participants are targeted. The study adopted a census approach in arriving at the sample respondents. A pilot study was conducted using the questionnaires on 10 clients who were not part of the sample. The purpose of the pilot testing was to establish the accuracy and appropriateness of the research design and instrumentation and therefore enhance face validity. Inferential statistics using correlation, multiple linear regression models and ANOVA analysis were undertaken using SPSS version 21.The data was presented in tables, graphs and pie charts. The findings of the study revealed a strong relationship between innovativeness, pro-activeness, risk taking and autonomy on the growth of social enterprises among SMEs. However, preference and usage of the strategies was attributed to unique products and leveraging of resources. SMEs should therefore utilize innovation and risk taking as a strategy for performance. The study revealed that there was a positive and significant relationship between entrepreneurial orientation and growth of social enterprises among SMEs within Nairobi Kenya. The study recommended that entrepreneurial orientation should enhance growth and sustainability of social enterprise.
