Non-Farm Entrepreneurship in Rural Africa: Patterns and Determinants

Nagler, Paula; Naudé, Wim

doi:10.2139/ssrn.2406330

Cited by 31 publications

(9 citation statements)

References 20 publications

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“…Entrepreneur demographics and entrepreneurial ecosystem has contributed to SME engagement and Entrepreneurship (Abebe & Adesina, 2017;Dary & Kuunibe, 2012;Genty et al, 2015;Nagler & Naude, 2014;Stathopoulou et al, 2004). Owner or entrepreneur demographic and psychological characters are stimulating to manifest their capability to innovate new ventures and success in their business.…”

Section: Literature Reviewmentioning

confidence: 99%

“…Government support, training and educational institutions commitment and engagement determine the entrepreneurial ecosystem which in turn determines SME engagement and success. Financial support and access to credit, online technology infrastructure and market linkages and networking determining SMEs success and expansion (Osondu et al, 2014;Nagler & Naude, 2014;Gajigo, 2013;Stathopoulou et al, 2004;Peter, 2004). Open Journal of Business and Management Conceptual Framework of the Study (Figure 1) Ho: There is no significant relationship between demographic characteristics and the perceived level of factors affecting the entrepreneur's success.…”

Section: Literature Reviewmentioning

confidence: 99%

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Success Factors for Small and Medium Enterprises in Oman

Balasa¹,

Alemu²

2022

OJBM

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Small and medium scale enterprises (SMEs) and Entrepreneurship are crucial components of any economy. Entrepreneurship thrives in economic systems that support innovation and hard work. Hence, when entrepreneurs become successful, the nation is immensely benefited. The main aim of this study is to examine and compare the factors affecting the success of small and medium scale entrepreneurs in Oman. It is a correlational study between the demographic and business environment related factors that are expected to contribute to the success of small and medium scale entrepreneurs in Oman. Cross-sectional survey with 100 samples was administered. Structured questionnaire was distributed among selected small and medium scale entrepreneurs in Oman. The collected data were analyzed using IBM SPSS software version 20. In addition, descriptive statistics and Chi-square analysis were employed to indicate and test the relationship between the entrepreneur's demographic characteristics and their perception of the factor's level of influence on entrepreneurial success. Hence, the results revealed the presence of positive and strong significant relationship between the entrepreneur's demographic characteristics and its perception level on related factors affecting their overall business success. In addition, the study identified factor/s greatly contributes to an entrepreneur's success as being perceived by the selected respondents of the study.

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Section: Literature Reviewmentioning

confidence: 99%

Section: Literature Reviewmentioning

confidence: 99%

Success Factors for Small and Medium Enterprises in Oman

Balasa¹,

Alemu²

2022

OJBM

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“…Haggblade et al (2010) defined rural non-farm activities as comprising of all non-agricultural activities, mining and quarrying, household and non-household manufacturing, processing, repairing, construction, trade, transport and other services taken up in villages and rural towns of up to 50,000 populations and enterprises varying in size, from household's own account enterprises all the way to factories. This includes all non-agricultural activities in rural areas, including on-farm (but non-agricultural) activities such as agribusiness, trade and retail, rural industrialization, construction, tourism and mining (Nagler and Naude, 2014). The non-farm sector might be adaptive (switching to trading possibly in response to a drought), coping, or be a survival strategy as a response to livelihood shock.…”

Section: Review Of Related Literaturementioning

confidence: 99%

Non-farm livelihood diversification: Strategies and constraints in selected rural and peri-urban communities, Ghana

Asare

Agyenim

Koomson

2021

J. Agribus. Rural Dev.

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Non-farm livelihood diversification is an important livelihood strategy for rural households in Sub-Saharan Africa. However, the available evidence suggests that these strategies have received less attention; therefore, the constraints rural people face in venturing into the non-farm sector also remain unaddressed. In order to understand the livelihood strategies and constraints in the sector, this paper used crosssectional survey data from 251 randomly sampled farmers from the Sunyani West District, Ghana. Focus Group Discussions were also conducted in order to collect qualitative data to support quantitative analysis. The data were analyzed using descriptive statistics: frequencies, percentages and cross tabulation. The study found that the non-farm sector was heterogeneous and highly gendered and involved several activities, with trading being the most prominent one. Gender disaggregation of non-farm activities has underlying cultural and social bases resulting in different production roles for males and females. Although farmers are predominantly engaged in farming as their major livelihood strategy, they also pursue non-farm livelihood activities due to push, rather than pull, factors. Inadequate access to credit and limited business opportunities were the major constraints impeding the development of the non-farm sector in the district. In order to propel rural development, policy makers and researchers should give attention to the development of the non-farm sector since it is an important source of income for many people. Apart from that, the study recommends that banking and micro-finance institutions design special credit programmes for rural people

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“…Due to rapidly increasing population in Africa, more and more pressure is exerted on arable land, therefore many households are no longer able to live on agriculture alone but also engage in non-farm enterprises (Nagler and Naude, 2017). Most evidences show that rural non-farm (RNF) enterprises in Africa are fairly evenly divided across commerce, manufacturing and services, linked directly or indirectly to agriculture (Tsepiso, 2019).…”

Section: Introductionmentioning

confidence: 99%

“…According to Sylvester (2019) rural nonfarm enterprises are important for absorbing surplus labor in rural areas; helping farmbased households spread risks and offer more remunerative activities to supplement or replace agricultural income and offering income potentials during the agricultural off-season and provide a means to cope or survive when farming fails. Nagler and Naude (2017) found that farmers in rural Nigeria utilize their non-farm incomes to relax credit constraints by spending on crop expenses and payments for hired labor and inorganic fertilizers. The fact that non-farm enterprises could potentially be important for rural development has only been recognized from the late 1990s onward, when it became clear that, contrary to expectations, the contribution of these enterprises to rural household income has not declined over time, but in fact increased (Davis et al, 2017).An analysis of the Rural Income Generating Activities (RIGA) data base by Davis et al (2017) found that rural non-farm enterprises contribute more than 50 percent to rural household income in 11 out of 15 countries, with a cross-country average of 58 percent.…”

Section: Introductionmentioning

confidence: 99%

Rural households’ attitude to diversification into non-farm enterprises in Katsina State, Nigeria

Yakubu¹,

Musa²,

Abubakar³

et al. 2022

jae

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The study investigated the rural households’ attitude to diversification into non-farm enterprises in Katsina State, Nigeria. A multistage sampling procedure was used to select 256 farmers for the study. Data were obtained with the aid of questionnaire and analyzed using percentage and regression analysis. The most positive attitude was “that non-farm enterprise is a crucial pathway to food security for rural households”. It was closely followed by “non-farm enterprise is a source of agricultural household savings used for food purchase in hard times” and “non-farm enterprise provides a means to cope or survive when farming fails”. Farmers expressed positive attitude to diversification into non-farm enterprises and do not depend on agriculture as a sole means of livelihood but diversified income sources; the diversified farmers had higher income level. Government should support the existing non-farm enterprises and encourage creation of new ones; also improve formal credit access. Furthermore, technical support and skills acquisition training programs should be provided to enhance the performance and efficiency of non-farm enterprises in rural areas.

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Non-Farm Entrepreneurship in Rural Africa: Patterns and Determinants

Cited by 31 publications

References 20 publications

Success Factors for Small and Medium Enterprises in Oman

Success Factors for Small and Medium Enterprises in Oman

Non-farm livelihood diversification: Strategies and constraints in selected rural and peri-urban communities, Ghana

Rural households’ attitude to diversification into non-farm enterprises in Katsina State, Nigeria

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