Wednesday, February 28, 2024

Main factors influencing entrepreneurial culture in Kenya

Entrepreneurial culture in Kenya: Before embarking on any entrepreneurial journey, each inspiring business owner should be ready to deal with any of these factors which influence entrepreneurship in the country:

1.) Availability of finance or funds.

Capital is always the major challenge to those who wish to start businesses. Availability of finance of a starting capital will favour entrepreneurship. Financial assistance from families, friends and relatives further ensures that the entrepreneurs are better placed financially.

2) Modern technology.

Technological advancement has made entrepreneurs get more skills in improving their businesses and helping the entrepreneurs have more advanced business skills in starting and running the business successfully.

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3) Infrastructures.

Development of infrastructure favours entrepreneurship. With good and developed infrastructural facilities, operational and other costs are reduced. Developed infrastructure also reduces efforts and improves the viability of projects through higher profit margins.

4) Appropriate knowledge and skills.

Entrepreneurial practices are favoured by appropriate knowledge and skills. An individual will easily go into starting a business when he or she has the appropriate skills and knowledge.

5) Appropriate training.

Entrepreneurial practices are easily encouraged when one has gone through training and acquired the relevant and appropriate knowledge in entrepreneurship.

6) Government policies.

The government can also come in to provide incentives to new business persons. Entrepreneurs take this opportunity to venture into businesses with assurance that they have the government support. The government can choose to reduce taxes on new businesses, can provide free electricity, and can provide good roads and such other incentives to attract more businesses.

7) Individual strengths and talents.

An individual’s strengths and/or talents can help him or her or even lead him or her into starting a business. Some entrepreneurs are motivated by what they see from others while others are just individual who come to be entrepreneurs through their talents and strengths.

8) Availability of markets.

Availability of markets, in this case customers, will motivate an individual (an entrepreneur) to start or improve on his or her products, targeted at satisfying customer’s needs. An entrepreneur is able to scan the market and come out with a general opinion or survey of what the customers need and is not produced or available in the market so that he or she can supply that product or service.

9) Availability of resources.

Without resources, entrepreneurs find it a challenge to put their ideas into important investments. Resources, both physical and human among others are very important in entrepreneurship. An entrepreneur will be motivated to go into a business when there are resources to help him or her start and run the business easily and effectively.

10) Culture

Environmental impact on the business is important for entrepreneurs. Some cultural values might make entrepreneurship to grow or rather to develop faster than others. For instance, there are some cultures that encourage people through role models to develop well through entrepreneurship and this leads to people following other people’s lines of success.

11) Natural factors.

Entrepreneurship can also be encouraged by natural factors. For instance, an entrepreneurship will be encouraged to get into a business when there are favorable natural factors.

12) Political stability.

Political stability favours entrepreneurial practices to a larger extent. For instance, when there is political stability in a country, entrepreneurs seem to invest, start and run businesses successfully while when there is political instability, the businesses are mostly affected and entrepreneurs run away and are discouraged to start businesses.

13) Competition.

Fair competition in the market will encourage entrepreneurship in a country. For instance, when businesses are almost all in one level so that there is no monopoly, entrepreneurs will tend to get into business and work hard to succeed.

14) Resource persons or entrepreneurs.

Successful entrepreneurs may be resource persons who through their success, motivates young and other aspiring entrepreneurs to go their successful ways.

15) Social security.

Social securities guarantees basic protection in case of failure of a business. An entrepreneur will be motivated to start a business when there is social security.

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