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The Impact of Business Development Services on Entrepreneurial Orientation and Performance of Small and Medium Enterprises in Kenya

Author

Listed:
  • Dr. Washington O. Okeyo

    (Corresponding Author, Lecturer - Department of Business Administration, School of Business, University of Nairobi,)

  • Dr. James Gathungu

    (Senior Lecturer - Department of Business Administration, School of Business, University of Nairobi,)

  • Prof. Peter K’Obonyo, PhD

    (Professor - Department of Business Administration, School of Business, University of Nairobi,)

Abstract

This study examined the influence of business development services on entrepreneurial orientation and performance. The study analyzed a total of 97 small and medium enterprises in Kenya out of a sample of 150 organizations. Data was collected in Nairobi county through a combination of drop and pick methods. Cronbach’s alpha was used to measure reliability of the instrument during a pilot phase of the study. The collected data was analyzed in Statistical Package for Social Sciences using descriptive, correlation and multiple linear regressions techniques. The results show that there is a positive relationship between business development services and performance. They also demonstrate that business development services affect entrepreneurial orientation of the studied firms. However, the results indicate that entrepreneurial orientation does not mediate the relationship between business development services and performance. In conclusion, the firms studied and their similar counterparts should strive to access and use business development services. They should also adopt entrepreneurial inclination to improve how business development services may assist them achieve better performance. Recommendations and areas for further studies are also suggested.

Suggested Citation

  • Dr. Washington O. Okeyo & Dr. James Gathungu & Prof. Peter K’Obonyo, PhD, 2014. "The Impact of Business Development Services on Entrepreneurial Orientation and Performance of Small and Medium Enterprises in Kenya," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 4(7), pages 38-49, July.
    • Handle: RePEc:mir:mirbus:v:4:y:2014:i:7:p:38-49
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    References listed on IDEAS

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