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Entrepreneurial Skills and Industrial Development: The Case of a Car Repair and Metalworking Cluster in Ghana

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Author Info

  • Alhassan Iddrisu
  • Yukichi Mano

    ()

  • Tetsushi Sonobe

Abstract

In sub-Saharan Africa, manufacturers operating in spontaneously developed industrial clusters are very small in size, have low productivity, and, except when they are at a young stage, become stagnant. The literature has related the preponderance of such enterprises to their socioeconomic surroundings. This paper reconsiders the issue by looking at the way small entrepreneurs engage in business in a car repair and metalworking industrial cluster in Ghana. We hypothesize that these entrepreneurs are unaware of or unskilled in basic techniques in marketing, management, and accounting, which are necessary for enterprise growth. Evidence suggests that small entrepreneurs in the cluster are in dire need of such techniques. Copyright Springer Science + Business Media, LLC 2012

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Bibliographic Info

Article provided by Springer in its journal Journal of the Knowledge Economy.

Volume (Year): 3 (2012)
Issue (Month): 3 (September)
Pages: 302-326

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Handle: RePEc:spr:jknowl:v:3:y:2012:i:3:p:302-326

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Web page: http://www.springer.com/economics/journal/13132

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Related research

Keywords: Africa; Ghana; Industrial development; Industrial cluster; Entrepreneurial skills; Training; Propensity score matching; Impact evaluation; O14; O33; O55;

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References

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  1. Vijaya Ramachandran & Manju Kedia Shah, 1999. "Minority entrepreneurs and firm performance in sub-Saharan Africa," Journal of Development Studies, Taylor & Francis Journals, vol. 36(2), pages 71-87.
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  3. Dean Karlan & Martin Valdivia, 2007. "Teaching Entrepreneurship: Impact of Business Training on Microfinance Clients and Institutions," Working Papers 107, Center for Global Development.
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  5. Heckman, James J & Ichimura, Hidehiko & Todd, Petra, 1998. "Matching as an Econometric Evaluation Estimator," Review of Economic Studies, Wiley Blackwell, vol. 65(2), pages 261-94, April.
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  8. Johannes Van Biesebroeck, 2003. "Exporting Raises Productivity in Sub-Saharan African Manufacturing Plants," NBER Working Papers 10020, National Bureau of Economic Research, Inc.
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  13. Sleuwaegen, Leo & Goedhuys, Micheline, 2002. "Growth of firms in developing countries, evidence from Cote d'Ivoire," Journal of Development Economics, Elsevier, vol. 68(1), pages 117-135, June.
  14. Schultz, Theodore W, 1975. "The Value of the Ability to Deal with Disequilibria," Journal of Economic Literature, American Economic Association, vol. 13(3), pages 827-46, September.
  15. Frazer, Garth, 2005. "Which Firms Die? A Look at Manufacturing Firm Exit in Ghana," Economic Development and Cultural Change, University of Chicago Press, vol. 53(3), pages 585-617, April.
  16. Frazer, Garth, 2006. "Learning the master's trade: Apprenticeship and human capital in Ghana," Journal of Development Economics, Elsevier, vol. 81(2), pages 259-298, December.
  17. Sonobe, Tetsushi & Hu, Dinghuan & Otsuka, Keijiro, 2006. "Industrial development in the inland region of China: A case study of the motorcycle industry," Journal of Comparative Economics, Elsevier, vol. 34(4), pages 818-838, December.
  18. Sonobe, Tetsushi & Hu, Dinghuan & Otsuka, Keijiro, 2004. "From inferior to superior products: an inquiry into the Wenzhou model of industrial development in China," Journal of Comparative Economics, Elsevier, vol. 32(3), pages 542-563, September.
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Citations

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Cited by:
  1. Tetsushi Sonobe & Keijiro Otsuka, 2012. "The Role of Training in Fostering Cluster-Based MSE Development," GRIPS Discussion Papers 12-14, National Graduate Institute for Policy Studies.
  2. Yukichi Mano & John Akoten & Yutaka Yoshino & Tetsushi Sonobe, 2013. "Teaching KAIZEN to Small Business Owners: An Experiment in a Metalworking Cluster in Nairobi," GRIPS Discussion Papers 13-06, National Graduate Institute for Policy Studies.
  3. Yukichi Mano & Alhassan Iddrisu & Yutaka Yoshino & Tetsushi Sonobe, 2011. "How Can Micro and Small Enterprises in Sub-Saharan Africa Become More Productive? The Impacts of Experimental Basic Managerial Training," GRIPS Discussion Papers 11-06, National Graduate Institute for Policy Studies.
  4. Sonobe, Tetsushi & Otsuka, Keijiro, 2012. "The Role of Training in Fostering Cluster-Based Micro and Small Enterprises Development," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  5. Mano, Yukichi & Suzuki, Aya, 2013. "Industrial Development through Takeovers and Exits: the Case of the Cut Flower Exporters in Ethiopia," Discussion Papers 2013-05, Graduate School of Economics, Hitotsubashi University.

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