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Management Practices, Self-Selection into Management Training Participation, and Training Effects in the Garment Industry in Ethiopia

Author

Listed:
  • Girum Abebe

    (Ethiopian Development Research Institute, Ethiopia)

  • Tetsushi Sonobe

    (National Graduate Institute for Policy Studies)

Abstract

Many observational studies of micro and small enterprises have found that enterprise performance and education levels of entrepreneurs are positively associated. Does it follow that entrepreneurs’ management capacities depend on their academic achievements? This paper examines what types of entrepreneurs participated in a managerial training program held in Ethiopia, who benefited more from the program, and who had better management knowledge before the program. We find that highly educated entrepreneurs were more willing to learn about management, more knowledgeable about management, and gaining more from the training program, but that such simple relationships are missing among entrepreneurs operating larger enterprises.

Suggested Citation

  • Girum Abebe & Tetsushi Sonobe, 2012. "Management Practices, Self-Selection into Management Training Participation, and Training Effects in the Garment Industry in Ethiopia," GRIPS Discussion Papers 11-23, National Graduate Institute for Policy Studies.
  • Handle: RePEc:ngi:dpaper:11-23
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    References listed on IDEAS

    as
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    3. Dean Karlan & Martin Valdivia, 2011. "Teaching Entrepreneurship: Impact of Business Training on Microfinance Clients and Institutions," The Review of Economics and Statistics, MIT Press, vol. 93(2), pages 510-527, May.
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    5. Nick Bloom & Carol Propper & Stephan Seiler & John Van Reenen, 2010. "Management practices in the NHS," CentrePiece - The Magazine for Economic Performance 305, Centre for Economic Performance, LSE.
    6. Khondoker Abdul Mottaleb & Tetsushi Sonobe, 2011. "An Inquiry into the Rapid Growth of the Garment Industry in Bangladesh," Economic Development and Cultural Change, University of Chicago Press, vol. 60(1), pages 67-89.
    7. Mano, Yukichi & Iddrisu, Alhassan & Yoshino, Yutaka & Sonobe, Tetsushi, 2012. "How Can Micro and Small Enterprises in Sub-Saharan Africa Become More Productive? The Impacts of Experimental Basic Managerial Training," World Development, Elsevier, vol. 40(3), pages 458-468.
    8. Christopher Udry & Santosh Anagol, 2006. "The Return to Capital in Ghana," American Economic Review, American Economic Association, vol. 96(2), pages 388-393, May.
    9. Nicholas Bloom & John Van Reenen, 2010. "Why Do Management Practices Differ across Firms and Countries?," Journal of Economic Perspectives, American Economic Association, vol. 24(1), pages 203-224, Winter.
    10. Erica Field & Seema Jayachandran & Rohini Pande, 2010. "Do Traditional Institutions Constrain Female Entrepreneurship? A Field Experiment on Business Training in India," American Economic Review, American Economic Association, vol. 100(2), pages 125-129, May.
    11. McPherson, Michael A., 1996. "Growth of micro and small enterprises in southern Africa," Journal of Development Economics, Elsevier, vol. 48(2), pages 253-277, March.
    12. Nicholas Bloom & Christos Genakos & Raffaella Sadun & John Van Reenen, 2011. "Management Practices Across Firms and Countries," CEP Discussion Papers dp1109, Centre for Economic Performance, LSE.
    13. Miriam Bruhn & Dean Karlan & Antoinette Schoar, 2010. "What Capital Is Missing in Developing Countries?," American Economic Review, American Economic Association, vol. 100(2), pages 629-633, May.
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    Cited by:

    1. Girum Abebe & Biruk Tekle & Yukichi Mano, 2018. "Changing Saving and Investment Behaviour: The Impact of Financial Literacy Training and Reminders on Micro-businesses," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 27(5), pages 587-611.

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    More about this item

    Keywords

    Africa; Ethiopia; education; management practices; management training;
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