African Journal of
Business Management

  • Abbreviation: Afr. J. Bus. Manage.
  • Language: English
  • ISSN: 1993-8233
  • DOI: 10.5897/AJBM
  • Start Year: 2007
  • Published Articles: 4188

Full Length Research Paper

The economic role of micro and small-scale business enterprise in case of Meket town, North Wollo, Ethiopia

Yohannes Walie
  • Yohannes Walie
  • Department of Natural Resource Management, College of Agriculture and Natural Resource, Raya University, Ethiopia.
  • Google Scholar
Fiker Ayalew
  • Fiker Ayalew
  • Department of Rural Development and Agricutural Extension, College of Agriculture and Veterinary Medicine, Jimma University, Ethiopia.
  • Google Scholar

  •  Received: 12 December 2018
  •  Accepted: 30 May 2019
  •  Published: 29 February 2024


This study aimed to assess the economic role of micro and small-scale business enterprises in the case of Meket town, North Wollo. The specific objectives were to investigate employment creation in micro and small-scale business enterprises, assess the role of MSSEs in income generation, and evaluate the major constraints of MSSEs in the study area. In this study, owners of micro and small-scale enterprises and out-of-MSSEs activities in the town were contacted. Two urban kebeles, namely, Kebele 024 and Kebele 025, were selected for the study. Both structured and unstructured questionnaires, as well as key informant interviews, were used to obtain information from individual respondents in the households. The qualitative data collected through key informant interviews and questionnaires were narrated and summarized. Statistical Software Package for Social Science (SPSS version 20) and Microsoft Excel 2010 were used. The collected data were analyzed in terms of the number of respondents (50 sample size), characteristics, and perceptions. In Meket town, there were 35 respondents who had their own micro and small enterprises. There were about seven MSSEs in the study area, which were used for economic purposes, job opportunities, access to knowledge, and trained labor. Demographic data did not have a significant effect on the monthly income of those who participated in MSSEs in the study area (p > 0.05). Among challenges and constrains of MSSE in the study area, the most frequents were, lack of finance (64%) followed by lack of suitable land (21%). The government should minimize taxation, attend coordination and activities of MSSE members, motivate, and create awareness between and within the group.


Key words: MSSE, economical role, job opportunities.