In this chapter we discuss the findings presented in Chapter 7 in the visible radiation of the old surveies. We begin by discoursing the influence of the demographic features on the growing of SMEs, followed by a treatment of the influence of the personality traits on the growing of SMEs. Next is a treatment non merely of the influence of the cognitive features on the growing of SMEs but besides of the indirect effects of the personality traits on the growing of SMEs. This is followed by a treatment of the deductions of utilizing different picks with regard to growing indexs, expression, and clip spans when mensurating the growing of a house. We conclude with a treatment of the pertinence of the western theories in the Tanzanian cultural context.

Discussion of the findings

The primary aim of this survey was to understand the importance of the features of the owner-manager on the growing of SMEs. Following a comprehensive reappraisal of the literature refering the features of the owner-manager and the growing of SMEs, four research aims were examined:

the influence of the demographic features of the owner-manager on the growing of SMEs

the influence of the personality traits of the owner-managers on the growing of SMEs

the influence of the cognitive features of the owner-managers on the growing of SMEs

the indirect effects of the personality traits in explicating SMEs growing

Following from the research objectives stated above was the development of four hypotheses for proving. Table 6.1 summarizes the consequences of the hypothesis proving that has been presented in Chapter 7.

Table 0aˆ‘ : Summary of the hypotheses tested

Hypothesis 1

Demographic features of the owner-manager significantly influences the growing of SMEs

Owner-manager age

Fully rejected

Owner-manager instruction

Partially accepted ( + )

Owner-manager experience

Partially accepted ( + )

Owner-manager household background

Fully accepted ( + )

Hypothesis 2

Owner-managers personality traits significantly influences the growing of SMEs

Need for accomplishment

Fully accepted ( + )

Locus of control

Fully accepted ( + )

Innovativeness behavior

Fully accepted ( + )

Hazard taking leaning

Partially accepted ( + )

Tolerance for ambiguity

Fully rejected

Self efficaciousness

Partially accepted ( + )

Hypothesis 3

Owner-manager cognitive features significantly act uponing growing of SMEs

Entrepreneurial watchfulness

Fully accepted ( + )

Attitude towards entrepreneurship

Partially accepted ( + )

Cognitive manners

Partially accepted ( +/- )

Entrepreneurial motive

Partially accepted ( +/- )

Hypothesis 4

Personality traits are positively related to cognitive features

Fully accepted ( + )

Personality traits have an indirect consequence on SMEs growing which is mediated by cognitive features

Fully accepted ( + )

From the tabular array above, it is clear that most of the hypotheses formulated sing the relationships between the features of the owner-manager and the growing of SMEs are to the full or partly accepted. A treatment of each hypothesis follows in the following subdivision.

Discussion of the hypotheses

Hypothesis 1: Demographic features

The first hypothesis tested the positive influence of the demographic features on the growing of SMEs. As stated in Chapter Six, four features ( owner-manager ‘s age, instruction, experience, and household background ) were used to stand for demographic features. It should besides be recalled that the owner-manager ‘s instruction and experience were measured in assorted facets. For illustration, three facets were used to mensurate instruction, viz. , the degree of instruction, woodworking instruction and workshops. Likewise, three types of experience were used to mensurate experience: entrepreneurial, managerial and industrial. The growing of SMEs was measured by gross revenues, plus and employment growing. From the findings, it becomes clear that the owner-manager ‘s instruction, old experience and household background all influence the growing of SMEs.

Specifically, among the variables used to mensurate instruction it is merely ?workshops attended? that was found to hold a important influence on the growing of SMEs. This positive relationship between workshop and the growing of SMEs is consistent across all the five attacks used in this survey. This consequence suggests that workshops attended by owner-managers equip them with the cognition and accomplishments which are needed in order to run a house successfully. In malice of the importance of workshops on the SMEs growing, the determination shows that most of the owner-managers have ne’er attended workshops since get downing their concern. In fact, the information suggest that merely 43 % of the respondents have attended assorted workshops since get downing their current concern. This is consistent with the observation of ( Webster, Walker, and Brown 2005 ) that SMEs tend to concentrate on the informal transportation of accomplishments instead than on formal preparation. However, those who had attended workshops were more likely to ain houses that had experienced concern growing in footings of gross revenues, plus, and employment. This is besides consistent with the contention of ( Brush, Greene, and Hart 2001 ; Jayawarna, Macpherson, and Wilson 2007 ) that workshops and preparation are an of import beginning of accomplishments and proficient cognition for successful entrepreneurship.

Furthermore, we did happen that the woodworking instruction has positive deductions for SMEs growing in footings of both gross revenues and plus. This determination suggests that woodworking instruction obtained from assorted vocational preparation colleges in Tanzania has an impact on the formation and growing of SMEs. For this ground, we can besides reason that the right things are taught in the plan offered by assorted vocational preparation colleges. Therefore, our consequences are consistent with old research, which has documented that vocational preparation instruction influence the formation and growing of SMEs ( Pankhurst 2010 ) . This survey is besides consistent with an African survey conducted by ( McPherson 1992 ) in which was found that enterprisers with vocational preparation had houses that grew 9.0 per centum faster than houses run by enterprisers without such preparation.

Previous research indicates that the owner-manager ‘s degree of instruction is a important determiner of the growing of SMEs ( Unger et al. 2009 ) . In this survey, although the degree of instruction of the owner-manager is positively related to the growing of SMEs, the strength of this relationship is non statistically important. This suggests, hence that the degree of instruction does non count in explicating the growing of SMEs in Tanzania. Although this consequence is besides found in another African survey ( McPherson and Liedholm 1996 ) , we do non hold a clear account of this. In fact, this is surprising and raises an of import inquiry sing the value of the instruction acquired by these enterprisers. It could be possible that the incorrect things were taught in the instruction programme offered to these enterprisers. However, this consequence should be read with some cautiousness, because the deficiency of significance could be due to the fact that the bulk of the owner-managers in this sample have low degrees of instruction. Indeed, in our survey 71 % were found to hold either attained merely primary school instruction or ne’er to hold attended school. Alternatively, this determination might in portion be due to the fact that merely the degree, and non the type ( that is the capable affair ) , of the instruction is considered in this analysis. In fact, this survey suggests that in order for the owner-managers to pull off the house successfully they need some concern accomplishments. It could be possible that while two owner-managers may hold the same degree of instruction, one may hold much more relevant concern instruction than the other.

Another interesting determination was the significance influence of old experience on the growing of SMEs. In peculiar, this survey suggests that owner-managers who had old experience in the industry in which the current concern is in were more likely to see their concern turning in footings of gross revenues, plus, and employment. These consequences support the findings from old surveies in which working experience in the same sector seems to make cognition and accomplishments which are needed in order to run a house successfully ( Lee and Tsang 2001 ; Unger, Rauch, Frese, and Rosenbusch 2009a ) . Furthermore, several bookmans have pointed out the importance of owner-managers ‘ old managerial experience as a forecaster of the growing of SMEs ( Unger et al. 2009 ) . These bookmans argue that the cognition acquired through concern direction enhances the enterprisers ‘ ability to pull off concern successfully. The empirical consequences in this survey demo a partial support for these statements. Consistent with our initial premise, the consequences show a positive and important relationship between managerial experience and the growing of SMEs in footings of gross revenues and assets. This determination is to the full consistent with the findings from old surveies discussed in Chapter Three. For illustration, several surveies ( Stuart and Abetti 1990 ; Shane and Khurana 2003 ; Colombo and Grilli 2005 ; Unger et Al. 2009 ) have concluded that there is a general positive association between old managerial experience and the growing of SMEs. One account for this consequence is that those owner-managers who antecedently managed the concern would hold gained valuable cognition in the direction of that concern. This cognition would enable them to get the better of more easy the jobs which are experienced when the concern grows ( Storey 1994 ) .

Furthermore, there was no grounds to back up the important influence of the entrepreneurial experience on the growing of SMEs. Although this determination may be surprising sing old research as discussed in Chapter Three, our happening suggests that the growing of SMEs may non chiefly be due to the owner-manager ‘s entrepreneurial experience. This is, nevertheless non surprising, because some of the old surveies have besides found the same consequences. Indeed, ( Brush, Greene, and Hart 2001 ) have pointed out that, entrepreneurial experience is frequently a standard that influences start-up support success, instead than something that predicts steadfast public presentation. An alternate account for the non-significant relationship may be that merely cognizing whether or non one was involved antecedently in venture creative activity does non supply us with accurate information as to whether these get down up experiences have yielded the necessary accomplishments that are suggested to act upon the growing of SMEs. Therefore, when seeking to associate the impact of the entrepreneurial experience on the growing of SMEs, it may be plausible to include besides the steps that capture the quality of these old events every bit good as grounds for go forthing the former concern. For case, it is possible that low tolerance for ambiguity influences the start-up experience. In other words it means that when owner-managers face equivocal state of affairss in a peculiar concern they are more likely to discontinue that concern and expression for another concern. This determination may besides be due to the fact that over half ( 60 % ) of the owner-managers in our sample had no anterior entrepreneurial experience and the current concern was their first venture.

The variable household background is one of the great involvements in the research literature. It is suggested that persons whose parents or close relations were/are freelance are non merely likely to run a concern, but besides to surpass others ( Stanworth et al. 1989 ; Papadaki and Chami 2002 ) . In this survey, we besides found that the bulk of the owner-managers in our sample came from an entrepreneurial household. Furthermore, we found that owner-managers who came from entrepreneurial household backgrounds are more likely to see growing in their concerns than people without such a background. This is consistent with the contention that kids of enterprisers are more likely to organize successful concerns than kids of other people ( Storey 1994 ; Papadaki and Chami 2002 ; Shane 2007 ) . These owner-managers are more likely to be successful in their concern because they had been raised in an environment that facilitates a procedure of human capital accretion. Indeed, enterprisers raised in the entrepreneurial household background are cognizant of the challenges they will hold to face and are better prepared to seek and give solutions to the jobs that will originate ( Meccheri et al 2005 ) . Apart from the cognition accretion, they may hold easier entree to informal and formal webs of providers, clients and venture capitalists, of which they can take advantage. For case, we found that the bulk of the owner-managers raised in an entrepreneurial household claimed to be involved in assorted informal webs ( See appended and ) .

Contrary to what was expected, the age of an owner-manager was non significantly related to the bulk of SMEs growing steps used in this survey. This is, nevertheless, non surprising, because some of the old surveies have besides found the same consequences. For case, Stuart and Abetti ( 1990b ) have found that the age of the enterpriser has no relationship either to public presentation or experience. In this survey, the non-significant consequence may be attributed to the fact that the bulk of the owner-managers in our sample are in the same age class. Actually, about half of the respondents were between 30 and 40 old ages of age at the clip of the interview ( as seen in descriptive statistic tabular array ) .

The findings that carpentry instruction and managerial experience are non related to employment growing were out of the blue given a outstanding function played by the aforesaid factors on SMEs growing. With regard to the woodworking instruction it is possible that most of the owner-manages who have received woodworking instruction feel loath to use an extra worker. Since these owner-managers have woodworking accomplishments, so it could be possible that they do n’t necessitate an excess woodworking accomplishment through engaging employees who contribute their accomplishments. Possibly these owner-managers employ an extra worker after a long period of roll uping assets and grosss, which increase operations of endeavor and hence, demand for more workers. Furthermore, it is hard to explicate why managerial experience was non important related to the employment growing. The possible ground for this consequence could be mostly attributed to the methodological attacks used. This might be an indicant that the factors impacting gross revenues or assets do non necessary affect employment growing. For illustration, Delmar ( 1997 ) examined both growing in gross revenues and in the figure of employees and found out that the factors impacting gross revenues were non ever the same as those impacting the figure of employees. Jansen ( 2009 ) and Shepherd ( 2009 ) besides shared a similar position by proposing that gross revenues and employment steps are non interchangeable standards for mensurating the growing of SMEs. Alternatively, with regard to the woodworking instruction it is possible that most of the owner-manages who have received woodworking instruction feel loath to use an extra worker.

Hypothesis 2: Personality traits

Our survey besides examined the relationship between personality traits and the growing of SMEs. Personality traits are comprised of features such as the demand for accomplishment, venue of control, hazard taking leaning, innovativeness, ambiguity tolerance and self-efficacy. The findings of this survey suggest that certain personality traits such as the demand for accomplishment, venue of control, hazard taking leaning, advanced behavior and self-efficacy exert an influence on the growing of SMEs. This determination is consistent with the findings from old surveies ( Frese 2000 ; Rauch and Frese 2007b ; Rauch and Frese 2007a ; Shane 2007 ) that put an accent on the importance of the personality traits. Indeed, the more emphasized the owner-manager was on the demand for accomplishment, internal venue of control, innovativeness and self-efficacy ( continuity ) the better the reported growing in gross revenues, assets, and employment. The demand for accomplishment, venue of control, innovativeness and self-efficacy are, hence, the personality traits that influence the growing of SMEs. This determination besides justifies the recent suggestion by ( Ardichvili, Cardozo, and Ray 2003 ; Rauch and Frese 2007b ) that personality traits should be included in the surveies that aim at understanding the procedure of how success develops. These findings besides mean that the graduated tables used to mensurate each of these features seem to hold great generalization and cogency across different national contexts.

Furthermore, we did happen that the inclination of taking hazards has positive deductions on concern growing in footings of both gross revenues and assets. However, we did non happen any important association between the inclination of taking hazards and employment growing. This suggests that owner-managers in our sample may hold a higher inclination to take hazards in other concern results such as gross revenues or plus growing instead than on advancing employment growing. Alternatively, it could be concluded that the factors which affect gross revenues or assets do non necessary affect employment growing.

Contrary to the findings from old surveies, our empirical findings show that tolerance for ambiguity has a negative consequence on gross revenues growing. The determination suggests that those owner-managers who scored low on this trait were executing good. On the other manus, those owner-mangers who scored a small spot high on this trait were making severely. However, this consequence should be read with some cautiousness, because the negative significance could intend serious effects to the high figure of persons who, in our sample, had a low degree of tolerance. Indeed, the bulk of the owner-mangers in our sample scored below the mid-point 3 in this trait. Alternatively, the possible ground for this consequence could be attributed to the fact that the graduated table which used to mensurate ambiguity tolerance lacks face cogency. Actually, the measuring graduated table for tolerance for ambiguity had a low dependability coefficient ( Cronbach ‘s alpha 0.6 ) . On the other manus, it could be that these steps do non capture the tolerance that is conceptualised by the owner-managers of the turning house. Other accounts for this incompatibility could be that ambiguity tolerance may impact how persons respond to uncertainness state of affairss, but it may non positively affect the growing of SMEs.

Hypothesis 3: Cognitive features

The 3rd aim of this survey was to analyze the association between cognitive features and the growing of SMEs. As mentioned in Chapter Six, four features were examined in relation to the owner-manager ‘s cognitive features. These include: entrepreneurial watchfulness, attitude towards entrepreneurship, cognitive manners and entrepreneurial motive. The overall form of the consequences provides general support for the four hypotheses developed with respect to the above-named relationship. Furthermore, these findings besides mean that the graduated tables used to mensurate each of these features seem to hold great generalization and cogency across different national contexts. The findings sing each of these hypotheses are now discussed.

The first sub hypothesis with respect to cognitive features cover with the owner-manager entrepreneurial watchfulness. In research and literature it is frequently argued that a high degree of entrepreneurial watchfulness provides enterprisers with that increased ability to recognize successful chances that leads to concern growing ( Gaglio and Katz 2001 ) . The consequences in this survey seem to back up this statement as we found that high degrees of entrepreneurial watchfulness are related to the growing of SMEs. Our empirical findings besides suggest that low degrees of entrepreneurial watchfulness hamper the growing of SMEs. This consequence besides supports old findings that pointed out that persons with low watchfulness are more likely to be incognizant of the chances that may take to future net incomes ( Olomi 2001 ) .

The following sub-hypothesis dealt with the attitude towards entrepreneurship. Two factors were used to mensurate owner-manager ‘s attitudes towards entrepreneurship. These include: a positive attitude towards venture creative activity and growing and a positive attitude towards hazard pickings and unsure state of affairss. In general, our consequences suggest that attitude towards entrepreneurship has a important positive consequence on a house ‘s growing. Specifically, the hypothesis consequences sing positive attitudes towards venture creative activity and growing are supported by all growing steps used in this survey. In other words, the bulk of the successful owner-managers strongly back up the position sing continued hunt for growing. This consequence supports earlier findings that point out that owner-managers ‘ attitudes towards concern growing are the cardinal factors for successful concern ( Davidsson 1989 ; Delmar, Davidsson, and Gartner 2003 ) . Further, positive attitudes towards hazard pickings and unsure state of affairss were merely related to gross revenues and plus growing. This determination suggests that successful owner-managers in our sample are inclined to affect their concern in state of affairss that may see hazards. In general, this determination suggests that attitude towards entrepreneurship is non merely a good forecaster for concern creative activity ( as already mentioned by old surveies ) , but besides a good forecaster for house ‘s growing. In fact, this determination adds to the turning organic structure of research that focuses on understanding the relationship between attitudes towards entrepreneurship and house public presentation ( Baume, Locke and Smith 2001 ; Baum and Locke 2004 ; Rauch and Frese 2007b )

Furthermore, we found a important association between the cognitive manners ‘ concepts ( cognizing, planning, and making ) and the growing of SMEs. More specifically, our consequences suggest that a making manner is positively related to gross revenues and assets growing while a wise manner is negatively related to these steps. This consequence suggests that higher degrees of making manner influence the growing of SMEs. On the other manus, higher degrees of cognizing manners hamper the growing of SMEs. Indeed, the knowing manner is characterised by a focal point on facts and figures, a high degree of reason and turning away of hazards ( Cools and van den Broeck 2007 ) . These features might connote that people with these manners see more hazards in concern and see a higher degree of uncertainness which limits their avidity to seek for growing. Our findings besides suggest that the owner-managers of the houses that grew prefer to believe in a originative manner when doing concern determinations. These findings may besides be viewed in the visible radiation of old research. For illustration, Allinson et Al. ( 2000 ) observed that a making manner showed a important positive relationship with concern growing. Different cognitive manners, hence, do look to be the relevant factors in explicating the growing of SMEs.

The last hypothesis sing cognitive features dealt with entrepreneurial motives. Two factors of entrepreneurial motivations that may act upon the growing of SMEs were distinguished in this survey. These include: get down up motivations and current motivations. With respect to start-up motivations, our consequences back up the impressions that pull motivations have positive deductions on concern growing in footings of both gross revenues and assets. This is besides consistent with other old surveies ( Davidson 1989 ; Kolvereid 1992 ; Fitzroy and Nolan 2002 ; Cassar 2007 ) which showed that owner-managers who are strongly motivated by pull factors perform better in their concerns, since they devote more clip and energy to the concern. In contrast, push factors appeared to hold a negative consequence on concern growing. This implies that enterprisers who start a concern because of push factors perform ill compared to those who start a concern for other grounds. An account for this could be that owner-managers who enter into concern motivated by push factors are less good equipped or less committed to prosecute in concern. Additionally, since their primary ends are merely to last, growing motives might good as be of small importance to them. Consequently, they may hold a desire to stop with their entrepreneurial activity one time well-paid employment is available to them. Among the current motivations studied, a positive consequence is still found between owner-managers ‘ pull motivations and a house ‘s growing. This determination suggests that the owner-manager ‘s primary grounds for go oning making concern do impact the growing of their houses. In fact, those people who are positively motivated are more likely to see their concerns turn. We did non happen any important association between current push motivation and the growing of SMEs. However, this determination should be treated with cautiousness, given the fact that a current push factor contained one pull point.

Furthermore, it was found that push factors ( or negative incentives ) were non really of import when get downing one ‘s ain house in Tanzania. This determination suggests that most enterprisers in Tanzania are by and large motivated by pull factors. This is consistent with other old surveies, which suggest that most of the enterprisers are motivated by positive grounds ( Mitchell 2004 ; Kirkwood 2009 ) . However, it contradicts earlier findings that claim that push motivations are more of import than pull motivations in developing states ( Chu et al. 2007 ; Benzing et Al. 2009 ) .

Hypothesis 4: Indirect consequence of the personality traits

The 4th hypothesis examined the indirect consequence of the personality traits in explicating SMEs growing. Entrepreneurship research workers have pointed to the likeliness that traits work in concurrence with other factors in explicating the growing of a house ( Shane et al 2004 ; Rauch and Frese 2007c ; Chell 2008 ; Rauch et Al 2009 ) . Alternatively, other factors mediate the relationship between the personality traits and the growing of SMEs. This thesis takes into consideration the fact that personality traits will work through cognitive factors in explicating the growing of SMEs. The determination of this survey provides a strong support for the hypothesised relationship. In fact, we found that at the structural degree the direct relationship between personality traits and SMEs growing is really weak. On the other manus, we found that personality traits have a important influence on SMEs growing through cognitive features. This determination implies that cognitive features are necessary go-between of the nexus between personality traits and SMEs growing. That is, without cognitive features, personality traits may hold a minimum or no consequence on the growing of SMEs. This determination suggests that the personality traits influence the manner an owner-manager behaves and makes determinations about the concern. For illustration, higher demand for accomplishment might take to positive attitude towards venture creative activity and growing. This determination is consistent with the old findings and suggestions that some of the factors such as personality traits affect SME growing through other variables such as cognitive features ( Krauss et al. 2005 ; Rauch and Frese 2007b ; Shane 2007 ; Rauch and Frese 2007a ; Chell 2008 ; Rauch et Al. 2009 ) . This consequence offers an account as to why other old research workers have failed to happen a important relationship between personality traits and SMEs growing. The inability to happen any important relationship between personality traits and the growing of SMEs might be attributed to the fact that most of these surveies merely tested for a direct relationship. This consequence besides offers an account as to why other bookmans continue to indicate out the importance of the features of an enterpriser on the growing of the houses ( Rauch and Frese 2007b ) .

Furthermore, when features of the owner-managers are examined at the same time in the arrested development theoretical account it becomes clear that most of the personality traits are non straight related to gross revenues and plus growing ( see appended ) . In fact, the findings suggest that merely one personality trait ( internal venue of control ) has a important influence on the growing of SMEs. Furthermore, two demographic features ( workshops attended, old experience in the sector which current house is in ) and three cognitive features ( entrepreneurial motives, higher degrees of watchfulness and cognitive manners ) are the best forecasters of gross revenues and assets growing. These findings continue to propose that the direct influence of the personality traits on SMEs growing is minimum. On the other manus, the direct influence of the demographic and cognitive features on the growing of SMEs is significant. The findings showed further that the personality traits and cognitive features are related, proposing that owner-manager traits are determiners of knowledge and behavior ( Baum, Locke and Smith 2001 ) . From this observation, it becomes clear that personality traits are of import forecasters of SMEs growing, but they work chiefly through cognitive features.

Different indexs of growing

Comparing the consequences for both growing steps used in this survey, we see that gross revenues and plus growing are affected by the same variable. Furthermore, the consequences suggest that among the factors studied merely few factors can explicate employment growing. Apparently, employment on the one manus and gross revenues and plus on the other are non interchangeable standards for mensurating steadfast growing ( Delmar 1997 ; Jansen 2009 ) . This determination may besides be based on the statement that in mensurating the growing of SMEs the figure of employees alterations easy compared to other indexs like gross revenues generated or assets accumulated. In fact, it has been argued that gross revenues growing is chronologically the first signifier of growing followed by other indexs such as employment or assets ( Jansen 2009 ) . A possible account could be that Tanzanian owner-managers employ an extra worker after a long period of roll uping assets and gross revenues, which addition concern operations and hence, demand for more workers. Additionally, owing to the nature of the concerns studied ( furniture industry ) another alternate account might be that these houses are more likely to convey in more machinery ( working tools ) than to use more people, and therefore turn without increasing the figure of employees. Other factors may besides play a function when it comes to engaging extra people: it could be that people are hired because they are relations or friends. Rather than giving them nutrient for nil they are given the chance to work for the company and thereby hold money to purchase nutrient. In this regard, employment is non a good index of a SMEs growing in Tanzania. Our survey besides supports the statement posed by Jansen ( 2009 ) that employment, gross revenues and assets can non be considered as interchangeable conceptualizations of the same phenomenon.

Measurement period

In this survey, SMEs growing in footings of gross revenues and employment was measured over two clip spans, viz. growing over a three-year period and growing over a five-year period. After comparing the consequences across these two clip spans, we concluded that both clip spans yield similar consequences. This consequence is in line with the recent work of Shepherd and Wiklund ( Shepherd and Wiklund 2009 ) , who found a high concurrent cogency between some of the different growing steps and across one and three twelvemonth clip spans. This consequence suggests that research workers are free to compare the consequences that use a three-year clip period and a five-year clip period. However, before making a decision it should be remembered that gross revenues and assets growing was measured utilizing subjective steps. For this ground, we are non rather certain if the findings obtained could be the same when nonsubjective steps are used. For illustration, we have seen that when employment growing is measured over two clip periods the concluding consequences vary harmonizing to the pick of the expression.

Concluding consequences across Absolute and Relative Measures of Growth

In this thesis, we besides examine whether employment growing when calculated as absolute or relation has a significant consequence on the concluding consequences. The consequences in this survey suggest that both expressions yielded similar consequences. This determination is consistent with the findings of a recent survey conducted by Shepherd and Wiklund ( 2009 ) , which suggest a high correlativity between absolute and comparative employee growing. Therefore, the consequences on comparative employee growing can be comparable with the consequences on absolute employee growing. However, when employment growing is measured over two clip periods the concluding consequences vary harmonizing to the pick of the expression. Therefore, it appears inappropriate to roll up cognition across clip spans for comparative and absolute steps of employment growing.

Applicability of the western theories to the Tanzanian context

In general, our findings indicate that some of the theories related to entrepreneurial features are applicable in the Tanzanian context. In peculiar, we found the important relationship between venture growing and owner-managers with certain demographic features, specific personality traits, and certain cognitive features. Many of these features are typically considered the features which influence growing in western states. Therefore, our findings provided grounds for the impression that some of the personal features which influence the growing of SMEs are cosmopolitan across states or civilizations ( Nguyen and Nguyen 2008 ) .

These findings are in line with entrepreneurial knowledge research, which argued that because many challenges and behavior associated with entrepreneurship tend to be similar across states ( e.g raising money for venture ) , there may be transverse cultural similarities in the features and attributed ascribed to them ( Mitchell 2000 ) . Our findings are besides in line with other old surveies conducted both in developing and post-socialist states, which suggest that some of the features of the enterprisers may be common across civilizations. For illustration a survey done by ( Ageev, Gratchev, and Hisrich 1995 ) , found that the personality traits exhibited by Russian enterprisers were similar to those of enterprisers in the United States. Similar consistent consequences have been found in the African surveies. For case, ( Ramachandran and Shah 1999 ) examine the function of enterpriser on the public presentation of the SMEs in the Sub Saharan states, their findings were consistent with the western based entrepreneurship theories. Furthermore, ( Chu, Benzing, and McGee 2007 ) surveyed enterprisers in Kenya and Ghana to find their motive for concern ownership, entrepreneurial features lending to the concern success and the jobs they encountered. Their findings suggest that most of the success factors cited by enterprisers both in Kenya and Ghana are typically considered the features which influence growing in western states.

These findings were really interesting, bearing in head that Tanzania was a socialist state as already discussed in Chapter Four. Since Tanzania was so a socialist state so it could be expected that most of the theories developed in the western capitalist system could non keep within a Tanzanian context. In fact, it has been suggested that entrepreneurship civilization in Tanzania is developing ( Olomi 2001 ) . Contrary to these observations, we found that there are some similarities between the features of the owner-managers which influence the growing of SMEs from the developed states and developing states. We can explicate this determination by theorizing that since the bulk of enterprisers come from entrepreneurial households it could be possible that most of these features were learned through take parting in their parents ‘ concern. In fact, scholars back up the impression that entrepreneurs whose parents were enterprisers displayed greater entrepreneurial endowment. Furthermore, we have seen that ?workshop? is among the strongest factor in explicating the growing of SMEs in our survey. Since preparation can enable owner-managers to alter their behavior and attitudes towards concern, we therefore speculate that ?workshop received? has enabled the owner-managers to better their entrepreneurial features. These claims were substantiated by the fact that owner-manager who have attended workshops scored high in assorted features and were more likely to ain houses, which have experienced concern growing in footings of gross revenues, plus, and employment.

While successful enterprisers globally may portion some cosmopolitan features, it is sensible to reason that there are other features that might be more civilization determined. For case, in this survey we found that most of the owner-mangers in our sample have low tolerance of ambiguity. This is non surprising as it has been suggested Tanzania is among the strong uncertainness turning away states ( Ifinedo and Usoro 2009 ) . Indeed, the persons in these states tend to hold low tolerance for uncertainness and ambiguity and such they are more likely to hit low on the tolerance for ambiguity graduated table. Furthermore, based on the western theories, we expected that a positive relationship would be between tolerance of ambiguity and the growing of SMEs. Surprising, we found that tolerance of ambiguity was non positively related to the growing of SMEs. Alternatively, we found the antonym, that tolerance for ambiguity was negatively related to the growing of SMEs. Given that holding a low tolerance of ambiguity is likely to do one more narrow- minded or possibly to close doors to geographic expedition, it is interesting that this survey found that owner-managers who have low tolerance of ambiguity have experienced growing in their houses. This determination may reflect the alone context of Tanzania every bit good as a post-socialist society. In fact it has been suggested that difference in civilization or economic and political systems made some of the western theories to be unsuitable in the development states ( Nchimbi 2002 ) .