The contribution of tourism to micro and small enterprise growth
Authors: Mshenga, Patience M.; Richardson, Robert B.; Njehia, Bernard K.; Birachi, Eliud A.
Source: Tourism Economics, Volume 16, Number 4, December 2010 , pp. 953-964(12)
Publisher: IP Publishing Ltd
Abstract:Tourism is an increasingly important economic sector in many developing countries. In Kenya, it represents the second greatest contribution to gross domestic product (GDP) after agriculture. Data from a survey of 449 micro and small enterprises (MSEs) in coastal Kenya were used in a modified Evans growth model to examine the contribution of tourism to the growth of farm and non-farm MSEs. The authors also examined the influence of entrepreneur and business characteristics on the growth of farm and non-farm MSEs along the Kenyan Coast. The age of the business, business income, marital status, number of employees and form of business organization were found to influence MSE growth significantly. Tourist spending and activities were also found to have a significant effect on MSE growth. The results have implications for the role of tourism in economic development, small business growth and poverty alleviation.
Document Type: Research Article
Publication date: 2010-12-01
Tourism Economics, published bimonthly, is a peer-reviewed journal devoted to the economics and finance of tourism worldwide. Articles address the components of the tourism product (accommodation; restaurants; merchandizing; attractions; transport; entertainment; tourist activities); and the economic organization of tourism at micro and macro levels (market structure; role of public/private sectors; community interests; strategic planning; marketing; finance; economic development).
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