Institutional and individual factors enabling the growth of Lesotho’s MSMEs in the manufacturing sector: Linking industrial and entrepreneurial ecosystems

Relebohile Makara, Ekaete Elsie Benedict and Karen Booysen
Additional contact information
Relebohile Makara: University of the Free State
Ekaete Elsie Benedict: University of the Free State
Karen Booysen: University of the Free State

International Journal of Business Ecosystem & Strategy (2687-2293), 2023, vol. 5, issue 4, 42-54

Abstract: As a means of seeking more effective ways to curb the unemployment levels in Sub-Saharan countries, governments are beginning to include the development of the manufacturing sector in their country's strategies, and Lesotho is not an exception. This paper aims to determine the role of various institutional and individual factors which when present and collaborating in an entrepreneurial ecosystem can contribute to the successful growth of MSMEs operating in the manufacturing sector. This paper is also aimed at developing a conceptual framework suitable for the growth of these MSMEs in Lesotho by linking concepts of industrial and entrepreneurial ecosystems. This study utilised a qualitative exploratory research approach and data were collected using semi-structured interviews. In total, 12 candidates from government, financial, and educational institutions as well as the media were interviewed. Data were analysed using thematic analysis. The main findings of the study demonstrate that a suitable ecosystem for MSMEs in the manufacturing sector in a country such as Lesotho should consist of policies and regulations that support and encourage financial institutions to assist MSMEs. Government regulated media institutions disseminate regular information relating to existing policies, regulations, and opportunities and educational institutions provide adequate skills and knowledge to enhance an individual’s entrepreneurial alertness, creativity, and innovativeness. An inclusive ecosystem for MSMEs in the manufacturing sector in Lesotho should also involve the collaboration of MSMEs with larger firms and the establishment of independent regulated quality assurance institutions to assure the quality of products and increase customer confidence.

Keywords: Entrepreneurial Ecosystems; Industrial ecosystems; Micro; Small and Medium Enterprises; Manufacturing Sector (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
https://bussecon.com/ojs/index.php/ijbes/article/view/445/232 (application/pdf)
https://doi.org/10.36096/ijbes.v5i4.445 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:adi:ijbess:v:5:y:2023:i:4:p:42-54

Access Statistics for this article

International Journal of Business Ecosystem & Strategy (2687-2293) is currently edited by Umit Hacioglu

More articles in International Journal of Business Ecosystem & Strategy (2687-2293) from Bussecon International Academy Bussecon International Academy, School of Business, IHU, Ordu cad. F-05 Blok No 3, 34480 Basaksehir, Istanbul, Turkey. Contact information at EDIRC.
Bibliographic data for series maintained by Umit Hacioglu ().