Transformational Leadership and Growth of Women-Owned Micro and Small Enterprises in Kasarani Division, Nairobi County - Kenya
Keywords:
Transformational Leadership, Growth, Women-owned SMEsAbstract
The growth of women-owned enterprises is currently attracting much policy and literal attention. There is debate that transformational leadership is essential to the growth of micro and small enterprises (MSEs). However, empirical evidence of the role of transformational leadership on the growth of women-owned enterprises in Kenya is scarce. The purpose of this study was to examine the effects of transformational leadership on the growth of women-owned enterprises in Kasarani Division in Nairobi County. A random sample of 400 women-owned and managed MSEs was surveyed using a structured questionnaire. The Multifactor Leadership Questionnaire (MLQ) was used to measure transformational leadership. Regression models were used to examine the effects of transformational leadership on enterprise growth. Having parents in business and obtaining business advice were negatively associated with growth. Further, the age of the business and obtaining credit for business operations were positively associated with enterprise growth. The results of this study suggest that enhancing transformational leadership in women-owned enterprises is a viable policy option. The need to enhance business heritage is recommended.
Key Words: Transformational Leadership, Growth, Women-owned SMEs,
References
Barr, A. M. (1998). Enterprise Performance and the Functional Diversity of Social Capital Centre for the Study of African Economies, University of Oxford, Working Paper No. 65 U.K.
Beasley, C. (1999). What is Feminism Anyway? Singapore: South Wind Production Limited. Bird, B. (1989). Entrepreneurial Behaviour. Glenview, Scott Foresmann and Company.
Black, K. (2005). Business Statistics for Contemporary Decision Making. 4th Edition. Wiley.
Bruni, A., Gherardi, S. and Poggio, B. (2004). Entrepreneur-mentality, Gender and the Study of Women Entrepreneurs. Journal of Organizational Change Management 17(3): 256-268.
Bruni, A., Gherardi, S. and Poggio, B. (2004). Entrepreneur-mentality, Gender and the Study of Women Entrepreneurs. Journal of Organizational Change Management 17 (3): 256-268.
Brush, C. (1997). Women-owned Businesses: Obstacles and Opportunities. Journal of Developmental Entrepreneurship.
Brush, G. (1992). Research on Women Business Owners: Past Trends. A New Perspective, Future Directions. Entrepreneurship Theory and Practice, 16 (4): 5 30.
Brush, C. (1997). Women-owned Businesses: Obstacles and Opportunities. Journal of Developmental Entrepreneurship.
Brush, G. (1992). Research on Women Business Owners: Past Trends. A New Perspective, Future Directions. Entrepreneurship Theory and Practice, 16 (4): 5-30.
Buttner, E. and Moore, D. (1997). Women’s Organizational Exodus to Entrepreneurship; Self- reported Motivations and Correlates with Success. Journal of Small Business Management.
Carter, N. M., Williams, M., and Reynolds P. D. (1997). Discontinuance among New Firms in Retail: The Influence of Initial Resources, Strategy and Gender. Journal of Business Venturing.12 (2):125-145.
Central Bureau of Statistics, International Centre for Economic Growth and K-REP Holdings Ltd. (1999). National Micro and Small Enterprises Baseline Survey Nairobi.
Chaganti, R. (1986). Management in Women-owned Enterprises. Journal of Small Business Management, 24 (4): 18-29.
Eagly, A. H., Johannesen-Schmidt, M. C. and van Engen M. L. (2003). Transformational, Transactional, and Laissez-Faire Leadership Styles: A Meta-Analysis Comparing Women and Men. Psychological Bulletin. 129 (4): 569-591.
Fischer, E. M., Reuber, A. R. and Dyke, L. S. (1993). A Theoretical Overview of the Extension of Research on Sex, Gender and Entrepreneurship. Journal of Business Venturing. 8 (2):151-168.
Gakure, R. W. (2003). Women’s Enterprises: Issues Impacting on Growth of Women Enterprises in Kenya. Paper Presented at “CEED’s 1st International Conference at USIU, Nairobi, Kenya 23rd -25th April.
Government of Kenya (2005). Sessional Paper No. 2 of 2005 on Development of Micro and Small Enterprises for Wealth and Employment Creation for Poverty Reduction. Nairobi: Government Printers.
Helgesen, O., Nesset, E. and Voldsund, T. (2008). Marketing Perceptions and Business Performance: Implications for Marketing Education? Marketing Intelligence and Planning. Advanced Copy. Emerald Publishing Limited.
Kibas, P. B. (2006). Rural Entrepreneurship in Kenya: Perception of Women on Entrepreneurship. Paper Presented at the International Entrepreneurship Conference United States International University, 23rd-25th April, Nairobi-Kenya.
King, K. and McGrath, S. (1998). Rethinking Small Enterprises Development between Poverty and Growth, Paper in Education No. 13, Centre for African Studies, University of Edniburgh.
Kirzner, I. (1997). Entrepreneurial Discovery and the Competitive Market Process: An Austrian Approach. Journal of Economic Literature. 35: 60-85.
Knight, F. (1921). Risk, Uncertainty and Profit. New York. Houghton, Mifflin Company.
Lee, S. M. and Peterson, S. J. (2000). Culture, Entrepreneurial Orientation and Global Competitiveness. Journal of World Business.
Lerner, M. and T., Almor (2002). Relationship among Strategic Capabilities and Performance of Women-Owned Small Ventures. Journal of Small Business Management, 40 (2):109-125.
Machado H. V., St-Cyr, L. and Mione A. (2003). Women Entrepreneurs, Performance and Management Style: A Comparative Study. Paper Presented at the International Council for Small Business 48th World Conference 15-18th June. Northern Ireland.
McCormick, D. (2001). Gender in Small Enterprise in Kenya: An Institutional Analysis. In Samantra P.C. and Sen R. K. (Eds) Realizing African Development Kokalta, India, CIADS in collaboration with IDS.
McCormick, D. (2001). Gender in Small Enterprise in Kenya: An Institutional Analysis. In Samantra P.C. and Sen R. K. (Eds) Realizing African Development Kokalta, India, CIADS in collaboration with IDS.
Miller, D. (1983). The Correlates of Entrepreneurship in Three Types of Firms. Management Science. 29 (7): 770-791.
Moore, D. P. and Buttner, E. H. (1997). Women’s Organizational Female Business Owners: An Exploratory Study. Journal Small Business Management, July: 18-34.
Olm, K., Carsrud, A. and Alvey, L. (1988). The Role of Networks in New Venture Funding of Female Entrepreneurs. A continuing Analysis.
Porter, A. and Landolt, P. (1996). The Downside of Social Capital. The American Prospect, Brookings Institution Press, USA.
Rauch A., Wiklund J., Frese M. and Lumpkin, G. I. (2006). Entrepreneurial Orientation and Business Performance: Cumulative Empirical Evidence. Entrepreneurship Theory and Practice. 30 (2):145-160.
Rosa, P. and Hamilton (1994). Gender and Ownership in U. K. Small Firms. Entrepreneurship Theory and Practice.
Rosener, J. (1990). Ways Women Lead. Harvard Business Review: 119-125.
Saunders, M. N. K., Lewis, P. and Thornhill, A. (2003). Research Methods for Business Student, (3rd Ed). Harlow: FT Prentice Hall.
Schumpeter, J. (1934). The Theory of Economic Development. New York. Irwin University Books.
Sederbom, A. M. and Teal, F. (2001). Firm Size and Human Capital as Determinants of Productivity and Earnings. Centre for the Study of African Economies, Oxford University Press, U.K.
Shepherd, D. A. and De Tienne, D. R. (2005). Prior Knowledge, Potential Financial Reward and Opportunity Identification. Entrepreneurship Theory and Practice.
Stevenson, H. H. and C. Jarillo. (1990). A Paradigm of Entrepreneurship: Entrepreneurial Management. Strategic Management Journal: 11 (summer): 17-27.
Stevenson, L. and St-Onge A. (2005). Support for Growth-Oriented Women Entrepreneurs in Kenya, ILO, Geneva, Switzerland.
Venkataraman, S. (1997). The Distinctive Domain of Entrepreneurship Research. In Katz J.A (Ed.) Advances in Entrepreneurship, Firm Emergence and Growth. (3) London: JAI Press.
Woodruff, C. (1999). Can any Small Firm Grow Up? Entrepreneurship and Family Background in Mexico. Graduate School of International Relations and Pacific Studies. San Diego, USA. University of California Press.
World Bank (2001). Engendering Development through Gender Equality in Rights, Resources and Voice.