Effect of Decision-making on Growth of Youth-Owned Enterprises in Kenya

Abstract

Youth enterprises play a key role in poverty alleviation and if they are run based on entrepreneurial management skills. Despite their significance, statistics, however, show that in Kenya, three out of five youth run small enterprises fail within the first three years of operation, and among those that continue 80 percent fail before the fifth year. This study sought to investigate the effect of decision-making on the growth of youth-owned enterprises in Kenya. The research design used followed a cross-sectional survey. The target population included 55,300 youth-led micro and small enterprises in Kenya. A sample size of 397 youth-led micro and small enterprises was used.   Data was analyzed using descriptive statistics, correlation, and linear regression analysis. The findings indicated that decision-making (β=.501, P <.000) had a positive and significant influence on the growth of youth-owned enterprises in Kenya. The study concluded that decision-making contributes positively to the growth of youth-owned enterprises in Kenya.