Business Development Services And Performance Of Micro, Small And Medium Enterprises: Mediating Effect Of Attitudes And Perceptions Of Owners In Dodoma City

ABSTRACT

This study focused on the influence of business development services on performance of Micro, Small and Medium Enterprises (MSMEs) in Dodoma City when mediated with owner’s attitudes and perceptions. Specifically, the study mapped business development services offered to the MSMEs, determine the influence of advisory services on the performance of MSMEs, determined the influence of technical supports on the performance of MSMEs and finally, determined the mediating effects of attitudes and perceptions of owners in the relationship between business development services and the performance of MSMEs. Data were collected and analyzed both qualitatively and quantitatively form a total of 90 business owners were involved in the study and the performance of their MSMEs was determined. Pearson correlations and multiple linear regressions were conducted and results revealed that business development services which were advisory services in terms of business, management, tax and financial services and technical support in terms of production skills, ICT skills and maintenance services determined the performance of MSMEs. Also, the presented results revealed that perceptions and attitudes of owners of MSMEs mediated the relationship between business development support and the performance of MSMES. It was recommended that business owners should enhance the utilization of business development services and on the other hand positive attitudes and perceptions should be considered so as to improve the performance of their MSMEs. Finally, the study suggested for further studies on the challenges that MSMEs encounter on accessing to business development services and how the same affect the performance of MSMEs.