THE INNOVATION SKILLS AND BUSINESS START-UP OF GISH ABAY TVET COLLEGE TRAINEES

ABSTRACT

 The purpose of this study is to investigate Gish Abay TVET College trainees’   innovative skills and their business startup. The trainees’ innovative skills, their state of business startup, and the association between them along with determinants of business startup were investigated. To address these specific purposes, primary data were collected from TVET trainees as target respondents. A survey research design was employed frame the data collected from a total of 207 selected respondents across two districts in Sekela Woreda and analyzed using percentage and binary logistic regression. Irrespective of the minimal contribution of level of education and trainings offered, family economic background helped the majority of the trainees to start their business (61.5%). The findings from the analysis revealed that most of the trainees started their business as they have moderate innovative skills, and Marketing related factors, the economic background of their families’ and access to credit   were found the most significant determinants to   affect business startup.   The study hence   recommended stakeholders to offer effective training and access credit opportunities to capacitate the technical, strategic and financial ability of the trainees.

Keywords: Innovation, business startup, trainers, trainees, startup

LIST OF ABBREVIATIONS

 

TVET =Technical, Vocational and Entrepreneurship Training

SPSS=statistical package for social science

CVR =content validity ratio

 

TABLE OF CONTENTS

Table of Contents

ACKNOWLEDGMENTS. i

ABSTRACT.. i

LIST OF ABBREVIATIONS. ii

TABLE OF CONTENTS. iii

LIST OF TABLES. vi

CHAPTER ONE: INTRODUCTION.. 1

1.1 Background of the study. 1

1.2Statement of the Problem.. 3

1.3Research Question. 5

1.4. Objectives of the Study. 6

1.4.1 General Objective. 6

1.4.2 Specific Objectives. 6

1.5 Scope of the Study. 6

1.6 Significance of the study. 6

1.7. Limitation of the study. 7

1.8. Operational definitions of key terms. 7

1.9. Organization of the paper8

CHAPTER TWO:  REVIEW OF RELATED LITERATURE. 9

2.0 Theoretical review.. 9

2.1. Definition of innovative activity. 9

2.2. Characteristics of innovation. 11

2.3 Drives of Innovation. 11

2.4 Importance of innovation. 14

2.5 Measuring Innovation. 16

2.6 The role of innovation. 17

2.7 New Business Creation. 18

2.8. Factors Affecting Business Startup. 19

2.9. Conceptual frame work. 22

CHAPTER THREE:  RESEARCH METHODOLOGY.. 24

3.1 Research Design. 24

3.2 Description of the Study Area. 24

3 .3 Population and Sampling. 25

3.3.1 Study Population. 25

3.3.2 Sample size and sampling. 25

3.4.   Instruments of Data collection. 28

3.5. Questionnaire Validity and Reliability. 28

3.6. Method of Data Analysis. 29

3.7. Definition of variables and their measurement30

3.7.1 Independent variable. 31

A.     Market related factor. 31

B.     Regulatory administration factors. 31

C.     Financial   Factors. 31

D.     Cultural factors. 31

CHAPTER FOUR.. 32

DATA PRESENTATION, ANALYSIS, AND INTERPRETATION.. 32

4.1. Background information. 33

4.2. TVET trainees Business start up. 34

4.3. The Innovative Skills of TVET Trainees. 37

4.4. The influence of the trainees’ innovative skills on their business startup. 38

4.4.1. Data screening for binary logistic regression. 38

4.4.2 Usefulness of the Model39

4.4.3. The association of innovation skills with business start-up.41

4.5TVET trainees’ Determinants of Business Startup. 44

CHAPTER FIVE:  SUMMERY, CONCLUSION AND RECOMMENDATION.. 48

Introduction. 48

5.1 SUMMARY.. 48

5.2 Conclusions. 49

5.3 Direction for Future Research. 51

REFERENCE. 52

Appendixes. 55

Appendix A: Trainees Questionnaire. 55

Appendix B:  regression result fitness test on the influence of innovation skills on business start-up. 60

Appendix C:  regression result fitness test on the influence of innovation skills on business start-up. 61

Appendix D: regression fitness test for determinants of business startup. 62

Reliability Statistics. 64

Appendix E: spss results of variables.