HAWASSA UNIVERSITY

COLLEGE OF BUSINESS AND ECONOMICS

DEPARTMENT OF ECONOMICS BUSINESS

THE SOCIO-ECONOMIC ROLE OF SMALL SCALE ENTERPRISES AND ITS

CHALLENGES (THE CASE OF WOLAITA SODO)

A RESEARCH PROPOSAL SUBMITTED TO DEPARTMENT OF

ECONOMICS FOR PARTIAL FULFILLMENT OF THE
REQUIREMENT FOR BSC DEGREE IN ECONOMICS

BY: _____________
ID NO: ______________

ADVISOR: _______________

May,2021
Wolaita Sodo, Ethiopia
 Table of content

Contents……………………………………………………………………………………..Page
CHAPTER –ONE ........................................................................................................................... 1

1. INTRODUCTION ...................................................................................................................... 1

1.1. BACKGROUND OF THE STUDY ........................................................................................ 1

1.3 Objective of the study ........................................................................................................... 4

1.3.1. General Objective .......................................................................................................... 4

1.3.2. Specific Objective.......................................................................................................... 4

1.4. Significance of the study ...................................................................................................... 5

1.5.Scope of the study ................................................................................................................. 5

1.6. Limitation of the study ......................................................................................................... 6

1.7 Organization of the study ...................................................................................................... 6

CHAPTER TWO ............................................................................................................................ 7

2. REVIEW OF RELATED LITERATURE .................................................................................. 7

2.1 THEORETICAL REVIEW ................................................................................................... 7

2.1.1 DEFINTION AND CHARACTERISTICS OF SMALL SCALE ENTERPRISE ......... 7

2.2 Characteristics of Small Business. ........................................................................................ 9

2.2.1 Size Definition ................................................................................................................ 9

2.2.2 Demographics ................................................................................................................. 9

2.2.3 Advantages of small Business enterprise ....................................................................... 9

2.3 Problems faced by small business. ...................................................................................... 10

2.4 Empirical literature .............................................................................................................. 11

CHAPTER THREE ...................................................................................................................... 13

3. METHODOLOGY ................................................................................................................... 13

3.1 DESCRIPTION OF THE STUDY AREA .......................................................................... 13

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 3.1.1 Data Source................................................................................................................... 13

3.1.2 Methods of data collection ........................................................................................... 14

3.1.3 Methods of sampling .................................................................................................... 14

3.1.4 Methods of data analysis .............................................................................................. 15

Reference ...................................................................................................................................... 16

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 CHAPTER –ONE
1. INTRODUCTION
1.1. BACKGROUND OF THE STUDY
Currently the world in which we are living is so developed even though the stage of development
shows disparity among nations. But this development is not overnight process, it comes through
gradual process. Like this process the growth of a country is not /rapid economics phenomena. It
is the result of gradual process by undertaking different activities and professions. So,
developing small scale business enterprise is one of the paths that leads to growth and
development. Developing small scale business enterprise clears the way for the establishment of
large industries and it helps a country to go through development. Carter and Jones, 2004). In
developed countries the flexibility and dynamism of small scale business have made then more
competitive and this night force firms recognize production in to small scale, decentralized and
flexible economic units particularly in Europe and USA (Mulu, 2001).

In cross section of both developed and emerging economies, the contribution of micro and small
scale enterprise sector to total employment, entrepreneurship and innovation cannot be
underestimated. For example, this sector generates about 6.2% of aggregate employment in
USA, 23.3% in China, about 80% in India, 67% in Japan and 70% in UE countries (Carter and
Jones, 2004).Small scale business enterprises are a major features of economic landscape in most
developing countries by contributing to the creation of jobs and alleviation of poverty and the
recognized by many third world governments (Ruchard, 2003).

In Ethiopia the micro and small scale business enterprises section is the second largest
employment generating sector following agriculture. A national survey conducted by CSA in
1997 and covering 48 towns implicates that nearly 750,000 people are engaged in informal and
small manufacturing business. In Ethiopia one of a major means of development establishing and
using sustainable development of these micro and small scale business enterprise have a
dominant place in terms of job opportunity because of small business produces consumer goods,
accessories for agricultural tools and the like. This is a contribution of 3.4 percent to GDP and
33% of the contribution of the industrial sector and 52% of the manufacturing sectors
contribution to GDP of the 1992/93 (MSE Strategy, ministry of trade and Industry, 1997).

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In recognition of the important role of MSE, have to play in increasing income, addressing the
challenges of un employment and reducing poverty the FDRE government drafted its first micro
and small scale enterprise development strategy in 1997 (Endalkachew, 2008). According CSA
(1997) the total number of MSES are 587,644. Due to government policies and strategies this
number has grown to 1,805,898 in 2003. These MSES employed 2,402, 029 work forces; out of
which 65.4% were females. (CSA, 2003).

Latter on the number of MSES rapidly increases to 1.3 million supporting over 12 million people
or 16% of the total population of the country (Tadesse, 2006).

MSES development in Ethiopia Meaning fully has been given due attention by government since
2004/05 of course, in 1996/97 National MSE strategy was developed by the government.
However the degree of recognition to the sector with regards to job creation and the alleviation
of objective poverty among the nations was not sufficient until 2004/05, the national strategy
was implemented by the federal MSES development agency organized only at national level. But
later on, by considering the critical role of the sector and the constrained faced by MSE operators
the government of Ethiopia decide to establish MSE coordinating body at regional level.
Accordingly, MSE development agencies are setup in all regions, even sub-branch offices at
zone /district level. Currently the government amend MSE strategy with the objective of
alleviating poverty and rescuing unemployment to help out the sector to play its pivotal role as
abase to medium and large scale (Hailay, 2003).

The regional government of SNNPR also developed a regional strategy and setup SNNPR
regional micro and small scale enterprise development agency in 2001 to create an enabling
environment f or the development and growth of the MSE sector and provide basis for medium
and large scale enterprise in the region. (Hailay,2003).

According to CSA (1997), there are 7,793 MSE Operators exist in Mekelle town alone. The
Survey indicated that 51% of MSES in SNNPR are engaged in Manufacturing, 32% in Hotel and
Restaurant activities. Manufacturing sector is mainly grain mills (77%) of manufacturing, metal
& wood work 17% and non-metallic products 3% and others 3%).

In general, the strategy put as a means to support PLSE such as infrastructure, financial facilities,
supply of raw materials and training. (G.Hiwot and Wolday,2006).

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 1.2Statement of the problem

For the development of an economy, the growth of MSES is very crucial. Developing MSES
clears for the establishment of large industries and it helps a country to go through development.
Because they are primarily labor intensive, MSES actually created major jobs than do big
business (Thomas & Norman, 2006).

Small scale business sector is an important force to generate employment and more equitable
income distribution, activate competition, exploit niche market, enhance productivity and
technical change and through all of economic these development will result (Gebrehiwot, 2006).

A small business enterprise plays an important role in introducing new products and now
techniques in to the market through technological innovation and industrial diversification
(Economy watch, 2010).

In Ethiopia there were 1999,358 MSES establishments employing 997.380 workforces out of
which 60% were females. From their workforces, about 43.3% were involved in manufacturing
and about 37.8% in trade and restaurant (CSA, 2003). Moreover, informal and small scale
manufacturing sector contributed value added of birr 8.3 million in 1996. This figure constitutes
about 3.4% GDP, 33% of industrial sector contribution and 52% of manufactures contribution to
the GDP as the same year (G/hiwot and Wolday, 2006).

Although, small scale business enterprises contribute much to the socio-economic development
of one country, they also face many problems like high taxation, Lack of finance for start-up,
lack of suitable premises for working and marketing, lack of infrastructure facilities, lack of
proper policy and strategy for the development of the sector and etc. (G/hiwot & Wolday, 2006).

Even though, micro and small scale business enterprises have a tremendous contribution to social
and economic development the degree of contribution is not as such enough. Because they face
many problems like shortage of capital, lack of adequate finance and credit, higher interest rate,
poor management ability, higher taxation, absence of raw materials at cheapest price is still a
major handicaps to their development.

There are many previously done researches regarding to this topic on the study area. But, they
have flaws which the researcher wants to modify them. First, the responses collected from the

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respondents are not accurately matched with the realistic figures which the researcher will
respond to this inconsistency problem by classifying and presenting the collected data in a
meaningful forms to have insight of a research problem. Besides to this majority of the
researches have used not only an ambiguous questions, but also they are arranged in
inappropriate sequence. But this study will use simple, direct and familiarVocabularies to all
respondents and arranging them in their appropriate sequence such that respondents are able to
have better grasp of them and provide an accurate responses. The other thing that this study
wants to modify is the methods of sampling techniques used. Even though a stratified sampling
technique is used in most literatures, the number of respondents is arbitrarily selected. But this
study selects respondents from each stratum based on proportional stratified sampling
techniques.

Hence, investigating the socio-economic contribution of micro and small scale enterprises on
household`s standard of living in Wolaita Sodo plus the hindering factors for their smooth
operation is one of the core elements of this study. Thus, this study tries to fill the above short
comings and gaps by making a particular study at Wolaita Sodo and therefore tries to answer the
following research questions.

 What are the socio-economics roles of MSES in Wolaita Sodo?

 What are the problems facing small scale business in Wolaita Sodo?
 What are the aids and support of government policy towards MSES?

Finding a solution for the above questions is one of the main purposes of this study.

1.3 Objective of the study

1.3.1. General Objective

The general objective of the study is to explore and find out the socio-economic role of small
scale business enterprises and the different problems they are facing from different dimensions.

1.3.2. Specific Objective

The specific objective of the study is:-

- To assess the socio-economic contribution of MSES in Wolaita Sodo town

- To identify the major constraints which hinder the proper function of MSES.

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 - To evaluate the impact of government policy towards MSES.

1.4. Significance of the study

The end result of this study will benefit the government, small establishments and even the local
people in that.

- It gives a clue of the share of the sector in improving the income level of the poor and in
narrowing the income gap and reducing unemployment in the area of the study which
presents the benefit of the sector to the concerned government bodies so that they can
give a considerable attention to the expansion of the sector.
- The study also helps to identify the problems that face MSES in Wolaita Sodo town and
propose the problem to the government to search for the solutions.
- To give suggestions and recommendations for those who are engaged in the MSES
how they can solve minor problems by themselves.
- Has potential contributions by giving information and initiating the students and
professionals to dig out more about the problems and develop some integration in
marketing supporting the existing micro and small enterprises.
- Serves as a bench mark for future researches that will be done on this area in the future.
- Provides constructive suggestions and recommendations for decision makes such as
policy makers, government and business men.

1.5.Scope of the study

This study is limited in Wolaita Sodo town, attempted to analyze the socio-economic was and
challenges of MSES. This is because to study large number of population needs much time,
sufficient fund and high experience which comes beyond the researcher. So, due to these
constraints the study will not address the whole or some part of the zone and other part of the
country. This is why the study focuses on the MSES that are registered in Wolaita Sodo town
trade and industry bureau as sole proprietorship and partnership and it include activities like
wood work, metal work, food processing, hotel work etc.

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 1.6. Limitation of the study
The outcomes of this study are subjected to the following limitations.

- It is difficult to get an accurate data because the respondents are refrain from giving
reliable data because they thought that if they give an accurate data, they may be taxed
more, so they thought that it is better to hide some information.
- Some MSES owners are not willing to give information about their business at all.
- It is also cumbersome to obtain relevant data because majority of the respondents are less
literate or illiterate at all. Who cannot read and write what they are questioned properly.
Besides, there may be grammar errors while translation in to English as the data is given
in Tigrigna language.

1.7 Organization of the study

The study contains five chapters. The 1st chapter includes the introduction part of the paper. Its
introduction part consists of bank ground of the study, statement of the problem, objective of the
study, significance of the study, scope of the study, limitation of the study, significance of the
study. The 2nd chapter contains both theoretical and empirical review of related literatures. The
3rd chapter of this study will contain discussions of methodologies & the ways of data collection,
analysis and interpretation will be discussed under chapter four of this study. And the end of the
chapter is expected to discuss the main findings, conclusions and recommendations.

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 CHAPTER TWO

2. REVIEW OF RELATED LITERATURE

2.1 THEORETICAL REVIEW
2.1.1 DEFINTION AND CHARACTERISTICS OF SMALL SCALE ENTERPRISE
Because of their unique economic and organization characteristics, small scale business
enterprises are well placed to have economic, social and political roles in employment creation,
resource utilization, income generation and in helping to promote change in gradual and peaceful
manner. Studies and theories concerning socio-economic factors affecting small scale enterprises
arose during the industrial revolution, with a motion of entrepreneurial importance gaining favor
by mid twentieth century (R.Neuon, 2001). These enterprises play critical roles in the
development of industries and economic development.

Small business is called small scale enterprise. Small scale business enterprises is a business
enterprises that employs small number of workers and does not have high volume of sales
generally, they are privately owned and they operate as a sole proprietor, corporation or
partnership ( Richards, 2003).

A Universally accepted definition small enterprise does not exist. Different countries have
different classification for their enterprises. In pour country Ethiopia; micro and small enterprises
are given different meaning`s at different time. The most important definitions used in the
national level are those given by central statistical authority and ministry of trade and industry.

The CSA defined small scale enterprise and micro-enterprise as:

 Small enterprise; trade organization or manufacturing enterprise that employ more

than ten, but less than twenty people.

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 According to Ethiopian trade and industry bureau Micro and small enterprises are
defined as follows:
Micro enterprise

Paid up capital
Type of MSEs First stage Second stage Third stage
Construction <= 50, 000 50,001-75,000 75,001-100,000
Manufacturing
Urban agriculture
Service and trade <= 30,000 30,001-40,000 40,001-50,000
With excluding high technical consultancy firms and other high establishments.

Small enterprise
Paid up capital
Types of MSEs First stage Second stage Third stage
Construction 100,001-500,000 500,001-1,000,000 1,000,001- 1.5
Manufacturing million
Urban agriculture
Trade and service 50,001-75,000 75,001-200,000 200,001-500,000
Excluding high establishments but with medium technical consultancy.

Micro and small scale enterprises are generally seen as a breeding grounds of indigenous
enterprises because of their low capital requirements and are based on indigenous row
materials and technologies as compiled to large scale enterprise, their special features
coupled with their labor intensity, enable them to generate a large number of employment
opportunities, especially for unskilled and semi-skilled worker (Mekonnen, 1997).

World Bank defined small business as 10 up to 50 employees, total assets of up to $3 million

and total sales of up to $3 million and European Union defined small business as a small
enterprises.

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2.2 Characteristics of Small Business.
2.2.1 Size Definition
The legal definition of small business varies by country to country. In United States, small
business is a business having fewer than 500 employees for manufacturing business and less than
57 million in annual receipts for most non-manufacturing business. The EuropeanUnion
generally defines small business as one that has fewer than 50 employees. However, in Australia,
small business is defined by the fair work act 2009 as one with fewer than 15 employees by
comparison medium sized business has fewer than 500 employees for USAand fewer than 200 in
Australia.In addition to number of employees, other methods used to classify small companies
include sales (turnover). Value of assets and net profit small business are not dominant in the
field of their option.

Australia USA EU
Micro 1-2 1-6 <10
Small <15 <250 <50
Medium <200 <500 <250
Large <500 <1000 <1000
Enterprise >500 >1000 >1000
Business size definition

2.2.2 Demographics
In the United states among a business having <500 employees. In late 2010, about 50% of micro-
business are owned by women.

2.2.3 Advantages of small Business enterprise

A small business can be started at very low cost and on apart time basis. Small-business is well
suited to internet marketing because it can early serve specialized niches, something that would
have been more difficult prior to the internet revolution which began in the late 1990s adopting
to change is curtail in business and particularly small business not being tired in any bureaucratic
inertia, it is typically easier to respond to the market place quick by small business proprietors
tend to be intimate with their customers and clients which result in great accountabilities and
maturity.

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Independence is another advantage of owning small business. Once survey of small business
showed that 38% of those who left the jobs at other companies said their main reason for leaving
was that they wanted to be their own bosses. Freedom to operate independently is reward for
small business owners. In addition many people desire to make their own decision, take their
own risks and reap the reward of their efforts. Small business owners have satisfaction of making
their own decision within the constraint imposed by economic and other environmental factors.
The importance of micro and small enterprise sector in Ethiopia particularly for low income,
poor and women groups is evident from their relatively large presence, share in employment and
small capital requirement. These are sufficient reason for governments and other stock holders in
development to be interested in micro and small enterprises (Endalkachew, 2011).

In Ethiopia, at the level of strategy and policy these roles of MSES have relieved recognition.
They are seen as means of providing employment, alleviating poverty ensuring food security,
and private sector development (Gebrehiwot and Wolday, 2001).

2.3 Problems faced by small business.

Small business of ten face a variety of problems related to their size. A frequent cause of
bankruptcy is under capitalization. This is often a result of poor planning rather than economic
conditions. It is common rule of thumb that the entrepreneur should have access to a sum of
money at least equal to the projected revenue for the first year of business in addition to his
anticipated expenses. For example, if the prospective owner thinks that he will generate
$100,000 in revenues one first year with $ 150,000 in start-up expenses, then he should have not
less than $250,000 available, failure to provide this level of funding for the company could leave
the owner liable for all of the company’s debt should he end up in bankruptcy court, under the
theory 0f under capitalization.

In addition to ensuring that the business has enough capital, the small business owners must also
be mindful contribution margin (sales minus variable costs). To breakeven the business must be
able to reach a level of sales where the contribution margin equals fixed costs. When they first
start out, many small business owners underpriced their products to a point where even at their
maximum capacity, it would be impossible to breakeven. Cost controls or price increases often
resolves this problem (Ethiopian Economic Association, 2002).

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Another problem of many small business is termed entrepreneurial myth or E-myth. The myth
assumptions are that an expert in at running that kind of businesses. Additional business
management skills are needed to keep a business running smoothly. (zewde, 2002).

2.4 Empirical literature

The role of small business enterprise in income and employment generation is increasingly
recognized unlike previous pessimistic notion that these are not linked to the modern and formal
sector and would disappear once the industrial development is achieved (Mulu, 2007). The role
of MSES sector in the economy may be expressed in terms of its contribution to national output
portend employment. Ethiopian economy may group in to Agriculture, industry. Service in
accordance with this classification, industry contributing 11.6% to GDP stood in the third rank.
That means the role of industry in terms of contribution to GDP is low as compared to other
sector (Ayele, 2006).

The manufacturing sub-sector is the most dominant sub sector in Ethiopia industry. Its annual
share in growth output value (GVO) of a sector was more than 56% in the period 1981/82-
200/01. The contribution subsector which more than 26% annual average share in the (GVO
stood in the second position in the same period. The least developed sub-sector in terms of
contribution to GVO was mining and quarreling. Its average annual share in the GVO of the
industry was 3% over the 1981/82-2000/01.

Regarding to the division of the manufacturing industries in terms of size, the shares of the large
and medium scale manufacturing industry and small scale industry and handcraft were 38.7%
and 18% respectively. Obviously, large and medium scale manufacturing has more contribution
to GVO of the sector than small scale industry and handicraft.

Table 2.1 percentage contribution of industrial sub-sectors to GVO 1981/82-200/01)

Subsector Contribution to GVO

Mining and quarrying 3%
Manufacturing 58.8%
Large and medium scale Manufacturing 38.7%
Small scale industry and handicrafts 18%

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Electricity & water 13.5%
Construction 26.7%
Source: (Ethiopian Economic Association Volume II, 2002/2001).

In Ethiopian, MSES is the second employment generating sector following agriculture (CSA,
2005). A national survey conducted by Ethiopian CSA in 2005 in 48 major towns indicates that
nearly 585,000 and 3000 operators engaged in MS manufacturing industries ismore than eight
folds (740,000) persons to that of the medium and large scale manufacturing industries (90,000
persons). This is the contribution of 3.4% to GDP, 33% of the industrial sectors contribution to
the GDP the year 2001 (CSA,2005).

The small enterprise contributes to the national objective of creating employment opportunities,
training, entrepreneurs, generating income and providing a source of lively hood of the majority
of low income households in the country, accounting for material amount of GDP (Eshetu and
Mamo, 2009) cited in Abdulbasit (2010). If this sector had been provided proper emphasis, the
sector has high potential for contributing to meet the objective they were envisaged for yet the
majority of entrepreneurs in this sector are considered un-credit worthy by most formal credit
institutions as per the report of world banks (2009) and by Abebe, Million and Andrew (2009)
cited in the |Fetene Zeru (2010).

The contribution of public and private large and medium manufacturing enterprises to the value
added was 72.22% and 27.78% respectively (Ethiopia Economic Association Volume II,
2002/01).

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 CHAPTER THREE

3. METHODOLOGY
3.1 DESCRIPTION OF THE STUDY AREA
This study will be conducted in wolaita sodo. Sodo (Amharic: ሶዶ) or Wolaita
Sodo (Amharic: ወላይታ ሶዶ) is a town and separate woreda in south-central Ethiopia. The
administrative center of the Wolaita Zone of the Southern Nations, Nationalities, and Peoples
Region, it has a latitude and longitude of 6°54′N 37°45′E with an elevation between 1,600 and
2,100 metres (5,200 and 6,900 feet) above sea level. It was part of the former Sodo woreda
which included Sodo Zuria which completely surrounds it.

Sodo is served by an airport. A 166-kilometre (103 mi) road connecting Sodo with Chida, whose
construction had started in 1994, was completed by early 1999. Featuring an 80-metre
(260 ft) Bailey bridge across the Omo river and five other bridges, this road cost 255
million Birr, and reduced the distance between the Regional capital at Awassa and Mizan
Teferi to 400 kilometres (250 mi).[1] According to the SNNPR's Bureau of Finance and
Economic Development, as of 2003 Sodo's amenities include digital and mobile telephone
access, postal service, 24-hour electrical service, two banks, and a hospital. Sodo is also the seat
of the Roman Catholic Apostolic Vicariate of Sodo-Hosaena.

3.1.1 Data Source

Gathering the required data from different sources is one of the major activities that will be done
in this study. Since the study is concerned with socio-economic roles of MSES and their
challenges, the gathering process have been focused on data`s that has a relationship with the
socio-economic roles of MSES and their challenges. The data which will be used for this study
have been gathered from two sources. These are primary & secondary source.

 Primary source: the primary data used includes the actual (primary) information which
was generated from concerned individuals that is from the owners of small enterprises.
The questionnaires will be collected from 40 respondents.

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  Secondary source: these includes all published and unpublished materials about small
scale enterprises. The data which was gathered from the annual report of trade and
industry office of the town, from materials like books and other references concerned
with MSES.

3.1.2 Methods of data collection

As mentioned above, there are two source of data i.e primary and secondary sources. The
primary source is more relevant than secondary source in that it gives relatively more reliable
data than secondary source. The primary source will be collected by using questionnaires and
interviews. Interviews questionnaire was used because some individuals who was used as a
sample may not able to read and write and it is also needed relatively to avoid false information
and carelessness that may arise during filling the questionnaire. The use of secondary data is in
order to strengthen the information required and propose necessary suggestions for the problem.

3.1.3 Methods of sampling

The targeted population for this study will be the owners of MSES who will be expected to give
important information about the socio-economic role of MSES. There will be a total of 400
owners of MSES registered under the town’s trade office classified on the type of business they
owns. Accordingly there will be 120, 90,80,60,50 owners of wood & metal work, service sector,
Manufacturing, urban agriculture & other sector respectively. To carry out the investigation, the
researcher uses a proportional stratified sampling technique by asking 10% of the total
population or 40 respondents. The reason for selecting this method was that the researcher
classified the respondents in to five strata based on the type of businesses they are running.

And also the variance between the members within each stratum of the population is zero or very
less. Not only this, but also the un biasedness of the technique is the other reason for why the
researcher employ proportional stratified sampling. Let N be the size of the population; Ni be the
size of the stratum, ni be the size of the sub-sample to be ken from the stratum i, k, be the
number of strata in the population, and n, be the size of the total sample of population. Then, ni
should be decided based on the following relationship.

𝑛1 𝑛2 𝑛3 𝑛𝑘 𝑁1+𝑁2+𝑁3+ − − ∓𝑁𝐾=𝑁.&
= 𝑁2 𝑁3 = --- :
𝑁1 𝑁𝐾 𝑛1+𝑛2+𝑛3+ − −− +𝑛𝑘=𝑛

Where: N1= Number of owners of Wood & metal work = 120

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 N2 = “ “ “ “Service sector = 90

N3 = “ “ “ “Manufacturing agriculture = 80

N4 = “ “ “ “Urban Agriculture = 60

N5 = “ “ “ “Other sectors = 50

Accordingly, the respondents to be taken from each stratum is:

0.1x120 = 12 are respondents taken from wood & metal work enterprise,

0.1x90 = 9 are respondents taken from Service Sector

0.1x80 =8 are respondents taken from manufacturing sector

0.1x60 =6 are respondents taken from urban agriculture sector

0.1x50 =5 are respondents taken from other sector

3.1.4 Methods of data analysis

After the collection of the necessary data by the means of the above methods, the researcher
carried out the descriptive methods of data analysis for the successful accomplishment of the
study. In descriptive methods of data analysis, simple statistical tools such as tables, percentages,
averages, graph, pie charts was used to show the socio-economic contributions of MSES in the
study area. These quantitative descriptive methods was used to understand clearly and easily the
roles and challenges of MSES for Will be town.

15
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