Factors Influencing Entrepreneurial Success of Micro, Small and Medium Enterprises in Kenya: A Systematic Review of Literature

Abstract

The purpose of this study was to systematically review factors influencing the entrepreneurial success of MSMEs in Kenya. The research utilized a systematic review methodology, following the guidelines outlined by the Preferred Reporting Items for Systematic Reviews and Meta-Analyses. Multiple databases search was conducted to identify relevant related studies. Only primary studies published between 2018 and 2023 were included, based on the predetermined selection criteria. The screening and selection process was performed in accordance with these criteria. This study appropriately referenced and acknowledged the secondary data sources and materials used. Findings showed that financial literacy is crucial for effectively managing the financial resources of MSMEs, encompassing skills and knowledge needed to make informed decisions. Entrepreneurial training was widely recognized as a significant factor in the entrepreneurial success of MSMEs. Results indicated that financial access is a significant determinant of MSME entrepreneurial success, providing working capital and fostering innovation and dynamism. The adoption of technology was recognized as an important variable influencing the entrepreneurial success of MSMEs. The study recommends that training in financial literacy should be enhanced as this would enhance the necessary skills required to run a business. Entrepreneurship training should be enhanced by government and stakeholders as it would enhance the understanding of business ethics and enhance business success. A multisectoral approach is recommended to support MSMEs in adapting to technology.