Decent Work in the Informal Sector and Economic Growth: Jua Kali Artisan Businesses’ Sustainability Challenges in Eastlands of Nairobi

Decent Work in the Informal Sector and Economic Growth: Jua Kali Artisan Businesses’ Sustainability Challenges in Eastlands of Nairobi | Research Square window.SnipcartSettings = { analytics: { enabled: false } }; (function() { var accessVector = localStorage.getItem('access_vector') || ''; window.dataLayer = window.dataLayer || []; if (accessVector) { window.dataLayer.push({ user: { profile: { profileInfo: { snid: accessVector } } } }); } })(); (function(w,d,s,l,i){w[l]=w[l]||[];w[l].push({'gtm.start':new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],j=d.createElement(s),dl=l!='dataLayer'?'&l='+l:'';j.async=true;j.src='https://www.googletagmanager.com/gtm.js?id='+i+dl;f.parentNode.insertBefore(j,f);})(window,document,'script','dataLayer','GTM-K279D39R'); Browse Preprints In Review Journals COVID-19 Preprints AJE Video Bytes Research Tools Research Promotion AJE Professional Editing AJE Rubriq About Preprint Platform In Review Editorial Policies Our Team Advisory Board Help Center Sign In Submit a Preprint Cite Share Download PDF Research Article Decent Work in the Informal Sector and Economic Growth: Jua Kali Artisan Businesses’ Sustainability Challenges in Eastlands of Nairobi Christopher Momanyi This is a preprint; it has not been peer reviewed by a journal. https://doi.org/ 10.21203/rs.3.rs-4330945/v1 This work is licensed under a CC BY 4.0 License Status: Under Review Version 1 posted 10 You are reading this latest preprint version Abstract With the shrinking of the formal employment and the creation of more jobs in the informal sector, a lot needs to be done to create more decent jobs in the informal sector. It seems that most governments have plans to improve the informal sector by supporting in various ways to create decent jobs. The Kenyan government policy plans in recent years have single out the Jua Kali sector as the mainstay of Kenya’s economy in the creation of jobs. There are many efforts by many government departments to lay strategies on how to better the operating capability of the informal sector as the most viable alternative to employment. However, these efforts are being put into test by the inability of most Jua Kali artisan businesses and in general micro small and medium (MSMEs) businesses not surviving their fifth year since their inception. There is a general consensus that the Jua Kali sector is expanding and accounts for 80 percent of new jobs in the Kenyan economy. However, creating decent jobs seems to be a tall order as many Jua Kali artisan businesses collapse by the 10th year after their inception. The Jua Kali sector should not be evaluated only by the number of jobs it creates but also by how many businesses are stable and long lasting in creating and maintaining decent jobs. The magnitude of the informal sector does not reflect the number of decent jobs being created and how long the businesses that create them will last. Data for this research were obtained by a survey carried out in the Eastlands of Nairobi, Kenya by using an interview and observation schedule. The research established that it is only 52.2 percent of the interviewed artisans who owned artisan businesses. Out of the 481 artisans interviewed for this research, 254 had been in the Jua Kali sector within six years, 110 within ten years, 36 within 18 years. Most Jua Kali artisans gained their skills in the Jua Kali sector by apprenticeship (86.3%) while a small percentage (12.7%) trained in Technical Vocational Education Training (TVET) institutions while a further one percent gained their skills in their former employment. Most of the artisans had attained the basic formal education qualifications i.e. primary education (27.9%) and secondary education (47.6%). Informal Sector Small and Medium Size Enterprises Jua Kali Artisan Businesses Figures Figure 1 Figure 2 Figure 3 Introduction Worldwide, more than 2 billion people aged 15 years and above work in the informal sector (ILO, 2018b). The objective of attaining the Sustainable Development Goals (SDGs) by year 2030 has already been laid out by the international community. There is also the objective of achieving the SDG number four through the Education Agenda 2030 by eradicating abject poverty (UNESCO, 2018). Besides the ongoing international dialogue on youth unemployment and skills training for globalization and for the technological shift needed to boost technical training to have highly skilled workforce (European Commission, 2017 ; 2015 ). Some substantial financial resources will be needed to attain the SDGs by the year 2030, even though big steps in policy have been achieved (UN SDSN 2019; Vorisek & Yu, 2020). Continuous skills training will be paramount in particular for those earning a living in the informal sector. Worldwide, Small Micro and Medium Enterprises (SMMEs) comprise 90 percent of all firms (OECD, 2017 ). The significance and contribution of the SMMEs cannot be underestimated in many economies (Resa et al, 2018). In Kenya, the SMME enterprises are the backbone of the economy, they comprise 98 per cent of all business enterprises (KNBS, 2016). Business development is considered in many countries a strategy to create employment and increase the level of income, this is particular in most developing countries. Hyder & Lussier ( 2016 ) underscore the fact that SMMEs form the main employer both in developed and developing economies. Many governments have attempted various efforts to help develop small enterprises, some of these efforts are: the provision of education programmes, low interest rates loans and business incubators (Pansiri & Yalala, 2017 ). In Kenya, a majority of SMEs are in the private sector, it is estimated that SMEs account for 75 percent of all employment in Kenya but contributes only 18 percent to the GDP (KIPRRA, 2023). The KNBS (2018) report established that 400,000 SMEs collapse within two years of their inception while the Economic survey of 2017 analysis showed that 46.3 percent of SMEs collapse within one year of their starting (KNBS, 2017). For Small, Micro and Medium Enterprises, their performance depends on suitable training of the owners on business management, financial management, incorporation of technology in business management and on how to access capital (Rankhumise & Letsoalo, 2019 ). Entrepreneurship is one of the main factors that contribute to the economic growth of a country through the creatin of jobs, innovation and productivity. In Kenya the concept " Jua Kali "[1] is synonymous with the informal sector, it refers to micro enterprises and other associated means of production at medium and small levels. The Organization for Economic Co-operation and Development (OECD)/International Labour Organisation [ILO] ( 2019 ) have defined the informal economy as “all the economic activities, excluding illegal activities, by workers and economic units that are in law or practice either not covered or insufficiently covered by formal arrangements” (p.155). The informal sector is a worldwide phenomenon prevalent in urban centres and is estimated to encompasses more than half of the global employment and more than 90 percent of Small and Medium Enterprises [SMEs] (Ohnsorge & Shu, 2022 ; United Nations Economic and Social Council, 2022 ). 1.1 The Jua Kali Sector in Kenya There is a lot of interest in the study of the Jua Kali sector (sub sector of the informal sector) which in Kenya is synonymous with the informal sector. Artisans in the informal sector are known for their innovation, creativity, hard work and use of affordable locally available solutions, tools, and skills to produce diverse products for sale locally and abroad (Kibe, 2019). The Jua Kali artisans need an entrepreneurial attitude calculated and measured by risk cognition, opportunity recognition, networking, and start-up skills. Their entrepreneurial skills have to be noticed by their technology adaptation, human capital, and opportunity start-up. Entrepreneurial aspiration is a characteristic and a tactic which entail process and product invention, risk capital, high increase, and internationalisation (Atiese et al, 2018). Worldwide many young people from disadvantaged backgrounds terminate their formal education too early and end up missing the basic skills essential to thrive on the job (UNICEF, 2019). They take up low paying jobs or get stuck in the informal sector with no prospects of further training. Some of those who join the Jua Kali sector are trained on the job to acquire the skills necessary for their jobs. Others register in formal vocational institutions for training in skills particular to certain occupations of their interest. While a negligible group delay searching for employment or advancing in their education and training (World Bank, 2018 ). The Jua Kali Sector is a major factor in poverty reduction, social development and the general economic growth. In Kenya the Jua Kali sector is considered for its creation of employment opportunities. However, many Jua Kali artisan businesses have stagnated both in turnover and employment (Momanyi et al, 2024 , 2022 ). The Jua Kali sector is viewed by Kenya and its development partners as an alternative to the formal sector in creating more job opportunities. The formal sector does not create job opportunities to march the number of job seekers. Amidst this ambitious plan to better the performance of the Jua Kali sector and make it more viable avenue for more job creation, there is need for further interrogation on sustainability of Jua Kali artisan businesses. Many reports indicate that the Jua Kali sector is expanding and creating more jobs in comparison with the formal sector. Although these reports by the Kenyan government and its development partners make positive comments about the Jua Kali sector, these reports don’t show many jobs are being sustained in the Jua Kali sector. More needs to be done by analysing how long the jobs being created in the informal sector last. On the other hand, there should be measures to create decent lasting jobs, the Jua Kali sector can be a better option if the businesses started in the Jua Kali sector are sustainable. The social sustainability of small businesses is intertwined with customer satisfaction, financial performance and employee satisfaction. The performance of Jua Kali artisan businesses will benefit if the artisans practise social sustainability in running their businesses on a broader perspective. The Jua Kali artisan businesses possess a certain and specific typical characteristic in capabilities different from those of big corporations. This means that it is very challenging for the Jua Kali artisans to apply the same principles of business management the same way the large corporations do. There must be an element of adaptation of the same principles to reflect the reality of the Jua Kali artisans, these demands more training on a lifelong learning platform. From a general perspective, small businesses that adapt to sustainability development in business management benefit a lot (Masocha, 2018 ; Sy, 2016 ). To measure the performance and therefore the sustainability of various businesses, the same criteria cannot be used. For the performance and sustainability of small businesses like the Jua Kali artisan businesses, a different criterion should be applied to gauge their sustainability. It will be better to establish how long the Jua Kali artisan businesses remain in operation from their inception. Entrepreneurship is risky if all business management skills are not put into effect in running a business especially for small businesses like the Jua Kali artisan businesses. While there are small businesses across industries that perform well and make profits, research has shown that 33 percent of small businesses collapse within 10 years of their inception (Small Business Administration [SBA] ( 2018 ). 1.2 The Significance of the Jua Kali Sector in Kenya The importance of the informal sector and in general SMEs to the economies of countries across the world is well documented in many studies (Magd & El Gharib, 2021 ). The SMEs provide several products and services to their customers and clients, thus contributing to a high quality of life (Gajanayake, 2010 ). In Kenya the Jua Kali sector comprises all those economic activities whose production is generally destined for the market with the aim of making a profit, but they are not officially recognised as producers of goods and services as distinct from the owner use production of the owner-operators’ household (United Nations [UN], 2022 ). The word Jua Kali in a literal sense in the Kenyan purpose means working under the "hot sun" in Swahili. It is commonly used in reference to the informal sector traders and micro-entrepreneurs who own enterprises of all sorts; small shops and workshops on the roadsides and in open market spaces. The Jua Kali sector in a nutshell is a collection of traders and artisans in possession of a wide array of skills, among them are; metal work, carpentry, plumbing, fabrication, tailoring, shoe repair, automobile repair, and many other skills. Most school dropouts join this sector because of the easy of entry to gain skills by apprenticeship and the various affordable goods and services which are produced targeting the local market (Kidenda, 2017). This sector creates employment opportunities and contributes 50% to Kenya’s GDP, it is home to 95% of all business enterprises in Kenya (KNBS, 2021; KNBS, 2016). Estimates indicate that 83% of employment opportunities are created in the Jua Kali sector which accounts for 14.9 million people out of the total working force (Mercy Corps, 2019 ). Subsistence informality is prevalent in low-income countries and is associated with low-skilled technology and remuneration of workers below subsistence levels (Docquier et al, 2017 ). The Jua Kali sector is majorly characterised by low productivity unlike the formal sector. The workers in the informal sector have low skills and earn lower wages, they lack access to finance and the safety of social networks accessible to formal sector workers (Ohnsorge & Shu, 2022 ). Informality relates to low productivity and poor remuneration of workers because of their low skills (Loayza, 2018 ). It is often the cause of growth challenges in Emerging Market and Developing Economies (EMDEs). This is because of relying on labour intensive activities that employ unskilled workers who are poorly remunerated and don’t have fiscal resources (Chen, 2023 ; Ohnsorge & Shu, 2022 ). 1.3 Reasons Why Businesses Fail Most SMMEs in Kenya remain highly informal, out of the estimated 7.4 million SMMES, only 20 percent are registered while the rest operate informally (United Nations, 2022). Informality is accompanied with a lot of challenges, it is the cause of under development, lower per capita income, and greater poverty. One of the reasons why there is a high rate of poverty among working people is that there is a lot of informality. Working poverty and informality combined puts workers across Africa in a very precarious situation (ILO, 2023; Common Market for Eastern and Southern Africa [COMESA], 2022 ). Artisans and workers in the informal sector are often less skilled and are paid lower compared to their formal sector counterparts (Loayza, 2018 ; World Bank, 2019 ). According to Kenya Association of Manufacturers, there are 7.41 million SMMEs most of them in the informal sector, only 1.56 million are registered and 8.85 million operate informally KAM, 2022). It is estimated that in Kenya more than 75 percent of SMEs startups collapse within three years after their inception. One of the reasons given for this high failure rate is lack of innovation using modern technologies in marketing their businesses (Kithae et al, 2015). The MSME survey report of 2016 estimated that five years ending in 2016, 2.2 million SMEs closed operations, this estimate is equivalent to 440,000 SMMEs closing operations on a yearly basis. 1.3.1 Managerial Competencies Managerial competencies of both employees and business managers have an impact on the accomplishment of businesses (Shehnaz, et al, 2018 ). Business owners should possess management skills, they are required to master sales, marketing and financial management (Burritt, et al, 2019 ). Some of the managerial competencies that a business manager must have include communication skills and delegation (Steyn, 2014 ). The Jua Kali artisan business owners may not know how to compile financial statements for their businesses. Globalization has determined the ability to compile financial records as a key managerial competence a business owner must have for his business to survive. Bushe ( 2019 ) underscores managerial competences of the business owner as a key factor for the success of any business. In South Africa, it is estimated that 70–80 percent of Small Micro and Medium Enterprises collapse within three years after their inception (Fatoki, 2014 ). Evaluation of small businesses’ performance is more complex than that of large firms’ performance. Small businesses’ accomplishment can be established by assessing their employment, profitability and turnover changes (Chimucheka, et al, 2018 ). One of the main reasons for the high failure rate of SMMEs is inadequate managerial competencies on the part of the business owners (Herrington, Kew & Kew, 2014). The main criterion for measuring a business is by its financial and non-financial measures (Veliu & Manxhari, 2017 ), however there are many other factors that can be used to measure a business’s performance. For Jua Kali artisans’ business longevity in operation is an indicator of sound business management. Business managers should have competency on sourcing extra credit for their businesses. They also need to establish a relationship with lending institutions. According to Berrge and Udell (1998), financial institutions have four lending models: financial statement, asset-based, relationship and credit scoring lending. All these models of lending demand good book keeping of financial and asset records besides good communication skills. 1.3.2 Access to Finance In Kenya, Ethiopia, Nigeria and South Africa, there is poor financial capacity by micro financial institutions to meet the financial needs of Micro enterprises. Although access to finance across these four countries vary, data on access shows that on average it is only 21 percent of the SMMEs that are satisfied with the ease with which they access finance. From the same data, 79 per cent of the SMMs are not satisfied as it is not easy to access finance from micro finance institutions (Worku, et al, 2019). Small businesses have limited access to financial resources from banks and micro lending institutions. In Kenya, many small businesses enterprises prefer to take loans from micro lending financial institutions than banks. However, there are stringent demands put by lending institutions that the small businesses have to fulfil before getting loans. Banks and micro financial institutions require collateral and a clean record of past loan repayments. The interest rates on loans are relatively high and the repayment conditions very stringent (Siwale & Ritchie, 2012 ). A study by Etiase et al, (2018) on the development of entrepreneurship in Africa using data from 35 countries. The study proved that most entrepreneurs in the informal sector have inadequate access to credit information and are unable to get credit from financial establishments. The World Bank Report of 2017 states that micro-entrepreneurs do not regard credit from government sources or financial institutions because they are unable to afford the appropriate accessory to get loans. Business skills: technical, interpersonal, and conceptual skills are paramount and relevant to the informal sector. Some of the reasons given why many SMEs collapse are: lack of access to finance, innovation and use of technology in business management (KNBS, 2016). Accessing finance is crucial for any business, it is a contributor to the overall growth of SMEs, both at the inception of a business and later stages of growth of the business (Onyiego, et al, 2017 ). Finance enables a business to grow, it enables the expansion of production capacity, marketing of goods and services and sustenance of the cash flow (Mutie et al, 2019 ). The SMEs managers need skills to write good business plans to be able to convince financial institutions on the viability of their businesses. 1.3.3 Marketing Strategies It is necessary for SME business managers to understand the necessity to establish strategic plans that will help in understanding the market, culture and their competitors. A marketing strategy in the contemporary view is understood as a plan of activities which encompass pricing, production, promotion, services, distribution of goods and ideas that are geared to the contentment of possible customers and clients (Dzisi & Ofosu, 2014 ). A marketing strategy is vital in enforcing a firm’s market share and reducing the influence of its competitors (Kenu, 2019 ). According to Momanyi et al, ( 2024 ), 95.2 percent of artisans in the Eastlands of Nairobi depend on displaying their finished products at their workshops and 62 percent rely on referrals as the main way of marketing them to their potential customers. A study by Sapuro ( 2016 ) on the relationship between a marketing strategy and the performance of SMEs found out that there is a correlation between marketing strategy and the performance of SMEs. Theoretical Framework The concept " performance " is rather vague when used to refer to the overall wellbeing of a business entity. There is no clear answer on what exactly constitutes a business firms’ performance. A business firms’ performance is the main factor in business research as noted by Rosenbusch et al, ( 2007 ). Performance may be interpreted as the development of a business which may have the meaning of business growth or expansion in terms of revenue and turnover (Dobbs & Hamilton, 2007 ; Wolff & Pett, 2006 ). Performance could also mean the competitiveness, survival and success of a business (Eniola & Entebang, 2015 ). There is no general view of what constitutes a business’ prosperity, it is primarily seen from the business owners’ perspective (Perez & Caninno; 2009). Therefore, the term business performance has a multidimensional meaning. In this study the performance of Jua Kali artisan businesses is analysed from the perspective of resilience of a business in terms of how long have the businesses been in operation. In general terms how many Jua Kali artisans’ businesses have been in operation in a given time frame. It is impossible for any country to attain sustainable economic progress without a significant investment in education and training as they play a significant role. Education and training help people to better the quality of their lives besides raising their productiveness and promoting entrepreneurship and advance in technology. There must be a proper connection between informal sector and education and training. The presence of the informal sector has continued to draw consideration worldwide; it has been mentioned extensively in many studies and policy documents. However, enterprises within the informal sector have abject growth rates and limited possibilities (Atiase et al., 2017 ). Informality is accompanied with a lot of challenges, it is a result of under development, lower per capita income, and greater poverty. Artisans and workers in the informal sector are often less skilled and are paid lower wages compared to their formal sector counterparts (Loayza, 2018 ; World Bank, 2019 ). While the Kenyan government has placed a lot of hope in the performance of the Jua Kali sector, as an alternative to employment of the many graduates who join the labour market each year from the formal education institutions. The human capital theory (Becker, 1994) posits that education and training are investments, they increase people’s productivity. For the Jua Kali sector this will be proved when the Jua Kali artisans’ artisan businesses remain long in operation as a measure of performance based on the education and training of the artisans. Unless proper analysis is done to establish the sustainability of Jua Kali artisan businesses, the human capital theory’s view that education and training are investments will not apply to Jua Kali artisans. If the skills they have do not help them to run the businesses profitably, meaning that they’re sustainable and the jobs created are decent and sustainable. If the artisan businesses do not last long, there must be a disconnect between education and training, and the management of the Jua Kali artisan businesses. The prospect of an increase in income for the workers in the Jua Kali sector is gleam if the business established do not last long. With a proper analysis, an intervention measure can be established to retrain and lay a foundation for a lifelong learning scheme for the Jua Kali artisans. Without a proper interpretation of the human capital theory, self-employment as stated in many government policy documents becomes a re-interpretation of the human capital theory (Rharade, 1997 ). Counting the number of jobs created becomes a guise of the performance of the Jua Kali sector measured by the number of entrants. The number of entrants who join the informal sector does not take into account many hidden factors like the mode of training (TVET or apprenticeship), gender, culture, race and specific trade in the Jua Kali sector (Brown et al., 2020 ). The human capital theory is not static, it needs a re-interpretation in view of the Jua Kali artisans and the sustainability of the Jua Kali artisan businesses. There is a need to interpret the Hunam capital theory from the perspective of how long the Jua Kali artisan businesses that are started in the informal sector remain in operation. 2.1 Research Objectives This study aims to broaden the understanding of the sustainability of Jua Kali artisan businesses from the perspective of creating employment opportunities. At same time the study explains how Jua Kali artisans can learn business skills under a lifelong learning scheme. The research also aims at establishing how long these artisan businesses last in operation and what can be done to sustain these businesses to maintain the jobs already created. In addition, the research aims at addressing key questions, including: 1. How long do most Jua Kali artisan businesses in the Eastlands of Nairobi last before they collapse? 2. What are the intervention measures that can be implemented to prevent most of the artisan businesses from collapsing? 3.At what time from the inception of the artisan businesses should intervention measure be implemented to prevent them from collapsing? 2.2 Research Methodology This research adopted a Descriptive Study Design, a survey was conducted, using an interview and observation schedules as data collection tools. The data was analysed and presented using, frequencies, inferential statistics and charts. The sampling frame was the 481 artisans sampled from the Eastlands area of Nairobi. The independent and dependent variables in the research were; the ages of the artisans and the length of time they have been running their artisan businesses. Internal consistence implies a high degree of generalizability to all the items within a given test. Internal validity is the scope to which a study inquires what it is supposed to inquire. Alternatively, external validity investigates the generalisability of the results (Trafimow, 2022 ). A pilot study was carried out before the actual data collection. A correlation coefficient (r) of 0.8 for the interview schedule using the Spearman-Brown formula and a Cronbach’s alpha coefficient of 0.7 were obtained and were sufficient to consider these instruments valid for the research. 2.2.1 Interview Schedule In this study, a total of 481 Jua Kali artisans were interviewed for the study in the Eastlands area of Nairobi, Kenya using an interview schedule. A purposeful sampling technique was used to select the artisans who were interviewed for the research. Out of 558 artisans who were approached for data collection, only 481 accepted to be interviewed and out of the 481 Jua Kali artisans who were interviewed for this study, only 251(52.2%) artisans owned artisan businesses, 112 (23.3%) of the artisans were under training (apprentices), while 77(16%) were working as casuals. Acquiring skills by apprenticeship is popular with many artisans, the study established that 415 (86.3%) of the artisans acquired their skills by apprenticeship in the Jua Kali sector. Some of the well-established artisans, 128 (26.6%) had apprentices training under them. 2.2.2 Observation Schedule An observation schedule is used in research to collect through observation without interviewing the respondents. The observation schedule was the main tool used for data collection from 30 cluster[2] areas from which the interviewed artisans carry out their artisan businesses. 2.2.3 Questionnaire A questionnaire was designed and sent to customers of Jua Kali artisans within Nairobi. The contents of the questionnaire were designed to collect views on the customers satisfaction with the Jua Kali artisans’ products and services. The questionnaire was sent randomly via a mobile survey tool to 1000 people in a contact list to establish whether they resided in Nairobi. Out of 1000 people the questionnaire was sent to, 327 indcated that they were Nairobi residents. Out of the 327 who indicated that they were Nairobi residents, 256 (78.29%) indicated that they had engaged a Jua Kali artisan six months prior to this research, while 71 (21.71%) had not engaged an artisan at all. The 256 Nairobi residents who had engaged an artisan formed the sample for this research. They ranked the artisans on a scale of 1–6 on their satisfaction with the artisan’s technical, customer care, problem solving, negotiation, project management and communication skills. Presentation of Results 3.1 Length of time spent in the Jua Kali sector by the interviewed artisans. The research established that the duration of time a Jua Kali business enterprise has been in operation influences its accomplishment. The length of time a business has been in operation in the Jua Kali sector has an impact on its effectiveness. The artisans who have been in the Jua Kali sector for a few years do not have the same mastery of business management skills as those artisans who have been in the sector for many years. Data on the length of time the interviewed artisans had spent in the Jua Kali sector was collected. These data are from the 442 out of 481 artisans who responded to the item on their ages and the length of time they had spent in the Jua Kali sector. The data was analysed and is summarised in intervals of six years and is presented in Fig. 1 . Out of the 481 artisans who were interviewed for this research, 39 artisans either did not respond to the item on their age or how long they have been in the informal sector. From the data obtained for this research, there are more Jua Kali artisans (364) out of the total number of interviewed artisans (444) who have been in the informal sector between one and twelve years (82%). The number decreases drastically from twelve to twenty-four years, only 65 (18%) have been in the in Jua Kali sector for 24 years. The data obtained indicate that at the point of entry there are many people who join the Jua Kali sector, but as the years go by, they fall out and do not continue with their artisan businesses. Only very a few artisans had sustained their businesses beyond the twelfth year from the time of inception. Table 1 The Artisan’s Engagement in the Jua Kali Sector (own compilation) Engagement of the Jua Kali Artisans Number of Artisans Percentage (out of 481 Artisans) Running artisan businesses 251 52.2 Under training 112 23.3 Working as casuals 77 16 Master Trainers 128 26.6 3.2 The Ages of the Interviewed Artisans The data obtained and analysed for this research show that the ages of the artisans have an influence on how they manage their businesses. The older and longer an artisan has been in business, the more experience he has gained by establishing a customer base and learned the tricks of the trade. Data analysed is summarised and presented in Fig. 2 . The bulk of the interviewed artisans’ ages range between 22 and 37 years (73%). This is the age by which most of the youth in Kenya have completed their basic education (ordinary level) and started working. The analysed data indicates that most artisans in the informal sector have attained the basic education qualifications, at least the ordinary level (47.61%). The data analysis on the ages of the artisans establishes that the age and education level of the artisans in the Jua Kali sector influence their entrepreneurial skills. The artisans in the age bracket of 36–55 years were very successful in their artisan businesses. Artisans who had attained post primary formal education qualifications were more successful in their artisan businesses. Based on these findings, it will be recommended that the Jua Kali artisans need to be trained more in business management skills to enhance their entrepreneurship skills to improve their productivity. 3.3 Customer Satisfaction Survey on Jua Kali artisans’ Customer Care Skills Customer care skills are mainly characteristics and practices that help one to address his customers’ needs to support a positive experience. Customer care skills in general depend heavily on communication, and problem-solving. They are regarded as “soft skills”, they include traits like diligent listening, ability to read both verbal and nonverbal cues. These skills provide support to both prospective and existing customers, they are the cornerstone of customer experience. The four key principles of good customer skills are: customer care is personalised, competent, convenient, and proactive. The analysed data on a customer satisfaction survey on the artisan’s customer care skills on a scale of 1–6 (1-very poor, 2-poor, 3-good, 4-very good, 5-excellent, 6-exceptional) is summarised and presented in Fig. 3 . Most Jua Kali entrepreneurs in the Jua Kali sector have inadequate managerial knowledge and skills. From this research, an observation is made that professional, entrepreneurship and management skills are key factors that influence many aspects of any business enterprise including the Jua Kali artisans, therefore corroborating the findings of Ndemo & Weiss ( 2016 ). This research corroborates the observation of Wanjohi & Mugure, (2017) in their study and in which they recommended that in Kenya, most Jua Kali entrepreneurs are not conversant with issues of education and management skills. Customer care skills are part of management and entrepreneurship skills, the Jua Kali artisans ought to be encouraged to study and incorporate in the management of their artisan businesses. The artisans need refresher courses on business management and technical skills. Customer Care Skills (Own compilation) From the analysed data as presented in figure three, it is clear that having technical skills without customer care skills alone are not enough for the Jua Kali artisans to market their products and get feedback to improve their business management. The artisans need continuous refresher courses to improve on customer care and the technical skills they already have, as technology changes, they also need to adapt with it so that they do not lag behind and find that the market has changed, and their skills are obsolete. Discussion and Conclusions Several reasons have been given to explain this trend of performance of small business, but one factor that this research observed is that the market is the same and does not expand. Since more and more people join the informal sector with basic skills, chances of upscaling their skills especially business management skills are minimal. The other factor that was observed in this research is that the Jua Kali artisans work with each other side by side on the roadside instead of teaming up to form big businesses to expand and attract big opportunities. There is no specialisation, most artisans carry out every task by themselves without delegating. Competition for the same market forces most artisans to close shop before the twelfth year of inception of their businesses. This research collaborates the observation made by the TIFA survey of 2020 which noted that 25 percent of micro entrepreneurs engage in informal businesses due to lack of any other alternative. There is a serious urgency to train the artisans in business management skills to help them improve their businesses management. Without proper business management skills, the artisan businesses expand laterally rather than vertically. The businesses multiply in number but will not grow individually to become big businesses employing more artisans. This fact indicates that many small businesses in Kenya are not competitive. There should be an effort to educate the artisans on the benefits of forming cooperative societies and seek credit facilities that are available to expand their business enterprises. From figure one, it is noticeable that there are many people who join the informal sector and start business but few of these businesses survive beyond their fifth year. The analysed data collaborates evidence from research done by US Small Business Administration (SBA) in 2022 which concluded that (20%) of small business enterprises collapse within the first two years of inception, while (50%) of these enterprises collapse within five years of inception and by the 10th year only (33%) survive. This research collaborates the findings of the Federation of Kenyan Employers (FKE) in a 2021 report on the “ informal economy in Kenya ”. The FKE survey found out that the average number of years small businesses had been in operation was 7 years for micro-enterprises small enterprises (MSEs) and 10 years for Small and Medium Enterprises (SMEs). The findings on the artisans age and the performance of their artisan businesses corroborates the findings of Wamalwa’s 2021study on factors influencing performance of Metallic artisans’ enterprise clusters in Kamukunji. She found out that the age of the Jua Kali artisans plays a great role in the performance of their businesses. She noted that artisans above 30 years of age were more successful in their businesses than those who were much younger. This research noticed that as the years go by very few artisans remain in business, while the majority drop out. The older artisans were not ready for further training, and most responded by saying that “we are preparing for retirement; training is for young people ” upon being asked whether they would like to be trained to acquire more skills. One of the observations made by this research why most artisan businesses do not last long is that the artisans operate within the same area and target the same clients. Only those artisans who have been in the market longer have managed to adapt to the market dynamics and are stable as they have established themselves around a certain loyal clientele. It becomes harder for the new entrants to establish themselves as they compete at times with their master trainers for the same clientele. This research noted that most of the Jua Kali artisan’s businesses stagnate and do no grow due to a multiplicity of factors. This research concurs with the observation made by Anyanga et al (2016) in their study on strategies adopted by Small and Micro-enterprises in Kenya. The observed that the Small and Micro-enterprises adopt wrong strategies. This research noted that unhealthy competition Among the artisans is factor that hinders the growth of the artisan businesses. This research concurs that one of the factors that influence the performance of Jua Kali artisan businesses is the age of the artisans and the location of the businesses corroborates Kinyua’s findings in 2014 in her research on “the factors affecting the Performance of Small and Medium Enterprises” . From the summarised data obtained for this research, it is observed that most of the people joining the Jau Kali sector, join when they are very young but as time goes by majority of them drop out. The number of artisans in the Jua Kali sector in terms of age start decreasing sharply from the age of age of 30 years. The mean age of all the interviewed artisans for this research was 30.3 years which collaborates the findings of a World Bank study in 2016 which also established that the average age of all artisans in the informal sector is 30.3 years. This research findings also collaborate the findings of the same study by the World Bank ( 2016 ) which also found out that the average age of those artisans who own businesses is 35 years. This research established from the analysed data that the average age of the artisans who own artisan businesses interviewed for the study is 35 years. For Jua Kali artisan businesses to be sustainable, there is need to train the artisans on business management skills. Declarations Competing Interests There are no competing interests. Consent to participate Informed verbal consent was obtained from all individual artisans who were interviewed to obtain data used for the analysis that is included in the study prior to the interview. The data obtained is analysed and maintains the anonymity of the research participants. Ethics Statement This paper did not require any approval by the Ethics Review Committee. For purposes of data collection, the National Commission for Science Technology and Innovation (NACOSTI) approval process was followed, and a research licence was issued before the data collection commenced (Ref No.79788310). The research was authorised by the Ministry of Education Science and Technology [MoEST] (Ref.RDE/NRB/RESEARCH/1/65 VO.1). The Jua Kali artisans who were interviewed for this research participated voluntarily by providing their responses. Biographical Notes Christopher Momanyi, PhD, is a lecturer at the School of Humanities and Social Sciences, Strathmore University, Kenya. He holds a PhD in Educational Planning from the University of Nairobi, a Masters in Educational Planning from Kenyatta University, a Masters in Applied Philosophy and Ethics from Strathmore University and a post Graduate Diploma in Educational Management from Strathmore University. He has research interests in the Jua Kali Sector, he has published several papers. He has a keen interest in Philosophy and is pursuing a doctorate in philosophy at the university of Münster. References Amin, Hindu Jibril,(2021). Influence of Marketing Strategies on the Performance of SMEs: Evidence from Abuja SMEs. Journal of Economics and Business, Vol.4 No.1, Available at SSRN: https://ssrn.com/abstract=3813282 Atiase, V. Y., Mahmood, S., Wang, Y., & Botchie, D. (2017). Developing entrepreneurship in Africa: Investigating critical resource challenges. Journal of Small Business and Enterprise Development, 25(4), 644–666. https://doi.org 10.1108/03-2017-0084 Berger, A.N. & G.F. Udell, (1998). 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Problems and perspectives in management ,17(1), 326-338. https://doi.org/10.21511/ppm.17(1).2019.28 Footnotes A Swahili word which in literal senses means working under the hot sun and is commonly used in Kenya to refer to the informal sector A group of Jua Kali artisans working from the same area, mostly of the same trade and some from different trades. Clusters are common as artisans work from open spaces or shared rented spaces. Additional Declarations No competing interests reported. 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Also discoverable on Platform About Our Team In Review Editorial Policies Advisory Board Help Center Resources Author Services Accessibility API Access RSS feed Manage Cookie Preferences © Research Square 2026 | ISSN 2693-5015 (online) Privacy Policy Terms of Service Do Not Sell My Personal Information {"props":{"pageProps":{"initialData":{"identity":"rs-4330945","acceptedTermsAndConditions":true,"allowDirectSubmit":false,"archivedVersions":[],"articleType":"Research Article","associatedPublications":[],"authors":[{"id":305023359,"identity":"ec68bb26-0ac6-4d70-b536-9614d1da788a","order_by":0,"name":"Christopher Momanyi","email":"data:image/png;base64,iVBORw0KGgoAAAANSUhEUgAAAZAAAAAyAQMAAABI0h/eAAAABlBMVEX///8AAABVwtN+AAAACXBIWXMAAA7EAAAOxAGVKw4bAAAA7ElEQVRIiWNgGAWjYBADHn4IfQDKZyNCi2QDM5BKIEELg8EBYrXwTzt8dMPPHYdljM+fP/bh54870fzShw8wfCg7jFOLxO20tJu9Zw7zmN1IZp7Zk/Asd2ZfWgLjjHO4tRhI55jd4G0DaWFmZuBJOJy74QyPATNQBK+Wm3+BWoz7DzMz/gFr4f/A/JeAltsgWwwYkpmZobYwMDPi0QLyy23ZtnQeiRvJxswyaYdzZ/awGRzsOZeOUwv/7ORjN9+2Wdvz9x98zPjG5nBuPw/zwwc/yqxxaoGCZlTuAULqgaCOCDWjYBSMglEwYgEAh9dZsCeyFDEAAAAASUVORK5CYII=","orcid":"","institution":"Strathmore University","correspondingAuthor":true,"submittingAuthor":false,"prefix":"","firstName":"Christopher","middleName":"","lastName":"Momanyi","suffix":""}],"badges":[],"createdAt":"2024-04-26 17:10:06","currentVersionCode":1,"declarations":"","doi":"10.21203/rs.3.rs-4330945/v1","doiUrl":"https://doi.org/10.21203/rs.3.rs-4330945/v1","draftVersion":[],"editorialEvents":[],"editorialNote":"","failedWorkflow":false,"files":[{"id":56926138,"identity":"fb3702d4-2870-4f32-95d1-a38546bc34a8","added_by":"auto","created_at":"2024-05-22 08:47:30","extension":"png","order_by":1,"title":"Figure 1","display":"","copyAsset":false,"role":"figure","size":24821,"visible":true,"origin":"","legend":"\u003cp\u003eLength of Time Spent in the \u003cem\u003eJua Kali\u003c/em\u003e Sector (own compilation)\u003c/p\u003e","description":"","filename":"1.png","url":"https://assets-eu.researchsquare.com/files/rs-4330945/v1/e3dfe2b25faac99e2c398e22.png"},{"id":56926140,"identity":"b3c946a1-b51a-4afa-88a8-9d28fe4cfbec","added_by":"auto","created_at":"2024-05-22 08:47:30","extension":"png","order_by":2,"title":"Figure 2","display":"","copyAsset":false,"role":"figure","size":21532,"visible":true,"origin":"","legend":"\u003cp\u003eThe Ages and number of the Interviewed Artisans (Own compilation)\u003c/p\u003e","description":"","filename":"2.png","url":"https://assets-eu.researchsquare.com/files/rs-4330945/v1/3b1042e98dd01a43984e0db4.png"},{"id":56926141,"identity":"f583a0ef-46a2-4a93-a4a9-255318d315f8","added_by":"auto","created_at":"2024-05-22 08:47:30","extension":"png","order_by":3,"title":"Figure 3","display":"","copyAsset":false,"role":"figure","size":22602,"visible":true,"origin":"","legend":"\u003cp\u003eCustomer Satisfaction Survey on the Jua Kali Artisans\u003c/p\u003e\n\u003cp\u003eCustomer Care Skills (Own compilation)\u003c/p\u003e","description":"","filename":"3.png","url":"https://assets-eu.researchsquare.com/files/rs-4330945/v1/543624f5942e2bb9bae16694.png"},{"id":56926672,"identity":"d48d7315-8cfd-4223-b5c9-923e13692ccc","added_by":"auto","created_at":"2024-05-22 08:55:30","extension":"pdf","order_by":0,"title":"","display":"","copyAsset":false,"role":"manuscript-pdf","size":639441,"visible":true,"origin":"","legend":"","description":"","filename":"manuscript.pdf","url":"https://assets-eu.researchsquare.com/files/rs-4330945/v1/b6e0bbe9-277a-4d0a-85e7-00b6c16ff4dd.pdf"}],"financialInterests":"No competing interests reported.","formattedTitle":"Decent Work in the Informal Sector and Economic Growth: Jua Kali Artisan Businesses’ Sustainability Challenges in Eastlands of Nairobi","fulltext":[{"header":"Introduction","content":"\u003cp\u003eWorldwide, more than 2\u0026nbsp;billion people aged 15 years and above work in the informal sector (ILO, 2018b). The objective of attaining the Sustainable Development Goals (SDGs) by year 2030 has already been laid out by the international community. There is also the objective of achieving the SDG number four through the Education Agenda 2030 by eradicating abject poverty (UNESCO, 2018). Besides the ongoing international dialogue on youth unemployment and skills training for globalization and for the technological shift needed to boost technical training to have highly skilled workforce (European Commission, \u003cspan citationid=\"CR14\" class=\"CitationRef\"\u003e2017\u003c/span\u003e; \u003cspan citationid=\"CR15\" class=\"CitationRef\"\u003e2015\u003c/span\u003e). Some substantial financial resources will be needed to attain the SDGs by the year 2030, even though big steps in policy have been achieved (UN SDSN 2019; Vorisek \u0026amp; Yu, 2020). Continuous skills training will be paramount in particular for those earning a living in the informal sector. Worldwide, Small Micro and Medium Enterprises (SMMEs) comprise 90 percent of all firms (OECD, \u003cspan citationid=\"CR48\" class=\"CitationRef\"\u003e2017\u003c/span\u003e). The significance and contribution of the SMMEs cannot be underestimated in many economies (Resa et al, 2018). In Kenya, the SMME enterprises are the backbone of the economy, they comprise 98 per cent of all business enterprises (KNBS, 2016). Business development is considered in many countries a strategy to create employment and increase the level of income, this is particular in most developing countries. Hyder \u0026amp; Lussier (\u003cspan citationid=\"CR20\" class=\"CitationRef\"\u003e2016\u003c/span\u003e) underscore the fact that SMMEs form the main employer both in developed and developing economies. Many governments have attempted various efforts to help develop small enterprises, some of these efforts are: the provision of education programmes, low interest rates loans and business incubators (Pansiri \u0026amp; Yalala, \u003cspan citationid=\"CR50\" class=\"CitationRef\"\u003e2017\u003c/span\u003e). In Kenya, a majority of SMEs are in the private sector, it is estimated that SMEs account for 75 percent of all employment in Kenya but contributes only 18 percent to the GDP (KIPRRA, 2023). The KNBS (2018) report established that 400,000 SMEs collapse within two years of their inception while the Economic survey of 2017 analysis showed that 46.3 percent of SMEs collapse within one year of their starting (KNBS, 2017). For Small, Micro and Medium Enterprises, their performance depends on suitable training of the owners on business management, financial management, incorporation of technology in business management and on how to access capital (Rankhumise \u0026amp; Letsoalo, \u003cspan citationid=\"CR53\" class=\"CitationRef\"\u003e2019\u003c/span\u003e). Entrepreneurship is one of the main factors that contribute to the economic growth of a country through the creatin of jobs, innovation and productivity. In Kenya the concept \"\u003cem\u003eJua Kali\u003c/em\u003e\"[1]\u003ca class=\"FNLink\" href=\"#Fn1\" id=\"#FNLinkFn1\"\u003e\u003c/a\u003e is synonymous with the informal sector, it refers to micro enterprises and other associated means of production at medium and small levels. The Organization for Economic Co-operation and Development (OECD)/International Labour Organisation [ILO] (\u003cspan citationid=\"CR23\" class=\"CitationRef\"\u003e2019\u003c/span\u003e) have defined the informal economy \u003cem\u003eas \u0026ldquo;all the economic activities, excluding illegal activities, by workers and economic units that are in law or practice either not covered or insufficiently covered by formal arrangements\u0026rdquo;\u003c/em\u003e (p.155). The informal sector is a worldwide phenomenon prevalent in urban centres and is estimated to encompasses more than half of the global employment and more than 90 percent of Small and Medium Enterprises [SMEs] (Ohnsorge \u0026amp; Shu, \u003cspan citationid=\"CR46\" class=\"CitationRef\"\u003e2022\u003c/span\u003e; United Nations Economic and Social Council, \u003cspan citationid=\"CR70\" class=\"CitationRef\"\u003e2022\u003c/span\u003e).\u003c/p\u003e \u003cdiv id=\"Sec2\" class=\"Section2\"\u003e \u003ch2\u003e1.1 The Jua Kali Sector in Kenya\u003c/h2\u003e \u003cp\u003eThere is a lot of interest in the study of the \u003cem\u003eJua Kali\u003c/em\u003e sector (sub sector of the informal sector) which in Kenya is synonymous with the informal sector. Artisans in the informal sector are known for their innovation, creativity, hard work and use of affordable locally available solutions, tools, and skills to produce diverse products for sale locally and abroad (Kibe, 2019). The \u003cem\u003eJua Kali\u003c/em\u003e artisans need an entrepreneurial attitude calculated and measured by risk cognition, opportunity recognition, networking, and start-up skills. Their entrepreneurial skills have to be noticed by their technology adaptation, human capital, and opportunity start-up. Entrepreneurial aspiration is a characteristic and a tactic which entail process and product invention, risk capital, high increase, and internationalisation (Atiese et al, 2018). Worldwide many young people from disadvantaged backgrounds terminate their formal education too early and end up missing the basic skills essential to thrive on the job (UNICEF, 2019). They take up low paying jobs or get stuck in the informal sector with no prospects of further training. Some of those who join the \u003cem\u003eJua Kali\u003c/em\u003e sector are trained on the job to acquire the skills necessary for their jobs. Others register in formal vocational institutions for training in skills particular to certain occupations of their interest. While a negligible group delay searching for employment or advancing in their education and training (World Bank, \u003cspan citationid=\"CR77\" class=\"CitationRef\"\u003e2018\u003c/span\u003e). The \u003cem\u003eJua Kali\u003c/em\u003e Sector is a major factor in poverty reduction, social development and the general economic growth. In Kenya the \u003cem\u003eJua Kali\u003c/em\u003e sector is considered for its creation of employment opportunities. However, many \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses have stagnated both in turnover and employment (Momanyi et al, \u003cspan citationid=\"CR42\" class=\"CitationRef\"\u003e2024\u003c/span\u003e, \u003cspan citationid=\"CR43\" class=\"CitationRef\"\u003e2022\u003c/span\u003e). The \u003cem\u003eJua Kali\u003c/em\u003e sector is viewed by Kenya and its development partners as an alternative to the formal sector in creating more job opportunities. The formal sector does not create job opportunities to march the number of job seekers. Amidst this ambitious plan to better the performance of the \u003cem\u003eJua Kali\u003c/em\u003e sector and make it more viable avenue for more job creation, there is need for further interrogation on sustainability of \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses. Many reports indicate that the \u003cem\u003eJua Kali\u003c/em\u003e sector is expanding and creating more jobs in comparison with the formal sector. Although these reports by the Kenyan government and its development partners make positive comments about the \u003cem\u003eJua Kali\u003c/em\u003e sector, these reports don\u0026rsquo;t show many jobs are being sustained in the \u003cem\u003eJua Kali\u003c/em\u003e sector. More needs to be done by analysing how long the jobs being created in the informal sector last. On the other hand, there should be measures to create decent lasting jobs, the \u003cem\u003eJua Kali\u003c/em\u003e sector can be a better option if the businesses started in the \u003cem\u003eJua Kali\u003c/em\u003e sector are sustainable. The social sustainability of small businesses is intertwined with customer satisfaction, financial performance and employee satisfaction. The performance of \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses will benefit if the artisans practise social sustainability in running their businesses on a broader perspective. The \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses possess a certain and specific typical characteristic in capabilities different from those of big corporations. This means that it is very challenging for the \u003cem\u003eJua Kali\u003c/em\u003e artisans to apply the same principles of business management the same way the large corporations do. There must be an element of adaptation of the same principles to reflect the reality of the \u003cem\u003eJua Kali\u003c/em\u003e artisans, these demands more training on a lifelong learning platform. From a general perspective, small businesses that adapt to sustainability development in business management benefit a lot (Masocha, \u003cspan citationid=\"CR39\" class=\"CitationRef\"\u003e2018\u003c/span\u003e; Sy, \u003cspan citationid=\"CR65\" class=\"CitationRef\"\u003e2016\u003c/span\u003e). To measure the performance and therefore the sustainability of various businesses, the same criteria cannot be used. For the performance and sustainability of small businesses like the \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses, a different criterion should be applied to gauge their sustainability. It will be better to establish how long the \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses remain in operation from their inception. Entrepreneurship is risky if all business management skills are not put into effect in running a business especially for small businesses like the \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses. While there are small businesses across industries that perform well and make profits, research has shown that 33 percent of small businesses collapse within 10 years of their inception (Small Business Administration [SBA] (\u003cspan citationid=\"CR63\" class=\"CitationRef\"\u003e2018\u003c/span\u003e).\u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec3\" class=\"Section2\"\u003e \u003ch2\u003e1.2 The Significance of the \u003cem\u003eJua Kali\u003c/em\u003e Sector in Kenya\u003c/h2\u003e \u003cp\u003eThe importance of the informal sector and in general SMEs to the economies of countries across the world is well documented in many studies (Magd \u0026amp; El Gharib, \u003cspan citationid=\"CR37\" class=\"CitationRef\"\u003e2021\u003c/span\u003e). The SMEs provide several products and services to their customers and clients, thus contributing to a high quality of life (Gajanayake, \u003cspan citationid=\"CR19\" class=\"CitationRef\"\u003e2010\u003c/span\u003e). In Kenya the \u003cem\u003eJua Kali\u003c/em\u003e sector comprises all those economic activities whose production is generally destined for the market with the aim of making a profit, but they are not officially recognised as producers of goods and services as distinct from the owner use production of the owner-operators\u0026rsquo; household (United Nations [UN], \u003cspan citationid=\"CR68\" class=\"CitationRef\"\u003e2022\u003c/span\u003e). The word \u003cem\u003eJua Kali\u003c/em\u003e in a literal sense in the Kenyan purpose means working under the \"hot sun\" in Swahili. It is commonly used in reference to the informal sector traders and micro-entrepreneurs who own enterprises of all sorts; small shops and workshops on the roadsides and in open market spaces. The \u003cem\u003eJua Kali\u003c/em\u003e sector in a nutshell is a collection of traders and artisans in possession of a wide array of skills, among them are; metal work, carpentry, plumbing, fabrication, tailoring, shoe repair, automobile repair, and many other skills. Most school dropouts join this sector because of the easy of entry to gain skills by apprenticeship and the various affordable goods and services which are produced targeting the local market (Kidenda, 2017). This sector creates employment opportunities and contributes 50% to Kenya\u0026rsquo;s GDP, it is home to 95% of all business enterprises in Kenya (KNBS, 2021; KNBS, 2016). Estimates indicate that 83% of employment opportunities are created in the \u003cem\u003eJua Kali\u003c/em\u003e sector which accounts for 14.9\u0026nbsp;million people out of the total working force (Mercy Corps, \u003cspan citationid=\"CR41\" class=\"CitationRef\"\u003e2019\u003c/span\u003e).\u003c/p\u003e \u003cp\u003eSubsistence informality is prevalent in low-income countries and is associated with low-skilled technology and remuneration of workers below subsistence levels (Docquier et al, \u003cspan citationid=\"CR10\" class=\"CitationRef\"\u003e2017\u003c/span\u003e). The \u003cem\u003eJua Kali\u003c/em\u003e sector is majorly characterised by low productivity unlike the formal sector. The workers in the informal sector have low skills and earn lower wages, they lack access to finance and the safety of social networks accessible to formal sector workers (Ohnsorge \u0026amp; Shu, \u003cspan citationid=\"CR46\" class=\"CitationRef\"\u003e2022\u003c/span\u003e). Informality relates to low productivity and poor remuneration of workers because of their low skills (Loayza, \u003cspan citationid=\"CR36\" class=\"CitationRef\"\u003e2018\u003c/span\u003e). It is often the cause of growth challenges in Emerging Market and Developing Economies (EMDEs). This is because of relying on labour intensive activities that employ unskilled workers who are poorly remunerated and don\u0026rsquo;t have fiscal resources (Chen, \u003cspan citationid=\"CR7\" class=\"CitationRef\"\u003e2023\u003c/span\u003e; Ohnsorge \u0026amp; Shu, \u003cspan citationid=\"CR46\" class=\"CitationRef\"\u003e2022\u003c/span\u003e).\u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec4\" class=\"Section2\"\u003e \u003ch2\u003e1.3 Reasons Why Businesses Fail\u003c/h2\u003e \u003cp\u003eMost SMMEs in Kenya remain highly informal, out of the estimated 7.4\u0026nbsp;million SMMES, only 20 percent are registered while the rest operate informally (United Nations, 2022). Informality is accompanied with a lot of challenges, it is the cause of under development, lower per capita income, and greater poverty. One of the reasons why there is a high rate of poverty among working people is that there is a lot of informality. Working poverty and informality combined puts workers across Africa in a very precarious situation (ILO, 2023; Common Market for Eastern and Southern Africa [COMESA], \u003cspan citationid=\"CR9\" class=\"CitationRef\"\u003e2022\u003c/span\u003e). Artisans and workers in the informal sector are often less skilled and are paid lower compared to their formal sector counterparts (Loayza, \u003cspan citationid=\"CR36\" class=\"CitationRef\"\u003e2018\u003c/span\u003e; World Bank, \u003cspan citationid=\"CR76\" class=\"CitationRef\"\u003e2019\u003c/span\u003e). According to Kenya Association of Manufacturers, there are 7.41\u0026nbsp;million SMMEs most of them in the informal sector, only 1.56\u0026nbsp;million are registered and 8.85\u0026nbsp;million operate informally KAM, 2022). It is estimated that in Kenya more than 75 percent of SMEs startups collapse within three years after their inception. One of the reasons given for this high failure rate is lack of innovation using modern technologies in marketing their businesses (Kithae et al, 2015). The MSME survey report of 2016 estimated that five years ending in 2016, 2.2\u0026nbsp;million SMEs closed operations, this estimate is equivalent to 440,000 SMMEs closing operations on a yearly basis.\u003c/p\u003e \u003cdiv id=\"Sec5\" class=\"Section3\"\u003e \u003ch2\u003e1.3.1 Managerial Competencies\u003c/h2\u003e \u003cp\u003eManagerial competencies of both employees and business managers have an impact on the accomplishment of businesses (Shehnaz, et al, \u003cspan citationid=\"CR60\" class=\"CitationRef\"\u003e2018\u003c/span\u003e). Business owners should possess management skills, they are required to master sales, marketing and financial management (Burritt, et al, \u003cspan citationid=\"CR6\" class=\"CitationRef\"\u003e2019\u003c/span\u003e). Some of the managerial competencies that a business manager must have include communication skills and delegation (Steyn, \u003cspan citationid=\"CR62\" class=\"CitationRef\"\u003e2014\u003c/span\u003e). The \u003cem\u003eJua Kali\u003c/em\u003e artisan business owners may not know how to compile financial statements for their businesses. Globalization has determined the ability to compile financial records as a key managerial competence a business owner must have for his business to survive. Bushe (\u003cspan citationid=\"CR5\" class=\"CitationRef\"\u003e2019\u003c/span\u003e) underscores managerial competences of the business owner as a key factor for the success of any business. In South Africa, it is estimated that 70\u0026ndash;80 percent of Small Micro and Medium Enterprises collapse within three years after their inception (Fatoki, \u003cspan citationid=\"CR16\" class=\"CitationRef\"\u003e2014\u003c/span\u003e). Evaluation of small businesses\u0026rsquo; performance is more complex than that of large firms\u0026rsquo; performance. Small businesses\u0026rsquo; accomplishment can be established by assessing their employment, profitability and turnover changes (Chimucheka, et al, \u003cspan citationid=\"CR8\" class=\"CitationRef\"\u003e2018\u003c/span\u003e). One of the main reasons for the high failure rate of SMMEs is inadequate managerial competencies on the part of the business owners (Herrington, Kew \u0026amp; Kew, 2014). The main criterion for measuring a business is by its financial and non-financial measures (Veliu \u0026amp; Manxhari, \u003cspan citationid=\"CR72\" class=\"CitationRef\"\u003e2017\u003c/span\u003e), however there are many other factors that can be used to measure a business\u0026rsquo;s performance. For \u003cem\u003eJua Kali\u003c/em\u003e artisans\u0026rsquo; business longevity in operation is an indicator of sound business management. Business managers should have competency on sourcing extra credit for their businesses. They also need to establish a relationship with lending institutions. According to Berrge and Udell (1998), financial institutions have four lending models: financial statement, asset-based, relationship and credit scoring lending. All these models of lending demand good book keeping of financial and asset records besides good communication skills.\u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec6\" class=\"Section3\"\u003e \u003ch2\u003e1.3.2 Access to Finance\u003c/h2\u003e \u003cp\u003eIn Kenya, Ethiopia, Nigeria and South Africa, there is poor financial capacity by micro financial institutions to meet the financial needs of Micro enterprises. Although access to finance across these four countries vary, data on access shows that on average it is only 21 percent of the SMMEs that are satisfied with the ease with which they access finance. From the same data, 79 per cent of the SMMs are not satisfied as it is not easy to access finance from micro finance institutions (Worku, et al, 2019). Small businesses have limited access to financial resources from banks and micro lending institutions. In Kenya, many small businesses enterprises prefer to take loans from micro lending financial institutions than banks. However, there are stringent demands put by lending institutions that the small businesses have to fulfil before getting loans. Banks and micro financial institutions require collateral and a clean record of past loan repayments. The interest rates on loans are relatively high and the repayment conditions very stringent (Siwale \u0026amp; Ritchie, \u003cspan citationid=\"CR61\" class=\"CitationRef\"\u003e2012\u003c/span\u003e). A study by Etiase et al, (2018) on the development of entrepreneurship in Africa using data from 35 countries. The study proved that most entrepreneurs in the informal sector have inadequate access to credit information and are unable to get credit from financial establishments. The World Bank Report of 2017 states that micro-entrepreneurs do not regard credit from government sources or financial institutions because they are unable to afford the appropriate accessory to get loans. Business skills: technical, interpersonal, and conceptual skills are paramount and relevant to the informal sector. Some of the reasons given why many SMEs collapse are: lack of access to finance, innovation and use of technology in business management (KNBS, 2016). Accessing finance is crucial for any business, it is a contributor to the overall growth of SMEs, both at the inception of a business and later stages of growth of the business (Onyiego, et al, \u003cspan citationid=\"CR47\" class=\"CitationRef\"\u003e2017\u003c/span\u003e). Finance enables a business to grow, it enables the expansion of production capacity, marketing of goods and services and sustenance of the cash flow (Mutie et al, \u003cspan citationid=\"CR44\" class=\"CitationRef\"\u003e2019\u003c/span\u003e). The SMEs managers need skills to write good business plans to be able to convince financial institutions on the viability of their businesses.\u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec7\" class=\"Section3\"\u003e \u003ch2\u003e1.3.3 Marketing Strategies\u003c/h2\u003e \u003cp\u003eIt is necessary for SME business managers to understand the necessity to establish strategic plans that will help in understanding the market, culture and their competitors. A marketing strategy in the contemporary view is understood as a plan of activities which encompass pricing, production, promotion, services, distribution of goods and ideas that are geared to the contentment of possible customers and clients (Dzisi \u0026amp; Ofosu, \u003cspan citationid=\"CR11\" class=\"CitationRef\"\u003e2014\u003c/span\u003e). A marketing strategy is vital in enforcing a firm\u0026rsquo;s market share and reducing the influence of its competitors (Kenu, \u003cspan citationid=\"CR28\" class=\"CitationRef\"\u003e2019\u003c/span\u003e). According to Momanyi et al, (\u003cspan citationid=\"CR42\" class=\"CitationRef\"\u003e2024\u003c/span\u003e), 95.2 percent of artisans in the Eastlands of Nairobi depend on displaying their finished products at their workshops and 62 percent rely on referrals as the main way of marketing them to their potential customers. A study by Sapuro (\u003cspan citationid=\"CR58\" class=\"CitationRef\"\u003e2016\u003c/span\u003e) on the relationship between a marketing strategy and the performance of SMEs found out that there is a correlation between marketing strategy and the performance of SMEs.\u003c/p\u003e \u003c/div\u003e \u003c/div\u003e"},{"header":"Theoretical Framework","content":"\u003cp\u003eThe concept \"\u003cem\u003eperformance\u003c/em\u003e\" is rather vague when used to refer to the overall wellbeing of a business entity. There is no clear answer on what exactly constitutes a business firms\u0026rsquo; performance. A business firms\u0026rsquo; performance is the main factor in business research as noted by Rosenbusch et al, (\u003cspan citationid=\"CR57\" class=\"CitationRef\"\u003e2007\u003c/span\u003e). Performance may be interpreted as the development of a business which may have the meaning of business growth or expansion in terms of revenue and turnover (Dobbs \u0026amp; Hamilton, \u003cspan citationid=\"CR12\" class=\"CitationRef\"\u003e2007\u003c/span\u003e; Wolff \u0026amp; Pett, \u003cspan citationid=\"CR74\" class=\"CitationRef\"\u003e2006\u003c/span\u003e). Performance could also mean the competitiveness, survival and success of a business (Eniola \u0026amp; Entebang, \u003cspan citationid=\"CR13\" class=\"CitationRef\"\u003e2015\u003c/span\u003e). There is no general view of what constitutes a business\u0026rsquo; prosperity, it is primarily seen from the business owners\u0026rsquo; perspective (Perez \u0026amp; Caninno; 2009). Therefore, the term business performance has a multidimensional meaning. In this study the performance of \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses is analysed from the perspective of resilience of a business in terms of how long have the businesses been in operation. In general terms how many \u003cem\u003eJua Kali\u003c/em\u003e artisans\u0026rsquo; businesses have been in operation in a given time frame.\u003c/p\u003e \u003cp\u003eIt is impossible for any country to attain sustainable economic progress without a significant investment in education and training as they play a significant role. Education and training help people to better the quality of their lives besides raising their productiveness and promoting entrepreneurship and advance in technology. There must be a proper connection between informal sector and education and training. The presence of the informal sector has continued to draw consideration worldwide; it has been mentioned extensively in many studies and policy documents. However, enterprises within the informal sector have abject growth rates and limited possibilities (Atiase et al., \u003cspan citationid=\"CR2\" class=\"CitationRef\"\u003e2017\u003c/span\u003e). Informality is accompanied with a lot of challenges, it is a result of under development, lower per capita income, and greater poverty. Artisans and workers in the informal sector are often less skilled and are paid lower wages compared to their formal sector counterparts (Loayza, \u003cspan citationid=\"CR36\" class=\"CitationRef\"\u003e2018\u003c/span\u003e; World Bank, \u003cspan citationid=\"CR76\" class=\"CitationRef\"\u003e2019\u003c/span\u003e). While the Kenyan government has placed a lot of hope in the performance of the \u003cem\u003eJua Kali\u003c/em\u003e sector, as an alternative to employment of the many graduates who join the labour market each year from the formal education institutions. The human capital theory (Becker, 1994) posits that education and training are investments, they increase people\u0026rsquo;s productivity. For the \u003cem\u003eJua Kali\u003c/em\u003e sector this will be proved when the \u003cem\u003eJua Kali\u003c/em\u003e artisans\u0026rsquo; artisan businesses remain long in operation as a measure of performance based on the education and training of the artisans. Unless proper analysis is done to establish the sustainability of \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses, the human capital theory\u0026rsquo;s view that education and training are investments will not apply to \u003cem\u003eJua Kali\u003c/em\u003e artisans. If the skills they have do not help them to run the businesses profitably, meaning that they\u0026rsquo;re sustainable and the jobs created are decent and sustainable. If the artisan businesses do not last long, there must be a disconnect between education and training, and the management of the \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses. The prospect of an increase in income for the workers in the \u003cem\u003eJua Kali\u003c/em\u003e sector is gleam if the business established do not last long. With a proper analysis, an intervention measure can be established to retrain and lay a foundation for a lifelong learning scheme for the \u003cem\u003eJua Kali\u003c/em\u003e artisans. Without a proper interpretation of the human capital theory, self-employment as stated in many government policy documents becomes a re-interpretation of the human capital theory (Rharade, \u003cspan citationid=\"CR56\" class=\"CitationRef\"\u003e1997\u003c/span\u003e). Counting the number of jobs created becomes a guise of the performance of the \u003cem\u003eJua Kali\u003c/em\u003e sector measured by the number of entrants. The number of entrants who join the informal sector does not take into account many hidden factors like the mode of training (TVET or apprenticeship), gender, culture, race and specific trade in the \u003cem\u003eJua Kali\u003c/em\u003e sector (Brown et al., \u003cspan citationid=\"CR4\" class=\"CitationRef\"\u003e2020\u003c/span\u003e). The human capital theory is not static, it needs a re-interpretation in view of the \u003cem\u003eJua Kali\u003c/em\u003e artisans and the sustainability of the \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses. There is a need to interpret the Hunam capital theory from the perspective of how long the \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses that are started in the informal sector remain in operation.\u003c/p\u003e \u003cdiv id=\"Sec9\" class=\"Section2\"\u003e \u003ch2\u003e2.1 Research Objectives\u003c/h2\u003e \u003cp\u003eThis study aims to broaden the understanding of the sustainability of \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses from the perspective of creating employment opportunities. At same time the study explains how \u003cem\u003eJua Kali\u003c/em\u003e artisans can learn business skills under a lifelong learning scheme. The research also aims at establishing how long these artisan businesses last in operation and what can be done to sustain these businesses to maintain the jobs already created. In addition, the research aims at addressing key questions, including:\u003c/p\u003e \u003cp\u003e \u003col\u003e \u003cspan\u003e \u003cli\u003e \u003cp\u003e1. How long do most \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses in the Eastlands of Nairobi last before they collapse?\u003c/p\u003e \u003c/li\u003e \u003c/span\u003e \u003cspan\u003e \u003cli\u003e \u003cp\u003e2. What are the intervention measures that can be implemented to prevent most of the artisan businesses from collapsing?\u003c/p\u003e \u003c/li\u003e \u003c/span\u003e \u003cspan\u003e \u003cli\u003e \u003cp\u003e3.At what time from the inception of the artisan businesses should intervention measure be implemented to prevent them from collapsing?\u003c/p\u003e \u003c/li\u003e \u003c/span\u003e \u003c/ol\u003e \u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec10\" class=\"Section2\"\u003e \u003ch2\u003e2.2 Research Methodology\u003c/h2\u003e \u003cp\u003eThis research adopted a Descriptive Study Design, a survey was conducted, using an interview and observation schedules as data collection tools. The data was analysed and presented using, frequencies, inferential statistics and charts. The sampling frame was the 481 artisans sampled from the Eastlands area of Nairobi. The independent and dependent variables in the research were; the ages of the artisans and the length of time they have been running their artisan businesses. Internal consistence implies a high degree of generalizability to all the items within a given test. Internal validity is the scope to which a study inquires what it is supposed to inquire. Alternatively, external validity investigates the generalisability of the results (Trafimow, \u003cspan citationid=\"CR67\" class=\"CitationRef\"\u003e2022\u003c/span\u003e). A pilot study was carried out before the actual data collection. A correlation coefficient (r) of 0.8 for the interview schedule using the Spearman-Brown formula and a Cronbach\u0026rsquo;s alpha coefficient of 0.7 were obtained and were sufficient to consider these instruments valid for the research.\u003c/p\u003e \u003cdiv id=\"Sec11\" class=\"Section3\"\u003e \u003ch2\u003e2.2.1 Interview Schedule\u003c/h2\u003e \u003cp\u003e \u003cdiv class=\"BlockQuote\"\u003e \u003cp\u003eIn this study, a total of 481 \u003cem\u003eJua Kali\u003c/em\u003e artisans were interviewed for the study in the Eastlands area of Nairobi, Kenya using an interview schedule. A purposeful sampling technique was used to select the artisans who were interviewed for the research. Out of 558 artisans who were approached for data collection, only 481 accepted to be interviewed and out of the 481 \u003cem\u003eJua Kali\u003c/em\u003e artisans who were interviewed for this study, only 251(52.2%) artisans owned artisan businesses, 112 (23.3%) of the artisans were under training (apprentices), while 77(16%) were working as casuals. Acquiring skills by apprenticeship is popular with many artisans, the study established that 415 (86.3%) of the artisans acquired their skills by apprenticeship in the \u003cem\u003eJua Kali\u003c/em\u003e sector. Some of the well-established artisans, 128 (26.6%) had apprentices training under them.\u003c/p\u003e \u003c/div\u003e \u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec12\" class=\"Section3\"\u003e \u003ch2\u003e2.2.2 Observation Schedule\u003c/h2\u003e \u003cp\u003eAn observation schedule is used in research to collect through observation without interviewing the respondents. The observation schedule was the main tool used for data collection from 30 cluster[2]\u003ca class=\"FNLink\" href=\"#Fn2\" id=\"#FNLinkFn2\"\u003e\u003c/a\u003e areas from which the interviewed artisans carry out their artisan businesses.\u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec13\" class=\"Section3\"\u003e \u003ch2\u003e2.2.3 Questionnaire\u003c/h2\u003e \u003cp\u003eA questionnaire was designed and sent to customers of \u003cem\u003eJua Kali\u003c/em\u003e artisans within Nairobi. The contents of the questionnaire were designed to collect views on the customers satisfaction with the \u003cem\u003eJua Kali\u003c/em\u003e artisans\u0026rsquo; products and services. The questionnaire was sent randomly via a mobile survey tool to 1000 people in a contact list to establish whether they resided in Nairobi. Out of 1000 people the questionnaire was sent to, 327 indcated that they were Nairobi residents. Out of the 327 who indicated that they were Nairobi residents, 256 (78.29%) indicated that they had engaged a \u003cem\u003eJua Kali\u003c/em\u003e artisan six months prior to this research, while 71 (21.71%) had not engaged an artisan at all. The 256 Nairobi residents who had engaged an artisan formed the sample for this research. They ranked the artisans on a scale of 1\u0026ndash;6 on their satisfaction with the artisan\u0026rsquo;s technical, customer care, problem solving, negotiation, project management and communication skills.\u003c/p\u003e \u003c/div\u003e \u003c/div\u003e"},{"header":"Presentation of Results","content":"\u003cdiv id=\"Sec15\" class=\"Section2\"\u003e \u003ch2\u003e3.1 Length of time spent in the \u003cem\u003eJua Kali\u003c/em\u003e sector by the interviewed artisans.\u003c/h2\u003e \u003cp\u003eThe research established that the duration of time a \u003cem\u003eJua Kali\u003c/em\u003e business enterprise has been in operation influences its accomplishment. The length of time a business has been in operation in the \u003cem\u003eJua Kali\u003c/em\u003e sector has an impact on its effectiveness. The artisans who have been in the \u003cem\u003eJua Kali\u003c/em\u003e sector for a few years do not have the same mastery of business management skills as those artisans who have been in the sector for many years. Data on the length of time the interviewed artisans had spent in the \u003cem\u003eJua Kali\u003c/em\u003e sector was collected. These data are from the 442 out of 481 artisans who responded to the item on their ages and the length of time they had spent in the \u003cem\u003eJua Kali\u003c/em\u003e sector. The data was analysed and is summarised in intervals of six years and is presented in Fig.\u0026nbsp;\u003cspan refid=\"Fig1\" class=\"InternalRef\"\u003e1\u003c/span\u003e.\u003c/p\u003e \u003cp\u003e \u003c/p\u003e \u003cp\u003eOut of the 481 artisans who were interviewed for this research, 39 artisans either did not respond to the item on their age or how long they have been in the informal sector. From the data obtained for this research, there are more \u003cem\u003eJua Kali\u003c/em\u003e artisans (364) out of the total number of interviewed artisans (444) who have been in the informal sector between one and twelve years (82%). The number decreases drastically from twelve to twenty-four years, only 65 (18%) have been in the in \u003cem\u003eJua Kali\u003c/em\u003e sector for 24 years. The data obtained indicate that at the point of entry there are many people who join the \u003cem\u003eJua Kali\u003c/em\u003e sector, but as the years go by, they fall out and do not continue with their artisan businesses. Only very a few artisans had sustained their businesses beyond the twelfth year from the time of inception.\u003c/p\u003e \u003cp\u003e \u003cdiv class=\"gridtable\"\u003e\u003ctable float=\"Yes\" id=\"Tab1\" border=\"1\"\u003e \u003ccaption language=\"En\"\u003e \u003cdiv class=\"CaptionNumber\"\u003eTable 1\u003c/div\u003e \u003cdiv class=\"CaptionContent\"\u003e \u003cp\u003e\u003cb\u003eThe Artisan\u0026rsquo;s Engagement in the Jua Kali Sector (own compilation)\u003c/b\u003e\u003c/p\u003e \u003c/div\u003e \u003c/caption\u003e \u003ccolgroup cols=\"3\"\u003e \u003cdiv align=\"left\" class=\"colspec\" colname=\"c1\" colnum=\"1\"\u003e\u003c/div\u003e \u003cdiv align=\"char\" char=\".\" class=\"colspec\" colname=\"c2\" colnum=\"2\"\u003e\u003c/div\u003e \u003cdiv align=\"left\" class=\"colspec\" colname=\"c3\" colnum=\"3\"\u003e\u003c/div\u003e \u003cthead\u003e \u003ctr\u003e \u003cth align=\"left\" colname=\"c1\"\u003e \u003cp\u003eEngagement of the \u003cem\u003eJua Kali\u003c/em\u003e Artisans\u003c/p\u003e \u003c/th\u003e \u003cth align=\"left\" colname=\"c2\"\u003e \u003cp\u003eNumber of Artisans\u003c/p\u003e \u003c/th\u003e \u003cth align=\"left\" colname=\"c3\"\u003e \u003cp\u003ePercentage (out of 481 Artisans)\u003c/p\u003e \u003c/th\u003e \u003c/tr\u003e \u003c/thead\u003e \u003ctbody\u003e \u003ctr\u003e \u003ctd align=\"left\" colname=\"c1\"\u003e \u003cp\u003eRunning artisan businesses\u003c/p\u003e \u003c/td\u003e \u003ctd align=\"char\" char=\".\" colname=\"c2\"\u003e \u003cp\u003e251\u003c/p\u003e \u003c/td\u003e \u003ctd align=\"left\" colname=\"c3\"\u003e \u003cp\u003e52.2\u003c/p\u003e \u003c/td\u003e \u003c/tr\u003e \u003ctr\u003e \u003ctd align=\"left\" colname=\"c1\"\u003e \u003cp\u003eUnder training\u003c/p\u003e \u003c/td\u003e \u003ctd align=\"char\" char=\".\" colname=\"c2\"\u003e \u003cp\u003e112\u003c/p\u003e \u003c/td\u003e \u003ctd align=\"left\" colname=\"c3\"\u003e \u003cp\u003e23.3\u003c/p\u003e \u003c/td\u003e \u003c/tr\u003e \u003ctr\u003e \u003ctd align=\"left\" colname=\"c1\"\u003e \u003cp\u003eWorking as casuals\u003c/p\u003e \u003c/td\u003e \u003ctd align=\"char\" char=\".\" colname=\"c2\"\u003e \u003cp\u003e77\u003c/p\u003e \u003c/td\u003e \u003ctd align=\"left\" colname=\"c3\"\u003e \u003cp\u003e16\u003c/p\u003e \u003c/td\u003e \u003c/tr\u003e \u003ctr\u003e \u003ctd align=\"left\" colname=\"c1\"\u003e \u003cp\u003eMaster Trainers\u003c/p\u003e \u003c/td\u003e \u003ctd align=\"char\" char=\".\" colname=\"c2\"\u003e \u003cp\u003e128\u003c/p\u003e \u003c/td\u003e \u003ctd align=\"left\" colname=\"c3\"\u003e \u003cp\u003e26.6\u003c/p\u003e \u003c/td\u003e \u003c/tr\u003e \u003c/tbody\u003e \u003c/colgroup\u003e \u003c/table\u003e\u003c/div\u003e \u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec16\" class=\"Section2\"\u003e \u003ch2\u003e3.2 The Ages of the Interviewed Artisans\u003c/h2\u003e \u003cp\u003eThe data obtained and analysed for this research show that the ages of the artisans have an influence on how they manage their businesses. The older and longer an artisan has been in business, the more experience he has gained by establishing a customer base and learned the tricks of the trade. Data analysed is summarised and presented in Fig.\u0026nbsp;\u003cspan refid=\"Fig2\" class=\"InternalRef\"\u003e2\u003c/span\u003e.\u003c/p\u003e \u003cp\u003eThe bulk of the interviewed artisans\u0026rsquo; ages range between 22 and 37 years (73%). This is the age by which most of the youth in Kenya have completed their basic education (ordinary level) and started working. The analysed data indicates that most artisans in the informal sector have attained the basic education qualifications, at least the ordinary level (47.61%). The data analysis on the ages of the artisans establishes that the age and education level of the artisans in the \u003cem\u003eJua Kali\u003c/em\u003e sector influence their entrepreneurial skills. The artisans in the age bracket of 36\u0026ndash;55 years were very successful in their artisan businesses. Artisans who had attained post primary formal education qualifications were more successful in their artisan businesses. Based on these findings, it will be recommended that the \u003cem\u003eJua Kali\u003c/em\u003e artisans need to be trained more in business management skills to enhance their entrepreneurship skills to improve their productivity.\u003c/p\u003e \u003cp\u003e \u003c/p\u003e \u003c/div\u003e \u003cdiv id=\"Sec17\" class=\"Section2\"\u003e \u003ch2\u003e3.3 Customer Satisfaction Survey on \u003cem\u003eJua Kali\u003c/em\u003e artisans\u0026rsquo; Customer Care Skills\u003c/h2\u003e \u003cp\u003eCustomer care skills are mainly characteristics and practices that help one to address his customers\u0026rsquo; needs to support a positive experience. Customer care skills in general depend heavily on communication, and problem-solving. They are regarded as \u0026ldquo;soft skills\u0026rdquo;, they include traits like diligent listening, ability to read both verbal and nonverbal cues. These skills provide support to both prospective and existing customers, they are the cornerstone of customer experience. The four key principles of good customer skills are: customer care is personalised, competent, convenient, and proactive. The analysed data on a customer satisfaction survey on the artisan\u0026rsquo;s customer care skills on a scale of 1\u0026ndash;6 (1-very poor, 2-poor, 3-good, 4-very good, 5-excellent, 6-exceptional) is summarised and presented in Fig.\u0026nbsp;\u003cspan refid=\"Fig3\" class=\"InternalRef\"\u003e3\u003c/span\u003e.\u003c/p\u003e \u003cp\u003eMost \u003cem\u003eJua Kali\u003c/em\u003e entrepreneurs in the \u003cem\u003eJua Kali\u003c/em\u003e sector have inadequate managerial knowledge and skills. From this research, an observation is made that professional, entrepreneurship and management skills are key factors that influence many aspects of any business enterprise including the \u003cem\u003eJua Kali\u003c/em\u003e artisans, therefore corroborating the findings of Ndemo \u0026amp; Weiss (\u003cspan citationid=\"CR45\" class=\"CitationRef\"\u003e2016\u003c/span\u003e). This research corroborates the observation of Wanjohi \u0026amp; Mugure, (2017) in their study and in which they recommended that in Kenya, most \u003cem\u003eJua Kali\u003c/em\u003e entrepreneurs are not conversant with issues of education and management skills. Customer care skills are part of management and entrepreneurship skills, the \u003cem\u003eJua Kali\u003c/em\u003e artisans ought to be encouraged to study and incorporate in the management of their artisan businesses. The artisans need refresher courses on business management and technical skills.\u003c/p\u003e \u003cp\u003e \u003c/p\u003e \u003cp\u003eCustomer Care Skills (Own compilation)\u003c/p\u003e \u003cp\u003eFrom the analysed data as presented in figure three, it is clear that having technical skills without customer care skills alone are not enough for the Jua Kali artisans to market their products and get feedback to improve their business management. The artisans need continuous refresher courses to improve on customer care and the technical skills they already have, as technology changes, they also need to adapt with it so that they do not lag behind and find that the market has changed, and their skills are obsolete.\u003c/p\u003e \u003c/div\u003e"},{"header":"Discussion and Conclusions","content":"\u003cp\u003eSeveral reasons have been given to explain this trend of performance of small business, but one factor that this research observed is that the market is the same and does not expand. Since more and more people join the informal sector with basic skills, chances of upscaling their skills especially business management skills are minimal. The other factor that was observed in this research is that the \u003cem\u003eJua Kali\u003c/em\u003e artisans work with each other side by side on the roadside instead of teaming up to form big businesses to expand and attract big opportunities. There is no specialisation, most artisans carry out every task by themselves without delegating. Competition for the same market forces most artisans to close shop before the twelfth year of inception of their businesses. This research collaborates the observation made by the TIFA survey of 2020 which noted that 25 percent of micro entrepreneurs engage in informal businesses due to lack of any other alternative.\u003c/p\u003e \u003cp\u003eThere is a serious urgency to train the artisans in business management skills to help them improve their businesses management. Without proper business management skills, the artisan businesses expand laterally rather than vertically. The businesses multiply in number but will not grow individually to become big businesses employing more artisans. This fact indicates that many small businesses in Kenya are not competitive. There should be an effort to educate the artisans on the benefits of forming cooperative societies and seek credit facilities that are available to expand their business enterprises. From figure one, it is noticeable that there are many people who join the informal sector and start business but few of these businesses survive beyond their fifth year. The analysed data collaborates evidence from research done by US Small Business Administration (SBA) in 2022 which concluded that (20%) of small business enterprises collapse within the first two years of inception, while (50%) of these enterprises collapse within five years of inception and by the 10th year only (33%) survive. This research collaborates the findings of the Federation of Kenyan Employers (FKE) in a 2021 report on the \u0026ldquo;\u003cem\u003einformal economy in Kenya\u003c/em\u003e\u0026rdquo;. The FKE survey found out that the average number of years small businesses had been in operation was 7 years for micro-enterprises small enterprises (MSEs) and 10 years for Small and Medium Enterprises (SMEs).\u003c/p\u003e \u003cp\u003eThe findings on the artisans age and the performance of their artisan businesses corroborates the findings of Wamalwa\u0026rsquo;s 2021study on factors influencing performance of Metallic artisans\u0026rsquo; enterprise clusters in Kamukunji. She found out that the age of the \u003cem\u003eJua Kali\u003c/em\u003e artisans plays a great role in the performance of their businesses. She noted that artisans above 30 years of age were more successful in their businesses than those who were much younger. This research noticed that as the years go by very few artisans remain in business, while the majority drop out. The older artisans were not ready for further training, and most responded by saying that \u003cem\u003e\u0026ldquo;we are preparing for retirement; training is for young people\u003c/em\u003e\u0026rdquo; upon being asked whether they would like to be trained to acquire more skills. One of the observations made by this research why most artisan businesses do not last long is that the artisans operate within the same area and target the same clients. Only those artisans who have been in the market longer have managed to adapt to the market dynamics and are stable as they have established themselves around a certain loyal clientele. It becomes harder for the new entrants to establish themselves as they compete at times with their master trainers for the same clientele. This research noted that most of the \u003cem\u003eJua Kali\u003c/em\u003e artisan\u0026rsquo;s businesses stagnate and do no grow due to a multiplicity of factors. This research concurs with the observation made by Anyanga et al (2016) in their study on strategies adopted by Small and Micro-enterprises in Kenya. The observed that the Small and Micro-enterprises adopt wrong strategies. This research noted that unhealthy competition Among the artisans is factor that hinders the growth of the artisan businesses. This research concurs that one of the factors that influence the performance of \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses is the age of the artisans and the location of the businesses corroborates Kinyua\u0026rsquo;s findings in 2014 in her research on \u003cem\u003e\u0026ldquo;the factors affecting the Performance of Small and Medium Enterprises\u0026rdquo;\u003c/em\u003e.\u003c/p\u003e \u003cp\u003eFrom the summarised data obtained for this research, it is observed that most of the people joining the \u003cem\u003eJau Kali\u003c/em\u003e sector, join when they are very young but as time goes by majority of them drop out. The number of artisans in the \u003cem\u003eJua Kali\u003c/em\u003e sector in terms of age start decreasing sharply from the age of age of 30 years. The mean age of all the interviewed artisans for this research was 30.3 years which collaborates the findings of a World Bank study in 2016 which also established that the average age of all artisans in the informal sector is 30.3 years. This research findings also collaborate the findings of the same study by the World Bank (\u003cspan citationid=\"CR78\" class=\"CitationRef\"\u003e2016\u003c/span\u003e) which also found out that the average age of those artisans who own businesses is 35 years. This research established from the analysed data that the average age of the artisans who own artisan businesses interviewed for the study is 35 years. For \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses to be sustainable, there is need to train the artisans on business management skills.\u003c/p\u003e"},{"header":"Declarations","content":"\u003ch3\u003e\u003cstrong\u003eCompeting Interests\u003c/strong\u003e\u003c/h3\u003e\n\u003cp\u003eThere are no competing interests.\u003c/p\u003e\n\u003cp\u003e\u0026nbsp;\u003cstrong\u003eConsent to participate\u003c/strong\u003e\u003c/p\u003e\n\u003cp\u003eInformed verbal consent was obtained from all individual artisans who were interviewed to obtain data used for the analysis that is included in the study prior to the interview. The data obtained is analysed and maintains the anonymity of the research participants.\u003c/p\u003e\n\u003cp\u003e\u0026nbsp;\u003cstrong\u003eEthics Statement\u003c/strong\u003e\u003c/p\u003e\n\u003cp\u003eThis paper did not require any approval by the Ethics Review Committee. For purposes of data collection, the National Commission for Science Technology and Innovation (NACOSTI) approval process was followed, and a research licence was issued before the data collection commenced (Ref No.79788310). The research was authorised by the Ministry of Education Science and Technology [MoEST] (Ref.RDE/NRB/RESEARCH/1/65 VO.1). The \u003cem\u003eJua Kali\u003c/em\u003e artisans who were interviewed for this research participated voluntarily by providing their responses.\u0026nbsp;\u003c/p\u003e\u003cp\u003e\u003cstrong\u003eBiographical Notes\u003c/strong\u003e\u003c/p\u003e\n\u003cp\u003eChristopher Momanyi, PhD, is a lecturer at the School of Humanities and Social Sciences, Strathmore University, Kenya. He holds a PhD in Educational Planning from the University of Nairobi, a Masters in Educational Planning from Kenyatta University, a Masters in Applied Philosophy and Ethics from Strathmore University and a post Graduate Diploma in Educational Management from Strathmore University. He has research interests in the Jua Kali Sector, he has published several papers. He has a keen interest in Philosophy and is pursuing a doctorate in philosophy at the university of M\u0026uuml;nster.\u003c/p\u003e"},{"header":"References","content":"\u003col\u003e\n \u003cli\u003eAmin, Hindu Jibril,(2021). Influence of Marketing Strategies on the Performance of SMEs: Evidence from Abuja SMEs. Journal of Economics and Business, Vol.4 No.1, Available at SSRN: https://ssrn.com/abstract=3813282\u003c/li\u003e\n \u003cli\u003eAtiase, V. Y., Mahmood, S., Wang, Y., \u0026amp; Botchie, D. (2017). \u003cem\u003eDeveloping entrepreneurship in Africa:\u003c/em\u003e Investigating critical resource challenges. Journal of Small Business and Enterprise Development, 25(4), 644\u0026ndash;666. https://doi.org 10.1108/03-2017-0084\u003c/li\u003e\n \u003cli\u003eBerger, A.N. \u0026amp; G.F. Udell, (1998). The economics of small business finance: The roles of private equity and debt markets in the financial growth cycle. Journal of Banking \u0026amp; Finance, 22(6-8): 613-673.Available at: https://doi.org/10.1016/s0378-4266(98)00038-7.\u003c/li\u003e\n \u003cli\u003eBrown, P., Lauder, H., \u0026amp; Cheung, S. Y. (2020). The death of human capital? Its failed promise and how to renew it in an age of disruption. Oxford University Press. https://academic.oup.com/book/31932\u003c/li\u003e\n \u003cli\u003eBushe, B. (2019). The Causes and Impact of Business Failure among Small to Micro and Medium Enterprises in South Africa. Africa\u0026rsquo;s Public Service Delivery and Performance Review, 7, 2310-2195. https://doi.org/10.4102/apsdpr.v7i1.210\u003c/li\u003e\n \u003cli\u003eBurritt, R.L., Herzig. 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Review of National Policy Developments in the Targeted Countries related to the \u003cem\u003eFormalisation of the Informal Economy\u003c/em\u003e. COMESA Secretariate, Lusaka, p.6-19.\u003c/li\u003e\n \u003cli\u003eDocquier, F., T. M\u0026uuml;ller, \u0026amp; J. Naval. (2017). \u0026ldquo;Informality and Long-Run Growth.\u0026rdquo; \u003cem\u003eThe Scandinavian Journal of Economics\u0026nbsp;\u003c/em\u003e119 (4), p. 1040-1085. https://doi.org/10.1111/sjoe.12185\u003c/li\u003e\n \u003cli\u003eDzisi, S., \u0026amp; Ofosu, D. (2014). Marketing strategies and the performance of SMEs in Ghana. European Journal of Business and Management, Vol.6, No.5, 102 - 111.\u003ccite\u003e\u0026nbsp;https://api.semanticscholar.org/CorpusID:166583918\u003c/cite\u003e\u003c/li\u003e\n \u003cli\u003eDobbs, M., \u0026amp; Hamilton, R. T. (2007). Small business growth: recent evidence and new directions. 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In ICBI Conference proceedings 2010.\u003ccite\u003e\u0026nbsp;https://api.semanticscholar.org/CorpusID:17118558\u003c/cite\u003e\u003c/li\u003e\n \u003cli\u003eHyder, S., \u0026amp; Lussier, R. N. (2016). Why businesses succeed or fail: a study on small businesses in Pakistan. Journal of Entrepreneurship in Emerging Economies, 8(1), 82-100.\u003c/li\u003e\n \u003cli\u003eInternational Labour Organisation [ILO] (2023). 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(2016). \u003cem\u003eDigital Kenya: An Entrepreneurial Revolution in the Making.\u0026nbsp;\u003c/em\u003eLondon: Palgrave Macmillan UK, p. 337-339. https://books.google.es/books/about/Digital_Kenya.html?id=MHO5jwEACAAJ\u0026amp;redir_esc=y\u003c/li\u003e\n \u003cli\u003eOhnsorge, F., \u0026amp; Shu, Y. (2022). The long shadow of informality: Challenges and policies. World Bank. https://elibrary.worldbank.org/doi/abs/10.1596/978-1-4648-1753-3\u003c/li\u003e\n \u003cli\u003eOnyiego, G.O., Namusonge, G.S. \u0026amp; Waiganjo, E.(2017). The effect of access to finance on financial performance of SMEs in Mombasa County Kenya. The strategic journal of business and change management volume 4 issue number 3 pp 335 - 346. http://dx.doi.org/10.61426/sjbcm.v4i3.514\u003c/li\u003e\n \u003cli\u003eOECD. (2017). Enhancing the contributions of SMEs in a Global and Digitalised Economy. Paris: OECD, pp.4-18. https://www.oecd.org/mcm/documents/C-MIN-2017-8-EN.pdf\u003c/li\u003e\n \u003cli\u003ePansiri, J., \u0026amp; Yalala, A. T. (2017). The evolution of entrepreneurship and small-to-medium business development in Botswana. Botswana Journal of Business, 10(1), 53-79.\u003c/li\u003e\n \u003cli\u003ePerez, E. H., \u0026amp; Canino, R. M. B. (2009). The importance of the entrepreneur\u0026rsquo;s perception of \u0026ldquo;success\u0026rdquo;. Review of International Comparative Management, 10(5), 990-1010.\u003c/li\u003e\n \u003cli\u003eRankhumise, E. M., \u0026amp; Letsoalo, M. E. (2019). Owners\u0026apos; Perspective of Factors Associated With Performance of Small, Medium and Micro Enterprises.\u003cem\u003e\u0026nbsp;International Journal of Entrepreneurship, 23\u003c/em\u003e(3), 1-17.\u003c/li\u003e\n \u003cli\u003eRaza, S., Minai, M., Zain, A. Y., \u0026amp; Tariq, T. (2018). Dissection of small businesses in Parkistan: issues and directions. International Journal of Entrepreneurship, 22 (4):1939-4675. https://www.researchgate.net/publication/329554407_Dissection_of_small_businesses_in_Pakistan_Issues_and_directions#fullTextFileContent\u003c/li\u003e\n \u003cli\u003eRharade, A. (1997). Educational reform in Kenya. \u003cem\u003eProspects\u003c/em\u003e 27, pp. 163\u0026ndash;179. https://link.springer.com/article/10.1007/BF02755362#citeas\u003c/li\u003e\n \u003cli\u003eRosenbusch, N., Rauch, A., \u0026amp; Unger, J. M. (2007). Entrepreneurial stress and long-term survival: Is There a Causal Link? Babson College Entrepreneurship Research Conference (BCERC) 2007, Frontiers of Frontiers of Entrepreneurship Research 2007. https://ssrn.com/abstract=1064681\u003c/li\u003e\n \u003cli\u003eSapuro, J. T. (2016). Effect of marketing strategies on performance of small and medium enterprises in Kitengela Township, Kajiado County (Doctoral dissertation, KCA University). http://41.89.49.13:8080/xmlui/handle/123456789/1165\u003c/li\u003e\n \u003cli\u003eShehnaz, T., Farhad, U.A., Zuhaib, H.Q., Mohammad, J.U. \u0026amp; Ramayah, T. (2018). Entrepreneurial competencies and SMEs\u0026rsquo; growth: the mediating role of network competencies. Asia-Pacific Journal of Business Administration, 11(1), 2-29.\u003c/li\u003e\n \u003cli\u003eSiwale, J. N., \u0026amp; Ritchie, J.(2012). Disclosing the Loan Officer\u0026rsquo;s Role in Microfinance Development. International Small Business Journal, 30(4), 432-450. https://doi.or-g/10.1177%2F0266242610373687\u003c/li\u003e\n \u003cli\u003eSteyn, E. (2014). Managerial competencies among First-line Newsroom Managers at Small to Medium Sized Mainstream Media Enterprises in South Africa. Journal of Economics and Management Science, 9(3), 322-340. https://doi.org/10.4102/sajems.v9i3.1091\u003c/li\u003e\n \u003cli\u003eSmall Business Administration [SBA] (2018).\u0026nbsp;\u003cem\u003eWhat Percentage of Small Businesses Fail - And How Can You Avoid Being One of Them?\u0026nbsp;\u003c/em\u003ehttps://www.sba.gov/sites/default/files/advocacy/Frequently-Asked-Questions-Small-Business-2018.pdf\u003cbr\u003e\u003cbr\u003e\u003c/li\u003e\n \u003cli\u003eSy, M.V (2016). Impact of sustainability practices on the firms\u0026rsquo; performance. Asia Pacific Business \u0026amp; Economics Perspectives, volume 4 (1), pp. 4\u0026ndash;21.\u003c/li\u003e\n \u003cli\u003e\u003cem\u003eTrends\u0026nbsp;\u003c/em\u003e\u0026amp;\u003cem\u003e\u0026nbsp;Insights For Africa [TIFA\u003c/em\u003e] (2020). Year End Survey. Festive Season Plans and Covid-19 Issues.https://www.tifaresearch.com/wp-content/uploads/2020/12/TIFA_End-of-Year-Poll_Covid-19-Concerns-and-Festive-Season-Activities_23rd-December-2020.pdf\u003c/li\u003e\n \u003cli\u003eTrafimow, D. (2022). A new way to think about internal and external validity. \u003cem\u003ePerspectives on Psychological Science\u003c/em\u003e, \u003cem\u003e18\u003c/em\u003e(5), pp. 1028\u0026ndash;1046.\u003cem\u003e\u0026nbsp;https://journals.sagepub.com/doi/abs/10.1177/17456916221136117\u003cstrong\u003e\u0026nbsp;\u003c/strong\u003e\u003c/em\u003e\u003c/li\u003e\n \u003cli\u003eUnited Nations [UN] (2022). Assessment of the Impact of Covid-19 Among Micro, Small and Medium Sized Enterprises in Kenya and Their Resilience Mechanism. UN department of Economic and Social Affairs, p. 11-28. https://sdgs.un.org/documents/assessment-impact-covid-19-pandemic-msmes-kenya-and-their-resilience-mechanism-47818\u003c/li\u003e\n \u003cli\u003eUnited Nations International Children Education Fund\u003cstrong\u003e\u0026nbsp;[\u003c/strong\u003eUNICEF] (2019). Transitions from School to Work. New York. Pp.3-47. https://www.unicef.org/media/60366/file/Transitions-from-school-to-work-2019.pdf\u003c/li\u003e\n \u003cli\u003eUnited Nations Economic and Social Council (2022). Report of the International Labour Organisation on Informal Economy Statistics. Statistical Commission Fifty-third session, p 1-12. UN New York. https://unstats.un.org/unsd/statcom/53rd-session/documents/2022-24-InformalEcoStats-E.pdf\u003c/li\u003e\n \u003cli\u003eUN SDSN [Sustainable Development Solutions Network]- (2019). \u003cem\u003eSDG Costing \u0026amp; Financing for Low income Developing Countries.\u0026nbsp;\u003c/em\u003eSDSN: New York, p.8-32. https://resources.unsdsn.org/sdg-costing-financing-for-low-income-developing-countries\u003c/li\u003e\n \u003cli\u003eVeliu, L. \u0026amp; Manxhari, M. (2017). The impact of managerial competencies on business performance: SMEs in Kosovo. Vadyba Journal of Management, 1(30), 59-65. https://www.ltvk.lt/file/zurnalai/07_Veliu.pdf\u003c/li\u003e\n \u003cli\u003eVorisek, D., \u0026amp; S. Yu. (2020). \u0026ldquo;Understanding the Cost of Achieving the Sustainable Development Goals.\u0026rdquo; Policy Research Working Paper 9164, World Bank, Washington, DC. https://documents1.worldbank.org/curated/en/744701582827333101/pdf/Understanding-the-Cost-of-Achieving-the-Sustainable-Development-Goals.pdf\u003c/li\u003e\n \u003cli\u003eWolff, J. A., \u0026amp; Pett, T. L. (2006). Small-Firm Performance: Modeling the Role of Product and Process Improvements*. Journal of Small Business Management, 44(2), 268\u0026ndash;284. https://Doi: 10.1111/j.1540-627X.2006.00167.x\u003c/li\u003e\n \u003cli\u003eWorld Bank (2019). \u003cem\u003eWorld Development Report 2019\u003c/em\u003e: The Changing Nature of Work. Washington, D.C: World Bank. https://Doi/10.1596/978-1-4648-1328-3.\u003c/li\u003e\n \u003cli\u003eWorld Bank (2018). \u003cem\u003eThe World Bank Annual Report 2018\u003c/em\u003e. \u003cem\u003eEnd Extreme Poverty by 2030,\u0026nbsp;\u003c/em\u003e(p.21-85), World Bank, Washington, D.C. https://documents1.worldbank.org/curated/en/630671538158537244/pdf/The-World-Bank-Annual-Report-2018.pdf\u003c/li\u003e\n \u003cli\u003eWorld Bank (2016). Informal enterprises in Kenya. World Bank Group, pp. 1-27. https://documents1.worldbank.org/curated/en/262361468914023771/pdf/106986-WP-P151793-PUBLIC-Box.pdf\u003c/li\u003e\n \u003cli\u003eWorku, Y., \u0026amp; Muchie, M. (2019). The survival of business enterprises and access to finance: The case of 4 African countries. \u003cem\u003eProblems and perspectives in management\u003c/em\u003e,17(1), 326-338. https://doi.org/10.21511/ppm.17(1).2019.28\u003c/li\u003e\n\u003c/ol\u003e"},{"header":"Footnotes","content":"\u003col\u003e\u003cli\u003e\u003cspan\u003e A Swahili word which in literal senses means working under the hot sun and is commonly used in Kenya to refer to the informal sector\u003c/span\u003e\u003c/li\u003e\u003cli\u003e\u003cspan\u003e A group of Jua Kali artisans working from the same area, mostly of the same trade and some from different trades. Clusters are common as artisans work from open spaces or shared rented spaces.\u003c/span\u003e\u003c/li\u003e\u003c/ol\u003e"}],"fulltextSource":"","fullText":"","funders":[],"hasAdminPriorityOnWorkflow":false,"hasManuscriptDocX":true,"hasOptedInToPreprint":true,"hasPassedJournalQc":"","hasAnyPriority":false,"hideJournal":false,"highlight":"","institution":"","isAcceptedByJournal":false,"isAuthorSuppliedPdf":false,"isDeskRejected":"","isHiddenFromSearch":false,"isInQc":false,"isInWorkflow":false,"isPdf":false,"isPdfUpToDate":true,"isWithdrawnOrRetracted":false,"journal":{"display":true,"email":"[email protected]","identity":"discover-global-society","isNatureJournal":false,"hasQc":true,"allowDirectSubmit":false,"externalIdentity":"","sideBox":"Learn more about [Discover Global Society](https://www.springer.com/journal/44282)","snPcode":"44282","submissionUrl":"https://submission.nature.com/new-submission/44282/3","title":"Discover Global Society","twitterHandle":"","acdcEnabled":true,"dfaEnabled":true,"editorialSystem":"stoa","reportingPortfolio":"Discover Series","inReviewEnabled":true,"inReviewRevisionsEnabled":true},"keywords":"Informal Sector, Small and Medium Size Enterprises, Jua Kali, Artisan Businesses","lastPublishedDoi":"10.21203/rs.3.rs-4330945/v1","lastPublishedDoiUrl":"https://doi.org/10.21203/rs.3.rs-4330945/v1","license":{"name":"CC BY 4.0","url":"https://creativecommons.org/licenses/by/4.0/"},"manuscriptAbstract":"\u003cp\u003eWith the shrinking of the formal employment and the creation of more jobs in the informal sector, a lot needs to be done to create more decent jobs in the informal sector. It seems that most governments have plans to improve the informal sector by supporting in various ways to create decent jobs. The Kenyan government policy plans in recent years have single out the \u003cem\u003eJua Kali\u003c/em\u003e sector as the mainstay of Kenya\u0026rsquo;s economy in the creation of jobs. There are many efforts by many government departments to lay strategies on how to better the operating capability of the informal sector as the most viable alternative to employment. However, these efforts are being put into test by the inability of most \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses and in general micro small and medium (MSMEs) businesses not surviving their fifth year since their inception. There is a general consensus that the \u003cem\u003eJua Kali\u003c/em\u003e sector is expanding and accounts for 80 percent of new jobs in the Kenyan economy. However, creating decent jobs seems to be a tall order as many \u003cem\u003eJua Kali\u003c/em\u003e artisan businesses collapse by the 10th year after their inception. The \u003cem\u003eJua Kali\u003c/em\u003e sector should not be evaluated only by the number of jobs it creates but also by how many businesses are stable and long lasting in creating and maintaining decent jobs. The magnitude of the informal sector does not reflect the number of decent jobs being created and how long the businesses that create them will last.\u003c/p\u003e \u003cp\u003eData for this research were obtained by a survey carried out in the Eastlands of Nairobi, Kenya by using an interview and observation schedule. The research established that it is only 52.2 percent of the interviewed artisans who owned artisan businesses. Out of the 481 artisans interviewed for this research, 254 had been in the \u003cem\u003eJua Kali\u003c/em\u003e sector within six years, 110 within ten years, 36 within 18 years. Most \u003cem\u003eJua Kali\u003c/em\u003e artisans gained their skills in the \u003cem\u003eJua Kali\u003c/em\u003e sector by apprenticeship (86.3%) while a small percentage (12.7%) trained in Technical Vocational Education Training (TVET) institutions while a further one percent gained their skills in their former employment. Most of the artisans had attained the basic formal education qualifications i.e. primary education (27.9%) and secondary education (47.6%).\u003c/p\u003e","manuscriptTitle":"Decent Work in the Informal Sector and Economic Growth: Jua Kali Artisan Businesses’ Sustainability Challenges in Eastlands of Nairobi","msid":"","msnumber":"","nonDraftVersions":[{"code":1,"date":"2024-05-22 08:47:25","doi":"10.21203/rs.3.rs-4330945/v1","editorialEvents":[{"type":"communityComments","content":0},{"type":"editorInvitedReview","content":"","date":"2024-07-08T10:05:28+00:00","index":"hide","fulltext":""},{"type":"reviewerAgreed","content":"60655984964816057605664563393010011336","date":"2024-07-05T11:28:37+00:00","index":"hide","fulltext":""},{"type":"editorInvitedReview","content":"","date":"2024-06-24T18:40:57+00:00","index":"hide","fulltext":""},{"type":"reviewerAgreed","content":"7998331862088949712723687458364953306","date":"2024-06-21T11:32:25+00:00","index":"hide","fulltext":""},{"type":"reviewerAgreed","content":"207939459680244323462641666787470427661","date":"2024-06-20T14:33:03+00:00","index":"hide","fulltext":""},{"type":"reviewerAgreed","content":"339402517362453080718128143367749456202","date":"2024-06-05T15:17:23+00:00","index":"hide","fulltext":""},{"type":"reviewersInvited","content":"","date":"2024-06-03T14:09:24+00:00","index":"","fulltext":""},{"type":"editorAssigned","content":"","date":"2024-05-13T12:25:45+00:00","index":"","fulltext":""},{"type":"checksComplete","content":"","date":"2024-05-13T12:24:55+00:00","index":"","fulltext":""},{"type":"submitted","content":"Discover Global Society","date":"2024-04-26T16:57:40+00:00","index":"","fulltext":""}],"status":"published","journal":{"display":true,"email":"[email protected]","identity":"discover-global-society","isNatureJournal":false,"hasQc":true,"allowDirectSubmit":false,"externalIdentity":"","sideBox":"Learn more about [Discover Global Society](https://www.springer.com/journal/44282)","snPcode":"44282","submissionUrl":"https://submission.nature.com/new-submission/44282/3","title":"Discover Global Society","twitterHandle":"","acdcEnabled":true,"dfaEnabled":true,"editorialSystem":"stoa","reportingPortfolio":"Discover Series","inReviewEnabled":true,"inReviewRevisionsEnabled":true}}],"origin":"","ownerIdentity":"f40bf1bc-3ea9-4f78-bb5f-c8a9751dabd3","owner":[],"postedDate":"May 22nd, 2024","published":true,"recentEditorialEvents":[],"rejectedJournal":[],"revision":"","amendment":"","status":"under-review","subjectAreas":[],"tags":[],"updatedAt":"2024-08-28T05:27:58+00:00","versionOfRecord":[],"versionCreatedAt":"2024-05-22 08:47:25","video":"","vorDoi":"","vorDoiUrl":"","workflowStages":[]},"version":"v1","identity":"rs-4330945","journalConfig":"researchsquare"},"__N_SSP":true},"page":"/article/[identity]/[[...version]]","query":{"redirect":"/article/rs-4330945","identity":"rs-4330945","version":["v1"]},"buildId":"FbvkV6FR0MCFSLy54lSbu","isFallback":false,"isExperimentalCompile":false,"dynamicIds":[84888],"gssp":true,"scriptLoader":[]}