Abstract: This paper sought to establish that small and medium enterprises (SMEs) could be the solution to the national economic problem of stagnation and decline, if they conglomerated and crafted one broad strategy. The SMEs sector in Zimbabwe constitutes 70% of economic activity, employs more than 60% of the labour force and contributes an average 50% to gross domestic product according to the 2013 National Budget. For these reasons, the government acknowledges and recognises the SMEs sector as an engine for economic growth and development according to the National Micro Small and Medium Enterprises National Policy Framework 2014-2018. The study revealed that most people ventured into SMEs as a strategy to supplement their meagre incomes; and capitalised on the downfall of big companies. The researchers used the qualitative paradigm for the study to allow participants to express themselves without limitations through interviews and focus group discussions. The paper discussed strategies used in SMEs sectors by different countries to contribute towards economy rejuvenation, economic growth and development. However, the researchers realised that in spite of support by government and political will, there was no consolidated and coordinated strategy for SMEs in Zimbabwe hence some SMEs were not aware of efforts that were being made by other stakeholders such as councils and banks to help them survive and grow which could enable them to fully contribute to the recovery of the economy. The participants blamed this on poor networking and communication among stakeholders. The participants proposed that a council based consolidated SMEs register should be compiled concurrently with a register for all potential benefactors of the sector. The SMEs register should be accompanied by sector based business strategies while that of benefactors should include the sector specific assistance offered. The main pillars of the proposed SMEs integrated strategy were that each SME could have a well-crafted Business Strategic Plan drawn from the National SMEs Strategic Plan guideline; cost structures could be reviewed with a view to reduce costs of production and doing business; targeted support, which is sector and business specific, must be offered; and an SMEs corporate governance framework could be developed.
Keywords: integrated, strategy, rejuvenation, consolidated.
Title: An Integrated Strategy for Small and Medium Enterprises (SMEs) Leads to A Revitalisation and Growth of the Ailing Zimbabwean Economy
Author: Stanley Idanai Murangwa, Dr Caxton Shonhiwa
International Journal of Social Science and Humanities Research
ISSN 2348-3156 (Print), ISSN 2348-3164 (online)
Research Publish Journals
