Entrepreneurial Competencies in Least-Developed Countries (LDC) of Sub-Saharan Africa: Case Study of Rwanda

Abstract

This study analyses the level of development of entrepreneurial competencies among the owners of small and medium size enterprises (SMEs) in Sub-Saharan Africa. Rwanda, a typical least-developed country (LDC) located in East Africa, as a case study. A list of entrepreneurs' competencies was developed on the basis of entrepreneurship literature and expert interviews. Six entrepreneurial competencies came from literature and two additional competencies emerged from interviews with experts. The final list was presented to respondents in the form of a questionnaire in order to explore the level of development of entrepreneurial competencies that Rwandan entrepreneurs have reached. The entrepreneurial competencies were ranked based on the level of development in the opinion of the entrepreneurs. The aim of this study was to examine the level of development of small business owners in LDC. A total of 135 respondents from all four provinces of Rwanda were involved in the study. A factor analysis was conducted to test their validity for the eight constructs and Cronbach's alpha for reliability of the questionnaire items. Results show that Trustworthiness and Drive are highly ranked by the entrepreneurs in Rwanda. In the interpretation of the results, reference was made to the Rwandan national culture with a focus on the entrepreneurial competencies and to the economic circumstances in which the empirical fieldwork took place.