Effect of Entrepreneurial Skills on Competitive Advantage among Small and Medium Size Enterprises

Abstract

The objective of the study was to establish the effect of entrepreneurial skills on competitive advantage among small and medium enterprises in Kawangware Division, Nairobi County in Kenya and the corresponding hypothesis was formulated and tested. A descriptive survey design was adopted for the study. Convenience sampling was used. The study targeted 102 proprietors of SMEs and 75 of them responded. SPSS Version 21 was used to analyze data using simple regression analysis. Research findings from the test of the hypothesis established that entrepreneurial skills lead to creation of competitive advantage among small and medium size enterprises. The study findings support the Resource Based View which explains how specific entrepreneurial skills, which are intangible resources combine with other tangible resources to enable SMEs to be competitive in the market. The research recommends further investigation of the study variables SMEs in other parts of Kenya.