Government policy and enterpreneurship performance: the case of small, medium and micro enterprises in Botswana

Abstract

Botswana is fast developing country and has witnessed remarking progress in areas of agriculture and industry since independence. The eighth National Development Plan covering 1997/98 -2002/03 period has economic diversification as its central theme. Botswana's strong external position provides flexibility in achieving increased employment through industrial development. Every country aims at achieving self-suffiency through producing what the country needs. Governments do encourage industries to enhance production to satisfy internal and external demands. Encouragement and incentives would be in the form of financial assistance, state protection etc. and through this the state aims at achieving considerable improvemnt in enterpreneurship performance. The Government of Botswana is quite active in promoting small, medium and micro enterprises through its policies in industrial development. This paper looks at the government policy on SMME and the performance of these enterprises in relations to the policies and assistance. It also considers the contribution of SMME towards the country's economic growth. The global market has changed considerably as also the activities of small, medium and micro entreprises. Today, for business to survive, dynamism and enterpreneurship must exist in its fullest degree. The study has tried to measure the level of global sense and growth oriented mind of these enterprises, as they are considered essential to withstand global competition.