A SURVEY ON THE FACTORS INFLUENCING ENTREPRENEURS' BUSINESS SUSTAINABILITY IN CAMEROON

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

Worldwide, entrepreneurship is essential to a country's ability to prosper economically, and Cameroon is no exception. Entrepreneurship plays a pivotal role in both economic and non-economic advancement, fostering job creation, product and process enhancement, the establishment of new enterprises, and profound transformations in people's lives (Hernandez, 2019). Nonetheless, these entrepreneurial endeavors can lead to significant market failures, negatively impacting environmental quality (Hockerts and Wuestenhagen, 2020). Addressing pressing social and environmental challenges, such as the adverse effects of global warming, widespread unemployment, and the unsustainable use of scarce resources, remains imperative, given the persistent nature of these issues (Cohen and Winn, 2019; Kuckertz and Wagner, 2020; Dean and McMullen, 2019). 

Sustainability entails meeting the natural resource requirements of a nation's economy while ensuring the well-being of future generations (Luke, 2018). Sustainable development is described as "development that fulfills present needs without jeopardizing the capacity of future generations to fulfill their own needs" (UN Brundtland Report, 2019).

Furthermore, Hockerts and Wuestenhagen (2020) propose that sustainable entrepreneurship presents a distinctive approach, capable of generating economic, social, and environmental value for future generations. However, the entrepreneurs’ social initiatives can have great impact not only for themselves but also for the local society in terms of sustainable development (Porter, 2018). Cameroon has a thriving business environment, with many small and medium-sized firms (SMEs) operating in a variety of industries, such as manufacturing, services, technology, and agriculture. These businesses have a major positive impact on economic diversification, innovation, and job creation. But they frequently struggle with problems including restricted market access, poor infrastructure, and regulatory limitations. While adequate financing is crucial for business growth and sustainability, SMEs in Cameroon frequently encounter challenges in accessing formal credit. These challenges stem from stringent collateral requirements, high interest rates, and limited financial literacy(Bilal, 2019). These problems inevitably provide a base for several preoccupations to be raised on issues pertaining to the sustainability of businesses in general and factors that contribute to their non-sustainability in particular.Therefore, a survey will be conducted in order to survey on the factors influencing entrepreneurs' business sustainability in Cameroon.

1.2 Statement of the Problem

In many nations across the world, the inner drive to solve the most fundamental human problems or to supply the populace with necessities fuels the demand for entrepreneurship. However, the primary driver of entrepreneurial activity is the accessibility of fundamental productive resources. It's interesting to note that in certain resource-rich locations, there is a dearth of entrepreneurship, but severe human problems are also evident, with people choosing to save their excess liquidity in banks. Additionally, businesses in Cameroon are not immune to the challenges commonly encountered by such enterprises globally. From their inception to their ongoing management and sustainability, they confront numerous hurdles. This phenomenon is prevalent among many businesses in Cameroon. The concern is amplified by the significance of this sector and its economic contributions to the country. A troubling trend emerges wherein many of these businesses cease operations upon the demise of their founders, resulting in widespread unemployment. Such closures invariably hinder the economic advancement of Cameroon. Thus, it is in the light of these that the study seeks to survey on the factors influencing entrepreneurs' business sustainability in Cameroon.

1.3  Objectives of the Study

The main purpose of this study is to survey on the factors influencing entrepreneurs' business sustainability in Cameroon. Specifically, the study will;

Assess the environmental based factors influencing the sustainability of entrepreneurial ventures in Cameroon.

Assess the financial based factors influencing the sustainability of entrepreneurial ventures in Cameroon.

Assess the managerial based factors influencing the sustainability of entrepreneurial ventures in Cameroon.

Proffer possible strategies required to ensure the  sustainability of entrepreneurial ventures in Cameroon.

 1.4 Research Questions

The following questions have been prepared for the study:

What are the environmental-based factors impacting the sustainability of entrepreneurial ventures in Cameroon?

How do financial factors affect the sustainability of entrepreneurial ventures in Cameroon?

What managerial factors influence the sustainability of entrepreneurial ventures in Cameroon?

What strategies can be proposed to ensure the sustainability of entrepreneurial ventures in Cameroon?

1.5 Research Hypotheses

Ho: There is no significant impact on the factors influencing entrepreneurs' business sustainability in Cameroon.

Ha: There is a significant impact on the factors influencing entrepreneurs' business sustainability in Cameroon.

1.6 Significance of the Study

This research is significant as it explores how the challenges experienced by entrepreneurs in Cameroon can impact different facets of business activities, including operations, sales, and customer relations. Furthermore, it offers valuable perspectives for governmental authorities and policymakers in Cameroon, assisting them in comprehending the hurdles faced by entrepreneurs and identifying potential avenues for advancement. Moreover, this study will play a role in shaping supportive policies and enhancing infrastructure to foster the expansion of entrepreneurship. Furthermore, subsequent researchers will use it as a literature review. This means that other students who may decide to conduct studies in this area will have the opportunity to use this study as available literature that can be subjected to critical review. Invariably, the result of the study contributes immensely to the body of academic knowledge with regard to a survey on the factors influencing entrepreneurs' business sustainability in Cameroon.

1.6 Scope of the study

The scope of this study is to survey on the factors influencing entrepreneurs' business sustainability in Cameroon. Empirically, this study will assess the environmental based factors influencing the sustainability of entrepreneurial ventures in Cameroon, the financial based factors influencing the sustainability of entrepreneurial ventures in Cameroon, the managerial based factors influencing the sustainability of entrepreneurial ventures in Cameroon and proffer possible strategies required to ensure the  sustainability of entrepreneurial ventures in Cameroon.

Geographically, the study will be delimited to owners of SMEs in Douala, Cameroon

1.7 Limitation of the study

In the course of carrying out this study, the researcher experienced some constraints, which included time constraints, financial constraints, language barriers, and the attitude of the respondents. In addition, there was the element of researcher bias. Here, the researcher possessed some biases that may have been reflected in the way the data was collected, the type of people interviewed or sampled, and how the data gathered was interpreted thereafter. The potential for all this to influence the findings and conclusions could not be downplayed. 

More so, the findings of this study are limited to the sample population in the study area, hence they may not be suitable for use in comparison to other schools, local governments, states, and other countries in the world.

 1.8 Definition of Terms

Entrepreneurship: refers to the process of identifying, creating, and pursuing opportunities to generate value through innovative ideas, products, or services.

Sustainable development: is development that fulfills the needs of the present, without negotiating the skill and ability of future generations to meet their own needs.