Training for creativity and innovation in small enterprises in Ethiopia

Policy makers recognize the role of small businesses in bringing about economic growth and reducing or eliminating poverty, and training can contribute significantly to this process. The present study adds to the small firm literature by examining whether training encourages small firms to be more creative and innovative. It does so by investigating the extent of creative and innovative activities in small enterprises (SEs) that have undertaken training with support from the Ethiopian technical and vocational education and training system. SEs for the purpose of the study are businesses with fewer than 30 employees. The term includes micro‐enterprises, which are defined in Ethiopia as having fewer than six employees. Quantitative methodology was used to compare and contrast these enterprises with similar enterprises which had not had training support. Data were collected from 146 randomly selected small firms by means of interviews with owners and employees. Interviews were also conducted with technical, vocational education and training experts. The study examined five predictors of creativity and innovation activities that training support would be expected to encourage and found significant differences in two of them: creative thinking and motivational attributes. Differences in other creativity and innovation variables, however, were not significant. The researchers conclude that education and training for creativity and innovation should be prioritized to enhance the performance of small firms, in particular by increasing their expertise, improving their motivation and ability to surmount challenges and developing their creative thinking in the search for new business ideas.