Economic activity diversification and livelihood outcomes in smallholder agriculture in Thika, Kenya

Autor*innen

• Joseph Ntale

Parameter

• Lehrbücher
• Universitätslehrbücher

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This study explores the determinants of entrepreneurship and its impact on livelihood outcomes, focusing on small-scale farmers. It identifies entrepreneurial behaviors—such as economic activity diversification, risk-taking, and innovation—as key to improving livelihoods. The research examines various aspects of activity diversification, including vertical, portfolio, and structural factors, while assessing outcomes in terms of physical assets, social capital, human capital, and labor market achievements. A notable lack of consensus exists among researchers regarding these determinants and their contributions to farmers' livelihoods. Using a cross-sectional survey and multistage sampling, data were collected from 388 homesteads in the Thika area. Descriptive statistics assessed entrepreneurship levels, while Linear Probability Model (LPM), Probit, and Logit models analyzed results. Findings reveal that only 6% of farmers add value to their produce, 38% engage in non-agricultural businesses, and 88% practice mixed farming. Key determinants include market distance and loan access for vertical diversification, while structural factors involve farm size, utilities, and gender. Portfolio diversification is influenced by various factors, including education and social status aspirations. The study highlights the positive effects of portfolio diversification on labor income and employment creation. Recommendations include encouraging

• Sprache: Englisch
• Erscheinungsdatum: 2013