Published Paper Details:

Micro and Small business Enterprises (MSEs) play important role of industrialization, innovation and vibrant growth in both developing and developed countries. This study focuses on Micro and Small businesses in Nakuru City Town. The study was guided by the following objectives; to examine the effect of government regulations and policies, accessibility of credit financing, market competition and location on profitability of MSEs in Kenya. The study adopted mix research design. The target population was 1486 MSEs businesses operating in Nakuru city Town. A sample of 296 MSEs-20% of the target population- was selected using multi stage sampling that involved stratifying the MSEs according to their business activities then selecting the respondents using simple random sampling method. A structured interview guide and questionnaire with both closed and open ended questions were used to collect data. Piloting and content validity test were used to assess the validity whereas Cronbachs alpha coefficient was used to assess the internal consistency and reliability of the data collection instruments. The data was analyzed using quantitative methods the percentages, mean and standard deviation whistle inferential statistics Pearson correlation coefficient analysis, simple regression model and multiple regression analysis were used to analysis the relationship between the dependent and independent variables. Where applicable ANOVA analysis tested the extent to which the independent variable was able to explain dependent variable. In support to analysis SSPS version 21 was used to analyze the data. The study concluded government regulation, credit financing, competition and location affects profitability of MSEs in Kenya to great extent. The study recommended the central and county governments need to reduce legal requirements and regulations governing SMEs as well as set some funds apart in order to support them. Its further recommend financial institutions should also have credit financing products which can fit MSEs. The county and central governments should also provide infrastructure, security and provide clean and accessible markets where these traders can conduct their businesses.