Contributions of Construction Small, Medium, and Micro Enterprises towards the Sustainable Growth of Zambia

Abstract

Studies have shown that the construction industry (CI) contributes significantly towards economic growth. As indicated by numerous scholars, most of the operations within the industry are carried out mainly by Small, Medium, and Micro Enterprises (SMMEs). Thus, this study seeks to identify how these SMMEs contribute to the sustainable growth of Zambia. A questionnaire survey was conducted on the construction SMME owners who are also professionals in the CI. Data analysis involving descriptive analysis indicated that SMME owners perceive that enhancing employment creation and improving entrepreneurial skills are outstanding contributions of their firms. Exploratory Factor Analysis (EFA) established three underlying contributions in their order of significance, namely: the creation of jobs and the development of the economy, advanced methods of project execution, and modernised procedures in the construction industry. The findings aim to prompt both the government and private sector to provide a conducive environment for the operation of construction SMMEs. In addition, the findings will guide the stakeholders and policymakers in introducing policies and programmes that will influence the growth of these construction SMMEs.