The Factors Affecting Success of Small Agro-Enterprises in Bhutan
Tashi Dendup *
College of Natural Resources, Royal University of Bhutan, P.O.Box No: 1264, Punakha, Bhutan.
Tandin Gyeltshen
College of Natural Resources, Royal University of Bhutan, P.O.Box No: 1264, Punakha, Bhutan.
Lobzang Penjor
College of Natural Resources, Royal University of Bhutan, P.O.Box No: 1264, Punakha, Bhutan.
Phub Dorji
College of Natural Resources, Royal University of Bhutan, P.O.Box No: 1264, Punakha, Bhutan.
*Author to whom correspondence should be addressed.
Abstract
This study attempted to assess the factors affecting the success of Small Agro-Enterprises (SAEs) in Bhutan. Although SAEs contribute to economic development of the country, their success factors are not fully understood. The scarcity of empirical studies motivated authors to study the subject matter. This study interviewed 320 owners of the SAEs using the structured questionnaire in four Districts of Bhutan. We conducted factor analysis, Pearson’s correlation, and multiple linear regression. The result showed that Leadership and Management (1), Government Policies and Infrastructures (2), Market and Customer Orientation (3), and Technology Adoption (4) significantly contributed to the success of SAEs. Overall, these factors contributed 32.4% to SAEs success. Besides maintaining the conducive business environment, we suggest the need for ensuring identified factors to realize the goal of SAEs development in the country.
Keywords: Small agro-enterprises, success factors, Bhutan.