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1. 3/16/2024 2 MARCH, 2024 CHIRO, ETHIOPIA RIFT VALLEY UNIVERSITY CHIRO CAMPUS THESIS PRESENTATION FOR MASTER OF BUSINESS ADMINISTRATION (MBA) PROGRAM

2. 3/16/2024 3 CHALLENGES AND OPPORTUNITIES OF STREET VENDING OF WOMEN (IN CASE OF CHIRO CITY ADMINISTRATION) BY: TEFERI TESHOME ABABU   ADVISOR: BELESTI W. (Ph.D . Candidate ) MARCH, 2024 CHIRO, ETHIOPIA

3. Contents of presentation Background of the study Statement of the Problem Research Question Objectives of the Study Significance of the study Scope of the study Conceptual framework of the study Research Methodology Results and Discussion Conclusion and Recommendation 3/16/2024 4 Basically my thesis presentation includes the following contents:

4. Background of the study Street vending is one of the most critical sources of employment for urban dwellers. "It is an ancient and important occupation found in almost every country and major city worldwide. Street vending is simply the retail or wholesale trading of goods and services in streets and other related public axes such as alleyways, avenues, and boulevards" (Bromley R. , 2000). Street vendors are " a sub-group of a full informal sector, which the World Bank blamed on the "urbanization of people without capital" ( Gumisiriza , 2021). Some scholars have observed that "street vending is defined by a clear labor market failure: when high labor supply driven by rapid urbanization and population growth coexists with low demand for low skilled labor, limited opportunities for formal employment force job seekers into informal income generating activities" (Young, 2018).

5. The International Labor Organization indicated that two billion (61 percent) of the global employed population earn their living in the informal economy. It shows that informality exists in countries at all levels of socio-economic development (ILO, 2019). Street vending is part of the urban informal sector, which is "a major force in African economies, comprising the majority of gross domestic product (GDP) and employment" ( Mbaye , M. A. and Benjamin, N., 2014). In some economies in Sub-Saharan Africa (SSA), informal employment accounts for more than 90 percent of total employment and informal output for as much as 62 percent of official GDP (World Bank , 2019). Ethiopia has a large number of people participating in the informal sector. The reason is the high population growth rate and a relatively small formal sector (WIEGO, 2018). Background of the study

6. Evidently, it is clear that the informal sector increasingly serves as a safety net for poor people in developing countries. Some scholars have examined whether men or women are more likely to work in the informal economy. In line with this, Losby and Kingslow (2002) investigated that women are more likely to work in the informal sector than men because of their household responsibilities, particularly their responsibilities for the care of children. Also, the majority of women in the informal sector, such as petty trading, joined the sector as a means of survival. They turn to informal business due to the low level of economic support from their husbands or partners, which forces them to find a means of supplementing their low income in order to support the family. Background of the study

7. As the International Labor Organization indicated, informal employment is a greater source of employment for women than for men in developing countries, which account for 92 percent, which is substantially higher than the percentage of male workers at 87 percent (ILO, 2019). Likewise , even if it is difficult to state the exact numbers of women engaged in the informal sector in Ethiopia, research reports show that large numbers of women are engaged in the informal sector. According to reports from the Central Statistics Agency, 61% of women were engaged in the informal sector. As the report stated, the alarming rates of rural-urban migration will increase the involvement of women in informal sectors (CSA, 2011 ). Background of the study

8. In Chiro City Street, vending is a critical issue for women, which operates on the informal trade of materials such as cosmetics, food products (raw grain, cake, etc.), vegetables and fruits, second-hand clothes and shoes, house equipment used for beautification, household equipment, cigarettes, belts, umbrellas, shoe soles, soaps, and watches. Recently, this sector has attracted the attention of the government, non-governmental bodies, and policymakers. Especially the government is creating awareness and giving priorities to the informal sectors in order to make them legally bound, and providing the sectors supports the hope that the expansion of informal sectors of businesses into formal ones, especially to the micro and small business level, will have a great economic contribution. However , these informal businesses get fixed and fail to expand because of some challenges. This is the rationale behind this study is to assess the challenges and opportunities for women operating in street vending in the Chiro City administration. Background of the study

9. The significance of the informal sector in low income developing countries, particularly in sub-Saharan African economies, has been a priority issue recently ( Ahmadou , 2014). According to a study conducted in Tanzania, the street vending business has significant importance to the livelihood of many less educated people. It acts as a substitute for employment for those who lack such opportunities in the formal sector due to a low level of education or a lack of sufficient capital ( Nasibu , 2015). Statement of the Problem Women dominate the informal sector in most Sub-Saharan African countries, where they are found in the fields of trading, and food processing (ILO, 2019).

10. In Ethiopia, the economic dilemmas facing the country have had various effects on society at large. Given this situation, the high rates of urbanization and unemployment have resulted in more and more people, mainly women, being engaged in informal business. Since urban poverty and unemployment in many urban centers of Ethiopia have been growing, many people, particularly the urban poor and other impoverished groups of society, have turned to various income generating activities in the informal sector, like street vending. While , in Ethiopia, street vending has contributed to livelihoods and employment for women’s in particular, it has received little attention; much has been focused on its negative impacts, like the use of public space, congestion, health and safety risks, tax evasion, and the sale of shoddy merchandise. Statement of the Problem

11. According to the Chiro City Trade and Industry Office, street vending is one of the most rapidly growing sectors. Following this, the central and local governments recently launched a campaign to make street vendors legal and effective. This initiation was motivated by the need to increase their economic contribution, create a conducive environment, promote better health, and increase security for the town population. However , it has been very challenging for the local government (city administrator) to achieve this objective because the formalization of street vending is not that easy due to a lack of infrastructure. Street vending is an informal sector that is a researchable area, but as far as the literature and the researchers know, there are limited related studies conducted in the study area, particularly in Ethiopia as a whole. Statement of the Problem

12. Some of the previous studies were conducted in some study areas in Ethiopia on informal business and women's livelihoods in Addis Ababa ( Getahun , 2015) Jimma ( Tamerat , M and Nega , J, 2015), Mekele ( Fillmon , 2011) and Gonder ( ( Eshetu , 2019 ). Even if previous studies are investigating the roles of street vending in enhancing women's livelihoods, they do not clearly address the factors that drive women to engage in street vending and the challenges and opportunities women’s faces by involving in informal business. To the best of the researcher knowledge, no study has been conducted in Chiro City regarding the challenges and opportunities facing women street vendors. As a result, investigating the factors that drive women into street vending and the challenges and opportunities they face is quite fundamental. Therefore , the focus of this study, fill this gap by analyzing the challenges and opportunities of women's street vending in Chiro City . Statement of the Problem

13. Research Question What are the main reasons that force Women to be street vendor? What are the challenges that face Women street venders while operating their business? What are the opportunities that street vending has to Women street vendors in study ?

14. Objectives of the Study General objective of the study The general objective of the study is to assess challenges and opportunities of Women street vending in Chiro City administration. Specific objectives of the study The following specific objectives are identified in line with the general objective of the study. To identify the driving factors to Women street vending. To identify the major challenges that Women street vendors facing while operating their business. To assess the opportunities of the street vending for Women street vendors in study area.

15. Significance of the study The study is an attempt to identify the opportunities and challenges of women's street vending in Chiro City. The result of the study will be to provide a better understanding and awareness to policymakers, to design an effective and efficient strategy for the improvement of the livelihood of the street vendors, and to ease the burden on the city administration to control the street vendors as well as to keep the city in order. The study will also serve as a stepping stone and make a modest contribution for those who are interested in conducting research on street vending. In addition, the findings of the study will provide information to make decision-makers and responsible bodies aware of the challenges and prospects of street vending in the city and alleviate or minimize the challenges. Finally , it would have theoretical significance for academic and research institutions. Consequently, help further researchers as a reference point in the study area.

16. Scope of the study This study is limited to street vendors in Chiro city, Western Hararghe, Oromia regional state, mainly concentrate on challenges and opportunities of women street vendors in Chiro city, Western Hararghe Zone. Even if, informal sector practiced in others woreda and town of zone the study will be delimited to Women Street vendors. The study will be focused on the socio-economic background analysis of street vendors, the causes of street vending, challenges faced by the street vendors and the socio-economic opportunities of street vending which is operating in Chiro City Administration.

17. Conceptual frame work of the study

18. Research Methodology Description of the study area Chiro Town is East part of Ethiopia, located in the West Hararghe Zone Oromia region, and found at 326 km from Addis Ababa. Chiro ( also called Carcar Ciroo in Oromo) is a town and separate district in eastern Ethiopia. Located in the Ahmar Mountains, it has a latitude and longitude of 9°05′N 40°52′E and an altitude of 1826 meters above sea level. It is the administrative center of the West Hararghe Zone. The 2007 national census reported a total population for this town of 69,793, of whom 37,204were men and 32,589was women (national census reported, 2007).

19. Figure 1: Relative location of Chiro town

20. Research Design Choosing an appropriate design to gather adequate and relevant information for the study is very important. This study would be used a descriptive research design having the aim of assessing the existing challenges and opportunities of Women Street vending in the study area. Hence , with a consideration to make the research as efficient as possible to yield maximum information and to collect relevant evidence with minimal expenditure of effort, time and money, the researcher were employed a descriptive type of research . Research Approach To conduct this study mixed types of research approach would be employed. The quantitative approach will be used to gather primary data from the respondents through questionnaires that can be quantified in percentage and frequency. On the other hand, qualitative approach would be used to gather information by using interviews, observation, focus group discussion, and open-ended questions on the questionnaire.

21. Target Population The target group of this study would be include women street vendors those participating on vending commodities such as both new and second hand clothes and shoes, belts, electronics material, plastic products, and equipment’s used for beautification. Since , the target groups of the study are women street vendors, the exact number of vendors in the towns is not known. According to Chiro City trade office the total number of women street vendors those vending on the street were estimated from 1500-2500.

22. Sampling Technique and Sample Size Determination To determine a sample size for the study, a sampling frame is required. However, getting the actual number of women street vendors is not easy tasks due to the nature of their operation. Their numbers vary depending on time of day or the season of the year. Some vendors only vend in the morning, afternoon, or evening; while some vend only on weekends; and others vend only during certain seasons. This poses a challenge on getting the actual number of street vendors that operate in Chiro city to draw the sampling frame from which the sample size for the study is selected. This study used quota sampling, non-probability sampling method, because sampling frames or complete population lists are not available. Accordingly , From the total of estimated women street vendors (theoretical population) 250 women vendors (accessible population which includes Thursday market vendors, fruit and vegetable and other vendors) were used for the study.

23. The researcher used the sample size determination formula, which is developed by Yamane (1967), as follows: n = N / (1 + N(e^2)); n = 155 Where; n = sample size N = total population size e = margin of error or level of precision, at 95% consequently the level of precision (e) is 5%. Accordingly, 155 vendors are selected from the total of 250 accessible populations.

24. Data Type and Data Source The data was collected from primary and secondary sources. Primary data sources contained women who engaged in street vending in selected areas, government offices that control street vending. Secondary sources included relevant research related and gathered from different reliable sources both from published and unpublished sources. Regarding types of data, the study would be used Cross-section data because it is collected in a single time period from different women street vendors.

25. Methods of Data collection In order to achieve the intended objectives, data collection instruments are very important. Thus, the instruments of primary data collection for this study would be used questionnaires, interviews and observation. In this study, both close ended and open ended questions are employed to collecting a wide-range of information about livelihood assets, vulnerability and livelihood strategies of the study participants. The questionnaire will be prepared in English, but is translated in Afan Oromo to help the respondents understand it.

26. Method of data Analysis The data that gathered from respondents was analyzed and processed both qualitatively and quantitatively. The quantitative data will be entered and analyzed using Statistical Package for Social Science (SPSS). Descriptive statistics like frequency, percentage, mean and standard deviation will be used to describe the collected data. Quantitative result from SPSS is presented using table with their respective descriptive values. For the qualitative data, the researcher will be employed thematic analysis.

27. Reliability and Validity To enhance the content validity, the researcher sought the opinion of the expert’s judgments especially, a university lecturer who is perusing studies on area and who has published a paper on areas will be asked to review the questionnaire. Based on the comments from him some amendments will be made. Reliability Statistics Cronbach's Alpha N of Items .810 14 Cronbach alpha is employed to evaluate the reliability scale of construct and dimension of each construct . The values of Cronbach ’ s Alpha for the entire questionnaire were done. The result shows that 0.810Cronbach ’ s alpha coefficient values. Hence, the result ensures the reliability of the questionnaire. Therefore, it can be said that the above questionnaire is adequately reliable.