v) Challenges faced as a result of COVID-19
As a result of containment measures, mainly travel
restrictions, stay home orders, curfew, and social
distancing, businesses indicated they face a wide
range of challenges. The study found challenges
listed inTable 1 below ranked above 3.92 on a scale
of 1-7, above the average of 3.5. The standard deviations were high (2.08–2.39) since the challenges
affecting different sectors varied. The most pressing challenge is the travel restrictions followed
by the curfew, rent payments, and finance in that
order (Wang, Zhang, Zhao, Zhang, & Jiang 2020).
The businesses in Kenya source their materials
from other regions and hence are facing material
delivery delays. These are because the restrictions
had significantly reduced their operating hours,
with most reporting that they had to close by
4.00 PM. Those in wholesale and retail businesses
usually run their businesses operated the whole
day but had to close by 6.00 PM. Most of the
companies operating from rented/leased premises
expected to pay rent at the end of are finding
it challenging to meet their rent/lease obligation
due to low business. The travel restrictions and
requirements for maintaining social distance have
also affected the marketing of products. Other
challenges that were identified included meeting
Table 1. Ranking of different challenges.
Challenges Facing the
Std
Enterprise (scale 1-7)
Mean
Dev.
Finance and liquidity
4.71
2.29
Workforce: Human
3.92
2.26
Resource/Staff/Employees
Taxes and levies
4.22
2.08
Travel Restrictions
4.82
2.39
Market Access
4.69
2.21
Restrictions on operating time
4.61
2.25
Stock or Material Supplies
4.48
2.26
Marketing and Promotion
4.21
2.27
Risk Management
4.59
2.13
Rent payment
4.74
2.37
Curfew
4.66
2.28
Table 2. Expected performance and size of business.
Expected
Be Similar Decrease
Decrease
Decrease
Increase
Increase
Unable
Performance Size
to last
by less than by less than by more than by less than by more than to
of Business
year
20%
50%
50%
20%
20%
judge
11–50 persons
1
5
7
11
1
1
3
3%
17%
24%
38%
3%
3%
10%
51 persons and above 1
0
2
4
0
2
2
9%
0%
18%
36%
0%
18%
18%
6-10 persons
0
3
9
21
1
0
5
0%
8%
23%
54%
3%
0%
13%
Less than five persons 1
7
14
30
1
1
12
2%
11%
22%
46%
2%
2%
18%
taxes, levies, and workforce retention and risk
management obligations.
vi) Expectations of business performance in 2020
The survey sought to find out from the business
owners their expectations of business performance
in 2020 compared to 2019. Overall, respondents
indicated that they expected their business’s poor
performance with a decrease of more than 20%
during 2020, as shown in Figure 7 below.
Figure 8. Expected performance of businesses in 2020.
The expectations of business performance during the year varied across sectors and sizes of
business. The elephant - speaking truth to powerthat workers are likely to be further exposed to
job losses and financial insecurity than those in
the micro and small enterprise informal sector
(Ndii 2020). However, most of the business surveyed were formal and but were already facing
experiencing operational challenges.
vii) Businesses take new measures
The businesses have been called upon to take
preventive measures by respective agencies in
response to the outbreak of COVID-19, and which
were still in operations reported that they had
devised new arrangements in their businesses to
mitigate the challenges while complying with
government directives, which included online
business, 41%, house-to-house deliveries, or takeaway services 23% besides other measures 34%.
22
As a result of containment measures, mainly travel
restrictions, stay home orders, curfew, and social
distancing, businesses indicated they face a wide
range of challenges. The study found challenges
listed inTable 1 below ranked above 3.92 on a scale
of 1-7, above the average of 3.5. The standard deviations were high (2.08–2.39) since the challenges
affecting different sectors varied. The most pressing challenge is the travel restrictions followed
by the curfew, rent payments, and finance in that
order (Wang, Zhang, Zhao, Zhang, & Jiang 2020).
The businesses in Kenya source their materials
from other regions and hence are facing material
delivery delays. These are because the restrictions
had significantly reduced their operating hours,
with most reporting that they had to close by
4.00 PM. Those in wholesale and retail businesses
usually run their businesses operated the whole
day but had to close by 6.00 PM. Most of the
companies operating from rented/leased premises
expected to pay rent at the end of are finding
it challenging to meet their rent/lease obligation
due to low business. The travel restrictions and
requirements for maintaining social distance have
also affected the marketing of products. Other
challenges that were identified included meeting
Table 1. Ranking of different challenges.
Challenges Facing the
Std
Enterprise (scale 1-7)
Mean
Dev.
Finance and liquidity
4.71
2.29
Workforce: Human
3.92
2.26
Resource/Staff/Employees
Taxes and levies
4.22
2.08
Travel Restrictions
4.82
2.39
Market Access
4.69
2.21
Restrictions on operating time
4.61
2.25
Stock or Material Supplies
4.48
2.26
Marketing and Promotion
4.21
2.27
Risk Management
4.59
2.13
Rent payment
4.74
2.37
Curfew
4.66
2.28
Table 2. Expected performance and size of business.
Expected
Be Similar Decrease
Decrease
Decrease
Increase
Increase
Unable
Performance Size
to last
by less than by less than by more than by less than by more than to
of Business
year
20%
50%
50%
20%
20%
judge
11–50 persons
1
5
7
11
1
1
3
3%
17%
24%
38%
3%
3%
10%
51 persons and above 1
0
2
4
0
2
2
9%
0%
18%
36%
0%
18%
18%
6-10 persons
0
3
9
21
1
0
5
0%
8%
23%
54%
3%
0%
13%
Less than five persons 1
7
14
30
1
1
12
2%
11%
22%
46%
2%
2%
18%
taxes, levies, and workforce retention and risk
management obligations.
vi) Expectations of business performance in 2020
The survey sought to find out from the business
owners their expectations of business performance
in 2020 compared to 2019. Overall, respondents
indicated that they expected their business’s poor
performance with a decrease of more than 20%
during 2020, as shown in Figure 7 below.
Figure 8. Expected performance of businesses in 2020.
The expectations of business performance during the year varied across sectors and sizes of
business. The elephant - speaking truth to powerthat workers are likely to be further exposed to
job losses and financial insecurity than those in
the micro and small enterprise informal sector
(Ndii 2020). However, most of the business surveyed were formal and but were already facing
experiencing operational challenges.
vii) Businesses take new measures
The businesses have been called upon to take
preventive measures by respective agencies in
response to the outbreak of COVID-19, and which
were still in operations reported that they had
devised new arrangements in their businesses to
mitigate the challenges while complying with
government directives, which included online
business, 41%, house-to-house deliveries, or takeaway services 23% besides other measures 34%.
22