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Millions
of poor people depend to a significant degree on earnings
from MSEs - whether as business owners, employees or self-employed.
Processes of technological change and market development are
often highly significant factors in their livelihoods. However,
weak analysis of these factors' influence within SL approaches
means that opportunities to enhance poor people's livelihoods
may be over-looked. Also, the pro-poor influence which SL
advocates seek to have on the objectives and priorities of
development programmes may be diminished.
ITDG
recently completed some DFID-funded research to develop analytical
tools that help development practitioners understand livelihoods
involving micro / small-scale enterprise (MSE). Papers can
be found on the Technology for Sustainable Livelihoods website:
http://www.livelihoodtechnology.org/
(NB: this site is currently offline - as of June 2006)
The
research concerned:
*
the role which private-sector markets play in livelihoods
of
micro-entrepreneurs and small-scale producers
* the role which technological change (including poor peoples
own adaptability) has on livelihood opportunities and outcomes
The
study focuses on two methodological tools which may be particularly
useful to understand livelihoods that involve micro / small-scale
enterprise:
1.
The concept of technological capabilities - a bundle of specific
organisational skills and linkages that help determine people's
ability to generate and manage processes of technological
change.
2. The systems tool known subsector analysis - which models
enterprise inter-relations, market channels and linkages in
order to create a map of the institutional / market landscape
for MSEs.
The
main 15 page report describes ITDG's practical experience
and lessons learned from applying these tools. It draws on
two case-study reports generated by recent (April 2001) field
research in Kenya and Ghana. It also includes suggestions
for revisions to SL frameworks for livelihoods that involve
micro-enterprise.
Mike Albu
Senior Enterprise Development Specialist
ITDG
Schumacher Centre for Technology and Development
Bourton Hall, Bourton, Warks CV23 9QZ, UK
Direct: +44 (0)1926 634 481
Switchboard: +44 (0)1926 634 400
FAX: +44 (0)1926 634 401
Web: www.itdg.org
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