The Influence of Business Support Services on Digital Entrepreneurs’ Performance: A case of University of Dar es Salaam ICT Innovation Hub, Tanzania

Abstract

This paper examined the influence of business support services provided by incubators on the performance of digital entrepreneurs in Tanzania, with a specific focus on the University of Dar es Salaam ICT Incubator (UDICTI). The Open Innovation theoretical framework guided this study. The descriptive survey design was deployed through mixed research approaches to collect both quantitative and qualitative data. A sample of 42 active incubatees was selected from a population of 53 incubatees at University of Da es Salaam Innovation Hub through simple random probability technique. The five Likert scale questionnaire was designed for the collection of quantitative data while the semi-structured interview was utilized for the collection of qualitative data for triangulation purpose. Furthermore, data were analyzed using multiple regression method and content analysis method. Findings indicate that business services including business development assistance, marketing assistance, mentoring and funding positively and significantly contribute to the performance of digital entrepreneurs. The findings of the study highlight the critical role of business support services in enhancing the performance of digital entrepreneurs, particularly within the context of the University of Dar es Salaam ICT Innovation Hub. These insights are significant for fostering innovation and economic growth, not only within Tanzania but also in similar developing regions. The research concluded that constructive role of business support services namely business development assistance, marketing assistance, mentoring and funding positively influence growth of digital incubates. The implications of this research can guide policymakers and stakeholders in creating supportive ecosystems that empower digital entrepreneurs. It is recommended that the hub should allocate sufficient and continuous funding to support digital incubators and strengthen its monitoring efforts for existing incubates.