Success Factor of Minneapolis Somali Business Owners Sustainability

The city of Minneapolis is emerging as an immigrant-receiving state According to

Darboe, K. (2003) Minneapolis was a big center for immigrants through the ages and it is still

emerging as an immigrant-receiving state for the reason that it is receiving high numbers of

immigrant each year. The city does have opportunities for several unskilled people, which will

also suit the refugee community existing in the city. This is because it is receiving high numbers

of immigrant each year. Borell, K. (2017) Wieland et al (2015) are of opinion that this city has a

well-developed history of social service. It has many social development programs that are based

on state aid.  issues noed. According to Yuen, L. (2017) Golden S., et al (2010), the city does

have opportunities for several unskilled people, which will also suit the refugee community

existing in the city. Lewis, W.A (2013), stated that migrant society in Minneapolis societies do

not have the necessary potential to afford for purchasing food, to pay bills as well as to afford to

pay for a car, health and life insurance products, and this is mainly due to the migration. In this

situation, it is very difficult for the products in the market to survive a short single product life

cycles and it is even more difficult for them to repeat the product cycle. Poverty is the

characteristic profile of immigrant people in the society According to Sturdevant (2018) there is a

lack of human resources due to the notice of the Trump government for the immigrants. This can

affect the success and survival of the Somali business owners in the city, that too it is a major

concern for immigrants from Somalia. The life is not so easy for immigrants in general in the

country and for Somali people in particular.

Somali people in particular, as evidenced by the fact that among Somali people more than

57% live in the poverty and about 26% of them are living in near poverty, placing them at the

lowest rung of the economic ladder (Hirsi, 2017)

According to Kokodoko (2006), living facilities for the Somali are not very attractive in

the city due to the high crime rate. However, there is need to recognize the fact that the African

American population in the region and their growth rate is responsible for the increase in the

demand for the goods and the services in the region (Bokore, N. 2017). (Neville et al., 2014).

This is also responsible for the flourishing of entrepreneurship in the region. Brown.J.K.J (2015)

stated that the small business growth in the region is also contributing to let more and more

people from other communities to enter into the business. Success in entrepreneurship is lucrative

as it will enable building wealth, will let people create jobs and will also provide them with new

opportunities. Somalis are likely to face challenges in the path to business success as they are a

novice in business practices in the city of their present residence. (Al-Dajani, H., & Marlow, S.

2013) This improves their social expenses and results of the growth in the demand of the Somali

business in the city. Hence, business owners describe the economic factors as a motivation factor

for their business as their direct impacts on the improvement in their business’s sustainability.

This is one of the reasons for them to raise their voice to reform business policies to address some

of the hurdles in the region (Bonahoom, 2018).

Minneapolis CityCity of Minneapolis over the last decade is a major factor behind the

growth in the demand for the services and goods Neville, F., Orser, B., Riding, A., & Jung, O.

(2014). Due to this reason, entrepreneurship is flourishing in response to the growing demands of

the people. Further,Brown, J. K. J. (2015) states that the growth of small business in the city also

encourages the people of other communities to enter into business since the success of

entrepreneurs can help in building wealth, creating jobs and attracting new opportunities.Owing

to their novice in business practices in the city of their present residencyTthe Somali are likely to

face the existing challenges in the city that is threatening to block their success path. For this, the

people are raising their voice to conduct the reforms in business policies (Bonahoom, 2018) to

address some hurdles.

This research study discusses the real scenario in the Minneapolis city in the term of

social development, network of Somali people and their role and efforts in raising the economy

of the city as well as the GDP of the state. This research study clearly described the active role of

the Somali people in the city where they live as an immigrant. This research study also explains

the benefits and opportunities that are available to the Somali people as immigrant in the city.

This study describes the opportunities to the Somali people who are available to them due to their

religion, their community people, native language and their adaptation capacity which are

basically most important for ensuring the success of the Minneapolis Somali Business Owners

Sustainability in the city. As per According to Fairlie R.W. (2012), immigrant entrepreneurs

make up a significant segment of business owners in the community where people live in.

There are several community services organizations in the city worked to develop a

network to help business owners achieve their objectives and goals in business ventures

(Chambers, 2017). There is a need for considerable focus on the factors responsible for the

business owners to succeed in business in Minnesota. The research study has the necessary

potential and can purport to investigate the factors that can help the business owners survive in

Minnesota. The existing research studies are only reflecting towards the business to business

connective to manage the demand of the people that are not very effective for the success of

business owners in the market. The research findings of Mikkelson (2017) and Stofferahn.J

(2017) indicated that there is a clear gap in the research studies done to find the factors that can

help Somalis to improve their business functions further and to get growth. This is one of the key

proponents of the research investigation in the current research study. As their research study of

Mikkelson (2017) explores the problems related to increment in tax for insurance to employees

and Cassia L., Minola T. (2012) defines the need to focus towards the small businesses in

Minnesota due to their expected growth aspects in the future.

Background of the Problem

The gap in the practical implementation and the theoretical framework of business

operations of Somali business people formulated a clear need to conduct further study in the region.

Further, the need to investigate the research factors responsible for the business success of some of

the Somali business owners in the region formulated the background of research in the current

context. The key objective is to find the factors responsible for the sustainability of their business in

the last six years. Further, the research is also focussed due to the fact that there is no sufficient

research conducted as well there is any sufficient investigation performed on these factors in the

recent or the past investigations performed.

In this context, this research study will describe those factors that are basically valuable and

important for Somali business owners to survive in the Minneapolis market. The researchers of the

investigation are only focussed on to investigate the routine reasons for poverty as well are

interested to investigate the social issues defining the living status of the Somali people, they is no

focus on the local support as well there is no study of the infrastructure support being rendered by

the local governing bodies as well as by the United States federal government. There is sufficient

information available about the living conditions and the current profile of Somali people however

there is no much information available to predict whether Somalis will stand in the market for the

next six years are not. This is the prime contributor for the current researchers to conduct this

research study.  There are few but limited research studies like that of Besser, T.L (2012) showing

that the administration’s concern towards the poor social infrastructure is available to the Somali

people. Hence it can be said that the subject is discussed but not explored comprehensively in the

earliest research studies. Hence all this information is emphasizing the need to delve the subject in

more detail. As per Bokore (2018), Somali community people have left their country due to the

internal war and life threats, the key factors responsible for their immigration is the search for a

better lifestyle in the other parts of the world. Minnesota State has shown traces of their culture due

to the preceding immigrants of the past millennia, this has influenced the people to opt this place as

their destiny for improving their lifestyles. Bokore.N. (2018) has explained that the effect of

immigration from one country to the other has impacted the Somali people very poorly (Bokore.N,

2018). As presented in discussion, it is pertinent to state that most of this community people are still

living in poverty. This is the main reason that gives a basis for raising the problem which has been

addressed in this research study.

Foundation/Conceptual Framework for the research study:

The theoretical foundations rest upon the conceptual framework of the Somali small business

owner sustainability in business Minneapolis Minnesota, pertaining to this study has been drawn

from the existing literature and data that has been researched and published by credible peer

reviewed resources as detailed in earlier sections (Background and research section) of this paper.

The proposition that Somali conditions are in poverty and most of their business

progression is facing serious hurdles is based on the study conducted in the previous literature

study. Also, the fact that few Somali business owners have succeeded in business and managed to

sustain for over six years formulates the basis for further investigation of the factors responsible

for their success. All these conceptualizations are made from the credible peer-reviewed

resources as detailed and referred to in the previous sections.

Further, for the purposes of conducting a research study in a proper manner, the

formulation of the conceptual framework is an important step as it gives the base to research

study. As a result, research can be able to consider each related aspect which is important and

needed to conduct research related to Somali business owners in an effective manner.

In the context of a business, there are some variables that are independent and dependent

but they can influence the success of an organization if they are ignored. As per the above figure,

it is clearly defined that the effective management and balance between dependent and

independent variables.

This conceptual framework describes six impactful themes and that are:

1. Entrepreneurial Factors: This theme includes factors such as age and work experience of the

business owner in defining the success of a business owner (Shanks, Seddon & Willcocks,

2003). Without these factors, the success of a business owner is not possible. The long term

survival of a business owner depends on the enterprise factors because of the relationship

between enterprise and entrepreneurship (Bagheri, Akmaliah & Pihie, 2014).

2. Business Environment: for the success of a business owner, the external environmental

factors of the business are also important as their direct impacts on the long-term survival of

a business (Craig & Campbell, 2012).

3. Market knowledge: it has been looked into in this research stems from the gap between

practical implementation and theoretical framework and of policies that are essential to

positively shape the success in Somali small business. According to Bates, T., & Robb, A.

(2014) it has been identified in various previous researches and papers, there has been a

success factor for the Somali small businesses owners to maintaining sustainability for over

six years and more for the business to succeed.

4. Culture: this study will look what practical of small business implementation, theoretical

framework and business regulation in Minnesota. This also will look what shapes the Culture

of Somali Small business owners. According to Mueller, J., Zapkau, F. B., & Schwens, C.

(2014) reconciliation in culture and small business is important for growth of the small

business. Mueller , Zapkau & Schwens evidence show that culture from individualistic

societies may preferred to draw their own entrepreneurial knowledge to creating their own

entrepreneurial plan. Also individuals from these collective cultures most referenced from

resource provided by their own entrepreneurial models

5. Organization skills: the body of literature present on the topic of concern put much emphasis

on the role of the small business owners in Minneapolis to helping Somalia to achieve and

succeed in small businesses. According to Mueller, E. (2014) explained that why the

immigrant entrepreneurs are very important in small business in our communities we are

living in. It has been identified in various previous studies that have been small percentage of

small business in Minneapolis maintain Sustainability for over 6 years or more. According to

Lofstrom, M., Bates, T., & Parker, S. C. (2014) discussed the important of small business

creating income for individual in urban area.This study will looked in taking into

consideration the small business in Somali community and why few number of business

owners succeed.

6. Sustainability: The study will help the researcher as well as readers to identify how the

Somalia small business owners maintaining sustainability. Certain set of success factors we

have to look in Somalia Business owners in Minnesota so as to identify. According to

Yitshaki, R., & Kropp, F. (2016) explains the business owners have the social responsibility

to support the growth of their businesses. The results indicate that not only do these

entrepreneurial Somali individuals rely on the success of their businesses, but so do their

extended networks. Understanding what helps Somali businesses succeed is likely to have

far-reaching implications for their dependents, both within and outside of the United States

(Knight, J. 2015).

The theory of Peter Drucker (2016) explains the benefits of the resources, innovations, and

behavior of the entrepreneur to the success of an entrepreneurship. The success of a business owner

can be survived with the help of increasing satisfaction and satisfaction and value to the customer,

creation of values to business and effective combination of resources and materials (Nyameh, J,

2013). This is an important foundation that indicates that the success of the business owner is not

possible if these factors are not defined clearly. There is another theory of the theoretical foundation

which indicates that the success of a business owner is not possible if any of these factors are not

defined clearly.

Aramand, M. (2013) said that reflection is towards the achievement of motivation. As per

this theory, the need for power and the need for the achievements are some motivational factors that

ensure the success of a business owner (Steyaert & Hjorth, 2008). The theoretical foundation of

Leibenstein focuses towards the gap in the market that ensures the success of a business owner if the

products and services offered by that person to address the demand and needs of customers (Casson,

2003).

Above defined theories are relevant to the research problem of this research study because

selected theories help the researcher to develop the understanding towards the independent and

dependent factors that influence the success of the business owner.    According to Anthony (2018),

there are 70% of the 2,700 owners who took participation in surveyed are optimistic towards the

future of own company. 57% expects revenue increment in 2018 and 55% expects growth in

organizational profits. 

Problem Statement

It is not know what Success Factor are of Somalia Business Owner in Minnesota Maintain

Sustainability As per According to Cassia L, Minola T (2012), the reconciliation of

entrepreneurial orientation and strategic resources on small business are very much needed to

maintain the sustainability. The study found that the Small business in Somalia in Minnesota is

influenced by the Somalia community. Social support from small business ultimately will impact

the culture of Somalia community.

The current research study is aimed to make the sustainability of the Somali business

flourish, for this purpose the research works on to investigate the facts pertaining to the

sustainabilitysurvival of the Somali business owners in the Minneapolis city.  This problem

statement looks towards the factors which are influencing or affecting the business. The proposed

problem is effective because the large population as many as 32000 are now living in the

Minneapolis city. Basardien et al (2014) indicated that they have mainly involved in business

with the support from the local and federal government of the United States. There is a need for

the identification of the success factors and subsequently, they need to be analyzed. Such

evaluation of the factors will help them expand their business activities as well will work to

improve the market share and customer base. The analysis of the defined research problem will

allow the Somali business owner to use such aspects in their business only that may ensure their

success. 

Advancing Scientific Knowledge and Significance of the Study

Hence, this situation increases the need for a new research study that explores the

relationship between the success factors for a business and sustainability of a Somalia Business

Owners in the next upcoming future.

In this context, this research study fills this gap by focusing on the sustainability of the

business owners in the context of Minnesota Somalia Business because it considers different

success factors which help the business owners to ensure the success in the market by defeating

the pressure of the existing social and economic issues to the migrant people. This new research

study will help the business owners in Somali in identifying the success factors for this business

which may help them to survive in the market where the entire factors are just different from

their expectations.  This research study includes the conceptual framework which describes the

relationship between the success factors and survival of the business owners. This framework is

also effective as it is an analytical tool that helps to analyze different context and variations at a

time without ignoring any factor. With the help of this, the researcher can organize the ideas and

develop the conceptual distinctions which help to capture some real facts related to the research

problem and do the research in a way which is easy to apply and remember.  According to

Knight, J. (2015) research study can explain the reason related to the why the success factors are

important for the sustainability of the business owner.

Rationale for Methodology

When conducting a study three different methodologies are considered: qualitative,

quantitative, and mixed methods. Each methodology provides a different unique set advantages, as

well as disadvantages that are as follows: the qualitative methodology allows the researcher to

explore and understand the meaning groups or individuals ascribe to a phenomena by focusing on

the quality of the lived experience, rather than the quantity of those experiences (Zyphur, M., &

Pierides, D. 2017)

In contrast, the quantitative method is used to measure variables and analyze data using

statistical procedures that provide concrete numerical values that support the studies research, while

disregarding the quality of the lived experiences of a phenomenon. Lastly, the mixed method is a

combination of the qualitative and quantitative methodologies (Yazan, B. 2015) Using the mixed

method requires the researcher to collect and analyze numerical data using statistical calculations to

test hypotheses and collect and analyze various viewpoints in perceptions using how and why

questions to gain a deeper understanding of the lived experience of its participants (Yazan, B. 2015).

The mixed methodology was not selected for this study because the researcher does not seek

to test a proposed hypothesis. Additionally, the mixed methodology is an appropriate selection for

researchers seeking to answer quantitative and qualitative questions simultaneously (Yin, R.K.

2014), therefore it is not appropriate for this study which only proposes qualitative how and why

questions. Likewise, the quantitative methodology was not selected for this study because this study

seeks to explore the phenomena of the success factors of the Somali small business owner’s

sustainability in Minneapolis Minnesota. The proposed question that embodies the essence of this

phenomenon is: How Somali small business owner’s sustainability in Minneapolis Minnesota.

Nature of the Research Design for the Study

For conducting research effectively mainly three different options are identified and

explored in the first phase of the research work. They are empirical analysis, regression study,

and explanatory designmethodology. Of all these three methods explanatory methodology can be

more effective as it provides great insight into the dependent and independent factors of the

study.

Conducting this research effectively, three options have been identified and explored as

the first phase of this research. The empirical analysis, regression study, and explanatory

methodology is selected. Of these three methods, explanatory methodology engraving

observation techniques are considered to be the best-suited method because only this is effective

to analyze the relationship between independent and dependent factors. It helps the researcher to

use the imperative research problem to add some value to a research study. The nature of this

research is descriptive; therefore, interpretive research philosophy is used that facilitate

researcher to develop thorough understanding towards the research problem and its relevance to

the business world. The researcher has also used an inductive approach for conducting research

in a specific way in a general way. This method is applicable when there is limited information

related to research problems. Research strategies for this research survey (questionnaire) and a

literature review (Chawla & Sodhi, 2011). These sources help to collect the data that will help to

find the answers to research questions. The total number of people interviewed is 56 and hence

the sample size is 56. The target population belongs to Somalia business owner groups. The

sample size for this research in 56(Number of people interviewed) and the target population

belongs to the Somalia Business Owner groups.

Sources of Data

For the data, primary and secondary data sources are collected as this research study is a

qualitative research study (Brannen, 2017). Primary sources are interviewing and through an

online survey. The survey instrument is a questionnaire, which is prepared and sent to all the

respondents. This provided fresh data related to the research problem. Secondary sources are

books, published papers and journal articles which provide already published data related to

research problems that have been consulted from the online resources and the University Library

portal. The theories related to the business sustenance and environmental factors of influence on

business continuation are employed in the research study and they are to develop and justify the

selected research questions.

Further, theories related to the research problem will be used to develop and justify the

selected research questions. As there is limited time available according to the schedule of the

research, the field test, the researcher has used the analysis of literature reviews that will help to

analyze the answers provided by the respondents (Beiske, 2007).  This method will help the

researcher to follow the interview protocol and maintain the research’s validity.   

Data Collection

A direct interview with a business owner on one to one basis; this procedure has

employed readymade questionnaire to interview and question the business owner during the

process.

The analysis of the selected data sources will enable to collect existing data that can

directly or indirectly explain the factors which are concerned towards the sustainability of the

business owners in selected business areas. Further, the primary data source will help the

researcher to collect subjective data from the selected respondents about their understanding and

thinking towards the research problem of this research study (Cohen, et al, 2007). With the help

of this, the researcher can get reliable data related to the problem of research that facilitates to

find applicable research solution only. 

For obtaining informed consent from participants, a prepared form is provided to them that

includes complete information on the research as well as its purpose.  This form also describes the

participation rights (which is rejecting to take up the questionnaire) and right to speak of the

participants which they can use any time (assurance of confidentiality) (McNabb, 2010). Through

this, the selected participants are free to skip any question and free to go out from the research

during the data collection process. With the help of this, research can hold the research’s validity

and ethical compliance.

Data Analysis Procedures

According to the nature as well as the requirements of this research, the qualitative data

analysis procedures are used. In this context, followings are some steps related to data analysis

procedures that have used:

Developing and Applying a Coding System: Inductive coding style: Iterative analysis (often

referred to as a Grounded Analysis in this step, the behavior, events, and activities those have been

collated vide the questionnaire are respectively grouped and converted into codes to separate the

data according to their category (Brannen, 2017). Data collected for this study will be analyzed

using standard case study analysis methods.

Identifying patterns, themes and relationships: in this step, finding of data collected from

focus groups/interviews is compared with literature review findings to discuss differences

(Brannen, 2017).

As per the suitability of the research and as per the nature of the research work, the

qualitative data analysis procedures are used. In this context, followings are some steps related to

data analysis procedures that have used:

Developing and Applying a Coding System: in this step, the behavior, events, and

activities those have been collated videos, the questionnaire are respectively grouped and

converted into codes to separate the data according to their category (Brannen, 2017). The coding

is an easy way of marking and segregating the data as per the content and is employed for better

referencing in later times.

Identifying patterns, themes, and relationships: in this step, the finding of data collected

from focus groups/interviews are compared with literature review findings to discuss differences

(Brannen, 2017).

Summarize the data: In this step, the findings of the research are linked with the aim and

objectives of the research (Brannen, 2017). For this researcher uses noteworthy quotations that

are a transcript in order to highlight major themes of research within possible contractions and

findings. 

Examining all the information received from Somalia small business owners and

categorizing them depending on how much of the information received. Downloading all

interviews conducted and documenting all the material used.

Examining the small business owners about their business

i) Categorizing depending on how big is the business

ii) Tabulating with a chart and arranging the list of questions on small business

iii) Recombining both the groups together and getting all the information about the small

business.

Ethical Considerations

The research data will be collected from the library, websites of selected business owners,

printed material and Journal articles from Science Direct, Emerald, and other online sources.

These sources provide only authentic data( Reliable data). Further, terms of informed consent

process have used to provide adequate information and freedom to subject in the concern of study

and ensured that the subject can select any available option (Monsen & Horn, 2007). Such data

collected and analyzed in this research is processed in such a manner that all possible causes for

leakage of data would be promptly avoided. Maximum confidentiality and possible data

tampering are avoided.

For this research, the participants would be selected from the community of Minnesota

Somalia Business Owners only as the research problems directly related to their sustainability.

On the other hand, the data that would be collected from them will be protected through the

providing an agreement paper that will give the assurance about the anonymity of the participant

and confidentiality of the data elements rendered for the purposes of this research. (Scruggs &

Mastropieri, 2006). During the research study, the breach of personal information of the

participants and may create the potential concerns. It may affect the research’s credibility.

Therefore, earlier consent from the selected respondents in the regard of the use of collected

information will help the researcher to address the concerns related to the ethical concerns related

to the data breach.

The researcher himself will ensure that only confidentiality and no-risk surveys and

observations will be done. In case any identifying information is needed, this will be confidential

and will not be included in the final report. The researcher will ensure that they follow the ethical

standards established by the American Psychological Association. They are six in total, and they

include competence, Prospectus Template v.8.1 01-30-18 and all the ethical considerations

related to the primary study will be followed for the study.