Community Based Tourism Programmes: Entrepreneurial Capabilities and Performance in Arusha, Tanzania

This paper aimed to investigate on entrepreneurial capabilities and performance for community based tourism programmes (CBTPs) and their supply chain businesses for communities located at close proximity to protected areas in Arusha, Tanzania. Specifically, the objective was to relate entrepreneurial skills with CBTPs performance. Cross sectional survey design using both qualitative and quantitative paradigms. Cultural practitioners were the study population and the sampling procedures included a multi-stage, probability, purposive and snow ball. Information was gathered from a sample of 210 respondents from primary and secondary data using dependency and interdependency multivariate analytical techniques. While independent variables were a set of entrepreneurial skills, dependent variables were sales and employment trends in the past three years. The existing correlation between skills and performance were examined using; correlation analysis, multiple regression and factor analysis. It was hypothesized that, Ho1: Entrepreneurial skills of the owners of CBTPs at close proximity to protected areas are not positively related to their performance. The study revealed that there were no clear entrepreneurial capabilities and the essence of CBTPs performance as a process of entrepreneurship is debatable since entrepreneurial skills and performance were not positively related. At p = 0.01, organizing skills (beta = 0.197; t = 2.047) and managing skills (beta = 0.227; t = 2.785) were found to be significant predictors of performance. CBTPs thus need to be supported in terms of; start-up and incubation, education and training through mass awareness creation ability to compete with formal operators.