Abstract:
Micro and Small Enterprises (MSEs) enormously contribute to the Kenyan economy through
employment and income generation. In spite of this contribution, their performance in terms of
graduation is little understood. The evidence supporting the view of micro and small enterprises as
the engine of growth is limited. This study was based on Schein’s model by Edgar Schein career
Anchors was anticipated to shade light on the motivation on the graduation of MSEs. The main
objective of the study was to determine the effect of psychological perspective of an entrepreneur
on enterprise graduation in Eldoret town Kenya. The study was conducted in Eldoret Municipality
Central Business District (CBD) in Uasin Gishu County targeting micro and small enterprises
licensed and registered by Eldoret Municipal Council. A sample size of 189 was selected in this
study. Stratified-simple random sampling technique was used. Primary and secondary data was used
to achieve the objective of the study. Primary data was collected using questionnaires and secondary
data was collected from Eldoret Municipal achieve. Data was analyzed using descriptive statistics
and inferential statistics. The study findings indicated that; the psychological perspective of an
entrepreneur had a statistical significant effect with graduation. The study concludes that
entrepreneurers’ should enhance their entrepreneurial competence.
