GROUPENTERPRISES:

LIOMEN'S
on the Kenya Coast
A Study of the Structure of Opportunity

by

Jeanne HcCormack
Hartin Ualsh
CandaceNeIson

June 30, 1986

P r o g r a r na n d
A r e p o r t t o t h e -H- u v ^e^st o" tu- ri nc ie"Dt ni v" ti si oi onna l o f t h e B t t r e a u f o r
R
; ;n; lr-a" n
D e v e l o p m e n' t on research
potlcy coordinaii;;;
"onautt"a under Contract-OTR-OO-78-c-00-2313-00'

l J o r l d E d u c a ti o n ' I n c '
210 Lincoln Street
B o s t o n , l { a s s a c h u s e t t s0 2 1 1 1
U .S . A .
 TABLEOF CONTENTS

Table of Contents

Llst of Tables
ts
Acknovledgemen

Chapter 1: Introduction
A.0rigins of the studY
B . P u r P o s eo f t h e s t u d Y
C . F o c u so f t h e s t u d y

Chapter 2: Reviev of the Llterature

A . U o m e n ,p r o d u c t i o n , a n d r e p r o d u c t l o n ln Kenya
B . V o m e n ' sg r o u P s a s a d e v e l b p m e n ts t r a t e g y
C . R e p r o d u c t l o na n d r u r a l K e n y a n v o m e n

Chapter 3: HethodologY
A . R e s e a r c hd e s i g n
B. Hethods
1 . S a m P I es u r v e y
2 . C a s es t u d i e s
3 . P r o j e c t i n c o m ed a t a
4 , S u P P I e m e n t a rdYa t a
C . H e t h o d o l o g i c a lP r o b l e m s
D . C o n c e P t u a li s s u e s
Context
ChaPter 4: The llolen's Groups and Their
A. The Coast
B . T h e v o m e n ' sg r o u P m o v e m e n t
C . T o t o t o H o m eI n d u s t r i e s
Non-ueobers, arrd ProJect
Chapter 5: The golen,s Groups: }|enbers,
Plnances

A. G r o u Pm e m b e r s
B. G r o u b m e m b e r sa n d n o n - m e m b e r s
C. G r o u Pn e m b e r s h i P
D. Leaders
E. Project financlng
Chapter 6: Pour Case Studles

---*. Introduction u o m e n ' sG r o u p

B. L"uoiring- a"uit assoclatlon: l,l:vamambl
1. The role of the state
project
z. ioiolo-ttor" Industries and the L,ater
3. Constraints of the peasant economy
a. C"nO"t, differentlaiion' and group leadershlp
5 . S u r n m a rdYi s c u s s l o n
Group
C. T h e corporale entrePreneur: Hldodonl llomen's
1. The l{ldodonl ProJect
2 . i " i t t t y i n g t h e s i a t e ' m a n i p u l a t i n gN G O ' s
3. iou"ef,lfai, gender, and dlfferentiation
4 . S u m m a rdYi s c u s s i o n
U o m e n ' sG r o u p
D. The fong "tio of tradition: Bogoa
1. Foundations
2 . S u c c u m b i n tgo t r a d i t i o n
3 . V o m e na n d t h e i s l a n d e c o n o m y
4 . S u m m a rdYi s c u s s i o n
GrouP
E . A b a k e r Y ' s d e c l i n e : M a P i m oU o m e n ' s
1 . F o r m a t i v eY e a r s
develoPnent
2. Conditions and accldents of enterPrlse
3. The Peasant economy
4 . S u m m a r Yd i s c u s s i o n

Chapter7: PertilitY
A. K n o v l e d g ea n d p r a c t i c e o f f a m i l y p l a n n i n g
B. H a j e n g o l l o m e n ' sG r o u P
C. Children and the peasant economy
D. Groups, chlldren and reproduction

Chapter 8: Concluslons
A. Hov to generate income
B. E c o n o m i ie f f e c t s o f i n c o m eg e n e r a t i o n
C. I n c o m eg e n e r a t i o n a n d g e n d e r
D. I n c o m el e n e r a t i o n a n d f a m i l y p l a n n i n g

Chapter 9: PoIlcY Recolrendations

GlossarY of Abbrevlatlons
gords
Glossary of Svatrlll and Vernacular

References
 EXECUTIVESUMMARY

Background of the study

This report describes the findings of a three-year study of the

effects of vomen's participation in incomegeneration projects on household
income and fertility. The major objectlve of this research vas to
deterrnine vhether such projects, vi th or vi thout family planning
components, increase participants' incomeand their receptivity to and
acceptance of family planning. Research questions included the folloving:

-- Do income generation projects increase real income?

-- Does success or failure of groups to increase real ineome affect

fertility attitudes, knowledge, or behavior?

V h a t p r o g r a m c o m p o n e n t sa r e c r i t i c a l in increasing income and

decreasing fertility?

Vhat external events or conditions are necessary for success or

Iead to failure?

Other questions concerned vith social differentiation, class

formation, gender relations, group function and structure, and household
income and expenditure vere also addressed.

T h e s t u d y f o c u s e d o n t h e p r o g r a m o f T o t o t o H o m eI n d u s t r i e s , a l o c a l
voluntary organization located in Kenya's Coast Province, and on a sample
of the 45 vomen's groups vith vhich it has worked. The research vas
carried out by Vorld Education, vith assistance from Tototo, and vas funded
by the Bureau for Program and Pol-icy Coordination of the Agency for
International Development.

M u l t i p u r p o s e w o m e n ' s g r o u p s a r e c o m m o n p l a c ei n K e n y a a n d a r e c u r r e n t l y
estimated to number 15,000. Formed in part as a response to the Kenya
government's self-help, or harambee, policy and partly in response to the
government's Vomen's Group Programne, these groups normally undertake a
range of community development activities. Group projects include building
nursery schools, organizing day care programs, forming revolving credit
associations, securing safe vater supplies, and developing small businesses
on a cooperative basis. WhiIe Tototo has assisted rural vomen's groups
vith the entire range of activities, i t i s t h e d e v e l o p ment of group
enterprises t h a t h a s o c c u p i e d o u r a t t e n t i o n h e r e . G r o u p s g e n erally have 25
to 30 members and embark on such businesses as bakeries, poultry
production, farming, and retail sales.

The study employed three uni ts of analysis: vomen's g r o u p s'

individual m e m b e r so f v o m e n ' s g r o u p s , a n d t h e h o u s e h o l d s o f g r o u p m e m b e r s .
A baseline sample survey vas conducted in 1983 of 406 vomen from 13
locations a n d i n c l u d e d n o n - r n e m b e r sa s v e l l a s m e m b e r s . T h i s v a s f o l l o v e d
by anthropological field research vhich yielded four case studies of
 1t

specif ic Jgm€n's groups and their small enterprises. Group income data
vere gathered from the cashbooks k e p t b y t h e g r o u p s ; supplementary data
relating to projects and groups vere collected by Tototo staff.

The data

T h e s u r v e y d a t a p r o d u c e d a p r o f i l e o f g r o u p m e m b e r ss i m i l a r t o r e s u l t s
of other recent survey research carried out on women's groups in Kenya.
Income generation groups include vonen of all ages, most of whom are
married and have five or six children. They are residentially stable and
vork primarily as farmers. Members'meanage is 37 years, and their age
distribution shovs a preponderance of vomenover 40. Nine percent are
vidowed and nearly seven percent divorced. Twenty-nine percent are members
of polygynous households. Christians make up 452 of the mernbership ald
Muslims about 412. The remaining vomen follov traditional practice. The
vomen studied are largely farmers v i t h a c c e s s t o l a n d t h r o u g h m ale
relatives, p r i m a r i l y h u s b a n d s . T h e e c o n o m i c i m p o r t a n c e t o t h e i r h o u s e h o lds
of their c u l t i v a t i o n d e p e n d s o n t h e l o c a l e a n d o n t h e r e s o u r c e s a nd
opportunities available to the vomenvhere they live.

M e m b e r s o f v o m e n ' s g r o u p s d i f f e r f r o m n o n - m e m b e r so n l y i n a g € r f o r
n o n - m e m b e r st e n d t o b e y o u n g e r t h a n m e m b e r s . A l t h o u g h n o n - m e m b e r sa r e a l s o
less likely to cultivate and ovn land than are members, the apparent
economic disadvantage of the former can be explained by their younger age
and corresponding position in the lifetime process of accumulation of
assets a n d v e a l t h .

The case studies, vhich form the core of this research, describe four
very different v o m e n ,s g r o u p s v h i c h have undertaken very different
enterprises. The key to understanding the operation of women's groups and
the success or failure of their income-generatingProjects lies in the
relation betveen i n d i g e n o u s s o c i a l f o r m a t i o n s a n d t h e e x t e r n a l e c o n o mic
forces that are vorking to transform them. This transformation is far from
comple.te, and vhile indigenous formations have been considerably modified
by ihe forces of change, they remain strongly resistant to them'
particularly along the Kenya coast. Vomen's groups and their enterprises
itand at a critical juncture of the forces of both capitalist and peasant
economies and may be severely constrained by one or the other.

T h e f i r s t g r o u p d e s c r i b e d , M v a m a m bW i o m e n ' sG r o u p , p r o v i d e s a n e x a m p l e
of a g r o u p i n a n e a r l y s t a g e o f d e v elopment. Because the menbers'
households have a very Iirnited financial ability to support group
activities and therefore to capitalize any business, the group remains
mired in repeated failure to maintain a revolving credit associatlon.
Vithout sufficient capital, they are unable to establish firnly a
potentially lucrative business-- t h e m a n u f a c t u r e a n d s a l e o f r o o f i n g
rnaterials. Midodoni Vomen's Group presents another example, this time a
relatively successful one. Vith significant investment by an outside
development a g e n c y , M i d o d o n i h as been able to earry out several innovative
eommunity dev-lopment activities, a n d w h i l e m e m b e r sa n d t h e i r households
have benefitted from these activities, t h e v o m e nh a v e y e t t o r e c e i v e i n c o m e
from the vell-established group enterprise. The third case' that of Bogoa
W o m e n , sG r o u p , i l l u s t r a t e s the difficulty faced by vomenvho try to enter a
 111

male econesfc- domain. Supported by foreign donors, Bogoa began a ferry

boat operation b e t v e e n t h eir island homeand the mainland, but by adopting
the only model they know of managing the enterprise, they doomedthemselves
to an early failure. T h e l a s t g r o u p d e s c r i b e d , M a p i m o ,e s t a b l i s h e d a v e r y
s u c c e s s f u l b a k e r y b u t , b e c a u s eo f o r g a n i z a t i o n a l d i f f i c u l t i e s ' feII into
d e c l i n e a f t e r s o m ey e a r s . M a p i m o ' se n t e r p r i s e h a s b e e n t h e m o s t s u c c e s s f u l
i n p r o d u c i n g i n c o m e f o r i n d i v i d u a l m e m b e r sb u t t h i s , i r o n i c a l l y , has had
virtually no effect on gender relations vhich are determined by factors
other than those usually posited by vomen-in-developmentadvocates.

Hov to Generate Income

The initial success of vomen's groups rests on the extent of their

a c c e s s t o t h e l a b o r o f m e m b e r sa n d t o t h e c a s h p r o v i d e d b y m e m b e r so r t h e i r
households. The amount of income vhich these households (and vomen as
h o u s e h o l d m e m b e r s )a r e p r e p a r e d t o i n v e s t i n g r o u p s l s c o n d i t l o n e d b y t h e
sum of demands upon them, their ability to meet these demands, and the
return they ean expect from this as opposed to other investments.
'in
Investment a group typically promises no more than a long-term return'
and members contribute cash to group enterprises accordlngly-- that is,
their cash investments are usually small. Labor investments are subject to
a similar s e t o f c o n s t r a i n t s , a s i s t h e t i m e t h a t m e m b e r sa r e p r e p a r e d t o
devote to group meetings. Groups do not possess the pover to separate
members from their households or enforce participation. Under these
circumstances, i t i s n o t e a s y f o r g r o u p s v o r k i n g a l o n e t o e s t a blish viable
enterprises.

In order to overcome such formidable obstacles' groups need allies'

and the najor allies available to them are the government, represented in
Kenya by the Department of Social Development, and non-governmental
organizations (NGO's) tike T o t o t o H o m eI n d u s t r i e s a n d V o r l d E d u c a t i o n .
6nce m a d e , a I I i e s o f f e r a s o m e w h a ta m b i g u o u s r e l a t i o n s h i p , particularly the
government, for it can and does exact a price for its assistance. The
demands placed upon groups and their members' households include labor and
cash contributions, butr otr the other hand, government representatives
provide groups vith grants vhich can help to capitalize a fledgeling
enterprise. NGO's offer capital to groups but also important technical
assistance in the planning and operation of their enterprises.

Enterprises that are nev to a community, particularly those vhich are

capital intensive, are difficult for groups to operate successfully. Such
enterprises lie far outside the experience of groups members, vho thus
require continued inputs of advice from external agencies. This problem is
magnified in the case of enterprises employing complex technical processes
or machinery vhich can be difficult for groups to maintain or expand
vithout further injections of capital from the outside. These kinds of
enterprises are characteristically b o u n d e db y o f f i c i a l controls, including
state-regulated p r i c i n g o f r a v m a t e r i a l s a n d p r o d u c t s . W here groups employ
collective labor, it may be difficult f o r t h e m t o c o m p e t ev i t h r i v a l s in
the private sector. As a result, it is not easy for such businesses to
remain economically viable. Given the various constraints vhich operate
upon collective enterprises, choosing one that requires minimal involvement
 1V

of group =-{eimbers in its day-to-day running presents a solution to many of

thele iroblems. The replacement of unpaid collective labor by formal vage
labor ii another meansby vhich greater efficiency might be achieved.

The simplest vay to avoid someof these constraints is to choose the

right enterprise in the first place. The easiest enterprises for groups to
run and maintain are arguably those vhich reproduce existing processes of
capital accumulation in the local community. As such their viabillty is
prbuen, the knovledge n e e d e d t o r u n t h e m i s r e a d i l y a v a i l a b l e , a n d t h e y
require l e s s s u p p o r t f r o m e x t e r n a l a g e n c i e s . A g r o u p - t h a t i s a b l e t o
select such a project i s m u c hm o r e l i k e l y t o f u l f i l l its promise as
corporate entrePreneur.

Economic Effects of Income Generation

In so far as they are able to escape the constraints of the peasant

economy, groups and their e n t e r p r i s e s b e c o m es u b j e c t t o t h e l o g i c of
capi taiist- divelopment and act, in effect r 3S agents of economic
diiferentiation. t f r e y d o t h i s i n a n u m b e ro f v a y s . F i r s t ' g r o u p s s h e d o r
exclude vomenvhose domestic circumstances are so difficult that they are
u n a b l e t o s u s t a i n g r o u p s n e m b e r s h i p a n d t h e d e m a n d su p o n c a sh and labor
that it entails. As a result, many v o n e n i n t h e l e a s t f o r t u n a te categories
remain outside of g r o u p s .

Second1y, groups vhich are vorking free of the peasant economy tend to
come increasingly under the control of members vhose background and
domestic circumstances make them better equipped to run their enterprises.
In other vords, their development favors vomen vho already occupy a
relatively fortunate position in their householdsand/or the community.
T h i s d i s c b u " r y t h a t g- pr oa ur tpi ceunl at er lryp r i s e s , i f s u c c e s s f u l , b e c o m ei n s t r u m e n t s o f
differentiatibn is painful for someinternational NGO's and
exposes t h e c o n t r a d i c t i o n i n h e r e n t in the notion of incomegeneration as a
p a r t i c i p a t o r y d e v e l o p m e n ts t r a t e g y .

Vhere successful, group enterpri.ses inevitably play a part' hovever

sma}], in transforming the structures of the p e a s a n t e c o n o m y . I n g eneral,
though, groups and their enterprises r e m a i n s e v e r e l y c o n s t r a i n e d b y their
economic context. Fev p r o j e c t s s u c c e e d i n g e n e r a t i n g s u b s t a n t i a l p r o fits'
and fev p r o v i d e t h e i r m e m b e r sv i t h i n c o m e o n a r e g u l a r _ b a s i s . l { h e n they
do, t h e i m o u n t s a r e u s u a l l y s o s m a l l a s t o c o m p r i s e o n l y a f r a c t i o n o f a
living wage. It is important to understand, hovever' that grouP
enterprises a r e o n l y o n e o f a r a n g e o f m e d i u ma n d l o n g - t e r m i n v e s t m e n t s
that vomen make, and the short-term income supplements often realized from
g r o u p e n t e r p r i s e s c a n m a k e a c o n s i d e r a b l e d i f f e r e n c e t o m e m b e r sa n d t h e i r
[ouseholds, ls evidenced by vomen's continued participation in groups.

Income Generation and Gender

The state creates vonen's groups through its vomen's group policy; it
certifies thern through its registration proceduresl and it appropriates
t h e m , v h e n i t c a n , t o c a r r y o u t i t s d e v e l o p m e n tv o r k . T h e r e l a t i o n s h i p i s
not monolithic, by any means, and groups receive grants from the state for
their ovn activities. But it is vomen, not men, vho are the target of
state poli.cy: vith respect to social velfare and vho are organized into
groups for the purpose of carrying out this work. Insofar as they comply'
they reproduce and reinforce existing gender relations from vhich only a
very few of their members,by virtue of personal circumstancesr escape.

l.lho controls the products of vomen's labor and therefore the income
earned from v o m e n ' s group enterprises depends on the local economy vhich
varies greatly from community to community. Vomen's income is usually
treated as income for the household, vhether or not it is appropriated by
the household head or r,rhether, indeed, the voman heads her own household.
As such it forms an important supplement to other sources of income
available to vomen and their households. Vhen income is handed over or
othervise finds its vay back to husbands, there is no determining hov it is
invested or vhether it vill be invested in the household at aII. The
findings of this study indieate that there is Iittle basis for the naive
assumption that income generation for vomenvill enhance their independence
and status. Vomen's possession of income does not automatically improve
their bargaining pover vithin the household. This is more likely to occur'
if at all, vhere overall household income is already high and sufficient to
cover basic needs. The g r e a t variability doeumented i n t h e f o u r c a s es
reported here p o i n t s to a complex s e t o f f a c t o r s t h a t a f f e c t t h e i n t e r n a l
distribution o f h o u s e h o l d i n c o m e a n d u n d e r s c o r e s t h e a b s e n c e o f a l i n e a r
relationship betveen vomen's incomeand vomen's status.

Income Generation and FamiIy Planning

Just as there is no predictable relationship betveen lncome generation

and vomen,s status, there is none betveen income generation and family
planning. Children a re an inextricable part of economic activity and
velfare. For the vomen described i.n this report, production and
reproduction are tvo sides of the samecoin, and in such a context'
children are treated as an investment. Not only do they provide an
important labor resource for the household, but they also hold the promise
of a future return, providing parents vith cash and social security vhen
they are older. UhiIe education of children v i t h d r a v s l a b o r f r o m the
household, it is still true t h a t t h e m o r e e d u c a t e d c h i l d r e n a r e ' the
greater the chance t h a t t h e y v i l l s e c u r e g o o d e m p l o y m e n t a n d p r o v i d e t h e ir
parents vith income in the years to come.

It is therefore not surprising that family planning programs have not

only a limited impact in the rural areas studied and among the women's
g r o u p m e m b e r sb u t t h a t t h e y m e e t w i t h r e s i s t a n c e . The more children these
vomen have, the greater the returns, and this economic logic is supported
by a range of attitudes and beliefs. A I I i n d i c a t i o n s a r e t h at such
resistance v i l l p e r s i s t u n t i l t h e p e a s a n t e c o n o m y u n d e r g o e s a major
transformation. In theory, vomen's groups are in a position to contribute
to such a transfornation; in practice, hovever, the majority of members
r e m a i n d e e p l y e n m e s h e di n t h e r e s i s t a n t s t r u c t u r e s o f t h e i r h o u s e h o l d s .

ions
Recommendat

Recommendations stemming directly from the research reported here

include the folloving:
ryQ'

\/1

I . - J h e : c o n c e p t o f r r v o m e n ' si n c o r n eg e n e r a t i o n " s h o u l d b e r e p l a c e d by
one of 'fsmall-scale or micro-enterprise developmenttr.

2. Vomen's group enterprises should be funded and supported, since if

current s u p p o r t i s v i t h d r a v n , r u r a l r r o m e na n d t h e i r h o u s e h o l d s w i l l be
completely at the mercy of large-scale, externally financed development
vhich generally affects vomenmore severely than men.

3. Vomen's group enterprises should be vieved and evaluated

realistically vithin the context of Iocal opportunities.

4. Intensive field research should be given priority over other forms

of p r oject feasibility studies and progran evaluation.

5 . C o m m u n i t yd e v e l o p m e n t o r v e l f a r e projects should be separated from

economicenterprise projects.

6. V o m e n ' sg r o u p s e n t e r p r i s e s s h o u l d b e c h o s e n v i t h r e s p e c t t o l o c a l
economic conditions and be based on the indentification of local processes
of indigenous capital accumulation.

7. The organization and operation of groups enterprises should be

subject to experimentation and explore various methodsof capitalization
and management.

8. Indigenous NGO's operating locally should be supported as the most

effective agents to foster vomen's small enterprise development.

9. NGO field staff should be trained in a range of entrepreneurial

skilIs.

1 0 . E f f o r t s t o p r o m o t e f a m i l y p l a n n i n g a m o n gv o m e n ' s g r o u p s s h o u l d b e
planned vith the recognition that different conditions prevail in different
places and that the return from an investment in farnily planning vill be
lov in some areas.

11. SmaII cost-benefit studies should be conducted on community-based

contraception distribution systems to determine vhether enough vomen would
try contraceptives to varrant the cost of these systems.

t2. Hen as veII as vomenshould be the target of small-group

educational programs about family planning.

13. The needs of the poorest and most vulnerable vomen, vho are
likely to be excluded from vomen's groups' must be addressed.

14. Assistance to individual vomen farmers through groups should be a

priori ty.

15. Conmunication,discussion, and dialogue should be initiated and

s u p p o r t e d b e t v e e n d e v e l o p m e n tv o r k e r s , p a r t i c u l a r l y t h o s e a t t h e g r a s s r o o t s
Ievel, and academics and other researchers.
 . * { a +

WcrlC
ECucoticn
Inc,

World Educatlon announces the publlcation of

I S GROI'P ENTERPRISES
WOMEN :
A Study of the on the Kenya Coast

An anthropological study of a womenrs lncome generat,lon project in

Kenya whlch examines carefully the internal and ext,ernal reasons
behind the successes and fallures of womenrs cooperative income-
earning projects.

Avail-able Ln bound edltion at cost for $20.00 (U.S.)

For a copy, send check or money order to:

Candace Nelson
Jeanne McCormack
VJorld Educatlon, Inc.
210 Llncoln Street
Boston, Mass. 021-38
U .S . A .

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