Business Challenges Impacting the Sustainability of Start-ups in Lusaka District

Abstract

This study investigates the challenges impacting the sustainability of start-up businesses in the Lusaka District of Zambia. Employing a quantitative research approach, primary data was collected using self-administered structured questionnaires from 361 respondents across various entrepreneurial sectors via simple probability sampling. Data analysis, utilizing the Statistical Package for the Social Sciences (SPSS), included descriptive statistics and multiple linear regression. Contrary to conventional assumptions, the regression analysis revealed that individual challenges—including limited access to finance, high business risks, intense competition, lack of skilled labor, and technology adaptation—did not emerge as statistically significant isolated predictors of start-up sustainability. However, the overall predictive model was highly significant ( r squared = 0.616), demonstrating that long-term business sustainability is hindered by the synergistic, combined weight of these systemic bottlenecks rather than any single factor. The study acknowledges critical limitations, noting that the non-significance of individual hypotheses may be attributed to measurement constraints and the inherent limitations of a purely quantitative, self-reported design. To mitigate these collective challenges, the study recommends targeted government policies focusing on holistic start-up support, while calling for future qualitative research and rigorous measurement model assessments to capture the complex nuances of entrepreneurial survival in emerging markets.