Abstract:
This study is conducted by student researcher for the partial fulfillment of masters'
degree in Business Administration. The research is aimed on forecasting certain business
potentials in the service business sector. The problem is identifying future services with
their features to fulfill customers demand. It is conducted at J-/awassa city where certain
comparative advantages are there for service rendering organizations. Investors, city
administrators and potential researchers will be beneficiaries/rom this study. If will help
all these parties in providing clear sight of what business and market potentials will be
there in the coming years. Using stratified sampling technique resident respondents and
simple random sampling business people are selected for sample. These are 1000 from
resident and 370 from business persons. Primary and secondary data's was collected
from different offices and respondents. Questionnaire is the used tool to collect data from
sample respondents. The collected data are analyzed using time series and descriptive
analysis techniques. Finally conclusions are drawn from hypothetical tests. Business
peoples, current and potential, have no sufficient and pertinent information about the
business potentials of the city and what kind of service provisions are and will be needed
The city administration is also handicapped in promoting and controlling such potential
markets due to lack of well studied research. This initiated the student researcher to
conduct the study. Literature review, collected data, and the way these data are analyzed,
interpreted and tested, drawn conclusions and provided professional suggestions are
clearly stated in this report. Questionnaire data analysis and discussion using descriptive
technique, quantitative data analysis through time series technique, factors discussion,
city's urban development plan and strategies discussion are the main part of the report.
The countries political, economical and demographical impacts on the service sector, the
city's development plan and strategies are also discussed in this study. By this study it is
identified that the city has big business potentials for hospitality, beautification,
recreation other service sectors. The study has find the feature of identified business
potentials are more technological, professional labor intensive, fast, quality, variety and
low priced services.