Impact assessment of the growth-oriented microenterprise development program

GMED"s end objectives are to develop effective approaches to stimulate the growth of micro-and-small enterprises (MSEs) through viable and sustainable MSE growth models and in a manner that leads to significant scaling up through widespread industry adoption, increased incomes earned by MSEs, and improved socio-economic well-being of MSE owner/operators and employees of key value chain participants. GMED currently works in seven Indian states, although it expects to expand its activities to at least three or four additional states. Its largest program component addresses constraints to growth for smallholder fresh fruit and vegetable (FFV) farmers. A second component is aimed at increasing opportunities for small firms to participate in urban services, particularly municipal solid waste management (MSWM) and sanitation services. The purpose of the GMED impact assessment is to assess whether and how GMED has achieved its end objectives in the FFV and MSWM subsectors. To do so, it assesses program impacts at the value chain, MSE, and household levels using a longitudinal, quasi-experimental research design implemented through a mixed-method (quantitative and qualitative) approach. The purpose of the baseline research described in this document is to establish conditions in both the client (treatment) and non-client (control) groups at the beginning of the impact assessment. The results of the follow-up study after two years will be compared to the baseline to determine the level and direction of change among a treatment group of GMED farmers and a control group of small-scale FFV farmers. Program impact, or lack thereof, will be inferred from relative changes within the two study groups over the two years of the study using the difference-in-difference method. The difference-in-difference method compares changes in target variables among treatment FFV farmers between the baseline and follow-up research to the same changes among control FFV farmers. Impact will be inferred if the difference between the treatment group and control group is positive and statistically significant. (Author abstract)