The purpose of this research was to assess the capacity of four TVET Institutes, and trainers inrnconducting kaizen training in Nefas Silk Sub-City of Addis Ababa to Micro and Small businessrnEnterprises. Using descriptive survey method, percentage tool was used to analyze data. Datarnwere collected through questionnaires, observations, interview, and document analysis.rnThe major findings were; TVET Institutions were not equipped with modern machines andrnhence, could not enabled trainees how to copy technology, adequate materials were notrnprovided to trainers on time, Quality Circles (QC), that would boost the trainees' developmentrnthrough discussion among themselves were not established, and kaizen principles which werernsustained were insignificant.rnBased on these findings, the researcher suggests the following:- In order to train copyingrntechnology and sustain kaizen in the small and micro manufacturing enterprises, TVETs shouldrnequip themselves with modern machines, Trainers should take practical kaizen training coursernon how to sustain and setting standards in the manufacturing enterprises, and Stakeholdersrnshould cooperate with TVETs to make QC functional in the micro and small businessrnenterprises