Worlds apart: an investigation of South Africa’s established and emerging middle class consumers

2019 ◽  
Vol 14 (4) ◽  
pp. 300-319
Author(s):  
James Lappeman ◽  
Caitlin Ferreira ◽  
Jeandri Robertson ◽  
Tendai Chikweche

Purpose The purpose of the paper is to investigate the nature of variations among established and emerging middle class consumers in South Africa in response to the institution context factors associated with emerging markets that are established in international business studies. Design/methodology/approach An exploratory research approach using semi-structured expert interviews was used to collect data. Findings Key findings indicate distinct approaches in dealing with factors such as different fallback positions, asset ownership, education, language, family responsibility, career aspirations and risk protection in the middle class process of attaining and sustaining middle class status. Research limitations/implications The focus on one country has the potential to minimize the generalizability of findings from the study, however, South Africa has a significantly high proportion of sub-Saharan middle class consumers. This provides a basis for further a basis for further research into other sub-Saharan African countries. Practical implications Findings from the study provide practical insights on risk profiling of middle-class consumers for marketing practitioners. Social implications The study provides insights into the distinct variations between emerging and established middle class consumers in areas such as language and education. These insights have potential implications on the implementation of government policies such as the Empowerment Policy and consumer protection. Originality/value The paper expands the research agenda in the area of middle class consumer behavior in emerging markets. By concentrating on South Africa, the research expands existing knowledge beyond emerging giants like China and India, which are often a focus in literature.

Significance The split between Qatar and its neighbours has pushed a few small African countries to side with Saudi Arabia, but leaves the continent’s leading powers and several conflict-afflicted nations eager to stay neutral -- for now. In sub-Saharan Africa (SSA) -- where Gulf countries have strong diplomatic ties and major economic investments -- the crisis has had significant political effects. Impacts The withdrawal of Qatari peacekeepers from the Djibouti-Eritrea border will become a pressing concern for the African Union. Ongoing expulsions of African migrants from Saudi Arabia will complicate Saudi and Emirati efforts to find African partners against Qatar. Countries such as South Africa and Nigeria may begin to act more assertively in calling for neutrality.


2022 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Herring Shava ◽  
Willie Chinyamurindi

PurposeThe study explores growth barriers experienced by a sample of women subsistence entrepreneurs operating within the informal sector in South Africa.Design/methodology/approachThe paper utilizes a descriptive-exploratory research approach and design relying on semi-structured interviews. A purposive sample of 45 women subsistence entrepreneurs formed the participant pool.FindingsThree main narratives emerged. First, a sense of personal contentment existed as a potential barrier for women subsistence entrepreneurs. Second, the women subsistence entrepreneurs had no expansion strategy due to their circumstances. This served as a barrier to growth. Finally, challenges emanating from the home-front served as a limit to the growth of the informal sector business.Research limitations/implicationsBased on the findings, strategies are offered to assist the women subsistence entrepreneurs in tackling the identified barriers to the growth of the informal sector business. A limitation of the research concerns issues that accompany qualitative research. Notably, these include sampling issues.Practical implicationsBased on the findings, strategies are offered to assist women subsistence entrepreneurs in tackling the barriers that affect their businesses.Originality/valueGiven the popularity of the informal sector in emerging nations such as South Africa, the study proffers suggestions that assist the advancement of subsistence entrepreneurship, especially within the informal sector. The role of women in all this is heightened.


2017 ◽  
Vol 43 (10) ◽  
pp. 1117-1136 ◽  
Author(s):  
Naima Lassoued ◽  
Mouna Ben Rejeb Attia ◽  
Houda Sassi

Purpose The purpose of this paper is to investigate whether ownership structure affects earnings management in the banking industry of emerging markets. Design/methodology/approach The empirical study is conducted using a sample of 134 banks from 12 Middle Eastern and North African countries. Econometrically speaking, the study used a panel data regression analysis. Findings The authors found convincing evidence that banks with more concentrated ownership use discretionary loan loss provisions to manage their earnings. The authors also found that state and institutional owners encourage earnings management, while family owners reduce this practice. Practical implications The findings would be valuable for investors since they should take into account ownership structure in order to reach a better investment decision. Moreover, regulatory reforms in emerging markets should push for more transparency about ownership structure, high levels of supervision, and external audit quality. Originality/value This study presents international evidence on the prominent role of owners in earnings management in emerging markets with weak shareholder rights protection.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ese Urhie ◽  
Ogechi Chiagozie Amonu ◽  
Chiderah Mbah ◽  
Olabanji Olukayode Ewetan ◽  
Oluwatoyin Augustina Matthew ◽  
...  

Purpose This study aims to analyze the effect of banking technology [automated teller machine (ATM) and mobile cellular devices (MOBs)] and other traditional factors on the level of currency in circulation for a sample of 21 selected sub-Saharan African (SSA) countries. It also assessed the mitigating effect of education on the relationship between banking technology and the cashless economy. Design/methodology/approach The study used a panel data approach to design a cashless economy model with banking technology – ATM and MOBs – as well as their interaction with education as regressors. Findings This study finds that MOB is significant for promoting a cashless economy, whereas ATM is insignificant in sample SSA countries. The level of education and the number of bank branches were also found to be significant in promoting a cashless economy. The interaction between education and ATM was insignificant but negatively signed, whereas that between education and MOB was significant but had a positive sign. Research limitations/implications Non-availability of data restricted this work to a panel study of selected SSA countries. Subsequent studies should consider single-country case studies. Practical implications Findings from the study imply that for banking technology to drive a cashless economy effectively, education has to be improved. Originality/value The ratio of cash in circulation to total money supply was used as a measure of the cashless economy. The study also evaluated the moderating effect of education on banking technology.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Gaurav Panse ◽  
Alan Fyall ◽  
Sergio Alvarez

Purpose Mass tourism in urban settings has proven to be economically significant in many parts of the world. To date, however, the academic debate on sustainable tourism has focused primarily on the ecological and socio-cultural sustainability of tourism in rural and coastal, rather than urban, settings. This paper aims to review the emerging debate on sustainable urban tourism, its complexities and challenges, and questions how urban destinations that are striving to become sustainable cities, can leverage benefit from the implementation of sustainable policies and practices to achieve tourism ‘destination’ competitiveness. Design/methodology/approach The paper uses a qualitative, exploratory research approach using in-depth interviews to seek responses from key stakeholders on their views and experiences of sustainability in the context of an urban destination. Thematic analysis is used to analyze and present the findings. Findings This study concludes that destinations need to be viewed in their broader regional context. Rather than be viewed solely as destinations that are ‘kind to the environment,’ sustainable urban destinations need to demonstrate a deeper commitment to all stakeholder groups, and especially local residents, to provide a fair and desirable ecosystem for achievement of the UN Sustainable Development Goals. Originality/value This paper reflects on the potential relationship between ‘urban sustainability’ and the ‘destination competitiveness’ of an urban tourism destination. This then will provide the platform for sustainability to truly contribute to future destination competitiveness.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Folorunsho M. Ajide

Purpose This study aims to investigate the possible relationship between financial inclusion and shadow economy in selected African countries. Design/methodology/approach The study uses panel data estimation technique and Toda and Yamamoto causality approach. The data of selected African counties over a period of 2005–2015 are sourced from World Bank Development Indicators, International Monetary Fund International Financial statistics database and International Country Risk Guide. Findings The results show that financial inclusion reduces the size of shadow economy. The causality results show that there is a unidirectional causality moving from financial inclusion to shadow economy. The results demonstrate that a country with lower level of corruption and higher level of growth can benefit more in reducing the size of shadow economy through financial inclusion. Originality/value This study provides the first evidence of the link between financial inclusion and shadow economy from the Sub-Saharan Africa perspective. The study suggests that financial inclusion may be useful in affecting the size of shadow economy in Africa.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Olayinka Adedayo Erin ◽  
Omololu Adex Bamigboye

Purpose The 2030 Agenda and the sustainable development goals (SDG) have gained considerable attention in research and public debate. This calls for accounting research on the subject of SDG disclosure. Based on this premise, this paper aims to evaluate and analyze the extent of SDG reporting by 80 listed firms from 8 selected African countries for the period of 2016 to 2018. Design/methodology/approach The study adopts a content analysis and survey method to evaluate the extent of SDG reporting by the selected African countries. This paper conducted content analysis through the use of the PricewaterhouseCoopers (PwC) framework and Global Reporting Initiative (GRI) framework to gauge the extent of firms’ compliance with SDG reporting. Also, this paper uses the business reporting indicators for each SDG developed by GRI to determine the compliance level of the selected firms regarding SDG reporting. The survey was targeted at the big four audit firms (PwC, KPMG, Ernst and Young and Deloitte and Touche). Findings The evaluation of SDG disclosure by the 80 listed firms in Africa is still at a very low level except for South African firms. Also, the findings of the business reporting indicators for each SDG target show that most of the firms show little or no concern to report on SDG activities. The result of the research survey indicates that voluntary disclosure, lack of management commitment, lack of regulatory enforcement and cost implications account for low SDG disclosure by the selected African firms. Research limitations/implications This study fails to consider the qualitative research approach in determining the extent of SDG disclosure in Africa, as the study did not allow respondents to freely express their opinion on SDG disclosure, as a large part of the survey used close-ended questionnaires. Practical implications This study’s findings call for clear responsibility and a strong drive for SDG performance from corporate institutions in Africa. While the overall responsibility rests on the government, the actualization of SDG cannot be achieved without support from corporate organizations. The empirical approach used in this study emphasizes the need for corporate organizations to embrace sustainable practices and to integrate SDG information into their reporting cycle. Originality/value This study contributes to growing literature in the area of corporate reporting, sustainability reporting and SDG research in Africa and other emerging economies. Also, this study provides original insight into the contribution of accounting research toward the achievement of SDG.


2015 ◽  
Vol 5 (4) ◽  
pp. 417-431 ◽  
Author(s):  
Luqman Oyekunle Oyewobi ◽  
Abimbola Oluwakemi Windapo ◽  
Rotimi Olabode Bamidele James

Purpose – The essence of strategy formulation is to assist an organisation obtain a strategic fit with its environment and help enhance organisational continuous improvement in achieving performance excellence. The purpose of this paper is to investigate the type of competitive strategies used by construction organisations in attaining their strategic goals in South Africa. Design/methodology/approach – The study employs an inductive research approach using a well-structured questionnaire to elicit information from large construction organisations based in South Africa. Findings – The research identifies five strategic attributes that could assist organisations to grow their businesses and enhance their returns. It reveals that all Porters’ generic competitive strategies are significantly related to organisational financial performance measures except focus strategy. The research found that three generic competitive strategies are positively related to non-financial performance and that differentiation and cost-leadership strategies are capable of assisting organisations’ achieve their financial performance goals. Practical implications – The study results will be of immense benefit to chief executive officers as well as managers of construction organisations in growing their businesses and enhancing their corporate performance. Originality/value – The paper contributes both theoretically and empirically to the current discussion and findings on competitive strategy and its relationship with organisational performance. The results presented in the paper have important implications for the implementation of competitive strategies in construction companies and future studies in the area of strategic management.


2014 ◽  
Vol 9 (3) ◽  
pp. 400-423 ◽  
Author(s):  
Tendai Chikweche ◽  
Richard Fletcher

Purpose – The purpose of this paper is to expand knowledge about how middle class consumers in Sub-Saharan African markets behave, focusing on the potential role of social networks and the subsequent interactions that take place between these consumers and firms. Design/methodology/approach – A qualitative research method approach comprising personal interviews and observations targeted at consumers and business executives was used covering all four countries. Findings – Key findings include identification of middle of the pyramid (MOP) social networks, their impact on consumer behaviour and nature of consumer and firm interactions that take place as a result of the impact of social networks. Research limitations/implications – The sample size was restricted to 80 consumers in each of the four countries. This might limit generalisability. Practical implications – The study provides managers with insights on the potential role of social networks on marketing to the MOP in Africa. Social implications – The study provides managers with insights on the potential opportunities for corporate social responsibility solutions at the MOP. Originality/value – Research into the middle class in markets other than western advanced economies is a relatively new area of study. The majority of studies on the middle class have focused on North America and Europe ignoring the merging middle class in Africa. Hence, this research expands knowledge by providing basis for exploring new insights on the emerging marketing opportunity within the middle class in Africa.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Maayan Nakash ◽  
Dan Bouhnik

PurposeThis paper focuses on the meanings attributed to the measurement of return on investment (ROI) in knowledge management (KM) initiatives in knowledge-intensive organizations. At the heart of this exploratory research is the introduction of a unique coherent perspective of discipline experts regarding the ROI metric, as part of their perception of assessing effectiveness in this field.Design/methodology/approachThe research begins with in-depth semi-structured personal interviews and continues with focus groups, as part of a qualitative research paradigm. The data were analyzed using a thematic analysis method, based on the grounded theory approach.FindingsThe findings provide empirical evidence regarding the significant challenges associated with the objective assessment of KM performance, which is deeply rooted in numerical-financial values. Despite the high status of ROI in the business environment, the authors find that decision-makers surprisingly avoid evaluating ROI for the most important resource of the organization, notwithstanding the immeasurable hopes that depend on this performance measure and the expectation of establishing the profitability of investment in organizational KM.Originality/valueThe uniqueness of this research is the adoption of the skeptical-critical research approach. For the first time, the authors interrogate the suitability and relevance of the general model of the ROI metric as a means of proving the value and contribution of well-managed knowledge to organizations. The authors call for adoption of a new integrative perspective for evaluating effectiveness, which will reflect the holistic set of KM in organizations.


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