scholarly journals The challenges of developing small tourism enterprises in townships: case of Umlazi, South Africa

2016 ◽  
Vol 14 (1) ◽  
pp. 201-205
Author(s):  
Nsizwazikhona Simon Chili ◽  
Simiso Lindokuhle Mabaso
Keyword(s):  
South Africa ◽  
South African ◽  
Local Economic Development ◽  
Tourism Industry ◽  
Small Scale ◽  
Elite Group ◽  
Global Tourism ◽  
Tourism Enterprises ◽  
Township Tourism ◽  
Tourism Economy

Township tourism in South Africa has grown in popularity since 1994 and is considered by some researchers to be an appropriate mechanism for stimulating local economic development. Opportunities for the development of black-owned enterprises in South Africa began for the first time when the country integrated into the global tourism economy after many years of international sanctions. The growth of township tourism thus can provide the context for potential economic opportunities for local entrepreneurs to enter the business, an activity that traditionally has been the domain of established white South African entrepreneurs. The main objective of the study is to present findings on the challenges that face a certain group of small tourism enterprises in townships with more attention being specifically paid to Umlazi as the second biggest township in the Southern hemisphere. The main reason for the choice of the study is due to the fact that there is only a limited literature that explores the conditions of small-scale and informal tourism entrepreneurs operating in South Africa’s black townships. The focus falls upon the challenges of developing small tourism entrepreneurs for black owners in the township, especially because South African tourism industry is highly concentrated and dominated by small elite group of large, mostly locally owned, tourism organizations which drive the tourism economy that unfortunately excludes and sidelines that of the townships

scholarly journals Risk factors for failure in newly established small, micro and medium-sized enterprises in the tourism sector of Gauteng Province, South Africa

2015 ◽  
Vol 5 (4) ◽  
pp. 8-18
Author(s):  
Zeleke Worku
Keyword(s):  
South Africa ◽  
South African ◽  
Geographical Location ◽  
Tourism Industry ◽  
The South ◽  
Gauteng Province ◽  
Entrepreneurial Skills ◽  
Tourism Sector ◽  
Networking Ability ◽  
Tourism Enterprises

The annual report issued for the financial year 2013/2014 by the South African Chamber of Commerce and Industry (2015) shows that the business confidence index of South Africa was equal to 89.3% in January 2015. According to the South African National Department of Tourism (2015), the tourism sector contributed 93 Billion Rand (3%) to the South African GDP in the year 2012. The contribution of the tourism sector was equal to 189.4 Billion Rand in the year 2009. This figure is projected to grow to 499 Billion Rand by the year 2020. According to the South African Small Enterprise Development Agency (2015), newly established and emerging business enterprises conducting business in the tourism sector of Gauteng Province are less viable and efficient in comparison with well-established tourism enterprises. The objective of this study was to identify and quantify risk factors for underperformance and bankruptcy in the tourism sector of Gauteng Province in South Africa. The study was based on data collected from a stratified random sample of size 311 tourism enterprises that operate in Gauteng Province, South Africa. Data was collected on a large number of socio-economic factors that adversely affect entrepreneurial activities in the tourism sector of Gauteng Province. A combination of quantitative and qualitative methods of data collection and analyses was used in the study. Examples of variables on which data was gathered was level of entrepreneurial skills, level of formal education, location of business, duration of experience, amount of capital, number of employees, ability to network with other tourist operators, degree of competition from rival operators, geographical location, category of business, category of entrepreneurial skills, average number of visitors per month, net profit, size of business, market share, access to finance, and degree of support from Government agencies. Results obtained from the study showed that the long-term survival and viability of African entrepreneurs in the tourism industry of Gauteng Province was significantly and adversely affected by the degree of competition from rival operators, poor networking ability, lack of entrepreneurial skills, low capital, and geographical location. The study found that African entrepreneurs in the tourism industry of Gauteng Province lagged behind their white counterparts significantly in terms of networking ability, capital and entrepreneurial skills. In addition, 82% of the 311 African entrepreneurs who participated in the study lacked suitable skills due to their poor and irrelevant academic and vocational background, and that 59% of entrepreneurs had received little or no assistance in terms of mentoring or training opportunities from South African Government agencies.

scholarly journals The South African Adventure Tourism Economy: An urban phenomenon

2017 ◽  
Vol 37 (37) ◽  
pp. 63-76 ◽  
Author(s):  
Tracey McKay
Keyword(s):  
South Africa ◽  
South African ◽  
Small Towns ◽  
The South ◽  
Adventure Tourism ◽  
Outdoor Spaces ◽  
Large Populations ◽  
Urban Settlements ◽  
Tourism Enterprises ◽  
Tourism Economy

AbstractThe international adventure tourism literature is remarkably silent on the geographical nature of the industry. This study seeks to provide a geographical analysis of the sector within the context of South Africa. The spatial analysis was undertaken by metropolitan area, secondary towns and small towns, using a dataset of adventure tourism enterprises. It was found that the sector is spatially concentrated and highly urbanised, despite the perception that adventure tourism requires ‘wild’ and outdoor spaces. With many adventure tourism enterprises located in South Africa’s metropolitan areas, it is a hither too unknown sub-sector of the South African urban tourism market. Urban settlements with large populations and a strong general tourism sector form a significant support base for adventure tourism operators. Cape Town is the dominant adventure tourism destination, making it the adventure capital of South Africa. A few small settlements were found to be highly dependent upon the sector for survival.

scholarly journals Implications of COVID-19 Induced Lockdown on the South African Tourism Industry and Prospects for Recovery

2021 ◽  
Vol 10(1) (10(1)) ◽  
pp. 270-287
Author(s):  
Kaitano Dube
Keyword(s):  
South Africa ◽  
Financial Aid ◽  
South African ◽  
Document Analysis ◽  
Tourism Industry ◽  
Public And Private ◽  
Regional Tourism ◽  
Special Events ◽  
Tourism Economy ◽  
The Impact

South Africa has one of the largest and most developed tourism markets in Southern Africa. Consequently, the sector's performance, therefore, has implications on the regional tourism market. In the advent of COVID-19, South Africa emerged as one of the global and regional epicentres of coronavirus infections. In March 2020, South Africa was one of the countries that adopted hard lockdown measures to control the pandemic. The consequent sealing off of the country’s ports brought the tourism industry to a sudden halt. This study is aimed at examining the impact and potential reopening strategies that the tourism industry can adopt in South Africa. The study is based on critical document analysis of survey reports from South Africa’s National Department of Tourism, Stats SA, Google Mobility and other authoritative, relevant sources. The study concludes that the pandemic had a devastating impact on various sectors of the tourism economy. The most devastating industries include the aviation, maritime, special events, accommodation and attraction sectors. The sudden halting of the tourism industry threatened conservation efforts and the business viability of many tourism establishments. Consequently, public and private airlines were liquidated or placed under business administration with far-reaching implications for various destinations and travel sectors. The study recommends a well-engineered financial aid package for the region's tourism industry, reduced tourism levies and taxes backed by the adoption of stringent health protocols to help the industry recover and make travel appealing and attractive again. A robust vaccination program must support such efforts.

scholarly journals The COVID-19 Pandemic and Its Impacts on Tourism Business in a Developing City: Insight from Vietnam

Economies ◽  
2021 ◽  
Vol 9 (4) ◽  
pp. 172
Author(s):  
Da Van Huynh ◽  
Thuy Thi Kim Truong ◽  
Long Hai Duong ◽  
Nhan Trong Nguyen ◽  
Giang Vu Huong Dao ◽  
...  
Keyword(s):  
Tourism Industry ◽  
Economic Losses ◽  
Third Wave ◽  
Sharp Drop ◽  
Global Tourism ◽  
Accommodation Sector ◽  
Tourism Enterprises ◽  
Tourism Economy ◽  
Number Of Customers

The COVID-19 pandemic has generally destroyed the global tourism industry and threatened the recovery of destinations in developing countries facing more challenges from increasingly serious waves of the pandemic. Although many studies have attempted to measure the general impacts of COVID-19, very little research has been conducted to assess its overall impact on specific tourism destinations throughout many waves of the pandemic. This research aims to explore how a tourism economy in a developing country context has been damaged after many waves of COVID-19. A typical emerging city in Vietnam experiencing three waves of the COVID-19 pandemic was selected as a case study. The study recruited 40 representatives of tourism-related organizations for in-depth interviews, while 280 questionnaires were distributed to participants from different tourism organizations. The findings indicate that the majority of tourism businesses in the examined case study seriously suffered from the pandemic, and very few tourism-related enterprises were able to recover after the first wave of infection. Unfortunately, the tourism business sectors were found to be on the brink of bankruptcy or facing permanent shutdown after the third wave. All tourism enterprises generally appeared to experience a sharp drop in the number of customers, tourism revenue, service facilities and exploitation, as well as employee downsizing, but the degree of downturn differed among the examined enterprises. Among the tourism enterprises, travel agencies and the accommodation sector were found to suffer the greatest economic losses compared to other stakeholders. In general, the COVID-19 pandemic’s impact on the tourism business in Vietnam is a big concern, which may require a timely economic policy response and financial scheme to better support local enterprises in coping with the challenges during post-pandemic recovery.

Transformation in South African Tourism: A Geographical Perspective on the Eastern Cape

2021 ◽  
Vol 10 (10(5)) ◽  
pp. 1610-1629
Author(s):  
Christian Rogerson ◽  
Zinzi Sixaba
Keyword(s):  
South Africa ◽  
South African ◽  
Small Firms ◽  
Formative Period ◽  
Small Scale ◽  
Eastern Cape ◽  
Historical Approach ◽  
Geographical Patterns ◽  
Black Entrepreneurs ◽  
Tourism Economy

In the international scholarship about tourism small firms the most distinguishing feature of South Africa relates to transformation debates. This article represents a contribution to the vibrant literature around small tourism firms and change in the global South by analysing the geographies of transformation in one South African province, the Eastern Cape. An historical approach is applied to understand the spatial patterns of transformation as mapped in patterns of ownership of Black small-scale accommodation enterprises. The historical approach shows that different regulatory regimes regarding Black entrepreneurs and their involvement in South African tourism have existed at different times and especially under the influence of apartheid legislation and following democratic change. The formative period of Eastern Cape tourism during the first half of the 20th century witnessed the establishment of a tourism economy dominated by White entrepreneurs and most especially in the coastal areas. The apartheid period, however, allowed a small window of opportunity for Black entrepreneurs to establish tourism businesses in the former ‘reserves’ which would become the Homelands. It is shown that the former Homelands areas are currently the most advanced transformation spaces. This finding reinforces the view that whilst with the end of apartheid the Homelands formally ceased to exist their legacy remains inscribed on the character and geographical patterns of tourism small firm development in South Africa.

scholarly journals Township Tourism: The politics and socio-economic dynamics of tourism in the South African township: Umlazi, Durban

2015 ◽  
Vol 7 (4(J)) ◽  
pp. 14-21
Author(s):  
Nsizwazikhona Simon Chili
Keyword(s):  
South Africa ◽  
Economic Development ◽  
South African ◽  
Small Businesses ◽  
Local Economic Development ◽  
Racial Groups ◽  
Economic Dynamics ◽  
Local Residents ◽  
Township Tourism ◽  
South African Township

The paper analyses how tourism development at Umlazi which is one of the second biggest Townships in the Southern hemisphere has been hampered by politics and socio economic dynamics that stifle the empowerment of both tourism entrepreneurs and local communities respectively. The impacts of tourism have been given much attention by scholars to examine the perceptions and attitudes of local residents towards Township tourism in South Africa. However, there is little research that focuses on how much political and economic dynamics of the past and present dispensations have adversely impacted on the tourism economic development of small emerging entrepreneurs and local residents of the Townships. This study attempts to make a little contribution to South African Township tourism by examining political and economic dimensions that hinder small businesses and local residents of uMlazi to thrive and get empowered through tourism. Township tourism in South Africa has slightly improved and grown in popularity since 1994 and is considered by the government and other social agents to be an appropriate opportunity for small businesses and the stimulation of local economic development. However, the paper argues that tourism fails to act as a panacea of economic development in the township of Umlazi, since there is lack of business opportunities, intervention and support of local government, private sector and racial groups that are endowed with more than enough financial resources. Data were collected by means of interviews that allowed the interviewer to pose some open-ended questions so that the interviewee could express his or her own opinion freely for the extraction of more information. Based on 30 respondents surveyed, the findings show that there are numerous obstacles that are directly linked to political and economic dynamics. These obstacles include lack of political intervention and financial support for tourism entrepreneurs and local residents of UMlazi Township. On the whole respondents viewed Township tourism negatively. They were generally of the idea that township tourism can only be of benefit to residents once it is often visited by racial groups who are better off financially after their fears about safety and security have been allayed.

Exploring the South African Government Communication on Land Expropriation without Compensation

2020 ◽  
Vol 72 (1-3) ◽  
Author(s):  
Lungisani Moyo
Keyword(s):  
South Africa ◽  
Food Security ◽  
South African ◽  
Small Scale ◽  
South African Government ◽  
Eastern Cape ◽  
The South ◽  
Land Expropriation ◽  
African Government ◽  
Government Communication

ABSTRACT This paper used qualitative methodology to explore the South African government communication and land expropriation without compensation and its effects on food security using Alice town located in the Eastern Cape Province South Africa as its case study. This was done to allow the participants to give their perceptions on the role of government communication on land expropriation without compensation and its effects on South African food security. In this paper, a total population of 30 comprising of 26 small scale farmers in rural Alice and 4 employees from the Department of Agriculture (Alice), Eastern Cape, South Africa were interviewed to get their perception and views on government communications and land expropriation without compensation and its effects on South African food security. The findings of this paper revealed that the agricultural sector plays a vital role in the South African economy hence there is a great need to speed up transformation in the sector.

scholarly journals THE IMPACT OF COVID-19 ON MARKET CAPITAL ON THE EXAMPLE OF THE TOURIST INDUSTRY: EXPERIENCE OF THE EU AND OTHER COUNTRIES

2021 ◽  
Vol 2021 (1) ◽  
pp. 111-121
Author(s):  
M. Troian ◽  
V. Shkola ◽  
M. Domashenko ◽  
T. Makarenko
Keyword(s):  
Swot Analysis ◽  
Strong Support ◽  
World Order ◽  
Tourism Industry ◽  
Government Support ◽  
The World ◽  
Global Tourism ◽  
Tourism Enterprises ◽  
The Impact ◽  
The Eu

With the spread of the COVID-19 pandemic, the tourism industry faced a crisis that could be the worst in history. In recent years, the tourism industry has been one of the fastest-growing industries, sometimes faster than the world economy as a whole. 2019 has brought unprecedented changes to the world order, affecting all socio-ecological and economic ties. What are the consequences of and will have global tourism in connection with the spread of the COVID-19 pandemic, which countries and regions of the world will suffer the greatest losses, what threatens and what are the benefits of the tourism crisis that will bring a "new order" to the tourism industry, what innovative management anti-crisis measures should be applied by world governments and non-governmental organizations to overcome the unprecedented tourism crisis - all these issues remain acute and have identified the research topic. The paper examines the methodological developments and recommendations for overcoming the tourism crisis in Europe caused by the pandemic virus COVID-19, namely, the article identifies the basics and consequences of the pandemic impact on market capital on the example of tourism in Europe and the world, shows that the global tourism industry is one of the main factors in the formation of market capital, studied market capital as a component of intellectual capital on the example of tourism in the EU, outlined the prospects for global tourism, developed a system of measures to overcome the global crisis through tourism SWOT-analysis. Namely: enhanced multilateral cooperation and strong support are important for the resumption of tourism; the speed of adaptation of governments at all levels and the private sector involved in the tourism sector and the ability to respond quickly and adapt to the crisis; providing targeted and affordable government support as quickly and efficiently as possible for vulnerable tourism enterprises, workers and tourists; ensuring policy clarity and taking measures to limit uncertainty; invention and development of more sustainable and sustainable (socio-ecological-economic) models of tourism; development of tourism education and legislation.

Covid-19 Crisis Management Responses of Small Tourism Firms in South Africa

2022 ◽  
Author(s):  
Irma Booyens ◽  
Christian M. Rogerson ◽  
Jayne M. Rogerson ◽  
Tom Baum
Keyword(s):  
South Africa ◽  
Crisis Management ◽  
Management Practices ◽  
Management Strategies ◽  
Tourism Industry ◽  
Government Support ◽  
Interview Survey ◽  
Tourism Enterprises ◽  
And Coping ◽  
The Impact

Although the literature on COVID-19 is expanding, particularly in relation to crisis management responses pursued by large tourism enterprises, currently few studies exist on the responses of small tourism firms and more specifically of the crisis management practices of small and microaccom modation establishments. The aim in this study is to investigate the business management responses of small tourism firms to the COVID-19 pandemic crisis and restrictions in South Africa. Themes of concern are whether enterprises have been able to sustain operations and adopt certain coping mechanisms or management strategies to mitigate the pandemic’s impact. The article reports on an interview survey of small and microenterprises engaged in accommodation services (N = 75) in South Africa under lockdown restrictions as a means of assessing the responses and coping strategies during an unprecedented crisis of this core component of the country’s tourism industry. Among key findings are that small and microlodging firms that have suffered severe financial losses because of the COVID-19 shock have few viable mechanisms to cope with the impact of the crisis and that government support to aid recovery has been insufficient in South Africa. This research contributes to the limited body of international scholarship that examines how small and microaccommodation firms, a major group and contributor of many economies, are navigating the unprecedented COVID-19 environment.

From Township Tourism, Semigration, and Second-Home Tourism

2021 ◽  
Vol 12 (2) ◽  
pp. 1-17
Author(s):  
Unathi Sonwabile Henama
Keyword(s):  
Local Community ◽  
Developed Countries ◽  
Tourism Industry ◽  
International Travel ◽  
Second Home ◽  
Global Tourism ◽  
The Developed Countries ◽  
Township Tourism ◽  
Developed World

Tourism is disproportionally important for African economies, considering that Africa receives less than 10% of the global tourism receipts. The majority of international travel occurs between the developed world, which means that the positive economic impacts of tourism are shared amongst the developed countries. Tourism has become the number one foreign exchange earner for many countries in Africa, diversifying the economy from either agriculture or mining. Tourism is developed with the intention that it will improve the quality-of-life and standard of living of the local community. The tourism industry has shown sustained growth, and it is regarded as a panacea for the plethora of challenges facing many countries. The structural challenges that face the economy in South Africa require an economic sector that can create immediate employment and catalyse the economy.

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