scholarly journals Large Enterprises Neglect Supporting SMEs in Mozambique

2018 ◽  
Vol 4 (1) ◽  
pp. 77 ◽  
Author(s):  
Alen Sawaya ◽  
Shepherd Bhero

<p><em>It is globally accepted that support to Small and Medium Enterprises (SMEs) at their birth and during growth is essential to nurture them in order to avoid premature deaths. Support to SMEs can come in many forms, but large enterprises support to SMEs, especially manufacturing ones is crucial to enable them to enhance their organizational structure, adoption of new technology and gaining financial stability. The objective of this research was to find out the impact of large firms support to SMEs and how the two sectors interact in the Mozambican economy. </em><em>Using a sample of SMEs from Greater Maputo to represent the country as a whole, the study was carried out</em><em> involving three sectors, manufacturing, services and commerce sub-sectors. The research used quantitative methodology applying face-to-face questionnaires, based on structured close ended questions. The study found that there was very little support to SMEs coming from large firm in Mozambique. It was recommended that more incentives and encouragements be given to large firms in order to increase their participation in SMEs development and growth in the country.</em></p>

Author(s):  
Mohammed Elnagi Elgafari, Ehmaid Abu Khanger Mohammed Algoha Mohammed Elnagi Elgafari, Ehmaid Abu Khanger Mohammed Algoha

The study aimed to identify the reality of the small and medium enterprises in Libya and the role of financial risks management in the success of these projects. The study followed the historical descriptive method and the quantitative methodology. The data were collected by means of a questionnaire, distributed to a simple random sample of small and medium enterprises, and analyzed through the SPSS program. The study found that, the lack of liquidity and the risk of repayment of loans come at the forefront of the financial risks affecting small and medium enterprises in the region of Sabha in Libya. The most important recommendations of the study: the need to develop the strategy of small and medium enterprises, after a careful and realistic analysis of its environment. Develop a realistic strategy for projects, taking into account the risks faced by these enterprises.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jefferson Marlon Monticelli ◽  
Ivan Lapuente Garrido ◽  
Luciana Marques Vieira ◽  
Adriana Fumi Chim-Miki ◽  
Jorge Carneiro

Purpose This paper aims to investigate the effects of formal institution agents on export performance, mediated by coopetition. It presents novel scales for evaluating firms’ adherence to cooperation agreements with competitors, identifying coopetition networks’ main motives and goals. The study also focuses on the relationship between the export performance of small and medium enterprises from emerging markets and coopetition strategies. Design/methodology/approach The study adopts a quantitative methodology using multivariate and confirmatory methods. The sample comprised 166 firms from three different industries in an emerging market (Brazil). Findings The results indicate that adherence to formal institution agents promotes cooperation among competitors and that such coopetition tends to improve export performance. The role played by formal institution agents minimizes the paradoxical tension and fosters coopetitive performance. Firms in developing markets look to mediated coopetition to achieve coopetitive advantages. They cooperate to create collective advantages from shared resources, but they do not lose sight of the ultimate objective of appropriating these advantages. The cycle of creation and appropriation of advantages is fostered by the formal institution agent, acting as the conductor of an orchestra, coordinating movements and setting the rhythm for the partners. The institutional agent, thus, constitutes an important hub of the coopetition network. Originality/value The paper contributes to understanding a type of coopetition that has hitherto been underexplored in the literature – mediated coopetition.


2013 ◽  
Vol 1 (1) ◽  
pp. 6
Author(s):  
Tri Winarno

In this article we examine three broad issues. The first is to measure the impact of 2008 global financial crisis on Indonesia’s economy, particularly on loans extended to small and medium scale enterprises at regional level. Next is to analyze significant factors of inducing loans extended to small and medium scale enterprises. Finally, it is to fill the gap in the literature by introducing a quantitative methodology. A spatial lag model and spatial error model are used to assess the three broad issues. Regionally, quarterly panel data spanning from 2002 up to 2011 are employed to support the analysis. One of the results is the global financial crisis that negatively impacts on Indonesia economy, particularly on the performance of small and medium enterprises (SMEs).  In terms of loan extended to the SMEs, there is strong and positive spatially correlation among province, showing commoving and integrating economy within the territories of Indonesia. Finally, this research suggests that interest  rates is not significantly correlated with loans to SMEs, which indicates that the access to financial institutions is more important and urgent to boost the performance of SMEs in Indonesia which is  reinforcing the opinion of financial inclusions for SMEs.


2016 ◽  
Vol 5 (2) ◽  
pp. 40-47 ◽  
Author(s):  
Solly Matshonisa Seeletse ◽  
Mantepu Tshepo MaseTshaba

Small and medium enterprises (SMEs), which, over the years, were in charge of supplying goods to rural areas and townships, are fast losing markets to large business. Modern customers want value-for-money through high-quality products at low prices, greater convenience, and a wide range of choices. Large enterprises are capable of meeting these demands. Hence, they have a competitive advantage over the SMEs. In addition, large corporations can deliver the convenience of one-stop-shopping. This paper exposes SMEs options useful for offseting the might of large business. It highlights the available routes for strength creation. One option is to step aside temporarily while running the SMEs, but preparing fully for future competition. Another option is to fill the gaps left by large companies while preparing to contest face-to-face. Recommendations are that SMEs should exploit available empowerment opportunities and, then, use methods of advantage to work in the presence of large businesses. SMEs can delay direct competition until the time is right. Keywords: competition, empowerment, large enterprises, SEDA, SMEs. JEL Classification: D41, D51, D83.


Author(s):  
Olusegun Dosumu ◽  
Javed Hussain ◽  
Hatem El-Gohary

This paper explores the effects of government policies on the development of Small and Medium Enterprises in developing countries through the examination of the case of Nigeria. Many research studies reported that SMEs in Nigeria have not benefited from the policies formulated by the government. This paper investigates the impediments to manufacturing SMEs growth and the needed pre-requisite environment for SMEs to benefit from government specific policies. The study adopted a qualitative methodology depending on face to face interviews with 20 SME owners and/or managers in five of the six geographical arears of Nigeria, 20 bank managers in the capital city of Lagos and 20 government officials located in the federal capital city of Abuja. The study unveils unique contextually novel insights, including particularly the distinctive processes and different relationships related to lenders decision. The research findings are consistent with those reported by other scholars in the field, and confirm that government policies and support in the areas of technology, infrastructure and finance affects the performance of SMEs to a great extent in Nigeria.


2013 ◽  
Vol 29 (6) ◽  
pp. 1673 ◽  
Author(s):  
Alain Daou ◽  
Egide Karuranga ◽  
Zhan Su

<p>This paper combines the resource-based and dynamic capabilities views to examine intellectual capital in Mexican small and medium enterprises (SMEs) and its relation to competitive advantage. Following an exploratory approach, this paper relies on face-to-face interviews with managers to take an in-depth look at the three components of intellectual capital: human, organizational, and relational capital. Further, a SME typology is proposed and the examined companies are categorized accordingly. Dynamic SMEs have instituted internal and external processes to respond rapidly to change, allowing them to sense opportunities and threats and subsequently benefiting from competitive advantages. This analysis can help both managers and policymakers put appropriate programs in place to encourage SME development and growth by identifying the impact of intellectual capital. The generalizability of the results is limited by the small sample size and the focus on one geographic region in Mexico. This study contributes to the limited literature on intellectual capital in SMEs in emerging markets. Moreover, very few papers have analyzed intellectual capital from the perspective of the dynamic capabilities view.</p>


Author(s):  
Svetlana L. Sazanova

Entrepreneurship plays an important role in the modern global economy; the share of products of small and medium enterprises in the gross product and exports not only of the developed but also of developing countries is growing. Innovation processes cover all sectors of the economy, and more and more people are involved in entrepreneurial activity, which contributes to the penetration of entrepreneurial thinking and business values in all areas of the socioeconomic life of society. The Institute of Entrepreneurship plays an increasingly prominent role in the institutional environment of socio-economic systems. This actualizes the problem of studying the relationship of the institution of entrepreneurship with the institutions of law, culture, management. This requires a methodology that allows you to explore the impact on the institute of entrepreneurship not only economic, but also non-economic factors. The methodology of the “old” institutionalism possesses such a tool, it is structural modeling (pattern modeling), which allows to explore the diversity of interrelationships of the institution of entrepreneurship with other components of the institutional and economic environment. The article explored the features of the development of the institution of entrepreneurship in Russia, established the relationship between the institution of entrepreneurship, values, motives and incentives for entrepreneurial activity, built a structural model of the institution of entrepreneurship based on the methodology of the old institutionalism (pattern modeling). The structural model of the institution of entrepreneurship reveals the relationship between the institution of entrepreneurship, the values of entrepreneurial activity, its motives and incentives; as well as the relationship between the institution of entrepreneurship with the institutions of governance, cultural and religious institutions, legal institutions and society.


Author(s):  
Mwinyihija M.

Africa’s renaissance is inevitable and rapidly emerging as a reality in tandem with the continent’s continued exploration of its natural resources in a more sustained way than previously done. Currently, the clarion call is to value add, avoid plundering and involve its population through the SME’s to adapt modern methods of entrepreneurship. During the study, critical aspects that are envisaged to trigger the growth and development of Africa, included the entry of major countries of the continent into the global emerging markets such as MINT (Mexico, Indonesia, Nigeria and Turkey) and BRICS (Brazil, Russia, India, China and South Africa). For the leather sector, certain socioeconomic indicators such as the youthful participation in the value chain, ownership status, literacy levels and acquired experiences are all contributing to a vibrant sector. It was observed that these indicators if well aligned with individual member states of African Union Commission and structured than productivity and competitiveness of leather products will be attained. As such, ease of either foreign direct investment, local recapitalization and development of the SME’s could become feasible. Indeed, with the emergence of over 300 million youth at middle level income level is construed to start building on the impact of the continents purchasing power. Therefore, Africa needs to respond by address on development of ICT, develop affordable financial support to provide stimulus packages to SME’s (Small and Medium Enterprises) to transform, improve on inter and intra trade to optimize on unexplored synergies and enhance mobility of persons with in Africa as preamble to Africa’s renaissance.


2020 ◽  
Vol 9 (2) ◽  
pp. 298
Author(s):  
Muhamad Marwan

The aim of this study is to determine the impact of networking on SME’s ability to access government financial support through legal channels in Asia Pacific. This study is quantitative in nature in which the data has been gathered from 281 employees and managers working in SMEs through survey questionnaire. The SEM technique was utilised for the purpose of analysing and testing the mediation effect. The study found that there is a partial mediation of government financial support through legal channels among the relationship between networking with officers and access to finance. This study is restricted to the SMEs operating in the region of Asia Pacific.


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