scholarly journals The Impact of Ethical Practices on the Performance of Small and Medium Enterprises in South Africa

2017 ◽  
Vol 9 (5) ◽  
pp. 209-218
Author(s):  
Obey Dzomonda ◽  
Olawale Fatoki
Keyword(s):  
South Africa ◽  
Data Collection ◽  
Small Businesses ◽  
Quantitative Research ◽  
Ethical Issues ◽  
Small And Medium Enterprises ◽  
Primary Data ◽  
Survey Method ◽  
Ethical Practices ◽  
The Impact

 SMEs have become beacons of hope towards improving economic growth and development of many countries globally. However, the literature documents a high discontinuance rate among small businesses. The purpose of this study is to investigate the impact of ethical practices on the performance of SMEs in South Africa. The study was based on a quantitative research design. The survey method was used as a data collection method. Using this method, self-administered questionnaires were used as the primary data collection tool. These questionnaires were hand delivered to the participants by the researcher. The random sampling method was used to obtain the participants. The population consisted of SME owner/managers in Polokwane municipality. 74 SME owner/managers participated in the survey. Data analysis included descriptive statistics, factor analysis, T tests and regression analysis. The Cronbach’s alpha was used as a measure of reliability. The findings showed that SMEs display unethical behavior and a weak performance. It was discovered that SMEs does not have policies in place to guide their ethical behavior. The T test results showed significant differences between gender and education levels with ethical practices of SMEs. The regression results showed that there is a positive relationship between ethical practices and performance of SMEs. Recommendations were made for SMEs to treat ethical issues seriously lest they risk incurring costs associated with lawsuits and negative brand reputation. 

scholarly journals External Funding And The Development Of Small And Medium-Sized Businesses In The City Of Makassar (Indonesia): An Explanatory Quantitative Study

2020 ◽  
Vol 41 (49) ◽  
pp. 104-113
Author(s):  
Salmiyah THAHA ◽  
◽  
Chalid I. MUSA ◽  
Basril BADO ◽  
◽  
...  
Keyword(s):  
Data Collection ◽  
Quantitative Study ◽  
Structural Equation ◽  
Small And Medium Enterprises ◽  
Primary Data ◽  
Survey Method ◽  
External Funding ◽  
Medium Enterprises ◽  
The City ◽  
Small And Medium Business

Academics are interested in exploring small and medium business actors both from a macro perspective that examines external factors in developing small and medium business actors, as well as from a micro perspective on internal determinants that contribute to the performance for small and medium enterprises. The purpose of this study was to analyze the effect of entrepreneurial character on external funding and the development of small and medium business actors. This research is a quantitative study that explains the influence of exogenous variables on endogenous variables. Research location in the city of Makassar, South Sulawesi. The population in this study were 136 entrepreneurs who made loans to banks (State-owned enterprises) in the city of Makassar. The sampling of this study used the census sampling method (saturated sample). The data collection method uses a survey method with primary data collection in the form of a questionnaire. Data analysis techniques using structural equation modelling. The results showed that the entrepreneurial character variable had a significant effect on external funding and the development of small and medium business actors. Therefore, based on research findings, efforts to enhance the development of small and medium business actors in further research can develop further models.

scholarly journals Financing MSMEs (Micro Small and Medium Enterprises) in Nigeria: Implications of Transaction Costs

2018 ◽  
Author(s):  
Oluseye Ajuwon ◽  
Sylvanus Ikhide ◽  
Joseph Akotey
Keyword(s):  
Financial Institutions ◽  
Small Businesses ◽  
Small And Medium Enterprises ◽  
Survey Method ◽  
Access To Finance ◽  
Access To Credit ◽  
Transactions Cost ◽  
Medium Enterprises ◽  
The Impact ◽  
Depth Interviews

This study investigated the roles of transactions cost in MSMEs access to finance. This was done by investigating the impact of transactions cost on access to credit from both MSMEs and financial institutions (commercial banks and microfinance banks). From the MSMEs’ side, borrowing experience, decision lag, firm size and borrowers’ distance to the loan office were investigated. On the financial institution’s side, the costs of information gathering, loan administration, monitoring and loan enforcement were investigated. We used the questionnaire survey method, in-depth interviews and case studies, as well as the annual financial statements of the banks. We identified interest rate and collateral value as constraints to access to finance for MSMEs. We also found financial institutions’ attitude to MSMEs access to credit was not friendly. Financial institutions need to do more to bring down transaction cost of lending. This hopefully can be achieved by investing more in agent banking which would lower operating costs, as well as spreading risk, and ultimately increase credit intermediation to small businesses.

scholarly journals Public outlook on small and medium enterprises as a strategic tool for economic growth and job creation in South Africa

2015 ◽  
Vol 4 (4) ◽  
pp. 412-418 ◽  
Author(s):  
Lawrence Mpele Lekhanya
Keyword(s):  
Economic Growth ◽  
South Africa ◽  
Quantitative Research ◽  
Small And Medium Enterprises ◽  
Job Creation ◽  
Primary Data ◽  
Research Approach ◽  
Survival And Growth ◽  
Analyse Data ◽  
Medium Enterprises

In spite of the key role played by the Small and Medium enterprises in economic development, there has been little effort to look at what needs to be done to improve survival and growth of SMEs. There is still a general lack of in-depth understanding from policy makers and other relevant stakeholders of how SMEs can be used as a strategic tool for economic growth and job creation in South Africa. These misperceptions and misunderstand leads to continuous failure to SMEs survival and growth. This study seeks to address this research gap. The study investigates the public views on what needs to be done to grow South African economy through the development of SMEs. Quantitative research approach was used to collect and analyse data for the study. Primary data was collected from four (4) provinces of South Africa. 230 people participated in the study. Questionnaires were emailed to each respondent and follow-ups were made via telephone. It was found that many SMEs fail within five years of their existence due to the various reasons. The most critical of these were related to lack of access to finance, lack of management experience as well as human capital. Study further revealed that most the SMEs owners/managers do not have business management related skills but rather they are just ordinary entrepreneurs.

scholarly journals Effect of Web atmospherics and satisfaction on purchase behavior: stimulus–organism–response model

2021 ◽  
Vol 7 (1) ◽  
Author(s):  
Abbas N. Albarq
Keyword(s):  
Data Collection ◽  
Purchase Intention ◽  
Structural Equation ◽  
Developing Economies ◽  
Capital City ◽  
Purchase Behavior ◽  
Primary Data ◽  
Equation Modeling ◽  
Survey Method ◽  
The Impact

AbstractThe effect of Web atmospheric clues on the purchase intention of Jordanian shoppers has been evaluated in this study, along with the interventions of Website gratification. The primary data collection for testing the research model via a survey method has been performed from Jordan's capital city, namely Amman. The tenure of data collection from Amman is from July to January 2020. The Structural Equation Modeling method was used to analyze the data with AMOS 22.0 software. Convergent and discriminatory legitimacy of the measurement model has been estimated with the use of confirmatory factor analysis. The satisfaction component effectively negotiates the impact of Website clues on the intent of purchase. Moreover, the purchase intention is a consequent effect of the satisfaction caused by these preliminary factors. The e-retailers and marketers of Jordan are able to interpret the influence of multiple stimulating factors on the satisfaction gained from Web-related services with the help of the outcomes of this study. It is the prerogative of online retailers to ensure the delivery of the strongest atmospheric clues impacting the Website satisfaction to the shoppers. In the context of Jordanians, this study establishes that Web managers should designate a higher number of resources to the clues that enhance the excitement value of the atmospherics of Web portals. This study boosts the knowledge of the researchers having academic interest and practical inclination toward the aspects of developing economies and adds to their current level of knowledge regarding e-retailing and online buying behavior.

Sustainability - Oriented Innovation and Performance of Small and Medium Enterprises in South Africa

2019 ◽  
Vol 10 (1) ◽  
pp. 231
Author(s):  
Olawale FATOKI
Keyword(s):  
South Africa ◽  
Quantitative Research ◽  
Small And Medium Enterprises ◽  
Manufacturing Sector ◽  
Survey Method ◽  
Research Approach ◽  
Cross Sectional Survey ◽  
Design Data ◽  
Cross Sectional ◽  
Medium Enterprises

The purpose of this study is to investigate the effect of sustainability-oriented innovation (SOI) on the performance of small and medium enterprises (SMEs) in South Africa. The study adopted a multi-dimensional measure of performance (financial, social, environmental, innovation and quality). The study used the quantitative research approach and the descriptive and causal research design. Data was collected from one hundred and ninety eight owners/managers of SMEs in the manufacturing sector. The cross-sectional survey method (self-administered questionnaire) was used for data collection. The participants in the study were conveniently sampled. Descriptive statistics, factor analysis, correlation and regression analysis were used for data analysis. The Cronbach’s alpha was used as a measure of reliability. The findings of the study indicate that economic, environmental and social dimensions of SOI have significant positive relationships with the five measures of performance. Limitations, areas for further study and recommendations to improve the SOI of SMEs are suggested.

scholarly journals Implementasi Sistem Informasi Akuntansi pada Usaha Mikro Kecil Menengah (UMKM) Bidang Pendidikan di Sumatera Barat (Studi Empiris pada Lembaga Bimbingan Belajar di Sumatera Barat)

2020 ◽  
Vol 20 (1) ◽  
pp. 126
Author(s):  
Sri Wahyuni Riza ◽  
Dwila Maresti
Keyword(s):  
Information Systems ◽  
Small Businesses ◽  
Quantitative Research ◽  
Small And Medium Enterprises ◽  
Accounting Information ◽  
Primary Data ◽  
Accounting Information Systems ◽  
West Sumatra ◽  
Technological Developments ◽  
Medium Enterprises

Technological developments directly drive the need for information, including the need for financial and accounting information for an entity or institution. Not only large entities or institutions, but the need for financial and accounting information from micro and small businesses has become important. One of the small and medium micro businesses that also have to meet the needs of financial and accounting information for external parties is a tutoring institution. Previous research has reviewed a lot about the development of accounting information systems and their application to micro, small and medium enterprises. The purpose of this study is to conduct an empirical study of the implementation of accounting information systems in micro small and medium enterprises of tutoring institutions in West Sumatra. This research is quantitative research. The data obtained is primary data through the distribution of online quizzes through Google Drive to tutoring institutions in West Sumatra. The result is that in micro businesses, especially tutoring institutions in West Sumatra are still minimal in the use of accounting information systems in managing business finances.

scholarly journals The effect of digital marketing and e-commerce on financial performance and business sustaina-bility of MSMEs during COVID-19 pandemic in Indonesia

2021 ◽  
pp. 275-282 ◽  
Author(s):  
Mas Intan Purba ◽  
Demak Claudia Yosephine Simanjutak ◽  
Yois Nelsari Malau ◽  
Walmi Sholihat ◽  
Edy Anas Ahmadi
Keyword(s):  
Data Collection ◽  
Data Processing ◽  
Financial Performance ◽  
Quantitative Research ◽  
Small And Medium Enterprises ◽  
Digital Marketing ◽  
Primary Data ◽  
Collection Method ◽  
Business Sustainability ◽  
Medium Enterprises

The purpose of this study is to analyze the effects of digital marketing (DM), e-commerce (EC), business sustainability (BS) and financial performance (FP) of Micro, Small and Medium Enterprises (MSMEs) during Pandemic Covid19 in Indonesia. The relationships between digital marketing and business sustainability, e-commerce and business sustainability, digital marketing and financial performance, e-commerce and financial performance, financial performance and business sustainability are investigated. This research is quantitative research with a questionnaire approach. Data processing tools use the SmartPLS 3.3.3 software. The primary data collection method was accomplished by distributing online questionnaires to 120 MSMEs in Banten Indonesia who had experienced the pandemic. The results show that digital marketing had significant effect on business sustainability, e-commerce had significant effect on business sustainability, digital marketing had significant effect on financial performance. However, e-commerce had no significant effect on financial performance, financial performance had no significant effect on business sustainability, digital marketing had no significant effect on business sustainability through financial performance, e-commerce had no significant effect on business sustainability through financial performance. The use of digital marketing has been carried out to increase customer awareness. Marketplace as a manifestation of e-commerce is used as an innovation or change in sales methods.

scholarly journals The Impact of Entrepreneurial Resilience on the Success of Small and Medium Enterprises in South Africa

2018 ◽  
Vol 10 (7) ◽  
pp. 2527 ◽  
Author(s):  
Olawale Fatoki
Keyword(s):  
South Africa ◽  
Sustainable Development ◽  
Small Business ◽  
Poverty Reduction ◽  
Small And Medium Enterprises ◽  
Business Owners ◽  
Survey Method ◽  
Small Business Owners ◽  
Medium Enterprises ◽  
The Impact

Small and medium enterprises (SMEs) have a significant role to play in a country’s sustainable development. The measures of a country’s sustainable development include economic and social factors. The sustainability of small and medium enterprises is vital to job creation, poverty reduction, and sustainable economic growth. The high failure rate of SMEs negatively impacts on South Africa’s sustainable development. The purpose of the study was to investigate the relationship between entrepreneurial resilience and the success of SMEs in South Africa. Success was measured using both organisational and individual criteria. The Connor–Davidson Resilience Scale 10 (CD-RISC 10) was used to measure entrepreneurial resilience. Data was collected from 170 small business owners through the survey method. The self-administered questionnaire method was used to collect data from the participants. Convenience and snowball methods were used for sampling. Descriptive statistics, confirmatory factor analysis, correlation, and regression analysis were used for data analysis. Cronbach’s alpha was used as a measure of reliability. The results indicated that there is a significant positive relationship between entrepreneurial resilience and individual and organisational success. Ways to enhance the resilience of small business owners in order to ensure the sustainability of SMEs are suggested.

Selected Key External Factors Influencing the Success of Rural Small and Medium Enterprises in South Africa

2014 ◽  
Vol 22 (03) ◽  
pp. 331-348 ◽  
Author(s):  
Lawrence M. Lekhanya ◽  
Roger B. Mason
Keyword(s):  
South Africa ◽  
Rural Areas ◽  
Small Businesses ◽  
Small And Medium Enterprises ◽  
Business Owners ◽  
Primary Data ◽  
Rural Businesses ◽  
Kwazulu Natal ◽  
Medium Enterprises ◽  
Skills Shortages

Small businesses are critical to improving economic development in rural areas of South Africa. However, rural entrepreneurs are still faced with challenges and problems which make the success of small businesses, especially in rural areas, uncertain. This paper investigates business environmental, financial and infrastructural factors that influence the success or otherwise of Small and Medium Enterprises (SMEs) in rural areas. Primary data was collected in five rural areas of KwaZulu-Natal (KZN) from a sample of 374 business owners/managers, with respondents completing a questionnaire. Access to finance and skills shortages were the factors that most significantly differentiated between more successful and less successful rural businesses in KZN. The majority of respondents indicated that poor roads/transport and access to electricity were major problems.

scholarly journals Organisation Justice Towards’ Employees Voluntary Turnover: A Perspective of SMEs in Malaysia

2021 ◽  
Vol 11 (2) ◽  
pp. 58
Author(s):  
Alvin Chong ◽  
Ibiwani Alisa Hussain ◽  
Noraini Ahmad ◽  
Jugindar Singh Kartar Singh
Keyword(s):  
Quantitative Research ◽  
Small And Medium Enterprises ◽  
Interactional Justice ◽  
Voluntary Turnover ◽  
Three Dimensions ◽  
Survey Method ◽  
Human Resource Professionals ◽  
Organisational Justice ◽  
Medium Enterprises ◽  
The Impact

Turnover of employees has gained the attention of organisations due to the impact of human resources on organisation performance and competitive advantage. This dilemma leads the management to struggle to find ways and retain employees. To attract, organisations use the "pull factors" to entice employees to perform better in the organisation. This study was conducted to investigate the relationship between the three dimensions of organisational justice: distributive, procedural and interactional justice towards voluntary turnover. This was an explanatory study that used a quantitative research design. Through a survey method, data was collected from a total of 115 respondents. The findings revealed that there was a significant relationship between employee turnover, distributive justice, procedural justice, and interactional justice. However, interactional justice had the strongest impact. This study also unearthed that attractive compensation is not the only method for the management to retain talent in organisations. Organisational justice plays an essential role in the retention of employees. These results will provide a better understanding of supervisors and human resource professionals with additional insights into the impact of organisational justice on employees' turnover. This study indicates that organisations' interactional justice practised is considered a central factor for employee retention. Although prior research has investigated a number of these issues, this study was the first to focus on employees in Small and Medium Enterprises in Malaysia.

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