scholarly journals The Role of Size and Age on Firm Growth: Evidence from Manufacturing SMMEs in KwaZulu-Natal Province, South Africa

2021 ◽  
Vol 3 (1) ◽  
pp. 144-160
Author(s):  
Helper Zhou ◽  
Victor Gumbo

Previous studies in both developed and developing economies have reported that firm growth declines with firm age and size. However, review of literature showed that there are limited studies to empirically assess the validity of this fact on firm growth in developing countries. As such, this paper assesses the role of firm size and age on firm growth in KwaZulu Natal, South Africa. The study employed a unique balanced three-year panel dataset of 191 manufacturing Small Medium and Micro Enterprises (SMMEs) in the province. As expected, the results showed a negative relationship between firm growth and size especially in the short term. However, contrary to the wider body of literature, the study established a positive relationship between firm age and growth. The study also established that older firms grow faster than their younger counterparts despite their size. On the other hand, small sized firms despite their age grow faster than large firms when employment and total assets were used as measures of firm size. It was recommended that the government should be cognisant of the complexity of SMMEs when crafting various sector policies.

Author(s):  
Helper Zhou ◽  
Victor Gumbo

The paper investigated the role of location on the performance attributes of manufacturing Small, Micro and Medium Enterprises (SMMEs) in South Africa’s second-largest province of KwaZulu Natal (KZN). Panel data from 191 SMMEs covering three years between 2015 and 2017 were analysed using R software. The results utilising the Random Effects Within-Between (REWB) technique show that SMMEs in KZN have related characteristics but the extent to which they influence performance is moderated by location. The findings also indicate that the use of digital media and liability registration negatively affects the performance of urban-based, with no effect on rural-based enterprises. Based on the findings, it was recommended that SMMEs in KZN should focus on productivity, permanent employees, temporary employees and total assets to drive performance despite their locations. Based on this study, the government has an informed basis for the development of effective interventions for SMMEs in the province.


2017 ◽  
Vol 7 (1) ◽  
pp. 285
Author(s):  
Ben Said Hatem

We test the factors explaining the debt policy of firms across five continents. To this end, we examine samples from South Africa, Australia, Brazil, India and Spain over a period of 8 years from 2003 to 2010. The results manipulate differences in debt policy for all countries (except for the variable Return on Assets, ROA). As for the effect of activity sectors on firm debt policy, higher performance led to lower firm debt ratios. Furthermore, we concluded some differences in other variables. Higher tangibility ratios for firms from South Africa, India and Spain led to higher capital structure ratios. Larger firms from Brazil led to lower short term debt ratio. We could not find evidence on the effect of firm growth opportunities in Brazil and India. Furthermore, we concluded to a positive and a statistically significant effect of liquidity ratio for Australia and India, and a positive and a statistically significant effect of firm age for firms from Spain.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Paul Kariuki ◽  
Maria Lauda Goyayi ◽  
Lizzy Oluwatoyin Ofusori

Purpose This paper aims to examine the role of electronic governance (e-governance) in enabling asylum seekers’ access to public services in the city of Durban, South Africa. Because of COVID-19, the government scaled down its operations, limiting access to public services, including among migrants. Design/methodology/approach Because of COVID-19-related restrictions, a systematic review was conducted of the relevant academic literature as well as the information portals of relevant government departments, municipalities and research reports on migration and refugees in South Africa. A total of 320 peer-reviewed research articles were identified. These were filtered and 68 relevant articles were selected. Findings The study found that asylum seekers have limited access to public services via information communication technology-enabled mechanisms. Whilst the city government has embraced e-governance, it is still in its nascent stages. Research limitations/implications This study was limited to a desktop one because of COVID-19 restrictions and it focused exclusively on asylum seekers. Therefore, its findings can only be generalised to this category of people. Practical implications Future studies on this subject should gather data from all categories of migrants to gain in-depth perspectives. Social implications All spheres of governance in South Africa should recognise asylum seekers as a constituency that deserves access to public services. E-governance can facilitate easier access to these services, and policies need to be aligned with this reality. Originality/value This study examined the efficacy of e-governance in enabling access to government services by asylum seekers during COVID-19. To the best of the authors’ knowledge, no other study on this subject was conducted during this period.


Author(s):  
Koos Vorster

This research deals with the question of whether an ecumenical ethics can be developed in South Africa that at least will be applicable in the field of political ethics and that can assist the various ecclesiastical traditions to ‘speak with one voice’ when they address the government on matters of Christian ethical concern. The research rests on the recognition of the variety of ethical persuasions and points of view that flow from the variety of hermeneutical approaches to Scripture. However, within this plethora of ethical discourses, an ‘overlapping’ ethics based on a proposed set of minimum theological ideas can be pursued in order to reach at least an outline of an applicable ecumenical political ethics conducive to the church–state dialogue in South Africa today. The article concludes that a ‘minimum consensus’ on the role of revelation in the moral discourses is possible and is enriched by traditional ideas such as creation and natural law, the reign of God and Christology, and it can provide a suitable common ground for an ecumenical ethics applicable to the moral difficulties in the political domain in South Africa today.


1998 ◽  
Vol 12 (1) ◽  
pp. 27-31
Author(s):  
N.P. du Preez ◽  
P. van Eldik ◽  
M. Möhr ◽  
H.H. van der Watt

In a two-part analysis (see pp 17–26 for Part 1), the authors discuss the key results of a South African project conducted during 1996 which focused on the factors relating to the development and establishment of technology in a country. The study investigated through a detailed questionnaire survey and a literature survey the various factors that promote the development and establishment of technology by comparing their perceived importance with the actual role they currently play in South Africa. This paper, Part 2, concentrates on the role of industry. The study showed that the availability of high-level technological people dominated the top (at 90%) of the list of factors relating to individual organizations and the role they play in the development of technology. Other prominent factors were the existence of a corporate technology strategy (88.4%), the need to improve manufacturing efficiency and processes (88.4%), the ability of top management to understand new technologies (87.9%), and the availability of funds for research and development (86.2%). The survey clearly indicated that South African organizations were not performing well with respect to these and other factors evaluated. All of them have been rated below 50%, indicating the seriousness of the problem. The corresponding recommendations made are of importance to younger countries with developing economies.


2020 ◽  
Vol 35 (1) ◽  
Author(s):  
Andronica M. Shonhiwa ◽  
Genevie Ntshoe ◽  
Noreen Crisp ◽  
Ayo J. Olowolagba ◽  
Vusi Mbuthu ◽  
...  

2021 ◽  
Author(s):  
Erisher Woyo

This chapter analyses the role of government initiatives in tourism competitiveness, using data collected from suppliers operating in a distressed tourist destination. The government’s involvement in the process of tourism development, especially in developing countries, is critical. The role and participation of governments in tourism development vary from minimal to a high level of involvement. Developing economies with ongoing political and economic challenges like Zimbabwe have not been comprehensively researched, especially on the nexus between competitiveness and government initiatives. Using qualitative data from a convenience sample of 15 hospitality and tourism managers in Zimbabwe, it was found that the role of government is important for enhancing tourism competitiveness. The study concludes that a higher level of government involvement is needed for Zimbabwe to enhance competitiveness. The government should play a greater role, especially in providing an enabling environment for improved competitiveness while reducing corruption.


2013 ◽  
Author(s):  
Teresa Fort ◽  
John Haltiwanger ◽  
Ron Jarmin ◽  
Javier Miranda
Keyword(s):  

Author(s):  
Lisa Grassow ◽  
Clint Le Bruyns

This article focuses on the #FeesMustFall (FMF) movement and the question of a human rights culture. It provides evidence from the specific context of FMF at the University of KwaZulu-Natal, Pietermaritzburg, which exposes human rights abuses and violence to the dignity of protesting students. To advance a human rights culture within the higher education sector in the context of FMF, the article highlights the role of theology – ‘indecent theology’ (as espoused by Marcella Althaus-Reid) – in revealing the problem and promise of higher education institutions in the quest for a more liberating and responsible society. It is only through interrogating the narratives that sustain the current university structures – and continue to oppress the poor and the marginalised – that South Africa will be able to begin to construct a society that is respective of the rights of all.


Sign in / Sign up

Export Citation Format

Share Document