Making a living in the city: Success and failure of small enterprises in the Johannesburg inner city

Kesper, Anna P.

doi:10.4314/ai.v31i1.22353

Cited by 8 publications

(7 citation statements)

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“…Berry, et al (2002) express the view that SMMEs have been actively promoted, by the South African government since before 1995 and, by Law, have been given the main responsibilities of enhancing economic growth, reducing unemployment and alleviating poverty. The latter is confirmed by the research conducted by Kesper (2001) which states that SMMEs are deemed to be at the forefront of economic development and are actively involved in the resolution of socio-economic problems. Albeit the afore-mentioned, it is believed that South African SMMEs are not achieving their legally imposed objectives as they should.…”

Section: Introductionsupporting

confidence: 57%

Inventory Management Systems used by Manufacturing Small Medium and Micro Enterprises in Cape Town

Ngubane¹,

Mayekiso²,

Sikota³

et al. 2015

MJSS

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Section: Introductionsupporting

confidence: 57%

Inventory Management Systems used by Manufacturing Small Medium and Micro Enterprises in Cape Town

Ngubane¹,

Mayekiso²,

Sikota³

et al. 2015

MJSS

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“…SMMEs have a valid claim to heightened relevance, and strategies have been developed world wide to expand and integrate this sector into the mainstream of economic activities (Luiz, 2002). In South Africa, although SMMEs are currently at the forefront of local economic development and are purported to resolve socio-economic problems (Kesper, 2001), this sector faces a wide spectrum of constraints, which restricts them from reaching and maintaining a competitive position in their respective industries (Cape Metropolitan Council, 2000). Although entrepreneurs/SMMEs may act as catalysts of activity for an entire economy (Bygrave and Minnitti, 2000), many of them fail.…”

Section: Jsbed 191mentioning

confidence: 99%

Business sustainability: empirical evidence on operational skills in SMEs in South Africa

Urban

Naidoo

2012

Journal of Small Business and Enterprise Development

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Purpose: Activities in the manufacturing sector are often considered the bedrock of an economy and a key driver of growth and development. Within the South African manufacturing sector, operations skills are reported to be deficient and are often cited as a main cause of failure in small, medium and micro enterprises (SMMEs). This study explores and tests this fragile relationship between operations skills and SMME sustainability. Empirical investigations are conducted in a high-density SMME manufacturing environment-the Vaal Triangle Region. Design/Methodology/Approach: Building on previously established literature on SMME sustainability and operations skills, various measures are developed and tested for reliability and validity. Factor analysis is used to identify relevant factors in terms of operations skills. Co-relational analysis is then employed to test the hypothesised relationship. The study is cross-sectional in design and relies on trained fieldworkers administering surveys for data collection. Findings: Five clear factors for operations skills are identified through factor analysis with an overall high reliability value. Based on descriptive and co-relational analysis results reveal that operations skills are positively associated with sustainability. Implications: SMME owners, educators and service providers may benefit from the study's findings in terms of the nature and associations that operational skills have on developing sustainable SMME's. Originality/Value: The study focused on a neglected area of SMMEs-the importance of operations towards business sustainability, and made an important contribution towards theory development through empirical explorations. In South Africa, this is the first time an instrument measuring operations skills has been validated and associated with SMMEs in a manufacturing context.

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“…Despite the weak, underdeveloped managerial capacity of emerging firms, SMMEs including those in the emerging technology sector have remained the safe haven for new job creation for the majority of South African population in the face of a stagnant mainstream economy. Identifying with Du Toit et al's (2009) view, Kesper (2001) agrees that SMMEs are seen as a vehicle to address the problem of high unemployment in South Africa since they have a high labour absorptive capacity. Comparative studies of large and small businesses carried out in other countries conducted by Luiz (2002) confirm that SMMEs generally employ more labour per unit of capital, and require less capital per unit of output, than large businesses.…”

Section: Employment Generationmentioning

confidence: 85%

Relationship Between Managerial Competencies Of Owners / Managers Of Emerging Technology Firms And Business Performance: A Conceptual Framework Of Internet Caf Performance In South Africa

Rambe¹,

Makhalemele²

2015

IBER

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Despite the growing literature on the impact of entrepreneurial traits of managers/owners on the performance of small firms in developed economies, little is known about the contribution of managerial competencies (MC) of these managers/owners to the success of their firms. Since entrepreneurial literature attributes the failure of most emerging businesses (i.e. in their first three years of existence) to the paucity of MC among managers/owners of emerging businesses, an investigation into the effects of these competencies on the performance of small emerging internet businesses is critical to locating the strategic levers that potentially optimise the growth and sustainability of these businesses in emerging economies. This theoretical study, therefore, examines the relationship between managerial competencies of owners/ managers and the performance of emerging internet firms in South Africa. Extant literature and researchers reflective experiences were used to develop a conceptual model on the relationship between managerial competencies of managers/owners of small internet caf and the performance of their firms. The model suggests that an assortment of managerial competencies (human capital requirements, resources and individual capabilities) is critical to the improved performance of small internet businesses. The thesis of this paper is that understanding the appropriate constitution of managerial competencies ideal for emerging technology firms, organisational context of emerging technology firms including the broader business environment would positively impact small internet business performance.

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Making a living in the city: Success and failure of small enterprises in the Johannesburg inner city

Cited by 8 publications

References 0 publications

Inventory Management Systems used by Manufacturing Small Medium and Micro Enterprises in Cape Town

Inventory Management Systems used by Manufacturing Small Medium and Micro Enterprises in Cape Town

Business sustainability: empirical evidence on operational skills in SMEs in South Africa

Relationship Between Managerial Competencies Of Owners / Managers Of Emerging Technology Firms And Business Performance: A Conceptual Framework Of Internet Caf Performance In South Africa

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