Electronic Theses and Dissertations (Masters/MBA)

Permanent URI for this collectionhttps://hdl.handle.net/10539/37942

Browse

Subject: search.filters.subject.SMMEs

Search Results

Now showing 1 - 6 of 6
  • Thumbnail Image
    Item
    Enhancing Corporate Governance Systems through Adoption of Blockchain Technology in Small, Medium and Micro Enterprises (SMMEs) in South Africa
    (University of the Witwatersrand, Johannesburg, 2024) Nyembe, Sanele; Totowa, Jacques
    Instances of corporate fraud, exemplified by cases such as Enron in the USA,Steinhoff in Germany/South Africa, and Tongaat Hullett in South Africa, have becomeprevalent worldwide, inflicting severe repercussions on diverse stakeholders. Despitethe widespread occurrence of such frauds, they often evade early detection, resultingin substantial financial losses and erosion of shareholder value. Effective corporategovernance systems are intended to serve as the ultimate surveillance mechanism tofilter out various forms of corporate fraud.Technological advancements, particularly blockchain, hold promise for enhancingcorporate governance effectiveness. Blockchain, a digital ledger technology thatrecords transactions in immutable blocks, offers potential benefits in detecting andpreventing fraud. Importantly, blockchain technology is envisioned not as areplacement but as a complementary addition to existing corporate governancesystems to enhance their efficacy.The objective of this research was to analyse the potential impact of blockchain onSMMEs in South Africa through an online survey targeting professionals with varyingexpertise. The results of the survey, encompassing 214 respondents from diverseprofessional backgrounds including accountants, ethics committee members, boardmembers, and blockchain technology experts, revealed a consensus on the positiveimpact of blockchain integration with corporate governance pillars in curbing corporatefraud within SMMEs. The Likert scale results indicated an average score of 4.09 outof 5, suggesting a predominantly positive perception of blockchain's efficacy inaddressing corporate fraud in SMMEs. The results revealed that technologicalintervention, acting as a mediating factor between current corporate governancepractices and the capacity for early fraud detection, would yield positive outcomes. Asillustrated through the conceptual framework
  • Thumbnail Image
    Item
    Implementing Small Medium Micro Enterprises’ development services platform to collaborate with experienced graduates in South Africa
    (University of the Witwatersrand, Johannesburg, 2020) Baloyi, Nhlamulo Goodman; Junior, Owusu
    Small, Medium and Micro Enterprises (SMMEs), have been recognised as contributors to the development of economies. Despite their economic contribution, SMMEs keep facing several challenges, which lead to their collapse. In South Africa, most SMMEs hardly survive beyond the first three years after they have established (Maleka & Fatoki, 2016). Multidisciplinary researchers over the times have revealed that the fundamental challenges are due to lack of business advisory. While unemployment is on a high in the country, South African corporates tend to lean towards learned candidates. The critical issue is either on how graduates could remain assertive and relevant, even if they are unemployed or on how they could remain competitive to climb the corporate ladder when they are employed. This research, therefore, aims at proposing a business venture because of the business opportunity stemming from the challenges faced by SMMEs and graduates. This business venture proposal begins with providing a full synopsis of the proposed venture, followed by the literature review to contextualise the venture. Furthermore, a report of the research methods, including the sampling, the research procedure and the analysis undertaken are provided. The results are then presented. The venture proposal concludes with a presentation of the business plan emanating from the reviewed literature and the results of the conducted analysis. The establishment of Rent Brains will address the critical challenges that many Small Medium Micro Enterprises experience and warrant the need to develop platforms to support SMMEs to ensure their sustainability and contribute to the economy positively. The business' presence is ascribed to the gap in the market for a platform to bind to the supply and productively demand the proposed venture. Studies uncovered that the platform will, subsequently make transactions between SMMEs and graduates conceivable, which would not be conceivable without the platforms, while at the same time making an incentive for the two sides. The business is a two-sided marketplace that tries to enhance the coordinating of SMMEs owners with graduates in the different areas of their value chain
  • Thumbnail Image
    Item
    The efficacy of the South African COVID-19 pandemic government relief programs for South African SMMEs
    (University of the Witwatersrand, Johannesburg, 2023) Govender, Hammaren
    The study examined the The efficacy of the South African COVID-19 pandemic government relief programs for South African SMMEs. The research objectives of this study are as follows to determine the impact of Covid-19 on SMMEs in South Africa and to identify and investigate the efficacy of the Covid-19 intervention programs for SMMEs that have been introduced by the government and financial institutions in South Africa. The sample of the study was 423 core individuals representing the SMMEs which operate within South Africa. Probability random sampling was used as the sampling technique which was used to invite individuals who are business owners regarded as the SMMEs owners to participate in the study. Survey Monkey was used to sample SMMEs on LinkedIn, Facebook and Twitter. The collected data was evaluated using IBM SPSS version 26 to compute descriptive statistics. The study found out that SMMEs within South Africa were severely impacted by the Covid-19 pandemic. However, some were affected more than others. Moreover, the intervention programs that were identified in this study are: i) financial incentives from government and/or financial institutions, ii) credit extension from government and/or financial institutions, iii) special credit for SMMEs with lower rate from government and/or financial institutions such as the Small Enterprise Finance Agency (SEFA) funded loans, iv) SARS Tax relief measures and v) support from the government and/or financial institutions through business growth/resilience , Spaza support structure, Covid-19 farming disaster provision fund, tourism relief fund or loan guarantee scheme. Nonetheless, the majority of SMMEs in this study indicated that they did not benefit from this intervention at all
  • Thumbnail Image
    Item
    The relationship between human capital variables and the growth of small, medium and micro enterprises operating in the Johannesburg inner city
    (2020) Ramahlako, Sello
    The study examined one of the critical issues in South Africa - the role of human capital in Small Medium and Micro Enterprises (SMMEs). It adds to the existing theoretical and empirical studies in human capital theory. Human capital has long been acknowledged by scholars as playing a significant role in the productivity of individuals. Based on various studies, it has now gained increasing traction as the most influential factor that largely influences the growth of firms. Human capital is broad with varied definitions, which might leave even the most accomplished scholar confused. Depending on the context, some scholars attribute human capital specifically with education, whereas in other instances, other scholars associate it with the establishment of firms for the economic development of a nation (Mincer, 1996; Texeira, 2002). The main thrust of this study was to establish whether there is a positive relationship between human capital components, namely, knowledge, and education and work experience (independent variables) with firm growth (dependent variable). More important, the study sought to offer insight into the perceived significance of the relationship between these specific human capital elements and firm growth as delineated in the literature review. This study was motivated by the high failure rate of SMMEs, their staying power and slow growth as major concerns for a country faced with high unemployment, job losses, poverty and crime with an economy almost in recession. The study used quantitative methods to gather data, as shown in the research methodology chapter. Hypotheses were tested using descriptive statistics. Firstly, the study hypothesised that an entrepreneur’s knowledge has a positive relationship with firm growth (H1). Secondly, the study hypothesised that an entrepreneur’s level of education has a positive relationship with firm growth (H2). Extant literature has long confirmed the important links between education, venture creation and firm performance (Raposo & Paco, 2011). Thirdly, the study hypothesised that an entrepreneur’s work experience has a positive relationship with firm growth (H3). Unger, Rauch, Frese and Rosenbausch (2011), who argued that most entrepreneurs have significant years of previous experience before becoming entrepreneurs themselves, provide a similar assertion. The perceived importance of human capital in stimulating firm growth was examined and the results showed no significant relationship between knowledge, education, work experience and firm growth. However, a significant positive relationship exists between the three independent variables. The study was basic as it only focused on the perceived positive correlation of three elements of human capital, rather than dealing with each variable, as outlined in various strands of entrepreneurship theory.
  • Thumbnail Image
    Item
    Availability and distribution of risk capital: how stokvels can help fill the financing gap for SMMEs in South Africa
    (2020) Tau, Tshepo
    Small, Medium and Micro Enterprises (SMMEs) in South Africa operate in an environment where access to finance is severely lacking, particularly in the start-up and growth phases of these businesses. Formal financial markets continue to exclude SMMEs from accessing finance due to collateral constraints and credit histories requirements. These small businesses often resort to the informal finance sector as an alternative for much needed finance; however, this sector is synonymous with exorbitant rents that often cripple many of these SMMEs. Within the informal market in South Africa exists an enormous capital source in the form of Stokvel savings. Therefore, the first question examined by this study is whether it is the availability of risk (venture) capital or its distribution thereof that results in this funding gap. The second question is the feasibility of Stokvels in South Africa being able to mobilise their savings pools into affordable loans to members for small business activities and through which fit-for-purpose vehicle (i.e., financial contracts and/or institutions) this could be facilitated. Cooperative Financial Institutions (CFIs) as formal regulated bodies that facilitate channelling savings into credit to its members were considered an appropriate vehicle to facilitate this flow of funds for the purposes of this study. The study used an inductive approach to gain an understanding of how CFIs have facilitated the flow of savings into investments for members. The study used both qualitative data, through interviews with CFI representatives, and quantitative research methods to collect and analyse assembled relevant data. A questionnaire was used to collect quantitative data from members of Stokvels. The study found that owning a small business is not a factor in deciding whether or not to join a Stokvel that provides loans; thus, perpetuating the notion of informal savers’ insistence on the traditional practices (emphasising social capital). It was also found that small business owners who are currently members of Stokvels, be it for social or savings reasons, welcome the idea of being members of a formal savings vehicle that would provide access to finance. CFIs are found to be successful at mobilising member savings, providing affordable and suitable financial products, enabling ownership of factors of production, and providing access to member small business loans that otherwise would not have been provided by traditional banks. These vehicles have the potential to significantly contribute to reducing the funding gap experienced by SMMEs, by redirecting a supply of capital that already exists within the system. However, the main constraint in setting up this vehicle was found to be the requirement of getting 200 members that share a common bond. Interestingly, this study looked at a ‘formal’ vehicle that may facilitate the intermediation of this flow of funds, and deemed such model to be successful in the intermediation of member funds to the benefit and improvement of members’ financial needs, but not necessarily the regulatory structure within which they operate. Therefore, this study provides a framework through which small businesses could mitigate or overcome this situation of lack of access to venture finance.
  • Thumbnail Image
    Item
    The impact of human capital on youth entrepreneurship success: a focus on business development support beneficiaries in Gauteng
    (2020) Khoza, Ntuthuko
    South Africa is ranked globally as a country with one of the highest number of unemployed youth, with 40.3 per cent currently not in employment, education, or training. Small, Medium, and Micro Enterprise (SMME) development, specifically youth owned business development is one of the priority areas of government as SMMEs are viewed as key drivers of economic growth, innovation, and job creation, as well as advancement of inclusive growth in the country. The purpose of this study was to ascertain the impact of human capital factors namely entrepreneurial education, business development support (BDS) training, and entrepreneurial experience on youth entrepreneurship success, with a focus on youth entrepreneurs who are BDS beneficiaries in Gauteng. The study measured entrepreneurship success as profitability, revenue generated, as well as the number of employees within the venture. The research adopted a positivist and a cross-sectional approach due to the limited period. A survey questionnaire was administered, utilising the Qualtrics software, to the youth entrepreneurs through the Catalyst for Growth platform. The responses received totalled 661, of which 515 responses qualified for further analysis; 90 per cent of respondents were black youth entrepreneurs. The three hypotheses tested the effect of human capital factors, namely entrepreneurial education, BDS training, and entrepreneurial experience, on entrepreneurial success. The effect of entrepreneurial education was inconclusive while BDS training had a significant, strong and positive effect, and entrepreneurial experience was strong, positive but insignificant.