The entrepreneurial orientation of small businesses in the Eastern Cape
- Authors: Matchaba-Hove, Mtonhodzi
- Date: 2013
- Subjects: Small business -- South Africa -- Eastern Cape , Economic development -- South Africa -- Eastern Cape , Job creation -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:9304 , http://hdl.handle.net/10948/d1017139
- Description: The high failure rate among small businesses in South Africa has created an urgent need to identify strategies that will improve their levels of performance. The purpose of this study was to investigate the relationship between the entrepreneurial orientation of small businesses in the Eastern Cape and their level of business success. Entrepreneurial orientation was assessed in terms of the 5 dimensions of entrepreneurial orientation, namely Innovativeness, Proactiveness, Competitive aggressiveness, Risk-taking and Autonomy. Business success was assessed in terms of profitability and growth. A literature overview was firstly conducted. The nature and importance of small businesses were described, and the important contributions they make to economic growth, job creation and innovation, as well alleviating poverty and redistributing income were highlighted. The various challenges faced by small businesses were also discussed. Among these challenges, the lack of entrepreneurial orientation was specifically highlighted as a major barrier to small business success. The nature of entrepreneurial orientation and the five dimensions thereof were described. A theoretical framework was proposed illustrating the relationships between the 5 dimensions of entrepreneurial orientation and business success that were to be empirically tested. A positivistic research paradigm was followed and a quantitative approach was implemented. Convenience sampling was used and a total of 350 questionnaires were distributed to small businesses in the Eastern Cape; 317 usable questionnaires were yielded. A measuring instrument was developed based on reliable and valid items from existing studies. Statistical techniques including descriptive statistics, Pearson's product moment correlations, Structural Equation Modelling and an Analysis of Variance were performed on the gathered data. Demographic data relating to the gender, age and race of the respondents, as well as data relating to the number of employees, the tenure of the business, and nature of industry in which the small businesses operate, were collected. An exploratory factor analysis was undertaken, and Cronbach‟s alpha coefficients were calculated to assess the validity and reliability of the measuring instrument. The independent variables, Innovativeness and Proactiveness, could not be confirmed by the factor analysis and a new dimension emerged which was named Proactive innovativeness. As a result of the factor analysis the operational definitions were rephrased. The Cronbach‟s alpha coefficients reported were all greater than 0.7, deeming the scales measuring the various dimensions reliable. Descriptive statistics were calculated to summarise the sample data, and Pearson's product-moment correlation coefficients were established to investigate the associations between the variables. Significant positive correlations were reported between all of the variables. SEM was performed to determine the significance of the relationships hypothesised between the independent and dependent variables in this study. The results of this study showed that the independent variables Competitive aggressiveness, Proactive innovativeness and Autonomy have a significant positive influence on the dependent variable Business success, while Risk-taking was found to have a significant negative influence on Business success. Furthermore, the results showed that Proactive innovativeness was higher in larger-sized small businesses, Autonomy was reported to be higher in small businesses where the owner was in possession of a tertiary qualification, and Risk-taking was found to be higher in small businesses owned by people of colour than in businesses owned by White respondents. In a business environment where change is constant, small business owners need to be able to adapt their operations and strategies to these changes and the consumer demands these changes may bring. Small business owners need to be able to strategically reinvent their businesses if they are to survive over the long term. The level of entrepreneurial orientation has been identified as having a positive influence on business success. The more small businesses implement Proactive innovativeness, Competitive aggressiveness, calculated and cautions Risk-taking and Autonomy, the better the chances are that they will be successful
- Full Text:
- Date Issued: 2013
- Authors: Matchaba-Hove, Mtonhodzi
- Date: 2013
- Subjects: Small business -- South Africa -- Eastern Cape , Economic development -- South Africa -- Eastern Cape , Job creation -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:9304 , http://hdl.handle.net/10948/d1017139
- Description: The high failure rate among small businesses in South Africa has created an urgent need to identify strategies that will improve their levels of performance. The purpose of this study was to investigate the relationship between the entrepreneurial orientation of small businesses in the Eastern Cape and their level of business success. Entrepreneurial orientation was assessed in terms of the 5 dimensions of entrepreneurial orientation, namely Innovativeness, Proactiveness, Competitive aggressiveness, Risk-taking and Autonomy. Business success was assessed in terms of profitability and growth. A literature overview was firstly conducted. The nature and importance of small businesses were described, and the important contributions they make to economic growth, job creation and innovation, as well alleviating poverty and redistributing income were highlighted. The various challenges faced by small businesses were also discussed. Among these challenges, the lack of entrepreneurial orientation was specifically highlighted as a major barrier to small business success. The nature of entrepreneurial orientation and the five dimensions thereof were described. A theoretical framework was proposed illustrating the relationships between the 5 dimensions of entrepreneurial orientation and business success that were to be empirically tested. A positivistic research paradigm was followed and a quantitative approach was implemented. Convenience sampling was used and a total of 350 questionnaires were distributed to small businesses in the Eastern Cape; 317 usable questionnaires were yielded. A measuring instrument was developed based on reliable and valid items from existing studies. Statistical techniques including descriptive statistics, Pearson's product moment correlations, Structural Equation Modelling and an Analysis of Variance were performed on the gathered data. Demographic data relating to the gender, age and race of the respondents, as well as data relating to the number of employees, the tenure of the business, and nature of industry in which the small businesses operate, were collected. An exploratory factor analysis was undertaken, and Cronbach‟s alpha coefficients were calculated to assess the validity and reliability of the measuring instrument. The independent variables, Innovativeness and Proactiveness, could not be confirmed by the factor analysis and a new dimension emerged which was named Proactive innovativeness. As a result of the factor analysis the operational definitions were rephrased. The Cronbach‟s alpha coefficients reported were all greater than 0.7, deeming the scales measuring the various dimensions reliable. Descriptive statistics were calculated to summarise the sample data, and Pearson's product-moment correlation coefficients were established to investigate the associations between the variables. Significant positive correlations were reported between all of the variables. SEM was performed to determine the significance of the relationships hypothesised between the independent and dependent variables in this study. The results of this study showed that the independent variables Competitive aggressiveness, Proactive innovativeness and Autonomy have a significant positive influence on the dependent variable Business success, while Risk-taking was found to have a significant negative influence on Business success. Furthermore, the results showed that Proactive innovativeness was higher in larger-sized small businesses, Autonomy was reported to be higher in small businesses where the owner was in possession of a tertiary qualification, and Risk-taking was found to be higher in small businesses owned by people of colour than in businesses owned by White respondents. In a business environment where change is constant, small business owners need to be able to adapt their operations and strategies to these changes and the consumer demands these changes may bring. Small business owners need to be able to strategically reinvent their businesses if they are to survive over the long term. The level of entrepreneurial orientation has been identified as having a positive influence on business success. The more small businesses implement Proactive innovativeness, Competitive aggressiveness, calculated and cautions Risk-taking and Autonomy, the better the chances are that they will be successful
- Full Text:
- Date Issued: 2013
The impact of the expanded public works programme on poverty in Amathole district municipality
- Authors: Nkonki, Pamela
- Date: 2013
- Subjects: South Africa. Expanded Public Works Programme , Public works -- South Africa , Poverty -- South Africa -- Eastern Cape , Job creation -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MA
- Identifier: vital:9209 , http://hdl.handle.net/10948/d1020762
- Description: The study aimed at analysis the South African government’s attempt to reduce poverty through alleviation and reduction of unemployment. The study analyses this using Ngqushwa Local Municipality in the Eastern Cape. The introduction of labour intensive projects of government in infrastructural development, under auspices of the Department of Public Works, has brought a relief in addressing unemployment and poverty in the country. While the provision of these short-term based jobs is life-saving, the question is whether or not these projects (EPWP) will provide a sustainable solution to unemployment and poverty with the skills and information they provide to the employees. To achieve this aim the study used both qualitative and quantitative research methodology. First, a literature review on the Expanded Public Works Programme was done. Secondly, policy review on poverty and conservation was done. A small sample size of sixteen people was selected using purposive sampling, targeting ten beneficiaries of EPWP, three Municipal managers and three Departmental managers that were involved in EPWP. Firstly, I wanted to know how many people participated in the EPWP initiatives in the Amathole District Municipality between 2008 and 2012. Secondly, what training was provided to people that were temporarily employed on the EPWP projects and what recruitment tools were used to recruit EPWP employees. Thirdly, to find out how many were able to find permanent employment after the EPWP projects in Amathole District Municipality communities were completed. Fourthly, has the EPWP benefited the poorest of the targeted areas and redressing racial imbalances? It is clear that EPWP is appreciated by some of the beneficiaries who do not have better school qualifications as they make significant, short-term contribution to their livelihoods and, than those who have better qualifications especially the youth, who claimed that this programme is partly wasting their time as they were looking for permanent jobs, and in South Africa age restriction is one of the problems that the people were facing when looking for a job. The study proposes that the government should make a physical relief on poverty and employment reduction by making this programme a permanent job.
- Full Text:
- Date Issued: 2013
- Authors: Nkonki, Pamela
- Date: 2013
- Subjects: South Africa. Expanded Public Works Programme , Public works -- South Africa , Poverty -- South Africa -- Eastern Cape , Job creation -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MA
- Identifier: vital:9209 , http://hdl.handle.net/10948/d1020762
- Description: The study aimed at analysis the South African government’s attempt to reduce poverty through alleviation and reduction of unemployment. The study analyses this using Ngqushwa Local Municipality in the Eastern Cape. The introduction of labour intensive projects of government in infrastructural development, under auspices of the Department of Public Works, has brought a relief in addressing unemployment and poverty in the country. While the provision of these short-term based jobs is life-saving, the question is whether or not these projects (EPWP) will provide a sustainable solution to unemployment and poverty with the skills and information they provide to the employees. To achieve this aim the study used both qualitative and quantitative research methodology. First, a literature review on the Expanded Public Works Programme was done. Secondly, policy review on poverty and conservation was done. A small sample size of sixteen people was selected using purposive sampling, targeting ten beneficiaries of EPWP, three Municipal managers and three Departmental managers that were involved in EPWP. Firstly, I wanted to know how many people participated in the EPWP initiatives in the Amathole District Municipality between 2008 and 2012. Secondly, what training was provided to people that were temporarily employed on the EPWP projects and what recruitment tools were used to recruit EPWP employees. Thirdly, to find out how many were able to find permanent employment after the EPWP projects in Amathole District Municipality communities were completed. Fourthly, has the EPWP benefited the poorest of the targeted areas and redressing racial imbalances? It is clear that EPWP is appreciated by some of the beneficiaries who do not have better school qualifications as they make significant, short-term contribution to their livelihoods and, than those who have better qualifications especially the youth, who claimed that this programme is partly wasting their time as they were looking for permanent jobs, and in South Africa age restriction is one of the problems that the people were facing when looking for a job. The study proposes that the government should make a physical relief on poverty and employment reduction by making this programme a permanent job.
- Full Text:
- Date Issued: 2013
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