Analysis of calendar effects and market anomalies on the Johannesburg Stock Exchange
- Atsin, Achiapo Jessica Lisette
- Authors: Atsin, Achiapo Jessica Lisette
- Date: 2015
- Subjects: Stock exchanges -- South Africa -- Johannesburg , Stocks -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:9028 , http://hdl.handle.net/10948/d1020372
- Description: This study sought to empirically investigate the existence of calendar effects and market anomalies on the JSE using monthly and daily closing prices of the ALSI, Top 40, Mid Cap and Small Cap index; as well as, daily closing prices on the Value, Growth and Dividend Plus index during the sample period 2002 – 2013. The anomalies analysed are the January effect, the weekend effect, the size effect, the value effect, and the dividend yield effect. The empirical analysis uses a number of MSAR with a different number of regimes and lag orders. The results from the investigation of the January effect show the non-existence of the January effect and the value effect on the JSE during the periods 2002 – 2013 and 2004 – 2013, respectively. However, the weekend effect was found significant in the Mid Cap and the Small Cap index, and the size effect was also found significant during the same period 2002 - 2013. Finally the results from a Granger causality test concluded that there is a relationship between the returns on the Dividend Plus index and the ALSI, effectively proving the existence of the dividend yield effect on the JSE between 2006 and 2013. Additionally, the anomalies found imply the opportunity for investors to make returns above buy-and-hold.
- Full Text:
- Date Issued: 2015
- Authors: Atsin, Achiapo Jessica Lisette
- Date: 2015
- Subjects: Stock exchanges -- South Africa -- Johannesburg , Stocks -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:9028 , http://hdl.handle.net/10948/d1020372
- Description: This study sought to empirically investigate the existence of calendar effects and market anomalies on the JSE using monthly and daily closing prices of the ALSI, Top 40, Mid Cap and Small Cap index; as well as, daily closing prices on the Value, Growth and Dividend Plus index during the sample period 2002 – 2013. The anomalies analysed are the January effect, the weekend effect, the size effect, the value effect, and the dividend yield effect. The empirical analysis uses a number of MSAR with a different number of regimes and lag orders. The results from the investigation of the January effect show the non-existence of the January effect and the value effect on the JSE during the periods 2002 – 2013 and 2004 – 2013, respectively. However, the weekend effect was found significant in the Mid Cap and the Small Cap index, and the size effect was also found significant during the same period 2002 - 2013. Finally the results from a Granger causality test concluded that there is a relationship between the returns on the Dividend Plus index and the ALSI, effectively proving the existence of the dividend yield effect on the JSE between 2006 and 2013. Additionally, the anomalies found imply the opportunity for investors to make returns above buy-and-hold.
- Full Text:
- Date Issued: 2015
E-commerce: the challenge of virtual permanent establishments
- Adlkofer, Michelle Leigh, Venter, Michelle
- Authors: Adlkofer, Michelle Leigh , Venter, Michelle
- Date: 2015
- Subjects: Organisation for Economic Co-operation and Development , Electronic commerce , Electronic commerce -- Taxation , Double taxation -- Treaties , Globalization
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:921 , http://hdl.handle.net/10962/d1020057
- Description: The continued growth of world commerce has led to the advance of the permanent establishment principles. These principles are, however, constantly challenged by the developments of e-commerce. This thesis considers the taxing of a permanent establishment and the influence of e-commerce on the concept of a permanent establishment. In 2000, the Organisation for Economic Co-operation and Development (“OECD”) developed and introduced guidelines on how to deal with e-commerce in the context of a permanent establishment. Since the OECD guidelines on e-commerce were issued, the permanent establishment principles have come under further scrutiny. The latest development came about in 2013 with the release of the Base Erosion and Profit Shifting (“BEPS”) Action Plan. This Action Plan addresses the intention of the OECD to deal with the taxing of the digital economy. With the development of e-commerce and the result of e-commerce creating intangible boundaries between countries, the concept of a virtual permanent establishment has emerged. This has resulted in the need to tax a presence of an enterprise in a jurisdiction where no actual physical connection can be established. Various authors have made suggestions on how to ensure that an economy in which business is being carried on is correctly compensated for in the form of taxes. The source of income is the driving force for the imposition of taxation today. The main goal of this thesis was to explore the alignment of the concepts of a permanent establishment and e-commerce in the digital economy. This study therefore examined the concepts of both permanent establishments and e-commerce, and explored authors’ views and suggestions on how to deal with the inter-related effects of these two concepts. The relevant Action Points in the OECD Action Plan were also considered. , Maiden name: Venter, Michelle
- Full Text:
- Date Issued: 2015
- Authors: Adlkofer, Michelle Leigh , Venter, Michelle
- Date: 2015
- Subjects: Organisation for Economic Co-operation and Development , Electronic commerce , Electronic commerce -- Taxation , Double taxation -- Treaties , Globalization
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:921 , http://hdl.handle.net/10962/d1020057
- Description: The continued growth of world commerce has led to the advance of the permanent establishment principles. These principles are, however, constantly challenged by the developments of e-commerce. This thesis considers the taxing of a permanent establishment and the influence of e-commerce on the concept of a permanent establishment. In 2000, the Organisation for Economic Co-operation and Development (“OECD”) developed and introduced guidelines on how to deal with e-commerce in the context of a permanent establishment. Since the OECD guidelines on e-commerce were issued, the permanent establishment principles have come under further scrutiny. The latest development came about in 2013 with the release of the Base Erosion and Profit Shifting (“BEPS”) Action Plan. This Action Plan addresses the intention of the OECD to deal with the taxing of the digital economy. With the development of e-commerce and the result of e-commerce creating intangible boundaries between countries, the concept of a virtual permanent establishment has emerged. This has resulted in the need to tax a presence of an enterprise in a jurisdiction where no actual physical connection can be established. Various authors have made suggestions on how to ensure that an economy in which business is being carried on is correctly compensated for in the form of taxes. The source of income is the driving force for the imposition of taxation today. The main goal of this thesis was to explore the alignment of the concepts of a permanent establishment and e-commerce in the digital economy. This study therefore examined the concepts of both permanent establishments and e-commerce, and explored authors’ views and suggestions on how to deal with the inter-related effects of these two concepts. The relevant Action Points in the OECD Action Plan were also considered. , Maiden name: Venter, Michelle
- Full Text:
- Date Issued: 2015
Sources of change in the money stock
- Smith, Robert Ayreton Bailey
- Authors: Smith, Robert Ayreton Bailey
- Date: 2015
- Subjects: Money supply -- South Africa , Money -- South Africa , Banks and banking, Central -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1118 , http://hdl.handle.net/10962/d1017543
- Description: This research provides an historical, theoretical and practical appraisal of exogenous and endogenous money and money creation, with South Africa as the focus of the practical investigation. Monetary theory of recent decades can be categorised as belonging to one of two distinct paradigms: mainstream (neoclassical) or post Keynesian. The mainstream (orthodox) view presents a Euclidian or Cartesian, ergodic, deductive, and axiomatic theoretical interpretation of the world. This is perpetuated through the continued, and inaccurate, depiction in academia of exogenous money creation, the money multiplier concept, asset transformation by banks, imposed alterations to the money stock by central banks and long-run closed system equilibrium models (and associated homogeneity, and long term behavioural assumptions). In the real world, economic agents, structures, institutions and their interrelations are perpetually evolving. The post Keynesian paradigm provides the theoretical framework within which to understand such a world. Unfortunately the necessity for a multiplicity of methods and methodology makes it a paradigm that is currently prohibitively complex, preventing simple exposition. Money creation should, both historically, and according to the analysis conducted, be defined according to the actual source of change in the money stock, that is, credit extension. In a nonergodic world, changes in the stock of money take on a causal role with regard the initiation of productive processes, and thus influence future economic conditions. The simple, although powerful, technique of balance sheet analysis conducted herein provides a detailed method of identification of causal changes in money stock. Within the context of the institutional and structural environment, it clearly demonstrates the residual nature of money m modern economies. This research serves to emphasise the importance of monetary matters for economic management, as well as the important difference between the money creation process and the residual deposit securities. It serves also to discourage the perpetuation of fallacies of money creation, and capabilities of monetary authorities. In South Africa, as in most countries, the central bank can influence the conditions under which borrowers and banks mutually create money, but do not themselves create or distribute money beyond the facilitation of credit extension by banks
- Full Text:
- Date Issued: 2015
- Authors: Smith, Robert Ayreton Bailey
- Date: 2015
- Subjects: Money supply -- South Africa , Money -- South Africa , Banks and banking, Central -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1118 , http://hdl.handle.net/10962/d1017543
- Description: This research provides an historical, theoretical and practical appraisal of exogenous and endogenous money and money creation, with South Africa as the focus of the practical investigation. Monetary theory of recent decades can be categorised as belonging to one of two distinct paradigms: mainstream (neoclassical) or post Keynesian. The mainstream (orthodox) view presents a Euclidian or Cartesian, ergodic, deductive, and axiomatic theoretical interpretation of the world. This is perpetuated through the continued, and inaccurate, depiction in academia of exogenous money creation, the money multiplier concept, asset transformation by banks, imposed alterations to the money stock by central banks and long-run closed system equilibrium models (and associated homogeneity, and long term behavioural assumptions). In the real world, economic agents, structures, institutions and their interrelations are perpetually evolving. The post Keynesian paradigm provides the theoretical framework within which to understand such a world. Unfortunately the necessity for a multiplicity of methods and methodology makes it a paradigm that is currently prohibitively complex, preventing simple exposition. Money creation should, both historically, and according to the analysis conducted, be defined according to the actual source of change in the money stock, that is, credit extension. In a nonergodic world, changes in the stock of money take on a causal role with regard the initiation of productive processes, and thus influence future economic conditions. The simple, although powerful, technique of balance sheet analysis conducted herein provides a detailed method of identification of causal changes in money stock. Within the context of the institutional and structural environment, it clearly demonstrates the residual nature of money m modern economies. This research serves to emphasise the importance of monetary matters for economic management, as well as the important difference between the money creation process and the residual deposit securities. It serves also to discourage the perpetuation of fallacies of money creation, and capabilities of monetary authorities. In South Africa, as in most countries, the central bank can influence the conditions under which borrowers and banks mutually create money, but do not themselves create or distribute money beyond the facilitation of credit extension by banks
- Full Text:
- Date Issued: 2015
Sport consumption patterns in the Eastern Cape: cricket spectators as sporting univores or omnivores
- Authors: Brock, Kelcey
- Date: 2015
- Subjects: Cricket -- South Africa -- Eastern Cape , Cricket -- Social aspects , Consumption (Economics) , Consumer behavior
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1115 , http://hdl.handle.net/10962/d1017534
- Description: Since its inception, consumption behaviour theory has developed to account for the important social aspect that underpins or at least to some extent can be used to explain consumption behaviour. Modern consumption behaviour theory is anthropocentric in nature, with people and societal influence at the forefront of the theory. To date, empirical studies on consumption behaviour of cultural activities (for example, music and arts), entertainment and sport have used Bourdieu’s (1984) omnivore/univore theory to suggest that consumption of leisure activities is bound up in social ties. To date, no such investigation has been conducted in the context of sport in South Africa. The aim of the study therefore is to investigate whether South African cricket spectators are sporting omnivores or univores, thus, essentially investigating whether sports consumption behaviour in South Africa is bound up in social ties. A number of positive economic and social ramifications could result from gaining a holistic understanding of sports consumption behaviour in South Africa. Given these ramifications, the secondary goal of the research is to identify motives for consumers making specific sport consumption decisions, and determining whether certain characteristics can be attributed to these consumption decisions. Recommendations based on the findings of the research could help various stakeholders understand sports consumption patterns in South Africa, which could in turn lead to the realization of positive economic and social benefits. The study made use of a questionnaire, administered at four different limited overs cricket matches in the 2012/13 cricket season, to obtain a range of responses reflecting specific types of consumption behaviour as well as motives for consumption decisions of cricket spectators in the Eastern Cape. Using individual binary probit models and post estimation F-tests, the results indicate that consumption behaviour of sport within South Africa predominantly differs on the grounds of education and race. This suggests that there are aspects of social connotations underpinning sports consumption behaviour within South Africa
- Full Text:
- Date Issued: 2015
Sport consumption patterns in the Eastern Cape: cricket spectators as sporting univores or omnivores
- Authors: Brock, Kelcey
- Date: 2015
- Subjects: Cricket -- South Africa -- Eastern Cape , Cricket -- Social aspects , Consumption (Economics) , Consumer behavior
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1115 , http://hdl.handle.net/10962/d1017534
- Description: Since its inception, consumption behaviour theory has developed to account for the important social aspect that underpins or at least to some extent can be used to explain consumption behaviour. Modern consumption behaviour theory is anthropocentric in nature, with people and societal influence at the forefront of the theory. To date, empirical studies on consumption behaviour of cultural activities (for example, music and arts), entertainment and sport have used Bourdieu’s (1984) omnivore/univore theory to suggest that consumption of leisure activities is bound up in social ties. To date, no such investigation has been conducted in the context of sport in South Africa. The aim of the study therefore is to investigate whether South African cricket spectators are sporting omnivores or univores, thus, essentially investigating whether sports consumption behaviour in South Africa is bound up in social ties. A number of positive economic and social ramifications could result from gaining a holistic understanding of sports consumption behaviour in South Africa. Given these ramifications, the secondary goal of the research is to identify motives for consumers making specific sport consumption decisions, and determining whether certain characteristics can be attributed to these consumption decisions. Recommendations based on the findings of the research could help various stakeholders understand sports consumption patterns in South Africa, which could in turn lead to the realization of positive economic and social benefits. The study made use of a questionnaire, administered at four different limited overs cricket matches in the 2012/13 cricket season, to obtain a range of responses reflecting specific types of consumption behaviour as well as motives for consumption decisions of cricket spectators in the Eastern Cape. Using individual binary probit models and post estimation F-tests, the results indicate that consumption behaviour of sport within South Africa predominantly differs on the grounds of education and race. This suggests that there are aspects of social connotations underpinning sports consumption behaviour within South Africa
- Full Text:
- Date Issued: 2015
Earnings quality and equity returns : evidence of the accrual anomaly from the South African equity market
- Authors: Lutchmun, Thashveen
- Date: 2015
- Subjects: Earnings management -- South Africa , Accounting -- Standards
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:915 , http://hdl.handle.net/10962/d1017537
- Description: A key incentive for accounting research is to provide evidence on the usefulness of earnings in making economic decisions. Of particular interest over the last two decades is the issue of the quality of financial reporting, specifically the quality of earnings, given the number of global financial scandals reported during that period. The quality of earnings is driven by the choices, estimates and judgments that the accounting standards make available to managers in order to portray the firm’s economic position and performance in a timely and credible manner. However, this leeway in financial reporting also creates opportunities for earnings management. The objective of this thesis is firstly to establish whether earnings manipulation has had the ability to predict cross-sectional returns in South Africa during the 2007-2014 period. In other words, the purpose of this thesis is to find evidence whether the market reacts to earnings management practices, as measured by accruals, and rewards high earnings quality companies with higher equity returns (a process known as the accrual anomaly). The timeframe selected for the research encompasses the global financial crisis, a period in which accounting manipulation incentives are likely to be strong. Secondly, this study attempts to establish the presence of the accrual anomaly amongst growth and value firms. The motivations for earnings management of the former are expected to be strong. Securities are allocated to portfolios according to accruals and the subsequent equity returns are analysed cross-sectionally to establish the existence of the accrual anomaly and hence assessing the usefulness of earnings manipulation in predicting equity returns. To provide evidence for the presence of the accrual anomaly amongst growth and value shares, securities are independently allocated to portfolios according to their book-to-market ratio and accruals and a cross-sectional analysis is performed on their subsequent equity returns. In order to increase the robustness of the tests, two measures of accruals are used: a balance sheet approach and a cash flow measure. Evidence is provided for the presence of the accrual anomaly among South African listed companies for the balance sheet measure of accruals but not the cash flow approach. Whilst the accrual anomaly is significantly present in a growth-neutral-value construct, statistical significance is not established when growth and value shares are considered individually.
- Full Text:
- Date Issued: 2015
- Authors: Lutchmun, Thashveen
- Date: 2015
- Subjects: Earnings management -- South Africa , Accounting -- Standards
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:915 , http://hdl.handle.net/10962/d1017537
- Description: A key incentive for accounting research is to provide evidence on the usefulness of earnings in making economic decisions. Of particular interest over the last two decades is the issue of the quality of financial reporting, specifically the quality of earnings, given the number of global financial scandals reported during that period. The quality of earnings is driven by the choices, estimates and judgments that the accounting standards make available to managers in order to portray the firm’s economic position and performance in a timely and credible manner. However, this leeway in financial reporting also creates opportunities for earnings management. The objective of this thesis is firstly to establish whether earnings manipulation has had the ability to predict cross-sectional returns in South Africa during the 2007-2014 period. In other words, the purpose of this thesis is to find evidence whether the market reacts to earnings management practices, as measured by accruals, and rewards high earnings quality companies with higher equity returns (a process known as the accrual anomaly). The timeframe selected for the research encompasses the global financial crisis, a period in which accounting manipulation incentives are likely to be strong. Secondly, this study attempts to establish the presence of the accrual anomaly amongst growth and value firms. The motivations for earnings management of the former are expected to be strong. Securities are allocated to portfolios according to accruals and the subsequent equity returns are analysed cross-sectionally to establish the existence of the accrual anomaly and hence assessing the usefulness of earnings manipulation in predicting equity returns. To provide evidence for the presence of the accrual anomaly amongst growth and value shares, securities are independently allocated to portfolios according to their book-to-market ratio and accruals and a cross-sectional analysis is performed on their subsequent equity returns. In order to increase the robustness of the tests, two measures of accruals are used: a balance sheet approach and a cash flow measure. Evidence is provided for the presence of the accrual anomaly among South African listed companies for the balance sheet measure of accruals but not the cash flow approach. Whilst the accrual anomaly is significantly present in a growth-neutral-value construct, statistical significance is not established when growth and value shares are considered individually.
- Full Text:
- Date Issued: 2015
Factors influencing consumer decision-making process in the private health institutions
- Authors: Akponah, Voke Blessing
- Date: 2015
- Subjects: Consumer behavior Decision making , Public-private sector cooperation
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/50033 , vital:41993
- Description: The development that has taken place in the health care sector includes all factors that have brought changes in the consumer decision-making process regarding the private health institutions. In Nigeria, the development is evident in the delivery of the health care services. This indicates that the private health institutions deliver quality health care service by using efficient and quality medical equipment. However, there is a growing awareness among clients to perform an extensive search before the purchase of health care service and the increased expectation from health care quality by clients and their family. The change in consumer behaviour has caused a shift in the consumer decision-making process due to the availability of several sources of information and various health institutions they can choose from. The purpose of this study is to investigate the factors that influence the consumer decision-making process that can enhance customer satisfaction and reduce cognitive dissonance. In this study the behaviour of consumers is related to how they make decisions along several stages before they make a purchase and in a health care setting the decision-making process refers to the process that clients pass through in making choices on alternative health institutions. The quantitative research method was adopted in this study in describing, analysing and interpreting data. A structured questionnaire was employed to collect primary data from 450 respondents in Lagos state, Nigeria. The primary data was statistically analysed using five stages, namely, exploratory factor analysis, Cronbach‟s alpha reliability testing, descriptive statistics, multiple regression analysis, and Pearson correlation analysis. The empirical results of this study indicates that service encounter experience, personal income and support sources are significantly related to the decision-making process. The decision-making process also has significant positive relationship with both customer satisfaction and cognitive dissonance. This indicates that influential factors that have been identified through the empirical results enlighten researchers and the private health institutions on issues that influence the clients‟ decisions to utilise private health institutions. The well-being and satisfaction of clients will be enhanced if the private health institutions can craft effective strategies that will enable clients to gain easy access and utilise health care services. This study emphasised that access to and utilisation of health care services in the private health institutions can be granted to clients through personal income and support sources from family members and private health institutions. Futhermore, health insurance coverage is an effective way that will help clients overcome the financial constraints and restricted access to and utilisation of private health institutions. The study further reveals that the well-being and satisfaction of clients will be enhanced if private health institutions improve access to quality health care. Failure to improve the overall quality and performances of the health care services in the private health institutions can lead to clients‟ cognitive dissonance. Both private and public health institutions should play a major role in providing the necessary facilities that can assist the clients in their decision-making process regarding their health care needs. This will enable the health care institutions‟ staff to understand what clients value and need and, therefore, how well to satisfy them and reduce cognitive dissonance. Easy access and utilisation of the private health institutions as well as satisfaction in quality health care delivery will create better health outcomes for the workforce and citizens of a country and this will improve economic development.
- Full Text:
- Date Issued: 2015
- Authors: Akponah, Voke Blessing
- Date: 2015
- Subjects: Consumer behavior Decision making , Public-private sector cooperation
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/50033 , vital:41993
- Description: The development that has taken place in the health care sector includes all factors that have brought changes in the consumer decision-making process regarding the private health institutions. In Nigeria, the development is evident in the delivery of the health care services. This indicates that the private health institutions deliver quality health care service by using efficient and quality medical equipment. However, there is a growing awareness among clients to perform an extensive search before the purchase of health care service and the increased expectation from health care quality by clients and their family. The change in consumer behaviour has caused a shift in the consumer decision-making process due to the availability of several sources of information and various health institutions they can choose from. The purpose of this study is to investigate the factors that influence the consumer decision-making process that can enhance customer satisfaction and reduce cognitive dissonance. In this study the behaviour of consumers is related to how they make decisions along several stages before they make a purchase and in a health care setting the decision-making process refers to the process that clients pass through in making choices on alternative health institutions. The quantitative research method was adopted in this study in describing, analysing and interpreting data. A structured questionnaire was employed to collect primary data from 450 respondents in Lagos state, Nigeria. The primary data was statistically analysed using five stages, namely, exploratory factor analysis, Cronbach‟s alpha reliability testing, descriptive statistics, multiple regression analysis, and Pearson correlation analysis. The empirical results of this study indicates that service encounter experience, personal income and support sources are significantly related to the decision-making process. The decision-making process also has significant positive relationship with both customer satisfaction and cognitive dissonance. This indicates that influential factors that have been identified through the empirical results enlighten researchers and the private health institutions on issues that influence the clients‟ decisions to utilise private health institutions. The well-being and satisfaction of clients will be enhanced if the private health institutions can craft effective strategies that will enable clients to gain easy access and utilise health care services. This study emphasised that access to and utilisation of health care services in the private health institutions can be granted to clients through personal income and support sources from family members and private health institutions. Futhermore, health insurance coverage is an effective way that will help clients overcome the financial constraints and restricted access to and utilisation of private health institutions. The study further reveals that the well-being and satisfaction of clients will be enhanced if private health institutions improve access to quality health care. Failure to improve the overall quality and performances of the health care services in the private health institutions can lead to clients‟ cognitive dissonance. Both private and public health institutions should play a major role in providing the necessary facilities that can assist the clients in their decision-making process regarding their health care needs. This will enable the health care institutions‟ staff to understand what clients value and need and, therefore, how well to satisfy them and reduce cognitive dissonance. Easy access and utilisation of the private health institutions as well as satisfaction in quality health care delivery will create better health outcomes for the workforce and citizens of a country and this will improve economic development.
- Full Text:
- Date Issued: 2015
The economics of institutions, institutional governance and efficiency: the case of water distribution in Lower Sundays River Valley
- Authors: Madigele, Patricia Kefilwe
- Date: 2015
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/54777 , vital:26611
- Description: The institutional dynamics, policies and legislation that were prevalent during the apartheid era have left imprints that are difficult to ignore as they still dictate the interaction between different elements in the water sector to date. During the apartheid era, the formulation of policies was informed by racial segregation, resulting in a socio-economic pattern that dictated the distribution and access of resources for the people of different races in the country. Post-apartheid, the National Water Act has established the basis for management of water resources on a catchment basis (for equity, efficiency and sustainability), and the Water Services Act aims to ensure everybody has access to basic water supply and sanitation services. Regardless of the improvements in water supply to the rural sector made by the South African government, many of the current patterns of water use are still characterised by inequality, inefficiency, and inadequacy. The poor remain marginalised, and emerging farmers and poor rural communities have limited access to water resources while water continues to be used inefficiently by some farmers in the agricultural sector with few incentives to improve its water use efficiency. Despite the existence of the thriving citrus industry in the area, around 60% of people in the Sundays River Valley Municipality (SRVM) live below the poverty datum line. The inequality between the municipal populace and the commercial citrus industry is noticeable and the inequitable water redistribution is prevalent in the Lower Sundays River Valley (LSRV). The problem of disrupted water supply is prevalent in the catchment. However, there is also currently no physical shortage of water in the catchment. Therefore, the currently experienced problems with water supply in the LSRV are consequence of a lack of effective institutions and infrastructure, not of physical water scarcity. It is argued in this paper that there is a notable lack of understanding about the design of institutions for water management in developing countries. The vast majority of research on water management and access is premised on neoclassical economics ideas related to water markets and pricing among others. The neoclassical economics approach, however, does not adequately define the role of institutions in shaping the direction of water access and supply. This study uses new institutional economics (NIE) arguments to define the institutional arrangements and dynamics defining the water sector in South Africa, using the Lower Sunday River Water Users Association (LSR-WUA) as the case study. It aims at analysing the institutional governance and performance of the using equity, efficiency and effectiveness as key indicators. The various research methods employed in this study include; interpretive and post-positivist paradigms, quantitative and qualitative research, the case study research method and in-depth key informant interviews. It is concluded that that the current and future decisions made by the LSR-WUA are not entirely independent of those made in the past under Sundays River Irrigation Board (SRIB). The thesis argues that such factors as old effective networks, vested interests of commercial farmers, sunk costs towards the building of canals, among other factors, may have influenced the dependence of the LSR-WUA on the SRIB’s set path. It is further concluded that the absence of contractual agreement between the LRS-WUA which acts as the bulk water supplier, and the SRVM which acts as both the water services authority (WSA) and the water service provider (WSP) creates an institutional arrangement deficiency. Such an institutional arrangement vacuum can lead to a failure of the water institutions in the catchment to provide water resources effectively. The study further argues that because the post-apartheid National Water Policy of South Africa is largely influenced by neoclassical economics foundations, the desired results in the water sector, such as equitable distribution of water resources, have not yet been fulfilled completely.
- Full Text:
- Date Issued: 2015
- Authors: Madigele, Patricia Kefilwe
- Date: 2015
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/54777 , vital:26611
- Description: The institutional dynamics, policies and legislation that were prevalent during the apartheid era have left imprints that are difficult to ignore as they still dictate the interaction between different elements in the water sector to date. During the apartheid era, the formulation of policies was informed by racial segregation, resulting in a socio-economic pattern that dictated the distribution and access of resources for the people of different races in the country. Post-apartheid, the National Water Act has established the basis for management of water resources on a catchment basis (for equity, efficiency and sustainability), and the Water Services Act aims to ensure everybody has access to basic water supply and sanitation services. Regardless of the improvements in water supply to the rural sector made by the South African government, many of the current patterns of water use are still characterised by inequality, inefficiency, and inadequacy. The poor remain marginalised, and emerging farmers and poor rural communities have limited access to water resources while water continues to be used inefficiently by some farmers in the agricultural sector with few incentives to improve its water use efficiency. Despite the existence of the thriving citrus industry in the area, around 60% of people in the Sundays River Valley Municipality (SRVM) live below the poverty datum line. The inequality between the municipal populace and the commercial citrus industry is noticeable and the inequitable water redistribution is prevalent in the Lower Sundays River Valley (LSRV). The problem of disrupted water supply is prevalent in the catchment. However, there is also currently no physical shortage of water in the catchment. Therefore, the currently experienced problems with water supply in the LSRV are consequence of a lack of effective institutions and infrastructure, not of physical water scarcity. It is argued in this paper that there is a notable lack of understanding about the design of institutions for water management in developing countries. The vast majority of research on water management and access is premised on neoclassical economics ideas related to water markets and pricing among others. The neoclassical economics approach, however, does not adequately define the role of institutions in shaping the direction of water access and supply. This study uses new institutional economics (NIE) arguments to define the institutional arrangements and dynamics defining the water sector in South Africa, using the Lower Sunday River Water Users Association (LSR-WUA) as the case study. It aims at analysing the institutional governance and performance of the using equity, efficiency and effectiveness as key indicators. The various research methods employed in this study include; interpretive and post-positivist paradigms, quantitative and qualitative research, the case study research method and in-depth key informant interviews. It is concluded that that the current and future decisions made by the LSR-WUA are not entirely independent of those made in the past under Sundays River Irrigation Board (SRIB). The thesis argues that such factors as old effective networks, vested interests of commercial farmers, sunk costs towards the building of canals, among other factors, may have influenced the dependence of the LSR-WUA on the SRIB’s set path. It is further concluded that the absence of contractual agreement between the LRS-WUA which acts as the bulk water supplier, and the SRVM which acts as both the water services authority (WSA) and the water service provider (WSP) creates an institutional arrangement deficiency. Such an institutional arrangement vacuum can lead to a failure of the water institutions in the catchment to provide water resources effectively. The study further argues that because the post-apartheid National Water Policy of South Africa is largely influenced by neoclassical economics foundations, the desired results in the water sector, such as equitable distribution of water resources, have not yet been fulfilled completely.
- Full Text:
- Date Issued: 2015
Stalking black swans, dragon kings, and market crashes on the JSE
- Authors: Zuka, Mawethu
- Date: 2015
- Subjects: Johannesburg Stock Exchange -- Research Stock exchanges -- South Africa , Stocks -- South Africa -- Johannesburg Financial crises -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/18376 , vital:28631
- Description: This paper examines bubbles on the JSE All Share Index as well as the critical time of the stock market crash from 2/01/ 2004 – 27/03/2014. The underlying hypothesis define bubbles as extreme and begin as a group of small events which grow in a super exponential form explained by a log periodic power law model (LPPL model). The hypothesis is based on the assumption of investors’ herding behavior, where investors collude by making investment decision correlated with their counterparties. The paper implements a Savitzky Golary Algorithm to detect peaks and calculate the critical time of the crash from the peaks. An Ordinary Least Squares (OLS) method is used to determine both the value of stock market price index at the critical time and the increase in the stock market price index over the time before the crash. The remaining parameters of the LPPL model are estimated using a Maximum Likelihood Estimation method. On the empirical results; 68 peaks were detected, and the LPPL model at the critical crash time is estimated 34736.586. Five bubbles are detected; the 15/8/2005 bubble, 28/5/2013 bubble, 23/8/2013 bubble, 5/11/2013, and 1/20/2014.
- Full Text:
- Date Issued: 2015
- Authors: Zuka, Mawethu
- Date: 2015
- Subjects: Johannesburg Stock Exchange -- Research Stock exchanges -- South Africa , Stocks -- South Africa -- Johannesburg Financial crises -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/18376 , vital:28631
- Description: This paper examines bubbles on the JSE All Share Index as well as the critical time of the stock market crash from 2/01/ 2004 – 27/03/2014. The underlying hypothesis define bubbles as extreme and begin as a group of small events which grow in a super exponential form explained by a log periodic power law model (LPPL model). The hypothesis is based on the assumption of investors’ herding behavior, where investors collude by making investment decision correlated with their counterparties. The paper implements a Savitzky Golary Algorithm to detect peaks and calculate the critical time of the crash from the peaks. An Ordinary Least Squares (OLS) method is used to determine both the value of stock market price index at the critical time and the increase in the stock market price index over the time before the crash. The remaining parameters of the LPPL model are estimated using a Maximum Likelihood Estimation method. On the empirical results; 68 peaks were detected, and the LPPL model at the critical crash time is estimated 34736.586. Five bubbles are detected; the 15/8/2005 bubble, 28/5/2013 bubble, 23/8/2013 bubble, 5/11/2013, and 1/20/2014.
- Full Text:
- Date Issued: 2015
Recent developments in banking supervision and the soundness of the financial system : a comparative study of South Africa, Brazil and China
- Authors: Gutu, Taurai Fortune
- Date: 2015
- Subjects: Basel III (2010) , Bank management -- South Africa , Bank management -- Brazil , Bank management -- China , Global Financial Crisis, 2008-2009 , Ratio analysis , Liquidity (Economics)
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1130 , http://hdl.handle.net/10962/d1020892
- Description: While the 2008 financial crisis has come and gone, its effects on the global financial sector still show. Globalisation has since changed the way that banks do business, and increased competitiveness and with it the level of risk within the international banking community. Therefore, because of these prolonged effects of the financial crisis and the rise in the level of risk in banking, regulators deemed it fit to make the global financial sector safer and sounder. As a result, the BASEL III Capital Accord was introduced with tighter capital adequacy and liquidity ratio requirements; as well as also introducing the leverage ratio. In this paper, through the study of the rules and regulations on banks in South Africa, Brazil and China, it was discovered that all three countries have since begun the implementation of the new Accord as from January 2013. While preparatory measures may be different, there is a general sense of regulatory alignment among the three countries. By analysing the capital adequacy, liquidity and leverage ratios of the three countries, it was also established that these ratios are interconnected, with the capital adequacy ratio being the most important one. The study concludes that, with proper implementation of these ratios and effective management, countries implementing the BASEL III regulations would be in a stronger position to achieve soundness in their banking systems. , Gutu, Taurai Fortunate
- Full Text:
- Date Issued: 2015
- Authors: Gutu, Taurai Fortune
- Date: 2015
- Subjects: Basel III (2010) , Bank management -- South Africa , Bank management -- Brazil , Bank management -- China , Global Financial Crisis, 2008-2009 , Ratio analysis , Liquidity (Economics)
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1130 , http://hdl.handle.net/10962/d1020892
- Description: While the 2008 financial crisis has come and gone, its effects on the global financial sector still show. Globalisation has since changed the way that banks do business, and increased competitiveness and with it the level of risk within the international banking community. Therefore, because of these prolonged effects of the financial crisis and the rise in the level of risk in banking, regulators deemed it fit to make the global financial sector safer and sounder. As a result, the BASEL III Capital Accord was introduced with tighter capital adequacy and liquidity ratio requirements; as well as also introducing the leverage ratio. In this paper, through the study of the rules and regulations on banks in South Africa, Brazil and China, it was discovered that all three countries have since begun the implementation of the new Accord as from January 2013. While preparatory measures may be different, there is a general sense of regulatory alignment among the three countries. By analysing the capital adequacy, liquidity and leverage ratios of the three countries, it was also established that these ratios are interconnected, with the capital adequacy ratio being the most important one. The study concludes that, with proper implementation of these ratios and effective management, countries implementing the BASEL III regulations would be in a stronger position to achieve soundness in their banking systems. , Gutu, Taurai Fortunate
- Full Text:
- Date Issued: 2015
The effect of strike action on the value and volatility of the South African Rand
- Authors: Gordon, Ross Patrick
- Date: 2015
- Subjects: Foreign exchange rates -- South Africa , Strikes and lockouts -- South Africa -- Economic aspects , South Africa -- Foreign economic relations , South Africa -- Economic conditions -- 1991- , Rand, South African , Dollar, American
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1124 , http://hdl.handle.net/10962/d1020018
- Description: This study analyses whether the advent of strike action has an effect on the value and volatility of the South African Rand compared with the US Dollar. The literature suggests that strike action can have a significant effect on the exchange rate in terms of either value or volatility, and consequences can result that cause inefficiencies in the economy; inhibiting employment and economic growth. Strike action has become common place in South Africa, with 2012 alone recording 99 strikes, 45 of which were “wildcat” or unprotected strikes. This study uses GARCH and Intervention Analyses to determine what the resulting effects of the strikes might be on the exchange rate. The analysis used ZAR/USD exchange rate data for the period January 2000 to October 2013, and covered 72 of the most significant strikes in terms of lost man-days. The results are mixed, suggesting that the effects of strikes do not always conform to expectations (increased volatility and a depreciation in the Rand), and that outside factors affecting the global economy may have a more significant effect on the exchange rate than strikes on their own.
- Full Text:
- Date Issued: 2015
- Authors: Gordon, Ross Patrick
- Date: 2015
- Subjects: Foreign exchange rates -- South Africa , Strikes and lockouts -- South Africa -- Economic aspects , South Africa -- Foreign economic relations , South Africa -- Economic conditions -- 1991- , Rand, South African , Dollar, American
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1124 , http://hdl.handle.net/10962/d1020018
- Description: This study analyses whether the advent of strike action has an effect on the value and volatility of the South African Rand compared with the US Dollar. The literature suggests that strike action can have a significant effect on the exchange rate in terms of either value or volatility, and consequences can result that cause inefficiencies in the economy; inhibiting employment and economic growth. Strike action has become common place in South Africa, with 2012 alone recording 99 strikes, 45 of which were “wildcat” or unprotected strikes. This study uses GARCH and Intervention Analyses to determine what the resulting effects of the strikes might be on the exchange rate. The analysis used ZAR/USD exchange rate data for the period January 2000 to October 2013, and covered 72 of the most significant strikes in terms of lost man-days. The results are mixed, suggesting that the effects of strikes do not always conform to expectations (increased volatility and a depreciation in the Rand), and that outside factors affecting the global economy may have a more significant effect on the exchange rate than strikes on their own.
- Full Text:
- Date Issued: 2015
The tax consequences of a contingent liability disposed of as part of the sale of a business as a going concern
- Authors: Staude, Daylan
- Date: 2015
- Subjects: Sale of business enterprises -- Taxation -- South Africa , Sale of business enterprises -- Law and legislation -- South Africa , Tax deductions -- South Africa , Contingent liabilities (Accounting) -- Taxation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:918 , http://hdl.handle.net/10962/d1017544
- Description: The sale of an entity as a going concern has a number of tax consequences for both the purchaser and the seller. The tax deductibility of a contingent liability upon its transfer from the seller to the purchaser, where the selling price has been reduced by the value of the contingent liabilities transferred, remains uncertain following the decision in Ackermans Ltd v Commissioner for the South African Revenue Service. An expense is either deductible under a specific section of the Income Tax Act, 58 of 1962, or under the general expense provisions in terms of sections 11(a) and 23(g). The Act does not contain a specific section relating to contingent liabilities and therefore a contingent liability will need to be considered for deduction under these sections. The Act further disallows an expense as a deduction under section 23(e), where a reserve is created (for example a leave pay provision). This study analyses the tax deductibility of a contingent liability, where the contingent liability has been transferred from the seller to the purchaser in a sale of an entity as a going concern and the purchase price has been reduced to compensate for the transfer of the contingent liability. The deductibility of the contingent liability was first assessed in terms of the provisions of the Act (sections 11(a), 23(g) and 23(e)) and associated case law. The decision in the Ackermans case and its preceding Income Tax Case 1839 was then analysed in order to establish the principles arising from the decisions. Finally the proposals in the Draft Taxation Laws Amendment Bill, 2011, and the subsequent Discussion Document issued by the South African Revenue Service were discussed. The analysis revealed the continuing confusion surrounding the status quo, thus demonstrating the importance of legislative intervention to provide guidelines for taxpayers.
- Full Text:
- Date Issued: 2015
- Authors: Staude, Daylan
- Date: 2015
- Subjects: Sale of business enterprises -- Taxation -- South Africa , Sale of business enterprises -- Law and legislation -- South Africa , Tax deductions -- South Africa , Contingent liabilities (Accounting) -- Taxation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:918 , http://hdl.handle.net/10962/d1017544
- Description: The sale of an entity as a going concern has a number of tax consequences for both the purchaser and the seller. The tax deductibility of a contingent liability upon its transfer from the seller to the purchaser, where the selling price has been reduced by the value of the contingent liabilities transferred, remains uncertain following the decision in Ackermans Ltd v Commissioner for the South African Revenue Service. An expense is either deductible under a specific section of the Income Tax Act, 58 of 1962, or under the general expense provisions in terms of sections 11(a) and 23(g). The Act does not contain a specific section relating to contingent liabilities and therefore a contingent liability will need to be considered for deduction under these sections. The Act further disallows an expense as a deduction under section 23(e), where a reserve is created (for example a leave pay provision). This study analyses the tax deductibility of a contingent liability, where the contingent liability has been transferred from the seller to the purchaser in a sale of an entity as a going concern and the purchase price has been reduced to compensate for the transfer of the contingent liability. The deductibility of the contingent liability was first assessed in terms of the provisions of the Act (sections 11(a), 23(g) and 23(e)) and associated case law. The decision in the Ackermans case and its preceding Income Tax Case 1839 was then analysed in order to establish the principles arising from the decisions. Finally the proposals in the Draft Taxation Laws Amendment Bill, 2011, and the subsequent Discussion Document issued by the South African Revenue Service were discussed. The analysis revealed the continuing confusion surrounding the status quo, thus demonstrating the importance of legislative intervention to provide guidelines for taxpayers.
- Full Text:
- Date Issued: 2015
Influence of leadership styles on the business performance of family businesses in the Eastern Cape
- Authors: De Witt, Andrea
- Date: 2015
- Subjects: Family-owned business enterprises -- South Africa -- Eastern Cape , Leadership -- South Africa -- Eastern Cape , Performance
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:9306 , http://hdl.handle.net/10948/d1018510
- Description: Given the importance of family businesses with regard to the economic growth of South Africa, and the fact that their high failure rates have a negative influence on the country’s economy, this study focused on ineffective leadership among family businesses and the influence thereof on business performance. People’s perceptions of leadership are changing, and an ethical, people-centred, character-orientated approach to leadership may be what businesses require. In addition, innovation and employee well-being are being given high priority, and leadership that is ethical and caring is of great importance. The primary objective of this study was twofold, firstly to establish the levels of Ethical, Authentic, Participative and Servant leadership displayed by family business owners and employees in the Eastern Cape, and secondly to establish the influence on the Perceived business performance of the family business of displaying these styles. Poor leadership was identified as a major challenge that family businesses are faced with, and a challenge that contributes to their high failure rate. The literature dealt with the nature and importance of leadership, and both traditional and contemporary leadership styles were elaborated on. The traditional leadership styles identified were autocratic, laissez-faire, transactional, transformational and participative leadership, while the contemporary styles identified and discussed were ethical, authentic and servant leadership. From the literature it was evident that a more ethical, people-centred, character-orientated approach to leadership may be what businesses require to be successful today. The literature highlighted Ethical, Authentic, Participative, and Servant leadership as the more character-orientated leadership styles that positively influence the performance of any business, including family businesses. These leadership styles formed the main focus of this study. In this study a quantitative research design was adopted and a descriptive study of a cross-sectional nature was undertaken. A convenience sampling technique was used owing to the inaccessibility of a family business database. The sample size in this study consisted of 250 small family businesses. A survey was undertaken and a structured, self-administered questionnaire was used to gather the necessary data. The measuring instrument was developed by sourcing items from several existing studies. Family business owners and employees working in the family business were approached by fieldworkers and asked to participate in the study. In total, 266 questionnaires were usable, 133 from family business owners and 133 from family business employees. An effective response rate of 53.20 percent was achieved. The validity and reliability of the measuring instrument were confirmed by means of an exploratory factor analysis (EFA) and by the calculation of Cronbach’s alpha coefficients. Descriptive statistics were calculated in order to summarise the sample data, while t-tests were used to determine whether the differences in mean scores returned by the family business owner and employee sample groups for the leadership styles under investigation, were significantly different from each other. Pearson’s product moment correlations were used to assess the associations between the variables under investigation. A multiple regression analysis (MRA) was used to assess the relationships between the independent variables and the dependent variable Perceived business performance. Lastly, the relationships between selected demographic variables and leadership styles displayed by family business owners were tested by means of an Analysis of Variance (ANOVA). Five factors were extracted from the EFA, four of which were considered for further analysis. The four usable factors extracted could be identified as the theoretical dimensions of Ethical leadership, Participative leadership, Perceived business performance and Servant leadership. The items measuring Ethical and Authentic leadership did not load as expected, as several items measuring the two factors loaded onto one factor. The Cronbach’s alpha coefficients returned for the four usable factors extracted from the EFA were greater than 0.7, and thus the scales measuring the independent and dependent variables provided satisfactory evidence of validity and reliability. The findings of this study show that for both the family business owner and employee sample group, Ethical leadership returned the highest mean score, followed by Servant and Participative leadership. The great majority of the family business owners therefore agreed that they adopted these leadership styles. In addition the majority of family business employees agreed that the family business owner, for whom they worked, adopted these leadership styles. T-tests were conducted to assess whether the differences in mean scores returned by the two sample groups were statistically significant. Significant differences were found between the means scores returned by both sample groups with regard to the level of Ethical and Servant leadership displayed by the family business owner. No significant difference was found between the mean scores returned by both sample groups for Participative leadership. This finding was not surprising, given that socially desirable bias occurs when individuals describe or rate themselves in a manner that is untruthful or in a way that they feel may be viewed favourably by others. From the MRA, no relationships were reported between the independent variables (Ethical, Participative and Servant leadership) and the dependent variable Perceived business performance. The results of ANOVA revealed that there was no relationship between the Gender, Age, Ethnicity, Tenure, Generation, Number of employees and the Nature of the family business and the Ethical, Participative, and Servant leadership styles. However, the results show that family business owners with a tertiary qualification are more likely to adopt a Participative leadership style. Despite no significant relationship found in this study, it is well supported in the literature that the leadership styles investigated have a positive influence on business performance. Family business owners should take cognisance of this, and measures should be taken to ensure that the leadership style implemented in their businesses is ethical, participative and servant-orientated. This study has attempted to enlarge the body of knowledge available on leadership, especially concerning the servant, ethical, people-centred and character-orientated leadership styles. The results of the study differ somewhat from existing literature, and therefore add to the body of knowledge on leadership. Furthermore, this study has addressed a gap in the current literature regarding the influence of leadership on business performance among family businesses in a developing economy such as South Africa.
- Full Text:
- Date Issued: 2015
- Authors: De Witt, Andrea
- Date: 2015
- Subjects: Family-owned business enterprises -- South Africa -- Eastern Cape , Leadership -- South Africa -- Eastern Cape , Performance
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:9306 , http://hdl.handle.net/10948/d1018510
- Description: Given the importance of family businesses with regard to the economic growth of South Africa, and the fact that their high failure rates have a negative influence on the country’s economy, this study focused on ineffective leadership among family businesses and the influence thereof on business performance. People’s perceptions of leadership are changing, and an ethical, people-centred, character-orientated approach to leadership may be what businesses require. In addition, innovation and employee well-being are being given high priority, and leadership that is ethical and caring is of great importance. The primary objective of this study was twofold, firstly to establish the levels of Ethical, Authentic, Participative and Servant leadership displayed by family business owners and employees in the Eastern Cape, and secondly to establish the influence on the Perceived business performance of the family business of displaying these styles. Poor leadership was identified as a major challenge that family businesses are faced with, and a challenge that contributes to their high failure rate. The literature dealt with the nature and importance of leadership, and both traditional and contemporary leadership styles were elaborated on. The traditional leadership styles identified were autocratic, laissez-faire, transactional, transformational and participative leadership, while the contemporary styles identified and discussed were ethical, authentic and servant leadership. From the literature it was evident that a more ethical, people-centred, character-orientated approach to leadership may be what businesses require to be successful today. The literature highlighted Ethical, Authentic, Participative, and Servant leadership as the more character-orientated leadership styles that positively influence the performance of any business, including family businesses. These leadership styles formed the main focus of this study. In this study a quantitative research design was adopted and a descriptive study of a cross-sectional nature was undertaken. A convenience sampling technique was used owing to the inaccessibility of a family business database. The sample size in this study consisted of 250 small family businesses. A survey was undertaken and a structured, self-administered questionnaire was used to gather the necessary data. The measuring instrument was developed by sourcing items from several existing studies. Family business owners and employees working in the family business were approached by fieldworkers and asked to participate in the study. In total, 266 questionnaires were usable, 133 from family business owners and 133 from family business employees. An effective response rate of 53.20 percent was achieved. The validity and reliability of the measuring instrument were confirmed by means of an exploratory factor analysis (EFA) and by the calculation of Cronbach’s alpha coefficients. Descriptive statistics were calculated in order to summarise the sample data, while t-tests were used to determine whether the differences in mean scores returned by the family business owner and employee sample groups for the leadership styles under investigation, were significantly different from each other. Pearson’s product moment correlations were used to assess the associations between the variables under investigation. A multiple regression analysis (MRA) was used to assess the relationships between the independent variables and the dependent variable Perceived business performance. Lastly, the relationships between selected demographic variables and leadership styles displayed by family business owners were tested by means of an Analysis of Variance (ANOVA). Five factors were extracted from the EFA, four of which were considered for further analysis. The four usable factors extracted could be identified as the theoretical dimensions of Ethical leadership, Participative leadership, Perceived business performance and Servant leadership. The items measuring Ethical and Authentic leadership did not load as expected, as several items measuring the two factors loaded onto one factor. The Cronbach’s alpha coefficients returned for the four usable factors extracted from the EFA were greater than 0.7, and thus the scales measuring the independent and dependent variables provided satisfactory evidence of validity and reliability. The findings of this study show that for both the family business owner and employee sample group, Ethical leadership returned the highest mean score, followed by Servant and Participative leadership. The great majority of the family business owners therefore agreed that they adopted these leadership styles. In addition the majority of family business employees agreed that the family business owner, for whom they worked, adopted these leadership styles. T-tests were conducted to assess whether the differences in mean scores returned by the two sample groups were statistically significant. Significant differences were found between the means scores returned by both sample groups with regard to the level of Ethical and Servant leadership displayed by the family business owner. No significant difference was found between the mean scores returned by both sample groups for Participative leadership. This finding was not surprising, given that socially desirable bias occurs when individuals describe or rate themselves in a manner that is untruthful or in a way that they feel may be viewed favourably by others. From the MRA, no relationships were reported between the independent variables (Ethical, Participative and Servant leadership) and the dependent variable Perceived business performance. The results of ANOVA revealed that there was no relationship between the Gender, Age, Ethnicity, Tenure, Generation, Number of employees and the Nature of the family business and the Ethical, Participative, and Servant leadership styles. However, the results show that family business owners with a tertiary qualification are more likely to adopt a Participative leadership style. Despite no significant relationship found in this study, it is well supported in the literature that the leadership styles investigated have a positive influence on business performance. Family business owners should take cognisance of this, and measures should be taken to ensure that the leadership style implemented in their businesses is ethical, participative and servant-orientated. This study has attempted to enlarge the body of knowledge available on leadership, especially concerning the servant, ethical, people-centred and character-orientated leadership styles. The results of the study differ somewhat from existing literature, and therefore add to the body of knowledge on leadership. Furthermore, this study has addressed a gap in the current literature regarding the influence of leadership on business performance among family businesses in a developing economy such as South Africa.
- Full Text:
- Date Issued: 2015
Teacher perceptions regarding training and their subsequent ability to integrate ICTs into marginalised rural schools : The ICT4RED Case Study
- Authors: Nkula, Kanya Zonke
- Date: 2015
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:20978 , http://hdl.handle.net/10962/5798
- Description: It is well documented that Information and Communication Technologies (ICTs) play an important role in education and that their use is associated with improving student learning and adding value to the curriculum. However, despite the opportunities that ICTs offer, numerous schools in South Africa face various barriers that result in the limited use of ICTs in the classroom. Literature has highlighted the lack of integration as one of these barriers. Teachers focus on teaching about ICTs where the focus is on developing computer literacy or technical knowledge rather than allowing students to learn through or with ICTs. This thesis aims to explore the concept of ICT integration in rural schools, where ICTs form an integral part of teaching and learning practices. It presents a number of theoretical considerations for ICT integration with a particular focus on teacher pedagogical beliefs and barriers to integration. Using interpretivism as the underlying philosophy and thematic analysis as the analysis tool, the author reflects on ICT integration in the ICT4RED project at Arthur Mfebe Senior Secondary School in the Eastern Cape Province. Furthermore, this thesis offers an in-depth understanding of integration barriers in rural marginalised schools. These barriers are presented in Thematic Maps as well as a framework which incorporates both theoretical considerations and themes that emerged from fieldwork.
- Full Text:
- Date Issued: 2015
- Authors: Nkula, Kanya Zonke
- Date: 2015
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:20978 , http://hdl.handle.net/10962/5798
- Description: It is well documented that Information and Communication Technologies (ICTs) play an important role in education and that their use is associated with improving student learning and adding value to the curriculum. However, despite the opportunities that ICTs offer, numerous schools in South Africa face various barriers that result in the limited use of ICTs in the classroom. Literature has highlighted the lack of integration as one of these barriers. Teachers focus on teaching about ICTs where the focus is on developing computer literacy or technical knowledge rather than allowing students to learn through or with ICTs. This thesis aims to explore the concept of ICT integration in rural schools, where ICTs form an integral part of teaching and learning practices. It presents a number of theoretical considerations for ICT integration with a particular focus on teacher pedagogical beliefs and barriers to integration. Using interpretivism as the underlying philosophy and thematic analysis as the analysis tool, the author reflects on ICT integration in the ICT4RED project at Arthur Mfebe Senior Secondary School in the Eastern Cape Province. Furthermore, this thesis offers an in-depth understanding of integration barriers in rural marginalised schools. These barriers are presented in Thematic Maps as well as a framework which incorporates both theoretical considerations and themes that emerged from fieldwork.
- Full Text:
- Date Issued: 2015
The South African economy and internationally fuelled business cycles: an econometric analysis
- Authors: Conradie, Tiaan
- Date: 2015
- Subjects: Business cycles -- Econometric models , Econometrics
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/4354 , vital:20588
- Description: The objective of this study is to understand the dynamics of international monetary policy and the relationship that exists between larger more developed economies and smaller less developed economies within a policy context. The 2008 financial crisis has caused intense revival of Austrian economics due to the monetary nature of the recession caused as a subsequent effect of the stock/housing market collapse that occurred in 2007. One factor of the 2008 financial crisis that created intense concern was the extent to which the slowdown in economic activity was able to be transmitted across international borders. The South African economy was not isolated from the financial crisis by any means and experienced a significant slowdown in economic growth. By making use of data collected from the Federal Reserve Bank of St. Louis and the appropriate econometric techniques, a model is developed to study the dynamics between United States monetary policy and the South African economy. The Austrian School provides a sound theoretical framework that allows for the specification of testable propositions to verify the validity of an “Austrian” internationally transmitted business cycle. Using United States money supply, South African private consumption, South African gross fixed capital formation and the South African current account, a vector autoregressive model is specified to analyse the dynamics behind the United States and South African economy. The results of the empirical test all confirm the theoretical prescriptions developed in the literature review that monetary growth in the United States raise consumption, investment and improve the current account balance in the South African economy. This is a novel result for this study as it confirms that a large central economy has the ability to trigger economic expansions in a peripheral economy. This study further points out the inefficiencies associated with Keynesian style policy making and propagates for a movement towards a more prudent Austrian approach. Keynesian policy making through demand oriented policies have historically been more concerned with “curing” economic instability rather than preventing it. In light of this, the need for economic reform specifically within the manner in which monetary policy is conducted is evident. Aggressive monetary policy in the wake of economic slowdown is no longer effective at creating a sustainable and stable economic environment. A movement away from the monopolization of money and central economic decision making is necessary if the global economy wishes to reach economic permanence.
- Full Text:
- Date Issued: 2015
- Authors: Conradie, Tiaan
- Date: 2015
- Subjects: Business cycles -- Econometric models , Econometrics
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/4354 , vital:20588
- Description: The objective of this study is to understand the dynamics of international monetary policy and the relationship that exists between larger more developed economies and smaller less developed economies within a policy context. The 2008 financial crisis has caused intense revival of Austrian economics due to the monetary nature of the recession caused as a subsequent effect of the stock/housing market collapse that occurred in 2007. One factor of the 2008 financial crisis that created intense concern was the extent to which the slowdown in economic activity was able to be transmitted across international borders. The South African economy was not isolated from the financial crisis by any means and experienced a significant slowdown in economic growth. By making use of data collected from the Federal Reserve Bank of St. Louis and the appropriate econometric techniques, a model is developed to study the dynamics between United States monetary policy and the South African economy. The Austrian School provides a sound theoretical framework that allows for the specification of testable propositions to verify the validity of an “Austrian” internationally transmitted business cycle. Using United States money supply, South African private consumption, South African gross fixed capital formation and the South African current account, a vector autoregressive model is specified to analyse the dynamics behind the United States and South African economy. The results of the empirical test all confirm the theoretical prescriptions developed in the literature review that monetary growth in the United States raise consumption, investment and improve the current account balance in the South African economy. This is a novel result for this study as it confirms that a large central economy has the ability to trigger economic expansions in a peripheral economy. This study further points out the inefficiencies associated with Keynesian style policy making and propagates for a movement towards a more prudent Austrian approach. Keynesian policy making through demand oriented policies have historically been more concerned with “curing” economic instability rather than preventing it. In light of this, the need for economic reform specifically within the manner in which monetary policy is conducted is evident. Aggressive monetary policy in the wake of economic slowdown is no longer effective at creating a sustainable and stable economic environment. A movement away from the monopolization of money and central economic decision making is necessary if the global economy wishes to reach economic permanence.
- Full Text:
- Date Issued: 2015
The meaning of expenditure actually incurred in the context of share-based payments for trading stock or services rendered
- Authors: Nguta, Mbulelo
- Date: 2015
- Subjects: South African Revenue Service , Labat Africa , Stocks -- Taxation -- Law and legislation -- South Africa , Income tax deductions for expenses , Income tax -- Accounting -- Law and legislation -- South Africa , Actions and defenses
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:920 , http://hdl.handle.net/10962/d1018661
- Description: Section 11(a) of the Income Tax Act 58 of 1962 entitles taxpayers to a deduction in respect of expenditure actually incurred, provided that all the other requirements of section 11 and section 23 of the Act have been met. A company may issue its own shares, credited as fully paid up, as a payment for trading stock or services rendered, as was the case in C:SARS v Labat Africa (2011) 74 SATC 1. The question that was raised by this decision is whether the issue of shares constitutes “expenditure” as contemplated in section 11(a) of the Act. It is trite that a share in a company is a bundle of rights which entitle the holder to dividends when declared and to a vote in shareholders’ meetings and that a share does not come into the hands of a shareholder by way of transfer from the company, but is rather created as a bundle of rights for him in the company. In C: SARS v Labat Africa, the Supreme Court of Appeal decided that to issue shares as a payment for goods is not expenditure as contemplated in section 11(a) of the Act. The Act does not define “expenditure”. It has been interpreted in certain cases as a payment of money or disbursement, while it has been interpreted as the undertaking of a legal obligation in other cases. The Labat Africa case has been criticised for its interpretation of expenditure on the grounds that it is contrary to the principle that “actually incurred” does not mean “actually paid”. This research has argued that, in the context of the Labat Africa case, which related to an issue of shares in payment for goods, Harms AP’s judgment was concerned with showing why a share issue is not expenditure. He could not have intended to deny a deduction to transactions such as credit purchases.
- Full Text:
- Date Issued: 2015
- Authors: Nguta, Mbulelo
- Date: 2015
- Subjects: South African Revenue Service , Labat Africa , Stocks -- Taxation -- Law and legislation -- South Africa , Income tax deductions for expenses , Income tax -- Accounting -- Law and legislation -- South Africa , Actions and defenses
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:920 , http://hdl.handle.net/10962/d1018661
- Description: Section 11(a) of the Income Tax Act 58 of 1962 entitles taxpayers to a deduction in respect of expenditure actually incurred, provided that all the other requirements of section 11 and section 23 of the Act have been met. A company may issue its own shares, credited as fully paid up, as a payment for trading stock or services rendered, as was the case in C:SARS v Labat Africa (2011) 74 SATC 1. The question that was raised by this decision is whether the issue of shares constitutes “expenditure” as contemplated in section 11(a) of the Act. It is trite that a share in a company is a bundle of rights which entitle the holder to dividends when declared and to a vote in shareholders’ meetings and that a share does not come into the hands of a shareholder by way of transfer from the company, but is rather created as a bundle of rights for him in the company. In C: SARS v Labat Africa, the Supreme Court of Appeal decided that to issue shares as a payment for goods is not expenditure as contemplated in section 11(a) of the Act. The Act does not define “expenditure”. It has been interpreted in certain cases as a payment of money or disbursement, while it has been interpreted as the undertaking of a legal obligation in other cases. The Labat Africa case has been criticised for its interpretation of expenditure on the grounds that it is contrary to the principle that “actually incurred” does not mean “actually paid”. This research has argued that, in the context of the Labat Africa case, which related to an issue of shares in payment for goods, Harms AP’s judgment was concerned with showing why a share issue is not expenditure. He could not have intended to deny a deduction to transactions such as credit purchases.
- Full Text:
- Date Issued: 2015
The influence of people-centred leadership styles on owners's job satisfation and perceived financial performance : an SME perspective
- Authors: Silwana, Hlumela Zukiswa
- Date: 2015
- Subjects: Leadership , Job satisfaction , Business enterprises
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:9307 , http://hdl.handle.net/10948/d1018511
- Description: It is well supported in the literature that a positive relationship exists between effective leadership and business success. Given the importance of SMEs in South Africa, their large numbers, and the extent to which they positively influence the economy of the country, it is important to study leadership behaviour in the context of small and medium-sized businesses in an attempt to reduce their high failure rates. More specifically a need has been identified to research, develop, and implement more ethical and relational leadership styles among business owners. The focus of this study is therefore on several people-centred leadership styles, and their influence on selected outcomes among the owners of small and medium-sized businesses. Against this background, the primary objective is to assess the level of Servant, Authentic, Ethical and Participative leadership exhibited by SME owners in the Eastern Cape, and to establish whether exhibiting these people-centred leadership styles influences their Job satisfaction and the Perceived financial performance of their businesses. A quantitative research paradigm was adopted for this study. More specifically, an explanatory and descriptive study of a cross-sectional nature was undertaken. A comprehensive literature study was conducted using existing secondary sources. The primary data collection procedures involved selecting the population, the sample, and the sampling method, as well as the sample size for the study. For the purpose of this study, the population consisted of all small and medium-sized business owners operating businesses within the boundaries of the Eastern Cape Province. A sample of 500 of these businesses was selected by means of convenience sampling. In total 246 usable questionnaires were returned, on which to undertake the statistical analyses. A survey was undertaken, and a structured, self-administered questionnaire was used to gather the necessary data. The scales for measuring the constructs under investigation were developed based on previous research. To assess the validity of the scales measuring the constructs in this study, an exploratory factor analysis was undertaken, and its reliability was tested by calculating Cronbach’s alpha coefficients. Statistical analysis included descriptive statistics, Pearson’s product moment correlation, regression analyses (simple and multiple) and analyses of variance. Five usable factors were extracted from the exploratory factor analysis; these corresponded with the theoretical dimensions of Participative leadership, Perceived financial performance, Ethical leadership, Servant leadership, and Job satisfaction. The items measuring Authentic leadership did not load as expected, and this construct was thus no longer included in empirical testing in this study. Satisfactory evidence of validity and reliability were provided for the other factors extracted. The independent variables reported mean scores of between 3.760 and 4.548, with the majority of respondents agreeing with the statements measuring these leadership styles. The dependent variables Job satisfaction and Perceived financial performance returned mean scores of 4.508 and 3.962 respectively, with the majority of the respondents agreeing with the statements measuring these factors. All the independent variables (Servant leadership, Ethical leadership and Participative leadership) reported significant and positive relationships with each another. The correlation between the dependent variables (Perceived financial performance and Job satisfaction) was found to reflect a moderate positive association. Job satisfaction and Perceived financial performance both reported significantly positive associations with all the independent variables. The simple regression analyses undertaken revealed a significant positive linear relationship between Perceived financial performance and Job satisfaction, as well as between Perceived financial performance and the Job satisfaction of SME owners. The multiple regression analysis undertaken revealed that significant positive linear relationships existed between two independent variables, Servant leadership and Ethical leadership, and the dependent variable Job satisfaction. A significant positive linear relationship was also reported between Ethical leadership and Perceived financial performance. No relationships were found between the independent variables Servant leadership and Participative leadership and the dependent variable Perceived financial performance. No relationship was found between the independent variable Participative leadership and the dependent variable Job satisfaction. The analysis of variance results revealed that Gender, Qualification and the Nature of the business exerted a significant influence on Servant leadership. The results also showed that Generation exerted a significant influence on the perceived level of Ethical leadership displayed by the SME owner. In addition, the findings of the present study showed that the demographic variable Nature of the business exerted a significant influence on Participative leadership. Investigating leadership styles among SMEs is a topic of significance and growing interest among researchers. Given the importance of SMEs to the economies of countries, investigating factors that influence their success is vital. The findings of this study showed that by adopting more people-centred leadership styles, the job satisfaction of SME owners was increased, and the financial performance of their businesses improved. It is hoped that the findings of this study will provide SME owners with practical suggestions on how to increase their levels of job satisfaction and the financial performance of their businesses, and that the suggestions for future research will inspire future researchers to further investigate the issue of leadership among SMEs.
- Full Text:
- Date Issued: 2015
- Authors: Silwana, Hlumela Zukiswa
- Date: 2015
- Subjects: Leadership , Job satisfaction , Business enterprises
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:9307 , http://hdl.handle.net/10948/d1018511
- Description: It is well supported in the literature that a positive relationship exists between effective leadership and business success. Given the importance of SMEs in South Africa, their large numbers, and the extent to which they positively influence the economy of the country, it is important to study leadership behaviour in the context of small and medium-sized businesses in an attempt to reduce their high failure rates. More specifically a need has been identified to research, develop, and implement more ethical and relational leadership styles among business owners. The focus of this study is therefore on several people-centred leadership styles, and their influence on selected outcomes among the owners of small and medium-sized businesses. Against this background, the primary objective is to assess the level of Servant, Authentic, Ethical and Participative leadership exhibited by SME owners in the Eastern Cape, and to establish whether exhibiting these people-centred leadership styles influences their Job satisfaction and the Perceived financial performance of their businesses. A quantitative research paradigm was adopted for this study. More specifically, an explanatory and descriptive study of a cross-sectional nature was undertaken. A comprehensive literature study was conducted using existing secondary sources. The primary data collection procedures involved selecting the population, the sample, and the sampling method, as well as the sample size for the study. For the purpose of this study, the population consisted of all small and medium-sized business owners operating businesses within the boundaries of the Eastern Cape Province. A sample of 500 of these businesses was selected by means of convenience sampling. In total 246 usable questionnaires were returned, on which to undertake the statistical analyses. A survey was undertaken, and a structured, self-administered questionnaire was used to gather the necessary data. The scales for measuring the constructs under investigation were developed based on previous research. To assess the validity of the scales measuring the constructs in this study, an exploratory factor analysis was undertaken, and its reliability was tested by calculating Cronbach’s alpha coefficients. Statistical analysis included descriptive statistics, Pearson’s product moment correlation, regression analyses (simple and multiple) and analyses of variance. Five usable factors were extracted from the exploratory factor analysis; these corresponded with the theoretical dimensions of Participative leadership, Perceived financial performance, Ethical leadership, Servant leadership, and Job satisfaction. The items measuring Authentic leadership did not load as expected, and this construct was thus no longer included in empirical testing in this study. Satisfactory evidence of validity and reliability were provided for the other factors extracted. The independent variables reported mean scores of between 3.760 and 4.548, with the majority of respondents agreeing with the statements measuring these leadership styles. The dependent variables Job satisfaction and Perceived financial performance returned mean scores of 4.508 and 3.962 respectively, with the majority of the respondents agreeing with the statements measuring these factors. All the independent variables (Servant leadership, Ethical leadership and Participative leadership) reported significant and positive relationships with each another. The correlation between the dependent variables (Perceived financial performance and Job satisfaction) was found to reflect a moderate positive association. Job satisfaction and Perceived financial performance both reported significantly positive associations with all the independent variables. The simple regression analyses undertaken revealed a significant positive linear relationship between Perceived financial performance and Job satisfaction, as well as between Perceived financial performance and the Job satisfaction of SME owners. The multiple regression analysis undertaken revealed that significant positive linear relationships existed between two independent variables, Servant leadership and Ethical leadership, and the dependent variable Job satisfaction. A significant positive linear relationship was also reported between Ethical leadership and Perceived financial performance. No relationships were found between the independent variables Servant leadership and Participative leadership and the dependent variable Perceived financial performance. No relationship was found between the independent variable Participative leadership and the dependent variable Job satisfaction. The analysis of variance results revealed that Gender, Qualification and the Nature of the business exerted a significant influence on Servant leadership. The results also showed that Generation exerted a significant influence on the perceived level of Ethical leadership displayed by the SME owner. In addition, the findings of the present study showed that the demographic variable Nature of the business exerted a significant influence on Participative leadership. Investigating leadership styles among SMEs is a topic of significance and growing interest among researchers. Given the importance of SMEs to the economies of countries, investigating factors that influence their success is vital. The findings of this study showed that by adopting more people-centred leadership styles, the job satisfaction of SME owners was increased, and the financial performance of their businesses improved. It is hoped that the findings of this study will provide SME owners with practical suggestions on how to increase their levels of job satisfaction and the financial performance of their businesses, and that the suggestions for future research will inspire future researchers to further investigate the issue of leadership among SMEs.
- Full Text:
- Date Issued: 2015
An analysis of public equity offerings listed on the Johannesburg Stock Exchange (JSE)
- Authors: Van Heerden, Gillian
- Date: 2015
- Subjects: Stock exchanges -- South Africa -- Johannesburg
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1119 , http://hdl.handle.net/10962/d1017546
- Description: The underpricing of initial public offerings (IPOs) and their subsequent low long-run performance represents one of the anomalies observed in primary markets worldwide. However, the depth and breadth of it varies from country to country, and sector to sector. Literature has documented that the phenomenon surrounding the long-run post issue performance of IPOs is not unique and that quite similar patterns can be found regarding firms making seasoned equity offerings (SEOs). This study is an empirical analysis of public equity offerings listed on the Johannesburg Stock Exchange (JSE). Using data for 141 South African IPOs that were listed on the JSE Mainboard from 2001 to 2010, significant short-run underpricing is found. A sector wise analysis of three broad sectors indicated that the ‘other’ sector had the largest IPO underpricing after the first few days of trading. The year-wise analysis is also documented. In the long-run this study showed that IPOs in South Africa underperformed two out of three benchmarks in 36 full months post listing. In contrast, using data for 50 South African SEOs during 2003 to 2010, superior SEO performance is found over a 36-month period when assessed using a size and industry adjusted benchmark. Various cross-sectional and time-series patterns in the aftermarket performance of IPO and SEO firms are also documented
- Full Text:
- Date Issued: 2015
- Authors: Van Heerden, Gillian
- Date: 2015
- Subjects: Stock exchanges -- South Africa -- Johannesburg
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1119 , http://hdl.handle.net/10962/d1017546
- Description: The underpricing of initial public offerings (IPOs) and their subsequent low long-run performance represents one of the anomalies observed in primary markets worldwide. However, the depth and breadth of it varies from country to country, and sector to sector. Literature has documented that the phenomenon surrounding the long-run post issue performance of IPOs is not unique and that quite similar patterns can be found regarding firms making seasoned equity offerings (SEOs). This study is an empirical analysis of public equity offerings listed on the Johannesburg Stock Exchange (JSE). Using data for 141 South African IPOs that were listed on the JSE Mainboard from 2001 to 2010, significant short-run underpricing is found. A sector wise analysis of three broad sectors indicated that the ‘other’ sector had the largest IPO underpricing after the first few days of trading. The year-wise analysis is also documented. In the long-run this study showed that IPOs in South Africa underperformed two out of three benchmarks in 36 full months post listing. In contrast, using data for 50 South African SEOs during 2003 to 2010, superior SEO performance is found over a 36-month period when assessed using a size and industry adjusted benchmark. Various cross-sectional and time-series patterns in the aftermarket performance of IPO and SEO firms are also documented
- Full Text:
- Date Issued: 2015
The impact of monetary policy on economic growth in Uganda
- Authors: Tumwebaze, Vivian Jane
- Date: 2015
- Subjects: Monetary policy -- Uganda , Economic development -- Uganda
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/5836 , vital:21004
- Description: This study sought to empirically investigate the impact of monetary policy on the economic growth in Uganda during the period 1985-2013. The variables analysed were real gross domestic product, real interest rates, real effective exchange rates and inflation. The empirical analysis used a Vector Autoregressive (VAR) model as well as other techniques in order to obtain meaningful results. Using the Johansen technique, the empirical findings revealed that all the variables share a long run relationship. Further, real interest rates, real effective exchange rates and inflation have a negative effect on economic growth in the long run. The results further revealed that in a ten-year period, the variations in real GDP can be explained by its own innovations followed by real interest rates but real effective exchange rates and inflation however have minimal effects on real GDP. The findings of the impulse response test reiterated the VECM results showing that real interest rates and real effective exchange rate have a negative impact on economic growth in the first three years and the effect dies out after the fifth year. On the other hand, inflation rate has a marginal positive effect on economic growth in the first three years after which the effect becomes negative and wanes off after the sixth year. Uganda uses an Inflation Targeting Lite monetary framework that is based mainly on the use of interest rates to curb inflation. However, this study revealed that the use of interest rates as a policy tool to combat inflation results in a negative bearing on growth. It is on these grounds that this dissertation recommends a gradual policy shift from exclusive use of inflation targeting. Policy makers should thus consider using exchange rate targeting. Mishkin (2013) states that having a credible exchange rate target helps a country to anchor inflation to the expectations of the inflation rate in the economy because it ties the inflation rate of internationally traded goods to those of the country. This would be beneficial to Uganda which is a land locked country that relies heavily on imported products especially petroleum products and fuel whose prices fluctuate from time to time. In addition, exchange rate targeting is effective in reducing inflation quickly especially in emerging economies like Uganda. However, policy makers should be mindful that using exchange rate targeting can make a country prone to speculative attacks on their currencies which could devalue a country’s currency thus leading to a decline in economic growth. It is prudent therefore to apply these policies with a degree of caution.
- Full Text:
- Date Issued: 2015
- Authors: Tumwebaze, Vivian Jane
- Date: 2015
- Subjects: Monetary policy -- Uganda , Economic development -- Uganda
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/5836 , vital:21004
- Description: This study sought to empirically investigate the impact of monetary policy on the economic growth in Uganda during the period 1985-2013. The variables analysed were real gross domestic product, real interest rates, real effective exchange rates and inflation. The empirical analysis used a Vector Autoregressive (VAR) model as well as other techniques in order to obtain meaningful results. Using the Johansen technique, the empirical findings revealed that all the variables share a long run relationship. Further, real interest rates, real effective exchange rates and inflation have a negative effect on economic growth in the long run. The results further revealed that in a ten-year period, the variations in real GDP can be explained by its own innovations followed by real interest rates but real effective exchange rates and inflation however have minimal effects on real GDP. The findings of the impulse response test reiterated the VECM results showing that real interest rates and real effective exchange rate have a negative impact on economic growth in the first three years and the effect dies out after the fifth year. On the other hand, inflation rate has a marginal positive effect on economic growth in the first three years after which the effect becomes negative and wanes off after the sixth year. Uganda uses an Inflation Targeting Lite monetary framework that is based mainly on the use of interest rates to curb inflation. However, this study revealed that the use of interest rates as a policy tool to combat inflation results in a negative bearing on growth. It is on these grounds that this dissertation recommends a gradual policy shift from exclusive use of inflation targeting. Policy makers should thus consider using exchange rate targeting. Mishkin (2013) states that having a credible exchange rate target helps a country to anchor inflation to the expectations of the inflation rate in the economy because it ties the inflation rate of internationally traded goods to those of the country. This would be beneficial to Uganda which is a land locked country that relies heavily on imported products especially petroleum products and fuel whose prices fluctuate from time to time. In addition, exchange rate targeting is effective in reducing inflation quickly especially in emerging economies like Uganda. However, policy makers should be mindful that using exchange rate targeting can make a country prone to speculative attacks on their currencies which could devalue a country’s currency thus leading to a decline in economic growth. It is prudent therefore to apply these policies with a degree of caution.
- Full Text:
- Date Issued: 2015
An analysis of the risk adjusted returns of active versus passive South African general equity unit trusts during varying economic periods: an individual investor's perspective
- Authors: Ferreira, James Stuart
- Date: 2015
- Subjects: Mutual funds , Global Financial Crisis, 2008-2009 , Risk assessment , Financial crises -- South Africa , Portfolio management , Financial planners
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1207 , http://hdl.handle.net/10962/d1019753
- Description: This thesis used the events of the 2007 financial crisis as a means of being able to add to the research already done on South African unit trusts. The objective was to study the risk-adjusted performance of South African general equity unit trusts against the market during the period between 2005 and 2014. This period took into account the bull market preceding the financial crisis, the market crash of 2007 and the subsequent market recovery that followed. Data was obtained online through the I-Net BFA data base and included 161 general equity unit trusts that contained a full data set. In addition to the general equity unit trusts, the Satrix40 was studied to compare a passive unit trust against those that are actively managed. The 10 year Government bond was also used as a risk-free rate to add to the comparisons of performance results. The Sharpe, Treynor and Jensen measures were applied to the data with the results adding more support to the opinions that markets are fairly efficient and active investment strategies are being challenged by consistently well performing passive investments. Throughout the duration of the study, taking into account the varying economic cycles, the Satrix40 passive investment showed the best average overall return on simple return calculations as well as during the risk-adjusted measurements. In support of active investment management, unit trusts showed their best relative performance figures during the period of the financial crisis. This suggested that active financial managers were able to make the active calls necessary to weather the storm of the financial crisis. While the study did have its limitations, the results it produced are intended to offer investors further knowledge in enabling them to make more educated investment decisions in the future.
- Full Text:
- Date Issued: 2015
- Authors: Ferreira, James Stuart
- Date: 2015
- Subjects: Mutual funds , Global Financial Crisis, 2008-2009 , Risk assessment , Financial crises -- South Africa , Portfolio management , Financial planners
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1207 , http://hdl.handle.net/10962/d1019753
- Description: This thesis used the events of the 2007 financial crisis as a means of being able to add to the research already done on South African unit trusts. The objective was to study the risk-adjusted performance of South African general equity unit trusts against the market during the period between 2005 and 2014. This period took into account the bull market preceding the financial crisis, the market crash of 2007 and the subsequent market recovery that followed. Data was obtained online through the I-Net BFA data base and included 161 general equity unit trusts that contained a full data set. In addition to the general equity unit trusts, the Satrix40 was studied to compare a passive unit trust against those that are actively managed. The 10 year Government bond was also used as a risk-free rate to add to the comparisons of performance results. The Sharpe, Treynor and Jensen measures were applied to the data with the results adding more support to the opinions that markets are fairly efficient and active investment strategies are being challenged by consistently well performing passive investments. Throughout the duration of the study, taking into account the varying economic cycles, the Satrix40 passive investment showed the best average overall return on simple return calculations as well as during the risk-adjusted measurements. In support of active investment management, unit trusts showed their best relative performance figures during the period of the financial crisis. This suggested that active financial managers were able to make the active calls necessary to weather the storm of the financial crisis. While the study did have its limitations, the results it produced are intended to offer investors further knowledge in enabling them to make more educated investment decisions in the future.
- Full Text:
- Date Issued: 2015
Push - and pull forces within outbound destination choice
- Authors: Ferreira, Daniel Petrus
- Date: 2015
- Subjects: Tourism -- Marketing Tourism -- South Africa -- Marketing Place marketing , Heritage tourism -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/11091 , vital:26884
- Description: Push- and pull forces are considered the most important motivational factors in driving tourism demand. Push forces are motivational forces that arise due to the individual’s need to travel, while pull forces are destination attributes which pull the traveller to the specific destination and in doing so they satisfy the need of the traveller. Understanding why people travel, how they go about selecting their holiday destination and why one country is preferred to the other, is vital to the continued success of the tourism industry. The needs and wants of travellers are constantly changing, therefore, it is imperative that tourism businesses excel at developing new products and services which are better suited to the needs of consumers. The primary objective of this study was to determine the push- and pull forces that influence outbound destination choice in Nelson Mandela Bay Metropole. The study investigated and analysed how the independent variables (push- and pull factors) influence destination choice (dependent variable). From a comprehensive literature review, a hypothetical model was developed to test the relationships between push-and pull forces and destination choice. Twelve hypotheses were formulated to test the relationship between four push forces, eight pull forces and destination choice. The study sought the perceptions of Nelson Mandela Bay Metropole residents and utitised the quantitative research paradigm. A survey was conducted with the aid of a structured self-administered questionnaire, distributed via e-mail and as a hard copy. A combination of convenience- and snowball sampling was utilised. The final sample comprised 302 respondents. The validity of the measuring instrument was ascertained by using exploratory factor analysis. The Cronbach’s alpha values for reliability were calculated for each of the factors identified during the exploratory factor analysis. The top ten destinations visited and intended to be visited were indicated. United Kingdom was the most visited international destination for both leisure and business purposes, while The United States of America was the most popular international destination to visit next for both leisure and business purposes. Pearson product-moment correlation and multiple regression analysis were used to test the correlation and significance of the relationships hypothesised between the various independent and dependent variables. Three statistically significant relationships were found between the push forces (physical and stature motivators and destination accessibility) and destination choice. Four statistically significant relationships were found between the pull forces (events, natural attractions, political issues and general infrastructure) and destination choice. The empirical findings further confirmed that an inter-relationship between push- and pull forces within destination choice does exist. However, pull forces influence push forces to a larger extent. Analysis of variance calculations were used to identify if significant relationships exist between the twelve demographic variables and nine reliable and valid independent variables. Furthermore, post-hoc Scheffè tests identified where the significant differences occurred between the different categories. Cohen’s d-values were calculated in order to assess the practical significance of the mean scores. A total of sixteen practical significant relationships were identified. Travel companies should compile travel packages and tours that serve the needs of both leisure- and business travellers. They can use social media as a communication- and promotion tool to entice travellers to specific destinations. The business travel packages should be all inclusive and include transportation, accommodation and even entries to events. The visual aids, utilised within the marketing material, should entice travellers to want to visit these destinations, and outline the favourable general infrastructure available. When marketing outbound destinations, travel service providers must pay attention to demographical variables such as gender, age, ethnical affiliation, income and marital status to compile travel packages that satisfy the needs of specific groups.
- Full Text:
- Date Issued: 2015
- Authors: Ferreira, Daniel Petrus
- Date: 2015
- Subjects: Tourism -- Marketing Tourism -- South Africa -- Marketing Place marketing , Heritage tourism -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/11091 , vital:26884
- Description: Push- and pull forces are considered the most important motivational factors in driving tourism demand. Push forces are motivational forces that arise due to the individual’s need to travel, while pull forces are destination attributes which pull the traveller to the specific destination and in doing so they satisfy the need of the traveller. Understanding why people travel, how they go about selecting their holiday destination and why one country is preferred to the other, is vital to the continued success of the tourism industry. The needs and wants of travellers are constantly changing, therefore, it is imperative that tourism businesses excel at developing new products and services which are better suited to the needs of consumers. The primary objective of this study was to determine the push- and pull forces that influence outbound destination choice in Nelson Mandela Bay Metropole. The study investigated and analysed how the independent variables (push- and pull factors) influence destination choice (dependent variable). From a comprehensive literature review, a hypothetical model was developed to test the relationships between push-and pull forces and destination choice. Twelve hypotheses were formulated to test the relationship between four push forces, eight pull forces and destination choice. The study sought the perceptions of Nelson Mandela Bay Metropole residents and utitised the quantitative research paradigm. A survey was conducted with the aid of a structured self-administered questionnaire, distributed via e-mail and as a hard copy. A combination of convenience- and snowball sampling was utilised. The final sample comprised 302 respondents. The validity of the measuring instrument was ascertained by using exploratory factor analysis. The Cronbach’s alpha values for reliability were calculated for each of the factors identified during the exploratory factor analysis. The top ten destinations visited and intended to be visited were indicated. United Kingdom was the most visited international destination for both leisure and business purposes, while The United States of America was the most popular international destination to visit next for both leisure and business purposes. Pearson product-moment correlation and multiple regression analysis were used to test the correlation and significance of the relationships hypothesised between the various independent and dependent variables. Three statistically significant relationships were found between the push forces (physical and stature motivators and destination accessibility) and destination choice. Four statistically significant relationships were found between the pull forces (events, natural attractions, political issues and general infrastructure) and destination choice. The empirical findings further confirmed that an inter-relationship between push- and pull forces within destination choice does exist. However, pull forces influence push forces to a larger extent. Analysis of variance calculations were used to identify if significant relationships exist between the twelve demographic variables and nine reliable and valid independent variables. Furthermore, post-hoc Scheffè tests identified where the significant differences occurred between the different categories. Cohen’s d-values were calculated in order to assess the practical significance of the mean scores. A total of sixteen practical significant relationships were identified. Travel companies should compile travel packages and tours that serve the needs of both leisure- and business travellers. They can use social media as a communication- and promotion tool to entice travellers to specific destinations. The business travel packages should be all inclusive and include transportation, accommodation and even entries to events. The visual aids, utilised within the marketing material, should entice travellers to want to visit these destinations, and outline the favourable general infrastructure available. When marketing outbound destinations, travel service providers must pay attention to demographical variables such as gender, age, ethnical affiliation, income and marital status to compile travel packages that satisfy the needs of specific groups.
- Full Text:
- Date Issued: 2015