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Research Publications (Management Sciences)

Permanent URI for this collectionhttp://ir-dev.dut.ac.za/handle/10321/217

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    Rural-urban comparison of manufacturing SMMEs performance in KwaZulu Natal province, South Africa
    (Adonis and Abbey Publishers, 2021-03-01) Zhou, Helper; Gumbo, Victor
    The paper investigated the role of location on the performance attributes of manufacturing Small, Micro and Medium Enterprises (SMMEs) in South Africa’s second-largest province of KwaZulu Natal (KZN). Panel data from 191 SMMEs covering three years between 2015 and 2017 were analysed using R software. The results utilising the Random Effects Within-Between (REWB) technique show that SMMEs in KZN have related characteristics but the extent to which they influence performance is moderated by location. The findings also indicate that the use of digital media and liability registration negatively affects the performance of urban-based, with no effect on rural-based enterprises. Based on the findings, it was recommended that SMMEs in KZN should focus on productivity, permanent employees, temporary employees and total assets to drive performance despite their locations. Based on this study, the government has an informed basis for the development of effective interventions for SMMEs in the province.
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    The use of marketing strategies by small, medium and micro enterprises in rural KwaZulu-Natal
    (The Southern African Journal of Entrepreneurship and Small Business Management, 2013) Lekhanya, Lawrence Mpele; Mason, Roger Bruce
    This paper examines the use of marketing strategies by Small, Micro and Medium Enterprises (SMMEs) in rural areas and identifies how they are limited by various internal and external factors. The study aimed to determine whether rural SMMEs have formal marketing strategies, the factors that constrain their marketing activities, their understanding of what marketing entails and the marketing communications techniques that they use. The study was conducted in rural KwaZulu-Natal (KZN), using a survey method. The sample consisted of 374 SMME owners/managers, selected using quota sampling, with respondents completing a questionnaire with the assistance of an interviewer. The results of the research revealed that marketing knowledge and expertise is lacking, with limited use of marketing strategies by the rural SMMEs. The paper will benefit SMME marketers by assisting them to better understand the marketing tactics to use, dependent on the nature of their environment. Most work on SMME marketing has concentrated on urban entrepreneurial marketing, with little emphasis on marketing strategies used in rural areas. Findings were limited by the study’s exploratory nature and the small sample. Further research with larger samples and the consideration of other provinces is recommended.
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    Selected key external factors influencing the success of rural small and medium enterprises in South Africa
    (World Scientific Publishing, 2014-09) Lekhanya, Lawrence Mpele; Mason, Roger Bruce
    Small businesses are critical to improving economic development in rural areas of South Africa. However, rural entrepreneurs are still faced with challenges and problems which make the success of small businesses, especially in rural areas, uncertain. This paper investigates business environmental, financial and infrastructural factors that influence the success or otherwise of Small and Medium Enterprises (SMEs) in rural areas. Primary data was collected in five rural areas of KwaZulu-Natal (KZN) from a sample of 374 business owners/managers, with respondents completing a questionnaire. Access to finance and skills shortages were the factors that most significantly differentiated between more successful and less successful rural businesses in KZN. The majority of respondents indicated that poor roads/transport and access to electricity were major problems.
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    E-Commerce as an instrument of governing SMEs’ marketing strategy in an emerging economy
    (Scopus, 2016) Lekhanya, Lawrence Mpele
    The purpose of this paper is to report on the use of e-commerce an instrument of governing SMEs’ marketing strategy in an emerging economy. The study aimed to assess and critically discuss various factors influencing the use of e-commerce as an instrument of governing SMEs marketing strategy and identify the extent to which SMEs owners/managers perceived e-commerce to be important to their businesses survival and growth. A mixed method approach allowed for qualitative and quantitative techniques in collecting data from targeted respondents, with primary collected from rural areas of an emerging country. The research instrument consisted of closed-ended questionnaires made up of 5-point Likert scale responses were distributed to each respondent. The research findings indicate that most respondents believed that the use of e-commerce is motivated by the cost saving and other financial factors in the form of benefits for the customer. In addition, large number of respondents disagreed that the use of e-Commerce has changed their consumer buying behaviour. The paper’s benefit will be to the owners/managers SMEs as well as policy makers and financial agencies for SMEs.
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    An exploration of the impact of digital marketing on SMEs Growth and brand popularity in rural South Africa
    (IFRD, 2015-10) Lekhanya, Lawrence Mpele
    The purpose of the study is to establish understand of digital marketing and its use by SMEs in rural South Africa, the extent of its use, examining contributing factors to its use and their implications. Primary data was collected using a quantitative research technique with the use of a structured questionnaire as the survey instrument. A total of 134 SMEs operating in rural KwaZulu –Natal were selected. Questionnaires were distributed to the business owners/ mangers between august and December 2014. SPSS (22.0) version was employed to for data analysis. The findings of this study revealed that some rural places in South Africa still experiencing ICT problems for being not available make it difficult for SMEs growth through the use of digital marketing. The reliability analysis, reflected coefficient values from 0.70 to 0.833. The analysis of factors limiting use of digital marketing among the rural SMEs, are presented with recommended strategies and implications on how to approach the challenges. Digital marketing of rural SMEs may be strengthened through awareness and providing adequate information about ICT and through diverse of internet marketing programmes.
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    Perceived marketing intelligence and marketing communications tools used by rural Small, Medium and Micro Enterprise in South Africa
    (IFRD, 2014-12) Lekhanya, Lawrence Mpele
    Previous research revealed that Small, Medium and Micro Enterprises (SMMEs) have been struggling to grow including in rural and remote areas. However, there is little empirical research into how SMMEs promote themselves. To date is not clear about what marketing intelligence and marketing promotional communications they use. The survey intends looking to make contribution in closing research gap by seeking to understand the marketing intelligence and marketing promotional communications tools used by rural SMMEs and to what extent they used these tools and what are the limitations they have. This research aims to examine the perceived marketing intelligence and marketing communications tools used by South African rural SMMEs , to identify limiting factors to the used and establish the extend to use and their implications. The study population consisted of 374 respondents in five rural areas of KwaZulu – Natal province in South Africa (Empangeni, Ulundi, Nquthu, Escourt and Kwa-Nongoma). A quota sampling method was used to determine desired target population. Quantitative Likert scale questionnaire was designed and personal distributed to the respondents. Respondents were giving 7 days to complete questionnaire. Data analysis was done using SPSS (21.0) version. Figures and tables were used to present research findings. Statistical analysis revealed that marketing intelligence and marketing promotional tools were applied and found to be significant. The study found that promotional communication tools that cover both marketing promotional mix and marketing intelligence used by rural SMMEs are significant (p=.000*)
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    The Significance of Emerging Technologies in Promoting Internationalization of Rural SMEs in South Africa
    (MCSER Publishing, 2014-09) Lekhanya, Lawrence Mpele
    Internationalization of rural SMEs can be able to assist in building of rural economic development in the developing countries including South Africa. Because of their characteristics, SMEs are far more flexible and responsive to frequent changes that occur in the contemporary, global environment than large enterprises. This paper intends to analyse the significance of emerging technologies in promoting internationalization of rural SMEs in South Africa. The paper also analyses the most frequent problems of rural SMEs failure to use emerging technologies as a strategic tool to promote internationalization. The primary data was collect using quantitative method. Data was collected from five rural areas of the KwaZulu-Natal (KZN) Province. The sample consisted of 374 SMEs owners/managers, selected using a quota sampling method, with respondents completing five-point Likert scale questionnaire with the assistance of an interviewer. The results reveal that the majority of respondents believe that emerging technology is a very important promotional tool that can be used by rural SMEs to access the international markets; however, the findings also indicate that rural SMEs in rural KZN are affected by lack of technology standards/networks. Further research should aim to develop training capacity building programmes that will provide entrepreneurial skills and encourage entrepreneurial technology innovation and use of new technologies among rural dwellers particularly in KZN.
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    The use of social media and social networks as the promotional tool for rural small, medium and micro enterprises in KwaZulu-Natal
    (IJSRP, 2013-07) Lekhanya, Lawrence Mpele
    This study aims to establish and develop an understanding of the effect social media and social networks technologies have in developing and sustaining rural SMMEs, by evaluating how social media and social networks can be used to enhance and add value to the marketing promotions and development of rural SMMEs in KZN. A mixed approach of qualitative and quantitative techniques was used to collect primary data from five rural villages in KwaZulu Natal (KZN). Various social technologies appropriate for rural business networking have been identified and recommended. Results of the survey revealed that the majority of respondents do not use social media and social networks for business purposes, these media and networks are, instead, used to socialize with friends and families, with a few respondents indicating that they sometimes communicate with other people about business-related issues. Further research should aim to develop a social media and social networking communication model in remote and underdeveloped areas for unskilled or illiterate consumers. Technological, developmental know-how of rural entrepreneurs in KZN, as well as a reduction in marketing promotional costs, will mean that more and more promotional information will be easily available to more rural SMMEs‟ customers. This will result in unprecedented levels of transparency of dealings between businesses and their customers. The main challenge, when applying social media and social networks, is how to protect the business image and reputation from negative comments about the business. This paper provides practical guidance on how to use social media and social networks as a promotional tool for rural SMMEs.