Internet-Based ICT Usage By South African SMEs: The Barriers Faced By SMEs

Previous research estimates that 8 out of 10 small and medium enterprises (SMEs) do not operate for more three years (Mason 2015). According to OECD ([sa]), the major problems encountered by SMEs relate to financing and regulatory burdens. However, with information technology, SMEs are able to narrow the information gap, which leads to improved strategies and decision making (OECD [sa]). In today’s competitive world, information communication technology (ICT) is recognized as a crucial success factor for SMEs. ICT refers to the accessing and communication of information using various technologies such as the internet, wireless networks and cellphones (TechTerms 2010). This research study investigates SMEs’ perception of the barriers in adopting ICT in the South African context. The objective of this paper is to determine ICT adoption and the perceived barriers associated with it among South African SMEs. A review of ICT within an SME context is examined. Through judgement sampling, a questionnaire was distributed to gather the responses of 90 SMEs. The most important barriers that were highlighted by the results of the study are the high cost of ICT systems as well as the lack of knowledge to maintain and use ICT. The challenge is to ensure that South African SMEs continue to increase the adoption of ICT. It is envisaged that by determining the barriers they face and providing recommendations as to how they can overcome these barriers, this research will assist SMEs to become more successful, as they play a vital role in the South African economy

Establishing The Challenges Affecting South African SMEs

Cant andLigthelm (2003) estimate that 70-80 percent of SMEs fail.  A number of elements and challenges have beenidentified as contributing factors to the high failure rate of SMEs in SouthAfrica.  The research investigates theextent to which the identified variables affect South African SMEs.  The objective of this paper is to determine towhat extent SMEs experience selected challenges or issues that negativelyinfluence the success of the business.  Challengesand issues include exogenous macro environmental variables and endogenousenvironmental variables, namely marketing.  A questionnaire was constructed and judgementsampling was used to gather the responses of 81 SMEs.  The research identified inflation and interestrates, crime and unemployment, low demand for products, the wrong pricing strategiesimplemented and the location of the business to be the major problemsexperienced by SMEs.  The challenge nowis to improve the skills and capabilities of SMEs to ensure their success asthey play a vital role in the South African economy

Consumer perceptions of real-time marketing used in campaigns for retail businesses

This research empirically investigates consumers’ perception of real-time marketing as a marketing tool that is increasingly being used by businesses. Based on the review of literature, the paper aims to delve into real-time marketing and explore the elements of real-time marketing that influence consumers' perception of RTM campaigns. This study adopted a quantitative methodology. A total of 201 consumers completed an online survey in Gauteng, South Africa. To identify underlying factors that influence the consumer's perception of various real-time marketing campaigns, exploratory factor analysis was conducted. Descriptive statistic was used to provide a further summary of the basic characteristics of the sample. The research findings indicate that consumers value real-time marketing communication campaigns that offer value. Consumers' perception of value includes any real-time marketing campaign that offers some financial gain in the form of immediate and personalized discounts. This research provides retailers with a greater understanding of what consumers perceive as valuable and what they regard as clutter when it comes to real-time marketing campaign

Training And Development In SMEs: South Africa’s Key To Survival And Success?

In today’s competitive business environment, the capabilities and skills of employees are fundamental requirements for continuous productivity, innovation and success in small and medium enterprises (SMEs). However, the situation of SMEs with regards to training and development is characterised by a paradox and are considered to be crucial elements of competitiveness and success against the backdrop of globalisation. Previous studies have found that constant training and development initiatives are less likely to be available to employees working in SMEs than to those in larger organisations. The study therefore aims to determine the perception of entrepreneurs or SME owners towards the importance of training and development in their business. A self-administered questionnaire was sent to SME owners and a total of 60 usable responses were received. The study showed, amongst others, that a lack of resources is stronger than the influence of business management and external assistance.

The Characteristics Of A Good ODL Practitioner

Much has been said as to what makes a good Open and Distance Learning (ODL) practitioner - or lecturer if you prefer. It is easy to make statements and observations, but it is, however, essential to establish exactly what an ODL practitioner is and then to establish if there is a set of characteristics that can be attached to such a practitioner. That, in essence, is the main aim of this study; namely, to investigate the characteristics of a good ODL practitioner. With the increase in student numbers at ODL institutions, there is a need for an increased number of ODL practitioners who are able to provide the quality education that the ODL students desire or need (Roberts, n.d.:1). In order to satisfy the objectives of the study, a self-administered survey was distributed to the ODL practitioners within an ODL institute. The results of this study revealed that there is a difference as to what these respondents saw in terms of the relevant importance of some characteristics. It is evident from the results that an ODL practitioner should have good subject knowledge, and should be fair and ethical

Product Strategy: Factors That Influence Product Strategy Decisions Of SMEs In South Africa

Deciding on the right products to offer to the market is a demanding and crucial task that requires understanding and insight into the customer’s needs and wants. This task is even more important and crucial for SME’s who in many instances have to rely on the knowledge and feeling of the owner/manager only to make these decisions. It is therefore important for SME’s to have a well thought out strategy when deciding on what products to sell. This study aimed to identify aspects related to products that SMEs consider when selecting products to sell. Surveys were sent out to SME’s around South Africa. The results indicated that SME’s selected products based on the quality of the product and customer demand

Perceptions Of Lecturing Staff On Social Media Networking Systems And Their Use Of It

The advent of technology has led to a major change in the delivering of knowledge and lecturers are in the forefront of this.  No longer can projectors or black boards solely be used as a means of communication, as the student of the new millennia is an astute user of technology.  Lecturers and students are both therefore expected to make use of technology in the transfer of knowledge and academic interaction.  Students have a right to expect their lecturers, and the institution that they study at, to incorporate the latest technology in the delivery of their qualifications.  The main aim of this study was to determine lecturers’ perceptions on social media networking systems and their use of it in an academic context.  The study also focussed on whether lecturers make use of, and believes in, social media networking systems as an effective tool to use in teaching and in providing study content and material to students.  These were tested by making use of the Technology Acceptance Model (TAM) constructs namely; ‘Perceive ease of use’, ‘Perceived usefulness’, ‘Attitude towards using’, ‘Intention to use’, and ‘System accessibility’.  A survey was distributed to lecturers, and it was found that social media is being used by the majority of lecturers, but more for social purposes than educational purposes.  It was also found that Facebook is the most popular social media networking system to use

Moral Behaviour And Ethical Misconduct In Nigerian Small Businesses

The small business sector plays a vital role in the economic development, upliftment and job creation of any third world country, and even more so in Africa. Small and Medium Enterprises (SME’s) have underperformed over the past years and therefore have not contributed their expected roles in the growth and development of the Nigerian economy. This can and may lead to unethical behaviour and questionable practices which speak of moral decay – something that Africa, in general, and Nigeria, specifically, has been accused of. The performance and ethical behaviour of Nigerian SMEs have been of great concern to numerous individuals, parties and organisations (Onugu, 2005:8). Since managers’ decisions impact organisational goals and behaviours, this research aims to determine whether a sense of moral behaviour will have an influence on the concern for ethical misconduct in the Nigerian business environment by examining the relationship between “Moral Behaviour” and the “Concern for Ethical Dilemmas/Misconduct”. The research followed a quantitative approach. Results indicated that there is a fine line between what is perceived as being morally wrong or unethical and that, in many instances, the focus is rather on future existence of the business and not really on the ethical issues involved. The study confirms that there is a medium to strong relationship correlation between sense of ethical concerns and immoral behaviour in the Nigerian small business environment. The hypothesis (H0: Entrepreneurs who have an acute sense of moral behaviour are concerned about ethical misconduct/dilemmas in the business environment) is therefore accepted

Perceptions And Uses Of Social Media Networking Systems By South African Students

The purpose of this study was to determine South African students’ perceptions and uses of social media networking systems. The study further determined whether students are making use of social media networking systems, the purpose of making use of social media networking systems, and whether the students’ believe that it can be an effective and easy tool to use in order to study the course content. The reason for this study was the fact that students now a days are more familiar with social media networking systems, as more technology mediums are available today to communicate on a more flexible and timely manner. The study made use of the Technology Acceptance Model (TAM) constructs in order to test the objectives. These constructs are; ‘Perceive ease of use’, ‘Perceived usefulness’, ‘Attitude towards using’, ‘Intention to use’, and ‘System accessibility’. A self-administered questionnaire was distributed to students, and it was found that social media is mostly being used by students for social purposes rather than for educational purposes, and that Facebook is the most popular social media networking system to use

Loyalty To SMEs: A Pipe Dream In The Current Economic Climate?

Small to medium enterprises (SMEs) plays a vital role in the growth and development of a country. It is therefore critical for any country, especially developing countries, to support and enhance the development of SMEs. Although the external support t is critical; SME’s needs to create and build its own loyal customer base for growth and sustainability. Loyal occurs when customers choose to use a particular store rather than others. A well maintained customer base can affect the SME’s profitability in a positive manner.Quantitative research was undertaken by means of a self-administered questionnaire to establish the perception of South African SME owners regarding loyalty. The study revealed that the main drive for creating loyal customers is good products and services as well as competitive prices. It is hoped that this information will help SMEs to attract and keep loyal customers as it is more cost effective to retain loyal customers than it is to obtain new customers