Delineating Small Businesses’ Firm Performance from a Contemporary Sustainable Development Approach in South Africa

The study at hand explored the impact of practising environmental sustainability by South African SMEs on their firm performance. With a contemporary view, the study considered a multidimensional viewpoint by measuring firm performance through financial, customer satisfaction and employee satisfaction as constructs of firm performance. Herein, three hypotheses were postulated which stated that environmental sustainable development (ESD) was significantly and positively related to (1) financial performance (2) customer satisfaction performance and (3) employee satisfaction performance amongst SMEs in South Africa. A questionnaire was distributed in the month of August 2017 with a sample size of 222 participants being subsequently utilised. Convenience sampling method was employed and data was subsequently analysed with the structural equation modelling (SEM) being the primary technique. Descriptive statistics and factor analysis were also utilised in data analysis. Of the postulated hypotheses, all were supported. Thus, established in this study is that environmental sustainable development was significantly and positively associated to financial performance, customer satisfaction performance and employee satisfaction performance.  Hence, recommendations are put forward for policy formulations that take cognisance of the multidimensionality of firm performance which is ideal for the future and contemporary sustainable development dispensation

Contrasting Contemporary Advertising Media Strategies of Small Retail Firms:

This paper is an investigation contrasting modern and traditional advertising media from the perspective of small retail firms in Limpopo province of South Africa. Prior studies established juxtaposition in terms of media choices which continuously challenges businesses at large, per se, small retail businesses. A cross-sectional survey, through a purposive sampling technique of a subsequent sample size of 236 owners and managers of small retail firms was utilised in this research. Descriptive statistics, correlation and exploratory factor analysis (EFA) were used in data analysis. Furthermore, structural equation modelling (SEM) was used in hypotheses testing. The findings of the study posit that traditional advertising media have no significant influence on communication effectiveness and the performance of small retail SMEs. Contrarily, modern advertising media was found to positively and significantly influence the performance of retail SMEs. The practical implications of this study primarily pertain to the demise of traditional advertising media in the contemporary environments which business people need to consider. Theoretically, the study posits a review of the theory that pertains to the use of traditional media juxtaposed to modern media in contemporary advertising

The Role of E-Banking on the Switching Behaviour of Retail Clients of Commercial Banks in Polokwane, South Africa

This study focused on investigating the role of E-banking on the switching behaviour of retail bank clients in Polokwane, South Africa. Recently, studies have shown that people are switching banks more often than in the past. Circumstances that are beyond control cause people to switch. This has become a challenge in the banking industry as many banks lose their clients. However, newly developed technologies have brought many changes in the operation of banks. The new E-banking services have enabled bank clients to have access to their bank account for 24 hours without visiting the physical branch. A sample of 98 respondents was surveyed in Polokwane, South Africa using the convenience sampling technique. The cronbach alpha test was used to ascertain reliability of the findings. The findings reveal that demographic characteristics have much impact on the switching behaviour of commercial bank clients and acceptance of e-banking services. Switching factors such as bank charges, low interest rates on savings, promotion activities, location and switching costs were the major reasons for bank customers to switch banks

Entepreneurial Orientation And Growth Nexus, A Case Of South African SMEs

This contribution aimed at examining the link between EO and the growth prospects of SMEs in rural areas. The study was quantitative in nature where 65 SMEs responded to the survey. The self-administered questionnaire was adopted and used to collect data. The study used the simple random sampling technique to sample the respondents and this also increased the objectivity of the data collection method used. The analysis methods used in the study were descriptive statistics, T-tests and regression analysis. Reliability was tested using of the Cronbach’s alpha. Descriptive statistics showed that SMEs have unsatisfactorily low levels of EO. The T test results established gender differences on the EO of SMEs with men willing to take more risks than women. Furthermore, the regression results established that EO is positively linked to the growth prospects of SMEs. This implies that EO is a good determinant of growth. It was recommended for the government to put gender into consideration when designing programmes to empower entrepreneurs. On the other hand, SME owners were encouraged to enroll for entrepreneurship courses to improve their EO levels

Technologicalship in e-banking services: a constraint or contributor to relationship marketing in retail banking in East London, Eastern Cape, South Africa

Contemporarily, one of the major business demands is to extensively understand the impact of technology on the major business strategies and practices. Technologicalship marketing, a concept investigated in this study, emanates from a symbiosis of technology and relationship marketing. Per se, a prevalent area of debate pertains to whether technology promotes or constrains relationships. Outstandingly, this study pursued the technologicalship marketing concept, a new and vital 21st century suggestion in literature (Zineldin, 2000:16). Secondly, against the scarcity of empirical studies in mass marketing environments, the study at hand focused on retail banking client relationships. Lastly, the proposed meta-construct hypothetical model is an essential relationship marketing instrument. The proposed model consists of four major relationship marketing construct categories, namely, personal contact, customer retention, customer switching and relational exchange. At the hand of these constructs, the research primarily aimed to determine the impact of technology on client relationships in e-banking with the focus of closing the gap prevalent in literature on whether technology constraints or supports relationship marketing. The study focused on retail banking client relationships of the four major commercial banks in East London, Eastern Cape, South Africa. A survey was conducted of a sample of 200 clients selected using the convenience sampling method. The study hypothesised that technology is resulting in more transactional than relationship marketing in retail banking by constraining social constructions, customer retention and relational exchange, whilst, promoting customer switching mobility. Through the GLM regression analysis method, findings of the study established that technology was to a larger extent supporting relationship marketing. However, it is envisaged that technology is resulting in the disappearance of human contact which is a critical aspect of relationships. Conclusively, the researcher recommended that the only plausible strategy is to endeavour to integrate the human aspect at self-service podiums e.g. mounting of staff at ATM points, which most banks have been doing

Does Environmental Sustainability Impact Innovation, Ecological and Social Measures of Firm Performance of SMEs? Evidence from South Africa

This study investigated the question of whether environmental sustainability influences firm performance. Firm performance, a multidimensional construct, was researched utilizing innovation, ecological and social measures on the premises of SMEs in South Africa. Thus, the study hypothesized that environmental sustainability is positively and significantly related to innovation, ecological and social measures of firm performance. A cross-sectional research design was adopted in this study to test the abovementioned hypotheses. A total of 208 self-administered questionnaires distributed to SME owners and managers were analyzed utilizing structural equation modelling (SEM) and Amos Version 24 software. Primarily, the study established that environmental sustainability was significantly and positively correlated to all three measures of firm performance used in this study. Thus, the inferences from the findings suggest that environmental sustainability practices contribute positively towards firm innovation, ecological and social performances. The findings of this study greatly contribute towards the practice and theory of small businesses and firm performance by providing a more specific and streamlined perspective for approaching firm performance

Normative Environmental Configuration of SMEs within the Sustainable Development Discourse in South Africa: An Empirical Study

This paper investigates the role of normative environmental configuration forces on small and medium-sized enterprises (SMEs) adopting sustainable development practices in South Africa. A research survey was performed, and data were gathered from SMEs utilizing owners and managers as respondents. Non-probability sampling at the hand of the convenience method was utilised and 220 respondents constituted the final sample. The analysis of data constituted factor analysis and hypotheses were tested through the structural equation modelling technique. The study hypothesised that normative forces have an impact on the participation of SMEs in the extents of sustainability practices, namely social, environmental and economic. The results led to the supporting of all the hypotheses postulated in the study. Thus, the major recommendation was to support the training, networking and professional affiliations of SMEs in sustainable development issues in order to ensure proliferation of sustainable development amongst these firms

Social Sustainability Practices on Small Businesses in Developing Economies: A Case of South Africa

This study makes a significant contribution towards theory and knowledge of small and medium enterprises (SMEs) within the social sustainability discourse. The study focused on investigating if SMEs in developing economies directly benefit from practising social sustainability through examining the relationship between social sustainability and financial performance, customer satisfaction as well as employee satisfaction. A total of 238 SMEs from the Limpopo province of South Africa were surveyed through a self-administered questionnaire at the hand of convenience sampling technique. The hypotheses in the study were assessed through structural equation modelling (SEM) through AMOS software version 25. The study results revealed that all three postulated hypotheses were supported. Thus, social sustainability was found to be positively and significantly associated with financial performance, customer satisfaction performance as well as employee satisfaction performance. The findings in this study indicate that by practising social sustainability, SMEs potentially benefit on a broader performance spectrum