JOURNAL ARTICLEMzwandile Refuge Xaba · Nokukhanya Jili · Mandisi Matyana
International Journal of Research in Business and Social Science · 2024
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Local Economic Development strategies were formulated in response to the stipulations made by the national government of South Africa. The national mandate placed the responsibility on the local sphere of government to promote economic progression from a grassroots level and to contribute to developmental activities within the state. The National Framework LED has been created as a basis for the effective practice of LED in terms of implementation. This paper focused mainly on evaluating the effectiveness of Local Economic Development strategies in uMhlathuze Local Municipality within Empangeni town. This paper and its problem were developed by the researcher due to the growing unemployment rate in South Africa which mostly affects young people, more especially at the municipal level. The researcher was convinced to evaluate how the economic development strategies or initiatives addressing the issue of unemployment and assisting economic development within the uMhlathuze Local Municipality, intending to come up with mechanisms that may be put at hand to ensure the effectiveness of these strategies provided to address economic issues with the municipality. This paper employed qualitative methods to collect and analyze data. Qualitative data were collected from community members and staff of the municipality within the Department of Economic Development through the use of questionnaires. The analysis of qualitative data was done through thematic analysis. The findings of the research revealed that there is a communication breakdown between the community and the municipality to enable the community to use the opportunities for economic development. This paper recommends that the municipality needs to develop/advance communication methods to ensure that the community is informed and aware of the development opportunities that are provided by the community.
DOI 10.20525/ijrbs.v13i2.29974 Crossref citations4 OpenAlex citations
JOURNAL ARTICLEZeph Nhleko · Watson Ladzani · Solly Seeletse
International Journal of Research in Business and Social Science · 2023
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The lack of economic access is one of the main challenges facing small and medium enterprises (SMEs). It contributes to the elevated levels of unemployment and slows the resolution of high inequality and poverty in South Africa. Economic access is the ability of historically disadvantaged individuals and entities to participate in the economy. This study aimed to explore how institutional development can support economic access for SMEs. The study explored how setting up new or improving existing socio-economic structures or legal entities could support economic access for SMEs. The support received by SMEs in South Africa from three institutions, the Independent Power Producer Office (IPPO), the Infrastructure Delivery Division (IDD) and the Development Laboratories (DLabs), set up by the Development Bank of Southern Africa (DBSA) was assessed. Quantitative data from the DBSA and IPPO, as well as qualitative views from informants, were used to assess the economic access of SMEs. The study shows that the IPPO, IDD and DLabs added value by achieving the objectives for which they were created. Furthermore, the results show that institutional development supports economic access for SMEs, and that this support is scalable. The study showed that institutional development could be a tool to support SMEs to participate in the economy. This study contributes to the body of knowledge on ways to support SMEs to grow and contribute to reducing unemployment, inequality and poverty.
DOI 10.20525/ijrbs.v12i7.27270 Crossref citations0 OpenAlex citations
JOURNAL ARTICLETrisha Ramsuraj
International Journal of Research in Business and Social Science · 2023
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The study looked at the role and contribution of entrepreneurship industry to foster social and economic development through small, micro, and medium-sized businesses in South Africa. The conceptual research looked at the influence of small, micro, and medium-sized businesses (SMMEs) on South African development. The study's objective was to evaluate how small, medium-sized businesses (SMMEs) are now driving economic growth and solving social issues in a setting where big businesses and governments appear to be doing very little. As a result, the study examines how SMMEs might help the nation solve persistent societal evils including poverty, inequality, and social isolation. A desktop literature review research design was adopted to collect data on the role of entrepreneurship in South Africa, policies and practices of big business and government that exacerbate social issues in communities and impede socioeconomic development, as well as the specific roles that SMMEs play in achieving socioeconomic development goals. Findings from research indicate that, among other development outcomes, SMMEs are at the vanguard of creating jobs and fostering social and political justice in the nation. Future empirical studies that account for and evaluate the importance of SMME contributions to the construction of economic, social, and political justice in the nation are advised because this work lacks the empirical support necessary to substantiate its conclusions and observations.
DOI 10.20525/ijrbs.v12i7.273015 Crossref citations17 OpenAlex citations
JOURNAL ARTICLEXolisile Ngumbela
International Journal of Research in Business and Social Science · 2023
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This paper is an assessment of 21 years of developmental local government as advocated through the 1998 White Paper on local government. In the 21st century, local governments have developed into hubs for developmental objectives. This suggests that they are now expected to go beyond the fundamentals of providing services. For instance, the agenda of local governments has automatically adopted South Africa's idea of a developmental state that primarily prioritises economic development and the need to consider the most suitable intervention scales. With the implementation of the National Development Plan (NDP) in 2012, South African authorities formalised their intention to pursue a developing state. The authorities' conviction that the developmental state approach is a factor for development is evident from reading the NDP. Because of the vertical connections between regional, sub-regional and local processes of change, strategies must be well-suited to one another, different interventions may be most effective at various spatial scales, and strategy and implementation may also be most effective at particular scales. This study used a multi-site case study as the sole type of research methodology. The study took an exploratory approach, because it constituted contextual research, allowing the researcher to investigate and record research phenomena in line with diverse participant interpretations. The study discovered that despite the ideals outlined in the 1998 White Paper, National Development Plan, and District Development Model, emphasising the influence of the local sphere as closer to citizens, and thus more responsible for their welfare and development, factors such as public participation, a lack of skills, and sub-par infrastructure delivery have negatively impacted developmental local government outcomes. In the end, local government is unable to fulfill its responsibility for development. The paper contends that local government's performance, assessed against its constitutional purposes, hinders the realisation of a progressive state in South Africa against a backdrop of local government incapacity.
DOI 10.20525/ijrbs.v12i7.28644 Crossref citations4 OpenAlex citations
JOURNAL ARTICLENtsieni Ramasimu · Morengwa Jacobeth Majadibodu · Watson Ladzani
International Journal of Research in Business and Social Science · 2023
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This study intended to investigate how the Lephalale Local Municipality's small and medium companies (SMEs) are hampered by a lack of government support. This study also aims to demonstrate how SMEs face difficulties in surviving as a result of problems in the business environment. Consequently, the government of South Africa has programs to assist SMEs. The growth of SMEs is important for advancing innovation, wealth distribution, and employment. The majority of SMEs launch and maintain their businesses with their own money. By using a qualitative research approach and semi-structured in-person, phone, and email interviews to collect data, the goals of this study were met. There were 318 registered SMEs in the area. Using purposive sampling methods, data from operational enterprises with a lifespan of 0 to 5 years were gathered. Atlas TI 8 was used to evaluate the data. The primary conclusions of this study show that (i) small and medium-sized enterprises (SMEs) find it difficult to maintain their operations because they lack access to capital and business equipment. This fails if SMEs are not given the proper support. Because they lack the resources to compete with big companies, SMEs find it challenging. (ii) Small and medium-sized enterprises (SMEs) should think about enrolling in bookkeeping training and sending their staff to business training in order to network for the survival of the company. In order to assist SMEs in fulfilling the requirements for maintaining their enterprises, this study advises the government to examine present standards. With the right assistance, SMEs can create business plans and maintain operations, which will result in the creation of jobs, particularly for local communities. The government ought to think about mentoring and overseeing sponsored SMEs.
DOI 10.20525/ijrbs.v12i5.252512 Crossref citations15 OpenAlex citations
JOURNAL ARTICLEAndrew Enaifoghe · Makhosazana Faith Vezi-Magigaba
International Journal of Research in Business and Social Science · 2023
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The purpose of the study was to investigate the roles of entrepreneurship and small and medium-sized businesses in fostering local economic development. Based on this assumption, this conceptual study attempts to investigate the function of small and medium-sized firms in LED. According to studies, the entrepreneurial spirit of the SME owner is a significant determinant of a SME's ability to surmount survival challenges and achieve sustainable growth. The article also attempts to locate and establish the purpose of the study by identifying the barriers that small and medium-sized businesses encounter in their efforts to contribute to economic growth and offering potential solutions to these barriers. Due to inadequate infrastructure development and a lack of the fundamental capabilities to control and influence local economic growth, the study concludes that exceptional measures are necessary to overcome obstacles such as finance and service. The purpose of this study is to answer the research question of whether the emphasis should be placed on creating competent entrepreneurs, particularly among previously disadvantaged individuals, if the government's goal to leverage the SMME sector is to have any significant success. It was noted that the LED is essential but has not been utilized frequently. Using a qualitative thematic analysis approach, the study accessed data on both private and public spaces primarily through secondary sources. The qualitative investigation accessed the foundational literature via a sophisticated search. According to the study, small and medium-sized enterprises play a crucial role in the promotion of LED. The study concluded, among other things, that the local level of governance in South African municipalities is incapable of providing basic services and the necessary infrastructure.
DOI 10.20525/ijrbs.v12i4.244426 Crossref citations37 OpenAlex citations
JOURNAL ARTICLEAlbana Zhinipotoku · Bujar Pira
International Journal of Research in Business and Social Science · 2017
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This study will contribute towards the evaluation of the effects of the investment project "Supporting production businesses", in Shtime, as part of the local economic development strategy. For the study were used primary data (Interview) and secondary data (official document and relevant reports) based on identified indicators, as: 1)Type of support (value of money, number of donation, surface offered on m2, location, number of training offered); 2) number of businesses, number new job created, number of taxpayers, number of new investment and 3) number of new products, new market, new technology, increase in turnover / profit, or changes in business organization. As a result of the support provided, these enterprises continue to develop their business successfully. The project has had a positive impact on local economic development in the municipality of Shtime, contributing to employment growth, increasing the number of taxpayers as well as improving the business structure in favour of processing enterprises. Furthermore, as a result of this project, these enterprises have recorded an increase in turnover and profit, as well as expanding their market with new products. This research shows the impact of the public investment in local economic development in particular with the small production companies.
DOI 10.20525/ijrbs.v6i5.7060 Crossref citations0 OpenAlex citations