Showing papers by "John M. Luiz published in 2011"

Small Business Development, Entrepreneurship And Expanding The Business Sector In A Developing Economy: The Case Of South Africa

Abstract: A dynamic small business sector can make an important contribution, not only in employment creation, but also in lessening concentration in South Africa’s generally oligopolistic industrial structure. However, for the small business sector to make a meaningful contribution to the economy it needs to be integrated into the mainstream. This is going to require a concerted effort both from government and the formal private sector. The paper investigates how the South African private sector views small business and whether it is making a concerted effort at integrating this sector into the framework of the economy as a whole.

Entrepreneurship in an emerging and culturally diverse economy: a South African survey of perceptions

Abstract: South Africa has consistently ranked very poorly in the Global Entrepreneurship Monitor survey in terms of entrepreneurial activity. It is clear that South Africa is not producing a sufficiently entrepreneurial economy and this needs to be addressed so as to create employment, expand markets, increase production and revitalize communities. This paper examines the entrepreneurial traits of a diverse group of young adults in South Africa. It draws on a sample of 609 university students and looks at their attitudes towards and perceptions of entrepreneurship, entrepreneurial opportunities and the broader economic environment in an attempt to clarify how South Africans view entrepreneurship. Although the data do not allow the identification of causal relationships, descriptive statistics show that socio-economic elements play a noteworthy role in people’s perceptions of the value of entrepreneurship and thus need to be incorporated in entrepreneurial models.

An economic analysis of sports performance in Africa

Abstract: Purpose – The purpose of this study is to develop insight into the socio‐economic determinants of African sports performance. Previous studies have argued that a country's success in sports is directly related to the economic resources that are available for those sports. However, factors that are used to determine the levels of success for developed countries are not necessarily the same, or bear the same weight, as for developing countries.Design/methodology/approach – The premise of this study is to identify specific factors that increase success in sports in developing countries by means of several econometric specifications using cross sectional data for African countries.Findings – This study finds evidence that suggests that Africa's performance in sports is dependent on a range of socio‐economic factors, which in some respects confirms worldwide studies. Money does indeed matter: GDP was the overwhelmingly consistent dependent variable in all four models tested. Interestingly, important shades of ...

Poverty, Inequality and Unemployment in South Africa: Context, Issues and the Way Forward

Abstract: The purpose of this article is to present a concise policy review of poverty, inequality and unemployment (PIU) in South Africa and to draw lessons for current and future action. South Africa is of particular interest given its history of racial estates which has entrenched high levels of poverty, structural inequality and structural unemployment. As such, this article is organised as follows. An introduction is followed by an outline of the overarching nature of PIU issues. Next, the key policies in the post-apartheid period to tackle PIU problems are highlighted. Finally, the way forward is proposed with respect to: (i) the range of policy weaknesses identified and the fundamental need to reorient policy in an eclectic and innovative manner to address past failures; (ii) ensuring that PIU are tackled head-on; and (iii) supporting and pursuing the use of both the emerging new economics and alternative models of development. These findings have practical implications for planning, policy-making and programming and a six-step procedure for planning and implementation is proposed.

Woolworths South Africa: making sustainability sustainable

Abstract: Subject area Sustainable development; business, government, and society. Study level/applicability The case is designed to be taught to students at MBA and MA level. Case overview In February 2009, Justin Smith, manager of the good business journey at Woolworths, a leading South African department store, was a worried man. Woolworths had launched its five-year sustainability strategy just under two years before. After undertaking an impact assessment, Smith was concerned that the original targets – which covered transformation, social development, the environment and climate change – had been set without a clear understanding of exactly what it would take to achieve them. Woolworths had recently identified ten key risk areas that impacted on the achievement of its original goals. If the sustainability goals were not reached, Woolworths could lose credibility among its shareholders, staff, and consumers. What did Woolworths need to do to ensure that it achieved its sustainability goals? And had the company been too ambitious in the targets it had set initially, he wondered? Expected learning outcomes To examine the differences, if any, between sustainable development in South Africa and other developing nations and sustainable development in developed nations; to impart an understanding of sustainability in its broadest sense; to investigate the challenges in implementing sustainability strategies in business; to look at ways of measuring the success of sustainability strategies; and to explore whether and how sustainability strategies should differ across industry sectors and across companies. Supplementary materials Teaching notes.

MTN South Africa: one group, one vision, one brand

Abstract: Title – MTN South Africa: one group, one vision, one brand.Subject area – Marketing.Study level/applicability – This case can be used in an international marketing course or module, at executive or MBA level, and is particularly suitable as a case on global branding.Case overview – MTN was launched in 1994 as a leading provider of communication services, offering cellular network access and business solutions. After building up a successful operation in South Africa, achieving a market share of some 38 per cent (second only to Vodacom, the dominant mobile telecommunications provider), the group began its expansion into the rest of Africa in 1998. It was the first South African cell phone network operator to do so. The objective of this expansion was, despite the uncertain political and regulatory environment, to take advantage of the market opportunities in Africa, given its underdeveloped telecommunications infrastructure and the transferability of MTN's skills into other African countries. At the time o...

Passenger service quality expectations as perceived by long haul airline managers in South Africa

Abstract: The elements of the service quality mix are an important consideration for airlines in deciding on the level of service provision offered by their airline. This study aims to determine passenger expectations of service quality as perceived by airline managers working at long haul airlines operating in South Africa. The extent to which passenger expectations inform airline strategy is also examined. Gap 1 of the SERVQUAL model, the difference between managers’ perceptions of customer expectations and customer expectations, is used to frame the research problem. Within this, the five dimensions (also considered antecedents of service quality) proposed by the SERVQUAL model are examined to determine the relative importance. Airline managers and travel industry managers perceptions are found to be similar with both groups ranking reliability as the most important dimension to passengers, echoing results seen with passengers. Trust and safety emerges as important themes within the reliability dimension. The tangibles dimension is found to be the least important to passengers, yet is rated as the area that is considered the primary area of investment by airline respondents. Overall, airline managers’ perceptions of the relative importance passengers place on the dimensions of service quality match those found in the literature. Their financial investment strategies, though, do not match the elements of the service quality mix found to be important to passengers. Key words: Service quality mix, airline industry, South Africa.

Greenhouse Gas Emission Reduction Under The Kyoto Protocol: The South African Example

Abstract: Carbon dioxide (CO2) emissions and its contribution to global warming has become an increasing concern to the international community. Although launched in 1997, the Kyoto Protocol only came into force in February 2005, with the goal to reduce greenhouse gas (GHG) emissions globally. This resulted in the establishment of a Clean Development Mechanism (CDM) which involves emissions in developing countries such as South Africa, giving them an opportunity to benefit financially when reducing GHG emissions voluntarily. The qualitative research approach used in this study gain inputs from experts in the CDM process in the South African environment so as to examine factors impacting on the viability of these projects. With the current outlook, this study suggests that there is a relatively high likelihood that the CDM would have the desired effect of reducing GHG emissions from existing South African industry and other developing countries given the incentive to do so.

Determinants of Foreign Direct Investment of South African Telecommunications Firms into Sub-Saharan Africa

Abstract: The study investigates the main factors considered by South African telecommunications firms when making a decision to undertake Foreign Direct Investment (FDI) into Sub-Saharan Africa (SSA). This encompasses the reasons for investing, the methods of entry into the identified market and the factors influencing their decision. The methodology employs a survey questionnaire which was sent to telecommunication firms representing more than 70% of the revenue generated by this sector in SSA. The research reveals that market size, regulatory environment and government policy are the three most important factors influencing the decision to undertake FDI. Furthermore, the main reasons for deciding to enter SSA are for market and profit growth due to saturation in their existing markets, as well as for diversification of risk. Telecommunications firms wishing to enter SSA must be prepared for an unstable and uncertain policy environment and understand that the cost of starting a new venture in SSA is high.

The Indigenization Of Business Ownership In An Emerging Market: Doing Business In South Africa

Abstract: Black economic empowerment (BEE) has transformed the South African economic and business environment, and continues to be one of the most important issues a company has to deal with in doing business in South Africa. The indigenization of ownership is also developing as a concern in several other emerging markets particularly in Latin America. This research focuses on BEE issues within the small medium enterprises (SMEs) sector of the engineering industry. The research set out to identify the issues which were considered to be important for the successful implementation of BEE. A significant finding was the importance of upfront planning and setting of objectives prior to implementation of BEE initiatives. The research also found a very low level of satisfaction with the outcomes of BEE initiatives. The findings of this research can prove to be valuable for policymakers and business as they review the progress made towards achieving the broader objectives of indigenization and the costs of doing business in such an environment.

The Economics of Information Technology in Public Sector Health Facilities in Developing Countries: The Case of South Africa

Abstract: The public healthcare sector in developing countries face many challenges, including weak healthcare systems and under resourced facilities that deliver poor outcomes relative to total healthcare expenditure. Healthcare delivery, access to healthcare and cost containment has the potential for improvement through more efficient healthcare resource management. Global references demonstrate that information technology (IT) has the ability to assist in this regard through the automation of processes, thus reducing the inefficiencies of manually driven processes and lowering transaction costs. This study examines the impact of new systems implementations on service delivery, user adoption and organizational culture within the hospital setting in South Africa, as perceived by doctors, nurses and hospital administrators. The research provides some insight into the reasons for investing in system automation, the associated outcomes, and organizational factors that impact the successful adoption of IT systems. In addition, it finds that sustainable success in these initiatives is as much a function of the technology as it is of the change management function that must accompany the system implementation.