- A-Z Publications
- South African Journal of Economic and Management Sciences
- Previous Issues
- Volume 9, Issue 1, 2006
South African Journal of Economic and Management Sciences - Volume 9, Issue 1, 2006
Volumes & issues
Volume 9, Issue 1, 2006
Source: South African Journal of Economic and Management Sciences 9, pp 1 –16 (2006)More Less
This paper fills the gap in the research undertaken into the entrepreneurial orientation of franchisees. The study identifies entrepreneurial orientation within a defined franchise system, using the entrepreneurial character theme matrix developed by Thompson (2002). Research methodology comprises the survey approach, using electronic media and Surveypro analysis (Dillman, 2000). Hypothesis tests highlight the absence of statistically significant entrepreneurial orientation in the franchise system, despite a significant orientation in a multiple-outlet proposition analysis. Conclusions and recommendations include mobilising and communicating the action factors associated with entrepreneurial orientation, involving all franchisees within the system. Managerial implications include the motivation of developing multiple-outlet franchise systems. Future research involves broadening the data set across industries and borders.
The influence of family-related factors on the succession process in small and medium-sized family businesses : managementSource: South African Journal of Economic and Management Sciences 9, pp 17 –32 (2006)More Less
In this study, family-related factors that can influence the succession process in small and medium-sized family businesses are empirically investigated. The dependent variable in this study is measured by two underlying dimensions, namely satisfaction with the process and continued profitability of the business. The empirical results indicate that the family-related factors that influence both the aforementioned dimensions are the mutual acceptance of roles, the relationship between the owner-manager and successor, and family harmony. The continued profitability of the business is also influenced by the agreement to continue the business. The existence of family harmony in itself influences the relationship between the owner-manager and successor, the agreement to continue the business, as well as the mutual acceptance of roles. The managerial implications of these empirical findings are discussed and recommendations offered.
Author J.H. CruywagenSource: South African Journal of Economic and Management Sciences 9, pp 33 –40 (2006)More Less
It recently became compulsory for all members of the South African Association of Consulting Engineers to introduce a quality management system in their organisations. The purpose of this paper was to determine whether it would be possible for quantity surveying firms to adopt similar quality management systems in their offices and what would be expected from them in order to do so. The conclusion is that it is possible for quantity surveying firms to comply with the requirements of the ISO 9001: 2000 quality principles.
Author Lema C. ForjeSource: South African Journal of Economic and Management Sciences 9, pp 41 –56 (2006)More Less
Promoting savings and providing a basis for lending to the poor is a growing concern in many developing countries. Cameroon has a culture of savings mobilisation known as njangi/tontine. The njangi is contributions given to members in a rotating form at the end of every sitting, and tontine is voluntary savings held by the group. This study reveals that njangi/tontine groups only lend money to group members and suggests that a micro village bank known as MC2 could be used as guarantor to ensure that group monies lent to non-group members are repaid. Encouragement and improvement in the function of such voluntary savings could promote the creation of small businesses in the country. The Cameroonian government needs to improve fighting corruption and a functional justice system to ensure security.
An analysis of strategic performance measures of companies listed on the JSE securities exchange South Africa : managementSource: South African Journal of Economic and Management Sciences 9, pp 57 –71 (2006)More Less
This study highlights the importance of economic profits (EVA) and their long-term effects on shareholder value (MVA). South African companies listed on the JSE were analysed and it is evident that the relative measure of internal performance (spreads) can be used to rank companies in terms of value creation. Individual companies and sectors were also placed on a financial strategy matrix, which evaluated companies according to spreads and cash management. The sales growth less the SGR percentage was used to indicate cash management. Statistical tests (regression analysis) were done on the data to test the validity of the financial strategy matrix model. The results showed that there is a positive relationship between spreads and shareholder value, but sales growth less the sustainable growth rate does not contribute significantly to shareholder value.
Author Philna CoetzeeSource: South African Journal of Economic and Management Sciences 9, pp 72 –88 (2006)More Less
HIV / AIDS is not only a risk to the world population, it is potentially devastating to individual organisations. According to the King Report on Corporate Governance, as well as other governance reports world-wide, risk management is primarily the responsibility of the board and senior management. The internal auditor however, has a responsibility to assist management with this task. This paper aims to determine whether internal auditors are aware of the potential threat that HIV / AIDS holds for their organisations. If ignorance is found to be widespread, recommendations are made to the Institute of Internal Auditors to make their members aware. If awareness is found to be adequate, the paper aims to determine whether internal auditing departments in various sectors of the South African business community are complying with this responsibility.
Financial liberalisation and inflationary dynamics in the context of a small open economy : economicAuthor Rangan GuptaSource: South African Journal of Economic and Management Sciences 9, pp 89 –101 (2006)More Less
This paper develops a short-term model of a small open financially repressed economy characterised by unorganised money markets, intermediate goods imports, capital mobility and flexible exchange rates. The analysis shows that financial liberalisation, in the form of increased rate of interest on deposits and tight monetary policy, causes deflation for an economy with a high degree of capital mobility. However, for economies with a low degree of capital mobility, the possibility of stagflation cannot be ruled out. These results suggest that financial liberalisation in the form of lower reserve requirements should be recommended for economies with restricted transactions in the capital account.
Author E. KaakungaSource: South African Journal of Economic and Management Sciences 9, pp 102 –112 (2006)More Less
The purpose of this study was to shed light on the impact of fiscal policy on growth. Governments undertake expenditures to pursue a variety of goals, only one of which may be an increase in per capita income. Using the framework of endogenous growth models which seeks to explain sustained long term growth, we showed how a change in the mix of public spending in favour of productive activities could lead to a steady state growth rate. The explanatory variables, which affect growth positively, include capital expenditure, tax revenue and the terms of trade. The share of private consumption in GDP, fiscal deficit, the share of total public debt in GDP and current expenditure relate negatively to the growth rate of output.
Source: South African Journal of Economic and Management Sciences 9, pp 113 –127 (2006)More Less
In Botswana, tourism is the second most important economic activity after diamond mining and trading. The Okavango Delta in northern Botswana is the largest single tourist centre in the country. This study estimates the total economic value of tourism in the Okavango Delta and compares this value to that of other sectors in the economy of Botswana. The results are compared to results of similar studies for tourist destinations elsewhere in the world, and the policy implications of the findings are highlighted. The study uses secondary data to estimate the direct consumptive and non-consumptive use value, and a survey among tourists to determine the existence value of the Okavango Delta.
Author J.A. SwanepoelSource: South African Journal of Economic and Management Sciences 9, pp 128 –148 (2006)More Less
Globalisation has opened economies more, exposing them to more international shocks and increasing the challenges to which domestic economic policies must respond. This paper provides a starting point for the analysis of the impact of international economic developments on the South African economy by means of graphical illustrations, correlations coefficients and in some cases a VAR analysis. Although this paper has shed some light on the importance of international economic developments on the South African economy, more rigorous econometric investigation is needed to validate the arguments and to address many of the unresolved questions.