RURAL ENTREPRENEURSHIP: A STUDY ON INTERNAL ENVIRONMENTAL FACTORS INFLUENCING THE BUSINESS PERFORMANCE OF RURAL MICRO, SMALL AND MEDIUM ENTERPRISES (MSMES) IN COIMBATORE DISTRICT

2020 ◽  
Vol 7 (8) ◽  
Keyword(s):  
Environmental Factors ◽  
Business Performance ◽  
Small And Medium Enterprises ◽  
Rural Entrepreneurship ◽  
Factors Influencing ◽  
Coimbatore District ◽  
Medium Enterprises

scholarly journals Factors influencing the adoption of management accounting practices (MAPs) by small and medium enterprises (SMEs) in the manufacturing sector in Durban

2020 ◽  
Author(s):  
◽  
Mbali Portia Msomi
Keyword(s):  
South Africa ◽  
Business Performance ◽  
Small And Medium Enterprises ◽  
Manufacturing Sector ◽  
Management Accounting ◽  
External Factors ◽  
Critical Factors ◽  
Factors Influencing ◽  
Start Up ◽  
Medium Enterprises

Most countries recognise small and medium enterprises (SMEs) as a key element in strengthening the economy and in reducing the high unemployment rate that is currently prevailing globally and especially in South Africa. Although these enterprises contribute significantly towards the economy, they often fail to survive beyond their start-up phase due to a number of challenges affecting their business life-cycle. These challenges stem from both internal and external factors and, if not curbed during the initial phase of the enterprise, they may cause the business to fail prematurely. Common causes of failure include, but are not limited to, difficulties encountered in gaining access to start-up capital; a lack of entrepreneurship or business management skills; a lack of appropriate business education along with a lack of any culture of innovation or of networking skills amongst their owner/managers. Finally, there is frequently a failure to adopt management accounting practices (MAPs). It is with this last issue that this research is concerned. MAPs are techniques used to provide management with financial and non-financial information to facilitate the planning, controlling and decision making process of an organisation. These techniques are recognised to improve business performance and sustainability substantially, and the application of these techniques is often seen as determining the success or failure of an enterprise. However, there has been some concern around the adoption of MAPs amongst manufacturing SMEs, especially in the South African context. Hence, the aim of this study was to explore the critical factors influencing the adoption of MAPs by SMEs in the manufacturing sector in South Africa using a case study of businesses located in and around Durban. The aim was also to provide informative guidelines to promote the facilitation of MAP practices. A quantitative research approach was adopted involving non-probability, purposive sampling to ensure that the relevant participants were chosen. A sample consisting of 202 participants was considered appropriate for a population with over 1050 manufacturing SMEs registered in Durban (Department of Trade and Industry report 2016/17). A questionnaire was used to collect data from the participants in the study. A pilot test was conducted to ensure that the research instrument was adequately prepared. The data collected were analysed using the Statistical Package for the Social Sciences (SPSS) version 26.0, and the results were presented using graphs, tables and charts. The results of the study showed that both traditional and contemporary MAPs are regarded as relevant in this changing business environment. Manufacturing SMEs still see the significance of using traditional MAPs, although with the new industrial revolution taking over globally, more sophisticated new MAPs have been implemented by several manufacturing SMEs, and this has proved more effective in their gaining a competitive edge and demonstrating innovation and thus in achieving market success. The findings of this study are therefore in a position to contribute towards promoting the adoption of appropriate up-to-date MAPs that are more technically advanced to meet current management needs. The findings also revealed that the key internal factors identified by the respondents in this adoption process were: the owner’s business experience and skills, the firm’s structure, its size, and changes in the firm’s size. Amongst the external factors, the results of the study showed that competition, technology, market innovation, market success, and networking with other businesses, were regarded as the predominant factors influencing the adoption of MAPs by manufacturing SMEs in the Durban area. Although the study was able to identify these critical factors influencing the adoption of MAPs, the results were limited to those views expressed by the responding stakeholders from manufacturing SMEs located in the Durban area, and therefore can only be generalised with caution. The study recommends that both traditional and contemporary MAPs should be adopted upon the inception of a business, and that the relevant stakeholders should invest in educating themselves so that they can have a better understanding of the available MAPs, and their adoption and implementation within their business processes. The study further recommends that manufacturing SMEs identify and adopt the most appropriate MAPs to promote cost effective measures, optimise business performance and ensure sustainable growth. The effective adoption of MAPs would also be aided if stakeholders were to make more use of government supporting agencies allowing them to benefit from further financial assistance, mentorship and training of staff.

INNOVATIVE BEHAVIOUR OF INDIAN MICRO SMALL AND MEDIUM ENTERPRISES: AN EMPIRICAL STUDY

2017 ◽  
Vol 21 (07) ◽  
pp. 1750061 ◽  
Author(s):  
NOMITA SHARMA
Keyword(s):  
Environmental Factors ◽  
Empirical Study ◽  
Failure Rate ◽  
Small And Medium Enterprises ◽  
High Failure Rate ◽  
Innovation Activities ◽  
Skilled Manpower ◽  
Innovative Behaviour ◽  
Medium Enterprises

The aim of this paper is to explore innovative behaviour of Indian Micro Small and Medium Enterprises. It is interesting to study innovative behaviour of microsmau and medium enterprises (MSMEs) since they try to innovate while surrounded by many barriers. They also face high failure rate in doing so. This failure is due to presence of barriers that MSMEs fail to manage. But it has been observed that many MSMEs are now awakening to their potential and becoming innovative. They tend to respond to environmental factors in an innovative way, either by cutting cost or changing ways of management. This innovative way defines their innovative behaviour. The innovative behaviour of MSMEs is studied through three variables, i.e., size, age and barriers faced by them. The result shows that size does influence innovation activities undertaken by MSMEs and statistically, there is no correlation between age and innovative behaviour. Their innovative behaviour is affected by barriers like shortage of technical skilled manpower, technology and shortage of funds or complex funding procedure. The paper is concluded by summarising the key findings, discussing implications, limitations and further scope of study.

scholarly journals Factors Affecting Small and Medium Enterprises Success: An Exploratory Study

2013 ◽  
Vol 64 (3) ◽  
Author(s):  
Abdul Karim Kanaan Jebna ◽  
Ahmad Suhaimi Baharudin
Keyword(s):  
East Asia ◽  
Cash Flow ◽  
Exploratory Study ◽  
Business Performance ◽  
Small And Medium Enterprises ◽  
South East Asia ◽  
Factors Affecting ◽  
Competitor Orientation ◽  
Growing Economy ◽  
Medium Enterprises

Small and medium enterprises (SMEs) are the main contributor toward prospering the Malaysian economy [1]. Despite the fact that Malaysia is a fast growing economy in South-East Asia, death of SMEs is unavoidable. An exploratory study was conducted to investigate the factors that have an impact on business performance and success in Malaysia. Interviews with SMEs from different industries were conducted. Several factors were found to contribute to the success of business. The factors are classified into financial and non-financial determinants. These factors include customer satisfaction, service quality, experience, business expansion, competitor orientation, solving problems, cash flow, and the amount of sales and revenue. Building on these interviews, a discussion and conclusion have been provided.

scholarly journals Effect of Entrepreneurial Marketing Dimensions on Small and Medium Enterprises Performance in Nasarawa State

2021 ◽  
Vol 4 (2) ◽  
Author(s):  
Hindu Jibril Amin ◽  
Keyword(s):  
Sample Size ◽  
Value Creation ◽  
Risk Taking ◽  
Business Performance ◽  
Small And Medium Enterprises ◽  
Critical Role ◽  
Entrepreneurial Marketing ◽  
Explanatory Variables ◽  
Research Population ◽  
Medium Enterprises

Entrepreneurial Marketing (EM) Dimensions play a critical role in small and medium enterprises (SMEs) performance. The extant study explored the effect of EM dimensions on the performance of SMEs operating within Nasarawa State, Nigeria. EM was conceptualized as innovativeness, risk-taking, and value creation. The research population was 1979 registered SMEs in Nasarawa state, Nigeria. The sample size was 322 which was determined using Raosoft sample size calculator. Out of 322 sets of questionnaire distributed, 136 were validly filled and returned. The data collected were analyzed using Regression Analysis technique to test the study’s hypotheses using Statistical Product and Service Solutions software. Results specify that all three of the EM dimensions under study have significant effect on SME performance. In terms of contribution to the model, the explanatory variables were able to contribute 62.1 percent to the variable of interest (SME performance). On individual basis, innovativeness explained the most to the criterion variable. The findings of this study offer important insights for owners and managers of SMEs, researchers, and policymakers to further understand the effects of EM dimensions on SMEs’ performance. SMEs should be encouraged to embrace the entrepreneurial dimensions of innovativeness, risk taking, and value creation to increase business performance.

scholarly journals The Influence of Marketing and Production Factor on Troso Weaving Cloth

2019 ◽  
Vol 8 (2) ◽  
pp. 189-199
Author(s):  
Khasan Setiaji ◽  
Rifalatul Umi
Keyword(s):  
Marketing Strategy ◽  
Random Sampling ◽  
Business Performance ◽  
Small And Medium Enterprises ◽  
Descriptive Analysis ◽  
Production Factor ◽  
Independent Variables ◽  
Medium Enterprises ◽  
The Impact

The business performance is influenced by various factors such as marketing strategy and production factor. Both have important roles to improve business performance. However, the number of Troso weaving cloth decreased gradually from 2013 up to 2016. This study aims at knowing the impact of marketing strategy and production factor to the performance of small and medium enterprises on Troso weaving cloth simultaneously and partially.  The population was 180 owners of Troso weaving cloth with the sample of 64. The sample was determined by using proportionate random sampling. Then, the variables for this study consist of independent variables that are marketing strategy (X1) and production (X2) factor; and dependent variable that is business performance (Y). Based on the percentage descriptive analysis. The marketing strategy variable has influence as many as 73% with good category, while the production factor influences business performance, 61% with the moderate category. This study has found that marketing strategy and production factor have positive and significant impact partially and simultaneously to the business performance of small and medium enterprises on Troso weaving cloth.

scholarly journals Effects of Corporate Entrepreneurship Dimensions on Organizational Performance: Case of Small and Medium Enterprises in Holeta Town, Ethiopia

2021 ◽  
Vol 7 (4) ◽  
pp. 234
Author(s):  
Gemechu Abdissa ◽  
Abebe Ayalew ◽  
Csaba Bálint Illés ◽  
Anna Dunay
Keyword(s):  
Organizational Performance ◽  
Business Performance ◽  
Small And Medium Enterprises ◽  
Secondary Data ◽  
Corporate Entrepreneurship ◽  
Business Environment ◽  
Explanatory Variables ◽  
Market Shares ◽  
Medium Enterprises ◽  
The Town

Small and medium enterprises are paying the lion’s share in the innovation-based economy of today’s competitive business environment. To this effect, this study observed the effects of corporate entrepreneurship (CE) dimensions on the performance of SMEs in the town of Holeta, Ethiopia. We used both descriptive and survey research designs to meet the specified target of the study. The researchers employed both primary and secondary data sources; the former were collected from 173 participants using both primary and secondary data. The result of this study indicates that all of the explanatory variables used were statistically significant and had a positive relationship with the performance of SMEs. Thus, we recommend that owners of small and medium enterprises pay special attention to practicing CE to increase their business performance, sustainability, and competitiveness. Entrepreneurs should also come up with new and attractive product and service features to take high market shares. Furthermore, forecasting potential challenges for firms and devising possible ways of solving the situation in advance can safeguard businesses from failure.

scholarly journals Impact of regional cultures on the business performance of women entrepreneurs with special reference to small and medium enterprises in Pakistan

2021 ◽  
Vol 5 (1) ◽  
pp. 179-190
Author(s):  
Rida Fatima Akhtar Shamsheri ◽  
Sana Mukarram ◽  
Shaheryar Naveed ◽  
Aleena Mukarram
Keyword(s):  
Special Reference ◽  
Women Entrepreneurs ◽  
Business Performance ◽  
Small And Medium Enterprises ◽  
Cultural Dimensions ◽  
Capital City ◽  
Economic Development And Growth ◽  
Regional Cultures ◽  
Medium Enterprises ◽  
Gilgit Baltistan

Women entrepreneurs’ role is considered crucial for the overall economic development and growth. Entrepreneurship is embedded in the cultural norms and values of the society, and it affects the way individual define their behavior, activities in terms of risk taking proactiveness, the aim of this study is to investigate the influence of the two cultural dimensions of Hofstede’s model i.e., Masculinity and Individualism on the business performance of women entrepreneurs with special reference to small and medium enterprises. The Masculinity side of this dimension represents a preference in society for achievement while individualism indicates greater importance on attaining personal goals.  The study intends to analyze the relationship of women entrepreneurship with cultural dimensions individualism and Masculinity in Pakistan’s two culturally diversified regions, Gilgit-Baltistan and Islamabad, home to large numbers of women entrepreneurs. To capture the diversity of these regions by using the technique of purposive sampling, a sample of 374 was collected, 51% participants from the capital city and 49 % belonged to GB. The findings indicate that regional cultures within the context of Masculinity and Individualism have significant but antagonistic influences on the business performance of women entrepreneurs.

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