The sustained growth of small, medium and micro enterprises (SMMEs) could help to reduce poverty, income inequality and unemployment problems in KwaZulu-Natal (KZN). Public and private sector institutions can identify policies and strategies to, increase the survival and growth rates of SMMEs if they have more information about the factors that constrain business performance, and the link between entrepreneurial quality and enterprise success. The owners of 44 agribusiness SMMEs in a stratified random sample of Ithala Development Finance Corporation (Ithala) clients in KZN were, therefore, surveyed during October 2003-February 2004 to identify what they perceive are constraints on business survival and growth, and how entrepreneurial quality affects business success (using loan repayment performance at Ithala as a proxy for success). Principal Component Analysis of 36 potential constraints ranked by the survey respondents identified eight dimensions of perceived constraints: A lack of access to services; funding constraints at enterprise start-up; a lack of management capacity in the enterprise; access to tender contracts; compliance costs associated with VAT and labour legislation; liquidity stress; a lack of collateral, and a lack of institutional (government and private sector) support. A lack of collateral and access to services seemed to affect the Retailer stratum relatively more, while Speculators considered lack of capital at start-up to be their major constraint. Harvester contractors and Processors seemed to be most affected by compliance costs, while Processors were especially prone to liquidity stress. Possible solutions to ease these constraints include the provision of appropriate infrastructure and training, development of innovative loan products to address cash flow and collateral issues, more transparent tendering processes, and policies to reduce the costs of compliance with legislation. An empirical logit model showed that strong energizer behaviours (current and planned business expansion and staff training) that reflect entrepreneurial quality, more business experience, and family assistance to become an entrepreneur, promote loan repayment (success), while a lack of access to electricity and training facilities increase the probability of loan default. This suggests that more focus on the personal characteristics of credit applicants and (again) the development of appropriate infrastructure and training services could help to promote the future success of agribusiness SMMEs in KZN. / Thesis (M.Sc.Agric.)-University of KwaZulu-Natal, Pietermaritzburg, 2004.

The operations of South African SMMEs have significant environmental and social implications, and the implementation of Corporate Social Responsibilities (CSR) practices in these companies is therefore of great value, both environmentally and socially. Implementation of practices of CSR is influenced by the stakeholders of a company and thus by the socio-economic and political context in which the company operates. This study examines the practice of CSR in manufacturing SMMEs in the Pietermaritzburg area, and how this practice is influenced by their stakeholders. This is done through semi-structured interviews with representatives from key local stakeholders and a sample of eight local manufacturing SMMEs. The study shows that manufacturing SMMEs in the Pietermaritzburg area have implemented a wide variety of CSR practices and that they are managing and interacting with their stakeholders in a sophisticated manner. The studied companies do in general have a limited understanding and narrow interpretation of CSR, and CSR is often confused with Corporate Social Investment (CSI) as it is described in the South African Broad Based Black Economic Empowerment (B-BBEE) scorecard. The companies do, however, practise CSR in a number of ways. The companies have implemented practices that address all of the CSR issues examined in this study: Labour issues, B-BBEE, HIV/AIDS, environmental issues and community outreach. The nature of, extent of, and motivation for these activities do, however, vary considerably. The results of the study reveal that the motivation for undertaking practices of CSR generally can be attributed to influence from the stakeholders of the examined companies. In this study the stakeholders were identified on the basis of a contextual analysis, and the stakeholder model of Donaldson and Preston was grouped into: Civil society stakeholders and communities, Government stakeholders, Stakeholders affiliated with the companies, and Business stakeholders. All groups of stakeholders were found to be exerting a significant influence on the CSR practices undertaken by the examined companies. The degree of influence varies amongst the different stakeholders and practices, and some of the CSR practices had been undertaken as a result of influence from several stakeholders. A few of the CSR practices undertaken by the interviewed SMMEs can be attributed to influence from the local key stakeholders that were interviewed in this study. It is also possible to find examples of companies implementing CSR practices as a result of local stakeholders combining their efforts. The study shows that SMMEs in the Pietermaritzburg area are responsive to their stakeholders and that the practice of CSR is greatly influenced by what the companies consider to be their stakeholders’ concerns. The interviewed local stakeholders have, however, only a limited influence on the SMMEs. It is therefore likely that the stakeholders can deepen the practice of CSR in local SMMEs by co-operating and thus increasing one or more of their stakeholder attributes: power, legitimacy, and urgency. The study has contributed to a greater understanding of the role of stakeholders in influencing CSR practice in South African SMMEs and has revealed important hints on how this influence can be strengthened and directed through government activities and other stakeholder alliances. / Thesis (M.Sc.)-University of KwaZulu-Natal, Pietermaritzburg, 2011.

Many believe that small and medium natural resource-based enterprises (NRBEs) provide a vision to reduce poverty in the Third World’s rural communities and households. As a result, new rural enterprises should be created and existing ones reinforced within a framework of sustainable livelihoods that target all appropriate members in the communities. This study investigates the impact of the natural resource based enterprises income on the rural livelihoods in the households using a rural natural-based craft enterprise (using reeds, Cyperus spp, as raw material), as a case study, Ikhowe Craft Enterprise, situated in small town called Eshowe in northern KwaZulu-Natal, South Africa.. In designing this study, a combination of both qualitative and quantitative research methods was employed. This was influenced by the aim and the type of data required for the study. The said methods were (a) semi-structured interviews for producers (a questionnaire had a pre-determined mix set of both open-ended and closed-ended questions); (b) interviews for management were conducted with a purely qualitative questionnaire which consisted of only structured and open-ended questions; (c) field observations, and (d) a review of secondary materials (administrative records). Apart from how derived income impacts on the participants, data required also included performance of the enterprise, access to markets, support available, and livelihood analysis of the participants households which included issues such as households’ economies and exploring extent of, and reasons for diversification, and challenges both the enterprise and participants’ households face daily in relation to making a living. The results show that there was a significant increase in business annual turnover and producers’ earnings between 2003 and 2005. In 2003, about 50% of the producers earned less than R1000 per year, while in 2005 only 3% earned less than R1000 per year. Despite the total annual increase of earnings and the significant contribution of craft income to producers’ households’ incomes, individual earnings varied considerably amongst the producers and as a result the economic impact was also variable. Other than craft, strategies such as government grants enhanced livelihood diversification in the case study. However, lack of understanding of basic business principles and skills amongst both the crafters and management posed threats to the sustainability of the enterprise. The income derived from the NRBE activity, especially since it is based on natural resources with low economic value (reeds) was found to have both diversifying and supplementing effects on different producers’ other strategies. Although, the enterprise is achieving growth, there is a concern and a need to measure the future sustainability of the enterprise. In addition there is a need to improve the producers’ basic business skills and business management competency / Thesis (M.Env.Dev.)-University of KwaZulu-Natal, Pietermaritzburg, 2008.

South Africa's past industrial decentralisation policies have come under intense criticism for being economically inefficient and an inappropriate means of providing employment. The result of state intervention from the 1970s in the locality of Richards Bay/Empangeni, has led to the establishment of many unlinked, globally competing industries in the area, which the local economy has come to rely heavily upon. Public as well as private organisations of the area have in place many social upliftment initiatives developed in response to the high poverty and unemployment in the area. By employing survey research techniques to collect the necessary data, this research study undertakes a social scientific approach to analysing the socio·economic impact that these industries and large firms have had on the area and documents the current social investment initiatives they have in place. Local Economic Development (LED) initiatives, as a pro-poor response to community upliftment, are firmly placed in the local municipality's LED strategy, and from which, the area now receives considerable benefit. Results show that there is a positive public·private partnership approach to local development in the area with all sectors being actively involved in community benefit and poverty alleviation initiatives. / Thesis (M.A)-University of Natal, Pietermaritzburg, 2003.

In many cases rural crafters have had only limited exposure to the market economy and have little understanding of how it works. If the crafters are unable to market their products, then their efforts in making craft items are being wasted. It was for this reason that this study was undertaken. The study focused on indigenous handcraft (beadwork, basketry and leatherwork) owing to the fact that these kinds of crafts are widely produced in the area of Izinqoleni. The purpose of this study was to investigate the marketing opportunities of indigenous handcrafts, and highlight problems faced by crafters in Izinqoleni. To accomplish this, the study had to describe the productive functioning of individuals and group producers of indigenous handcraft, find out about the kinds of craft items produced, and understand what was required to produce crafts in sufficient quantities and appropriate quality for markets. It also had to identify such suitable markets and describe the market places in relation to access, requirements, and potential for economic returns of crafters, to identify the gaps in the relationships between present production by crafters and marketing requirements, identify the constraints on crafters and markets, and recommend remedial actions that need to be taken. For this study, in-depth interviews, focus group discussions, and personal observations were employed to obtain information. The target population of this study comprised of the individuals and group crafters, craft traders (formal and informal traders such as art and craft galleries, craft shops, farm stalls, Tourism Information Centre, beach/road side craft sellers) as well as the buyers of indigenous handcrafts (schools and Shembe religious groups). Ten individual crafters, two craft groups, seven informal craft traders, four formal craft traders, two schools and two Shembe groups participated in this study. The findings of this study indicated that, despite the constraints facing the crafters in Izinqoleni; both the individual and group crafters had great potential for producing marketable products, although groups had better opportunities in term of exposure to markets and other requirements than individuals. There was not a big difference between the craft items that were produced by the crafters of Izinqoleni and those that were available at the local craft outlets. The traders, however, did not obtain their goods from local crafters; they depended on the distant crafters for supply of indigenous handcrafts. Therefore, they were very positive in creating strong relationships with the local crafters, provided they conformed to the requirements of these markets. It was therefore recommended that the crafters form cooperatives so that they could become recognized and then be supported in every possible way. The Government policies should consider indigenous handcraft as a major contributor to the economy, and promote indigenous handcraft production and marketing by providing sufficient support and services. / Thesis (M.Sc)-University of KwaZulu-Natal, Pietermaritzburg, 2006.

Involvement in agricultural activities has generally been the main livelihood strategy for rural people. This was also the case with KwaMbonambi and Sokhulu farmers, especially amadumbe producers. The research was therefore undertaken to explore the marketing opportunities for amadumbe in the Mbonambi Municipality under which KwaMbonambi and Sokhulu tribal areas fall. A research team was formed by five staff members from the Department of Agriculture including the researcher. Five research tools were used to collect data and these were questionnaires for formal retail shops, focus groups for processing centres, a transect walk to assess the land availability, sustainable livelihoods and force field analyses for amadumbe producers, From the findings, the formal retail shops and processing centres did not have a direct link with local amadumbe producers of KwaMbonambi and Sokhulu. Their produce came via agents from Durban and Johannesburg. Amadumbe producers on the other hand were producing amadumbe for their own consumption or to sell either to local communities (from the garden gate) or to hawkers in nearby towns. A recommendation was made that an amadumbe marketing forum be constituted in order to close the gap between formal retail shops, the processing centres and the amadumbe producers of KwaMbonambi and Sokhulu. Farmers felt that they could produce amadumbe of the quantity and quality required by the formal outlets if they improved their production amounts and marketing strategies. / Thesis (M.Soc.Sc.)-University of KwaZulu-Natal, Pietermaritzburg, 2008.

The main objective of the study was to investigate the marketing strategies needed for the development of a peanut agribusiness for small-scale farmers producing peanuts in the Vulamehlo District, southern KwaZulu-Natal (KZN). The study was part of the extension programme of the KwaZulu-Natal Department of Agriculture and Environmental Affairs (KZNDAEA). Another aim of the study was to examine the market requirements for peanuts purchased from Vulamehlo farmers in relation to the processing and sale of peanuts and whether or not market outlets for peanut products in KZN were available. In addition, current links between farmers, peanut processors, agents and retailers were to determine, if the marketing of peanut butter produced by small-scale farmers could be improved. Small-scale farmers were targeted because they play an important role in rural areas for community development and for poverty alleviation and also to generate income. There is little research on small-scale agribusinesses. Small-scale farmers have unreliable supply chains and markets. The study was conducted between May and November 2005. The data for the development of agribusiness for small-scale farmers in the Vulamehlo district were gathered from four wards of Vulamehlo: Mkhunya, Qiko, Mzimlilo and Mazabangwane. Questionnaires, a focus group discussion and observation were used to collect data from farmers and informal processors of peanut butter. Interviews were conducted with informal traders, formal traders and a formal peanut butter processor, to collect information about their marketing of peanut products. Six peanut producing farmers’ associations out of ten were randomly selected from the list of farmers’ associations in the Vulamehlo District. Details were obtained from the Department of Agriculture office. The study found that the marketing requirements needing to be met by small-scale farmers include availability of adaptable certified peanut seeds, appropriate tools and equipments for cultivation, reliable supply of raw material, grading and testing of level of aflatoxin in peanuts, knowledge of processing regulation to food safety and hygiene, proper business and management skills and relevant technology and marketing information. The study revealed that there were no seed companies around Vulamehlo sold peanut seeds and there were no commercial peanut-producing farmers in KZN to assist small-scale farmers. Farmers were using manual tools for the peanut production process. This limited production and expansion and lowered the yield. Constant supply may be a problem for the business processing enterprises. The markets for Vulamehlo peanut producing farmers were informal and insecure. The peanut butter co-operative lacked processing equipment, processing know-how, energy-saving technology and marketing information. It is recommended that developing agribusiness linkages with suppliers, traders, farmers and processors would improve the small-scale farmers’ negotiating skills. The KZNDAEA should improve links with large-scale farmers, traders, suppliers and processors, in order to obtain more information on peanut production. Contamination, especially by aflatoxin, during the processing of peanut products should be eliminated. / Thesis (M.Soc.Sc.)-University of KwaZulu-Natal, Pietermaritzburg, 2008.