Many countries such as Australia, Ireland, Netherlands, United Kingdom (UK), Spain, United States of America (USA) and South Africa (SA) among others have experienced an increase in housing prices, since the late 1990s. In SA, the abrupt increase in residential property prices, particularly during the period 1999 to 2007, resulted in an improvement in the level of households’ net wealth position. Empirical investigations, mainly from developed countries, provide evidence indicating that a house price increase has a significant impact on the households’ wealth, and thus house price gains increase housing collateral for homeowners which make it possible for them to take out equity in the form of refinancing or selling of the house to finance consumption. With the above in mind, this study investigates the relationship between aggregate expenditure on consumption by households and residential house prices in South Africa. Following the permanent-income/lifecycle hypothesis (PI-LCH), this study applies the vector error model (VECM) into the 1980:Q1 to 2007:Q4 quarterly data sample. The overall finding of the study indicates there is indeed a long-run positive relationship between housing prices and consumption in South Africa. / Thesis (M.Com.)-University of KwaZulu-Natal, Westville, 2010.

The research study investigates some of the problems or challenges faced by SMMEs in the Mafikeng and Mmabatho area of the North West province. It strives to find out the extent to which these problems occur and the impact they have on these businesses. The research focuses on a number of major problems considered to be hindering the growth of SMMEs in this area, namely the lack of entrepreneurial management, financial skills, accessing finance and the role played by lack of financial and mentoring support on the success or failure of SMMEs. Some of the significant findings of this study are that the majority of the businesses fail because of lack of access to finance, lack of entrepreneurial skills and lack of mentoring support from the government. The government and banks should make it easer for SMMEs to access finance. The government should act as collateral for SMMEs to secure finance from commercial institutions. The government should involve the private sector in training SMMEs to acquire entrepreneurial skills. This will help SMMEs to run their businesses professionally and therefore become sustainable. This will impact positively to the economic growth, in terms of job creation to the entire province. / (MBA) North-West University, Mafikeng Campus, 2006

Leaders within South African organisations and corporations are faced with challenges such as over-management and under-leadership. While management is about coping with complexity, leadership is about coping with change. In the actual business environment, foremost changes are progressively necessary for business survival and effective competition. In fact, the effective leadership is measured by organisational effectiveness. However, by displaying an effective leadership, leaders are called not only to influence subordinates but also enable them to achieve the organisational goals. Therefore, the effective leadership will not be focused on supremacy but on the organisational achievement. This requires an important and permanent participation and consultation of all team members. The present research study is focused on the analysis of the role of situational leadership in the context of small business management. The main purpose of this research is to examine and to critically evaluate the use of different situational leadership styles in the management of small businesses. This study has sought to review leader obligations and the evolution of these leadership styles in small business management. The study has intended to provide the fundamental empirical evaluation of the role played by situational leadership in small business management. The sample for the present research has been identified from within the Pietermaritzburg Chamber of Business (PCB). A random sample has been drawn from the SMEs within the membership, using standard sampling techniques and methodologies. The population was consisting of small businesses that are members of the PCB. The findings of this research have shown the positive impact that a situational leadership model has in small business management. In fact, small business owners and leaders will be inspired to understand the managerial role of the appropriateness behavioural style in the contextual business situations. Also, the study recommended that owners and leaders of small business should ameliorate leader sovereignty and follower skills, as these often interact in predicting poor follower performance and attitudinal responses. In addition, the present study has provided the tools necessary for small business owners, to guide the improvement and effectiveness of personal leadership. / Thesis (M.Com.)-University of KwaZulu-Natal, Pietermaritzburg, 2013.

Studies on earnings management usually hypothesise that managers manage accruals opportunistically. Few studies however, argue that managers can also use accruals to improve the value relevance of reported earnings to help investors better assess the firm's operating performance. While substantial evidence on managers' opportunistic behaviour on accruals has been documented in the literature, empirical evidence on the informativeness of accruals is scarce and inconclusive. The purpose of this thesis is to examine whether managers use accruals to communicate private information regarding the firm's operating performance, or as reported in the literature, use them for their own benefit. This thesis finds that on average, firms reporting high earnings accompanied by high accruals have significantly negative subsequent period stock returns suggesting that these firms manage their accounting earnings. Focusing on stock dividend issues as an incentive to opportunistically increase accruals, the results are found to be consistent with the earnings management hypothesis. Stock dividend issuing firms are reported to significantly increase accruals in the issue year followed by poor earnings and stock price performances in the subsequent year. Moreover, discretionary accruals of the issuing firms are negatively correlated with both future earnings and abnormal stock returns. This evidence attempts to complement the earnings management literature. The analysis on the incentive to decrease accruals related to share repurchases, however, does not provide sufficient evidence to suggest that managers use their discretion to decrease accruals. To investigate the hypothesis that managers use accruals to convey information regarding their firm's future profitability, this thesis employs the contemporaneous earnings and dividend announcements as the research setting. This choice was made to increase the likelihood of detecting the use of accruals as private information communication while simultaneously mitigating the likelihood of the opportunistic income smoothing hypothesis to explain the results. The evidence strongly indicates that managers use both accruals and dividend increases as their private information communication regarding their firm's future profitability. Dividend increasing firms report positive accruals which are positively correlated with future profitability. This finding contributes to the literature by providing evidence on the accrual signalling hypothesis. Overall, the results of this thesis suggest that, depending on the incentives, managers can use the discretion accorded under the Generally Accepted Accounting Principles (GAAP) in estimating accounting accrual, either to manage accruals opportunistically or to help investors better assess the firms' operating performance.

The aim of this research study is to examine the impact of Saudi Arabian culture on corporate governance (CG) and its regulatory compliance with respect to the protection of minority shareholders’ interests. The protection of minority shareholders is a primary concern in the area of CG and particularly as defined by the Organization for Economic Co-operation and Development (OECD) principles. In Saudi Arabia, CG is a newly introduced regime. Its set of CG principles was initially issued after the first market crash in 2006, which signified the need for appropriate CG standards in Saudi Arabia because minority shareholders suffered catastrophic losses. Moreover, CG legislation in Saudi Arabia is still slowly moving from voluntary to obligatory because family-owned firms, which is the dominant form of incorporation, are stifling corporate growth by their reluctance to open their equity to outside shareholders, as argued by the OECD report of Koldertsova (2011). Hence, the conceptual framework for understanding how Saudi Culture affects minorities is based upon Hofstede’s (1980-2010) Cultural Value Dimension (CVD) model linking societal constructs with the legal and political milieu. Thus, this research sets out to examine this link in relevance to Saudi Culture. In addition, this undertaking will extend, via the second research question, to uncover other factors, such as the legal and political, influencing the level of compliance of listed Saudi corporations with the OECD principles with respect to the protection of minority shareholder rights. The findings of this study provides significant correlations between each of Hofstede’s CVDs: Individualism, Power Distance, Uncertainty Avoidance, Femininity, and Long Term Orientation and the quality of the exercise of minority shareholders’ rights as defined by the OECD’s principles of CG in Saudi Arabia. Moreover, the distribution of each CV dimension was found not to be the same when comparing groups of Majority and Minority shareholders. Hence, the significant correlations expose two different subcultures: an active culture pertaining to Majority shareholders and a passive culture pertaining to Minority shareholders in Saudi Arabia. Moreover, the current legal environment guiding the CG procedures in Saudi Arabia was found to attach a low level of significance to minority shareholders in terms of: ease of litigation, establishment of specialised courts, appointment of competent qualified judges in CG commercial cases, and creation of awareness programmes for minority shareholders’ rights. In addition, the lack of a solid constitution was found to weaken popular pressure to safeguard shareholders' rights and promote a block-holding model of corporate control. Hence, due to governmental institutions falling short on their responsibilities, Saudi controlling families can practically be considered as an institution, as indicated by Institutional Theory, and this familial institution is likely to continue to manifest itself in the governance of emerging economic systems such as Saudi Arabia's as its survival is dependent on the institutional context.

The global economy is still recovering from the effects of the sub-prime crisis. The economic downturn has created international tax policies that seem to encourage debt funding. Some commentators are of the view that debt and equity should have a uniform tax treatment. South Africa has not escaped the aftermath of the economic meltdown and had three credit downgrades since the second half of 2009. The first objective of this treatise was to determine whether loan funding still has a role to play in a SME environment. This was considered in the context of interest-free or low-interest rate loans advanced by companies to shareholders or other connected persons and interest-bearing loans due by companies that in substance clearly have equity features. The primary enquiry pertaining to debit loans is whether the debt arose by virtue of any share held in the company. It is submitted that a causal connection is required between any share in that company and the advance made. Where a company parts with funds for no quid pro quo a deemed dividend in specie is triggered. Conversely, where a loan was made on commercial grounds the company will not be in breach, even if the loan is interest-free. A loan that lacks a reasonable redemption period is more akin to equity and to this extent a deemed dividend will be triggered where a loan owing by a company to a shareholder or other connected person is not redeemable within 30 years. There is ambiguity with regards to the inception of the 30-year period for pre-existing loan agreements. Taking the contra fiscum rule into account, it is submitted that the 30-year period should only commence from the effective date due to the impracticalities involved and because the concept of an ‘instrument’ did not previously exist. It is submitted that shareholder and other connected person loans are not by default equity, to the extent that the transaction is on commercial grounds and in substance a loan. It is further submitted that loan funding still has a role to play in a SME environment and that South Africa has no need for uniform tax rules pertaining to debt and equity, due to the anti-avoidance provisions highlighted above. The poor state of the local economy prompted Treasury to introduce new debt relief rules to assist distressed debtors. The second objective of this treatise was to analyse whether the new rules will provide tangible relief to distressed debtors as this was one of the short comings of the previous system. It is submitted that the new ordering rules delay the incurrence of an immediate tax as trading stock held and not disposed of, the base cost of an asset or the balance of an assessed capital loss is first reduced compared to the old rules where it instantly triggered a recoupment or a deemed disposal for CGT purposes. Tangible relief is provided to distressed debtors as a tax debt reduced has no normal tax consequences. This provides an opportunity for companies under business rescue because SARS rank on par with concurrent creditors. As a result, the tax debt reduced is likely to be higher under business rescue than liquidation.

Thesis (MTech (Cost and Management Accounting))--Cape Peninsula University of Technology, 2015. / The broad aim of this research was to investigate the working-capital management practices of Small Medium and Micro Enterprises (SMMEs) in the Cape Metropole. The study was motivated by a lack of research on the workingcapital management practices of SMMEs. Data was collected by means of a questionnaire that comprised closed-ended questions. The findings of the study indicate that most SMMEs manage their cash effectively; however only a minority hold cash for speculative purpose, invest their surplus cash profitably and use computers to manage cash. By contrast, only a minority of the SMMEs sell on credit. Of those that do, only a minority review their credit criteria annually, send reminders to debtors, charge interest for delayed payment, send prompt statements and use computers to manage their receivables. Likewise, only a minority of the SMMEs purchase on credit. Of those that do, a majority pay promptly to take advantage of discounts and thus only a minority settle their accounts on the last date allowed. Interestingly, most of the SMMEs that purchase on credit use computers to manage their payables. Only a minority of the SMMEs perceive a lack of skills, resources, personnel and time as factors that inhibit them from managing their workingcapital effectively. The findings of this study provide invaluable insights on the weaknesses in the working-capital management practices of SMMEs, which could be used to inform future endeavours of the Government when establishing interventions meant to improve the survival rates of these entities. The findings may also assist SMMEs to gauge and review their working management practices, particularly their receivables and payables, with a view to optimising the benefits derived from these components of working-capital.

Submitted in fulfillment of the requirements of the Master of Information and Communications Technology Degree, Durban University of Technology, Durban, South Africa, 2017. / The research reported in this dissertation focuses on the development of a web-based frugal information system (frugal IS) which supports financial management of very small enterprises (VSEs), with a special focus on their business transactions. In most developing countries, VSEs have some significant contributions at various socioeconomic objectives, such as fostering entrepreneurship and improving growth of employment. They represent an income opportunity to retrenched and retired entrepreneurs which is recognised to be crucial to the livelihood of many poor local households and local citizens. In addition, these enterprises have a remarkable role to play in the areas of employment and poverty alleviation. Despite this, the majority of VSEs in developing countries, especially those in rural regions are faced with miscellaneous issues and challenges, which could be ascribed to their resource scarcity. In particular, most VSEs are resource-constrained in terms of knowledge and information resources, financial resources and human resources. What also exacerbates their situation is the fact that the majority of VSEs are still ingrained in their traditional ways of running the business and they are unready to adopt new and innovative working methods. In particular, VSEs are still accustomed to manual paper-based systems which are monotonous, error-prone, highly fragmented and severely inefficient. Unfortunately, all this gravely challenges the growth and development of VSEs. In this dissertation, a concept of frugal innovation, precisely frugal IS, is applied to distinctively address specific and unique business needs of VEs in developing countries. A methodology that is employed in this research is called design science research methodology (DSRM). The DSRM helped to address the problem of VSEs through design, construction, utilization and evaluation of a web-based frugal IS prototype system. A novel system life cycle model that favours the notion of frugality was employed for the design and development of a web-based frugal IS. The evaluation of the prototype system and its design revealed quite interesting results. The design of a web-based frugal IS prototype system was characterized with low complexity which promoted reusability, maintainability and reliability. The evaluation of usability indicated that the system was fairly simple to use, reliable and effective in terms of managing financial information of VSEs. Based on the general findings of this research, the design and development of a web-based frugal IS for VSEs in developing countries promises to assist VSE owners to assess their profitability, improve their financial management, promote sound economic decisions and help them to avoid business failure. / M

This research is a diagnosis of the supply side of SME (small and medium enterprises) credit. Its objectives are to determine the current level of bank lending to SMEs to validate the financing gap, to explore the strategies and mechanisms employed by banks to provide tailor-made lending for SMEs and finally to conclude by identifying some of the key challenges the banks face in their quest to lend to SMEs. This, then, culminated in some recommendations for increasing bank funding to SMEs. This study employed a deductive qualitative research.. The research used a non-probability, purposive/judgmental sampling method to choose the heads of bank SME units to include in the research. There are twelve banks with dedicated SME units, out of a total of 18. The researcher carried out in-depth face to face interviews using semi-structured questions. The qualitative data was coded, deductively analysed and conclusions drawn and incorporated into a report. Banks’ most outstanding challenges in dealing with SMEs in terms of information asymmetry, an unsupportive business environment, poor quality of SME clients and inflexible regulatory requirements.

D.Ing. / During the last pre-millennium decade South African engineers were involved mainly in military product development. The downscaling of development within the military arena, forced the engineering as well as other industries to refocus on commercial product development and marketing (the engineers in the military environment were not the only ones influenced by the change in the economic climate. Many others were also affected, but for the sake of explanation, the military environment was used). This stage led to the creation of various small- to-medium enterprises (SMEs), which were set up by creative, determined engineers and entrepreneurs. However, by the latter part of the last decade, these initiatives ended sadly in the liquidation of quite a number of companies. These ongoing liquidations are a result of various aspects, such as cash flow restrictions, growing currency value and a low national- growth figure. The research done in fulfilment of this thesis, addresses some of the events of the last decade and offers general, practical suggestions on how to overcome some of these hurdles within the current economic climate. It illustrates that experience enables an entrepreneur to develop methods and provide suggestions on how to create, establish, survive and grow within a high-technology driven SME. Shortfalls, methods and products are discussed by means of case studies. The products discussed in the thesis, are all classified among the field of mobile, portable and static electronic power-conversion. Thirty high-technology companies participated in a survey in support of the research statements. As a summary, it is shown that various aspects often restrict new product development (NPD) for SMEs. Optimum and effective usage of knowledge and experience in areas of technology, marketing, human resources, organisational, operational, manufacturing and financial management is required to achieve goals successfully and to survive in today’s industry. An investigation was done to determine the relationship between these interdivisions of an SME. In conclusion, methods and models are presented to optimise the techniques that are currently used within SMEs. These techniques are then further expanded on and presented as guidelines for business discussions. Practical examples are presented in support of the actual models.