There is consensus that Small to Medium Enterprises (SME) exports play a critical role in the development of economies. It has been widely acknowledged in empirical research done around the world that small businesses make a significant contribution to economic development, employment, competitiveness and the reduction of regional disparities. However, empirical literature gives conflicting evidence on the determinants of export performance among SMEs. The study contributes towards the debate on SME exports by: (i) investigating the variables that determine export performance among SMEs in Zimbabwe (ii) establishing the competi-tiveness of Zimbabwe’s exports and (iii) ascertaining the major constraints faced by SME ex-porters in Zimbabwe The researcher gathered data from 120 SMEs and 10 institutions in Zimbabwe for the period 2009 to 2015. SME samples were chosen from Harare, Mashonaland Central and Mashonaland East provinces while all 10 of the institutions were chosen from Harare province. Convenient non-probability sampling method was used to select SMEs while stratified sampling technique was applied in the selection of institutions. Both qualitative and quantitative research methods were employed. For the quantitative approach, panel data ordinary least squares method was used in the form of the gravity model of trade. Export intensity (used as a measure of exports) was regressed against support institutions, business ownership, research & development, educational years, use of export processing zones, product type, export years, firm size, firm age, gender, distance from trading partner, Gross Domestic Product (GDP) of trading partner, and GDP of Zimbabwe. The random effects estimation method was used, basing on results from the Durbin-Wu-Hausman test. The null hypothesis was based on the premise that the variables under study do not determine export intensity of SMEs in Zimbabwe. Other null hypothesis were that the major constraint faced by SME exporters in Zimbabwe is not access to finance and that Zimbabwe’s exports are not competitive in the mining, agricultural and manufacturing sectors. The revealed comparative advantage index was computed to measure the competitiveness of Zimbabwe’s exports.For the qualitative approach, the study used the triangulation method which involved combining and utilising the questionnaire, interviews and focus group discussions. The results from the study indicated that following variables increased export intensity of Zimbabwean SMEs; business ownership, use of export processing zones, export years, firm size, and GDP of trading partner. The following variables have an inverse relationship with the export intensity of Zimbabwean SMEs: gender, distance from trading partner and research & development. The results also indicated that these further variables do not determine the export intensity of SMEs in Zimbabwe: support institutions, years of education, product type, firm age and GDP of Zimbabwe. The major constraint faced by exporting SMEs in Zimbabwe is limited access to finance. Zimbabwe is competitive in the agricultural and mining sector exports, but not in manufacturing sector exports The policy implication of the findings is that SME support needs to go beyond support institutions when it comes to SME export promotion. Further SMEs in the agriculture and mining sectors need to be promoted for export growth since Zimbabwe is competitive in these sectors. However the manufacturing sector cannot be ignored, since many economies have developed due to exports of manufactured products and a country needs to have balanced export growth in both primary and manufacturing sectors. In order to have motivated, career SME exporters, entrepreneurship education should begin from primary school right up to university so as to improve entrepreneurial aspirations, attitudes and behaviour in the long run.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nmmu/vital:28424 |
| Date | January 2017 |
| Creators | Karambakuwa, Tapuwa Roseline |
| Publisher | Nelson Mandela Metropolitan University, Faculty of Business and Economic Sciences |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Thesis, Doctoral, DPhil |
| Format | xx, 310 leaves, pdf |
| Rights | Nelson Mandela Metropolitan University |
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