South Africa and more specifically Port Elizabeth is faced with many challenges with regard to economic growth and unemployment. It is generally acknowledged that the “Small to Medium Enterprises” (SME) are the largest employers in any economy, additionally SME’s are large contributors to the gross domestic product. Successful SME’s are the catalysts of the economy and over time they can develop into large enterprises. It is clear that in order for a country to have a strong and sustainable economy it needs to have a strong and successful SME sector. Unfortunately the South African SME sector performs relatively poorly in comparison with the SME sectors around the world (Herrington, Kew & Kew, 2009). With the knowledge of the importance of the SME sector to the economy and the knowledge that the South African SME’s are generally underperforming, this study will identify how to improve the relative success rate of the SME sector in Port Elizabeth South Africa. In order to achieve this, this study needs to identify why the SME sector is not performing on a par with other SME sectors from around the globe and what initiatives need to be implemented in Port Elizabeth that will enable its SME sector to perform at the same level or better than other SME sectors from around the globe. This study identifies that the South African SME’s are provided with a number of support initiatives. Some of these support initiatives have been very effective, while other support initiatives have been unsuccessful or have failed. This study concludes by identifying a number of areas that need improvement; of these areas two are identified as being critical to SME’s success and sustainability, these two areas are: · The need to make SME’s more aware of the government / business initiatives that are available; and · Establish more effective mentoring and coaching. In order to address these critical areas, the study suggests the use of an internet portal that can be used to coordinate all the activities between the mentors and the SME’s. This internet portal will be expanded to become the core information hub and collaboration centre for the flow of information between the SME’s and any of their stakeholders. Once all this information is centralised it will be a relatively simple process to measure the success rate of the SME’s and the effectiveness of the different mentors.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nmmu/vital:8627 |
| Date | January 2010 |
| Creators | Monks, Patrick Grant Standish |
| 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, Masters, MBA |
| Format | ix, 129 leaves, pdf |
| Rights | Nelson Mandela Metropolitan University |
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