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A model to promote entrepreneurial competitiveness in the South African telecommunications sector

The fast pace of technological advancements is a driver of change in the world. In telecommunications, advancements as well as sector transformation pose challenges to entrepreneurs to remain competitive. The purpose of this study is to contribute to the promotion of entrepreneurial competitiveness in the telecommunications sector in South Africa. In order to achieve this purpose, the objective was to develop and test a theoretical model to promote entrepreneurial competitiveness in this sector. The purpose of the study was that if the factors that influence entrepreneurial businesses in this sector can be identified and recommendations applied, the competitiveness of these businesses can be improved. The approach was as follows: 1. Identify the factors, in a literature review, in three areas related to this study, namely, Entrepreneurial Orientation, Telecommunications and Benchmarking; 2. Develop a conceptual theoretical model comprising these identified factors which formed the base for the data collection; 3. Develop a measuring instrument to empirically test the relationships described in the conceptual model; 4. Empirically test the proposed model and suggested hypotheses by means of sourcing data from entrepreneurs in the telecommunications sector in South Africa and thereafter statistically analyse the sourced data; 5. Formulate the final theoretical model to support the research objective and 6. Propose recommendations based on the results of the statistical analysis. The three areas of literature study analysed were Entrepreneurial Orientation which focused on the entrepreneur, the entrepreneurial process and the positioning of technological entrepreneurs in the sector. The telecommunications section included an overview of telecommunications from a global perspective followed by specific focus on the South African sector. The section on benchmarking covered business performance aspects together with measurement techniques and benchmarking institutions relevant to entrepreneurship and telecommunications businesses. Initially, the literature study delivered four intervening variables (Entrepreneurial Orientation, Opportunity Recognition, Resource Allocation and Strategic Positioning) which influence entrepreneurial competitiveness. Within these four intervening variables, twelve underlying independent variables were identified. All the variables were hypothesised as they were perceived significantly to influence the dependent variable, perceived to be entrepreneurial competitiveness in the telecommunications sector in South Africa. These factors, clearly defined and operationalised, were structured in a questionnaire which was sent to entrepreneurs in the telecommunications sector. A response rate of 37 percent was achieved. Data collected from 301 questionnaires were subjected to various statistical analysis techniques. Cronbach-alpha coefficients were calculated to confirm the validity and reliability of the measuring instrument that was tested whilst the latent variables were confirmed by exploratory factor analysis. Structural Equation Modelling (SEM) was used to test the hypothesised significance of the relationships between the variables. Due to the sample size limitation, the conceptual model could not be subjected to SEM as a whole and consequently two sub-models were identified and subjected to further analysis. The SEM results presented the factors influencing entrepreneurial competitiveness whereafter the final model was presented for this study. This study contributed to this specific field of knowledge as follows: 1. New literature contributions are made in the field of entrepreneurial competitiveness in a specific sector; 2. It is the first known research conducted into the promotion of entrepreneurial competitiveness in the telecommunications sector in South Africa; 3. A theoretical model was developed that can be used to promote entrepreneurial competitiveness in the sector and 4. It suggests recommendations on empirically tested factors that significantly influence entrepreneurial competitiveness. Additional knowledge has been gained through the identification and description of how the following individual factors significantly influence entrepreneurial competitiveness in this sector: Benchmarking; Entrepreneurial Mindset; Entrepreneurial Management; Entrepreneurial Orientation; Financial Resources; Infrastructural Change; Regulatory Alignment and Technological Entrepreneurship. The present study was conducted in a time frame where sector transformation is prevalent in South Africa. The current circumstances relating to sector transformation and infrastructural changes will not last forever. The theoretical model therefore is limited to the specific sector conditions in a specific time cycle. In conclusion, the model and managerial recommendations that are presented can act as a guideline for entrepreneurs to adopt in order to improve the competitiveness of their businesses.

Identiferoai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nmmu/vital:8769
Date January 2012
CreatorsOberholzer, Stephanus Marius
PublisherNelson Mandela Metropolitan University, Faculty of Business and Economic Sciences
Source SetsSouth African National ETD Portal
LanguageEnglish
Detected LanguageEnglish
TypeThesis, Doctoral, DBA
Formatxviii, 347 leaves, pdf
RightsNelson Mandela Metropolitan University

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