Catalyzing Change: Entrepreneurs from the Global South Leading the Fight against Antimicrobial Resistance.

Orientation: This study explored the composite business success index (CBSI), a novel framework designed to enhance small and medium enterprise (SME) competitiveness in South Africa by integrating financial and cultural metrics. Research purpose: The aim was to introduce CBSI as a tool for assessing small and medium enterprise performance, combining financial indicators like the cash conversion cycle (CCC) and Altman Z-score with cultural metrics such as the Configurational Accuracy Score for a more holistic evaluation. Motivation for the study: Small and medium enterprises in South Africa face significant challenges, including financial instability and misalignment of organisational culture. Existing performance models often fail to address these non-financial factors, which CBSI integrates into one evaluative tool to improve both financial health and cultural alignment. Research design, approach and method: A pragmatist research approach integrated quantitative and qualitative methodologies, including financial data from small and medium enterprise statements, semi-structured interviews with small and medium enterprise owners and experts and questionnaires to collect cultural data for insight into the role of culture in small and medium enterprise success. Main findings: Composite Business Success Index proved effective in predicting small and medium enterprise performance. Higher CBSI scores (> 0.65) were associated with successful small and medium enterprises, while lower scores (< 0.50) indicated areas for improvement, highlighting the link between financial stability and organisational alignment. Practical/managerial implications: The CBSI offers small and medium enterprise leaders actionable insights for enhancing financial performance and organisational culture, boosting competitiveness and long-term sustainability. Contribution/value-add: By integrating both financial and cultural metrics into a single framework, the CBSI provides a novel tool for assessing and developing small and medium enterprise performance for the small and medium enterprise managers.

Start-ups are entrepreneurial ventures, having a high risk of failure (Bortolini et al., 2018; Spender et al., 2017). The risk of failures of Start-ups can be minimized if they are characterized well, and the appropriate macro- and micro-level policy interventions can be introduced. Our literature review (LR) on Start-ups reveals that they are addressed by different names, namely, Hi-Tech firms, University spin-offs, Innovative Start-ups (ISs), Lean Start-ups, Silicon Valley Start-ups and New Technology-Based Firms (NTBF). (Tripathi, Seppanen et al., 2018; Silva et al., 2020; Wiesenberg et al., 2020). It is also observed that Start-ups are referred to as small business and Micro, Small and Medium Enterprises (MSMEs). A systematic literature review (SLR) of Start-ups is presented here and used as the basis for characterizing them. We propose (proposition-1) that these Start-up firms, addressed by different names, as referred above, can be grouped, characterized and identified as ISs. Based on a robust characterization of ISs, this article proposes that ISs are a subset of MSMEs. From a comparative study of ISs and MSME, we propose (proposition-2) a framework that shows MSMEs can be conceptually split into ISs and Conventional MSMEs (C-MSMEs), with an intersection between ISs and C-MSME. This study has also identified four new research areas related to Start-ups and MSMEs. The above characterization and differentiation of ISs from other entrepreneurial ventures will help policymakers, entrepreneurs, and investors to understand ISs and C-MSMEs better and develop suitable policy interventions and risk mitigation strategies.

Purpose: This study aimed to explore the role of Micro, Small, and Medium Enterprises (MSMEs) and entrepreneurship in reducing poverty by providing employment opportunities and supporting economic growth. Methods: The research employed a qualitative approach to analyze the contribution of MSMEs and entrepreneurial activities in job creation and poverty alleviation. Results: Findings from the Ministry of Cooperatives and MSMEs of Indonesia in 2020 showed that the MSME sector contributed approximately 97% of total non-agricultural employment in Indonesia. MSMEs and entrepreneurial ventures often serve as the primary source of employment in many countries because of their ability to adapt quickly to market changes and consumer needs compared to large companies. Conclusions: The development and support of MSMEs and entrepreneurship can significantly improve the economy and reduce poverty. The increasing number of small and medium enterprises provides job opportunities for people who may find it difficult to obtain employment in the formal sector. Originality/value: This study highlights the novelty of linking MSMEs’ growth directly to poverty reduction, showing how their role in job creation supports vulnerable groups beyond their conventional economic function.

This study examines the financial management of Micro Small and Medium Enterprises (MSMEs) in Indonesia and Malaysia which are the drivers of the economy in both countries, but this sector has not been able to become an independent sector and become the foundation of the national economy in both countries. The problem is that financial management in Micro Small and Medium Enterprises (MSMEs) ignores the importance of financial management standards, the problem is that poor financial management makes Micro Small and Medium Enterprises (MSMEs) insignificant in advancing the economy. The method used is descriptive qualitative with a case study approach. Data were obtained from MSME actors by distributing questionnaires and interviews. The results of this study indicate that MSME financial management in Indonesia is not as good as Micro Small and Medium Enterprises (MSMEs) in Malaysia, meaning that Malaysia has better MSME management, this can be seen from various research indicators, namely: planning indicators, budget use, recording, reporting and controlling. Micro Small and Medium Enterprises (MSMEs) in Indonesia and Malaysia when compared to Indonesian Micro Small and Medium Enterprises (MSMEs) do not have good planning, have not carried out standard records, standardized reporting, are not concerned with standard financial statements, balance sheets, profit and loss, cash flow, do not have or install systems in their business units, such as control of systems and procedures, billing records of sales notes, it is very clear that Micro Small and Medium Enterprises (MSMEs) in Indonesia have not done so. Meanwhile, from the other side, when compared to Indonesian MSME respondents, the level is very small, more so for micro cart businesses, small shops that are not in the form of their own buildings, the context is very small. In Malaysia, micro, small and medium enterprises are not comparable to the conditions in Indonesia, while in Malaysia, the Micro Small and Medium Enterprises (MSMEs) already have a more appropriate place. Thus, it is easier for Micro Small and Medium Enterprises (MSMEs) in Malaysia to get banking support, while Micro Small and Medium Enterprises (MSMEs) in Indonesia are still difficult to upgrade and are still difficult to enter the bank compared to Malaysia.

This study investigated the impact of inaccessibility of bank finance and lack of financial management knowledge to small, micro and medium enterprises (SMMEs) in the Buffalo City Municipality. The objectives of the study were to determine the impact of lack of financial management knowledge on access to finance, to investigate effects of lack of bank finances to the success and growth of SMMEs, to determine the impact of financial illiteracy to the success and growth of SMMEs and to identify possible solutions to the problem of inaccessibility of bank finance and lack of financial management knowledge. A questionnaire was used to gather data from respondents. Simple random sampling technique was used. Data was analysed using descriptive statistics. Findings of this research showed that SMMEs in the Buffalo City Municipality find it difficult to access bank finance. The research results also showed that inaccessibility of bank finance have a greater impact on survival and success of SMMEs. It also highlighted that lack of financial management knowledge have an impact on survival and growth of SMMEs. SMMEs are encouraged to explore other financing options and also to take responsibility for acquiring skills and knowledge that will lead them to success.

The purpose of this article is to investigate the accounts payable management practices of small, medium and micro enterprises (SMMEs) in the Cape Metropolis. The study is motivated by a lack of research on payable management practices of SMMEs in South Africa. Data are collected from a sample of 200 SMMEs by means of a closed-ended questionnaire and analyzed using descriptive statistics and inferential statistics. The findings of the study indicate that 70% of the sampled SMMEs purchase only on cash basis. Of the sampled SMMEs, 22% purchase on both cash and credit, while 8% purchase only on credit basis. Of those that purchase on credit, 72% pay their creditors promptly to take advantage of discount facilities. To manage their accounts payable, 52% of the SMMEs use computers. Only 43% settled accounts payable on the last day that the payment is due. The results further indicate that a lack of personnel and time are the main factors that inhibit the SMMEs from managing their accounts payable effectively. The above results suggest that SMMEs are inclined towards purchasing on cash or paying promptly when they purchase on credit, which could indicate that they had a lower bargaining power relative to that of suppliers who may have viewed these entities as risky ventures to which they were reluctant to extend credit terms. Based on the above findings, this study recommends that the SMMEs decision-makers be educated on the competitive advantages gained by buying on credit, most important of which are improving cash flow and building supplier relationship. In addition, the decision-makers may be trained, perhaps through Government intervention, on how to overcome the factors that inhibit them from managing their accounts payable effectively, by using computers. The Government may also provide guarantees to SMMEs’ suppliers to relax the credit terms extended to these entities. This study makes several original contributions to literature. It is the first study to investigate the accounts payable management practices of SMMEs in the Cape Metropolis. Entities whose management of accounts payable had up till now been neglected appeared in the prior research to their peril. Secondly, this study provides a unique insight into SMMEs management of their liquidity by focusing on their management of most immediate obligations (accounts payable), which are critical for these entities’ survival given their limited access to finance. The proposed study thus fills the gap in research on the accounts payable management practices employed by SMMEs in South Africa. Although various studies have been published on the accounts payable management practices on SMMEs in other countries, no study was found within the South African context. This study therefore contributes to the debate on the accounts payable management practices of SMMEs in a unique context of South Africa and inspires other researchers to investigate the same in other Metropolis in the country

Financial literacy is a critical factor that significantly impacts the success and achievement of small and medium enterprises' (SMEs) objectives. Unfortunately, many SMEs struggle with inadequate financial literacy, which hinders their ability to make informed decisions, manage resources effectively and drive growth. This knowledge gap can lead to poor financial planning, inefficient resource allocation and a lack of resilience, ultimately threatening the long-term sustainability of these businesses. By prioritising financial literacy, SMEs can enhance their capacity to develop realistic financial projections and budgets. This study investigated the level of financial literacy among small and medium enterprises (SMEs), examining both their knowledge and practical applications of financial concepts. Additionally, the research explored the correlation between SMEs' financial literacy and their socio-demographic characteristics, such as business size, industry, owner's age, education, and experience. A quantitative research approach was employed to achieve the study's objectives and primary data was collected through a questionnaire survey administered to a sample of 105 small and medium enterprises (SMEs) located in the uMgungundlovu District of KwaZulu-Natal, South Africa. The data analysis was conducted using SPSS version 23, leveraging both descriptive and inferential statistics to extract insights and meaning from the data. The findings of this study indicate that small and medium enterprises (SMEs) in the uMgungundlovu District exhibit low levels of financial knowledge and practice. Notably, the research revealed significant positive correlations between financial knowledge and various factors, including: age, qualifications, number of employees and annual turnover. A positive relationship was also established between financial practice and annual turnover. This study recommends that stakeholders, for instance, government agencies and banks should organise financial education programmes that invest in improving financial practices of small and medium enterprises. It is also recommended that small and medium enterprises pursue short courses in basic accounting to improve their knowledge base.

Small, Medium and Micro Enterprises (SMMEs) are considered as economic engines for many countries. In South Africa, the Small, Micro and Medium Enterprises (SMMEs) sector has been acknowledged as the driving force to foster economic growth and job creations. This paper aimed at examining how relationship marketing, green marketing and innovative marketing influence the business performance of Small, Medium and Micro Enterprises (SMMEs) in Southern Gauteng, South Africa. The study utilized a quantitative research paradigm. A structured questionnaire consisting of validated scales for relationship marketing, green marketing, innovative marketing and business performance was administered to a sample of 231 SMMEs managerial employees in the Southern Gauteng region of South Africa. Smart PLS was used to analyze the data and the results indicated that there are positive relationships between the posited research variables. Implications of the findings are discussed and limitations and future research directions are alluded to.

The capability of using Information Technologies (IT) based resources for improving business processes and enhancing the firm economic performance has long been investigated in large firms. Nevertheless, with the decreasing costs of IT solutions, also Small and Medium Enterprises (SMEs) may be able to accumulate and assimilate IT-based resources in order to increase their economic performance. This study applies two conceptual approaches (resource-based view and contingency-based view) to assess the strategic value of IT-based resources in SMEs. Fourteen hypotheses related to these approaches are developed and tested based on survey data collection from the CIOs of 373 SMEs to understand more clearly the entire process from the adoption of IT-based resources to the achievement of higher economic performance, through the development of IT-based capabilities. The influence of internal and environmental factors, and the features of the business environment where SMEs operate are investigated. Results indicate that the resource-based view and the contingency-based approaches provide complementary understanding of the strategic value of IT in SMEs, making five main contributions. First, SMEs that operate under particular environmental (low turbulence and high complexity) and internal conditions (where the IT managerial capabilities are developed) are more likely to adopt earlier IT solutions. Second, SMEs are more likely to develop IT-based capabilities that are internally oriented, rather than the externally oriented. Third, internally oriented IT-based capabilities are developed independently by the environmental conditions where the SME operates, while the externally oriented are developed not uniformly among industry types. Fourth, the features of the business environment in which SMEs operate influence the IT-based resources adopted and the IT-based capabilities developed. Finally, given industry-level differences in competitive environments, the value appropriation of capabilities that firms developed using IT depends on industry type, with SMEs operate in turbulent environments exhibiting lower profit returns, while in munificent environments exhibiting lower or higher profit returns according to the IT-based capability considered

This study aims to determine the Determinants of the Performance of Small and Medium Enterprises (SMEs) in Barru Regency. The method used in this study is a quantitative approach and the type of research conducted is survey research. The population used is Small and Medium Enterprises in the manufacturing industry sector in Barru Regency, which is 1672 business units. The number of samples is 94 small and medium enterprises. The data sources used are primary data and secondary data. Analysis of the data used is multiple linear regression analysis. The results of this study indicate that the aspects of finance, environment, marketing, human resources, entrepreneurial ability and economic aspects have a positive and significant effect on the performance of small and medium enterprises in Barru Regency. The greater the equity, loan capital, the level of profits and capital accumulation, the greater the performance of small and medium enterprises. The better the technology and quality control, the availability of business places, government policies, seasons and infrastructure, the better the performance of small and medium enterprises. The more market demand, the better competing pricing, promotion, distribution channels and marketing areas, the better the performance of small and medium enterprises. The better the level of formal education, leadership, experience in business and the amount of motivation and skills in the performance of small and medium enterprises. The greater the desire for achievement, personal responsibility, management ability and innovation ability, the better the performance of small and medium enterprises. the higher the level of income of the community, the availability of jobs, a business climate and good investment and the better the economic growth, the better the performance of small and medium enterprises.

Achieving inclusive outcomes through innovation is such that small, micro and medium enterprises (SMMEs) can no longer be ignored. This study aims to investigate the determinants of innovation activities among SMMEs in a developing country context using evidence from South Africa. Using the binary logistic regression model, this paper analysed a dataset of 643 SMMEs located across eight district municipalities in South Africa. The study findings revealed that there are dynamic innovation activities occurring among SMMEs located in rural and/or informal settings, focusing on making incremental changes to production and delivery processes adopted from elsewhere. The study identified several factors that hinder or enhance innovation activities among SMMEs, revealing that the factors associated with innovation activities vary depending on the nature of the innovation activity. Empirical insights from this study could better inform strategies used by policy makers to promote innovation that strengthen the competitiveness of SMMEs and innovation that is socially inclusive.

Research aims: The purpose of this study was to determine the credit distribution level used as working capital assistance for Micro, Small, and Medium Enterprises (MSMEs) during the COVID-19 pandemic.Design/Methodology/Approach: This study used a sample of 8 cities/regencies in East Java. Meanwhile, the Micro, Small, and Medium Enterprises (MSMEs) credit recipients were the population of the sample areas. This research's analysis model was panel data regression (generalized least square) by considering the emergence of heteroscedasticity in cross-section data between regional objects. The control variables outside the COVID-19 were the BI rate, third-party funds (TPF), and inflation.Research findings: This study’s results showed that the COVID-19 pandemic had a significant negative impact only on medium-sized business loans, while micro and small business loans are more resilient. Besides, Micro, Small, and Medium Enterprises (MSMEs) credit was significantly positively influenced by TPF; inflation did not affect credit; the BI rate only negatively affected medium-sized business credit.Theoretical contribution/Originality: Studies on Micro, Small, and Medium Enterprises (MSMEs) credit-related to economic phenomena and monetary policy have been widely carried out. However, the catastrophic virus that causes long-term economic uncertainty and impacts banks and Micro, Small, and Medium Enterprises (MSMEs) still requires in-depth study. Also, this study employed the GLS model that considers heteroscedasticity, which is still rarely used in previous studies.Practitioner/Policy implication: This research can be essential information for the Indonesian Financial Services Authority (Otoritas Jasa Keuangan or OJK) and Bank Indonesia (BI) in policymaking, both regulatory aspects and bank liquidity provision, in stimulating Micro, Small, and Medium Enterprises (MSMEs) credit, especially in the COVID-19 pandemic era.Research limitation/implication: The impact of COVID-19 on Micro, Small, and Medium Enterprises (MSMEs) loans is still classified based on micro, small and medium. It is still not grouped based on the Micro, Small, and Medium Enterprises (MSMEs) business sector in various cities and regencies in East Java. The analysis has not been clustered based on the spatial concentration of the Micro, Small, and Medium Enterprises (MSMEs) recipient areas.

This study investigated the impact of the usage of debt on the profitability of small and medium enterprises (SMEs) in the manufacturing sector in the Buffalo City Municipality of the Eastern Cape Province of South Africa. To achieve this objective, the research hypothesized that the usage of debt has a negative impact on the profitability of SMEs. The research further hypothesized that SMEs have a difficulty in accessing debt finance from commercial banks. The study is important because SMEs, despite their contributions to the South African economy, have not been given due attention as research on corporate finance has been biased towards large firms. The results indicated that the usage of debt has a significantly negative impact on the profitability of SMEs. The results also indicated that SMEs have difficulties accessing debt from commercial banks. Lastly, the study recommended some measures that are expected to improve the accessibility to debt and reduce the cost of debt to SMEs. These measures among others include reduction in interest rates, awareness programmes by the banks, more bank competition (specifically commercial banks that are focused on lending to SMEs) and training of the owners of SMEs in the areas of writing business plans. Key words: SMEs, debt, profitability, accessibility.

This article reviews employee HIV and AIDS-related corporate social responsibility (CSR) practices by small business in Zimbabwe and South Africa. The article aims to present a comparative snapshot of how SMMEs are responding to the epidemic as a basis for developing a CSR framework that could be implemented by SMMEs in both countries. The article applies an exploratory literature review methodology to extract data from secondary sources. Research findings show that HIV and AIDS-related CSR in Zimbabwe appear disengaged from the direct influence of corporate business, the opposite of what South African SMMEs experience. In South Africa, SMME CSR practices experience pressure from large firms. However, differences in economic status between the two countries show no effect on the CSR behaviors of SMMEs in both countries when compared with each other. In both countries, findings reveal that SMMEs hardly establish HIV and AIDS policies and therefore rely on informal CSR practices to assist employees to deal with the pandemic in the workplace. Thus, the article submits that while HIV and AIDS practices are not formalized in both countries, SMMEs fulfil their epidemic-related CSR obligations towards employees’ corresponding with their smallness. In conclusion, the study recommends an empirical examination of the research question to establish a grounded recommendation for the development of a SMMEs CSR framework that could be implemented by SMMEs in both countries.

Background: South Africa is witnessing a growth in small and medium enterprises (SMEs). Given this rise in SMEs, there is a need to pay attention to those factors that influence how these enterprises perform. Aim: The purpose of the study was to investigate the effects of knowledge management (KM) on innovation capabilities (IC) in SMEs with a special focus on Buffalo City Metropolitan Municipality. Setting: This study is the first to investigate the effects of KM on IC in SMEs operating in South Africa. Given the scarcity of studies on KM in SMEs in the sub-Saharan region, this study contributes to the literature on the effects of KM on IC. Method: A quantitative research approach was followed in carrying out this study. Descriptive and inferential statistics were performed to answer the research questions and test the hypotheses of the study. The respondents ( n = 280) were SME representatives operating in the Buffalo City Metropolitan Municipality. Results: Knowledge management is found to exert a positive effect on SMEs’ IC. Conclusion: Findings from the study can assist various practitioners, directly or indirectly involved with development of business, to develop strategies that improve SMEs’ growth and sustainability. These practitioners include strategic management researchers, policymakers, SME owners and managers and lecturers.