Small Medium Scale Enterprises Research Articles

Social Media Advertising for Small-Medium Scale Enterprises in Kumasi, Ghana

This study focuses on social media advertising as one of the modes of communication which could be used to promote products and services. The present research sought to find out the extent to which social media advertising is making an impact on SMEs in the Kumasi Metropolis. A qualitative research approach with emphasis on case study as a research design was employed. Data was collected from 17 respondents in the form of face to face interviews from artisans working in a range of small medium scale enterprises within the Kumasi Metropolis, specifically in the Bomso, Anloga Junction and Afful Nkwanta catchment areas. Two major themes emerged from the findings: “social media for business promotion” and “perceptions of artisans on social media”. The findings suggest that there is the need for an intensive education on the use and importance of social media advertising for business purposes and the perceptions of the artisans about social media advertising could be explored for future research with regard to policy and practice.

The Influence of Entrepreneurial Ecosystem on SMEs Industry in Malaysia

The rise of Small Medium Enterprise (SMEs) businesses leads to the dynamic and competitive environment. To excel in the market, companies have spent a substantial amount of money, time and resources by designing right strategies to sustain. However, this SMEs businesses faces few challenges such as small capital investment, short of talent, limited access to infrastructure and support mechanism. Despite the government’s several institutional and policy support for enhancing the capacity of this Small Medium scale enterprises, the results have fallen short of expectations. Given the increased demand for Small Medium Enterprise’s products, creating a viable entrepreneurial ecosystem model for SMEs in Malaysia is critical. This is because the entrepreneurial ecosystem is a system of interrelated components that influence the speed and ability with which entrepreneurs, particularly SMEs can create and scale new ventures in a sustainable manner. As a result, this study seeks (1) to analyse the demographic profile of Malaysian small and medium enterprise and (2), determine the extent at which entrepreneurial ecosystem affect the Small Medium Enterprise in Malaysia. This study is important to investors, the ministry, the government, academics and even business owners because it provides a comprehensive model for understanding the SMEs entrepreneurial processes and how ecosystems emerge, change and influence entrepreneurship activities.

Effect of Diaspora Remittances on Small Medium Scale Enterprises (SMEs) in Nigeria

Diaspora remittance flows to Nigeria have been increasing over time. However, the effect of this increase on theperformanceof SMEs has not been adequately studied. Many researchers have contended that if diaspora remittances are well invested, they could contribute immensely to bridging the SMEs financing gap of N617. 3 billionannually. Thus, this study uses time series data on Nigeria from the World Bank’s World Indicators Database for a period to examine the effect of diaspora remittances on SMEs. The study employs robust ordinary least squares (ROLS) to handle issues of outliers. The results show that diaspora remittances have a positive and significant effect on SMEs' performance in all the examined models. Hence, due to their positive effect on theperformance of SMEs in Nigeria, the government should formulate policies to leverage the increase of diaspora remittances, which would provide an alternative window forfinancing SMEs.
 JEL Classification: C22, E51, F24, L29

Effect of Diaspora Remittances on Small Medium Scale Enterprises (SMEs) in Nigeria

Effect of Diaspora Remittances on Small Medium Scale Enterprises (SMEs) in Nigeria

Current Status and Factors Affecting Succession Planning of Small-Medium Scale Enterprises in Bono Ahafo Region of Ghana

Small and Medium Enterprises (SMEs) play an essential role in the national economic development of any country. However, SMEs face one major challenge, which is the lack or inefficiency/ineffectiveness of succession planning. Therefore, this quantitative correlational study sought to investigate the Current status and factors affecting succession planning of Small and Medium Enterprises (SMEs) in the BrongAhafo Regions. The study used a quantitative correlational research design to achieve the research purpose. Data were collected from 140 respondents involved in SMEs from nine Municipal and District Assemblies from the BrongAhafo Region of Ghana. The result revealed that most SMEs in the BrongAhafo region (70%) had experienced succession planning, and they have a policy that guides them on succession planning practices. The study’s findings further established that 60% of the management of SMEs in the region has shown commitment to succession planning, and 50% of them involved their staff in succession planning decisions. It was also identified that 60% of SMEs in the BrongAhafo region identified and groomed potential employees for future leadership positions, and 58.7% of the successors were selected based on merits, almost 50% (49.3%) of the owners of the SMEs prefer their family members as business successors. The results also indicated that five (5) component factors were obtained from the twenty variables presented to the respondents.Further analysis reduced the components into three (3), namely, internal, external, and successor’s factors. A reliability test was run on these latent variables. The result showed reliability factors of 0.854, 0.798, and 0.862, respectively, implying that the three variables satisfy the essential requirement of a Cronbach alpha measure more than 0.7 with high internal consistency in the variables.The study recommends that much emphasis should be put on internal organizational improvement through coaching, mentoring, and empowering of employees by the current leadership to improve on the relationship among organizational members. If the internal factors are well managed by management as recommended, it will reduce the adverse effects of external factors that may affect succession planning.

DYEING OF COTTON FABRIC WITH NATURAL DYE FROM CUDRANIA JAVANENSIS USING SOKA LEAVES EXTRACT AS BIOMORDANT

Tegeran wood (Cudrania javanensis) has been used for dyeing process of batik in Indonesian textile small medium scale enterprise. This wood gave soga color when it was mixed with others natural dye. This study was aim to evaluate the caharacteristic, fastness properties, and strength color of dyed cotton fabrics using C. javanensis with bio-mordant soka leaves extract. Extraction of C. javanensis was carried out using water. The post mordant process was carried out by applying alum (KAl(SO 4 ) 2 •12H 2 O) solution and soka leaves extract on cotton fabrics with the concentration of 0.5 and 1% b/v. Characteristic of dyed cotton fabrics then was evaluated using Fourier-Transform Infrared (F-TIR) Spectroscopy. The results exhibited that, binding between tegeran wood on cotton using mordant alum and soka leaves extract was similar.The fastness properties both dyed cottons toward light and washing at 40oC exhibited poor and very poor values with values of 1-2 and 1. The dry and wet rubbing of dyed cotton using soka leaves extract mordant better than using alum. The soka leaves extract gave yellow and brightness color on cotton.The results suggested that soka leaves extract can be used as mordant substitute the alum mordant and apllied with others natural dyes.

Impact of Strategic and Tactical Green Marketing Orientation on SMEs Performance

The objective of this paper is to examine the impact of tactical green marketing orientation (TGMO) and strategic green marketing orientation (SGMO) on small & medium scale enterprises (SMEs) performance and environmental performance. This study uses data from owners/managers from different Industry Associations and clusters in the SMEs domain in South India and uses a two-step approach for data analysis. In the first step, a measurement model was used to assess the validity and reliability of the measures, and then in the second step structural model was used to test the proposed hypotheses. The results indicate that tactical green marketing orientation impacts firm performance. To author’s knowledge, this paper is unique in the terms of finding impacts of TGMO and SGMO on firm performance and environmental performance.

Knowledge Sharing as the Basis of Learning in Innovation Pattern in Small and Medium Scale Enterprises (SMEs)

<p><strong></strong>The study discusses process and implementation of knowledge sharing as the basis of learning in the innovation process that is undertaken in small and medium scale enterprises/SMEs with the contextual overview on the West Sumatran SMEs in Indonesia. As the context of the study, a specific SME in West Sumatra was taken as the case study. The study is an empirical-exploratory research where the qualitative method in terms of descriptive analysis was used as the main research approach. It also uses content analysis from the result of an in-depth interview as its main data analysis. A case study approach is used to collect data and information from the informants of the study. It can be inferred from the study that knowledge sharing has allowed an equal dissemination of information between people in the organisation of SME. Employees and owners spread information, knowledge as well as experience equally one to each other and this has led to the creation of a conducive environment in which learning processes can be smoothly undertaken. Such learning processes directly ease the innovation processes that is schemed and undertaken by the SME.</p><em><strong>Bahasa Indonesia Abstrak:</strong></em> <em>Artikel ini membahas proses dan implementasi knowledge sharing sebagai sebuah dasar bagi pembelajaran dalam proses inovasi yang dterjadi pada usaha kecil dan menengah/UKM dengan konteks pada UKM di Provinsi Sumatera Barat, Indonesia. Sebagai bagian dari konteks, maka dilakukan pemilihan UKM spesif</em><em>i</em><em>k yang dijadikan sebagai studi kasus. Studi ini merupakan penelitian empiris-exploratory yang menggunakan metode kualitatif dalam bentuk analisa deskriptif. Studi ini juga menggunakan analisa konten sebagai hasil dari in-depth interview untuk menganalisis data yang telah berhasil dikumpulkan. Pendekatan studi kasus digunakan untuk mengumpulkan data dan informasi dari informan penelitian. Studi ini menyimpulkan bahwa knowledge sharing akan memberikan dampak berupa adanya pembagian informasi yang merata antara sesama individu didalam UKM. Para karyawan dan pemilik UKM saling menyebarkan informasi, pengetahuan serta pengalaman secara merata pada sesamanya. Situasi ini lebih lanjut menciptakan lingkungan yang kondusif dimana proses pembelajaran dapat terlaksana dengan baik. Proses pembelajaran yang dilakukan tersebut secara langsung mempermudah proses inovasi yang direncanakan dan dilakukan oleh UKM. </em>

The Role of Multi Purpose Cooperative in Developing Economic Independence or SME�s

Cooperatives are seen as one of the important instrument to improve economic and social conditions of societies, to arouse the spirit of initiative and improving the general knowledge and technical skills of the society. On the present cooperatives members are business people of small medium scale enterprises (SMEs) which need a guidance or development. The purpose of this study is to describe the role of cooperatives in small medium scale enterprises (SMEs) development. The method used is descriptive qualitative. Data collection techniques used are observation, documentation and interview.The results of research showed that KSU Padurenan Jaya is a multi-purpose cooperatives that has five business units i.e. save loan, store, embroidery service, marketing, research and development. KSU Padurenan Jaya was instrumental in developing the small medium scale enterprises (SMEs) embroidery and convection consists of (1) aspects of the market, by following the events of the exhibition or expo, online marketing, providing material needs in the cooperative store, and create innovative products according to consumer taste. (2) the aspect of technology, by socialization and demonstration of the use technology of embroidery machines, embroidery design with computer programs, internet information technology for promoting and marketing product, And to optimize the use of the machine by provide services embroidery using advanced machine in cooperation so that can improve the productivity and efficiency of the business. (3) the aspect of the capital, by providing save loan service with simple procedures, mentoring to access other sources of financing.

Spatial Analysis of Macro Economic in Central Java (PDRB Analysis in Year 1993-2003)

This paper aims to study the spatial analysis macroeconomics condition in central Java from 1993-2001 base on PDRB analysis. Central Java stands in the last position in the economic in Central Java based on PDRB variable and economic growth is in the lowest category in the comparation with another provinces in Java. This is reason why Central Java is categorized as "LL" (Low low). One of the prime sectors in Central Java is small medium scale enterprises which is dominated 30% of national market, but since the economic crisis stroke in 1997 the manufacture sector, especially industry and processing had collapse. In 1996-1997, the level of manufacture growth increased to 14.4% but then decreased until minus 19.3%. This condition caused by bankruptcy to many of the industries. The poverty profile in Central Java from 1999-2003 is average 23.3% from the total population every years. Central Java stepping to number 2 in level of poverty absolute number 1. In poverty relativity level, Central Java became number 1 in Java from 2002-2003 with the level of poverty reached above the national average. This fact shows the unsuccessfully effort in reducing the poverty level.

Natural Dyes from Plants Extract and Its Applications in Indonesian Textile Small Medium Scale Enterprise

Textile industry is an industry that uses dye a lot. Most of the textile industry use synthetic dyes, mainly because it is easy to obtain, guaranteed availability, provide variety of colors and do not easily fading, but in terms of health and safety, waste of textile dyes is very dangerous because it contains heavy metals such as chromium (Cr), tin (Sn), copper (Cu) and zinc (Zn). These metals can be carcinogenic if it accumulates in the human body. On the other hand, the use of natural dyes from plants extracts has many advantages compared to synthetic dyes, such as safe for human’s health and environmental friendly. However there are several drawbacks of natural dyes such as not easily available in the market, not many color choices available and easily fade when compared to synthetic dyes. Therefore, this paper contains review the availability of natural dyes, their extraction and its application in Indonesian textile small scale enterprises.

Business Strategy and Leadership Style: Impact on Organizational Performance in the Manufacturing Sector of Ghana

This study sought to investigate the impact of leadership styles and business strategy on the organizational performance of small medium scale enterprises (SMEs) in the manufacturing sector of Ghana. This had become necessary due to the fact that available literature on the subject matter lacked precision in terms of the specific leadership style and strategy which could better be employed to improve performance in the chosen area of study. A field survey (by means of questionnaires) was conducted in Accra, involving 60 CEOs and senior managers drawn from 10 organizations, which were randomly sampled for the study. In addition, a time series data from 2008 to 2013 on sales, profits before tax and employment from the 10 organizations were collected to develop performance indices for the organizations. Regression and analysis of variance (ANOVA) were then run to examine the relationship between leadership, strategy and organizational performance. The study revealed that leadership and business strategy statistically and significantly impacted on organizational performance but strategy had greater influence. Again, transformational leadership style and cost leadership significantly influenced organizational behaviour (p = 0.000 < 0.01) but transactioanal leadership style, differentiation and focus strategies did not. The study recommends that SMEs should take advantage of transformational leadership style and cost leadership to enhance growth and induce greater organizational performance.

A Comparative Study of Issues Affecting ERP Implementation in Large Scale and Small Medium Scale Enterprises in India: A Pareto Approach

paper attempts to explore and identify issues affecting Enterprise Resource Planning (ERP) implementation in context to Indian Small and Medium Enterprises (SMEs) and large enterprises. Issues which are considered more important for large scale enterprises may not be of equal importance for a small and medium scale enterprise and hence replicating the implementation experience which holds for large organizations will not a wise approach on the part of the implementation vendors targeting small scale enterprises. This paper attempts to highlight those specific issues where a different approach needs to be adopted. Pareto analysis has been applied to identify the issues for Indian SMEs and Large scale enterprises as available from the published literature. Also by doing comparative analysis between the identified issues for Indian large enterprises and SMEs four issues are proved to be crucial for SMEs in India but not for large enterprises such as proper system implementation strategy, clearly defined scope of implementation procedure, proper project planning and minimal customization of the system selected for implementation, because of some limitations faced by the Indian SMEs compared to large enterprises.

Enhancing Local Designers Skill in Rattan Furniture Industries in Cirebon through Comprehensive-Design Approach Regarding Buyers’ Dependencies Prevention

Between the 1970s and the 1990s, the Indonesian economy has been transforming from an agriculture-based to an industry-based economy. According to this condition, Cirebon growth rapidly to export rattan goods even this city has no resources in rattan. The lack of design quality, export regulation and global economic crisis become the main factor to affect the decrease of company’s income at recent. Despite the crisis, government is now trying to recover by inviting design expert to improve design skills and capacity building of entrepreneurs in particular small-medium scale enterprises. This study aims to define why Cirebon still lags behind in industrial competitiveness regarding rattan furniture design. The intervention program of design is conducted to seek out the craftsman’s ability and determined the kind of design competitiveness advantages according their nature of business.

DEFAULT RISK DAN PENJAMINAN KREDIT UKM

This paper asserts that the credit guarantee for the Usaha Kecil Menengah (UKM, Small-Medium Scale Enterprise) is a necessity to encourage the bank to allocate the credit. This allocation requires the identification of the default risk accompanying the credit allocation, after which, we can define the guarantee capacity of the Lembaga Penjaminan Kredit (LPK) and the risk sharing among the parties.Using the Merton method, the result shows the default risk of UKM is 0.7%. Next, we apply this value in the gearing ratio method to calculate the credit guarantee capacity, 142 times of the equity owned by the LPK. On practice, this large capacity should be rationalized to maintain the sustainability of the LPK it self.We analyze five different credit-guarantee schemes based on the involvement of different institutions. The best scheme for a certain region should consider the fund availability and the quality of human resources on the corresponding region.JEL: D81, E51, H81Keyword: Credit guarantee, default risk, Small-Medium Scale Enterprise, UKM, Merton Method, gearing ratio method