Factors such as increases in population, urbanization, growth in per capita income and changes in consumer taste and preferences are causing gradual increases in livestock product consumption and demand. South Africa is addressing this predicted increase in livestock products demand by commercializing smallholder livestock producers. The Limpopo Industrial Development Corporation (IDC) Nguni Cattle Development Project is an example of such effort. The economic performance of these efforts needs to be evaluated. We use gross margin analysis to evaluate the performance of the Limpopo IDC Nguni Cattle Development Project. Additionally, we use regression analysis to identify factors influencing gross margins. Our results indicate that although smallholders show potential to commercialize, they lack commercial farming experience and require that a strong extension support system be used as one of the strategies to improve profitability. We also noted that individual farmers were more profitable than group farmers. Multiple regression analysis shows that three variables could be used to stimulate gross margin among the Limpopo IDC Nguni Cattle Development Project farmers. These are herd size, distance to market and farm size. Since farm size is a given, policy should focus on assisting farmers to build their herds and to have better access to markets.

Tourism is used as a community development tool. It has been incorporated into national development plans. In South Africa, it is incorporated into local economic development (LED) plans. The LED strategy for the City of Mbombela Local Municipality includes the development of a tourism route in the former Umjindi Local Municipality. Through the application of the descriptive research design, we use the Likert scale to investigate perceptions of the community around the area where the tourism route is proposed. A sampling frame was developed by listing all the 224 households who live in the section of the road covered by the tourism route. From the 224 households in the sampling frame, a simple random sample of 89 households was drawn using the SPSS random number generator. A structured questionnaire was used to solicit the perceptions of respondents concerning the economic, socio-cultural, environmental and infrastructural attributes of the tourism route. Although they need to be interpreted directionally, most of the economic, socio-cultural and environmental attributes were significant. Of the infrastructure attributes electricity and water supply were significant. Generally, respondents had positive perceptions of the tourism route. Therefore, we strongly recommend the development of the tourism route with the caveat that sustainability issues need to be paid attention to.