Inculcating ethics in small and mediumsized business enterprises: A South African leadership perspective

Abstract

This research provides much needed insight into the management of ethics by leaders of small and medium-sized business enterprises in the South African context. Utilising a quantitative methodological approach, the research analyses the unique ethical risks faced by leaders of small and medium-sized businesses and explores how these leaders attempt to mitigate such risks through embedding their personal values within the organisation, using systems and operational mechanisms to assist them in this regard.

Perspectives on business ethics in South African small and medium enterprises

“…Generally, SMEs experience pressure to survive (Fernández & Camacho, 2016;Robinson & Jonker, 2017) and this pressure is likely to escalate significantly during crises, such as the Covid-19 pandemic and subsequent lockdown. The South African SME Finance Association (SASFA) estimates that 75% of SMEs could close due to the trade restrictions imposed during the nationwide lockdown, and the lack of government financial support for certain categories of SMEs, such as non-black lenders (Dlamini, 2020).…”

“…Globally, small and medium enterprises (SMEs) are recognised as significant players in both developing and developed economies. Collectively, they contribute significantly to the gross domestic product (GDP), employment and economic growth (Painter-Morland & Spence, 2009;Robinson & Jonker, 2017).…”

“…However, the general and global trend is that research in this field favours large organisations. Many scholars have highlighted this gap and have called for further research on business ethics in the context of SMEs (Fassin et al, 2011;Painter-Morland & Spence, 2009;Robinson & Jonker, 2017).…”

“…Following the work of Vivier (2013), Painter-Morland and Dobie (2009), Painter-Morland and Spence (2009), and Robinson and Jonker (2017), this article aims to advance the understanding of business ethics in SMEs in South Africa. The aim of this article is, therefore, to determine how South African SMEs conceptualise business ethics in practical terms.…”

Strategies to Prevent and Detect Occupational Fraud in Small Retail Businesses

“…The training for P4 and P6 equip these individuals with knowledge that can be shared with employees or utilized to create relatable training material. Robinson and Jonker (2017) explained that training assists employees when facing ethical dilemmas.…”