Small Area Census Approach to Measure the Township Informal Economy in South Africa

Charman, Andrew; Petersen, Leif; Piper, Laurence; Liedeman, Rory; Legg, Teresa M.

doi:10.1177/1558689815572024

Cited by 43 publications

(31 citation statements)

References 37 publications

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“…These 3 predictor variables of the study were the ability to order goods and merchandise in bulk on credit, ability to raise a loan from money-lending institutions, and ability to network with wholesale suppliers and retailers, in decreasing order of strength. These findings are quite similar to similar findings that have been reported about start-up SMMEs in South African townships and cities by Fatoki (2014), Chimucheka (2014), Akos-Rona and Sagi (2015) and Charman, Petersen, Piper, Lindeman and Legg (2017). Ability to network with wholesale suppliers and retailers 1.06 0.000 (0.36, 1.68)…”

Section: Results Of Data Analysessupporting

confidence: 88%

“…About 81% of entrepreneurs were capable of selling goods at the right place to customers (Fourth P). Results reported in Table 2 are fairly similar to results reported by Charman, Petersen, Piper, Lindeman and Legg (2017). Table 4 shows frequency counts and percentages for factors that are taken into consideration for setting the selling price of discounted items by the 108 entrepreneurs who were selected for the study.…”

Section: Results Of Data Analysessupporting

confidence: 72%

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Uptake of Efficient Marketing Strategies among Footwear and Textile Entrepreneurs in Alexandra Township

Worku¹,

Muchie²

2018

JEBS

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One of the priority needs of Small, Micro and Medium-Sized Enterprises (SMMEs) that operate in Alexandra Township is to adopt effective marketing strategies that are recommended by Mooradian, Matzler and Ring (2012) and Kotler and Keller (2012), in which emphasis is placed on setting the right selling price of products, offering the right product, utilising the right promotion strategies for products, and rendering services to customers at the right place. Information needed for the survey was gathered from 108 operators of SMMEs in Alexandra Township. Ordered logit and Bayesian methods were used for estimating predictors of effective marketing. The study found that 63 of the 108 respondents who were selected for the study (58%) possessed adequate marketing skills and capabilities, whereas the remaining 45 respondents (42.23%) were incapable of marketing their goods and services effectively. Results obtained from logit and Bayesian analysis showed that 3 factors affected the ability to market goods and services effectively (access to credit facility for ordering stock, access to loan from money-lending institutions, and ability to network with wholesale suppliers and retailers).

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Section: Results Of Data Analysessupporting

confidence: 88%

Section: Results Of Data Analysessupporting

confidence: 72%

Uptake of Efficient Marketing Strategies among Footwear and Textile Entrepreneurs in Alexandra Township

Worku¹,

Muchie²

2018

JEBS

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“…The research utilised a mixture of qualitative and quantitative methods in a small-area census approach, described in Charman et al (2015). The data collection process entailed traversing every street, pathway and passage within a specific area, recording the spatial position and activity of each identified business, 3.The research was commissioned by the Sustainable Livelihoods Foundation.…”

Section: Research Methods and Analysismentioning

confidence: 99%

Micro-enterprise predicament in township economic development: Evidence from Ivory Park and Tembisa

Charman

2017

SAJEMS

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Background: In South Africa, the idea that the township economy needs to be ‘revitalised’ has begun to gain significant political traction. The Gauteng provincial government has responded to this challenge by setting out a strategy that promises to channel resources and create opportunities for micro-enterprises. The paper responds to development interventions such as this through interrogating the nature of the challenges facing micro-enterprises that need to be overcome in South African townships.Aim: In response to the developmental need to stimulate micro-enterprise growth in South African townships, the paper poses the question: what approaches are most likely to have a positive impact on township businesses, given current micro-enterprise dynamics?Setting: Primary research was undertaken in two neighbouring townships in Gauteng province, in Ivory Park and Tembisa.Methods: The data comprises a geospatial census of enterprise activities, a survey of select firms and qualitative interviews with business owners. The research utilised a small-area census approach to obtain data on business activities within an area of approximately 2km2 in each site. The census enumerated 2509 micro-enterprises in Ivory Park and 1722 micro-enterprises in Tembisa. Firm interviews were conducted with business owners in four sectors: grocery retail, liquor retail, hair care and early childhood development centres.Results: The business census identifies a strong similarity in the structure of the townships’ informal micro-entrepreneurship despite the considerable differences in the socio-economic status of the respective case sites. The enterprise survey highlights the resource constraints of township businesses and thinness of local markets. Interviews with entrepreneurs reveal four main pathways through which individuals enter into self-employment with the most dynamic enterprises established by inward investing entrepreneurs. Spatial considerations exert an influence on the position of enterprise sectors, whilst access to land and business infrastructure are notable constraints.Conclusion: Reflecting on the evidence, the paper concludes with making a call for a more low-geared development approach, focusing on lessening the legal, institutional and regulatory obstacles to enterprise growth as a first step. Municipalities have an important role in liberalising the spaces and places where township informal enterprises can and should be permitted to trade as well as creating a more favourable business environment. The challenges of crime and finance demand more purposeful action from the national government.

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“…The majority of retailers in South Africa are small (Charman et al, 2015), and would be unlikely to be using big data. The target population for the study was medium to large South Africa retailers, big data analytics vendors, and professional service companies in order to get three different perspectives on the usage of big data analytics in South African retail companies.…”

Section: Sample and Data Collectionmentioning

confidence: 99%

The use of big data analytics in the retail industries in South Africa

Ridge¹,

Johnston²,

O’Donovan³

2015

Afr. J. Bus. Manage.

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The majority of publications around big data analytics are centred on technical algorithms or systems development. While research has been conducted on the use of big data analytics there is an apparent lack of studies which focus on industry-specific usage in South Africa. The purpose of the study was to assess the usage of big data analytics in the retail industries in South Africa. The benefits of using big data analytics are not specific to a particular industry. Retailers, for example, can use big data analytics to gain new insights about their customers in order to inform decision making around pricing and marketing. The usage of big data analytics was assessed by collecting data from interviews with retailers, big data vendors and professional services. The main finding of the study was that South African retailers are not using big data analytics. Some retailers are, however, using big data analytic platforms to improve the speed of processing large amounts of structured data and to deliver information cost effectively. The findings show that South African retailers find it difficult to identify a use case to justify the investment required for using big data analytics.

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Small Area Census Approach to Measure the Township Informal Economy in South Africa

Cited by 43 publications

References 37 publications

Uptake of Efficient Marketing Strategies among Footwear and Textile Entrepreneurs in Alexandra Township

Uptake of Efficient Marketing Strategies among Footwear and Textile Entrepreneurs in Alexandra Township

Micro-enterprise predicament in township economic development: Evidence from Ivory Park and Tembisa

The use of big data analytics in the retail industries in South Africa

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