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South Africa - Constraints to Growth and Employment : Evidence of the Small, Medium and Micro Enterprise Firm Survey

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World Bank (WB)

Abstract: This report identifies several themes that cover both macroeconomic constraints as well as structural factors affecting small, medium, and micro enterprises (SMME) in South Africa. After the introduction, Chapter 2 continues to discuss firm demographics for the 800 SMME firms surveyed. Characteristics such as age, race, size, and legal status of the firm are presented along with a brief description of the entrepreneurs' motivations for starting their SMME. Chapter 3 provides information on the degree to which firms in this survey have been expanding or contracting employment and investment levels, followed by a discussion of factors limiting further expansion. This section of the report also contains ratings indicating the policies SMME firms would like local and national governments to implement or improve. The remaining chapters contain more detailed analyses of each of the main constraints identified. Chapter 4 discusses the skills shortage as well as the degree to which SMME firms are hindered by inflexible labor arrangements. Chapter 5 analyzes the capital constraints, but with regard to access and cost. Chapter 6 illustrates the insufficient progress made by government promotion and procurement programs. Chapter 7 discusses the business environment within which SMME firms must operate, paying particular attention to location ratings and crime. Finally Chapter 8 evaluates the extent to which the SMME tier is linked to the international economy.
Type: Economic & Sector Work :: Pre-2003 Economic or Sector Report
Economic & Sector Work
Link: http://hdl.handle.net/10986/15414
Subject: GROWTH-REDUCING POLICIES
GROWTH PATTERNS
SMALL & MEDIUM SCALE ENTERPRISES
MICROENTERPRISES
DEMOGRAPHY
AGE & EMPLOYMENT
RACIAL POLICY
ENTREPRENEURSHIP
LEGAL STATUS
EMPLOYMENT POLICIES
EMPLOYMENT CREATION
GOVERNMENT ROLE
SKILLED WORKERS
RECRUITMENT
LABOR RELATIONS
LABOR REGULATIONS
LABOR MARKET POLICY
CAPITAL FLOWS
BANK BORROWING
ACCESS TO CAPITAL MARKETS
ACCESS TO CREDIT
INTEREST RATES
GOVERNMENT PROGRAMS
PROCUREMENT
LICENCING
TAX CUTS
BUSINESS LOCATION
SUBCONTRACTING
INTERNATIONAL TRADE
FIRM SIZE
BUSINESS ENVIRONMENT ACCOUNTING
AGGREGATE DEMAND
BUSINESS ENTERPRISES
BUSINESS ENVIRONMENT
CAPITAL FORMATION
CAPITAL MARKETS
COMPETITORS
COST OF CAPITAL
COST SAVINGS
CPI
CRIME
DECENTRALIZATION
DEMOGRAPHICS
ECONOMIC ANALYSIS
ECONOMIC DEVELOPMENT
ECONOMIC GROWTH
ECONOMIC POLICIES
EMPLOYMENT
ENTREPRENEURS
ENTREPRENEURSHIP
EXCHANGE RATE
EXPANSION
EXPENDITURES
FIRM SIZE
FIRMS
FISCAL DEFICITS
FISCAL YEAR
FIXED COSTS
FOREIGN EXCHANGE
HOUSING
INFLATION
INNOVATION
INTEREST RATES
INTERVENTION
JOB CREATION
JOB LOSSES
LABOR MARKETS
LENDING RATES
LICENSING
LOCAL AUTHORITIES
LOCAL GOVERNMENT
LOCAL GOVERNMENTS
MACROECONOMIC STABILITY
MACROECONOMICS
METALS
METROPOLITAN AREAS
MICROECONOMICS
MONETARY POLICIES
MOTIVATION
NEW ENTRANTS
PARTNERSHIP
POLICY INSTRUMENTS
POLICY MAKERS
PRIVATE SAVINGS
PRIVATE SECTOR
QUALITY STANDARDS
RETAINED EARNINGS
SAFETY
SMALL FIRMS
TAX RATES
TRANSPORT
UNEMPLOYMENT
URBAN ECONOMY
URBANIZATION
VICTIMS
WAGES
WATER SUPPLY
WORKERS
WORKING CAPITAL




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