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The Role of Fourth Industrial Revolution on Small and Medium Size Enterprises in South Africa Paul Saah; Charles Mbohwa
International Journal of Entrepreneurship, Business, and Creative Economy Vol. 5 No. 1 (2025): January
Publisher : Research Synergy Foundation

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31098/ijebce.v5i1.2794

Abstract

The Fourth Industrial Revolution (4IR) offers both transformative opportunities and significant challenges for Small- and Medium-Sized Enterprises (SMEs) in South Africa. The purpose of this study is to examine how 4IR technologies, such as robotics, the Internet of Things, and artificial intelligence (AI), affect the development and performance of SMEs in South Africa. With the use of a quantitative research methodology, this study meticulously investigates the connection between business outcomes and SME adaptation to 4IR. Using a descriptive single cross-sectional design and a nonprobability convenience sample technique, 50 SME owners and managers from the Eastern Cape province of South Africa were chosen to represent the entire nation. Version 27.0 of the Statistical Package for the Social Sciences (SPSS) was used to assess the collected information. The findings reveal a significant positive association between perceived business growth and SME adoption of 4IR technologies. Most businesses experienced improved operational efficiency and competitiveness after just a year of adaptation. However, opinions on 4IR adoption are greatly influenced by the characteristics of small enterprises, including their industry and location. Small business enterprises in more developed industries and urbanized locations are more likely to use 4IR technologies than SMEs in traditional or rural sectors, where issues like low levels of digital literacy, inadequate digital infrastructure and restricted access to finance still exist. However, all SMEs in South Africa must ultimately have fair access to 4IR technologies to promote long-term sustainability, competitiveness, and socioeconomic growth in the global digital economy.
The Effect of Power Outages on Small- and Medium-sized Enterprises in South Africa Paul Saah; Charles Mbohwa
Logistic and Operation Management Research (LOMR) Vol. 3 No. 2 (2024): Logistic and Operation Management Research (LOMR)
Publisher : Research Synergy Press

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31098/lomr.v3i2.2775

Abstract

The frequent power outages in South Africa have had a detrimental impact on the nation’s economy overall and on small and medium-sized enterprises in particular. The goal of this study is to determine how load shedding affects small- and medium-sized enterprises (SMEs) in South Africa. The research design pinpoints practical ways to reduce the negative effects of power outages on these companies. This study adopts a quantitative research approach. Fifty SME owners and managers from the Mahikeng local municipality were selected to represent the entire country using a descriptive single cross-sectional design and a non-probability convenience sample technique. The Statistical Package for the Social Sciences (SPSS), Version 27.0, was used to evaluate the collected data. The findings of the study indicate that load shedding has caused significant operational problems for South African small enterprises since 2008. As a result, to maintain output, many companies have had to make adaptations, including establishing backup power solutions and moving to manual labor. SMEs continue to face significant challenges because of the high cost of backup systems, the increase in criminal activity during blackouts, and the requirement for open and positive customer relations, despite efforts to mitigate these consequences. The present study underscores the criticality of SMEs’ investments in crime prevention strategies and dependable backup power systems in Mafikeng and throughout South Africa to mitigate the adverse impacts of ongoing load shedding on commercial operations and economic stability. It is underlined that maintaining client confidence and ensuring continued business performance despite these challenges requires effective customer relationship management.