Sustainable development in this contemporary world has been of much concern, with the occurrence noticed in entire aspects of human endeavour. To determine the magnitude through which the competence of entrepreneurs can influence sustainable economic development, the competence of SMME managers and operatives was evaluated in the eThekwini Municipal Area of KwaZulu-Natal, to ascertain how well they can make use of the resources available adeptly to certify their businesses impact sustainable development positively. Based on the context of knowledge management and human behaviour concepts, the research design implemented for this study is descriptive and quantitative. A probability sampling design was applied to afford SMMEs in eThekwini Municipality the equivalent opportunity of selection, with data accumulated from 229 SMMEs, selected via simple random sampling and a structured questionnaire. In addition to descriptive and inferential statistics, measures of central tendency and dispersion were employed to present the collected data with a wider range of assessments. In the aspect of inferential statistics, T-tests and analyses of variance (ANOVA) were applied to evaluate elicited information to validate results from the observed data. The significant discoveries of this study were that the entrepreneurs referred to knowledge, skills, value judgments, and behavioural characteristics, along with social networks as decisive components in operating a thriving enterprise, regardless of size. The alarming issue that has become obvious from the response of the participants was that entrepreneurs were incapable of spotting business opportunities around them. Nevertheless, some entrepreneurs care for their environments through their operations, providing jobs to the needy to reduce the rate of joblessness, and poverty, and contribute to the growth of other community programs.
Cite this paper
Ogunsola, S. A. , Potwana, N. and Chikosha, F. (2023). Managerial Competence Impact of Small, Medium and Micro Entrepreneurs on Sustainable Economic Development in eThekwini Municipal Area. Open Access Library Journal, 10, e354. doi: http://dx.doi.org/10.4236/oalib.1110354.
Worku, Z. (2016) Barriers to the Growth of Small, Micro and Medium-Sized Business Enterprises in the Vaal Triangle Region of South Africa. African Journal of Science, Technology, Innovation and Development, 8, 134-141.
https://doi.org/10.1080/20421338.2015.1128135
Mulder, K.F., Segalas, J. and Ferrer-Balas, D. (2012) How to Educate Engineers for/in Sustainable Development: Ten Years of Discussion, Remaining Challenges. International Journal of Sustainability in Higher Education, 13, 211-218.
https://doi.org/10.1108/14676371211242535
Cole, M.J., Bailey, R.M. and New, M.G. (2014) Tracking Sustainable Development with a National Barometer for South Africa Using a Downscaled “Safe and Just Space” Framework. Proceedings of the National Academy of Sciences of the United States of America, 111, E4399-E4408. https://doi.org/10.1073/pnas.1400985111
Burns, J.K. (2015) Poverty, Inequality and a Political Economy of Mental Health. Epidemiology and Psychiatric Sciences, 24, 107-113.
https://doi.org/10.1017/S2045796015000086
Omotayo, F.O. (2015) Knowledge Management as an Important Tool in Organizational Management: Review of Literature. Library Philosophy and Practice (e-Journal).
Rapatsa, M. (2016) Poverty: A Socio-Economic Threat to Sustainable Development as Envisioned by South Africa’s Transformative Regime. EuroEconomica, 34, 41-48.
Nhlumayo, S.P. (2017) The Impact of Government-Driven Initiatives for the Success of Small Medium Enterprises (SMES) in KwaZulu-Natal, South Africa. Master’s Thesis, University of KwaZulu-Natal, KwaZulu-Natal.
Patro, C.S. (2012) Employee Welfare Activities in Private Sector and Their Impact on Quality of Work Life. International Journal of Productivity Management and Assessment Technology, 1, 19-30. https://doi.org/10.4018/ijpmat.2012040102
Odeku, O.F. and Odeku, K.O. (2014) Pursuit of the Employees’ Welfare in the Workplace: Issues in Perspectives. Mediterranean Journal of Social Science, 5, 652-660. https://doi.org/10.5901/mjss.2014.v5n15p652
Krajcovicova, K., Caganova, D. and Cambal, N. (2012) Key Managerial Competencies and Competency Models in Industrial Enterprises. Annals of DAAAM for 2012 & Proceedings of the 23rd International DAAAM Symposium, 23, 1119-1122.
https://doi.org/10.2507/23rd.daaam.proceedings.261
Ismail, M.D., Domil, A.K. and Isa, A.M. (2014) Managerial Competence Relationship Quality and Competitive Advantage among SME Exporters. Procedia—Social and Behavioral Sciences, 115, 138-146. https://doi.org/10.1016/j.sbspro.2014.02.422
Khalid, S. and Bhatti, K. (2015) Entrepreneurial Competence in Managing Partnerships and Partnership Knowledge Exchange: Impact on Performance Difference in Export Expansion Stages. Journal of the World Business, 50, 598-608.
https://doi.org/10.1016/j.jwb.2015.01.002
Peng, Y., Guosheng, C. and Yancai, R. (2011) The Research on the Assessment on Sustainable Development of County Economy. Energy Procedia, 5, 921-925.
https://doi.org/10.1016/j.egypro.2011.03.163
Aremu, M.A. and Adeyemi, S.L. (2011) Small and Medium Scale Enterprises as a Survival Strategy for Employment Generation in Nigeria. Journal of Sustainable Development, 4, 200-206. https://doi.org/10.5539/jsd.v4n1p200
Onyeka, A.C., Nlebedim, V.U. and Izunobi, C.H. (2013) Estimation of Population Ratio in Simple Random Sampling Using Variable Transformation. Global Journal of Science Frontier Research Mathematics and Decision Sciences, 13, 57-65.
Chiliya, N. and Chikandiwa, C.K. (2011) Factor Affecting Small Micro Medium Enterprises’ (SMMEs) Adoption of E-Commerce in the Eastern Cape Province of South Africa. International Journal of Business and Management, 6, 28-36.
https://doi.org/10.5539/ijbm.v6n10p28
Oppong, M., Owiredu, A. and Churchill, R.Q. (2014) Micro and Small-Scale Enterprise Development in Ghana. European Journal of Accounting Auditing and Finance Research, 2, 84-97.
Starcek, S. and Trunk, A. (2013) The Meaning and the Concept of Financial Education in the Society of Economic Changes. Active Citizenship by Knowledge Management & Innovation: Proceedings of the Management, Knowledge and Learning International Conference 2013, Zadar, 19-21 June 2013, 1443-1452.
Bernard, S., Kritzinger, B. and Kruger, J. (2011) Location Decision Strategies for Improving SMME Business Performance. Acta Commercii, 11, a156.
https://doi.org/10.4102/ac.v11i1.156
Gilbert, G. and Sutherland, M. (2013) The Paradox of Managing Autonomy and Control: An Exploratory Study. South African Journal of Business Management, 44, a144. https://doi.org/10.4102/sajbm.v44i1.144
Garrigos-Simon, F.J., Alcami, R.L. and Ribera, T.B. (2012) Social Networks and Web 3.0: Their Impact on the Management and Marketing of Organizations. Management Decisions, 50, 1880-1890. https://doi.org/10.1108/00251741211279657
Neves, S.M., da Silva, C.E., Salomon, V.A.P., da Silva, A. and Sotomonte, B.E.P. (2014) Risk Management in Software Projects through Knowledge Management Techniques: Cases in Brazilian Incubated Technology-Based Firms. International Journal of Project Management, 32, 125-138.
https://doi.org/10.1016/j.ijproman.2013.02.007
Cavico, F.J., Orta, M., Muffler, S.C. and Mujtaba, B.G. (2014) Business Plans as Legally Protected Trade Secrets under the Uniform Trade Secrets Act. Journal of Business Studies Quarterly, 6, 42-66.
Al-Hawamdeh, S. (2002) Knowledge Management: Re-Thinking Information Management and Facing the Challenge of Managing Tacit Knowledge. Information research, 8, 1-21.
Morikawa, R. (2014) Remote Sensing Tools for Evaluating Poverty Alleviation Projects: A Case Study in Tanzania. Procedia Engineering, 78, 178-187.
https://doi.org/10.1016/j.proeng.2014.07.055
Mandipaka, F. (2014) An Investigation of the Challenges Faced by Women Entrepreneurs in Developing Countries: A Case of King Williams’ Town, South Africa. Mediterranean Journal of Social Sciences, 5, 1187-1193.
https://doi.org/10.5901/mjss.2014.v5n27p1187
IOL (2014) Importance of SMMEs is Big Business for Country.
https://www.iol.co.za/business-report/opinion/importance-of-smmes-is-big-business-for-country-1768670
Yalegama, S., Chileshe, N. and Ma, T. (2016) Critical Success Factors for Community-Driven Development Projects: A Sri Lankan Community Perspective. International Journal of Project Management, 34, 643-659.
https://doi.org/10.1016/j.ijproman.2016.02.006
Brijlal, P., Naicker, V. and Peters, R. (2013) Education and SMME Business Growth: A Gender Perspective from South Africa. International Business and Economic Research Journal, 12, 855-866. https://doi.org/10.19030/iber.v12i8.7983
Mbonyane, B. and Ladzani, W. (2011) Factors That Hinder the Growth of Small Businesses in South African Townships. European Business Review, 23, 550-560.
https://doi.org/10.1108/09555341111175390
Palaniappan, M., Glick, P.H., Allen, L., Cohen, M.J., Christian-Smith, J. and Smith, C. (2010) Clearing the Waters: A Focus on Water Quality Solutions. Pacific Institute, Oakland.
Chimucheka, T. (2013) Overview and Performance of SMMEs Sectors in South Africa. Mediterranean Journal of Social Science, 4, 783-795.
https://doi.org/10.5901/mjss.2013.v4n14p783
Wasdani, K.P. and Mathew, M. (2014) Potential for Opportunity Recognition along the Stages of Entrepreneurship. Journal of Global Entrepreneurship Research, 4, Article No. 7. https://doi.org/10.1186/2251-7316-2-7
Chea, A.C. (2008) Entrepreneurial Venture Creation: The Application of Pattern Identification Theory to the Entrepreneurial Opportunity-Identification Process. International Journal of Business and Management, 13, 37-53.
https://doi.org/10.5539/ijbm.v3n2p37
Tieguhong, J.C., Grouwels, S., Ndoye, O., Mala, A.W., Sakam, I.F., Useni, M. and Betti, J.L. (2012) Financial Status of Small and Medium Scale Enterprises Based on Non-Wood Forest Products (NWFP) in Central Africa. Forest Policy and Economics, 20, 112-119. https://doi.org/10.1016/j.forpol.2012.01.009
Eresia-Eke, C.E. and Raath, C. (2013) SMME Owners’ Financial Literacy and Business Growth. Mediterranean Journal of Social Science, 13, 397-406.
https://doi.org/10.5901/mjss.2013.v4n13p397
Zhdanov, A.V., Zhuchkov, V.I. and Dashhevskiy, V.Y. (2013) Method of Complex Estimation of Manganese Raw Materials. The thirteenth International Ferroalloys Congress, 9-13 June 2013, Almaty, Kazakhstan, 631-636.