Common causes of small businesses failure in the townships of West Rand district municipality in the Gauteng Province of South Africa
Author(s) -
Matshonisa Seeletse Solly
Publication year - 2012
Publication title -
african journal of business management
Language(s) - English
Resource type - Journals
ISSN - 1993-8233
DOI - 10.5897/ajbm12.342
Subject(s) - business failure , revenue , sustainability , business , small business , exploratory research , descriptive research , economic growth , marketing , finance , economics , sociology , social science , ecology , biology
The study examined the high failure rate of the small business in the West Rand region of the Gauteng Province, South Africa. The purpose was to investigate reasons for lack of sustainability of the small businesses of this region. The study was qualitative, characterised by exploratory and descriptive modes. Fifteen small businesses were interviewed using an interview guide (at Appendix). The reasons for their failure showed that these businesses mostly lacked in business understanding. They showed shortfalls in business and management. Recommendations covered suggestions for these businesses to improve understanding and practice of the modern business mechanisms, to approach local business colleges for working relationships and training, as well as to involve management consultants to revive them to start generating the needed revenue and minimum profits for survival. Key words: Sustainability, business failure, small business, West Rand, township.
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