Institutional Correlates Influencing MSME Business Processes in South Africa

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Academic Review of Humanities and Social Sciences
Cilt: 8 Sayı: 2
Institutional Correlates Influencing MSME Business Processes in South Africa

Institutional Correlates Influencing MSME Business Processes in South Africa

Pages : 67-83

View : 133 | Download : 337

Publication Date : 2025-12-30

Article Type : Research Paper

Abstract :Institutional correlates affecting micro, small, and medium enterprises (MSMEs)’ business processes and operations across different economies are wide, somewhat distinct, and varied, yet they lack a concise and integrated approach. The emerging South African economy further presents an interesting case, given its apartheid history and unequal spatial economy for entrepreneurs. This paper investigates various institutional correlates that could influence business processes and operations. The paper utilised a qualitative interview approach to derive the essential correlates along socio-cultural, political and economic dimensions. Interview responses from thirty-two entrepreneurs running small and micro enterprises in Cape Town, Durban and Johannesburg were analysed using ATLAS.ti. Institutional theory and extant literature informed the emergent patterns. The positive and negative correlates signify what works, what can be continued, and what needs to be changed using institutional reforms. Relevant implications offer initial guidelines for research into institutional dynamics and public policies for enterprise development relevant to MSMEs in emerging economies.
Keywords : Institution, Correlates, environment, MSMEs, South Africa

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