Investigating the social and economic effect of Jabulani and Maponya Malls on the residents of Soweto

Zondi, Goodwill Musawenkosi (2011-03)

Thesis (MBA)--University of Stellenbosch, 2011.


The advent of shopping malls in the township called Soweto is allegedly having social and economic effects on residents. The aim of this study is to establish the effect of the two shopping malls known as Maponya and Jabulani on the residents of this township, which is the biggest township in South Africa. To achieve this, the study looked at the effect of these shopping malls on existing businesses (such as those housed in old shopping centres, general dealers, spaza shops, shebeens and street vending), property values and shoppers residing in Soweto. To facilitate a clear understanding of the social and economic effects of shopping malls in Soweto, the study looked at the history of the township and the reasons that accounted for the lack of economic infrastructure and hence the lack of proper shopping facilities in black townships. Events, reasons and conditions that had to be met leading to the present situation, in which a number of retail shopping facilities in black townships have been developed, were discussed and compared to the development of shopping malls in other countries. However, the main focus of this study is on the two big shopping malls known as Jabulani Mall located on the corner of Bolani Road and Koma Road in Jabulani, the traditional heartland of Soweto, and Maponya Mall located in Old Potchefstroom Road (now Chris Hani Road) opposite the township called Pimville. The study looked at international as well as local literature dealing with the effect of shopping malls on shoppers, small businesses and residential property values. From the literature review, it became evident that the advent of shopping centres in areas where there had been none has noticeable economic and/or social impacts on the area. A total of 58 businesses (13 spaza shops, 12 general dealers, 12 shebeens/taverns, 12 street vendors and 9 shops located in old shopping centres), four estate agencies and 75 households were interviewed face to face. Businesses were interviewed on their business premises and households were interviewed in their places of residences using semi-structured questions. The study found that shoppers were positively affected. Convenience, time and cost-savings were the main factors cited to contribute to the respondents‟ positive feelings about these two malls. On the business side, spaza shops and general dealers were negatively affected, while shebeens and street vending were positively affected. The overall effect of these two shopping malls was as follows: All the local businesses combined experienced a decline of five per cent in their business while shopping trips by residents to malls outside Soweto declined by five per cent.

Please refer to this item in SUNScholar by using the following persistent URL:
This item appears in the following collections: