Browsing by Author "Swanepoel, Daryl Wade"

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    Assessing public value from the Department of Small Business Development’s export promotion programme
    (Stellenbosch : Stellenbosch University, 2018-12) Swanepoel, Daryl Wade; Khan, Firoz; Stellenbosch University. Faculty of Economic and Management Sciences. School of Public Leadership.
    ENGLISH SUMMARY : The South African Department of Small Business Development (DSBD) facilitates small and micro-enterprises’ (SME) participation in trade exhibitions abroad, using Trade and Investment South Africa (TISA) as implementing agent. In this way, it intends to help SMEs succeed in the export market. This research primarily aimed to assess the public value derived from expending taxpayer resources on these endeavours. Public value was assessed in terms of (i) contribution to the SMEs’ growth in export turnover, and (ii) development of the SMEs’ export capacity. A secondary examination was devoted to (i) the role of export-readiness selection criteria in the success or failure of the outbound trade missions programme for SMEs, and (ii) searching for alternative export promotion techniques that may augment DSBD’s current practices so as to create greater public value. Twenty SMEs who had participated in TISA-organised national pavilions abroad from 2014 to 2016 were selected. To address the primary research question, data was obtained through personal interviews with the enterprises. Enterprise Ireland’s export-readiness checklist provided the basis for determining the degree of improvement in these SMEs’ export capabilities pre-mission to post-mission. Moving to the secondary study, the widely supported characteristics of an export-ready SME as defined by Pickernell (2016) were used as a benchmark to assess DSBD’s criteria for enlisting SME participation. In search of possible alternatives for DSBD to consider, a literature search and subsequent study visits were conducted. Regarding export growth, the research found that reasonable public value was derived as a result of the SMEs’ participation in the national pavilions. When including SMEs’ own efforts, public value improved considerably. However, in terms of improving the SMEs’ export capabilities, the research revealed complete public-value failure on the part of DSBD/TISA, as no improvement could be ascribed to their efforts. On the question of selection criteria, the research confirmed the validity of the Pickernell characteristics, having – for the most part – been present in all but one of the enterprises that had registered material export growth. On the other hand, enterprises that had failed to register exports, also failed to display the Pickernell characteristics. Whilst there was near perfect compliance in TISA’s adherence to its own selection criteria, TISA set very low standards compared to those of Pickernell. In searching for alternative models for DSBD to consider, the study discovered six internationally proven export promotion techniques. All six contain elements that could help address the identified deficiencies in DSBD/TISA’s current practices. The research concludes with a number of recommendations aimed at enhancing DSBD’s offering and the public value it creates. These include the continuation of national pavilions, though with added measures to support enterprises with the proven ability to generate export sales. It is also recommended that TISA’s selection criteria be aligned with the Pickernell characteristics, and that their exhibition selection methodology be revised. Finally, DSBD would be well advised to augment their current practices with a more holistic SME export promotion technique, for which a concept is provided to aid further in-depth research, modelling and testing.