Assessing technological challenges in black-owned SMMEs in selected provinces in South Africa

Abstract

Most scholars agree that SMMEs are analytical instruments that contribute to the growth of a nation’s economy, regardless of whether the nation’s economy is developed or in a developing phase. However, technology adoption by SMMEs in developing nations is confronted with setbacks due to the complexity of the environment regarding the implementation requirements. These challenges have not been adequately addressed by previous researchers, therefore this has triggered the interest of the researcher to investigate and identify the challenges experienced by these organisations. Numerous factors are believed to have an impact on the sustenance of SMMEs and subsequently technology has been identified as one of the critical resources that enable all businesses to proliferate and gain a competitive advantage, regardless the size of the organisation. Successful implantation of technological systems will assist small businesses to improve their business knowledge and thereby improve their profitability and sustenance opportunities. This research study seeks to identify and examine the technological challenges that affect the business performance of SMMEs in selected provinces in South Africa, focusing on Limpopo and Gauteng in particular. The chosen research paradigm for this study was quantitative. Questionnaires were distributed to owners and managers of SMMEs to complete. The outcome of the empirical study unearthed the list of the technological challenges that owners and managers of small businesses experience, namely technological competencies, technological insecurities, technical support, reliability of the technology and the efficiency of technology. Conclusions were drawn based on the empirical data gathered, and recommendations made to owners and managers of SMMEs in selected areas, for possible exploits to address the identified technological challenges that are perceived to halt the opportunity to detect, embrace, adapt and fully utilise existing technology to their benefit.