Exploring Business Growth Aspirations and Strategic Planning of Hair Dressing Salons in South Africa (original) (raw)
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2015
Various studies carried out in Kenya show that hair salons do not show the expected upward growth despite their numbers soaring up. Their economic contributions minimal. The general objective of the study was to establish the influence of entrepreneur's characteristics on the growth of hair salon enterprises in Kenya. Specific objectives of the study were: to establish the influence of the entrepreneur's experience on the growth of hair salon enterprises; to establish the influence of the entrepreneur's training on the growth of hair salon enterprises; to establish the influence of the entrepreneur's level of education on the growth of hair salon enterprises.. Self-administered questionnaires and interview schedules were used for data collection. The sample size for the study comprised 92 owner-managers, one county trade officer, and one MSEDO totaling to 94 respondents. Data were processed and analyzed using the statistical package for social scientists (SPSS) versi...
Academic Journal of Interdisciplinary Studies
Entrepreneurs specialize in increasing productivity and thus, contribute to the country's development and economic growth. The focus of the study is to investigate the extent to which necessity entrepreneurs’ and stakeholders’ strategies can enable the survival of small services and businesses such as hair salons. The argument is that hair salons that are created out of necessity may not be able to survive turbulent economic times. The paper argues that survival strategies may assist entrepreneurs to survive and grow in business. A positivist approach was employed and a sample of 144 was randomly recruited from hair salon business owners. The structured questionnaire was analyzed, yielding descriptive and inferential analyses with means, percentages, variances, correlation coefficients, regression analysis, and the Normal Q-Q plot used to analyze and explain the variables. The findings show a significant relationship between necessity entrepreneurship and business survival. This...
This research is about marketing research activity, an important business imperative when confronted with intense competition, among hair salon owners (mainly Black and previously disadvantaged people) in South Africa. With hair salons becoming unarguably the most affordable means through which the previously advantaged people of South Africa are able to enter mainstream economic activity, their proper management for to ensure survival and profitability has become a key concern for government and policy makers. Easy entry due to low setup cost and no legal need for formalisation, have contributed to proliferation of the hair salon business leading to intense competition for customers and this has unfortunate consequences for hair salons’ survival and economic performance. From a strategic management perspective, it is only logical for hair salons to conduct marketing research to obtain accurate information on product prices and customer preferences in order to perform better. But the question is whether hair salons ever consider marketing research relevant to them given resource constraints of such micro businesses. The purpose of this paper is to assess the attitude of hair salons towards marketing research. The findings are that marketing research is not much practiced among the hair salons studied. Implications are discussed.
2019
Hair salons provide a partial solution to South Africa's high unemployment, poverty and inequality problems because they are labour intensive and have low start-up costs making them affordable even to the poor and the marginalised. Dr. Ruth Segomotsi Mompati District Municipality in South Africa is a socioeconomically depressed area that largely depends on hair salons for employment. The prosperity of hair salons is therefore critical to the economic well-being of the inhabitants of the area. The proliferation of hair salon business since South Africa's 1994 democracy has led to fierce competition among these businesses in the region. There is a consensus that in the current information economy, effective records management allows for quick access to reliable information which is key for business success. In addition, the resource-based view (RBV) of the firm suggests that quick access to reliable information allows firms such as hair salons to gain sustainable competitive a...
2019
This paper is based on research on growing competition within hair salons. The study found evidence of such competition and identified relationship marketing (RM) as a tool to support competitive strategy. Hair salons are regarded as emerging small, medium and micro enterprises (SMMEs) – a status achieved due to participation in competitive social-economic activities. This paper presents a RM model compatible with the requirements of emerging SMMEs. It is hoped that this model will promote hair salons’ competitive strategy, thus contributing to South African socio-economic mantra. There is a perceived lack of relationship marketing by SMMEs, particularly for emerging SMMEs like the hair salons. This perception amplifies the importance of strategic tools to support competitive strategy for successful competition. A survey data collection method was used to collect quantitative and qualitative data from 145 respondents, randomly selected owner/managers of hair salons and customers. Th...
Factors Influencing the Growth of Small Enterprises: a Survey of Hair Dressing Industry in Asmara
Ghebremeskel, Fitsum Ghebregiorgis and Assefaw, Berhane Abadi. (2018). Factors Influencing the Growth of Small Enterprises: a Survey of Hair Dressing Industry in Asmara, Eritrea. Journal of African Interdisciplinary Studies. 2(9), 73 – 85., 2018
The main objective of this study is to investigate the main factors affecting the growth of micro and small enterprises firms in Eritrea. A survey was conducted in Asmara (capital city of Eritrea having very large number of hair dressing firms compared to other cities) on a sample of 212 hairdressing businesses. The survey research design was employed using a self-administered questionnaire as the data collection instrument. The items measuring the constructs were adapted from the extant literature. Data was analyzed using regression test. The results have shown that there is a relationship between training, location and growth of the hairdressing firm. Furthermore, the research revealed that though training and location positively influence a firm's growth, they have weak correlations with growth. Finally, education, experience and financial resources emerged not having a relationship with growth of the firms.
THE RELATIONSHIP BETWEEN INNOVATIVE INITIATIVES AND HAIR CARE VENTURE PERFORMANCE IN KENYA
The purpose of this paper is to investigate the relationship between innovative initiatives and hair care venture performance in Kenya and present recommendations for implementations for performance improvement. The methodology used in this paper is the descriptive cross-sectional design. Data collection methods include structured and semi-structured questionnaires. To reach this aim a questionnaire survey was performed among the 88 employees and proprietors of salons at Reinsurance Plaza, Nairobi. The database analyzed by SPSS V.21 statistical program using multivariate data analyses. According to the findings of this research supported the positive effects of innovation and business performance in context of the hair care industry. Entrepreneurship orientation (EO) element of innovative initiative is highly significant to performance. In dealing with competitors, the salon business initiated new and unique actions rather than just waiting to respond to its major competitors' moves. The ventures decision to introduce new products and services was a major boost to performance. The study focused on a localized number of hair ventures. A similar study should be conducted on an extensive area to investigate whether innovative initiatives still has a significant impact on performance. The paper extends innovative initiatives research into the realm of hair care ventures and adopts elements from opportunity-based theory as well as specific entrepreneurship factors as additional criteria for performance improvement.
This study sought to determine the clusters of factors that are significant determinants of the slow growth of small and micro enterprises (SMEs) in Kakamega town of Kenya. The case study was beauty salons. Salons provide employment, contribute to entrepreneurship and innovation and foster competitiveness. However, they have continually faced difficulties resulting in slowed growth of the sector .The growth of salons was measured by their lifespan, profits per annum, sales volumes and infrastructural improvements are lower than the national and World bank figure of 60%.There was therefore need to determine the factors influencing their growth in order to enable them continue to offer alternative employment for majority of Kenyans. Guided by the ecological theory the researcher conducted a study through cross -sectional survey design, on a sample of 90 salons selected from a target population of 632 salons in the town between August and November 2014 using questionnaires. The data was analyzed by use of factor analysis and the results presented in tables and figures. The study established that the average growth rate of the salons in Kakamega town is 48.28% which is below the growth rate set by the world and the government of Kenya. Some of the difficulties they face are clustered as monetary, environmental and internal. The study concludes that monetary factors are most critical to the growth of the salons. The study recommends that the government of Kenya to create an enabling financial environment for salons as well as courses on business management. Lastly, the study recommends that further research be conducted to determine the actual effects of these factors on real growth.
The Impact of Strategic Planning to the Growth of Small Businesses in Nigeria
SEISENSE Journal of Management, 2019
Purpose- There is a need to develop a framework that will improve the understandings of business planning and performance and its effects on growth particularly during the stages of small business development. The study attempted to fill in the gap stated. Design - The single case qualitative study relates small business growth with strategic planning where financial performance, market share, sales, and profits or instead return on investment is used to measure the growth. Existing literature fails to establish a concrete relationship between strategic planning and growth of small businesses which indicates a gap in the literature that will help understand the steps of managing the organizational transition of small business growth. Findings - The study fails to establish a significant relationship between formal planning and transitional growth, but instead found the influence of the planning process in communication the owner’s goals, vision, mission, and intentions to both internal and external stakeholders of small businesses. The study influence of the shared vision with customers on making them loyal and advertisers through word of mouth. The study revealed how customers’ word of mouth increased the customer base of small businesses thereby increasing the product demand and eventual expansion of capacity leading to the growth of small businesses. The growth of small businesses will result in an increased reduction in the unemployment rate which will reduce the poverty rate in the Nigerian economy. Practical Implications- Answering the primary and supporting questions will help small business owners to understand how strategic planning is essential in the transitional growth of their businesses. Keywords - Strategic Planning, Small Business Strategic Planning, Small Business Growth, Small Business Transitional Growth, and Customer Loyalty