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Social Sustainability Practices on Small Businesses in Developing Economies: A Case of South Africa

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  • Reginald Masocha

    (School of Economics and Management, University of Limpopo, Sovenga 0727, South Africa)

Abstract

This study makes a significant contribution towards theory and knowledge of small and medium enterprises (SMEs) within the social sustainability discourse. The study focused on investigating if SMEs in developing economies directly benefit from practising social sustainability through examining the relationship between social sustainability and financial performance, customer satisfaction as well as employee satisfaction. A total of 238 SMEs from the Limpopo province of South Africa were surveyed through a self-administered questionnaire at the hand of convenience sampling technique. The hypotheses in the study were assessed through structural equation modelling (SEM) through AMOS software version 25. The study results revealed that all three postulated hypotheses were supported. Thus, social sustainability was found to be positively and significantly associated with financial performance, customer satisfaction performance as well as employee satisfaction performance. The findings in this study indicate that by practising social sustainability, SMEs potentially benefit on a broader performance spectrum.

Suggested Citation

  • Reginald Masocha, 2019. "Social Sustainability Practices on Small Businesses in Developing Economies: A Case of South Africa," Sustainability, MDPI, vol. 11(12), pages 1-13, June.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:12:p:3257-:d:239341
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    References listed on IDEAS

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    Cited by:

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    2. Ikenna Franklin EZE & Thobekani LOSE, 2023. "Consequences Of Failure And Challenges Of Small Business In South Africa: A Theoretical Review," Business Excellence and Management, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 13(3), pages 18-32, September.
    3. Walter Chipambwa & Richie Moalosi & Yaone Rapitsenyane & Olefile Bethuel Molwane, 2023. "Sustainable Design Orientation in Furniture-Manufacturing SMEs in Zimbabwe," Sustainability, MDPI, vol. 15(9), pages 1-14, May.
    4. Wunhong Su & Liuzhen Zhang & Chao Ge & Shuai Chen, 2022. "Association between Internal Control and Sustainability: A Literature Review Based on the SOX Act Framework," Sustainability, MDPI, vol. 14(15), pages 1-30, August.
    5. Jianzhong Xu & Song Zhang, 2020. "An Evaluation Study of the Capabilities of Civilian Manufacturing Enterprises Entering the Military Products Market under the Background of China’s Civil–Military Integration," Sustainability, MDPI, vol. 12(6), pages 1-23, March.
    6. Priyabrata Chowdhury & Rezaul Shumon, 2020. "Minimizing the Gap between Expectation and Ability: Strategies for SMEs to Implement Social Sustainability Practices," Sustainability, MDPI, vol. 12(16), pages 1-15, August.
    7. Miguel Reyna-Castillo & Paola Selene Vera Martínez & Lisette Farah-Simón & Nadima Simón, 2023. "Social Sustainability Orientation and Supply Chain Performance in Mexico, Colombia and Chile: A Social-Resource-Based View (SRBV)," Sustainability, MDPI, vol. 15(4), pages 1-21, February.

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