Analysis of the impact of the networks on the status of the internal resources of the small-scale agro-processors in South Africa

Abstract

The indicators of the internal resources factors in the small-scale agro-processing in South Africa have a complicated cluster of networks, inventory, and trademarks compared to the commercial agro-processing sector. However, it has been identified that the internal resources endowment of small-scale agro-processors is extremely weak. The study was carried out in the five provinces of South Africa, and the sample size was made up of 503 respondents. Face-to-face interviews were employed to collect the data in a sequential explanatory mixed-methods design, where quantitative data collection was through closed-ended questionnaires, and qualitative was through focus group sessions. The results revealed that the network (β = 0.440, p = 0.000) forms an integral part of the factors that influence the small-scale agro-processors internal resource status in these enterprises. While trademark (β = 0.142, p = 0.000) and inventory (β = 0.138, p = 0.000) were found to have second and third impact respectively. As a result of the reported weakness in the business networks in the small-scale agro-processing enterprises, it is recommended that these enterprises form lobby organizations that will enable the internal resources base of these enterprises.