5. Methodology used

A comprehensive literature was conducted, and it was used as sources of questionnaire formulation for the empirical data collection. A total of 501 people who own or manage small and medium enterprise (SMEs) were asked to complete 10-page questionnaires to get empirical data. Mixed technique of quantitative and qualitative was employed composing closed and


Table 3. Summary of key questions.

ventures, since its use directly affects SME performance, and is therefore a crucial determinant of their performance ([120–122]. It is a fact that the vast majority of SMEs still hold negative training philosophies, and as such, merely pay lip service to human resource development.

Furthermore, human capital is generally regarded as a critical agent in SME performance to empower owners/managers with training that enables them to make the correct managerial decisions when dealing with factors from both external and internal business environments [123]. There is therefore a definite need to investigate the effects of training and human capital development management with regard to the growth and survival of rural SMEs [124]. The promotion of modernisation, capacity building and the sizing-up of SMEs are required, and human capital therefore remains the most important factor for productivity in today's econ-

South Africa's institutional restrictions take a variety of forms, including high borrowing costs, complex tax regimes and a cumbersome bureaucracy, which can lead to low entrepreneurial growth in transitional economies. SMEs are therefore confronted by many challenges, such as environmental legislation, inefficiency in supply chain networking, increased local and global market competition, uncertain domestic market conditions and shortages of funding and sustainability in expansion [127]. The growth and survival of rurally based SMEs particularly are largely affected by problems associated with government-imposed regulatory frameworks, relative to their urban counterparts. Rurally based entrepreneurs have demonstrated a rare ability to start, grow, compete and survive in business longer than many urban SMEs, even when voluntarily complying with government regulations and procedures. The basic policies, laws and regulations of the country influence the survival and growth of its SMMEs, and a lack of collateral and institutional support are factors that heavily impede the survival and growth of SMME agribusinesses in developing countries, such as South Africa, where many rural

The unleashing of entrepreneurship requires an environment that enables entrepreneurs to create, operate, manage and, if necessary, close businesses, within a context where compliance with the rule of law governing disclosure, licencing and registration procedures and the protection of physical and intellectual property are guaranteed. The existing regulatory environment should encourage people to launch their own businesses, attempt new business ideas and to take calculated risks, while keeping administrative burdens to the minimum required to

A comprehensive literature was conducted, and it was used as sources of questionnaire formulation for the empirical data collection. A total of 501 people who own or manage small and medium enterprise (SMEs) were asked to complete 10-page questionnaires to get empirical data. Mixed technique of quantitative and qualitative was employed composing closed and

SMMEs fail to meet collateral requirements that qualify them for bank loans.

support sustainable public policy and development objectives.

5. Methodology used

omy, including the small business sector [125, 126].

56 Entrepreneurship - Trends and Challenges

4.13.10. Institutional challenges to rural entrepreneurship

open-ended questionnaire together. Questionnaires were distributed to the owners'/managers' business premises with the help of research assistants. The participants were giving 7 days to complete questionnaire. Data were analysed using Statistical Package for the Social Sciences (SPSS) version 23.0 to test significance of the results and later presented (Table 3).
