PPM Papers Coming Soon

This section contains information about articles under review and waiting for publication in next issues of the journal.

Impact of non-oil sector on economic growth: a managerial economic perspective

Anthony Igwe, Department of Management, University of Nigeria Nsukka, Nigeria
Chukwudi Emmanuel Edeh, Department of Economics, Enugu State University of Science and Technology, Nigeria
Wilfred I. Ukpere, Department of Industrial Psychology and people Management, Faculty of Management, University of Johannesburg, South Africa

Abstract. This study is motivated by the need to examine the impact of non-oil export to economic growth in Nigeria for the period 1981-2012. The study adopted the Export-Led Growth hypothesis as the framework of study. A production function which specified economic growth as a function of capital stock, labour and non-oil export was formulated to express the relationship between the dependent and the independent variables. The econometric techniques of Johansen cointegration and the vector error correction model were chosen to ascertain the impact and the long run relationship between the dependent and the explanatory variables. Also, the Granger causality technique was used to investigate a causality relationship between economic growth and the independent variables. Findings from the VEC analysis reveal that in both the short and long runs, non-oil export determines economic growth. Also, the cointegration analysis indicates a long run relationship between non-oil export and economic growth over the period under study. These two findings agree with the theory of Export-Led growth hypothesis. However, the Granger causality analysis indicates no causality relationship between non-oil export and economic growth. A uni-directional causality relationship runs from capital stock to economic growth. Also, a uni-directional causality relationship runs from economic growth to labour force.

Investigating the factors influencing the life insurance market in Ethiopia

Luqman Adedamola Sulaiman, Ph.D., Postdoctoral Fellow, Graduate School of Business and Leadership, University of KwaZulu-Natal, South Africa
Stephen Migiro, Professor, Dean and Head of School, Graduate School of Business and Leadership, University of KwaZulu-Natal, South Africa
Tessema Yeshihareg, MBA Candidate, University of South Africa, South Africa

Abstract. The insurance firms as financial intermediaries play a significant role within a nation's financial system by mobilizing funds from the surplus economic unit and channeling it to the deficit investment unit of the economy. Life insurance business as an aspect plays a crucial role in supporting investments by accommodating all life insurable risks and financial consequences. Considering this crucial role, the study investigates the factors that influence life insurance market from Ethiopian perspective. It employs secondary data on eleven independent variables - six of which are economic and five demographic variables for a period of 28 years from 1979/1980 to 2007/2008. Time series graphs, the Error Correction Mechanism (ECM), the Johansen Co-integration test and the Augmented Dickey-Fuller test were utilized in its econometric analysis. The result shows a long-term balanced connection amongst the variables. Inflation had a statistically noticeable negative impact on the demand and supply in the life insurance market. In addition, there was a statistically significant negative effect of young dependency ratio on life insurance market demand while old dependency ratio had a statistically significant positive relation to life insurance supply. Based on the results, it is recommended that during high inflation, life insurance companies should revise price decisions to enhance the life insurance market. To minimize the inverse effect of young dependants, insurers need extensive sensitization on the young age through their families and promote products that suit the young children - such as children's education policies. With the increase in life expectancy of individuals and groups, which results in an increase of the life insurance market, insurers have to develop products that can make provision for such societal dynamic.

An analysis of the Swaziland public educational environment and its role-players

Z Hamid, NWU Potchefstroom Business School, North-West University, The Management College of South Africa, Durban, South Africa
CA Bisschoff, NWU Potchefstroom Business School, North-West University, Potchefstroom, South Africa
CJ Botha, NWU Potchefstroom Business School, North-West University, Potchefstroom, South Africa

Abstract. Swaziland is a former British colony located on the South-Eastern southern tip of Africa. Resultant of colonization, the Swaziland education is based on English colonial system. However, the colonial education system, as applied in Swaziland resulted in differentiated and segregated education standards and, depending on regional location, local inhabitants did not receive a proper education. Since Swaziland's political independence and self-regulating of the education system, several efforts have been made to improve its quality of education to the population and to ascertain that all regions as well as rural remote locations, actually do receive quality education. This educational vision is, however, did not come without challenges. This article focuses specifically on the environmental factors pertaining to Swaziland education. That includes a description of the Swaziland educational environment, the different factors in the macro-environment that play a role in Swaziland education and also the current profile of the educators employed in Swaziland. The results show that albeit the numerous environmental, political and logistical challenges, the Swaziland educators are making a difference and that they are productive, equally distributed gender wise, mainly Swaziland citizens and well educated to deliver a quality education to the people.

The new functions of the HR-departments of the future

Daniel, J. Adriaenssen, Research Fellow, Institute of Psychology, Århus University, Denmark
Jon-Arild Johannessen, Ph.D., Professor (full), Oslo School of Management, Artic University, Tromsø, Harstad University Campus, Norway

Abstract. Problem: In general, HR departments fail to adapt to reflect societal change. Problem approach: Which competences will be manifested in the HRM philosophy of the future? Research questions: 1. How has HRM philosophy developed in the period 1980-2016? 2. What knowledge forms the basis of current HRM philosophy?
Objective: This article aims to highlight some areas of competence that will be relevant in the future to HRM philosophy. Methods: Trend research and conceptual generalization. Findings: The new areas of competence that will be significant for HRM are innovation management, knowledge management, change management, performance management, and organizational design.

Interactive use of performance measurement systems and the organization's customers-focused strategy: the mediating role of organizational learning

Yuliansyah Yuliansyah, Accounting Department-University of Lampung-Bandar Lampung, Indonesia
Ashfaq Khan, UNE Business School, University of New England, Australia

Abstract. This study investigates the effect of the interactive use of performance measurement system (PMS) on the company's adaptation of its customer-focused strategy. We used a self-administered survey study of 69 managers working in the Indonesia Stock Exchange-listed financial institutions. Our statistical analyses using Smart PLS 2.0 supported all hypotheses and revealed direct and indirect relationships among the hypothesized variables. However, based on the path analysis', using the Sobel's test and the Variance Accounted For (VAF), the empirical data revealed that the organizational members' direct relationship with the customer accounted for a greater contribution to the improvement in the customer-focused strategy compared to the organization's indirect relationship. This study provides evidence that an effective implementation and interactive use of PMS would leverage the organization's customers-focused strategy and help it gain a competitive advantage.

Employee performance management and development within the regional hospitals in the Kwazulu-Natal department of health

Wellington B. Zondi, University of KwaZulu-Natal, Westville Campus, South Africa
Ian Nzimakwe, University of KwaZulu-Natal, Westville Campus, South Africa
Vannie Naidoo Nkwanyana, University of KwaZulu-Natal, Westville Campus, South Africa
Elias Munapo, University of KwaZulu-Natal, Westville Campus, South Africa

Abstract. This paper looks at research conducted within the Regional hospitals of the KwaZulu-Natal Department of Health, South Africa. The study was motivated by the fact that regional hospitals provide specialised public health services yet are perceived by the general public to be struggling in the area of service delivery, staff motivation and staff performance management. The research involved 439 respondents from 8 of the 14 Regional Hospitals in the KwaZulu-Natal Province. A self-administered questionnaire comprising of 35 questions arranged in the form of a Likert Scalewas used as the research instrument. The study revealed that while, in the main, it seemed like management had conducted the performance management and development of their subordinates correctly, there is still room for improvement in all the variables that were posed during this study. It is therefore recommended that a competency centre in which supervisors and managers are trained in the process of performance management and development be established within the KwaZulu-Natal Department of Health.

An entrepreneurial flair development: the role of an ecosystem

John Amolo, University of KwaZulu -Natal: Graduate School of Business & Leadership, South Africa
Stephen. O Migiro, Professor, University of KwaZulu -Natal: Graduate School of Business & Leadership, South Africa 

Abstract. The desire of communities and nations is their ability to exercise their prowess in terms of their wealth and ability to create wealth for a meaningful economic context. Entrepreneurship success cannot be achieved by a singly identifiable factor or else it would be standardized for achievement anywhere and elsewhere. Factor homogeneity has never been well-known for a universal economic development and therefore the appreciation of differences in unlikely environments may remain for some time, unless, otherwise. This paper attempts to underscore the fact that entrepreneurship thrives under a holistic set of components and cycles, formally called the ecosystem. Through literature review and the presentation of the existence of various models the paper paints a view of the holistic environment desirable for an entrepreneurial flair to be achieved. In this presentation a suggested model for entrepreneurial flair development is advanced. It is the proposition of this paper that a holistic view in the pedagogy of entrepreneurship should not be limited to entrepreneurship teaching perse rather on the entrepreneurial flair even as no single component acts by itself in an entrepreneurial environment. Therefore whichever component tends to have higher impact over a given area calls for further study and appreciation.

Customer satisfaction within pharmacies in a supermarket: a South African perspective

Darry S. Penceliah, Durban University of Technology, South Africa 
Dion T. Noel, Durban University of Technology, South Africa 
Nafisa Adat, Durban University of Technology, South Africa 

Abstract. South Africa is experiencing an expansion of pharmacy chains. Globalization and deregulations have increased competition within the retail pharmacy sector. In this highly competitive sector, the most important strategy for a pharmacy chain to obtain customer satisfaction and maintain market profitability is attributed to customer-focus. The aim of this paper was to investigate customer satisfaction at a pharmacy chain in South Africa. A total of 400 customers completed the survey using a questionnaire. All the service quality dimensions in the customers' survey contain negative mean gap scores. From these findings, the pharmacy chain can identify specific gaps in the service quality dimensions and seek to close them. Service quality dimensions that are deemed to be good predictors of customer satisfaction have been related to factors relating to tangibles, reliability, responsiveness, assurance and empathy. The retail pharmacy chain should address these dimensions in its attempt to offer superior customer service. The recommendations would provide other pharmacies within a supermarket with knowledge to address possible shortcomings and improve the service levels.

Factors influencing the entry mode of South African retailers expanding into Africa

Rasoava Rijamampianina, DSSC, DESCA (Madagascar); MBA, DBA (Japan), Director of the Management Advancement Programmes, Wits Business School University of the Witwatersrand (WITS), South Africa  

Abstract. Over the last decade, South African companies presence in the Sub-Saharan retail market has steadily solidified. In this regard, the purpose of this study is to determine the importance attached to key factors influencing the choice of entry mode of South African retailers entering new African markets. We also ascertain the preferred mode of entry. This research follows a positivism paradigm, and the methodology used a mixed method technique. A structured interview together with some open ended questions were used to gather data. All Johannesburg Securities Exchange (JSE) retail sub classifications were represented in the study with 76% of the listed retail sector by market capitalisation and 70% of the total retail sector by sales. The results showed that country specific factors were the factors influencing the choice on entry mode more than others. The most preferred mode of entry by South African retailers was a high control greenfield.

Key internal factors affecting the small, medium and micro enterprises (SMMEs) marketing strategies in rural South Africa

Lawrence Mpele Lekhanya, Durban University of Technology, South Africa  

Abstract. The purpose of this paper is to report on a study aimed at identifying key internal factors that affect the success of SMMEs marketing strategies in rural South Africa. The study employed both quantitative method in data collection and analysis of primary data in order to ensure reliability and generalizability of the results. Collection of primary was conducted in five rural areas of KwaZulu-Natal (KZN).Simple size was consists of 374 business owners/managers, with respondents completing a questionnaire. Space was provided from each question thought the questionnaire, which was more qualitative to allow respondents to give additional relevant information which might be left during the formulation of the questionnaire. All the quantitative were coded into SPSS (Version 21.0) graphs, cross - tabulation, frequencies and descriptive statistics. According to the findings, the most significant internal factors impact on the SMMEs marketing strategies in rural South Africa: Access to finance, managerial skills, education and training, skills personnel. The study recommended strategies and policies to small, medium and micro enterprises in rural South Africa with specific reference KwaZulu-Natal area. The results will be significant to policy makers, SMMEs sector, SMMEs stakeholders and other researchers.

Restructuring police organizations: the significance of global experiences for the South African police service

Johan van Graan, Department of Police Practice, School of Criminal Justice, Faculty of Law, University of South Africa, South Africa 
Wilfred I. Ukpere, Department of Industrial Psychology and People Management, Faculty of Management, University of Johannesburg, South Africa 

Abstract. This paper examines the lessons that could be learnt by the South African Police Service from international police organizations' restructuring efforts. An argument will be made that these lessons are vital to reconsider restrictions and shortcomings experienced by the South African Police Service's restructuring. Firstly, this argument is based on literature indicating that countries across the globe have realized that police organizations are no longer the established, hierarchical structures they previously were to endure change, and as a result, are involved in rethinking their roles, restructuring their organizations and changing their cultures in order to adjust to the changing conditions. This review of the literature lay emphasis on the significance of restructuring in police organizations and summarize the restructuring efforts that various international police organizations have embarked upon to reformulate its organizations' structure and/or to adjust elements of the existing structures. Secondly, this argument is based on the findings of a qualitative study conducted in 2008 and 2011 with the Family Violence, Child Protection and Sexual Offences unit of the South African Police Service during this unit's restructuring in 2006 and again in 2010. The aim of this paper is to identify lessons that can be learnt from these international police organizations' restructuring efforts. These lessons are vital to reconsider restrictions and shortcomings experienced by the South African Police Service's restructuring efforts. The findings suggest that the South African Police Service could draw from trends that international police organizations pursued in their restructuring endeavours and utilize these lessons as a learning curve and an opportunity to rectify shortcomings.

Call centre ease of communication in customer service delivery: an asset to managing customers' needs?

Devina Oodith, Dr., School of Management, Information Technology and Governance, College of Law and Management Studies, University of KwaZulu-Natal (Westville Campus), South Africa 
Sanjana Brijball Parumasur, Prof., School of Management, Information Technology and Governance, College of Law and Management Studies, University of KwaZulu-Natal (Westville Campus), South Africa  

Abstract. The customer service experience has been equated to a business tsunami as customers switch to those companies that offer greater customer satisfaction. It becomes the task of the firm's call centre to cradle customer interaction and loyalty through ease and speed of access, quality and ease of communication with call centre agents. This study was undertaken in Durban, South Africa, and was conducted within a Public Sector service environment presenting a twofold agent and customer perspective of how service delivery could be harnessed through ease of communication. The Public Sector service environment comprised of four major call centre's employing a total of 240 call centre agents. A sample of 151 call centre agents was drawn using cluster sampling and a 63% response rate was achieved. These call centre agents were responsible for inbound calls only. Using simple random sampling, 220 customers were drawn from all consumers subscribing to e-billing in Durban. Data for both samples was collected using self-developed, precoded questionnaires whose psychometric properties were statistically determined. Data was analyzed using descriptive and inferential statistics. The results indicate that the influence of ease of communication between call centre agents and customers has the potential to impact on improved call centre effectiveness and that improved levels of service delivery can enhance communication between them creating greater synergy and enhanced service experience whilst augmenting call centre effectiveness. Based on the results of the study recommendations have been made to better manage customers and their needs more competently and constructively.

Dynamics of high growth enterprises - gazelles"- in Czech Republic

Monika Krošláková, Ph.D., Univerzity of Economics in Bratislava, Faculty of Commerce, Department of services and tourism, Slovakia
Viera Kubičková, Ph.D., Univerzity of Economics in Bratislava, Faculty of Commerce, Department of services and tourism, Slovakia
Lujza Jurkovičová, Ph.D., Univerzity of Economics in Bratislava, Faculty of Commerce, Department of Commodity Science and Product Quality, Slovakia
Natalya Kubiniy, Prof., Economic Faculty, Uzhgorod National University, Ukraine

Abstract. This article researches existence of young, high growth enterprises, "gazelles", in the context of high growth enterprises in Czech Republic. For this purpose we have analyzed dynamics of growth of enterprise subjects referred to as "gazelles" in a population of high growth enterprises and all enterprise subjects in a given economy. We took into consideration two following criteria: turnover and employment growth. Research of relevant data respects the sector criterion and monitors a 6-year growth period. We are able to state that young, high growth enterprises - "gazelles" - in Czech Republic and in other compared countries are represented by enterprises which, even during the crisis period, by their development generate increase in new working positions as well as increase in annual turnover. They make up an important part of enterprises of all compared countries, and they contribute significantly to competitiveness of given economies. During the observed period the prevalence of gazelles was higher in the service sector in all compared countries, and there is an obvious transfer of gazelle enterprises from the manufacturing sector to the service sector.

CSR management and reporting between voluntary bonding and legal regulation. First empirical insights of the compliance to the German Sustainability Code

Martin Stawinoga, Dr., Helmut Schmidt University, Germany
Patrick Velte, Professor of Accounting & Auditing, Leuphana University of Luneburg, Germany

Abstract. CSR management and reporting as stated in the German Sustainability Code have currently gained an increasing relevance in the context of business reporting. Focusing on the comparison with the German Corporate Governance Code, this article investigates the conception and major opportunities and risks of the German Sustainability Code. Furthermore we present the first empirical analysis of declarations of conformity voluntarily published by 75 companies. We examine, whether stock companies on the one hand and public enterprises, medium-sized as well as family-owned businesses on the other hand apply the Sustainability Code differently. In view of the main reporting heterogeneity and reporting lags the current European regulation of CSR reporting can be justified.

The life-cycle growth and development model and leadership model to analyzing tourism female businesses in Poland

Alina M. Zapalska, Professor of Economics, Department of Management, U. S. Coast Guard Academy, USA
Dallas Brozik, Professor of Finance, Lewis College of Business, Marshall University, USA

Abstract. This paper examines various factors influencing the performance and success of ten small tourism entrepreneurial businesses that operate within tourism industry in Poland. Factors considered are the impact of entrepreneurial orientation and leadership style on human capital and employees' involvement in firms' decision making, entrepreneurial orientation, investment level, and innovation. The results indicate that the success of entrepreneurial activities came from the use of specific leadership and entrepreneurial skills that led to innovation in generating services.

Questionnaire verification of prevention of mobbing/bullying as a psychosocial stressor when implementing CSR

Jolita Vveinhardt, Institute of Sport Science and Innovations, Lithuanian Sports University, Lithuania
Regina Andriukaitiene, Lithuanian Sports University, Lithuania

Abstract. The employer is obligated to deal with the psychological safety issues of the employees by legal acts that define them. Also, the organizations themselves must take responsibilities in order to ensure the psychological safety of the employees in the organization. The psychological safety of the employees includes such areas as bullying, various forms of psychological terror suffered from co-workers as well as leaders and clients, the prevention and intervention of stress and health changes. In order to timely diagnose such phenomena in early stages, special instruments are necessary. This article presents a questionnaire customized by the authors for prevention of mobbing /bullying as a psychosocial stressor while implementing corporate social responsibility. The questionnaire was developed based on theoretical assumptions, as well as adapting previous questionnaires made by the authors of the article. The validated questionnaire "Diagnostics of mobbing/bullying as psychosocial stressor" is provided as the main result of the survey.

Credit risk management and cyclicality of bank lending to non-financial corporations in Italy during the financial crisis: 2008-2012. A modeling study

Stefano Olgiati, Ph.D., University of Bergamo, Italy
Alessandro Danovi, Associate Professor, University of Bergamo, Italy

Abstract. Credit to non-financial corporations in Italy is characterized, in the period June 2008 - June 2012, by frequent and intense quarterly cyclical fluctuations (peak amplitude 39.2 billion). The amplitude of these fluctuations has been ascribed to the effects of Basel II accords during the financial crisis which, by imposing regulatory capital constraints on banks' lending on the basis of credit risk estimates, induce an excessive credit reduction during economic recession and an excessive credit growth during economic expansion. In order to mitigate these cyclical effects, various techniques of buffering have been advocated. We have tested the opposite null hypothesis that the interaction between new credit given and defaults from outstanding loans tends to a steady state. We have tested a quasi-linear distribution with a Cyclical Sensitivity Parameter (CSP) parameterized on variation of new credit supply in excess or defect of the rate of default of outstanding loans. We have found that, in the period June 2008 - June 2012, frequent fluctuations of the total credit used by non-financial corporations are strongly related to the interaction between the default rate of outstanding loans and the growth rate of new credit supply. We conclude that credit risk management in Italy has been effective in parameterizing credit supply growth to outstanding credit reduction caused by defaulting loans within the Basel II regulatory framework. Basel III prospective point-in-time output buffers based on filtered Credit/GDP ratios and dynamic provisioning proposals should take into account this steady state pattern underlying frequent and intense credit cyclical fluctuations.

The value relevance of R&D expenditure after the adoption of the international accounting standards by Italian publicly listed companies

Francesco Napoli, Universita degli Studi E-Campus, Italy

Abstract. We measure the utility for investors of financial data regarding expenditure on research and development, which are disclosed through the firm's financial statement. With this aim, we analyse financial and market data on a sample of Italian quoted companies, starting from the year in which the International Accounting Standards (IAS) were applied. Through a single measuring model based upon Ohlson's equation (1995), we simultaneously investigate the value relevance of the different research and development (R&D) accounting treatments (the portion of R&D expenditure which is capitalised and that which is expensed). We find that disclosure, regulated by the IAS, contains value-relevant information. In particular, we find that adoption of the IAS has, on the one hand, constrained management discretion and, on the other, increased the explanatory power earnings have for market values. Finally, we find that R&D is one of the main contributors to the formation of the gap between market and book values in the sampled companies.

Business risk management-the key success factor: evidence from shebeens and taverns in Soshanghuve Township

Ajay K Garg, TUT Business School, South Africa
Pretty Makukule, TUT Business School, South Africa

Abstract. This study examined the factors that affect business growth by shebeens and taverns owners in Soshanguve Township. Data was collected using structured closed-ended questionnaires. The population consisted of 196 businesses, 120 were sampled and 84 responses were received using a structured questionnaire. Frequency analysis, SEM modelling and Chi square testes were done to analyze the data. Results indicate that majority of the businesses were operating as sole propriety and have been in existence for more than 5 years, hired less than 5 full time employees. The study revealed that there was a weak but positive relationship between capital, managerial skills, government support and legislation and regulations and the growth of the business, while entrepreneurial capabilities showed a strong and positive relationship with growth. This study concludes that awareness of business risk; its management, willingness to take risk and expand were the key factors to growth. While other factors listed by literature does play a role in the growth but were not paramount to success.

Strategic enactment: strategy making practices for complex terrains

Shamim Bodhanya, University of KwaZulu-Natal. South Africa

Abstract. The field of strategic management has been dominated primarily by rational and analytical approaches. Although there has been some shift to incorporate perspectives and ideas about emergent strategy, these draw primarily from theory related to organizational learning. This paper presents a critique of conventional approaches to strategic management by taking an inter-disciplinary perspective of strategy drawing on organizational learning, system dynamics, complexity theory, futures thinking, creativity and decision-making. It argues instead for a shift of perspective to that of strategy making, by way of a strategic enactment process that embraces a more organic, dynamic, emergent nature of strategy. A set of practices is proposed that may facilitate strategic conversation in such a strategic enactment process. This is a systemic set of practices to facilitate effective strategy and in traversing complexity and turbulence. It overcomes the formulation and implementation dichotomy by taking a holistic perspective and integrating them into single gestalt of thinking-action, applicable in a wide variety of organizations and contexts.

The influence of open plan work-environments on the productivity of employees: the case of engineering firms in Cape Town

Wildré Kok, Faculty of Business, Cape Peninsula University of Technology, South Africa
Melissa Meyer, Faculty of Business, Cape Peninsula University of Technology, South Africa
Sheree Titus, Faculty of Business, Cape Peninsula University of Technology, South Africa
Shairn Hollis-Turner, Faculty of Business, Cape Peninsula University of Technology, South Africa
Juan-Pierré Bruwer, Faculty of Business, Cape Peninsula University of Technology, South Africa

Abstract. More large organizations are moving away from traditional private offices and adopting open plan work-environments. This is mainly done to save space and money since office space is limited in both size and usability. Prior research suggests that large organizations in the United States of America and the United Kingdom make use of open plan work-environments as emphasis is placed on cost-effectiveness, but not necessarily on employee satisfaction. Since the advantages of open plan work-environments (e.g. sharing ideas, improved communication, etc.) largely outweigh the disadvantages of open plan work-environments, it provides justification for the global trend' of open plan work-environments. Notwithstanding the above, organizations should be mindful as to how open plan work-environments may impact on its employees' morale and the overall effectiveness of its employees, among other areas. This research study was conducted with the main intent to determine how employees, in a South African dispensation, are influenced by open plan work-environments, particularly in relation to employees' productivity and job satisfaction. This research study was empirical in nature and followed a mixed methods approach whereby data were collected from 32 respondents situated in two engineering firms, in Cape Town, through means of questionnaire-tools. All respondents had to adhere to a strict set of delineation criteria in order to constitute a valid response. It was found that majority of respondents who were situated in open plan work-environments preferred private offices as opposed to open plan offices, especially since it had an adverse influence on employees' concentration, privacy and emotional well-being.

Empirical evaluation of China imports on employment in the South African textile industry

Emmanuel Innocents Edoun, University of Johannesburg, South Africa
Edzisani Ellen Netshiozwi, University of the Witwatersrand, South Africa

Abstract. This paper is set to generate some empirical perspective on the impact of Chinese imports on employment levels in the South African textile industry. Using regression analysis as a method of inquiry, this paper critically assess the relationship that exist between textile imports and employment levels as well as between exchange rates and employment levels. South Africa's imports data, employment data and exchange rate (South African Rand per Chinese Yuan) for the period 1993 to 2011 is used to analyze the relationship between high level of imports from China and employment levels in the industry. Initial findings reveal that an increase in the value of textile imports from China will cause a decline in employment levels in the South African textile industry.