Implications of the Fourth Industrial Revolution on Small and Micro Enterprises’ Productivity in Mankweng Township
Abstract
Purpose: The hegemony of SMEs in Mankweng Township has sparked the interest of researchers who aim to align them with the 4IR. The purpose of this study is to examine and provide constructive criticism on how the 4IR affects the productivity of SMEs. The argument is that SMEs in Mankweng Township are technologically lagging, resulting in low productivity. The research encompasses both positive and negative impacts of the 4IR on SMEs' productivity. The prevalence of SMEs in the area can be attributed to growth centres like the University of Limpopo, Mankweng Hospital, and Paledi Mall. These institutions attract students and employees, sustaining the local economy. Nonetheless, most SMEs in the Township are traditional and lack sophisticated technology. They are mainly located in South Africa's townships and rural regions, where they are easily accessible to the local communities. The growth of the 4IR has compelled these SMEs to adapt their conventional business practices to align with the rapidly changing technology.
Design/Methodology/Approach: This study employed a quantitative approach to accomplish its objectives.
Findings: The research findings demonstrate that some SMEs are currently underperforming, experiencing a decline in customers due to limited financial resources, human resources and a lack of advanced technology amongst others.
Implications/Originality/Value: To address this issue, the study suggests that various stakeholders, including individuals, the private sector, and the government, should actively collaborate and provide concerted efforts and resources to support the growth and development of SMEs.
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