Financial Performance Measurement of Manufacturing Small and Medium Enterprises in Pretoria, South Africa: A Multiple Exploratory Case Study

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Bouba
Bouba
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Edmund
Edmund
1 University of South Africa, Pretoria Campus

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This article focuses on the financial performance measures used by manufacturing small and medium enterprises (SMEs) in Pretoria, South Africa. The objectives were to identify the financial tools that are used by SMEs to measure their financial performance, and recommend improvements (if any) and training interventions that would possibly be needed to measure financial performance successfully. Semi-structured interviews were conducted with SME owners. Most of the respondents use financial ratios when measuring their financial performance, although to a limited extent. None of the respondents use bankruptcy prediction models. SMEs could benefit from using ratios that have been proven to be the best financial measures as well as the ratios that have worked well for most of the participants. Bankruptcy prediction models known to many of the participants as well as financial software packages should also be considered as they might enhance the success rate of SMEs.

Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

Data Availability

Not applicable for this article.

Bouba. 2026. \u201cFinancial Performance Measurement of Manufacturing Small and Medium Enterprises in Pretoria, South Africa: A Multiple Exploratory Case Study\u201d. Global Journal of Management and Business Research - A: Administration & Management GJMBR-A Volume 22 (GJMBR Volume 22 Issue A8): .

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High-quality alt text highlighting research focus, productivity, and SME performance evaluation.
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GJMBR Volume 22 Issue A8
Pg. 33- 41
Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

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GJMBR-A Classification: DDC Code: 338.642 LCC Code: HD2341
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v1.2

Issue date

November 22, 2022

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English

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This article focuses on the financial performance measures used by manufacturing small and medium enterprises (SMEs) in Pretoria, South Africa. The objectives were to identify the financial tools that are used by SMEs to measure their financial performance, and recommend improvements (if any) and training interventions that would possibly be needed to measure financial performance successfully. Semi-structured interviews were conducted with SME owners. Most of the respondents use financial ratios when measuring their financial performance, although to a limited extent. None of the respondents use bankruptcy prediction models. SMEs could benefit from using ratios that have been proven to be the best financial measures as well as the ratios that have worked well for most of the participants. Bankruptcy prediction models known to many of the participants as well as financial software packages should also be considered as they might enhance the success rate of SMEs.

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Financial Performance Measurement of Manufacturing Small and Medium Enterprises in Pretoria, South Africa: A Multiple Exploratory Case Study

Bouba
Bouba University of South Africa, Pretoria Campus
Edmund
Edmund

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