The document summarizes business vulnerability and constraints in South Africa in Q3 2014. Key findings include:
- The overall Business Vulnerability Index decreased slightly from Q1 to Q3 2014, with small businesses seeing the lowest vulnerability. Import prices, labor issues, and political/economic factors were the most severe constraints.
- Constraints increased across most sectors, especially around labor stability, infrastructure quality, and restrictive labor regulations. Small businesses faced more constraints than large businesses.
- Financial metrics varied by sector but generally showed healthy contribution margins while expenditure ratios remained high, suggesting ongoing business challenges.
- In conclusion, South Africa's macroeconomic environment has become less conducive to business growth while the broader
Marco Manzo and Alessandro Modica - Finance Dept. - Italy
Giancarlo Infantino - Treasury Dept. - Italy, OECD Global Forum on Productivity – October UK Workshop - London, 14 October 2016
Low Incidences of High Growth Firms in Scotland: Why is Scotland lagging behind?enterpriseresearchcentre
The document analyzes the low levels of high-growth firms in Scotland compared to other UK regions from 2010-2018. It uses logistic regression on firm-level panel data from various sources to examine the influence of firm characteristics, regional characteristics, and entrepreneurial activity on the likelihood of high-growth episodes. The results show that factors like firm age, size, sector, and regional controls can explain some but not all of the differences between Scotland and other regions. Future research will incorporate additional variables like anticipated growth.
The Malaysian Industrial Development Authority (MIDA) is the government agency responsible for promoting investments into Malaysia. MIDA provides incentives like tax exemptions and assists companies with setting up operations in Malaysia. Malaysia has experienced steady economic growth and has a skilled workforce. MIDA works to promote Malaysia as an outsourcing destination for services like engineering and as a regional operations hub due to its strategic location, political stability, and business-friendly environment.
Decreasing job quality in Europe? The evolution of job strain between 1995 an...sophieproject
Decreasing job quality in Europe? The evolution of job strain between 1995 and 2010, by Christophe Vanroelen (Vrije Universiteit Brussel, Belgium). Presented at the 15th European Society for Health and Medical Sociology (ESHMS) Conference 28 - 30th August, 2014, Helsinki, Finland.
This document provides an overview of mutual funds in India. It discusses what mutual funds are, their advantages such as professional management, diversification and liquidity. It also discusses disadvantages like costs and lack of control. Finally, it outlines the different types of mutual fund schemes in India such as open-ended and close-ended funds. Open-ended funds allow buying and selling at net asset value anytime, while close-ended funds have a fixed maturity period of 3-15 years.
Marco Manzo and Alessandro Modica - Finance Dept. - Italy
Giancarlo Infantino - Treasury Dept. - Italy, OECD Global Forum on Productivity – October UK Workshop - London, 14 October 2016
Low Incidences of High Growth Firms in Scotland: Why is Scotland lagging behind?enterpriseresearchcentre
The document analyzes the low levels of high-growth firms in Scotland compared to other UK regions from 2010-2018. It uses logistic regression on firm-level panel data from various sources to examine the influence of firm characteristics, regional characteristics, and entrepreneurial activity on the likelihood of high-growth episodes. The results show that factors like firm age, size, sector, and regional controls can explain some but not all of the differences between Scotland and other regions. Future research will incorporate additional variables like anticipated growth.
The Malaysian Industrial Development Authority (MIDA) is the government agency responsible for promoting investments into Malaysia. MIDA provides incentives like tax exemptions and assists companies with setting up operations in Malaysia. Malaysia has experienced steady economic growth and has a skilled workforce. MIDA works to promote Malaysia as an outsourcing destination for services like engineering and as a regional operations hub due to its strategic location, political stability, and business-friendly environment.
Decreasing job quality in Europe? The evolution of job strain between 1995 an...sophieproject
Decreasing job quality in Europe? The evolution of job strain between 1995 and 2010, by Christophe Vanroelen (Vrije Universiteit Brussel, Belgium). Presented at the 15th European Society for Health and Medical Sociology (ESHMS) Conference 28 - 30th August, 2014, Helsinki, Finland.
This document provides an overview of mutual funds in India. It discusses what mutual funds are, their advantages such as professional management, diversification and liquidity. It also discusses disadvantages like costs and lack of control. Finally, it outlines the different types of mutual fund schemes in India such as open-ended and close-ended funds. Open-ended funds allow buying and selling at net asset value anytime, while close-ended funds have a fixed maturity period of 3-15 years.
The document discusses the future of healthcare and recommends developing a Boots healthcare app. It proposes that the app includes a health extension with self-diagnosis, online doctor consultation, and symptom checking. An appointment extension is also recommended, which would allow users to book and manage appointments without waiting, quickly and easily with reminders. The overall goal is for Boots to become a leading pharmacy-led health and beauty group through innovative digital healthcare solutions.
This document summarizes the successful conclusion of the NSCAD-New Glasgow Community Residency Program. It discusses the artists' final exhibit and contributions to the community through workshops and lectures over the past year. It also quotes praise from Mayor Barrie MacMillan about the program and resident artists Morgan Salter, M.E. Sparks and Brianne Williams, thanking them for their creative work and engagement with the town.
The document describes a student's project to take and edit photos of Salford City College for use in a magazine cover and articles. The student took photos of various locations around campus, then edited 5 photos in Photoshop using tools like filters, cropping, and adjusting brightness/contrast. The edited photos were saved in JPEG format and organized into folders to meet the needs of designing a magazine promoting Salford City College.
Este documento fornece etapas para elaborar um texto: 1) Pensar no assunto e ter claro o que se quer contar, 2) Planejar reunindo ideias em um esquema, 3) Redigir o esquema em forma de texto, 4) Revisar o texto duas vezes.
Certified Organic Cold Pressed 100% Pure Argan Oil is the perfect for all skin and hair types.
Make sure to buy only 100% pure certified organic Argan oil to be sure that you are buying a product that does not contain any harmful chemicals.
The document includes samples of graphic design work from a student portfolio. It shows two book cover designs for a book on thing theory, as well as posters, motion graphics, advertisements, and other design projects. It also includes the student's resume highlighting their graphic design education and experience.
Bholakumar Sonar has over 15 years of experience in HVAC-R maintenance and repair. He is currently serving as Service In Charge for Delta Nutritives, where he oversees maintenance planning and budgeting for ice cream machinery across Western India. Previously, he has held roles in Australia maintaining automated ice cream vending machines and in India serving Carpigiani and other machinery importers. He aims to take on a challenging role utilizing his skills in HVAC-R equipment, project management, and customer satisfaction.
The storyboard document outlines 11 scenes:
1) An agent is interrogated with punches while tied to a chair.
2) The title sequence shows a car driving down a country road in various shots.
3) The car pulls up next to a field and 5 masked men with guns remove a tied up man from the car boot.
4) The masked men drag the man to the field and put a gun to his head.
The document is a resume for Nichlaus Jay Rowe seeking a position as a technical project manager or electronics technician. It summarizes his experience over 12 years providing administrative, operations leadership and project management support. His background includes roles as a customer engineer, project manager, senior radio technician, lead electronics technician/manager, and aviation electronics technician in the US Navy. He has skills in leadership, project management, communication, troubleshooting, and repair of electronics equipment.
This survey compiled responses from 552 European Chamber member companies and was produced in partnership with Roland Berger Strategy Consultants. European Chamber members are knowledge leaders in their areas of industry, and are the chief contributors to the Chamber's influential publications.
Analysis of the World Economic Forum Global Competitiveness Report 2017/18 by Dr. Balraj Kistow, Lecturer and Programme Director at the Arthur Lok Jack Graduate School of Business
Performance of ipo in indian capital marketAnkit Agrawal
This document analyzes IPO performance in the Indian capital market from 2012 to 2016. It finds that the number of IPOs increased after 2014 due to changes in government and positive investor psychology. Most IPOs were in the financial, healthcare, and infrastructure sectors. The financial sector saw the highest amount raised and returns generally tracked the financial index. IPOs were often underpriced initially, leading to good short-term returns, but prices corrected over the long-term. Overall, investing in quality IPOs during hot markets can provide short and long-term returns.
The German Chamber Business Confidence Survey is a key gauge measuring the business sentiment of German companies operating in China. As of 2014 the German Chamber of Commerce in China has nearly 2,400 member companies, representing about 50% of German business in the Middle Kingdom. The survey was conducted between May and June 2014.
TCS reported its financial results for the quarter and fiscal year ending March 2014. For FY2014, TCS reported revenue growth of 29.9% in INR terms and 16.2% in USD terms over the previous fiscal year. Net income for FY2014 grew by 25.4% in INR terms and 22.9% in USD terms over FY2013. In Q4 FY2014, TCS reported revenue growth of 31.2% in INR terms and 15.2% in USD terms over Q4 FY2013. Net income for Q4 FY2014 grew by 16.7% in INR terms and 13% in USD terms over Q4 FY2013. TCS saw strong growth
The document summarizes key findings from the 2016-2017 Global Competitiveness Report about Trinidad and Tobago. It finds that Trinidad and Tobago fell 5 places to rank 94th globally, with a slight decrease in its overall score. Areas of weakness included the macroeconomic environment pillar and innovation and sophistication factors. The document also identifies problematic factors for Trinidad and Tobago's competitiveness like institutional inertia, lack of enforcement, and a culture of inaction based on relationships rather than policy.
The document outlines the SABC's strategic roadmap, including its financial position, major cost drivers and revenue streams, and cost of mandate. It discusses turnaround plans such as cost saving measures, increasing TV licence fees and commercial enterprises. Key areas addressed are employee costs, which make up 42% of expenditure, and sports rights which have increased beyond inflation. The roadmap aims to guide SABC to financial sustainability while delivering its public service mandate across television, radio and digital platforms.
FMCG Others segment delivered strong growth in Q2 FY23, with segment revenue up 21.0% YoY. Staples, convenience foods, and discretionary categories performed well. Segment EBITDA margin was 9.5%, mitigating sharp input cost inflation through strategic cost management and premiumization. The company is scaling up its D2C presence and supporting startups in the D2C space. Structural interventions like world-class distributed infrastructure and a focus on diversity & inclusion are helping drive costs and productivity.
The document summarizes a PwC report on working capital performance in the manufacturing sector from 2009-2013. It finds that while revenue growth has stalled, companies have improved working capital performance by focusing on inventory management. However, €100 billion remains trapped in working capital across the industry. The report also notes that performance varies widely, and that improving working capital could release €100-162 billion in additional cash for the industry.
The document discusses the future of healthcare and recommends developing a Boots healthcare app. It proposes that the app includes a health extension with self-diagnosis, online doctor consultation, and symptom checking. An appointment extension is also recommended, which would allow users to book and manage appointments without waiting, quickly and easily with reminders. The overall goal is for Boots to become a leading pharmacy-led health and beauty group through innovative digital healthcare solutions.
This document summarizes the successful conclusion of the NSCAD-New Glasgow Community Residency Program. It discusses the artists' final exhibit and contributions to the community through workshops and lectures over the past year. It also quotes praise from Mayor Barrie MacMillan about the program and resident artists Morgan Salter, M.E. Sparks and Brianne Williams, thanking them for their creative work and engagement with the town.
The document describes a student's project to take and edit photos of Salford City College for use in a magazine cover and articles. The student took photos of various locations around campus, then edited 5 photos in Photoshop using tools like filters, cropping, and adjusting brightness/contrast. The edited photos were saved in JPEG format and organized into folders to meet the needs of designing a magazine promoting Salford City College.
Este documento fornece etapas para elaborar um texto: 1) Pensar no assunto e ter claro o que se quer contar, 2) Planejar reunindo ideias em um esquema, 3) Redigir o esquema em forma de texto, 4) Revisar o texto duas vezes.
Certified Organic Cold Pressed 100% Pure Argan Oil is the perfect for all skin and hair types.
Make sure to buy only 100% pure certified organic Argan oil to be sure that you are buying a product that does not contain any harmful chemicals.
The document includes samples of graphic design work from a student portfolio. It shows two book cover designs for a book on thing theory, as well as posters, motion graphics, advertisements, and other design projects. It also includes the student's resume highlighting their graphic design education and experience.
Bholakumar Sonar has over 15 years of experience in HVAC-R maintenance and repair. He is currently serving as Service In Charge for Delta Nutritives, where he oversees maintenance planning and budgeting for ice cream machinery across Western India. Previously, he has held roles in Australia maintaining automated ice cream vending machines and in India serving Carpigiani and other machinery importers. He aims to take on a challenging role utilizing his skills in HVAC-R equipment, project management, and customer satisfaction.
The storyboard document outlines 11 scenes:
1) An agent is interrogated with punches while tied to a chair.
2) The title sequence shows a car driving down a country road in various shots.
3) The car pulls up next to a field and 5 masked men with guns remove a tied up man from the car boot.
4) The masked men drag the man to the field and put a gun to his head.
The document is a resume for Nichlaus Jay Rowe seeking a position as a technical project manager or electronics technician. It summarizes his experience over 12 years providing administrative, operations leadership and project management support. His background includes roles as a customer engineer, project manager, senior radio technician, lead electronics technician/manager, and aviation electronics technician in the US Navy. He has skills in leadership, project management, communication, troubleshooting, and repair of electronics equipment.
This survey compiled responses from 552 European Chamber member companies and was produced in partnership with Roland Berger Strategy Consultants. European Chamber members are knowledge leaders in their areas of industry, and are the chief contributors to the Chamber's influential publications.
Analysis of the World Economic Forum Global Competitiveness Report 2017/18 by Dr. Balraj Kistow, Lecturer and Programme Director at the Arthur Lok Jack Graduate School of Business
Performance of ipo in indian capital marketAnkit Agrawal
This document analyzes IPO performance in the Indian capital market from 2012 to 2016. It finds that the number of IPOs increased after 2014 due to changes in government and positive investor psychology. Most IPOs were in the financial, healthcare, and infrastructure sectors. The financial sector saw the highest amount raised and returns generally tracked the financial index. IPOs were often underpriced initially, leading to good short-term returns, but prices corrected over the long-term. Overall, investing in quality IPOs during hot markets can provide short and long-term returns.
The German Chamber Business Confidence Survey is a key gauge measuring the business sentiment of German companies operating in China. As of 2014 the German Chamber of Commerce in China has nearly 2,400 member companies, representing about 50% of German business in the Middle Kingdom. The survey was conducted between May and June 2014.
TCS reported its financial results for the quarter and fiscal year ending March 2014. For FY2014, TCS reported revenue growth of 29.9% in INR terms and 16.2% in USD terms over the previous fiscal year. Net income for FY2014 grew by 25.4% in INR terms and 22.9% in USD terms over FY2013. In Q4 FY2014, TCS reported revenue growth of 31.2% in INR terms and 15.2% in USD terms over Q4 FY2013. Net income for Q4 FY2014 grew by 16.7% in INR terms and 13% in USD terms over Q4 FY2013. TCS saw strong growth
The document summarizes key findings from the 2016-2017 Global Competitiveness Report about Trinidad and Tobago. It finds that Trinidad and Tobago fell 5 places to rank 94th globally, with a slight decrease in its overall score. Areas of weakness included the macroeconomic environment pillar and innovation and sophistication factors. The document also identifies problematic factors for Trinidad and Tobago's competitiveness like institutional inertia, lack of enforcement, and a culture of inaction based on relationships rather than policy.
The document outlines the SABC's strategic roadmap, including its financial position, major cost drivers and revenue streams, and cost of mandate. It discusses turnaround plans such as cost saving measures, increasing TV licence fees and commercial enterprises. Key areas addressed are employee costs, which make up 42% of expenditure, and sports rights which have increased beyond inflation. The roadmap aims to guide SABC to financial sustainability while delivering its public service mandate across television, radio and digital platforms.
FMCG Others segment delivered strong growth in Q2 FY23, with segment revenue up 21.0% YoY. Staples, convenience foods, and discretionary categories performed well. Segment EBITDA margin was 9.5%, mitigating sharp input cost inflation through strategic cost management and premiumization. The company is scaling up its D2C presence and supporting startups in the D2C space. Structural interventions like world-class distributed infrastructure and a focus on diversity & inclusion are helping drive costs and productivity.
The document summarizes a PwC report on working capital performance in the manufacturing sector from 2009-2013. It finds that while revenue growth has stalled, companies have improved working capital performance by focusing on inventory management. However, €100 billion remains trapped in working capital across the industry. The report also notes that performance varies widely, and that improving working capital could release €100-162 billion in additional cash for the industry.
- The document discusses Tennant Company's strategy to achieve $1 billion in revenue by 2017 through organic growth. It plans to focus on reaching new customers and markets, continuing product innovation, and maintaining financial discipline.
- Tennant reported 2014 revenues of $822 million and plans to achieve revenue growth through GDP expansion, improving go-to-market strategies, new product introductions, and growth in emerging markets.
- The company will balance growth investments while maintaining its target 12% operating profit margin through standardized global processes and financial discipline.
Bruker q1 2014 earnings presentation finalInvestorBruker
Bruker Corporation reported financial results for Q1 2014 with the following highlights:
- Revenue increased 8% year-over-year to $423.7 million, with growth in all three business segments.
- Non-GAAP earnings per share increased 38% to $0.11 compared to $0.08 in Q1 2013.
- Operating margin expanded 160 basis points to 7.6% driven by revenue growth and operating expense control.
- The company reiterated its full-year 2014 guidance for revenue growth of 3-4% and non-GAAP EPS growth of 10-14%.
The document summarizes the results of the Business Vulnerability Index (BVI) for the first quarter of 2015 in South Africa. The key points are:
- The composite BVI score was 63.8 out of 100, indicating businesses feel "exposed" to risks. This is slightly improved from Q3 2014.
- Vulnerability varied by sector and business size, ranging from 59.3 to 67.6. Small businesses reported the highest vulnerability.
- External factors like crime, weak government, taxes and political instability caused the most vulnerability, with scores below 50. Internal factors scored above 70.
- The study found vulnerability is influenced more by external business constraints outside companies' control than
- The presentation discusses Tennant Company's strategy to achieve $1 billion in revenue by 2017 through organic growth. This will be done by reaching new customers and markets, continuing to deliver innovative products, and maintaining financial discipline.
- Tennant aims to expand globally into key verticals like industrial, education, and healthcare. New channels like e-commerce will also help reach more customers. Tennant's strong product pipeline and technologies like ec-H2O and Orbio will support growth.
- Tennant recognizes the need to continue cost controls and processes that support growth while achieving their 12%+ operating profit margin goal. Maintaining financial strength from improved profitability and cash generation will be important to Tennant's future
- The presentation discusses forward-looking statements which are subject to risks and uncertainties that could cause actual results to differ from expectations.
- It provides key facts about the company's history of dividends, awards, customers and financial performance.
- The company's vision is to lead the global cleaning industry in sustainable innovation to empower customers to create a cleaner world.
This document outlines various local challenges and global trends related to project management. It discusses 10 local challenges including training, resources, empowerment, leadership, motivation, organizational structure, culture, change management, prediction, and balancing customer needs. It also outlines 10 global trends such as agility, mobility, dedicated project management offices, crowdsourcing, the end of email, entrepreneurship, design thinking, chief project officers, analytics and big data, and certification. The document then discusses the author's top 10 critical success factors for project management including training, alignment, readiness, governance, empowerment, ownership, structured agile approaches, shifting from project management to benefits management, and realizing benefits. It provides details on each of these sections.
This document outlines various local challenges and global trends related to project management. It discusses 10 local challenges including issues with training, resources, empowerment, leadership, motivation, structure, culture, change management, prediction, and balancing customer needs. It also outlines 10 global trends such as agility, mobility, dedicated project management offices, crowdsourcing, the end of email, entrepreneurship, design thinking, chief project officers, analytics/big data, and certification. The document then discusses the author's top 10 critical success factors for project management including training, alignment, readiness, governance, empowerment, ownership, using agile methods, shifting from project to benefits management, and realizing benefits.
The document provides details about the business plan of SYNERGISTIC Ltd., which aims to provide electronics maintenance and repair services online. The company's mission is to provide affordable and high-quality electronics repair services. The business goals include launching facilities by 2017, recovering initial investment by 2019, and becoming the top online service provider in Bangladesh by 2040. The plan discusses target markets, organizational structure, products and services, competition analysis, and financial projections.
This document summarizes a conference call discussing the 2014 earnings results of an unnamed bank. The key highlights and financial results discussed include: diversified revenue sources, a reduction in funding costs, an increase in the capital ratio, expansion of loan portfolio sectors, continued management of loan portfolio quality, the FICC business performance, Pine Investimentos transaction volume, diversified sources of funding, and guidance for 2015 that was within expectations. The document provides an agenda and discusses the bank's performance across multiple business lines and financial metrics for the year.
Credit Suisse Presentation, September 18 2014DupontInv
- Matt Trerotola, Senior Vice President of E. I. du Pont de Nemours and Company, presented at the Credit Suisse Basic Materials Conference on September 18, 2014.
- The presentation discussed DuPont's strategic priorities and growth opportunities in key markets like electronics & communications and safety & protection. It provided financial results and highlighted focus areas like innovation, market leadership, and value creation.
- The attached charts included some non-GAAP financial measures but management believes they provide useful insight for investors beyond GAAP measures.
Similar to Business Vulnerability Index - Q3 2014_November (20)
1. QUARTER 3 – 2014
Increasing business operational
and financial challenges
Carel van Aardt & André Ligthelm
Bureau of Market Research, UNISA
2. Contents
1. Economic and Business Environment of SA
2. Business Vulnerability Index Model
3. Findings: Business Vulnerability Index Q3 2014
4. Findings: Business Constraints Q3 2014
5. BVI and Financial Variables
6. Concluding Remarks and Implications
3. BVI – QUARTER 3 2014
Economic and
Business
Environment of SA
4. WEF Competitiveness Report 2014-15
• The good:
– 7th out of 144 countries for financial market development
– 31st for business sophistication
– 32nd for goods market efficiency
– 43rd for innovation
• The bad and the ugly:
– 132nd out of 144 countries for health and primary education
– 113th for labour market efficiency
– 89th for macroeconomic environment
– 86th for higher education and training
5. Business Confidence
• BER Business Confidence Index
60
50
40
30
20
10
• SACCI Business Confidence Index
- July 2014 = 87.9, August 2014 = 89.0, September 2014 = 89.2 – all
lower compared to the corresponding periods of 2013, and all far
lower than the index score of 97.7 at the height of the recession in
2009.
0
Q1 Q2 Q3 Q4 Q1 Q2 Q3
2013 2014
7. Number of Businesses, 2013
Sector Small Medium Large Total
Agriculture, forestry and fishing 20 965 7 695 4 563 33 223
Mining and quarrying 6 406 650 180 7 236
Manufacturing 63 988 13 781 7 619 85 388
Electricity, gas and water 2 720 373 322 3 416
Construction 50 808 11 370 2 871 65 049
Trade 158 123 34 097 5 518 197 738
Transport, storage and communication 21 305 3 009 1 007 25 320
Finance, business services 301 495 33 293 9 421 344 208
Community, social and personal services 159 472 75 426 14 634 249 533
Total 785 282 179 693 46 135 1 011 111
8. The importance of the formal business
sector in wealth creation
• The proportion of workers employed in the formal
business sector of South Africa amounts to around 70% of
the total number of employed persons.
• In 2012, total business income amounted to R6 612 billion
which is 2.1 times the size of GDP.
• These figures clearly indicate the importance of the
business sector in South Africa as a driver of economic
growth and employment creation.
9. BVI – QUARTER 3 2014
Business
Vulnerability
Index Model
10. MBD / BMR Business Vulnerability Index
• Complements CFVI (70% jobs in business sector)
• Confirms importance of business development
• Identifies variables impacting on business vulnerability
• Tracks changes in risks factors longitudinally
• Disaggregation: sector and size
• Ultimately identifies risk factors for business
development
• More than merely analysing business cycle movements
11. Survey Methodology
• Cornerstone = regular business surveys
• Modelled on OECD Handbook
• Sample frame = full corpographic landscape
(excluding informal/survivalists)
• Quotas: sector and size
• Telephone interviews: senior managers/owners
• Establishment of a business panel
12. Research Instrument
• Two scales:
- improvement/deterioration of risk factors
during past 6 months
- seriousness of a list of constraints that affect
business operations
• Rating on a 10-point scale
• Elevated to an index (=100) for the BVI and
constraints index
13. Interpreting the BVI & Level of Constraints
BVI: Index score Level of vulnerability
1 – 29.9 Extremely vulnerable
30 – 49.9 Vulnerable
50 – 69.9 Exposed
70 - 100 Secure
Index score of constraints Seriousness of constraint
1 – 29.9 Very serious constraint
30 – 49.9 Serious constraint
50 – 69.9 Mild constraint
70 - 100 No constraint
BVI:
Constraints:
14. BVI Variables (changes over last 6 months)
1. International business environment
- International economic growth
- Opportunities for exports
- Import prices
2. SA macroeconomic environment
- SA macroeconomy
- SA business environment
3. Financial position of business
- Cash flow position of business
- Net wealth (balance sheet) of business
- Long-term financial sustainability
4. Business competitiveness
- Level of confidence in conducting business
- Level of confidence in the future of business
15. BVI Variables (changes over last 6 months)
5. Major business constraints
- Political environment
- Policy uncertainty
- Weak government
- Government red tape/bureaucracy
- Municipal rates and taxes
- Ease of doing business
- Labour quality
- Labour stability
- Poor work ethic
- Restrictive labour regulations
- Level of crime and corruption
- Quality of infrastructure
- Access to finance
- Price inflation
16. BVI - QUARTER 3 2014
Findings:
Business
Vulnerability
Index
18. BVI Index: Q3 2013 to Q3 2014
Business size Q3 2013 Q1 2014 Q3 2014 Change
Q1 to Q3
2014
Small 58.6 60.5 64.3 3.8
Medium 61.5 59.9 57.5 -2.4
Large 63.1 62.3 59.1 -3.2
Composite BVI 61.1 60.9 60.2 -0.7
19. BVI Variables Q3 2014 (most vulnerable aspects)
• Import prices 42.0
• Restrictive labour regulations 42.9
• Political environment 44.3
• Weak government 44.4
• Price inflation 44.4
• Labour stability 44.6
• Red tape and bureaucracy 45.1
• Policy uncertainty 46.3
• Quality of infrastructure 46.6
• International economic growth 47.0
• Municipal utility rates and taxes 48.1
• Poor work ethic 48.7
• Levels of crime and corruption 48.8
• Labour quality 48.8
Exogenous
Vulnerable (index 30-50) Index
20. BVI Variables Q3 2014 (least vulnerable aspects)
• Level of confidence in future of business 64.5
• Opportunities for exports 65.6
• Cash flow position of business 67.0
• Net wealth of business 69.1
• Long-term financial stability of business 71.4
Endogenous
Vulnerable (index above 60) Index
22. Business Constraints
1 = serious constraint, 100 = no constraint
Constraint Q1 2014 Q3 2014 Change Q1 to Q3
Labour stability 57.5 44.6 -12.9
Quality of infrastructure 58.4 46.6 -11.8
Restrictive labour regulations 53.2 42.9 -10.3
Policy uncertainty 55.5 46.3 -9.2
Political environment 53 44.3 -8.7
Labour quality 57.2 48.8 -8.4
Ease of doing business 59.1 53.6 -5.5
Price inflation 49.8 44.4 -5.4
Municipal rates and taxes 48.6 48.1 -0.5
Government red tape and bureaucracy 45.4 45.1 -0.3
Weak government 43.1 44.4 1.3
Level of crime and corruption 42.7 48.8 6.1
23. Business Constraints: By Business Size
Small Medium Large Total
Political environment 49.1 38.8 44.9 44.3
Policy uncertainty 50.2 42.7 46.0 46.3
Weak government 49.2 38.7 45.3 44.4
Government red tape and
bureaucracy 51.1 40.4 44.0 45.1
Municipal rates and taxes 52.0 43.9 48.5 48.1
Ease of doing business 55.3 50.3 55.1 53.6
Labour quality 51.1 47.9 47.5 48.8
24. Business Constraints: By Business Size
Small Medium Large Total
Labour stability 49.4 40.7 43.8 44.6
Poor work ethic 53.8 42.5 49.7 48.7
Restrictive labour regulations 43.8 40.3 44.4 42.9
Level of crime and corruption 55.6 43.4 47.7 48.8
Quality of infrastructure 45.6 47.5 46.7 46.6
Access to finance 48.6 58.2 56.8 54.7
Price inflation 46.8 42.1 44.4 44.4
26. BVI & Financial Variables (all businesses)
Large Medium Small Total
Contribution margin ratio 0.92 0.99 0.94 0.92
Profit margin (%) 5.3 4.1 4.6 5.0
Expenditure to income ratio 0.93 0.99 0.97 0.95
Capex to expenditure ratio 0.07 0.02 0.04 0.06
BVI score (Q3 2014) 59.1 57.5 64.3 60.2
27. BVI & Financial Variables (manufacturing sector)
Large Medium Small Total
Contribution margin ratio 0.95 1.00 0.96 0.96
Profit margin (%) 5.8 5.0 0.4 4.9
Expenditure to income ratio 0.95 0.98 1.01 0.96
Capex to expenditure ratio 0.02 0.01 0.02 0.02
BVI score 57.2 56.9 65.7 59.3
28. BVI & Financial Variables (trade sector)
Large Medium Small Total
Contribution margin ratio 0.95 0.97 0.94 0.95
Profit margin (%) 3.1 -1.2 0.4 1.8
Expenditure to income ratio 0.95 1.06 1.02 0.99
Capex to expenditure ratio 0.02 0.01 0.02 0.02
BVI score 57.2 55.9 61.6 57.9
29. BVI & Financial Variables (transport sector)
Large Medium Small Total
Contribution margin ratio 0.87 0.98 0.89 0.88
Profit margin (%) 4.7 9.3 0.9 4.2
Expenditure to income ratio 0.93 0.89 0.99 0.94
Capex to expenditure ratio 0.19 0.05 0.40 0.22
BVI score 58.6 62.5 61.5 60.9
30. BVI & Financial Variables (finance, business & real estate)
Large Medium Small Total
Contribution margin ratio 0.89 0.99 0.78 0.85
Profit margin (%) 14.2 17.5 14.8 14.7
Expenditure to income ratio 0.85 0.85 0.86 0.85
Capex to expenditure ratio 0.04 0.01 0.01 0.02
BVI score 62.0 61.8 67.4 64.0
31. BVI & Financial Variables (personal & community services)
Large Medium Small Total
Contribution margin ratio 0.86 0.89 0.90 0.88
Profit margin (%) 12.7 12.1 15.9 13.9
Expenditure to income ratio 0.85 0.85 0.84 0.85
Capex to expenditure ratio 0.06 0.03 0.01 0.04
BVI score 62.1 55.9 64.1 61.2
32. BVI - QUARTER 3 2014
Concluding
Remarks and
Implications
33. Concluding remarks
• The macroeconomic environment is becoming less facilitative towards
business growth
• The broader policy, social and political environment in which businesses
operate is also not business friendly
• Most businesses are feeling exposed and constrained
• Government-related (exogenous) constraints are particularly serious
• All sectors and business sizes are exposed to constraints
• Available business financial data reflect the BVI figures in practice
34. Implications
The following are the most important implications for credit
managers:
• Businesses are becoming increasingly vulnerable due to
shrinking profit margins, client payment defaults and business
unfriendly environment in which businesses operate
• The ability of businesses to adapt and deal with constraints is an
increasingly important indicator of anti-fragility
• Other predictors of business success: product/service
diversification and innovation, in-house skills development,
strategies to become more competitive, improved cash-flow
management, visionary leadership, etc.