E-commerce: the challenge of virtual permanent establishments
- Adlkofer, Michelle Leigh, Venter, Michelle
- Authors: Adlkofer, Michelle Leigh , Venter, Michelle
- Date: 2015
- Subjects: Organisation for Economic Co-operation and Development , Electronic commerce , Electronic commerce -- Taxation , Double taxation -- Treaties , Globalization
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:921 , http://hdl.handle.net/10962/d1020057
- Description: The continued growth of world commerce has led to the advance of the permanent establishment principles. These principles are, however, constantly challenged by the developments of e-commerce. This thesis considers the taxing of a permanent establishment and the influence of e-commerce on the concept of a permanent establishment. In 2000, the Organisation for Economic Co-operation and Development (“OECD”) developed and introduced guidelines on how to deal with e-commerce in the context of a permanent establishment. Since the OECD guidelines on e-commerce were issued, the permanent establishment principles have come under further scrutiny. The latest development came about in 2013 with the release of the Base Erosion and Profit Shifting (“BEPS”) Action Plan. This Action Plan addresses the intention of the OECD to deal with the taxing of the digital economy. With the development of e-commerce and the result of e-commerce creating intangible boundaries between countries, the concept of a virtual permanent establishment has emerged. This has resulted in the need to tax a presence of an enterprise in a jurisdiction where no actual physical connection can be established. Various authors have made suggestions on how to ensure that an economy in which business is being carried on is correctly compensated for in the form of taxes. The source of income is the driving force for the imposition of taxation today. The main goal of this thesis was to explore the alignment of the concepts of a permanent establishment and e-commerce in the digital economy. This study therefore examined the concepts of both permanent establishments and e-commerce, and explored authors’ views and suggestions on how to deal with the inter-related effects of these two concepts. The relevant Action Points in the OECD Action Plan were also considered. , Maiden name: Venter, Michelle
- Full Text:
- Date Issued: 2015
- Authors: Adlkofer, Michelle Leigh , Venter, Michelle
- Date: 2015
- Subjects: Organisation for Economic Co-operation and Development , Electronic commerce , Electronic commerce -- Taxation , Double taxation -- Treaties , Globalization
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:921 , http://hdl.handle.net/10962/d1020057
- Description: The continued growth of world commerce has led to the advance of the permanent establishment principles. These principles are, however, constantly challenged by the developments of e-commerce. This thesis considers the taxing of a permanent establishment and the influence of e-commerce on the concept of a permanent establishment. In 2000, the Organisation for Economic Co-operation and Development (“OECD”) developed and introduced guidelines on how to deal with e-commerce in the context of a permanent establishment. Since the OECD guidelines on e-commerce were issued, the permanent establishment principles have come under further scrutiny. The latest development came about in 2013 with the release of the Base Erosion and Profit Shifting (“BEPS”) Action Plan. This Action Plan addresses the intention of the OECD to deal with the taxing of the digital economy. With the development of e-commerce and the result of e-commerce creating intangible boundaries between countries, the concept of a virtual permanent establishment has emerged. This has resulted in the need to tax a presence of an enterprise in a jurisdiction where no actual physical connection can be established. Various authors have made suggestions on how to ensure that an economy in which business is being carried on is correctly compensated for in the form of taxes. The source of income is the driving force for the imposition of taxation today. The main goal of this thesis was to explore the alignment of the concepts of a permanent establishment and e-commerce in the digital economy. This study therefore examined the concepts of both permanent establishments and e-commerce, and explored authors’ views and suggestions on how to deal with the inter-related effects of these two concepts. The relevant Action Points in the OECD Action Plan were also considered. , Maiden name: Venter, Michelle
- Full Text:
- Date Issued: 2015
Sources of change in the money stock
- Smith, Robert Ayreton Bailey
- Authors: Smith, Robert Ayreton Bailey
- Date: 2015
- Subjects: Money supply -- South Africa , Money -- South Africa , Banks and banking, Central -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1118 , http://hdl.handle.net/10962/d1017543
- Description: This research provides an historical, theoretical and practical appraisal of exogenous and endogenous money and money creation, with South Africa as the focus of the practical investigation. Monetary theory of recent decades can be categorised as belonging to one of two distinct paradigms: mainstream (neoclassical) or post Keynesian. The mainstream (orthodox) view presents a Euclidian or Cartesian, ergodic, deductive, and axiomatic theoretical interpretation of the world. This is perpetuated through the continued, and inaccurate, depiction in academia of exogenous money creation, the money multiplier concept, asset transformation by banks, imposed alterations to the money stock by central banks and long-run closed system equilibrium models (and associated homogeneity, and long term behavioural assumptions). In the real world, economic agents, structures, institutions and their interrelations are perpetually evolving. The post Keynesian paradigm provides the theoretical framework within which to understand such a world. Unfortunately the necessity for a multiplicity of methods and methodology makes it a paradigm that is currently prohibitively complex, preventing simple exposition. Money creation should, both historically, and according to the analysis conducted, be defined according to the actual source of change in the money stock, that is, credit extension. In a nonergodic world, changes in the stock of money take on a causal role with regard the initiation of productive processes, and thus influence future economic conditions. The simple, although powerful, technique of balance sheet analysis conducted herein provides a detailed method of identification of causal changes in money stock. Within the context of the institutional and structural environment, it clearly demonstrates the residual nature of money m modern economies. This research serves to emphasise the importance of monetary matters for economic management, as well as the important difference between the money creation process and the residual deposit securities. It serves also to discourage the perpetuation of fallacies of money creation, and capabilities of monetary authorities. In South Africa, as in most countries, the central bank can influence the conditions under which borrowers and banks mutually create money, but do not themselves create or distribute money beyond the facilitation of credit extension by banks
- Full Text:
- Date Issued: 2015
- Authors: Smith, Robert Ayreton Bailey
- Date: 2015
- Subjects: Money supply -- South Africa , Money -- South Africa , Banks and banking, Central -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1118 , http://hdl.handle.net/10962/d1017543
- Description: This research provides an historical, theoretical and practical appraisal of exogenous and endogenous money and money creation, with South Africa as the focus of the practical investigation. Monetary theory of recent decades can be categorised as belonging to one of two distinct paradigms: mainstream (neoclassical) or post Keynesian. The mainstream (orthodox) view presents a Euclidian or Cartesian, ergodic, deductive, and axiomatic theoretical interpretation of the world. This is perpetuated through the continued, and inaccurate, depiction in academia of exogenous money creation, the money multiplier concept, asset transformation by banks, imposed alterations to the money stock by central banks and long-run closed system equilibrium models (and associated homogeneity, and long term behavioural assumptions). In the real world, economic agents, structures, institutions and their interrelations are perpetually evolving. The post Keynesian paradigm provides the theoretical framework within which to understand such a world. Unfortunately the necessity for a multiplicity of methods and methodology makes it a paradigm that is currently prohibitively complex, preventing simple exposition. Money creation should, both historically, and according to the analysis conducted, be defined according to the actual source of change in the money stock, that is, credit extension. In a nonergodic world, changes in the stock of money take on a causal role with regard the initiation of productive processes, and thus influence future economic conditions. The simple, although powerful, technique of balance sheet analysis conducted herein provides a detailed method of identification of causal changes in money stock. Within the context of the institutional and structural environment, it clearly demonstrates the residual nature of money m modern economies. This research serves to emphasise the importance of monetary matters for economic management, as well as the important difference between the money creation process and the residual deposit securities. It serves also to discourage the perpetuation of fallacies of money creation, and capabilities of monetary authorities. In South Africa, as in most countries, the central bank can influence the conditions under which borrowers and banks mutually create money, but do not themselves create or distribute money beyond the facilitation of credit extension by banks
- Full Text:
- Date Issued: 2015
Sport consumption patterns in the Eastern Cape: cricket spectators as sporting univores or omnivores
- Authors: Brock, Kelcey
- Date: 2015
- Subjects: Cricket -- South Africa -- Eastern Cape , Cricket -- Social aspects , Consumption (Economics) , Consumer behavior
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1115 , http://hdl.handle.net/10962/d1017534
- Description: Since its inception, consumption behaviour theory has developed to account for the important social aspect that underpins or at least to some extent can be used to explain consumption behaviour. Modern consumption behaviour theory is anthropocentric in nature, with people and societal influence at the forefront of the theory. To date, empirical studies on consumption behaviour of cultural activities (for example, music and arts), entertainment and sport have used Bourdieu’s (1984) omnivore/univore theory to suggest that consumption of leisure activities is bound up in social ties. To date, no such investigation has been conducted in the context of sport in South Africa. The aim of the study therefore is to investigate whether South African cricket spectators are sporting omnivores or univores, thus, essentially investigating whether sports consumption behaviour in South Africa is bound up in social ties. A number of positive economic and social ramifications could result from gaining a holistic understanding of sports consumption behaviour in South Africa. Given these ramifications, the secondary goal of the research is to identify motives for consumers making specific sport consumption decisions, and determining whether certain characteristics can be attributed to these consumption decisions. Recommendations based on the findings of the research could help various stakeholders understand sports consumption patterns in South Africa, which could in turn lead to the realization of positive economic and social benefits. The study made use of a questionnaire, administered at four different limited overs cricket matches in the 2012/13 cricket season, to obtain a range of responses reflecting specific types of consumption behaviour as well as motives for consumption decisions of cricket spectators in the Eastern Cape. Using individual binary probit models and post estimation F-tests, the results indicate that consumption behaviour of sport within South Africa predominantly differs on the grounds of education and race. This suggests that there are aspects of social connotations underpinning sports consumption behaviour within South Africa
- Full Text:
- Date Issued: 2015
Sport consumption patterns in the Eastern Cape: cricket spectators as sporting univores or omnivores
- Authors: Brock, Kelcey
- Date: 2015
- Subjects: Cricket -- South Africa -- Eastern Cape , Cricket -- Social aspects , Consumption (Economics) , Consumer behavior
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1115 , http://hdl.handle.net/10962/d1017534
- Description: Since its inception, consumption behaviour theory has developed to account for the important social aspect that underpins or at least to some extent can be used to explain consumption behaviour. Modern consumption behaviour theory is anthropocentric in nature, with people and societal influence at the forefront of the theory. To date, empirical studies on consumption behaviour of cultural activities (for example, music and arts), entertainment and sport have used Bourdieu’s (1984) omnivore/univore theory to suggest that consumption of leisure activities is bound up in social ties. To date, no such investigation has been conducted in the context of sport in South Africa. The aim of the study therefore is to investigate whether South African cricket spectators are sporting omnivores or univores, thus, essentially investigating whether sports consumption behaviour in South Africa is bound up in social ties. A number of positive economic and social ramifications could result from gaining a holistic understanding of sports consumption behaviour in South Africa. Given these ramifications, the secondary goal of the research is to identify motives for consumers making specific sport consumption decisions, and determining whether certain characteristics can be attributed to these consumption decisions. Recommendations based on the findings of the research could help various stakeholders understand sports consumption patterns in South Africa, which could in turn lead to the realization of positive economic and social benefits. The study made use of a questionnaire, administered at four different limited overs cricket matches in the 2012/13 cricket season, to obtain a range of responses reflecting specific types of consumption behaviour as well as motives for consumption decisions of cricket spectators in the Eastern Cape. Using individual binary probit models and post estimation F-tests, the results indicate that consumption behaviour of sport within South Africa predominantly differs on the grounds of education and race. This suggests that there are aspects of social connotations underpinning sports consumption behaviour within South Africa
- Full Text:
- Date Issued: 2015
Earnings quality and equity returns : evidence of the accrual anomaly from the South African equity market
- Authors: Lutchmun, Thashveen
- Date: 2015
- Subjects: Earnings management -- South Africa , Accounting -- Standards
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:915 , http://hdl.handle.net/10962/d1017537
- Description: A key incentive for accounting research is to provide evidence on the usefulness of earnings in making economic decisions. Of particular interest over the last two decades is the issue of the quality of financial reporting, specifically the quality of earnings, given the number of global financial scandals reported during that period. The quality of earnings is driven by the choices, estimates and judgments that the accounting standards make available to managers in order to portray the firm’s economic position and performance in a timely and credible manner. However, this leeway in financial reporting also creates opportunities for earnings management. The objective of this thesis is firstly to establish whether earnings manipulation has had the ability to predict cross-sectional returns in South Africa during the 2007-2014 period. In other words, the purpose of this thesis is to find evidence whether the market reacts to earnings management practices, as measured by accruals, and rewards high earnings quality companies with higher equity returns (a process known as the accrual anomaly). The timeframe selected for the research encompasses the global financial crisis, a period in which accounting manipulation incentives are likely to be strong. Secondly, this study attempts to establish the presence of the accrual anomaly amongst growth and value firms. The motivations for earnings management of the former are expected to be strong. Securities are allocated to portfolios according to accruals and the subsequent equity returns are analysed cross-sectionally to establish the existence of the accrual anomaly and hence assessing the usefulness of earnings manipulation in predicting equity returns. To provide evidence for the presence of the accrual anomaly amongst growth and value shares, securities are independently allocated to portfolios according to their book-to-market ratio and accruals and a cross-sectional analysis is performed on their subsequent equity returns. In order to increase the robustness of the tests, two measures of accruals are used: a balance sheet approach and a cash flow measure. Evidence is provided for the presence of the accrual anomaly among South African listed companies for the balance sheet measure of accruals but not the cash flow approach. Whilst the accrual anomaly is significantly present in a growth-neutral-value construct, statistical significance is not established when growth and value shares are considered individually.
- Full Text:
- Date Issued: 2015
- Authors: Lutchmun, Thashveen
- Date: 2015
- Subjects: Earnings management -- South Africa , Accounting -- Standards
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:915 , http://hdl.handle.net/10962/d1017537
- Description: A key incentive for accounting research is to provide evidence on the usefulness of earnings in making economic decisions. Of particular interest over the last two decades is the issue of the quality of financial reporting, specifically the quality of earnings, given the number of global financial scandals reported during that period. The quality of earnings is driven by the choices, estimates and judgments that the accounting standards make available to managers in order to portray the firm’s economic position and performance in a timely and credible manner. However, this leeway in financial reporting also creates opportunities for earnings management. The objective of this thesis is firstly to establish whether earnings manipulation has had the ability to predict cross-sectional returns in South Africa during the 2007-2014 period. In other words, the purpose of this thesis is to find evidence whether the market reacts to earnings management practices, as measured by accruals, and rewards high earnings quality companies with higher equity returns (a process known as the accrual anomaly). The timeframe selected for the research encompasses the global financial crisis, a period in which accounting manipulation incentives are likely to be strong. Secondly, this study attempts to establish the presence of the accrual anomaly amongst growth and value firms. The motivations for earnings management of the former are expected to be strong. Securities are allocated to portfolios according to accruals and the subsequent equity returns are analysed cross-sectionally to establish the existence of the accrual anomaly and hence assessing the usefulness of earnings manipulation in predicting equity returns. To provide evidence for the presence of the accrual anomaly amongst growth and value shares, securities are independently allocated to portfolios according to their book-to-market ratio and accruals and a cross-sectional analysis is performed on their subsequent equity returns. In order to increase the robustness of the tests, two measures of accruals are used: a balance sheet approach and a cash flow measure. Evidence is provided for the presence of the accrual anomaly among South African listed companies for the balance sheet measure of accruals but not the cash flow approach. Whilst the accrual anomaly is significantly present in a growth-neutral-value construct, statistical significance is not established when growth and value shares are considered individually.
- Full Text:
- Date Issued: 2015
The economics of institutions, institutional governance and efficiency: the case of water distribution in Lower Sundays River Valley
- Authors: Madigele, Patricia Kefilwe
- Date: 2015
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/54777 , vital:26611
- Description: The institutional dynamics, policies and legislation that were prevalent during the apartheid era have left imprints that are difficult to ignore as they still dictate the interaction between different elements in the water sector to date. During the apartheid era, the formulation of policies was informed by racial segregation, resulting in a socio-economic pattern that dictated the distribution and access of resources for the people of different races in the country. Post-apartheid, the National Water Act has established the basis for management of water resources on a catchment basis (for equity, efficiency and sustainability), and the Water Services Act aims to ensure everybody has access to basic water supply and sanitation services. Regardless of the improvements in water supply to the rural sector made by the South African government, many of the current patterns of water use are still characterised by inequality, inefficiency, and inadequacy. The poor remain marginalised, and emerging farmers and poor rural communities have limited access to water resources while water continues to be used inefficiently by some farmers in the agricultural sector with few incentives to improve its water use efficiency. Despite the existence of the thriving citrus industry in the area, around 60% of people in the Sundays River Valley Municipality (SRVM) live below the poverty datum line. The inequality between the municipal populace and the commercial citrus industry is noticeable and the inequitable water redistribution is prevalent in the Lower Sundays River Valley (LSRV). The problem of disrupted water supply is prevalent in the catchment. However, there is also currently no physical shortage of water in the catchment. Therefore, the currently experienced problems with water supply in the LSRV are consequence of a lack of effective institutions and infrastructure, not of physical water scarcity. It is argued in this paper that there is a notable lack of understanding about the design of institutions for water management in developing countries. The vast majority of research on water management and access is premised on neoclassical economics ideas related to water markets and pricing among others. The neoclassical economics approach, however, does not adequately define the role of institutions in shaping the direction of water access and supply. This study uses new institutional economics (NIE) arguments to define the institutional arrangements and dynamics defining the water sector in South Africa, using the Lower Sunday River Water Users Association (LSR-WUA) as the case study. It aims at analysing the institutional governance and performance of the using equity, efficiency and effectiveness as key indicators. The various research methods employed in this study include; interpretive and post-positivist paradigms, quantitative and qualitative research, the case study research method and in-depth key informant interviews. It is concluded that that the current and future decisions made by the LSR-WUA are not entirely independent of those made in the past under Sundays River Irrigation Board (SRIB). The thesis argues that such factors as old effective networks, vested interests of commercial farmers, sunk costs towards the building of canals, among other factors, may have influenced the dependence of the LSR-WUA on the SRIB’s set path. It is further concluded that the absence of contractual agreement between the LRS-WUA which acts as the bulk water supplier, and the SRVM which acts as both the water services authority (WSA) and the water service provider (WSP) creates an institutional arrangement deficiency. Such an institutional arrangement vacuum can lead to a failure of the water institutions in the catchment to provide water resources effectively. The study further argues that because the post-apartheid National Water Policy of South Africa is largely influenced by neoclassical economics foundations, the desired results in the water sector, such as equitable distribution of water resources, have not yet been fulfilled completely.
- Full Text:
- Date Issued: 2015
- Authors: Madigele, Patricia Kefilwe
- Date: 2015
- Language: English
- Type: text , Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10962/54777 , vital:26611
- Description: The institutional dynamics, policies and legislation that were prevalent during the apartheid era have left imprints that are difficult to ignore as they still dictate the interaction between different elements in the water sector to date. During the apartheid era, the formulation of policies was informed by racial segregation, resulting in a socio-economic pattern that dictated the distribution and access of resources for the people of different races in the country. Post-apartheid, the National Water Act has established the basis for management of water resources on a catchment basis (for equity, efficiency and sustainability), and the Water Services Act aims to ensure everybody has access to basic water supply and sanitation services. Regardless of the improvements in water supply to the rural sector made by the South African government, many of the current patterns of water use are still characterised by inequality, inefficiency, and inadequacy. The poor remain marginalised, and emerging farmers and poor rural communities have limited access to water resources while water continues to be used inefficiently by some farmers in the agricultural sector with few incentives to improve its water use efficiency. Despite the existence of the thriving citrus industry in the area, around 60% of people in the Sundays River Valley Municipality (SRVM) live below the poverty datum line. The inequality between the municipal populace and the commercial citrus industry is noticeable and the inequitable water redistribution is prevalent in the Lower Sundays River Valley (LSRV). The problem of disrupted water supply is prevalent in the catchment. However, there is also currently no physical shortage of water in the catchment. Therefore, the currently experienced problems with water supply in the LSRV are consequence of a lack of effective institutions and infrastructure, not of physical water scarcity. It is argued in this paper that there is a notable lack of understanding about the design of institutions for water management in developing countries. The vast majority of research on water management and access is premised on neoclassical economics ideas related to water markets and pricing among others. The neoclassical economics approach, however, does not adequately define the role of institutions in shaping the direction of water access and supply. This study uses new institutional economics (NIE) arguments to define the institutional arrangements and dynamics defining the water sector in South Africa, using the Lower Sunday River Water Users Association (LSR-WUA) as the case study. It aims at analysing the institutional governance and performance of the using equity, efficiency and effectiveness as key indicators. The various research methods employed in this study include; interpretive and post-positivist paradigms, quantitative and qualitative research, the case study research method and in-depth key informant interviews. It is concluded that that the current and future decisions made by the LSR-WUA are not entirely independent of those made in the past under Sundays River Irrigation Board (SRIB). The thesis argues that such factors as old effective networks, vested interests of commercial farmers, sunk costs towards the building of canals, among other factors, may have influenced the dependence of the LSR-WUA on the SRIB’s set path. It is further concluded that the absence of contractual agreement between the LRS-WUA which acts as the bulk water supplier, and the SRVM which acts as both the water services authority (WSA) and the water service provider (WSP) creates an institutional arrangement deficiency. Such an institutional arrangement vacuum can lead to a failure of the water institutions in the catchment to provide water resources effectively. The study further argues that because the post-apartheid National Water Policy of South Africa is largely influenced by neoclassical economics foundations, the desired results in the water sector, such as equitable distribution of water resources, have not yet been fulfilled completely.
- Full Text:
- Date Issued: 2015
Recent developments in banking supervision and the soundness of the financial system : a comparative study of South Africa, Brazil and China
- Authors: Gutu, Taurai Fortune
- Date: 2015
- Subjects: Basel III (2010) , Bank management -- South Africa , Bank management -- Brazil , Bank management -- China , Global Financial Crisis, 2008-2009 , Ratio analysis , Liquidity (Economics)
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1130 , http://hdl.handle.net/10962/d1020892
- Description: While the 2008 financial crisis has come and gone, its effects on the global financial sector still show. Globalisation has since changed the way that banks do business, and increased competitiveness and with it the level of risk within the international banking community. Therefore, because of these prolonged effects of the financial crisis and the rise in the level of risk in banking, regulators deemed it fit to make the global financial sector safer and sounder. As a result, the BASEL III Capital Accord was introduced with tighter capital adequacy and liquidity ratio requirements; as well as also introducing the leverage ratio. In this paper, through the study of the rules and regulations on banks in South Africa, Brazil and China, it was discovered that all three countries have since begun the implementation of the new Accord as from January 2013. While preparatory measures may be different, there is a general sense of regulatory alignment among the three countries. By analysing the capital adequacy, liquidity and leverage ratios of the three countries, it was also established that these ratios are interconnected, with the capital adequacy ratio being the most important one. The study concludes that, with proper implementation of these ratios and effective management, countries implementing the BASEL III regulations would be in a stronger position to achieve soundness in their banking systems. , Gutu, Taurai Fortunate
- Full Text:
- Date Issued: 2015
- Authors: Gutu, Taurai Fortune
- Date: 2015
- Subjects: Basel III (2010) , Bank management -- South Africa , Bank management -- Brazil , Bank management -- China , Global Financial Crisis, 2008-2009 , Ratio analysis , Liquidity (Economics)
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1130 , http://hdl.handle.net/10962/d1020892
- Description: While the 2008 financial crisis has come and gone, its effects on the global financial sector still show. Globalisation has since changed the way that banks do business, and increased competitiveness and with it the level of risk within the international banking community. Therefore, because of these prolonged effects of the financial crisis and the rise in the level of risk in banking, regulators deemed it fit to make the global financial sector safer and sounder. As a result, the BASEL III Capital Accord was introduced with tighter capital adequacy and liquidity ratio requirements; as well as also introducing the leverage ratio. In this paper, through the study of the rules and regulations on banks in South Africa, Brazil and China, it was discovered that all three countries have since begun the implementation of the new Accord as from January 2013. While preparatory measures may be different, there is a general sense of regulatory alignment among the three countries. By analysing the capital adequacy, liquidity and leverage ratios of the three countries, it was also established that these ratios are interconnected, with the capital adequacy ratio being the most important one. The study concludes that, with proper implementation of these ratios and effective management, countries implementing the BASEL III regulations would be in a stronger position to achieve soundness in their banking systems. , Gutu, Taurai Fortunate
- Full Text:
- Date Issued: 2015
The effect of strike action on the value and volatility of the South African Rand
- Authors: Gordon, Ross Patrick
- Date: 2015
- Subjects: Foreign exchange rates -- South Africa , Strikes and lockouts -- South Africa -- Economic aspects , South Africa -- Foreign economic relations , South Africa -- Economic conditions -- 1991- , Rand, South African , Dollar, American
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1124 , http://hdl.handle.net/10962/d1020018
- Description: This study analyses whether the advent of strike action has an effect on the value and volatility of the South African Rand compared with the US Dollar. The literature suggests that strike action can have a significant effect on the exchange rate in terms of either value or volatility, and consequences can result that cause inefficiencies in the economy; inhibiting employment and economic growth. Strike action has become common place in South Africa, with 2012 alone recording 99 strikes, 45 of which were “wildcat” or unprotected strikes. This study uses GARCH and Intervention Analyses to determine what the resulting effects of the strikes might be on the exchange rate. The analysis used ZAR/USD exchange rate data for the period January 2000 to October 2013, and covered 72 of the most significant strikes in terms of lost man-days. The results are mixed, suggesting that the effects of strikes do not always conform to expectations (increased volatility and a depreciation in the Rand), and that outside factors affecting the global economy may have a more significant effect on the exchange rate than strikes on their own.
- Full Text:
- Date Issued: 2015
- Authors: Gordon, Ross Patrick
- Date: 2015
- Subjects: Foreign exchange rates -- South Africa , Strikes and lockouts -- South Africa -- Economic aspects , South Africa -- Foreign economic relations , South Africa -- Economic conditions -- 1991- , Rand, South African , Dollar, American
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1124 , http://hdl.handle.net/10962/d1020018
- Description: This study analyses whether the advent of strike action has an effect on the value and volatility of the South African Rand compared with the US Dollar. The literature suggests that strike action can have a significant effect on the exchange rate in terms of either value or volatility, and consequences can result that cause inefficiencies in the economy; inhibiting employment and economic growth. Strike action has become common place in South Africa, with 2012 alone recording 99 strikes, 45 of which were “wildcat” or unprotected strikes. This study uses GARCH and Intervention Analyses to determine what the resulting effects of the strikes might be on the exchange rate. The analysis used ZAR/USD exchange rate data for the period January 2000 to October 2013, and covered 72 of the most significant strikes in terms of lost man-days. The results are mixed, suggesting that the effects of strikes do not always conform to expectations (increased volatility and a depreciation in the Rand), and that outside factors affecting the global economy may have a more significant effect on the exchange rate than strikes on their own.
- Full Text:
- Date Issued: 2015
The tax consequences of a contingent liability disposed of as part of the sale of a business as a going concern
- Authors: Staude, Daylan
- Date: 2015
- Subjects: Sale of business enterprises -- Taxation -- South Africa , Sale of business enterprises -- Law and legislation -- South Africa , Tax deductions -- South Africa , Contingent liabilities (Accounting) -- Taxation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:918 , http://hdl.handle.net/10962/d1017544
- Description: The sale of an entity as a going concern has a number of tax consequences for both the purchaser and the seller. The tax deductibility of a contingent liability upon its transfer from the seller to the purchaser, where the selling price has been reduced by the value of the contingent liabilities transferred, remains uncertain following the decision in Ackermans Ltd v Commissioner for the South African Revenue Service. An expense is either deductible under a specific section of the Income Tax Act, 58 of 1962, or under the general expense provisions in terms of sections 11(a) and 23(g). The Act does not contain a specific section relating to contingent liabilities and therefore a contingent liability will need to be considered for deduction under these sections. The Act further disallows an expense as a deduction under section 23(e), where a reserve is created (for example a leave pay provision). This study analyses the tax deductibility of a contingent liability, where the contingent liability has been transferred from the seller to the purchaser in a sale of an entity as a going concern and the purchase price has been reduced to compensate for the transfer of the contingent liability. The deductibility of the contingent liability was first assessed in terms of the provisions of the Act (sections 11(a), 23(g) and 23(e)) and associated case law. The decision in the Ackermans case and its preceding Income Tax Case 1839 was then analysed in order to establish the principles arising from the decisions. Finally the proposals in the Draft Taxation Laws Amendment Bill, 2011, and the subsequent Discussion Document issued by the South African Revenue Service were discussed. The analysis revealed the continuing confusion surrounding the status quo, thus demonstrating the importance of legislative intervention to provide guidelines for taxpayers.
- Full Text:
- Date Issued: 2015
- Authors: Staude, Daylan
- Date: 2015
- Subjects: Sale of business enterprises -- Taxation -- South Africa , Sale of business enterprises -- Law and legislation -- South Africa , Tax deductions -- South Africa , Contingent liabilities (Accounting) -- Taxation -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:918 , http://hdl.handle.net/10962/d1017544
- Description: The sale of an entity as a going concern has a number of tax consequences for both the purchaser and the seller. The tax deductibility of a contingent liability upon its transfer from the seller to the purchaser, where the selling price has been reduced by the value of the contingent liabilities transferred, remains uncertain following the decision in Ackermans Ltd v Commissioner for the South African Revenue Service. An expense is either deductible under a specific section of the Income Tax Act, 58 of 1962, or under the general expense provisions in terms of sections 11(a) and 23(g). The Act does not contain a specific section relating to contingent liabilities and therefore a contingent liability will need to be considered for deduction under these sections. The Act further disallows an expense as a deduction under section 23(e), where a reserve is created (for example a leave pay provision). This study analyses the tax deductibility of a contingent liability, where the contingent liability has been transferred from the seller to the purchaser in a sale of an entity as a going concern and the purchase price has been reduced to compensate for the transfer of the contingent liability. The deductibility of the contingent liability was first assessed in terms of the provisions of the Act (sections 11(a), 23(g) and 23(e)) and associated case law. The decision in the Ackermans case and its preceding Income Tax Case 1839 was then analysed in order to establish the principles arising from the decisions. Finally the proposals in the Draft Taxation Laws Amendment Bill, 2011, and the subsequent Discussion Document issued by the South African Revenue Service were discussed. The analysis revealed the continuing confusion surrounding the status quo, thus demonstrating the importance of legislative intervention to provide guidelines for taxpayers.
- Full Text:
- Date Issued: 2015
Teacher perceptions regarding training and their subsequent ability to integrate ICTs into marginalised rural schools : The ICT4RED Case Study
- Authors: Nkula, Kanya Zonke
- Date: 2015
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:20978 , http://hdl.handle.net/10962/5798
- Description: It is well documented that Information and Communication Technologies (ICTs) play an important role in education and that their use is associated with improving student learning and adding value to the curriculum. However, despite the opportunities that ICTs offer, numerous schools in South Africa face various barriers that result in the limited use of ICTs in the classroom. Literature has highlighted the lack of integration as one of these barriers. Teachers focus on teaching about ICTs where the focus is on developing computer literacy or technical knowledge rather than allowing students to learn through or with ICTs. This thesis aims to explore the concept of ICT integration in rural schools, where ICTs form an integral part of teaching and learning practices. It presents a number of theoretical considerations for ICT integration with a particular focus on teacher pedagogical beliefs and barriers to integration. Using interpretivism as the underlying philosophy and thematic analysis as the analysis tool, the author reflects on ICT integration in the ICT4RED project at Arthur Mfebe Senior Secondary School in the Eastern Cape Province. Furthermore, this thesis offers an in-depth understanding of integration barriers in rural marginalised schools. These barriers are presented in Thematic Maps as well as a framework which incorporates both theoretical considerations and themes that emerged from fieldwork.
- Full Text:
- Date Issued: 2015
- Authors: Nkula, Kanya Zonke
- Date: 2015
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:20978 , http://hdl.handle.net/10962/5798
- Description: It is well documented that Information and Communication Technologies (ICTs) play an important role in education and that their use is associated with improving student learning and adding value to the curriculum. However, despite the opportunities that ICTs offer, numerous schools in South Africa face various barriers that result in the limited use of ICTs in the classroom. Literature has highlighted the lack of integration as one of these barriers. Teachers focus on teaching about ICTs where the focus is on developing computer literacy or technical knowledge rather than allowing students to learn through or with ICTs. This thesis aims to explore the concept of ICT integration in rural schools, where ICTs form an integral part of teaching and learning practices. It presents a number of theoretical considerations for ICT integration with a particular focus on teacher pedagogical beliefs and barriers to integration. Using interpretivism as the underlying philosophy and thematic analysis as the analysis tool, the author reflects on ICT integration in the ICT4RED project at Arthur Mfebe Senior Secondary School in the Eastern Cape Province. Furthermore, this thesis offers an in-depth understanding of integration barriers in rural marginalised schools. These barriers are presented in Thematic Maps as well as a framework which incorporates both theoretical considerations and themes that emerged from fieldwork.
- Full Text:
- Date Issued: 2015
The meaning of expenditure actually incurred in the context of share-based payments for trading stock or services rendered
- Authors: Nguta, Mbulelo
- Date: 2015
- Subjects: South African Revenue Service , Labat Africa , Stocks -- Taxation -- Law and legislation -- South Africa , Income tax deductions for expenses , Income tax -- Accounting -- Law and legislation -- South Africa , Actions and defenses
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:920 , http://hdl.handle.net/10962/d1018661
- Description: Section 11(a) of the Income Tax Act 58 of 1962 entitles taxpayers to a deduction in respect of expenditure actually incurred, provided that all the other requirements of section 11 and section 23 of the Act have been met. A company may issue its own shares, credited as fully paid up, as a payment for trading stock or services rendered, as was the case in C:SARS v Labat Africa (2011) 74 SATC 1. The question that was raised by this decision is whether the issue of shares constitutes “expenditure” as contemplated in section 11(a) of the Act. It is trite that a share in a company is a bundle of rights which entitle the holder to dividends when declared and to a vote in shareholders’ meetings and that a share does not come into the hands of a shareholder by way of transfer from the company, but is rather created as a bundle of rights for him in the company. In C: SARS v Labat Africa, the Supreme Court of Appeal decided that to issue shares as a payment for goods is not expenditure as contemplated in section 11(a) of the Act. The Act does not define “expenditure”. It has been interpreted in certain cases as a payment of money or disbursement, while it has been interpreted as the undertaking of a legal obligation in other cases. The Labat Africa case has been criticised for its interpretation of expenditure on the grounds that it is contrary to the principle that “actually incurred” does not mean “actually paid”. This research has argued that, in the context of the Labat Africa case, which related to an issue of shares in payment for goods, Harms AP’s judgment was concerned with showing why a share issue is not expenditure. He could not have intended to deny a deduction to transactions such as credit purchases.
- Full Text:
- Date Issued: 2015
- Authors: Nguta, Mbulelo
- Date: 2015
- Subjects: South African Revenue Service , Labat Africa , Stocks -- Taxation -- Law and legislation -- South Africa , Income tax deductions for expenses , Income tax -- Accounting -- Law and legislation -- South Africa , Actions and defenses
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:920 , http://hdl.handle.net/10962/d1018661
- Description: Section 11(a) of the Income Tax Act 58 of 1962 entitles taxpayers to a deduction in respect of expenditure actually incurred, provided that all the other requirements of section 11 and section 23 of the Act have been met. A company may issue its own shares, credited as fully paid up, as a payment for trading stock or services rendered, as was the case in C:SARS v Labat Africa (2011) 74 SATC 1. The question that was raised by this decision is whether the issue of shares constitutes “expenditure” as contemplated in section 11(a) of the Act. It is trite that a share in a company is a bundle of rights which entitle the holder to dividends when declared and to a vote in shareholders’ meetings and that a share does not come into the hands of a shareholder by way of transfer from the company, but is rather created as a bundle of rights for him in the company. In C: SARS v Labat Africa, the Supreme Court of Appeal decided that to issue shares as a payment for goods is not expenditure as contemplated in section 11(a) of the Act. The Act does not define “expenditure”. It has been interpreted in certain cases as a payment of money or disbursement, while it has been interpreted as the undertaking of a legal obligation in other cases. The Labat Africa case has been criticised for its interpretation of expenditure on the grounds that it is contrary to the principle that “actually incurred” does not mean “actually paid”. This research has argued that, in the context of the Labat Africa case, which related to an issue of shares in payment for goods, Harms AP’s judgment was concerned with showing why a share issue is not expenditure. He could not have intended to deny a deduction to transactions such as credit purchases.
- Full Text:
- Date Issued: 2015
An analysis of public equity offerings listed on the Johannesburg Stock Exchange (JSE)
- Authors: Van Heerden, Gillian
- Date: 2015
- Subjects: Stock exchanges -- South Africa -- Johannesburg
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1119 , http://hdl.handle.net/10962/d1017546
- Description: The underpricing of initial public offerings (IPOs) and their subsequent low long-run performance represents one of the anomalies observed in primary markets worldwide. However, the depth and breadth of it varies from country to country, and sector to sector. Literature has documented that the phenomenon surrounding the long-run post issue performance of IPOs is not unique and that quite similar patterns can be found regarding firms making seasoned equity offerings (SEOs). This study is an empirical analysis of public equity offerings listed on the Johannesburg Stock Exchange (JSE). Using data for 141 South African IPOs that were listed on the JSE Mainboard from 2001 to 2010, significant short-run underpricing is found. A sector wise analysis of three broad sectors indicated that the ‘other’ sector had the largest IPO underpricing after the first few days of trading. The year-wise analysis is also documented. In the long-run this study showed that IPOs in South Africa underperformed two out of three benchmarks in 36 full months post listing. In contrast, using data for 50 South African SEOs during 2003 to 2010, superior SEO performance is found over a 36-month period when assessed using a size and industry adjusted benchmark. Various cross-sectional and time-series patterns in the aftermarket performance of IPO and SEO firms are also documented
- Full Text:
- Date Issued: 2015
- Authors: Van Heerden, Gillian
- Date: 2015
- Subjects: Stock exchanges -- South Africa -- Johannesburg
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1119 , http://hdl.handle.net/10962/d1017546
- Description: The underpricing of initial public offerings (IPOs) and their subsequent low long-run performance represents one of the anomalies observed in primary markets worldwide. However, the depth and breadth of it varies from country to country, and sector to sector. Literature has documented that the phenomenon surrounding the long-run post issue performance of IPOs is not unique and that quite similar patterns can be found regarding firms making seasoned equity offerings (SEOs). This study is an empirical analysis of public equity offerings listed on the Johannesburg Stock Exchange (JSE). Using data for 141 South African IPOs that were listed on the JSE Mainboard from 2001 to 2010, significant short-run underpricing is found. A sector wise analysis of three broad sectors indicated that the ‘other’ sector had the largest IPO underpricing after the first few days of trading. The year-wise analysis is also documented. In the long-run this study showed that IPOs in South Africa underperformed two out of three benchmarks in 36 full months post listing. In contrast, using data for 50 South African SEOs during 2003 to 2010, superior SEO performance is found over a 36-month period when assessed using a size and industry adjusted benchmark. Various cross-sectional and time-series patterns in the aftermarket performance of IPO and SEO firms are also documented
- Full Text:
- Date Issued: 2015
An analysis of the risk adjusted returns of active versus passive South African general equity unit trusts during varying economic periods: an individual investor's perspective
- Authors: Ferreira, James Stuart
- Date: 2015
- Subjects: Mutual funds , Global Financial Crisis, 2008-2009 , Risk assessment , Financial crises -- South Africa , Portfolio management , Financial planners
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1207 , http://hdl.handle.net/10962/d1019753
- Description: This thesis used the events of the 2007 financial crisis as a means of being able to add to the research already done on South African unit trusts. The objective was to study the risk-adjusted performance of South African general equity unit trusts against the market during the period between 2005 and 2014. This period took into account the bull market preceding the financial crisis, the market crash of 2007 and the subsequent market recovery that followed. Data was obtained online through the I-Net BFA data base and included 161 general equity unit trusts that contained a full data set. In addition to the general equity unit trusts, the Satrix40 was studied to compare a passive unit trust against those that are actively managed. The 10 year Government bond was also used as a risk-free rate to add to the comparisons of performance results. The Sharpe, Treynor and Jensen measures were applied to the data with the results adding more support to the opinions that markets are fairly efficient and active investment strategies are being challenged by consistently well performing passive investments. Throughout the duration of the study, taking into account the varying economic cycles, the Satrix40 passive investment showed the best average overall return on simple return calculations as well as during the risk-adjusted measurements. In support of active investment management, unit trusts showed their best relative performance figures during the period of the financial crisis. This suggested that active financial managers were able to make the active calls necessary to weather the storm of the financial crisis. While the study did have its limitations, the results it produced are intended to offer investors further knowledge in enabling them to make more educated investment decisions in the future.
- Full Text:
- Date Issued: 2015
- Authors: Ferreira, James Stuart
- Date: 2015
- Subjects: Mutual funds , Global Financial Crisis, 2008-2009 , Risk assessment , Financial crises -- South Africa , Portfolio management , Financial planners
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1207 , http://hdl.handle.net/10962/d1019753
- Description: This thesis used the events of the 2007 financial crisis as a means of being able to add to the research already done on South African unit trusts. The objective was to study the risk-adjusted performance of South African general equity unit trusts against the market during the period between 2005 and 2014. This period took into account the bull market preceding the financial crisis, the market crash of 2007 and the subsequent market recovery that followed. Data was obtained online through the I-Net BFA data base and included 161 general equity unit trusts that contained a full data set. In addition to the general equity unit trusts, the Satrix40 was studied to compare a passive unit trust against those that are actively managed. The 10 year Government bond was also used as a risk-free rate to add to the comparisons of performance results. The Sharpe, Treynor and Jensen measures were applied to the data with the results adding more support to the opinions that markets are fairly efficient and active investment strategies are being challenged by consistently well performing passive investments. Throughout the duration of the study, taking into account the varying economic cycles, the Satrix40 passive investment showed the best average overall return on simple return calculations as well as during the risk-adjusted measurements. In support of active investment management, unit trusts showed their best relative performance figures during the period of the financial crisis. This suggested that active financial managers were able to make the active calls necessary to weather the storm of the financial crisis. While the study did have its limitations, the results it produced are intended to offer investors further knowledge in enabling them to make more educated investment decisions in the future.
- Full Text:
- Date Issued: 2015
The interrelationships between foreign direct investment and economic growth in Africa
- Authors: Bolani, Lindelwa Mandisa
- Date: 2015
- Subjects: Investments, Foreign -- Africa , Economic development -- Africa , Africa -- Economic conditions -- 1960- , Africa -- Foreign economic relations , Gross domestic product -- Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1123 , http://hdl.handle.net/10962/d1019885
- Description: There has been a long search for the keys to development and economic growth in Africa. This study investigates the relationship between FDI and economic growth over the period 2000-2012 using data from 48 African countries. On the aggregate regional level FDI and economic growth were found to be positively correlated during this period. Using panel data econometric techniques and the Panel Granger Causality test, results revealed that a bi-directional causality relationship existed between FDI and GDP. Thus, the results suggest that GDP is a requirement for increased investment, and at the same time is the result of increased foreign investment. Thus, the conclusion is that African policy makers are justified in increasing their attempts to create an attractive business environment for foreign investors, as it is beneficial for economic growth.
- Full Text:
- Date Issued: 2015
- Authors: Bolani, Lindelwa Mandisa
- Date: 2015
- Subjects: Investments, Foreign -- Africa , Economic development -- Africa , Africa -- Economic conditions -- 1960- , Africa -- Foreign economic relations , Gross domestic product -- Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1123 , http://hdl.handle.net/10962/d1019885
- Description: There has been a long search for the keys to development and economic growth in Africa. This study investigates the relationship between FDI and economic growth over the period 2000-2012 using data from 48 African countries. On the aggregate regional level FDI and economic growth were found to be positively correlated during this period. Using panel data econometric techniques and the Panel Granger Causality test, results revealed that a bi-directional causality relationship existed between FDI and GDP. Thus, the results suggest that GDP is a requirement for increased investment, and at the same time is the result of increased foreign investment. Thus, the conclusion is that African policy makers are justified in increasing their attempts to create an attractive business environment for foreign investors, as it is beneficial for economic growth.
- Full Text:
- Date Issued: 2015
The impact of internal behavioural decision-making biases on South African collective investment scheme performance
- Authors: Muller, Stacey Leigh
- Date: 2015
- Subjects: Decision making , Investment analysis , Efficient market theory , Consumer behavior , Behavioral assessment , Mutual funds
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1209 , http://hdl.handle.net/10962/d1020308
- Description: Market efficiency, based on people acting rationally, has been the dominating finance theory for most of the 20th and 21st Century’s. This classical finance theory is based on assumptions that people are rational, they absorb all available information and maximise utility. This view is outdated; it has been shown that people are in fact irrational and that this could be the cause of anomalies in the market. Behavioural finance takes into account people, and their natural biases. Behavioural finance has integrated classical financial theories and psychological theories to illustrate the way in which irrational people can impact market efficiency. This research looks at the way collective investment scheme manager decision-making can impact market efficiency. Specifically the behavioural biases: overconfidence, over optimism, loss aversion and frame dependence and whether or not collective investment scheme performance is affected by these. This research was carried out using a questionnaire distributed directly to CIS managers and risk-adjusted returns were used in order to allow for comparative results. The results from the questionnaire show evidence that actively managing South African CIS managers do indeed suffer from overconfidence and loss aversion and they do not appear to suffer from frame dependence or over optimism in this research context. There was also evidence showing that managers who suffer from these biases also demonstrated lower investment returns. “The investor’s chief problem, and even his worst enemy, is likely to be himself.” - Benjamin Graham
- Full Text:
- Date Issued: 2015
- Authors: Muller, Stacey Leigh
- Date: 2015
- Subjects: Decision making , Investment analysis , Efficient market theory , Consumer behavior , Behavioral assessment , Mutual funds
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1209 , http://hdl.handle.net/10962/d1020308
- Description: Market efficiency, based on people acting rationally, has been the dominating finance theory for most of the 20th and 21st Century’s. This classical finance theory is based on assumptions that people are rational, they absorb all available information and maximise utility. This view is outdated; it has been shown that people are in fact irrational and that this could be the cause of anomalies in the market. Behavioural finance takes into account people, and their natural biases. Behavioural finance has integrated classical financial theories and psychological theories to illustrate the way in which irrational people can impact market efficiency. This research looks at the way collective investment scheme manager decision-making can impact market efficiency. Specifically the behavioural biases: overconfidence, over optimism, loss aversion and frame dependence and whether or not collective investment scheme performance is affected by these. This research was carried out using a questionnaire distributed directly to CIS managers and risk-adjusted returns were used in order to allow for comparative results. The results from the questionnaire show evidence that actively managing South African CIS managers do indeed suffer from overconfidence and loss aversion and they do not appear to suffer from frame dependence or over optimism in this research context. There was also evidence showing that managers who suffer from these biases also demonstrated lower investment returns. “The investor’s chief problem, and even his worst enemy, is likely to be himself.” - Benjamin Graham
- Full Text:
- Date Issued: 2015
An investigation into the use of social media channels within the South African retail banking environment in support of creating and maintaining brand loyalty
- Authors: Purohit, Ashish
- Date: 2015
- Subjects: Social media -- Economic aspects , Banks and banking -- Internet marketing -- South Africa , Bank marketing -- South Africa , Brand loyalty -- South Africa , Branding (Marketing) -- South Africa , Structural equation modeling
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1157 , http://hdl.handle.net/10962/d1018920
- Description: The use of social media in the retail banking environment has changed the way the banking industry communicates with customers, creates sales and performs marketing and operational tasks. Social media strategies need to be aligned to business goals and effectively used to integrate social media as part of the overall marketing strategy. Only by understanding brand loyalty, multi-channel systems and social media channels can marketers effectively implement social media. In measuring brand loyalty, factors that influence customer buying behaviour and components that influence online interaction are essential in engaging different groups of customers in social media. This research study aimed to examine the use of social media within the South African retail banking environment with a focus on creating and maintaining brand loyalty. An exploratory, mixed method research design was employed. Data collection instruments used in the study includes online surveys, structured interviews, and focus groups. Participants consisted of marketing personnel and customers. Three lead/head social media marketing personnel participated in the interview process, 14 marketing personnel took the online survey and 4 participated in a focus group. Participants for the online survey also consisted of 40 customers who were connected through the internet and performed various online banking activities. Data was analysed both quantitatively and qualitatively. Data from the online surveys completed by customers was analysed quantitatively using descriptive analysis, structural equation modelling (SEM) and factor analysis which was performed on the brand loyalty variables and the brand loyalty measures. Content analysis was used to qualitatively analyse data from the structured interviews. Data from the online surveys completed by marketing personnel was analysed quantitatively and qualitatively. Findings indicated that social media forms an integral part of the marketing strategy that needs be aligned with the core business goals. Banks therefore need to focus on creating campaigns that are fun, exciting and appealing to the target market. A culture of innovation and new ideas is essential to grow the product/service. Building brand trust and creating customer satisfaction forms the core of creating brand loyalty on social media. Banks need to be aware of factors that influence customer brand loyalty and components that influence loyalty on social media in order to measure things that matter through analytical tools so that an actionable strategy can be put in place and implemented.
- Full Text:
- Date Issued: 2015
- Authors: Purohit, Ashish
- Date: 2015
- Subjects: Social media -- Economic aspects , Banks and banking -- Internet marketing -- South Africa , Bank marketing -- South Africa , Brand loyalty -- South Africa , Branding (Marketing) -- South Africa , Structural equation modeling
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1157 , http://hdl.handle.net/10962/d1018920
- Description: The use of social media in the retail banking environment has changed the way the banking industry communicates with customers, creates sales and performs marketing and operational tasks. Social media strategies need to be aligned to business goals and effectively used to integrate social media as part of the overall marketing strategy. Only by understanding brand loyalty, multi-channel systems and social media channels can marketers effectively implement social media. In measuring brand loyalty, factors that influence customer buying behaviour and components that influence online interaction are essential in engaging different groups of customers in social media. This research study aimed to examine the use of social media within the South African retail banking environment with a focus on creating and maintaining brand loyalty. An exploratory, mixed method research design was employed. Data collection instruments used in the study includes online surveys, structured interviews, and focus groups. Participants consisted of marketing personnel and customers. Three lead/head social media marketing personnel participated in the interview process, 14 marketing personnel took the online survey and 4 participated in a focus group. Participants for the online survey also consisted of 40 customers who were connected through the internet and performed various online banking activities. Data was analysed both quantitatively and qualitatively. Data from the online surveys completed by customers was analysed quantitatively using descriptive analysis, structural equation modelling (SEM) and factor analysis which was performed on the brand loyalty variables and the brand loyalty measures. Content analysis was used to qualitatively analyse data from the structured interviews. Data from the online surveys completed by marketing personnel was analysed quantitatively and qualitatively. Findings indicated that social media forms an integral part of the marketing strategy that needs be aligned with the core business goals. Banks therefore need to focus on creating campaigns that are fun, exciting and appealing to the target market. A culture of innovation and new ideas is essential to grow the product/service. Building brand trust and creating customer satisfaction forms the core of creating brand loyalty on social media. Banks need to be aware of factors that influence customer brand loyalty and components that influence loyalty on social media in order to measure things that matter through analytical tools so that an actionable strategy can be put in place and implemented.
- Full Text:
- Date Issued: 2015
The influence of organisational culture on a high commitment work system and organisational commitment : the case of a Chinese multinational corporation in South Africa
- Authors: Mabuza, Linda Tengetile
- Date: 2015
- Subjects: Corporate culture -- South Africa , Corporate culture -- Cross-cultural studies , International business enterprises -- South Africa , Investments, Chinese -- South Africa , Organizational commitment -- South Africa , Performance -- Management , Host countries (Business) , Personnel management -- South Africa , South Africa -- Foreign economic relations -- China
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1205 , http://hdl.handle.net/10962/d1017768
- Description: Chinese presence in Africa has been rapidly increasing in the past few years and has been speculated to be mainly due to China seeking Africa’s political alliance and access to Africa’s natural resources and growing consumer markets. The growing presence of Chinese organisations in Africa, however, has not been without its challenges. In particular, Chinese multinational corporations (MNCs) in search of consumer markets in Africa have been cited as facing human resource (HR) challenges which may affect their organisational performance. In this regard, literature on human resource management has already established the important role of organisational culture, HR practices and organisational commitment in enabling organisations to achieve superior organisational performance. Given the fact that there is currently little research knowledge of Chinese presence in Africa at the organisational level, this research aimed to contribute empirical knowledge to the growing body of research in this area. Specifically, the main purpose of this research was to examine how the organisational culture of a Chinese MNC’s South African subsidiary has shaped the nature of its high commitment work system (HCWS) and to assess the consequences thereof on organisational commitment. In alignment with the phenomenological paradigm, the research applied a descriptive and explanatory case study methodology in order to generate rich, qualitative data which was required for in-depth descriptions and to uncover the underlying interactions of the researched phenomena at the subsidiary. The selected case for the research was, therefore, a Chinese MNC operating in the personal computer (PC) industry, which had expanded its operations to South Africa in order to reach Africa’s growing consumer markets. In particular, the South African subsidiary served as a PC sales and distribution organisation for the Chinese MNC. There were about 40 employees at the subsidiary who were all South African employees. Semi-structured, in-depth interviews were conducted with twelve employees from different job functions and across different job levels. Data collection was guided by the theoretical frameworks by Cameron and Freeman (1991) for organisational culture and Xiao and Bjorkman (2006) for the HCWS and organisational commitment. The data collected from interviews was then analysed through a qualitative, content analysis process. The findings of the research thus pointed to the market culture as the dominant organisational culture type at the South African subsidiary of the Chinese MNC; characteristics of the adhocracy and clan cultures were also discovered. The externally oriented market culture was found to be the most relevant for the high performance and market leadership aspirations of the subsidiary. The market culture also appears to be the most appropriate organisational culture that would enable the subsidiary to deal with the competitive nature of the PC industry. Furthermore, it was found that certain cultural values emphasised by the Confucian and Ubuntu value systems could have had a part to play in the formation of the subsidiary’s organisational culture. The market culture was also found to have had the greatest influence in shaping the primarily performance oriented HCWS practices. Of the investigated HR practices at the subsidiary, all were found to be consistent with HCWS practices, with the exception of ownership practices and the performance appraisal system. Finally, although there were generally high levels of organisational commitment reported at the subsidiary, other job and organisational context factors besides the HCWS practices were found to be the major contributors to those feelings of organisational commitment. By investigating the organisational culture, HCWS and organisational commitment of a Chinese MNC in South Africa, this research has added to the body of knowledge concerning the growing presence of Chinese organisations in Africa. Based on the empirical findings of this study, several recommendations have been made in an attempt to assist the Chinese MNC manage the organisational commitment of its South African employees towards superior organisational performance.
- Full Text:
- Date Issued: 2015
- Authors: Mabuza, Linda Tengetile
- Date: 2015
- Subjects: Corporate culture -- South Africa , Corporate culture -- Cross-cultural studies , International business enterprises -- South Africa , Investments, Chinese -- South Africa , Organizational commitment -- South Africa , Performance -- Management , Host countries (Business) , Personnel management -- South Africa , South Africa -- Foreign economic relations -- China
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:1205 , http://hdl.handle.net/10962/d1017768
- Description: Chinese presence in Africa has been rapidly increasing in the past few years and has been speculated to be mainly due to China seeking Africa’s political alliance and access to Africa’s natural resources and growing consumer markets. The growing presence of Chinese organisations in Africa, however, has not been without its challenges. In particular, Chinese multinational corporations (MNCs) in search of consumer markets in Africa have been cited as facing human resource (HR) challenges which may affect their organisational performance. In this regard, literature on human resource management has already established the important role of organisational culture, HR practices and organisational commitment in enabling organisations to achieve superior organisational performance. Given the fact that there is currently little research knowledge of Chinese presence in Africa at the organisational level, this research aimed to contribute empirical knowledge to the growing body of research in this area. Specifically, the main purpose of this research was to examine how the organisational culture of a Chinese MNC’s South African subsidiary has shaped the nature of its high commitment work system (HCWS) and to assess the consequences thereof on organisational commitment. In alignment with the phenomenological paradigm, the research applied a descriptive and explanatory case study methodology in order to generate rich, qualitative data which was required for in-depth descriptions and to uncover the underlying interactions of the researched phenomena at the subsidiary. The selected case for the research was, therefore, a Chinese MNC operating in the personal computer (PC) industry, which had expanded its operations to South Africa in order to reach Africa’s growing consumer markets. In particular, the South African subsidiary served as a PC sales and distribution organisation for the Chinese MNC. There were about 40 employees at the subsidiary who were all South African employees. Semi-structured, in-depth interviews were conducted with twelve employees from different job functions and across different job levels. Data collection was guided by the theoretical frameworks by Cameron and Freeman (1991) for organisational culture and Xiao and Bjorkman (2006) for the HCWS and organisational commitment. The data collected from interviews was then analysed through a qualitative, content analysis process. The findings of the research thus pointed to the market culture as the dominant organisational culture type at the South African subsidiary of the Chinese MNC; characteristics of the adhocracy and clan cultures were also discovered. The externally oriented market culture was found to be the most relevant for the high performance and market leadership aspirations of the subsidiary. The market culture also appears to be the most appropriate organisational culture that would enable the subsidiary to deal with the competitive nature of the PC industry. Furthermore, it was found that certain cultural values emphasised by the Confucian and Ubuntu value systems could have had a part to play in the formation of the subsidiary’s organisational culture. The market culture was also found to have had the greatest influence in shaping the primarily performance oriented HCWS practices. Of the investigated HR practices at the subsidiary, all were found to be consistent with HCWS practices, with the exception of ownership practices and the performance appraisal system. Finally, although there were generally high levels of organisational commitment reported at the subsidiary, other job and organisational context factors besides the HCWS practices were found to be the major contributors to those feelings of organisational commitment. By investigating the organisational culture, HCWS and organisational commitment of a Chinese MNC in South Africa, this research has added to the body of knowledge concerning the growing presence of Chinese organisations in Africa. Based on the empirical findings of this study, several recommendations have been made in an attempt to assist the Chinese MNC manage the organisational commitment of its South African employees towards superior organisational performance.
- Full Text:
- Date Issued: 2015
An analysis of the income tax consequences resulting from implementing the Income Tax Bill (2012) in Zimbabwe
- Authors: Kanyenze, Rumbidzai
- Date: 2015
- Subjects: Income tax deductions -- Zimbabwe , Income tax -- Law and legislation -- Zimbabwe
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:914 , http://hdl.handle.net/10962/d1017536
- Description: The Income Tax Bill (2012) proposes certain changes to the existing Income Tax Act that will impact on the method used to determine the taxable income of a taxpayer in Zimbabwe. Therefore, it is important to understand the tax consequences the Income Tax Bill creates for the taxpayer. The research aimed to elaborate on and explain the tax consequences that will arise as a result of applying the Income Tax Bill in Zimbabwe. The research was based on a qualitative method which involved the analysis and the interpretation of extracts from legislation and articles written on the proposed changes. The current “gross income” of a taxpayer consists of amounts earned from a source within or deemed to be from within Zimbabwe The proposed changes to the Act will change the tax system to a residence-based system, where resident taxpayers are taxed on amounts earned from all sources. Therefore, the driving factor which determines the taxability of an amount will become the taxpayer’s residency. Clause 2 of the proposed Act provides that income earned by a taxpayer should be separated into employment income, business income, property income and other specified income. This will make it unnecessary to determine the nature of an amount because capital amounts will be subject to income tax. The current Act provides for the deduction of expenditure incurred for the purpose of trade or in the production of income. Section 31(1)(a) of the proposed Act will restrict permissible deductions to expenditure incurred in the production of income. Consequently, expenditure not incurred for the purpose of earning income will no longer be deductible when the Income Tax Bill is implemented. The proposed Income Tax Act will increase the taxable income of a taxpayer as it makes amounts that are not currently subject to tax taxable, whilst restricting the deductions claimable.
- Full Text:
- Date Issued: 2015
- Authors: Kanyenze, Rumbidzai
- Date: 2015
- Subjects: Income tax deductions -- Zimbabwe , Income tax -- Law and legislation -- Zimbabwe
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:914 , http://hdl.handle.net/10962/d1017536
- Description: The Income Tax Bill (2012) proposes certain changes to the existing Income Tax Act that will impact on the method used to determine the taxable income of a taxpayer in Zimbabwe. Therefore, it is important to understand the tax consequences the Income Tax Bill creates for the taxpayer. The research aimed to elaborate on and explain the tax consequences that will arise as a result of applying the Income Tax Bill in Zimbabwe. The research was based on a qualitative method which involved the analysis and the interpretation of extracts from legislation and articles written on the proposed changes. The current “gross income” of a taxpayer consists of amounts earned from a source within or deemed to be from within Zimbabwe The proposed changes to the Act will change the tax system to a residence-based system, where resident taxpayers are taxed on amounts earned from all sources. Therefore, the driving factor which determines the taxability of an amount will become the taxpayer’s residency. Clause 2 of the proposed Act provides that income earned by a taxpayer should be separated into employment income, business income, property income and other specified income. This will make it unnecessary to determine the nature of an amount because capital amounts will be subject to income tax. The current Act provides for the deduction of expenditure incurred for the purpose of trade or in the production of income. Section 31(1)(a) of the proposed Act will restrict permissible deductions to expenditure incurred in the production of income. Consequently, expenditure not incurred for the purpose of earning income will no longer be deductible when the Income Tax Bill is implemented. The proposed Income Tax Act will increase the taxable income of a taxpayer as it makes amounts that are not currently subject to tax taxable, whilst restricting the deductions claimable.
- Full Text:
- Date Issued: 2015
Encouraging individual retirement savings in South Africa
- Authors: Hirschbeck, Lisa
- Date: 2015
- Subjects: Retirement income -- Planning-- South Africa , Retirement income -- Government policy -- South Africa , Pension trusts -- South Africa -- Management , Pension trusts -- Termination -- Law and legislation -- South Africa , Income tax deductions for retirement contributions -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:913 , http://hdl.handle.net/10962/d1017535
- Description: Many South Africans may not have adequate retirement savings when they retire and this has the effect of a low income replacement ratio on retirement that may lead to a decrease in the standard of living of the retiree and in extreme cases the retiree becoming dependent on their family and the government. Owing to this trend of no or inadequate retirement savings, South Africa embarked on a retirement reform journey in 2004. The goal of this research is to determine whether the retirement reform mechanisms outlined by National Treasury would encourage individual retirement savings that should assist South Africans to achieve stability of income in their retirement. This research analysed the current retirement savings options and vehicles available for South Africans, the current tax incentives and disincentives and reviewed the proposed changes to tax incentives and disincentives during the accumulation phase of retirement savings and explained how these proposed tax incentives are harmonised for the accumulation phase of retirement. The research explained how National Treasury aims to limit pre-retirement withdrawals and how it intends to encourage the annuitisation of post-retirement benefits. The penultimate chapter of this research measured the effect (by making certain assumptions) of the changes proposed by National Treasury on the income replacement ratio of the retiree. Throughout the research comparisons were made between The OECD Roadmap for the good design of defined contribution pension plans and National Treasury’s proposals. This research did not directly address the effect of increased life expectancies on retirement savings or increases in youth unemployment and the effect that this may have on retirement savings. The effect of financial charges levied on retirement savings on the income replacement ratio of a retiree was also not explored. Furthermore, not all pension funds are regulated by the Pension Funds Act and how these pension funds can be brought within the purview of the Pension Funds Act was not investigated. Automatic enrolment of retirement savings for all employees in South Africa in retirement vehicles is a further research area that could be addressed.
- Full Text:
- Date Issued: 2015
- Authors: Hirschbeck, Lisa
- Date: 2015
- Subjects: Retirement income -- Planning-- South Africa , Retirement income -- Government policy -- South Africa , Pension trusts -- South Africa -- Management , Pension trusts -- Termination -- Law and legislation -- South Africa , Income tax deductions for retirement contributions -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:913 , http://hdl.handle.net/10962/d1017535
- Description: Many South Africans may not have adequate retirement savings when they retire and this has the effect of a low income replacement ratio on retirement that may lead to a decrease in the standard of living of the retiree and in extreme cases the retiree becoming dependent on their family and the government. Owing to this trend of no or inadequate retirement savings, South Africa embarked on a retirement reform journey in 2004. The goal of this research is to determine whether the retirement reform mechanisms outlined by National Treasury would encourage individual retirement savings that should assist South Africans to achieve stability of income in their retirement. This research analysed the current retirement savings options and vehicles available for South Africans, the current tax incentives and disincentives and reviewed the proposed changes to tax incentives and disincentives during the accumulation phase of retirement savings and explained how these proposed tax incentives are harmonised for the accumulation phase of retirement. The research explained how National Treasury aims to limit pre-retirement withdrawals and how it intends to encourage the annuitisation of post-retirement benefits. The penultimate chapter of this research measured the effect (by making certain assumptions) of the changes proposed by National Treasury on the income replacement ratio of the retiree. Throughout the research comparisons were made between The OECD Roadmap for the good design of defined contribution pension plans and National Treasury’s proposals. This research did not directly address the effect of increased life expectancies on retirement savings or increases in youth unemployment and the effect that this may have on retirement savings. The effect of financial charges levied on retirement savings on the income replacement ratio of a retiree was also not explored. Furthermore, not all pension funds are regulated by the Pension Funds Act and how these pension funds can be brought within the purview of the Pension Funds Act was not investigated. Automatic enrolment of retirement savings for all employees in South Africa in retirement vehicles is a further research area that could be addressed.
- Full Text:
- Date Issued: 2015
Taxing the Minerals Sector in South Africa: a comparative analysis of the proposed tax model for South Africa and the models adopted in selected African countries
- Authors: Van den Berg, Jana
- Date: 2015
- Subjects: Industrial minerals -- Taxation -- South Africa , Industrial minerals -- Taxation -- Developing countries , Industrial minerals -- Law and legislation -- South Africa , Industrial minerals -- Law and legislation -- Developing countries
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:919 , http://hdl.handle.net/10962/d1017545
- Description: The State Intervention in the Minerals Sector Report emerged as a resolution during the 3rd National General Council Resolution on Economic Transformation held in 2012, during which the Council stated that: “The ANC’s approach to economic transformation of the South African economy should always be holistic and comprehensive, covering all sectors of the economy. In this regard, the ANC should ensure greater state involvement and control of strategic sectors of the economy, such as mining, energy, the financial sector and others.” It was for this reason that the National General Council mandated the National Executive Committee to ensure that further work be done on ways in which the African National Congress can implement economic transformation in sectors such as the mining industry. It was suggested that methods including research, study tours and discussions be conducted to gather the required information. As a result of the research, The State Intervention in the Minerals Sector Report emerged. In The State Intervention in the Minerals Sector Report, the mineral sectors of developed as well as developing countries are compared with each other. The developing countries compared included Botswana, Zambia, Ghana, Liberia and Sierra Leone, and these countries have also been selected for the purpose of comparison in the present research. The goal of this study is to analyse the recommendations made in The State Intervention in the Minerals Sector Report regarding State involvement in the minerals sector. To determine whether the economic situation in South Africa is comparable to the five other African countries, an analysis based on demographic indicators, the history of the minerals sector in the various countries, its contribution to the fiscal regime of that country, its economic contribution, as well as the extent of involvement from Government and the model implemented for its involvement, is conducted. According to a work paper published by the World Bank on the world development indicators for 2014, control over metal supply to the economy has been considered vital for political and economic reasons in most societies. It further states that most State-owned mining companies have over the years and, in particular, in developing countries, not been able to operate successfully, leading to privatisation. Poor performance is, however, not necessarily the reason for State ownership. Areas not addressed by this thesis include the Gold Mining industry in South Africa and the Diamond mining industry in Botswana.
- Full Text:
- Date Issued: 2015
- Authors: Van den Berg, Jana
- Date: 2015
- Subjects: Industrial minerals -- Taxation -- South Africa , Industrial minerals -- Taxation -- Developing countries , Industrial minerals -- Law and legislation -- South Africa , Industrial minerals -- Law and legislation -- Developing countries
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:919 , http://hdl.handle.net/10962/d1017545
- Description: The State Intervention in the Minerals Sector Report emerged as a resolution during the 3rd National General Council Resolution on Economic Transformation held in 2012, during which the Council stated that: “The ANC’s approach to economic transformation of the South African economy should always be holistic and comprehensive, covering all sectors of the economy. In this regard, the ANC should ensure greater state involvement and control of strategic sectors of the economy, such as mining, energy, the financial sector and others.” It was for this reason that the National General Council mandated the National Executive Committee to ensure that further work be done on ways in which the African National Congress can implement economic transformation in sectors such as the mining industry. It was suggested that methods including research, study tours and discussions be conducted to gather the required information. As a result of the research, The State Intervention in the Minerals Sector Report emerged. In The State Intervention in the Minerals Sector Report, the mineral sectors of developed as well as developing countries are compared with each other. The developing countries compared included Botswana, Zambia, Ghana, Liberia and Sierra Leone, and these countries have also been selected for the purpose of comparison in the present research. The goal of this study is to analyse the recommendations made in The State Intervention in the Minerals Sector Report regarding State involvement in the minerals sector. To determine whether the economic situation in South Africa is comparable to the five other African countries, an analysis based on demographic indicators, the history of the minerals sector in the various countries, its contribution to the fiscal regime of that country, its economic contribution, as well as the extent of involvement from Government and the model implemented for its involvement, is conducted. According to a work paper published by the World Bank on the world development indicators for 2014, control over metal supply to the economy has been considered vital for political and economic reasons in most societies. It further states that most State-owned mining companies have over the years and, in particular, in developing countries, not been able to operate successfully, leading to privatisation. Poor performance is, however, not necessarily the reason for State ownership. Areas not addressed by this thesis include the Gold Mining industry in South Africa and the Diamond mining industry in Botswana.
- Full Text:
- Date Issued: 2015
An assessment of e-tolling as a method of financing Gauteng roads
- Authors: Ponter, Lloyd Anthony
- Date: 2015
- Subjects: Toll roads -- Taxation -- South Africa -- Gauteng , Electronic Road Pricing System -- South Africa -- Gauteng , Toll roads -- South Africa -- Gauteng -- Cost effectiveness
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:912 , http://hdl.handle.net/10962/d1017185
- Description: E-tolling was recently implemented on roads in Gauteng, South Africa. This gave rise to a great deal of protest by road users and a court battle between the South African National Roads Agency (SANRAL) and the Opposition to Urban Tolling Alliance, a body representing road users. The e-tolling system was criticised at various levels and on numerous grounds, some financial and others appearing to be emotional. This thesis attempted to analyse the various grounds for objection against the system, the main goal of the research being to analyse e-tolling in Gauteng to ascertain whether or not the introduction of e-tolling was justified or whether an alternative method of taxation to pay for the upgrading of Gauteng roads would have been more cost-effective. Secondary data in the form of documents from multiple sources was used in the analysis, including an Economic Impact Assessment that was one of the key inputs into the decision to introduce e-tolling. It was found that there are multiple problems plaguing the e-toll system and e-tolling is not the most cost-effective taxation method of paying for Gauteng roads. Using a fuel levy or general tax revenue available to the National Treasury were both found to be more cost-effective methods as they would have achieved the same result (repairing and upgrading specific Gauteng roads), at a cost of R20,0913 billion less than e-tolling. It was suggested that the best taxation method/s to pay for the roads would have been using a fuel levy and general tax revenue as the primary funding methods, with vehicle licensing fees and long distance toll roads as secondary methods to aid the primary methods.
- Full Text:
- Date Issued: 2015
- Authors: Ponter, Lloyd Anthony
- Date: 2015
- Subjects: Toll roads -- Taxation -- South Africa -- Gauteng , Electronic Road Pricing System -- South Africa -- Gauteng , Toll roads -- South Africa -- Gauteng -- Cost effectiveness
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: vital:912 , http://hdl.handle.net/10962/d1017185
- Description: E-tolling was recently implemented on roads in Gauteng, South Africa. This gave rise to a great deal of protest by road users and a court battle between the South African National Roads Agency (SANRAL) and the Opposition to Urban Tolling Alliance, a body representing road users. The e-tolling system was criticised at various levels and on numerous grounds, some financial and others appearing to be emotional. This thesis attempted to analyse the various grounds for objection against the system, the main goal of the research being to analyse e-tolling in Gauteng to ascertain whether or not the introduction of e-tolling was justified or whether an alternative method of taxation to pay for the upgrading of Gauteng roads would have been more cost-effective. Secondary data in the form of documents from multiple sources was used in the analysis, including an Economic Impact Assessment that was one of the key inputs into the decision to introduce e-tolling. It was found that there are multiple problems plaguing the e-toll system and e-tolling is not the most cost-effective taxation method of paying for Gauteng roads. Using a fuel levy or general tax revenue available to the National Treasury were both found to be more cost-effective methods as they would have achieved the same result (repairing and upgrading specific Gauteng roads), at a cost of R20,0913 billion less than e-tolling. It was suggested that the best taxation method/s to pay for the roads would have been using a fuel levy and general tax revenue as the primary funding methods, with vehicle licensing fees and long distance toll roads as secondary methods to aid the primary methods.
- Full Text:
- Date Issued: 2015