WBES Data Analysis: Factors Affecting Business Performance in South Africa

The report analyzes the impact of different factors on business performance in South Africa using data from the World Bank Enterprises Survey. It highlights the importance of labor relations, access to finance, educated workforce, crime, and corruption. The report also presents findings from descriptive and regression analysis, emphasizing the need to consider external factors while expanding business operations. Subject: Business, Course Code: WBES, College/University: Not mentioned

WBES Data analysis

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................2
a. Exploring the data provided.....................................................................................................2
b. Presenting the factors which need to be analyse.....................................................................3
c. Analysis....................................................................................................................................3
d. Highlight the findings..............................................................................................................7
e. Recommendations....................................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
In order to remain competitive, it is quite essential for the company to keep expanding the
business and analyse the factors that might affect the business performance. The present study is
based upon the scenario in which company wants to expand or opening a branch in South Africa.
For that the data has been collected by World Bank Enterprises Survey (WBES) that determine
different challenges faced by the company and its impact over business analysis in different
countries, which includes corruption, poor infrastructure, crime, access to finance etc. The
current report will determine the factors that cause direct impact over the business activity that
helps to determine what actions need to be taken by the company in order to improve the
business performance.
a. Exploring the data provided
The data collected from the World Bank Enterprises Survey helps to examine the key
factors that affect the business performance. The data contain different factors that indirectly and
directly affect the business activities. Also, company is looking to expand or establish an unit at
South Africa and that is why, it is essential to determine which factors might have a direct
control over the business activity. It is so because company’s external factor have somehow
affect the business performance and that is why, it is essential to develop a deep understanding
pertaining to such factors. In the chosen data set, it has been analysed that different factors also
affected the business performance and by analyzing their direct impact over the business will
help to sustain the brand image at global level.
In addition to this, the questions asked within the data set are based upon those factors
that have a direct impact over the business performance and this in turn might influence the
business brand image. Also, it has been also identified that by familiarity within the country’s
influencing factor, company can improve the brand recognition and as a result, culture can be
identified. This help to create a better outcome and improve the business performance so that
they can sustain he brand image at global level by considering the factors.

b. Presenting the factors which need to be analyse
In order to determine the factors that have a direct impact over the business activities,
scholar chooses different factors from the survey collected which are as mentioned below:
 Labor relation: With the help of this factor, company determine whether the country
have good relationship between the employee and employer. Adequate Educated workforce: Through this factor, organization come to analyse
whether the existing workforce of the companies in South Africa educated enough. This
in turn also assist to determine the unemployment rate within a country so that it will help
to determine whether the company should establish a brand or not. Access to finance: Through this factor, chosen organization come to know about the
public loan and government subsidies offered to the firm so that they can easily establish
the brand image at new market. With the help of such loan, company get a support and
also stimulate the economic growth whenever market is failing. Crime, theft and disorder: In accordance with the chosen factor, organization come to
know about the crime rate within a country so that they make steps accordingly that helps
to evaluate whether the business is operated effectively or not. Corruption: This factor also affects the business performance because if country have
high corruption then the performance of the business also affected because country do not
have enough economic growth that somehow affect the business activities as well.
c. Analysis
In order to analyse the data in effective manner, thematic data analysis has been adopted
that provide effective results by using charts, tables so that the study can be presented in a
presentable manner. For that two tools has been used that assist to determine the views of people
so that it will be easy for the company to determine how company has affected from the factors
in order to determine the best outcome.
Descriptive statistics
Labo
ur
Regul
ation
adequatel
y
Educated
workforc
Acce
ss to
finan
ce
Crime,
theft
and
disorde
Ta
x
rat
es
Co
rru
pti
on
Over the course of this
fiscal year, did this
establishment own or share
a generator?

e r
Mean
1.377
393 1.376481
1.764
813
1.6681
86
1.
43
29
99
1.7
77
57
5 1.364631
Stand
ard
Error
0.018
416 0.019845
0.032
569
0.0262
3
0.
02
19
89
0.0
37
22
1 0.014596
Medi
an 1 1 1 1 1 1 1
Mode 1 1 1 1 1 1 1
Stand
ard
Devia
tion
0.609
953 0.657296
1.078
71
0.8687
71
0.
72
82
9
1.2
32
81
2 0.483437
Samp
le
Varia
nce
0.372
043 0.432038
1.163
615
0.7547
62
0.
53
04
06
1.5
19
82
5 0.233711
Kurto
sis
2.945
345 5.587874
0.890
693
1.7718
57
5.
08
29
02
0.9
00
14
3 -1.59143
Skew
ness
1.673
158 2.084701
1.316
702
1.3989
27
2.
05
11
11
1.4
68
23
6 0.587512
Rang
e 3 5 5 4 5 5 2
Mini
mum 1 1 1 1 1 1 1
Maxi
mum 4 6 6 5 6 6 3
Sum 1511 1510 1936 1830
15
72
19
50 1497
Count 1097 1097 1097 1097
10
97
10
97 1097
Interpretation: In accordance with the above table, it has been identified that there are
no obstacles identified within a business activity with regard to labour regulation. It shows that
company actually maintain the relationship with employees and employers in effective manner.

As a result, majority of the respondents are agreed that there are no obstacles determine within
labour regulations. Apart from this, majority of the selected respondents stated that country do
not face any issues in workforce education such that average number of respondents are agreed
that they do not face any issues pertaining to the same.
Further, companies operated in South Africa do not face any obstacles with regard to
access of finance and this in turn shows that companies can get fund or loan from the
government subsidies because 50% of the selected respondents are said that they do not face any
obstacles. South Africa actually have low chances of theft and crime and this in turn reflected
that country can easily run within this country. Also, companies operated in South Africa has not
faces issue or obstacles regarded to tax rate, that is why country’s economic performance has
stable. Average number of respondents stated that there is no obstacle regarding to corruption
within a country and majority of the respondents also agreed with the same. Furthermore,
majority of the respondents stated that at the time of fiscal year, the establishment of the
companies is own and that is why, they are able to run effectively. Therefore, operating within
this country is considered one of the best decision that help to improve the business performance.
Regression analysis
H0: There is no significance relationship between the factors affect the business activity and
business activity.
H1: There is a significance relationship between the factors affect the business activity and
business activity.
SUMMARY
OUTPUT
Regression Statistics
Multiple R
0.2260
06
R Square
0.0510
79
Adjusted R
Square
0.0458
55

Standard
Error
0.4722
23
Observatio
ns 1097
ANOVA
df SS MS F
Significa
nce F
Regression 6 13.08369
2.180
614
9.778
781
1.62E-
10
Residual 1090 243.064
0.222
994
Total 1096 256.1477
Coeffic
ients
Standard
Error t Stat
P-
value
Lower
95%
Upper
95%
Lower
95.0%
Upper
95.0%
Intercept
1.1032
73 0.039825
27.70
331
2.6E-
128
1.02513
2
1.1814
15
1.02513
2
1.18141
5
l30a
0.0342
59 0.036106
0.948
862
0.342
901 -0.03659
0.1051
04
-
0.03659
0.10510
4
l30b
0.0454
73 0.03134
1.450
93
0.147
087 -0.01602
0.1069
67
-
0.01602
0.10696
7
k30
0.0148
53 0.01555
0.955
176
0.339
7 -0.01566
0.0453
64
-
0.01566
0.04536
4
i30
0.0649
95 0.020751
3.132
177
0.001
781
0.02427
9
0.1057
1
0.02427
9 0.10571
j30a
0.0735
57 0.027381
2.686
487
0.007
331
0.01983
3
0.1272
82
0.01983
3
0.12728
2
j30f
-
0.0497
7 0.015313
-
3.250
12
0.001
189 -0.07981
-
0.0197
2
-
0.07981
-
0.01972
Interpretation: Through the above test, it has been identified from summary statistics
that there is a lower relationship between the variable because statistics of correlation reflected
the value of 0.22 which is fall under the category below that 0.25. Therefore, it can be stated that
through the R square value that only 5% changes has been identified within a business activities
and this in turn shows that there is no changes within a variable.
Apart from this, from anova table, it can be stated that there is a significance impact of
factors upon business activity. This is so because the value of p 0.00 which is lower than 0.05
and that is why, it there is a direct impact identified upon the business activities. Hence, it can be

stated that due to change in the factors like, corruption, access of finance, tax rate, crime,
educated workforce the business activity has automatically affected. That is why, null hypothesis
rejected over alterative and this in turn shows that there is business activities have hamper from
the external factors directly (Koltsaklis and Dagoumas, 2018).
d. Highlight the findings
From the above test, it has been identified that when a company started its business in
South Africa, then it will be easy for the business to implement new unit because there will be no
obstacles regarding to labor relation and that is why, it will be beneficial for the company to
operate in such area. This in turn reflected that employees will also share their views within a
business decision making process so that they can consider themselves as an important asset.
Further, Marques and Eberlein (2021) also supported the same that if a company have strong
relation then the chances of increasing success will be high and this in turn cause positive impact
over the brand performance. Further, another key highlight derived from the results that all the
employees are adequately educated and that is why, it will be easy for company to manage the
issues. Along with this, employees are able to solve the different situation by using their own
knowledge that contribute to the success of a company. That is why, it can be stated that through
country have adequate educated workforce that assist to contribute their best for the success of a
company. This in turn shows that having a talented employee within a country will assist firm to
determine the skilled employees for a business.
As per the regression output, it has been clearly examined that company influence from
different factors and that is why, while making decision to expand the business at further level, it
is essential for the company to consider such (Wiltsey Stirman, Baumann and Miller, 2019). It is
because there is a direct impact of such factor upon the business performance and that is why,
alternative hypothesis is accepted over other. In addition to this, most of the selected respondents
are agree that there are no tax rate issues in South Africa because average number of participants
stated that there are no obstacles related to it. This in turn help company to make regulation and
register the business effectually so that the business activity does not cause any negative impact.
In that, there is a need to comply with the effective rules and regulation so that effective outcome
can be generated. Along with this, it reflected there is an economic stability within a country and
due to no obstacles in the access of finance, companies can seek to loans and government

subsidies so that effective outcome can be generated and they can run effectually within anew
working environment. Caminade, McIntyre and Jones (2019) reflected that most of the African
market suffer from the low economic condition and due to poor political stability, the chances of
operating new business will be low, especially in pandemic cases. Overall, it can be stated that
while expanding a business at new level, it is essential for the company to look after country’s
political as well as economic condition. In the case of investing upon South Africa, the rate of
corruption and crime is low because there is no obstacles identified by the companies that have
already operated within this area. So, it can be stated that investing within this area will be more
beneficial for the company, as it lead to create a meet the customer need because company have
different finance option, also the chances of corruption and crime is also minimal. That is why,
there will be no negative impact over the company’s performance so that effective outcome can
be determine.
Overall, the key findings from the overall analysis clearly reflected that South Africa
have effective resources and skilled, talented employees which in turn assist to contribute to
successful implementation of a business. Apart from this, due to not facing any obstacles while
expanding a business at further level, the quoted business can smoothly un its business activities
and create a better outcome for the success of a business. That is why, it can be stated that the
survey is beneficial to understand the key factor that affect the business performance in negative
manner because company can operated in effective manner.
e. Recommendations
Through the above it can be stated that there is a major impact create by the factors upon
the business activities and that is why, it is essential to look after such problem. For that, some
suggestions have been offered that helps in company’s smooth operations which are as
mentioned below:
 It has been identified that though there is no obstacle identified within a business
regarding access of finance, but it is to be recommended to the company to comply with
the effective laws and regulation because each country have different rules (Wu and
Zheng, 2022). Thus, complying with this help to operate the business and its activity in
an effective manner.

 It is to be recommended to the company that effective recruitment system need to be
developed because there is no obstacle regarding adequate educate workforce as
discussed above. Thus, finding right candidate for the company in different country might
be difficult but South Africa has no issues regarding the same, but company need to
improve the recruitment system by 3 levels so that strong candidate can be selected in
order to run a business effectually.
 Further, the rime taken for registration a business might be high because each country
have different rules and regulation. That is why, it has been analysed from secondary
sources that company took more than a month for a registration due to lack of legal
regulation. That is why, to minimize the negative impact of such aspect upon the business
activity, it is to be suggested that contact with expansion expert in order to mitigate the
cist and risk incurred during this process (Guimaraes, Paranjape and Walton, 2022). Or
else, company may use employer of record (EOR) that help to minimize such issues and
complete the process immediately.
CONCLUSION
By summing up above report it has been concluded that it is essential for the company to
look after the factors that might affect the business performance in negative manner. Also, it has
been further concluded through the above analysis that companies do not face any obstacles by
selected factors and this in turn cause positive impact to operate business at global level. Further,
it has been also concluded that having a stable political and economic performance of a country
will be more beneficial for successful implementation of a business. The same have been
concluded through the survey and it can be stated that operating a business in South Africa will
be helpful for raising financial performance and create a better outcome.

REFERENCES
Books and Journals
Caminade, C., McIntyre, K.M. and Jones, A.E., 2019. Impact of recent and future climate change
on vector‐borne diseases. Annals of the New York Academy of Sciences. 1436(1). pp.157-
173.
Guimaraes, T., Paranjape, K. and Walton, M., 2022. An expanded model of success factors for
NPD perform
Koltsaklis, N. E. and Dagoumas, A. S., 2018. State-of-the-art generation expansion planning: A
review. Applied energy. 230. pp.563-589.
Marques, J.C. and Eberlein, B., 2021. Grounding transnational business governance: A political‐
strategic perspective on government responses in the Global South. Regulation &
governance. 15(4). pp.1209-1229.
Wiltsey Stirman, S., Baumann, A.A. and Miller, C.J., 2019. The FRAME: an expanded
framework for reporting adaptations and modifications to evidence-based
interventions. Implementation Science. 14(1). pp.1-10.
Wu, Z. and Zheng, R., 2022. Research on the impact of financial transmission rights on
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