5.9 Data collection methods
5.9.2 Questionnaire design
The questionnaire structure was aligned with the research objectives and question. Words that are perceived to be familiar to the entrepreneurs were used during the process of formulating the questions which was in consideration of the respondents’ literacy levels. Since early questions can influence responses to later questions, sequencing is important; it is advisable to ask general questions early and specific ones later. The first questions on a questionnaire are referred to as opening questions, designed for gaining a respondent’s attention and stimulating interest in the topic. The second group, referred to as research topic questions, include questions designed to provide information on the topic being researched (Hair et al., 2007:270).
When structuring the questionnaire, closed-ended questions and the Likert-based scale were used.
Closed-ended questions are used in quantitative studies as they simplify the collection and analysis of data and make the task of the respondent easier. Closed-ended questions however
67 involve large samples, and are difficult to design (Remenyi et al., 2005:152 and Hair et al., 2007:265). The Likert-scale is an ordered scale from which respondents choose one option that best aligns with their view resulting in respondents being able to express their feelings or opinions about the research topic.
The questionnaire, as shown in Appendix 2, was divided into seven sections. The sections are as follows:
Section A – Demographic information
This section comprises questions 1 to 5 and focuses on the standard demographic data questions which determine the gender, age, and race of the respondents. The educational level of the respondents is requested and the role the respondents play in a business (i.e. owner or manager).
This information assists in the assessment of the parties that make use of services provided by the supporting institutions.
Section B – Supporting institutions
Section B is composed of two questions, that is, questions 6 and 7. This section determines if SMMEs are aware of the existing supporting institutions and if they have received any assistance from such institutions. It further examines in particular the supporting institutions from which SMMEs have received assistance. This assisted in assessment of the availability of the supporting institutions and the kind of services they provide to SMMEs. If there are adequate diverse supporting institutions providing numerous services to SMMEs, this means there is a high possibility of SMMEs developing as they would receive all the necessary support they need to be sustainable.
Section C – Role of supporting institutions on SMMEs’ establishment
This section focuses on questions 8, 9 and 10. It attempts to determine if the respondents make frequent use of the supporting institutions. It also examines in particular the supporting institutions from which SMMEs have often received assistance at the start-up phase. It further determines the extent to which the supporting institutions’ procedures make it easier or more difficult for SMMEs to access their services. This assisted the researcher in identifying the available supporting institutions established to develop SMMEs, and the role they play in SMMEs’ development.
68 Section D – Sustainable growth
This section is made up of questions 11 to 13. It is on sustainable growth brought by assistance provided to SMMEs by supporting institutions. It investigates the role of supporting institutions on SMMEs’ growth and sustainability. It was mentioned earlier in previous chapters that SMMEs are established, then they grow and when expected to be sustainable, they close down. Therefore, these questions were expected to assist the researcher in determining the influence supporting institutions have on SMMEs’ development.
Section E – Relevant training
This section is composed of questions 14 and 15. It tries to find out if SMMEs have received relevant training from the supporting institutions at the start-up and growth phases. It also examines if the training provided at different phases is relevant to what SMMEs are expecting, as SMMEs are diverse with diverse training needs. It is believed this section will assist the researcher in determining whether the training provided is of benefit to SMMEs in terms of coping with the current changing situation. Needs of customers are changing rapidly every day, which has affected the needs of the SMMEs to try to be in line with what the customers are looking for. Therefore, the supporting institutions are also expected to be up-to-date and provide SMMEs with the necessary training and skills. For instance, technology that is changing all the time, compels SMMEs to stay abreast, so the supporting institutions are expected to equip these SMMEs with the necessary skills.
Section F – Ease of access to finance
This section comprises questions 16 to 20. It is concerned with the effectiveness of the financial supporting institutions. It first investigated where entrepreneurs obtained funds when they were starting their businesses. It also reviewed if it is easy or difficult for SMMEs to get funding from the supporting institutions. It further went on to determine if there are barriers to obtaining funding at different stages (that is, start-up and growth). More often SMMEs argue that access to finance is a huge challenge, which compels some SMMEs to operate informally, or even close down quickly. This challenge could be due to inaccessibility of financial institutions or stringent procedures that need to be followed to access the funds. For instance, collateral requirements may hinder SMMEs from accessing the funds, as they will not qualify for funds if they do not meet these requirements. It was mentioned earlier that the very programmes put in place to help SMMEs to develop, could be barriers to other SMMEs.
69 Section G – Service satisfaction
This section is made up of question 21. Supporting institutions have been established to assist SMMEs in their start-up and growth phases. However, the perception is, the very same supporting institutions are not delivering the services to SMMEs in a satisfactory manner. The blame is on the supporting institutions as SMMEs’ owners perceive that they can succeed at a high level if supporting institutions are not interfering with their operations (Winston, 2006:76 and Smorfitt, 2008:15). Thus, this section is establishing the satisfaction of SMMEs’ owner-managers on services provided to them by the supporting institutions.