| Summary: | The small to medium tourism enterprises (SMTEs) are recognised as significant contributors to the development of the local and regional economies and create much needed entrepreneurial ventures. Universally, SMTEs play a significant role in the tourism sector. Management of these enterprises by owners and managers seems to face challenges. This paper examines the factors impacting on management capacity with specific focus on the SMTEs in the Eastern Cape Province, South Africa. A systematic random sampling technique was utilised to choose a sample of 320 business respondents from the 2012 database of the Eastern Cape Parks and Tourism Agency, comprising of formally registered small tourism businesses. A total of 310 usable questionnaires was finally obtained. In this study descriptive and inferential statistics were applied. Descriptive statistics were captured to highlight the owners’ characteristics and to consolidate their measurement scores. Utilising inferential statistics, the study undertook an investigation into relationships between demographic variables, business characteristics and factors impacting on management capacity within SMTEs were undertaken. The paper elucidates that a significant relationship was found between business characteristics and demographic variables. Furthermore, skills development, strategic and management knowledge and business leadership factors were compared with the qualifications group. This study adds to the body of knowledge in a predominantly less researched phenomenon of management capacity within SMTEs.
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