Impact of level of education and experience on profitability of small grocery shops in South Africa

The study investigated the impact of level of experience and education on the profitability of the small grocery shops in the Mdatsane area in East London Metropole area in South Africa. The primary objective is to identify whether experience of the business owner affects the performance of the businesses. The secondary objectives were to determine whether age of the owner/manager, level of education, and the age of the business are significant variables that affect the financial performance of small business operations. Quantitative data was coded into SPSS for graphs and descriptive statistics. One way ANOVA analyses were carried out. The findings indicate that previous work experiences, education levels, age of the owner and the length of business operation have a significant impact on the profitability of the business.