A NARRATIVE OF MOTIVATING FACTORS OF PROMPT LOAN REPAYMENT IN ROTATING STOKVELS

Orientation: Prompt loan repayment is a critical requirement for the success of rotating stokvels that are utilised by migrant entrepreneurs that conduct retail business activities in Braamfontein, which is a suburb of Johannesburg in South Africa. The study provides a narrative of motivating factors of prompt loan repayment. Research purpose: The primary purpose of the study was to estimate the percentage of retail operators in the Braamfontein suburb of Johannesburg who pay back business loans to rotating stokvels promptly on a regular basis. The secondary purpose of study was to assess the perception of retail operators about the benefits of business ethics principles. Motivation for the study: Abiding by business ethics principles enables retail business operators to establish long-standing and mutually beneficial working relationships with customers and clientele alike. Commitment to pay back business loans to lenders is a key aspect of demonstrating due appreciation and respect for ethical principles in the retail industry of Braamfontein.