0000000000459459
AUTHOR
Frans J. Bezuidenhout
IN SEARCH OF BLACK ENTREPRENEURSHIP: WHY IS THERE A LACK OF ENTREPRENEURIAL ACTIVITY AMONG THE BLACK POPULATION IN SOUTH AFRICA?
Compared to other ethnic groups, the black population of South Africa has a low participation rate in entrepreneurship activities. The research question of this article is to explain this empirical fact. Based on twenty-four expert interviews, five patterns of explanation are presented and elaborated: a historical apartheid explanation, a financial resources explanation, a human capital explanation, a traits and mindset explanation and a social capital and network explanation. The historical apartheid explanation cannot be qualified independently of the other explanations as a distinctive explanation of its own. Although missing financial resources and shortages of human capital are the fa…
Black entrepreneurship: a case study on entrepreneurial activities and ambitions in a South African township
Purpose – The purpose of this article is to investigate the current self-employment rate as well as entrepreneurial intentions of the township’s population on the basis of an empirical case study of a single township. It is often assumed that the black population of South Africa (mostly living in townships) has a low participation rate in entrepreneurial activities and a low level of entrepreneurial ambitions. Besides the level of entrepreneurship, personal and socio-economic factors affecting participation in entrepreneurship are explored. Design/methodology/approach – The article uses a face-to-face survey of about 350 adult residents of the township under investigation. Findings – Contr…
Do South African townships lack entrepreneurial spirit?
It is often assumed that the black population of South Africa lack entrepreneurial spirit and an entrepreneurial culture. A survey conducted in the Walmer Township in Port Elizabeth explored the entrepreneurial spirit and culture in terms of entrepreneurial activities, perceived start-up barriers, entrepreneurship climate, and general cultural factors relating to entrepreneurship. The sample comprised of 309 black adults living in Walmer Township. The results revealed surprisingly high entrepreneurial activity in the form of informal business ventures. Furthermore, the level of entrepreneurial aspirations turned out to be higher than expected. Many of the township inhabitants regard the tow…