Do South African townships lack entrepreneurial spirit?. (1st January 2014)

• Record Type: Journal Article
• Authors: Preisendörfer, Peter; Perks, Sandra; Bezuidenhout, Frans J.
• Is Part Of: International journal of entrepreneurship and small business. Volume 22:Number 2(2014)
• Page Start: 159
• Page End: 178
• Publication Date: 2014-01-01
• Subjects: entrepreneurship -- entrepreneurship aspirations -- informal business ventures -- entrepreneurial spirit -- entrepreneurship climate -- entrepreneurship culture -- start-up barriers -- black entrepreneurship -- South Africa -- South African townships; Entrepreneurship -- Periodicals; Small business -- Management -- Periodicals; 658.42105
• Languages: English
• ISSNs: 1476-1297

Abstract

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 township as having a favourable entrepreneurial climate, and support basic pro-entrepreneurial values. On the other hand, the respondents identify considerable start-up barriers for entrepreneurs. They seem to prefer being employed than self-employed. Moreover, they have low trust in people. Additional findings confirm that the township can be qualified as a 'low trust culture'.