Andrew Charman

Xenophobia, criminality and violent entrepreneurship: violence against Somali shopkeepers in Delft South, Cape Town, South Africa

ABSTRACT Violence against Somali shopkeepers is often cited as evidence of xenophobic attitudes and violence in South Africa. However, as argued in this article, it is not necessarily the case that such violence is driven by anti-foreigner sentiment. Instead, as illustrated in the case of Delft, a poor, mixed-race area in the City of Cape Town, violence against spaza shopkeepers may also be explained in terms of criminal activities and economic competition in the form of ‘violent entrepreneurship’. This argument is made drawing on a survey of over 100 spaza shopkeepers, a household survey, police statistics, and interviews and focus groups with key stakeholders living in Delft. The key insight is that despite a recent history of intense economic competition in the spaza market in which foreign skopkeepers have come to dominate, levels of violent crime against foreign shopkeepers, 80 per cent of whom are Somali, are not significantly higher than against South African shopkeepers. In addition, while South African shopkeepers openly resent the Somali advent, most consumers remain indifferent to their presence and certainly prefer the lower prices. While our findings cannot be generalised beyond this case, they do alert us to the importance of locating arguments about xenophobia in the wider context of crime and violence in South Africa, as well as paying close attention to the local particularities that can turn general sentiment into xenophobic action.

Small Area Census Approach to Measure the Township Informal Economy in South Africa

In this article, we describe a research approach to undertaking a small area census to identify informal economy activity, using a mixture of quantitative and qualitative tools. The method focuses on enterprise activity. The approach enables the researcher to record a broader spectrum of informal micro-enterprises through identifying businesses in situ within an area of sufficient scale to broadly reflect area-level market conditions and business dynamics. The approach comprises an enterprise census, a survey of all identified micro-enterprises in key sectors, in-depth interviews, and participatory research techniques. The article reports on the application of this method in eight case sites, located in township settlements within five major cities in South Africa. The research identified 9,400 individual enterprises, entailing 10,220 primary and secondary activities, distributed within a population of 325,000 and comprising 97,000 households. The approach permits significant advances to our understanding of the spatial dynamics of the informal sector. The research data has enabled the researcher to make original contributions to understanding informal enterprise activities in grocery retailing, liquor trade, and traditional medicine sectors.

Enforced informalisation: The case of liquor retailers in South Africa

After a decade of unsuccessful efforts to migrate informal businesses to South Africas formal economy there remains little understanding of the dynamics in this sector, especially as regards micro-enterprises. International literature discusses ‘exit’ and ‘exclusion’, holding that poor law enforcement is the reason for the persistence and growth of the informal economy. Through examining the informal liquor retail (shebeen) sector, we demonstrate that enforcement actually produces informality in this sector. Illustrated with examples from one of our sites in Delft South, Cape Town, the article describes key aspects of shebeen business practice, including the responses to greater law enforcement. Notably, instead of closing shop or facing the hurdles of compliance, the great majority of shebeens continue to evade the law by downscaling their activities. This finding has implications not just for liquor policy in South Africa, but for understanding both theories of formalisation and theories of the informal economy.

“Bush Doctors and Wild Medicine”: The Scale of Trade in Cape Town's Informal Economy of Wild-Harvested Medicine and Traditional Healing

South Africas organically emerged cultural business of traditional healing is almost exclusively reliant on wild-harvested resources extracted from wilderness areas or open-access commons. The wild medicine business has been described for much of South Africa, although is little understood in Cape Town, the urban centerpiece of the Cape Floristic Region (CFR). A census of different traditional healer typologies in five typical working-class residential areas (representing ∼71,500 residents) was conducted to assess the nature and extent of traditional medicine harvesting and trade. Extrapolating these findings for the city reveals a local industry of more than 15,000 practitioners collectively conducting trade worth US

Shebeens as spaces and places of informality, enterprise, drinking and sociability

15.6 million per year. More than 40% of the volume of traditional medicines traded in the city is harvested from the CFR. Future conservation approaches must consider that the business of traditional healing and dispensing wild-harvested medicines is both economically important and culturally entrenched.

The role of family in the township informal economy of food and drink in KwaMashu, South Africa

The paper explores the complex role of drinking in Sweet Home Farm (an informal settlement) through an examination of its contextual setting and its spatial characteristics. It examines, through a social-spatial ethnographic method and focus on a series of case studies, how shebeens are positioned in terms of their relationship to urban settlement, their role in providing publicly accessible venues within an over-crowed slum and influence on drinking outcomes. Our analysis of space focuses on the context of the informal settlement as an (un)regulated space which permits emergent spatial expressions and arrangements. Through a detail examination of four case studies, we consider the intimate configuration and organisation (place) of specific venues. From the perspective of place, the analysis examines the use (and non-use) of equipment/objects and internal architecture to define the character of particular typologies of establishments and their positioning vis-a-vis market niches. We reflect on the role and impact of shebeens on life within Sweet Home Farm, both in terms of providing space for socialisation and in supporting diverse cultures of drinking and business forms.

Trade dynamics in Cape Town township informal foodservice – a qualitative and supply chain study

Purpose The purpose of this paper is to provide a qualitative investigation of family employment dynamics in the KwaMashu township economy. Design/methodology/approach Using a small area census research method, the researchers identified 1,556 businesses located in a settlement of 2 km2. Of these enterprises, 694 (45 percent) traded in fast moving consumer goods, notably food and/or drink. The main retailers were small shops (spaza shops) and liquor outlets (bars or shebeens), greengrocers, sellers of meat and poultry products, house shops, restaurants, takeaways and tuckshops. Firm surveys were conducted with 270 businesses in four predominant sectors: liquor retail, grocery retail, early childhood educators and hair care businesses. Findings The research found that 40 percent of the surveyed firms in these sectors employ family members on a full-time basis, whereas merely 26 percent of firms employ family members on a part-time basis. In the grocery retail sector, about half of family employees are remunerated on a wage basis, the other half are paid in-kind (40 paper of the total) or on a profit share arrangement. In liquor retail and educare sectors, the majority of family members are paid wages. Female-run enterprises employ less family members on a full-time basis (except in the grocery sector), yet employ more family members on a part-time basis with a higher portion of wages paid in-kind. Research limitations/implications Family plays an important role in township enterprises. Beyond direct employment, township enterprises fulfill an important social protection and neighborhood relationship function for business operators and their families. The familial relationship to micro-enterprises should be seen through the lens of bricolage (Gras and Nason, 2015). Originality/value In this respect, the authors confirm three benefits of family firms: the creation of social protection though family beneficiation, the provision of employment and work experience and the strategic use of family resources.

From local survivalism to foreign entrepreneurship: the transformation of the spaza sector in Delft, Cape Town

ABSTRACT The township cash economy of fast food, takeaways, and prepared meals is collectively termed ‘informal foodservice’. An analysis of a five-township ∼3800 microenterprise census, and qualitative supply chain investigation of 50 informal foodservice retailers and 75 consumers revealed a well-established although deeply informal trade predominated by women preparing takeaway foods and conducting street braai (BBQ). The business demonstrates high dependence on the immediate place of operations which includes local input suppliers and selling to a narrow pool of trade from immediate (walking scale) neighbourhoods. Supply chains are short, linked to formal agriculture and wholesale sectors. Informal foodservice is heavily utilised by local residents on a regular basis who spend up to R218 per week on products (potentially 30% of income) from these outlets. These enterprises make a substantial contribution towards satisfying local food demand whilst serving an important social protection and neighbourhood relationship function.