Boris Urban

Social entrepreneurship in South Africa

Purpose – Various theoretical issues and debates were investigated in order to measure quantitatively social entrepreneurship (SE) activity (SEA), together with the different skills associated with successful SE in South Africa.Design/methodology/approach – This was primarily an exploratory study, using factor analysis and inferential statistical testing, based on a surveyed sample of 287 respondents, undertaken to measure SEA and concomitant SE skills. Empirical findings were interrogated in the context of existing research and comparisons with established SEA rates were made.Findings – The findings were modest, particularly about the number of active and future social entrepreneurs. Moreover the validity and reliability of the instrument used to measure skills was established, offering insights into SEA and the types of skills associated with SE.Research limitations/implications – The study is limited by being in the early stage of theoretical development on the SE construct. The interpretation of the e...

ENTREPRENEURSHIP IN THE RAINBOW NATION: EFFECT OF CULTURAL VALUES AND ESE ON INTENTIONS

Because of South Africas multicultural society, different cultural values were hypothesized to influence proclivity toward entrepreneurship across ethnic groups. Building on previous research conducted on ethnicity and entrepreneurship, selected findings were investigated to formulate hypotheses and contextualize the study. By adapting entrepreneurial intentions to reflect entrepreneurial self-efficacy (ESE) as a separate measure of feasibility to start a business, principal component analysis was conducted to verify the construct validity of the measures and internal consistency was established. The latest VSM 94 was used to capture the five dimensions of culture. ANOVA and Duncans multiple tests indicated some significant differences across ethnic groups, while correlation and multiple regression analysis demonstrated that it was the ESE beliefs rather than cultural values that influence intentions.

The institutional environment and social entrepreneurship intentions

Purpose To fully understand the concept of social entrepreneurship (SE), contextual factors need to be accounted as the influence of the institutional environment on individual behaviour has received little attention in the literature. By heeding the research call for quantitative work in this emerging field, hypotheses are formulated which predict the influence of different institutional profiles on SE intentions. The paper aims to discuss these issues. Design/methodology/approach A cross-sectional survey design was administered in an under-researched emerging market context – South Africa. Hypotheses were then statistically tested using correlational analysis and structural equation modelling. Findings The results indicate that the regulatory environment has a positive and significant impact on feasibility and desirability, and furthermore both feasibility and desirability positively affect intentions. Originality/value The study contributes towards a new understanding of the influence of the institutional environment on social entrepreneurial intentions and its antecedents in an African emerging market context, and may serve as a catalyst for this emerging and important global activity.

Entrepreneurship education and entrepreneurial intentions: a prospect for higher education?

My paper identifies and elucidates key issues of entrepreneurship education (EE) and entrepreneurial intentions (El). I analyse and critically discuss within the broader context of entrepreneurial activity in South Africa, EE trends. I investigate entrepreneurship as a discipline and field of academic inquiry by examining definitional controversies and pedagogical methodologies, along with their theoretical underpinnings. The impact of EE is explored, in particular the link between intentions and entrepreneurial behaviour. Based on empirically tested models, the construct El is operationalized and the construct validity tested. Data is collected from a sample of 150 learners and subjected to factor analysis delineating a suitable factor structure. Several recommendations are made, based on the literature review and survey findings.

EMPIRICAL EVIDENCE ON THE INFLUENCE OF THE INSTITUTIONAL ENVIRONMENT ON VENTURE INNOVATION PERFORMANCE IN SOUTH AFRICA

Researchers argue there is a strong case to be made that entrepreneurship is itself a consequence of the adoption and development of institutions that encourage entrepreneurial behavior. Previous research on institutions classified the formal and informal institutions that affect entrepreneurs into regulatory, normative and cognitive categories. This study builds in this direction by investigating how perceptions of these institutional profiles may influence venture innovation performance. Following a survey of ventures in the ICT industry, hypotheses are tested using regression analysis. The results reveal that regulatory and normative institutional dimensions explain a modest, yet significant, amount of variance in venture innovation performance. The results also have important policy implications, where the institutional framework in South Africa could be enhanced by developing a country-specific mix of entrepreneur-friendly regulations and normative institutional conditions.

Creating value and innovation through social entrepreneurship

The discussion of social entrepreneurship serves the broader purpose of illuminating how entrepreneurship is significant in dealing with social issues. In the international arena, due to a surge in non-profit organisations, social entrepreneurship has been on the rise in recent decades, although as an academic enquiry it is still emerging. Only recently has social entrepreneurship begun to coalesce into a distinct discipline, which is manifested through various dedicated institutions. Social ills have been identified as drivers of social entrepreneurship, and non-profit organisations are seen as a growing source of solutions to issues that currently plague society. The concept of social entrepreneurship is interrogated by comparing several definitions, and the different elements in these definitions are scrutinised – particularly the distinction between commercial and social entrepreneurship. Based on collective propositions on social entrepreneurship, the process is described as a catalyst for social change which varies according the socioeconomic and cultural environments. Venture philanthropy is represented as a paradigm shift from the notion that voluntary sector organisations merely receive funds from charitable donors, to the notion of earned investment through a collaborative relationship. Social venture franchising is introduced and different lessons are drawn from successful social entrepreneurship practices. Like business entrepreneurs, social entrepreneurs initiate and implement innovative programmes, and even though they are differently motivated, the challenges they face during start-ups are similar to those faced by business entrepreneurs. Subsequently, the different types of competencies used by successful entrepreneurs are elaborated upon. The chapter ends by investigating the different types of challenges that social entrepreneurs face.

CORPORATE ENTREPRENEURSHIP IN SOUTH AFRICA: THE ROLE OF ORGANIZATIONAL FACTORS AND ENTREPRENEURIAL ALERTNESS IN ADVANCING INNOVATIVENESS

The scope of corporate entrepreneurship (CE) is broadening as firms embrace CE to survive and succeed in dynamic, uncertain markets. Although scholars have focused on the organizational factors necessary to foster CE, it is important to understand not just what the organizational context must look like, but also to understand how entrepreneurial alertness may facilitate CE activity. Contrary to most studies on CE, this study takes place in a non-Western context, where a survey is used to collect data from 784 respondents at South African firms. Results reveal it is the organizational antecedents of reward and reinforcement, time and resource availability, and flexible organizational boundaries that positively influence CE innovativeness. Additionally, when entrepreneurial alertness is added into the equation, the amount of variance explained in CE innovativeness is increased substantially. These findings highlight the relevance of focusing on firm-based entrepreneurial behavior as opposed to only independent startups in an Africa context.

Entrepreneurship as a discipline and field of study

Entrepreneurship as an emerging enquiry is interrogated and the rationale for engaging in entrepreneurial studies is discussed through several consolidated findings. Obstacles constraining the field are highlighted, with specific emphasis on how definitional caveats and theoretical incompleteness may lead to reluctance to accept entrepreneurship as an established discipline. The study of entreprenology is introduced as a means of establishing ontology for the field. The point is made that no discipline can exist without theory, and the necessity towards establishing a new science – entreprenology, would position entrepreneurship as a distinctive domain of study. Entrepreneurship as embodied in different paradigms is investigated, and due to the eclectic nature of the subject matter, meta-triangulation is recommended for studying this multifaceted phenomenon. Next, five criteria are stipulated against which to examine if a field may be considered an established discipline; these are scrutinised against current developments in the field. Moving to more descriptive content, the extent of participation in entrepreneurship studies is explored, and several different institutional formats, countries, and various forms of entrepreneurship programmes are scrutinised. The state-of affairs in entrepreneurship offerings at South Africa Higher Institutions are summarised. Based on empirical evidence, entrepreneurship offerings come in various shapes and forms, and results from several multinational surveys are interpreted in terms of syllabi and pedagogies utilised. Moreover, in order to illuminate the distinctiveness of this emerging discipline, sharp distinctions are raised between entrepreneurship and generic management and small business management. Finally, an African perspective is provided where it is intimated that current entrepreneurship studies in Africa are predominantly oriented towards preparing individuals for employment rather than for entrepreneurship.

Theoretical perspectives on culture and entrepreneurship

As the preceding chapters have demonstrated, entrepreneurship in its many forms offers the promise of empowering individuals and organisations, and of improving societies and nations in a variety of ways. This chapter seeks to clarify the cultural antecedents of venture creation and reviews important foundations for those encouraging more entrepreneurship, within a cultural context. This chapter does not attempt an encyclopedic review of culture, but rather identifies findings that bestow new awareness to entrepreneurship research in this regard.