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Conference Abstracts
The Public Policy And Its Role To Stimulate Entrepreneurship In SA With Reference To The
Gambling Industry
Linda de Vries, University of the Western Cape.

Entrepreneurship in South Africa needs support from all spheres of the society. Public and
private sector is critical towards the development of an entrepreneurial culture and a suitable
entrepreneurial framework. Public sector has a critical role to play in this regard. South Africa
has through its various legislative and regulatory frameworks attempted to address the
entrepreneurial framework and development in the country. This paper will reflect on the
gambling sector as a stimulator for entrepreneurship development and the development of
meaningful small and medium enterprises towards supporting and growing within this industry.

Gambling in South Africa has been legislated since 1996 although the incidence of illegal
gambling had large proportions country wide at that stage. The legalized sector therefore
provided a framework for the National Gambling Board as well as the various provincial
gambling boards to be established and to provide the regulatory framework for legalised
gambling in the country. The author in this paper present the evaluation of the current
integrated approach inclusive of the role players such as government, licence holders as well as
academics, public policy makers and consumers. Furthermore that a perspective that takes into
account the uniqueness of South Africa is considered towards meeting the macroeconomic goals
and national agenda targets of entrepreneurship development of this sector. Specific attention to
the role of the value chain and the contribution to participation to local communities will be

Brand Orientation, Brand Distinctiveness And SME Performance In Uganda
By Annet Nabatanzi. K. Muyimba; Musa Kigwe and Winnie Ikiring Onyas

The purpose of the study was to examine the relationship between brand orientation, brand
distinctiveness and SME performance in Uganda. The specific objectives of the study included
establishing the level of Brand orientation and brand distinctiveness of SMEs in Uganda,
establishing the association between brand orientation and brand distinctiveness; the
relationship between brand orientation and SME performance, the relationship between brand
distinctiveness and SME performance and the prediction potential of brand orientation and
brand distinctiveness on SME performance

A cross sectional survey design was used. The study used primary data and data was gathered
from SME owners/managers and their customers. The total population of the study was
1,069,848 SMEs in Uganda (Hatega, 2007). A total sample of 768 respondents was selected
comprising 384 SMEs owners or managers and 384 customers. Stratified random sampling was
used to select the SMEs and simple random sampling to select the consumers of SME. Strata of
SMEs included trade (40 percent of sample), agriculture (30 percent) and small manufacturing
(30 percent). A response rate of 498 (65%), 250 customers and 248 SME owners/managers was
realized and data was analyzed using SPSS; correlations, regression analysis and ANOVA were
performed on the data.

The study revealed that there is a significant and positive relationship between the brand
orientation and brand distinctiveness. Brand orientation and brand distinctiveness individually
had significant and positive relationship with SMEs performance. The regression analysis results
revealed that brand orientation and brand distinctiveness are significant predictors of SME
performance. In addition, the results showed that there were no significant differences across
the respondents with regard to the Nature of the Customer and gender categories of

The report concludes that brand orientation increases brand distinctiveness and would
inevitably lead to improved SME performance. When brand orientation is high, brand
distinctiveness has a greater effect on SME performance.

Key Words: Branding strategy, Brand distinctiveness, Brand orientation, SMEs, Performance

The Role Of Government Support Programmes In SMME Development In
South Africa.
Byren M. Archary

The previous Minister of Finance, Mr Trevor Manuel, once stated that small business represents
an important vehicle to address the challenges of job creation, economic growth and equity;
given the appropriate enabling environment, it can make an indelible mark on the South African

This report set out to determine the role of government support programmes in developing the
SMME sector in South Africa. To address this problem, the research was segmented into the
following critical questions:

   What is the prevailing opinion on the impact of government support programmes thus far in
    promoting small business development?

   In the face of the prevailing enabling landscape, which factors continue to influence the
    development of small businesses in South Africa?

This exploratory research used a qualitative approach to collect data. The sample consisted of
an official from a government department, four representatives of small business support
agencies and 31 small business owners. In total the sample consisted of 36 participants.

Although a qualitative approach has been criticised for being anecdotal and lacking both the
means to reproduce and generalise the outcomes, multiple data streams were used to ensure the
integrity and reliability of the results.
 Two interview schedules were developed and used during the semi-structured interviews to
collect the primary data. The first schedule was developed specifically to solicit responses from
government and small business support agencies. The second schedule was used when
interviewing small business owners.
To counter the threat of an illogical and poorly constructed interview schedule, this research ran
a pilot study as part of its verification exercise. The interview schedule was sent to five policy
beneficiaries (i.e. small business owners) for comments and suggestions on improving it. These
five small business owners did not form part of the final sample.
Based on the balance of evidence, the market regarded the impact of the government support
programmes as ineffective and having done little to develop and grow the sector. The prevailing
opinion was that policy and strategy seemed effective only in theory. Furthermore, support
agencies were regarded as ineffective and seen to be operating in isolation of each other and
government. Officials from these agencies were not adequately trained to assist small business
owners with queries and advice.

Equally discouraging, the research uncovered that historical factors limiting the growth
potential of small businesses persisted. This means, that although government has promulgated
several pieces of legislature such as the Small Business Development Act and the Integrated
Strategy on the Promotion of Entrepreneurship and Small Enterprise to improve the small
business landscape, it has failed to address the basic problems of finance, training and
development needs, shortage of scare skills and improving business skills sets. Addressing these
pitfalls and ensuring proper implementation and synergy strategies will ameliorate the impact
of government support programmes in developing the small business sector in South Africa.
This report concludes by making some recommendations on how these pitfalls may be

A case study of Mentorship Entrepreneurship and Leadership – An Inter-
generational and Experiential Learning Initiative
Shabashni Moodley

This case study presentation addresses possible ways for entrepreneurship to be practiced within
academic environments. Many Universities in South Africa have engaged in some form of
entrepreneurship activity. However, such activities are sometimes limited to the end product of students
being adequately equipped to start-up their own initiatives. This presentation suggests that
entrepreneurship thinking and training can extend beyond the typical outcome. The invitation from our
current economic, political and social reality, is for universities and other organisations to produce
individuals who are self mastered leaders. Such leaders are able to lead themselves and others in any
context. But, most importantly they are also willing to be led by others.

Entrepreneurship incubation is the vehicle in which this kind of leadership grooming can happen. Such
an incubation process is made up of two practices. The first of which is the practice of inter-generational
learning. And, the second is the practice of experiential learning. ME and Leadership is the journey of
three students who were mentored by adults and subsequently received the opportunity to train as
junior consultants. This initiative is based on a choice to take the risk and create a space for similar
opportunities to be accessed by all young South Africans.
Sustainable Marketing Strategies By A Major Retailer In South Africa
Promotes Both Corporate And Independent Entrepreneurship
Dr. M A. O. Dos Santos

The term sustainable marketing refers to the process of “planning, implementing, and
controlling the development, pricing, promotion, and distribution of products in a manner that
satisfies the following three criteria: (1) customer needs are met, (2) organisational goals are
attained, and (3) the process is compatible with ecosystems” (Fuller, 1999:4). In other words
sustainable marketing strategies enable the business to win by ensuring its profitability, the
customers win in that their needs and wants are satisfied and the environment wins since the
adverse effects of business activities on the natural environment are minimised (Fuller, 1999:
xi). Sustainable marketing is becoming increasingly more significant as global warming and
climate change is receiving increased mass media attention and consumers and governments are
becoming concerned about the impact of these two environmental issues on the world’s
ecosystems and on human populations around the world. Grant (2008: 25) substantiates this
statement by saying that “climate change is characterised by extreme scale and urgency” while
Moroke (2009: 3) states that people have woken up to the fact that irresponsible private and
public consumption is not a good thing for anyone. He further states that there is an emerging
trend in the marketplace where people believe that what is good for the pocket needs to be good
for the planet. In South Africa for example the recent natural disasters that included the flooding
of residential areas in Soweto, the devastation in KwaZulu Natal as a result of severe
thunderstorms and the ‘freak’ waves that hit the KwaZulu Natal coastline earlier this year were
all blamed on climate change (E TV, 2009)

According to Hisrich, Peters, and Shepherd (2008:8) entrepreneurship may be defined as “the
process of creating something new with value by devoting the necessary time and effort,
assuming the accompanying financial, psychic and social risks and receiving the resulting
rewards of monetary and personal satisfaction and independence.” Hisrich, Peters and Shepherd
(2008:16) also distinguish between corporate and independent entrepreneurship where
corporate entrepreneurship is seen as entrepreneurship existing within a business while
independent entrepreneurship is seen as the creation of a new venture.

Towards An Understanding Of The Entrepreneurial Mindset Of South African
Informal Traders
Professor Boris Urban

Conventionally, the informal sector is seen to encompass those enterprises which aren’t
registered with government authorities and which are essentially survivalist in nature
(Dasgupta, 2003; Hart, 1972, ILO, 1997-1998; Rogerson, 2000). Despite this however, the
informal sector is increasingly being conceived of in terms of its entrepreneurial potential
(Dasgupta, 2003). De Soto’s (1989) seminal work, for instance, provides impetus for this by
suggesting that the informal sector provides a rich and fertile space for the emergence of
capitalists. The International Labour Organisation’s definition of the informal sector, at the same
time, considers the informal sector, in part to be ‘…a product of rational behavior of
entrepreneurs that desire to escape state regulations’ (ILO, 1997-1998). This is in keeping with
Rogerson’s (2000) conceptual differentiation between survivalist and micro-enterprises in
South Africa’s informal sector, with the latter exhibiting growth potential, and hence,
entrepreneurial tendencies, albeit the fact that these ventures are largely unregistered and lack
formality. However, notwithstanding this shift in conceiving of the informal sector as a fertile
space for entrepreneurial activity, very little scientific attention has been paid to the
entrepreneurial mindset of informal traders.

The entrepreneurial mindset has been described as the ability to sense, act, and mobilize under
dynamic and uncertain environments, as typically faced by entrepreneurs (Haynie et al. 2008). It
is the combination of these abilities to sense and to act which are required to exploit business
opportunities. Rather than being characterized as a dispositional trait, researching the
entrepreneurial mindset not only offers insights into entrepreneurial thinking, motivators and
behaviors, but is represented as a dynamic, learned response that can be enhanced through
experience and training.

Equally important are personal motives which affect both start-up decisions and the start-up
processes. Many studies focus on aspects of entrepreneurial motivation in relation to starting a
venture (Locke and Baum, 2007; Douglas & Shepherd, 2002), however few studies focus on the
determinants of various entrepreneurial motives such as the necessity motive, the independence
motive, and wealth motive, and how the incidence of these various motives affects
entrepreneurial aspirations (Hessels et al, 2008). Although studies of entrepreneurial intentions
(Krueger et al 2000) routinely investigate reasons or motives to start a firm, a need exists for
research to consider how motives impact entrepreneurial intentions (Shane et al, 2003), and
interact with opportunity recognition.

Importance of the study
Research aimed at developing a better understanding of the capacities and perceptions of
entrepreneurs is important in South Africa. This has particularly significance for the informal
sector not only from a policy perspective as the government applies itself to the development of
the informal sector (The Presidency, nd; Van Rooyen and Antonites, 2007), but also because
informal micro-enterprises contribute significantly to economic activity. In South Africa, the
informal sector is said to contribute to 25% of total employment, and between 5-6% of total GDP
(Gauteng Provincial Government, nd; Ligthelm, 2006). Yet, when compared to formal
enterprises these enterprises are unproductive and serve mainly as a social security net keeping
millions of people alive, but disappearing over time (La Porta & Schleifer, 2008). Although these
small businesses serve a vital social function and help make the poor a little less poor; they do
not provide much dynamism (Hudson, 2006).                One of the strategies in promoting
entrepreneurship is conducting appropriate research aimed at better understanding the
capacities of entrepreneurs in South Africa, not only so that advisory services and finance can be
more precisely targeted but also so that entrepreneurial performance improves.

The purpose of this study is therefore twofold: (1) provide a descriptive understanding of the
nature of entrepreneurs in the informal sector in terms of a number of background and
operating variables, and (2) advance theory by investing relationships between salient
characteristics and perceptions of opportunity recognition, motivators and community support.

Some 450 informal traders attending the fifth roll out of the ‘Grow Your Business Programme’
were surveyed on issues pertaining to pertaining to opportunity recognition, entrepreneurial
motivation and aspects of community support. The programme, which is a partnership between
the University of the Witwatersrand, Johannesburg, and the City of Johannesburg, seeks to
impart entrepreneurial skills to informal traders in the greater Johannesburg area. Surveys
were distributed and collected by programme facilitators.

The Impact of Entrepreneurial Education, Social Norms, and Situational
Factors on Entrepreneurial Attitudes and Intentions of Graduate Students in
Dr Warren Byabashaija, Audrey Kawuki, and Thomas Bwire

This paper presents results of a quasi-experimental study that focuses on the impact of
entrepreneurial education and societal subjective norms on entrepreneurial intentions of
graduate students in Uganda. Data were collected pre- and post entrepreneurial training. So far
only first wave data has been analyzed. Secondary analysis will be completed in the next two
months. The initial analysis focused on the mediating and moderating influence of
entrepreneurial attitude variables – perceived desirability, perceived feasibility, and perceived
self-efficacy as mediators of the relationship between societal subjective norms and
entrepreneurial intentions – and situational factors as moderators of the relationship between
the attitude variables and entrepreneurial intention. The results show significant mediating and
non significant moderating influence. There are lessons to be learnt for both curriculum
designers in educational institutions and policy makers at a more macro level.

Key words: Entrepreneurial intention, entrepreneurial attitudes, entrepreneurial education

The Relationship Between Entrepreneurship Education And The Motivation
To Start Business Among Makerere University Business School
Entrepreneurship Students
Ernest Abaho

Purpose: This study sought to establish the relationship between entrepreneurship education and the
motivation to start business among Makerere University Business School entrepreneurship students. The
study was guided b the following objectives; examine the relationship between entrepreneurship
education and networking, examine the effect of entrepreneurship education on attitude change about
business start up, examine the effect of networking on the motivation to start business, examine the effect
of attitude change on the motivation to start business and to establish the relationship between
entrepreneurship education and motivation to start business.
Methodology: A cross sectional and correlational quantitative design was adopted during the study. The
study confined to Entrepreneurship students (BESM) of Makerere University Business School (MUBS)
and their alumni from 2002-2007 because MUBS is the only institution that pioneered the
entrepreneurship degree programme and has since produced graduates on this stand-alone programme.

Findings: It was established that there is a significant relationship between entrepreneurship education
and networking (.372**, p<0.05). This means that as people acquire training, they learn how to interact
with others, build relationships and gain more social capital which they again use identify opportunities,
resource mobilisation and network marketing.
The findings also indicated a significant relationship between entrepreneurship education and attitude
change (r=.477**, p< 0.05). This implies that as students continue to study entrepreneurship, their
attitude towards business, confidence, inspiration and interpersonal relations increase. This could be as a
result of training, opportunism, value management skills and risk taking.

About networking on the motivation to start business, the findings of the study revealed that there is a
relationship between the two variables networking ant the motivation to start business (r=.513**,
p<0.05). This could be because of the facts that as people build relationships through interactions,
sharing experiences, accessing resources and getting business opportunities through acquaintances, and
inspiration from their successful friends, their ambitions to get rich will increase.
The study revealed that there is a significant relationship between attitude change and motivation to
start business (r=.462**, p<0.05). Analysis of attitude change revealed that information search and
confidence, choosing entrepreneurship as a career, optimism, need for respect and interpersonal
relations were some of the forces behind the respondents change in attitude. The factors appear to
impact heavily on the motivation to start business since ambitions to get rich and need for independence
will be the main target to start business.
Relationship between entrepreneurship education and motivation to start business. According to the
findings of the study, it was revealed that entrepreneurship education and motivation to start business as
independent and dependent variables respectively are related (r=.253**, p<0.05).

Recommendations: There needs to be a very significant transformation in not only what is taught but
how it is taught but by developing the enterprising environments and approaches to learning in which
entrepreneurial aptitudes and capabilities can flourish, alongside business acumen and understanding.
This can best be achieved through emphasising aspects like networking skills among the
entrepreneurship students to enable them learn how to mobilise resources, accessing and learning from
successful entrepreneurs, trust building and other networking key success factors. I therefore
recommend that entrepreneurship educators should emphasise attitude change through information
search and confidence, choosing entrepreneurship as a career, optimism personality and inspiration.

Significance: Institutions that offer entrepreneurship education will design relevant teaching materials
and approaches that make a direct impact on the motivation of students to become self employed.

Public expenditure and small business development in South Africa.
Dr Ebrahim-Khalil Hassen

The proposed paper undertakes a review of each of the 34 national government votes, focussing
on the implications for small business and entrepreneurship. Traditionally, analysis of
government budgets on small business has focussed on the Department and Trade and Industry.
However, several departments (e.g. housing, agriculture, tourism) run programmes aimed at
supporting small business. To date, there has not yet been a comprehensive review of the total
allocations for small business development. The proposed paper will aim to start a discussion on
the concept of a ‘budget envelop’ for small business development, which could be tracked over a
period of time. If possible, the analysis will be extended to focus on relative support provided to
small business, versus larger and more established businesses. In so doing, the paper will
complement existing studies aiming to influence governments direction on small business.


The method for reviewing budget votes is undertaken in the following steps:

   1. Overall breakdown of national budget by economic and functional classifications
   2. Review of the Estimates of Expenditure votes distinguishing between programmes that
      have any relevance to small business and entrepreneurship.
   3. Narrowing down the programmes to distinguish between programmes that could be
      considered strategic for the small business sector.
   4. Classification and calculations on these budget votes will be undertaken
   5. Results will be analysed to ascertain trends, and focus on policy relevant information.

The paper is still being developed, and will be completed by 30 June 2009. The paper forms part
of a larger research project that the author is undertaking as a consultant to the National Labour
and Economic Development Institute (NALEDI). Permission to utilise the paper for academic
purposes will be readily obtained from NALEDI.


Whilst, the paper is still being completed, there will be implications for public policy in at least
three areas:

      Adequacy of budgets for small business development
      Improved understanding of the strategy for small business development as it happens in
      Evidence based analysis to support lobbying and advocacy efforts.

Sustainable Entrepreneurship in the 21st century Africa
Adamu, Awwal M. ; Magaji, S., (PhD) and Eke, I., University of Abuja;

African countries are still lagging behind in the entrepreneurial world in spite of the enormous
resources both human and material, which even outstrip those of the developed worlds. Despite
these advantages however, African countries still spend huge amount of their money in buying
most of their essential needs from the entrepreneurs of other countries outside the shore of
Africa. In addition, while other countries in Europe have since achieved success stories in
entrepreneurial ventures, and others in the developing world such as Brazil and their likes are
gaining momentum in sustainable entrepreneurship, African countries which can be said to be
developing or emerging economies are still living in the backyard. Thus, this paper sets out to
explore necessary avenues to ensure the sustainability of entrepreneurship so that in the
shortest possible time the countries of Africa can get themselves well saddled in the global
business of the 21st century. This is because there is strong mutual relationship between
economic development and entrepreneurial activities, thus the need to ensure the sustainability
of entrepreneurial activities. In other words, sustainable development is a sure way of achieving
success in the entrepreneurial activity in Africa.


        This article argues that African countries being emerging or developing economies have
the potentials of becoming world giants in entrepreneurial drive which at the same time will
make the economies of the continent to become a world economic giant. However, this can only
be achieved if adequate measures are giving precedence by both the governments of African
countries as well as the private business organizations, especially the small and medium scale
enterprises. This is very important at this time when most, if not all the governments of African
states are working towards putting their economies on the right track. However, in writing this
article, the researchers relied heavily on written documents to generate their facts, i.e. to
identify the obstacles affecting the growth of African economies. Invariably, these forces militate
against the sustainability of the economies of African countries and by extension their
entrepreneurial development and its sustainability. In other words, the bulk of the information
is generated from textbooks, journals, magazines and other related sources. However, the
importance of getting first hand information from some entrepreneurs was not left out in this
research, as such questionnaires were designed and administered to some selected successful
entrepreneurs as well as those that are just starting in entrepreneurial ventures. This was done
with a view to gather information on how those successful entrepreneurs excelled in their
enterprises, or the problems or challenges encountered by the beginners in entrepreneurial
venture, and how they are struggling to surmount those problems.


        This research article has revealed in clear terms that sustaining entrepreneurial activities
in Africa can only be achieved if adequate measures can be devised and pursued with all
seriousness. Invariably, this will go along way in making the economies of Africa to achieve
success stories like those of their counterparts in the highly developed countries and the newly
emerging economies. This is because with the sustainability of entrepreneurship in Africa,
production of qualitative goods as well as services will be on the increase and enhanced, a
situation which ends results will be the economic growth of Africa. In fact, so many measures
could be devised to ensure the sustainability of entrepreneurship in Africa, which amongst other
things is the provision of the enabling environment especially by the governments of the African
countries to clear the somehow hazy atmosphere for entrepreneurship to fully take off and be
maintained. On the part of the entrepreneurs, they also have quite a number of roles to play to
achieve sustainable entrepreneurship, such as the continual acquisition of new knowledge and
skills that will have positive effects on their entrepreneurial ventures, among other roles.

        The implication of this research endeavor is that, having clearly realize that there is
strong correlation between the rate of economic development and entrepreneurial activities, the
inability of both governments of the various African countries (in providing the enabling
environment for the entrepreneurs) and the concerned private business groups and individuals
to deal effectively with the forces that hinders the sustainability of entrepreneurial activities in
their respective countries, African entrepreneurs will continue to be in the backstage of the
theatre of the world business of the 21st century, where innovation, invention and creativity are
the watchdogs of entrepreneurship.

Entrepreneurial Intensity a Correlation Between Firms
M Hewitt

Entrepreneurship is not something that a company have or do not have it is a variable and
somewhere in an organisation it does exist. The three underlining dimensions of
entrepreneurship innovation, risk and pro-activeness provides one with the answer as to where
it lies within a given company. The entrepreneurial event varies and can be measured in terms
of how much innovation, risk taking and pro-activeness is involved in any given period of time
(Covin, Kuratko & Morris, 2008).

This paper sets out to develop a richer understanding of how entrepreneurial intensity (EI)
works in three particular South African Companies in the same industry. A proven instrument
for assessing IE within a firm developed by Friesen and Miller 1982, Morris and Sexton 1996 has
been used. The instrument has been administrated to a number of managers representing
different functional areas within the firms.

The methodology used in this study consisted of primary data, which were obtained from the
questionnaires; and secondary data from accredited articles in journals, unpublished papers,
textbooks academic journals, the Internet and conference proceedings. Hypothesis set are to
determine the interactive relationship between Entrepreneurial Intensity (EI) (independent
variable) and Industry Type (IT) (dependent variable).

(Key words: entrepreneurship, Entrepreneurial Intensity, industry type,)

Entrepreneurial Orientation and Entrepreneurial Performance Of Central
Johannesburg Informal Sector Street Traders
Christian Callaghan & Robert Venter

The informal sector forms a vibrant and important part of the South African economy. It is said to
contribute to 25% of total employment, and between 5-6% of total GDP (Gauteng Provincial Government,
nd; Ligthelm, 2006). Conventionally, however, the informal sector participation has been described as a
trap associated with impoverishment (Cassim, 1982); as the survivalist responses of marginalised
persons with no alternatives (Habib, 2005). These conceptions prescribe an identity to informal sector
participants, with little consideration given to individual potential and individual action as means to
escape impoverishment and a survivalist condition. Increasingly, however, attention is being paid to the
entrepreneurial potential of the informal sector, which participants perceive to be rich in opportunity (cf
Dasgupta, 2003; House, 1984; Rogerson 2000). Yet, despite this, very little has been done to investigate
the entrepreneurial orientation, and indeed, the entrepreneurial performance of informal traders.

An entrepreneurial orientation is best associated with increased earnings in certain environments
according to Lumpkin and Dess (1996), and is considered to be a process orientation that can be learned.
Research testing the relationship between entrepreneurship and performance has been problematic due
to the different definitions offered by different entrepreneurship scholars (Cunningham and Lischeron,
1991; Lumpkin and Dess, 1996). Entrepreneurial orientation as a construct can, however, be utilised to
overcome these challenges. Entrepreneurial orientation or certain of its dimensions have been associated
with positive effects related to performance (Chow, 2006; Coulthard, 2007; De Clerq and Ruis, 2007;
Jantunen, Puumalainen, Saarenketo, and Kylaheiko, 2005) or with negative relationships (Naldi,
Nordqvist, Sjőberg and Wiklund, 2007).

In this study, the dimensions of an entrepreneurial orientation, which include innovativeness,
competitive aggressiveness, risk taking propensity, autonomy and proactiveness, (Lumpkin and Dess,
1996), and the effects of certain contextual factors were tested as to their associations with
entrepreneurial performance. Entrepreneurial performance was defined in this context as a construct
comprising earnings and continuance satisfaction. In terms of entrepreneurial performance, the
contention of Lumpkin and Dess (1996) that an entrepreneurial orientation is associated with learning
(the how of entrepreneurship, or the learnable process conception of Stevenson and Jarillo (1990)), was
also tested. Relationships were investigated and insights developed regarding potential street trader

An investigation of the entrepreneurial orientation and performance of informal sector street traders was
undertaken using a survey instrument consisting of 5-point likert scales which were adapted to take
account of the contextual issues presented by the South African environment. Three hundred and thirty
nine traders from the Johannesburg inner city participated in the study, and were selected using a
convenience sampling method. The primary researcher administered the instrument in person with the
assistance of a translator in order to ensure that the intent of the survey items were appropriately
conveyed, and responses accurately captured.

Multiple linear regression analysis was used to test specific relationships influencing entrepreneurial
orientation and entrepreneurial performance. Results contested assumptions that prescribed a
theoretically permanent and immutable survivalist orientation to certain informal participants in that
education and learning related factors were found to be associated with entrepreneurial orientation and
increased earnings. Entrepreneurial orientation was found to be associated with increased earnings
along the dimension of risk taking propensity, and higher levels of autonomy were found to be associated
with continuance satisfaction. Total entrepreneurial orientation (tested together with the variable order
of capture for an association with earnings (p<0.0285); hours worked per day (p<0.0016); initial
investment (p<0.0003); total education (p<0336); experience (p<0.0467); training courses (p<0.0971);
risk taking propensity (p<0.0878) and continuance satisfaction (p<0.0001) were found to be positive and
significant predictors of earnings. Years in Johannesburg (p<0.0887) and order of capture (p<0.0001)
were found to be negative predictors of earnings. Years spent in Johannesburg (p<0159), earnings
(p<0.0001), order of capture (p<0.0001) and autonomy (p<0.0001) were found to be positive and
significant predictors of continuance satisfaction. Days worked per week (p<0.0053) and total education
(p<0.0032) were found to be negative predictors of continuance satisfaction.
The results suggest that entrepreneurial orientation does have a role in informal sector enterprise
performance. This is of value, particularly, because it gives impetus to the alternative proposition that
the informal sector is not simply a ‘dead end’ space characterised by survivalist activities, but indeed, is a
fertile breeding ground of capitalists (de Soto, 1989). From a policy perspective, a potential positive
return on human and financial capital in the informal sector street trading context was demonstrated,
suggesting that entrepreneurial performance of informal traders might be increased through more
training and education as well as access to finance.

The importance of appropriate marketing strategies for craft
Mercy K. Makhitha

SMEs research has received substantial attention around the globe from both the academics,
researchers and governments the past three decades. Although there is limited research on craft
businesses, especially marketing of craft products, there is an increasing interest among
governments and researchers on the marketing and viability of craft businesses. This is
particularly the case in South Africa where the industry has been largely ignored. Until lately, the
craft industry in South Africa had been underdeveloped. As governments at national and
regional levels looks at developing and growing the economy, the craft industry is more likely to
contribute to such a growth. This is particularly important in order to reduce the
unemployment rate in the country. The South African government have since 1994 been actively
supporting entrepreneurship, with support structures and organizations been established to
support entrepreneurship.

Although the industry is worth R1billion rand, there are still many challenges to overcome such
as access to market, market development, marketing, product differentiation and so forth. For
these challenges to be overcome, craft businesses need to work closely with different
stakeholders such as marketing experts, designers, raw materials suppliers, training
organizations and institutions and so forth in order to market their products successfully.

Research data will be collected using qualitative research methods, which will involve in-depth
interviews with the sample respondents. The sample consists of businesses representing the
survivalists, micro, small and established businesses. The sample excludes retailers found in
shopping centres, hotels, airports and in tourism sites and includes producers and producer-
retailers operating in areas other than the aforementioned. Such will includes community
organizations, registered and formal businesses as well as unregistered businesses.

Social Entrepreneurship in Egypt: Challenges and Opportunities
Professor David A. Kirby & Dr. Nagwa Ibrahim,

Traditionally the free market and aid (from the rich countries to the poor) have been seen as the
alleviators of poverty but, as Handy (1997) has recognized, markets can lower standards as well
as raise them, and, as a consequence, deepen rather than reduce differences. At the same time,
five decades of foreign aid have failed to reduce global poverty, and it is being recognized,
increasingly, that “aid is neither necessary nor sufficient to ensure sustainable development and
poverty reduction in poor countries” (Griffiths and Tan, 2007, 45).

The relative failure of the free market and the flow of aid from rich to poor has led several
commentators to suggest that what is needed are different forms of intervention, among which
are an enterprise approach to poverty alleviation by building “commercially sustainable
companies that create jobs and empower the poor to improve their livelihoods” (Griffiths and
Tan, 2007, 29). In essence, it is about applying the expertise, talents and resources of
entrepreneurs to the variety of problems developing countries face such as education, health,
personal safety and security, poverty alleviation, social advancement of disadvantaged
populations, environmental sustainability, etc.

The Social Enterprise movement is a relatively new phenomenon and as Henry, Johnson and
Spear (2006) have recognized, there is a lack of any universally agreed definition of the term.
Oxford University’s Skoll Centre for Social Entrepreneurship identifies “three key
characteristics: sociality, innovation, and market orientation,” and there is broad agreement
about what social entrepreneurs do, namely “bring to social problems the same enterprise and
imagination that business entrepreneurs bring to wealth creation” (Rt. Hon Tony Blair, 2 June,
1997), a message reemphasized in the recent best-selling book Philantrocapitalism (Bishop and
Green, 2008). The objective is to create a business that in addition to private value-added is self-
consciously constructed to generate social value-added. In practice, the particular form of Social
Enterprise varies. Some are setup as for-profit entities; others as nonprofit organizations.
However, whatever the precise format governments around the world have begun to recognize
that “|Social Entrepreneurs are the harbingers of change, devising new ways to provide support
and development for those excluded from the opportunities of the new society” (Handy, 1997,

Egypt is no different and there are attempts to promote Social Enterprise along with efforts to
create a more Entrepreneurial culture and society. Hence, the objective of this research is to
consider the barriers to the development of social enterprise in the Egyptian economy and to
explore the level of understanding of social enterprise amongst young Egyptian adults
(students). It does this through a combination of qualitative and quantitative research adopting
the contextual stepwise approach (Siu and Kirby, 1997 and Kirby 2007) whereby
“understanding from phase 1 furnishes the pre-understanding for phase 2, and so forth”
(Gummesson, 2003, p.484). Accordingly, the research is in three phases or steps. Phase 1 takes
the form of semi-structured interviews with experts (representatives of the Schwab Foundation
for Social Entrepreneurship and Ashoka) to determine the environment for social enterprise in
Egypt. Stage two is a questionnaire survey of young Egyptian adults (students at the British
University in Egypt and the American University in Cairo) to determine their awareness of the
concept and interest in becoming social entrepreneurs. Finally, stage three takes the form of in-
depth interviews with 4 leading Egyptian Social Entrepreneurs to determine their experiences
and views on the barriers to social enterprise in Egypt and what needs to be done to remove

The paper presents the results of the research and focuses attention on the importance of
Social Enterprise to the improvement of living standards, particularly, but not exclusively, in
Egypt, thereby helping “flood the market” with social entrepreneurs, as Yunus (2008, 41 & 42)
suggests and “move away from a narrow interpretation of capitalism and broaden the concept
of the market by giving full recognition to social business entrepreneurs”. Hence apart from
contributing to one of the conference tracks (Social Entrepreneurship) it contributes to the
main conference theme of “Fostering Entrepreneurial Capital in an Emerging Country Context”.

Microfinance And The Entrepreneurial Empowerment Of Women In Uganda
Edith Mwebaza Basalirwa; Luganda Fred and Abaho Ernest

This paper explains the success story of group lending microfinance among Women in Uganda. An
exploratory cross sectional design was adopted. Findings revealed that the majority of the women
were involved in trade and aged between 26-40. Access to credit was found to be the major benefit from
the microfinance services. The benefits in the groups were networking, trust and reciprocity.

Statistics revealed that microfinance and social capital were important in entrepreneurial empowerment.
Microfinance is an important tool towards the entrepreneurial empowerment of women. Governments
should encourage women to have centers of information exchange.

Keywords: Microfinance, Women, Entrepreneurial Empowerment

Creativity As An Entrepreneurial Capital
Sylvester, V. M (PhD) University of Abuja and Magaji, S. (PhD) University of Abuja

Can an entrepreneur succeed without money capital? This paper reviewed basic conceptual
issues on entrepreneur and entrepreneurial capital. The basic entrepreneurial capital includes
Bank sources, personal savings, assistance from government, credit from suppliers and
customers, equity capital, and so on. However, the fundamental complains of youth is that access
to capital is only when someone has certain financial strength. This paper debunked the notion
that you must have money to get money. The basic requirement of entrepreneurial success is

Creativity is a process by which symbolic domain in the culture is changed: New songs, new
ideas, new machines… (Mihalyi, 1997). It is therefore, the ability to bring something into
existence. Creativity is a prerequisite to innovation. Creativity involves idea germination,
preparation, incubation, illumination, and verification (McOliver and Nwagwu, 2006). Creativity
therefore, simply means idea plus action (Okpara, 2005). That is to say, only those with ideas to
pursue are entrepreneurs. However, ideas seldom materialize accidentially, but through creative
process whereby imaginable person germinate the ideas, motivate them and develop them
successfully. Hence strong idea and the zeal to actualize it is the centre point of creativity.


This paper debunked the notion that you must have money to get money, by conducting case
studies and finding out how creativity served as a good capital. The case studies were conducted
through the use of questionnaires and interviews. Questionnaires were administered to fifty
successful entrepreneurs in Abuja in September, 2008. The fundamental question of interest is
on whether the entrepreneur inherits his capital; accumulate the capital by working for
somebody; get assistance from relations, community or any other body; or never get any money
capital as at the time of business idea incubation. Five entrepreneurs are found to have started
without capital but with sound idea and action to actualize the idea. These five entrepreneurs
were targeted for interview in October, 2008 on how they succeed in bringing up viable
businesses without take up capital. Through the interview, their traits were also scaled using the
Lykert type Scaling method.

The case studies revealed that money capital on its own is meaningless in generating additional
income and employment unless it is supplemented with a good idea. These case studies are on a
Block industrialist, a Barbing Salon entrepreneur, a Poultry farmer, a fish farmer, and a Laundry
operator all in Abuja, Nigeria. These entrepreneurs studied succeeded in their respective
businesses by starting virtually with no money capital but with strong ideas and the will to
actualize the ideas.


The major contribution of this paper is on the influence of idea, passion and determination to
realize the idea towards making a successful entrepreneur. Furthermore, a person with idea and
passion to actualize the idea is ready to take unimaginable risk and can see success in every
failure. In addition, a good idea alone is capable of attracting the required capital to actualize
production of goods and services necessary for further capital accumulation. The paper
discovered further that people with idle capital, suppliers of goods and services as well as
government agencies and nongovernmental organizations are attracted to people with great
passion to actualize ideas especially in the area of production of goods and services. In fact, the
suppliers of goods and services do grant trade credit to passionate producers. Additionally, the
influence of role-modelling in entrepreneurship is found to be quiet fruitful as those interviewed

         emphasizes mentoring. The question whether entrepreneurs can be mentored or not, is
answered in the case studies. Mentoring and teaching are essential ingredients in becoming a
successful entrepreneur. Wonderful ideas attract free consultants. Many experienced and
knowledgeable persons as well as people with great wisdom are challenged to make
contribution to actualize the incubated ideas. Other miscellaneous assistance are also
forthcoming only when there are good ideas. Finally, McOliver and Nwagwu (2006) identified
basic traits of successful entrepreneurs. These includes; a risk taking, self confidence, and
optimism (b) positive response to challenges, flexibility and adaptability, (c) Application of
knowledge, use of other’s wisdom and updating of knowledge, (d) Leadership dynamism,
diligence, activeness, and creativity, and (e) Foresights, initiative and responsive to criticisms.
These are found to be statistically significant in the case studies conducted.


The implication of our finding is that capital is never an obstacle to entrepreneurial development
because entrepreneurship is the ability to accumulate capital through idea actualization.
However, to promote entrepreneurship, concerned organs should double efforts in motivating
youth to be creative, risk takers, and innovative. Furthermore, entrepreneurs can be made
through training and relevant education. Direction of government should be geared towards
promoting entrepreneurship study in order to make the youth potential employers of labor
rather than potential employees of labor.

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