Abstract
M.Comm.
The specific purpose of this study is to determine and verify the extent to which black
enterprise and the culture of entrepreneurship in the black community has prevailed,
since the dawn of democracy in 1994, and since the adoption of the White Paper on the
Strategy of Developing and Promoting the SMMEs Sector in South Africa in 1996. In
order to reach the desired conclusion, the investigation also includes an examination of
the effects of culture, religion and education on enterprise and entreprenuership in the
black community. This will be coupled to an evaluation of the relative significance of the concept of black economic empowerment (BEE) with regard to the government's desire to address the economic imbalances of the past. On the basis of the above assumptions and conclusions, recommendations regarding the advancement of black business and the promotion of a culture of entrepreneurship in the black community will be formulated. This study commences by looking into the definition and classification of SMMEs, as well as their characteristics. A link is made between the concepts of enterprise' and `entrepreneurship', on the one hand, and economic growth, on the other, with a view to
investigating the role of the African entrepreneur in South Africa. The analysis reveals
that the lack of income and skills and adequate education amongst the black majority
exacerbates and impedes the growth and the entry of new indigenous entrepreneurs into
business. Consequently, the fight against poverty and joblessness has been effectively
deferred, especially among the most vulnerable members of our society, namely the
youth and the female heads of household, who — despite our new dispensation — continue to face unfair discrimination and deprivation. Therefore, it is the contention of this study that to embark on a national campaign to promote small enterprises and a spirit of entrepreneurship leaving the vast majority of the target group illiterate and unskilled seems a colossal futile exercise. The exercise of promoting entrepreneurship requires a dedicated effort from every one of us, including every social institution which has a natural audience and/or a frequent and somewhat captive audience like churchgoers of all representative religions and denominations in South Africa. In the same manner, entrepreneurship cannot be consummated without altering our education system, and also altering our mindsets and our cultural institutions, which also include our places of worships, namely churches, mosques etcetera. Moreover, economic growth and economic development is dependent on the quality of labour and the quality of enterprise as opposed to the quantity that is envisaged by government through legislation. Unskilled and untrained entrepreneurs cannot be expected to operate big or small and medium size businesses and subsequently add value to the economy. It is by investing in their training that they can be empowered to increase the value of the businesses they operate and, consequently, retain a sustainable undertaking, which could have the possibility of increasing employment.