South Africa’s small businesses low participation in the mainstream economy mirrors the structura... more South Africa’s small businesses low participation in the mainstream economy mirrors the structural inequality disparities. The genesis of this can be traced back in the 19th century land dispossession, the apartheid policy coupled with the Group Areas Act of the 1950’s and the Bantu Education. Inherent in the current education system is the massive production of skillsoriented to job-seeking despite the highly squeezed labour market which calls for job creators and support to enterprise development and cooperatives. The low entrepreneurship level coupled with the rising unemployment imply that South Africa is not keeping pace with the fastest growing population. Conversely, the high mortality rate of start-up in South Africa and the low entrepreneurial intentions stem from a divisive history that was designed to perpetuate dependency, augment inequalities and maintain racial superiority.
Introduction The paper is divided into two sections or parts. Th e first part is composed of the ... more Introduction The paper is divided into two sections or parts. Th e first part is composed of the mining and the second section comprises of the hosp itality. Mining plays a significant role in the economy of the Southern African Develop ment Community (SADC) considering its contribution to GDP, exports, and e mployment (NALEDI, 2006:p. 13). Mining contributes just over 95 of the total output in he SADC region and increases substantially in economies that are dependent on pr imary sectors (i.e. most sectors except South Africa and Mauritius). However, in the past decade, employment in the mining sector within the SADC region has shrunk by 79% between 1994 and 2000 or 156, 478 jobs if we include Lesotho, Tanzania and M alawi. Total employment in mining was 751 115 in 1994 dropping precipitously t o 594, 637 in the year 2000. South Africa experienced the highest job losses los ing about 198, 294 or over a third of the total jobs lost in the mining sector.
Cooperatives development in South Africa continue to be an Achilles’ heel. Cooperatives are faced... more Cooperatives development in South Africa continue to be an Achilles’ heel. Cooperatives are faced with various challenges. Chief amongst these, is the lack of a collective vision, commitment, individual interests over collective interests and entrepreneurial cognition. Most co-operatives and group enterprises are started with unemployed people, often with low skills levels, and no prior business experience, in economically marginal areas. The playing field between cooperatives, small businesses and well established businesses is not well levelled, hence it becomes difficult for the former to break the huge barriers of entry into the formal markets. Compounded by the low level of development and adequate support, cooperatives find it difficult to graduate to the higher level of the value chains. On the other hand, firm standards and procedures are also high, hence a special kind of cooperative development with development institutions are required to overcome these hurdles. Most poli...
South Africa’s small businesses low participation in the mainstream economy mirrors the structura... more South Africa’s small businesses low participation in the mainstream economy mirrors the structural inequality disparities. The genesis of this can be traced back in the 19th century land dispossession, the apartheid policy coupled with the Group Areas Act of the 1950’s and the Bantu Education. Inherent in the current education system is the massive production of skillsoriented to job-seeking despite the highly squeezed labour market which calls for job creators and support to enterprise development and cooperatives. The low entrepreneurship level coupled with the rising unemployment imply that South Africa is not keeping pace with the fastest growing population. Conversely, the high mortality rate of start-up in South Africa and the low entrepreneurial intentions stem from a divisive history that was designed to perpetuate dependency, augment inequalities and maintain racial superiority.
Introduction The paper is divided into two sections or parts. Th e first part is composed of the ... more Introduction The paper is divided into two sections or parts. Th e first part is composed of the mining and the second section comprises of the hosp itality. Mining plays a significant role in the economy of the Southern African Develop ment Community (SADC) considering its contribution to GDP, exports, and e mployment (NALEDI, 2006:p. 13). Mining contributes just over 95 of the total output in he SADC region and increases substantially in economies that are dependent on pr imary sectors (i.e. most sectors except South Africa and Mauritius). However, in the past decade, employment in the mining sector within the SADC region has shrunk by 79% between 1994 and 2000 or 156, 478 jobs if we include Lesotho, Tanzania and M alawi. Total employment in mining was 751 115 in 1994 dropping precipitously t o 594, 637 in the year 2000. South Africa experienced the highest job losses los ing about 198, 294 or over a third of the total jobs lost in the mining sector.
Cooperatives development in South Africa continue to be an Achilles’ heel. Cooperatives are faced... more Cooperatives development in South Africa continue to be an Achilles’ heel. Cooperatives are faced with various challenges. Chief amongst these, is the lack of a collective vision, commitment, individual interests over collective interests and entrepreneurial cognition. Most co-operatives and group enterprises are started with unemployed people, often with low skills levels, and no prior business experience, in economically marginal areas. The playing field between cooperatives, small businesses and well established businesses is not well levelled, hence it becomes difficult for the former to break the huge barriers of entry into the formal markets. Compounded by the low level of development and adequate support, cooperatives find it difficult to graduate to the higher level of the value chains. On the other hand, firm standards and procedures are also high, hence a special kind of cooperative development with development institutions are required to overcome these hurdles. Most poli...
Uploads
Papers by Thulani Guliwe