Entrepreneurship Education:

The Road to Sustainable Development in Tanzania

Chiraka Muhura1

1.0. Introduction
The world is changing at a supersonic speed. As such any society which is not well prepared to live
according to the pace of those changes is most likely to be an aid seeker. There are extremely limited
other options for such a society other than holding the begging bowl for alms. And, woe of woes, this
will not only affect the present but also the future generation which will bear the brunt of having to pay
the debts incurred by their forefathers. Under the circumstances, it is also most likely that the curse of the
begging culture will persist for generations to come for the son of the beggar is also a beggar.
The world economy shows that many developed countries are stable socially, politically and economically.
They can decide what to do, how to do and when to do what for their development. This is contrary to
developing countries like Tanzania whose budget depends more than 60% on handouts from so-called
development partners (donors). Such countries therefore lack the autonomy to make decisions.
Many developing countries, Tanzania as an example are endowed with natural resources which can
be transformed into wealth. But the issue is how to transform those resources into material things.
Inappropriate education that could be applied to transform those natural resources into tangible things
has been said to be the most major causes of underdevelopment. Tanzanian education is said to produce
white colour job seekers despite the fact that such jobs are limited compared to the number of job seekers.
In short, our education does not promote creativity and innovation that could have enabled people either
to be self employed (entrepreneurship) or expand white colour jobs which could employ more job
seekers. Consequently, employment opportunities are not adequately exploited to absorb eligible people.
This working paper therefore explores how entrepreneurship education can transform the country from
being dependant into self-reliant.

2.0. Meaning of Entrepreneurship

There are different meanings of entrepreneurship. Some people think that entrepreneurship is just
doing business. Others look an entrepreneurship in broad perspectives which involves professionalism
and individual ability to exploit opportunities. Tranchet and Rienstra, (2009), for example, define
entrepreneurship as an individuals ability to turn ideas into action. It includes creativity, innovation and
taking calculated risk, as well as the ability to plan and manage projects in order to achieve objectives.
This supports everyone in day-to-day life at home and in society; makes employees more aware of the
context of their work and better able to seize opportunities, and provides a foundation for entrepreneurs
establishing a social or commercial activity. Olomi, (2009) asserts that entrepreneurship can generally be
defined as way of thinking, reasoning, and acting that result in the creation, enhancement, realization, and
renewal of value for an individual, group, organisation, society.
1

Chiraka Muhura is a teacher, author and consultant. He is available at [email protected]

Some define entrepreneurship by using characteristics of an entrepreneur. The major characteristics of

an entrepreneur are:

Taker of calculated risks

Pro active and not reactive
Innovative
Creative
Value adding
Individual ownership
Exploiter of opportunities
Achiever etc.

Thus, entrepreneurship is the attitude of mind to seek opportunities, take calculated risks and derive
benefits by setting up either a venture or adding value to the organization. It comprises numerous activities
involved in conception, creation and running an enterprise. Thus, an entrepreneur is a person who thinks
creatively and innovatively, taking calculated risk of the available opportunities for the aim of creating
profit, employment and socio-economic growth. Entrepreneur is not necessary to establish a venture
but also to add value or change organisation culture. Entrepreneurs establish firms which become the
engines of economic growth and wealth creation. Computers, mobile phones, washing machines, ATMs,
Credit Cards, Courier services, and ready to eat foods are all examples of entrepreneurial ideas that got
converted into products or services.

3.0. History of entrepreneurship education

The origins of entrepreneurship education at universities and colleges lie in the US, where the first
MBA course was introduced in 1947 at Harvard Business School under the title Management of New
Enterprises (Katz 2003). From the 1980s onwards, entrepreneurship education spread first to northern
Europe, then around the mid-1990s to Central and Southern Europe and to the rest of the world.
Internationally, North America is a role model with regard to high-growth enterprises as well as the leader
in entrepreneurship education. No one questions the enormous economic contribution of Microsoft,
Amazon, Intel, Cisco or Google and many other innovative high growth firms in the United States.
Compared with other countries, the United States has the longest history in entrepreneurship education,
and also one of the most entrepreneur-friendly cultures and structural conditions in the world (Kourilloff,
2000).
In Tanzania, entrepreneurship education did not exist during the socialist era, of the Arusha Declaration.
During this period, Tanzanians were indoctrinated to hate virtually everything capitalistic including
entrepreneurship. An entrepreneur was regarded as an evil and associated with a beast. The slogan
Ubepari ni Unyama (capitalism is inhuman) was heard on the radio after every news bulletin. Thus,
entrepreneurship was made attractive only for the morally deviant individual.. Civil servants were
prohibited from involving themselves in business (Rutihinda, 2002). Since almost all civil servants
were educated Africans, this meant that business activities were left to Asians and those indigenous
people who had no job opportunities, and these tended to be people who had no substantial education
(Olomi, 2009). However, recent world developments as well as internal factors have forced the country

to undergo various changes. After the collapse of socialism and the Arusha Declaration, the country
started to restructure itself. Education authorities started to see entrepreneurship education as important
for the development of the country in the mid of 2000s. They started to incorporate entrepreneurship
education in their syllabi.

4.0. Are Entrepreneurs born or trained?

People have been arguing on whether entrepreneurs are trained or born. Some people say that entrepreneurs
are born. They say that there is no need of teaching or training people about entrepreneurship because an
individual is born with traits that make him an entrepreneur automatically. They argue that people with
entrepreneurial traits perform successfully in entrepreneurship activities due to inborn characteristics
which are not necessarily to be nurtured through formal education. They say that what matters is
availability of an entrepreneurial culture among some particular societies.
However, others argue that entrepreneurship is learnt. Entrepreneurship is not magic, its not mysterious,
and has nothing to do with the genes. Its a discipline. And as any discipline, it can be learned. But the
question whether entrepreneurship can be learnt is no longer significant. What is needed is a culture of
making potential growth on the national economy (Drucker, 1985). Successful entrepreneurs are those
with entrepreneurship education. Egeln (2000) asserts that research has demonstrated that high-growth
entrepreneurs in Europe are better educated than other entrepreneurs and the general population. In
Europe, most founders of technology based enterprises have a university degree. Research carried out
in Germany has shown that enterprises started by individuals with university degrees tend to grow faster
than enterprises founded by non-academics.
Olomi, (2009) says that education is important for entrepreneurs. He observed that those who have
education on entrepreneurship do better in their business compared to those who do not have such kind
of education. He asserts that educated entrepreneurs are likely to change and make significant impact
on their business than non educated ones. However, he concludes that in business what matters is not
the level of education pursued but rather the objectives pursued and the effectiveness of the education
process. Tranchet and Rienstra (2009) say that in many countries cultural traditions and the lack of
exposure to entrepreneurship as a viable career option can be barriers to innovation and economic
growth. By raising awareness and building necessary skills at all levels of education, a new generation of
entrepreneurially-minded people can unleash economic potential around the world.
Students who major in entrepreneurship tend to be less conforming, more impersonal, more risk
taking, more welcoming of change, and have a higher energy level, a profile similar to that of
successful entrepreneurs (Sexton and Browman, 1985). Moreover, research shows that those who take
entrepreneurship courses are more likely to start business compared to those who dont (Vijverberg,
1984; Bird, 1989 in Olomi, 2009).
The world is becoming a global village. In order to survive in it, the individual should be well equipped with
knowledge of surviving in the smallest room. The world has witnessed the most successful entrepreneurs
in businesses. Their success may be associated with the culture of their peoples which encourages them
with the resultant potential growth of the national economy. In other words, entrepreneurship education
cultivates entrepreneurial culture among peoples mind and therefore it is vital for the development of
entrepreneurs.

5.0. The goals of entrepreneurship education

As is the case with other fields of studies, Entrepreneurship education has its own goals. For example,
the central goals of entrepreneurship education at European universities and colleges are usually the
development of entrepreneurial capacities and mindsets and the promotion of the social recognition for
entrepreneurial initiatives (European Commission, 2008). Tanzania is endowed with abundant natural
resources. It is like a natural resource base in the world. But the challenge is how to transform those
resources efficiently and effectively so that they benefit individuals and the country at large. The inability
to transform those resources is associated with low business skills and knowledge in appreciating the
role of entrepreneurship education. Many people think that entrepreneurship is nothing to do with
education: that everybody can successfully perform entrepreneurial activities without undergoing any
seminars or training on entrepreneurship. This is patently wrong. Thus, the aims of entrepreneurship
education among other things are to change the mindset of people so that they become entrepreneurs in
their working places: to solve the problem of job seekers by creating job creators among intellectuals: to
discover or exploit opportunities available for the development of individual and country at large; and to
see the world as an opportunity and not as the worst place to live in.

6.0. The Status of Entrepreneurship Education in Tanzania

Like many other countries that have passed through different phases in the course of their development,
Tanzania has passed through different phases of restructuring. After only seven years of independence, it
adopted socialism as its model of development. Accordingly, the education system took its course to suit
the socialist model of development. The country established education for the self reliance whereby the
individual was prepared to be self-reliant in his future life. To be honest and sincere, this philosophy was
good for the welfare of people. Looking at the content of the philosophy, it was like creating job creators
and not job seekers which is also the aim of entrepreneurship education. However, since business people
were seen as moral deviants and uneducated, entrepreneurship education was not emphasised.
Rutihinda (2002) has for instance, noted that in Tanzania, during the socialist era, Tanzanians were
indoctrinated to hate almost every aspect of capitalism including entrepreneurship. An entrepreneur was
regarded as evil and associated with a beast. The slogan Ubepari ni Unyama (capitalism is inhuman)
was heard on the national radio after every news bulletin. Thus, entrepreneurship was made attractive
only for the morally deviant individual who had little knowledge about social disapproval. Civil servants
were prohibited from involving themselves in business.
After the decline of socialism and education for self reliance, Tanzania adopted neither socialism nor
capitalism. However, though the national constitution still maintains that Tanzania as a socialist country
following the policy of socialism and self reliance, practically it is a capitalist country. Social services
like education and health are now paid for and not free as they used to be. Thus, even the structure
and content of education has changed from education for self reliance to something else in the era of
privatisation and liberalisation.. Accordingly, new policies and curriculum have been designed and put
in place for implementation. The establishment of Higher Education Policy, ICT Policy for primary
education, Small and Medium Enterprise Development Policy, just to mention a few are good examples
of policies which align with privatisation and liberalisation.
The National education Policy of 1995 which is the mother of all policies for all levels of education in

Tanzania does not say anything about entrepreneurship education. It emphasises skills and knowledge
which should be imparted among individuals who should be self reliant after completing their studies.
The policy for higher education emphasises education which will impart students with knowledge and
skills of self employment. The syllabi of universities vary greatly. There is no universality of what should
be taught by universities registered in Tanzania. Each university prepares its courses and contents on its
own style and philosophy. As the result, each university uses its experience to design and teach a particular
subject. Thus, lack of universality of what should be taught and how it is to be taught which is blessed
by the Tanzania Commission of Universities also aggravates the situation.
Many universities are teaching entrepreneurship. Surprisingly, they teach entrepreneurship as a topic or
subtopic which is incorporated in Development Studies. In other colleges or universities in Tanzania
entrepreneurship is regarded as an option! Even those universities conducting masters programmes,
most incorporate entrepreneurship with Masters in Business Administration aiming to equip students
with entrepreneurial culture that will enable them to run their organisation entrepreneurially. Again,
entrepreneurship is here taught as a topic or subtopic. Even the few universities and colleges which
have established master of entrepreneurship or advanced diploma or diploma in entrepreneurship have
been designing courses on their own; sometimes losing the focus of the subject. That is why some
universities or colleges teach entrepreneurship as one of the factors of production or subject of running
a business (street vendors) only! Worse still, the subject is taught by people who are not knowledgeable
enough about the subject. Many universities and colleges employ MBA graduates as assistant lecturers
of entrepreneurship. They are not aware that MBA graduates have just elementary knowledge of
entrepreneurship and by doing so they are denying students the right to quality education which they are
entitled to.
In secondary schools the situation is equally deplorable. The syllabi for ordinary secondary education
talk nothing about entrepreneurship education. In the advanced level, of secondary school education,
entrepreneurship is stipulated as a factor of production specifically for form five economics students.
It is also stipulated in General Studies subject as neither a topic nor subtopic. Thus, the majority of
secondary leavers know nothing about entrepreneurship as a discipline rather than hearing it as being
associated with street vendors!
The syllabus for primary education has nothing to do with entrepreneurship education. It talks about
social studies which are supposed to impart skills and knowledge of creativity and innovation among
students. Even teachers who are teaching social studies are not knowledgeable enough to make student
think beyond the ordinary world. They always concentrate the attention of students in making pots,
embroidery and other works which have become the order of the day. They lack tactics and techniques
of making students think and design things beyond the ordinary. Lack of entrepreneurship education for
primary schools students is among the root causes of preparing job seekers and not job creators.

7.0. The Effect of Lack of Emphasis on Entrepreneurship Education

The power of entrepreneurship has been proven with significant impact in many countries which take
entrepreneurship education as a job creator, engine for economic growth and a weapon against poverty
just to mention but a few. Kourilloff (2000) asserts that no one questions the enormous economic

contribution of Microsoft, Amazon, Intel, Cisco or Google and many other innovative high growth firms
in the United States which are the products of entrepreneurs. Thus, compared with other countries, the
United States has the longest history in entrepreneurship education, and also one of the most entrepreneurfriendly cultures and structural conditions in the world. This is proved before other countries in her
creativity and innovation.
The fact is that if the nation does not put emphasis on entrepreneurship education it will have to make do
with unemployment, low economic growth, poverty and little thinking among her people. Entrepreneurship
education contributes a lot to economic growth. It has been noted that local entrepreneurs contribute
much to the growth of Gross Domestic Product (GDP). For example, one should ask himself about the
contribution of IPP Groups of Companies or Bakhresa Food Products Company to national economy
in terms of revenue (tax) and employment creation leave alone their contribution to social activities.
Thus, if entrepreneurship education is not emphasised, the country should surrender itself to imported
products and compromise with ignorance, diseases and poverty.

8.0. The Need for Effective Entrepreneurship Education in Tanzania

Education is an endless process of acquiring knowledge. A person can acquire knowledge formally
or informally. Formal education is the one we get from education institutions like schools. Informal
education is a kind of education which one does not require one to go to school. It can be acquired
anytime and everywhere. The main goal of education is to make better life among people.
When we talk about entrepreneurship education we mean education which emphasises creative
thinking in exploiting opportunities for the purpose of creating employment and contributing to social
and economic growth. This is the kind of education which can make the development of the nation
sustainable. Sustainable development is the kind of development that meets the needs and demands of
the present and coming generation. It is the kind of development that cannot be shaken easily but that
can survive among social, political and economic hurdles.
In Tanzania, entrepreneurship education is needed mostly to exploit the available natural resources and
opportunities effectively. It has lakes, rivers, ocean, dams etc which are full of not only fishes but also
other creatures like hippopotami, crocodiles, etc.. The country has a plenty of virgin land, forests as well
as domestic and wild animals, gases and minerals like diamonds, gold, Tanzanite, coal just to mention
just a few. However, all of these have not yet utilised effectively for the development of the people. In
other words, we are lacking entrepreneurial skills and knowledge of turning those opportunities into
development. If we are looking for sustainable development we must create/prepare people who can:
Develop new products
Discover new services or product methods which emphasise genuine application of an existing
method to an industry or institution
Discover and exploit new markets which the industry or institution have not exploited before
Discover and exploit new resources of supply of raw materials which have never been used
before
Take calculated risks for the betterment of the country

In Tanzania we need people who can contribute to the production of the institutions or organisations
(people who can add value to something). A recent research shows that in Tanzania public health services
are very poor. For example, 53% of the patients who attended public hospital got health services after
two to three hours of waiting and the other 19% were asked to give bribes2. All of these are due to lack
of entrepreneurship education. They dont value human resources and they think that productivity can be
realised through bribes. In order to bring about efficiency and effectiveness of the services or products
offered, any institution or organisation must have corporate entrepreneurs who can add value to the
services or products for the purpose of increasing productivity.
Again we have been witnessing the downfall of quality of education which is accompanied with poor
results of both primary and secondary students in Tanzania. A lot has been said about it like poor
infrastructure and insufficient learning and teaching equipment. However, there is another factor which
we tend to forget. This is lack of creativity and innovation among teachers and students in learning
and teaching processes. They use traditional ways of teaching and learning. There is little effort among
teachers and students in the discovery new methods of learning and teaching. The reason behind this
is lack of entrepreneurial culture that changes the mindset of an individual in facing the world. While
other teachers and students in other countries are trying to innovate and create new methods of learning
and teaching, we only concentrate on old methods of learning, teaching and evaluating ourselves. As a
result, some students (sometimes, in collaboration with their teachers) are cheating in examinations. It
has also been revealed that illiteracy is increasing in the country. For example, there were 308 Form One
students who did not know how to read and write at Nansimo ward in Bunda district. Again, Arusha
region leads in cheating in examinations. It leads for 48%3. It was also revealed that only 14% of primary
leavers passed their mathematics examination last year. This according to the research was associated
with lack of innovation and creativity among mathematics teachers in making the subject understood as
well as lacking strategies of motivating students to like the subject4. If teachers could have taught about
entrepreneurship (corporate entrepreneurship), this situation could have been minimised if not entirely
eradicated.

9.0. What should be done?

In order to have entrepreneurship education which is very effective for sustainable development of an
individual and the country at large, the following should be done:
The syllabi/programmes and modules of entrepreneurship education must have objectives that
develop entrepreneurial drive among students (raising awareness and motivation)This includes
developing the entrepreneurial ability to identify and exploit existing opportunities, training
students in the skills they need to set up a business and manage its growth. In all of these contexts,
it is important to encourage students to think and act entrepreneurially as well as ethically and
socially responsible.
Entrepreneurship should be taught by professionals who know how to teach the subject. It
Nyangoro, G (2012) Twaweza: Huduma za Afya Nchini Haziridhishi in Mwananchi Newspaper, Mwananchi Communications
Ltd; Wednesday, September 19

Makongo, A. (2012) Kata ina Wanafunzi 300 Mbumbumbu in Nipashe Newspaper, The Guardian Limited; Wednesday,
September 19.
3

Lazaro, H (2012) Walimu wa Hisabati Watakiwa Kujipanga in Mwananchi Newspaper , Mwananchi Communications Ltd;
Wednesday, September 19

should be noted that entrepreneurship is practical and thus in order to motivate students a
variety of teaching methods/approaches must be applied. For example, it is better to be taught
by entrepreneurs who are dedicated to do so. The role model approach is very important for
teaching entrepreneurship because people tend to pay attention to whom they believe to have
made an impact to the society.
Schools have to be tied to work. This link of education to work serves as a means of changing the job
expectations of the youths so as to reduce the political volatility of educated unemployment and under
employment.

10.0. Conclusion
Entrepreneurship education is not as old as other disciplines like political sciences, philosophy and
sociology but it has made tremendous changes since its emergence. Computers, ATM machines, cellular
phones, to mention but a few, are the products of entrepreneurs. Even if someone might have traits of
entrepreneurship, he must be taught the subject in order to make him well equipped with knowledge
and skills of competing with the rest of the world. Teaching entrepreneurship seriously and effectively
will bring about sustainable development and therefore enable people to experience a better life in their
country.

References
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