EARLIER INFLUENCES ON THE ENTREPRENEUR

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CHAPTER 1. INTRODUCTION TO THE STUDY

This chapter outlines the rationale for the study. It argues that entrepreneurship is practically and theoretically significant, that it is both important and relevant to the South African environment. In developing South Africa, a complex web of interacting historical, economic, organisational, social and personal factors influences entrepreneurial endeavour. Such phenomena cannot easily be explained by a priori theories that are largely based on data from the Western developed world rather than the developing world. The research problem therefore focuses on gaining a deeper understanding of the venture-creation process from the perspective of entrepreneurs themselves.

The significance of entrepreneurship as a field of study

Since the middle of the 20th century, entrepreneurship has been the subject of study in a broad range of disciplines, including biology (White, Thornhill and Hampson, 2006), psychology (Shaver and Scott, 1991), sociology (Reynolds, 1991), business strategy (Chrisman, Bauerschmidt and Hofer, 1998) and fiction (Ramesh, 2005). The scope and volume of this work suggest that scholars and practitioners alike view entrepreneurship as relatively rare, important and different from other business domains.

Relevance to the South African environment

In South Africa, the importance of entrepreneurship to the nation’s development can hardly be overestimated. Small business accounted for over 40% of GDP in 2002 and provided some 57% of jobs (Louw, van Eeden, Bosch and Venter, 2003; Statistics South Africa), making it critically important, given a current unemployment rate of between 26% and 40% (World Bank, 2007). Approximately 400 000 jobs must be created annually simply to halt growing unemployment (Rwigema and Venter, 2004), since the formal economy is currently absorbing only about 10% of those entering the job market each year (World Bank, 2007). This situation exists despite South Africa’s position as the largest economy on the continent and relatively high GDP growth rates (World Bank, 2007).

Explanatory power of prior studies

Although the literature is rich in multi-disciplinary perspectives of this complex multi-level phenomenon, there is no obvious explanation for the low rates of entrepreneurial activity in South Africa, at least partly because developing world entrepreneurship has only rarely been the subject of study in the literature as a whole (Acs and Kallas, 2007; Lingelbach et al, 2005).

PART I: FOUNDATION FOR THE RESEARCH
1. INTRODUCTION TO THE STUDY
1.1. THE SIGNIFICANCE OF ENTREPRENEURSHIP AS A FIELD OF STUDY
1.2. RELEVANCE TO THE SOUTH AFRICAN ENVIRONMENT
1.3. EXPLANATORY POWER OF PRIOR STUDIES
1.4. RESEARCH QUESTION
1.5. OVERVIEW OF DESIGN AND METHODOLOGY
1.6. STRUCTURE OF THE THESIS
2. LITERATURE REVIEW
2.1. DEVELOPMENT OF THE LITERATURE
2.2. DEFINITIONS AND SCOPE
2.3. THE PERSONAL CONTEXT
2.4. THE SOCIAL CONTEXT
2.5. THE BUSINESS CONTEXT
2.6. THE MACRO-ENVIRONMENTAL CONTEXT
2.7. MODELS OF NEW VENTURE CREATION
2.8. IMPLICATIONS OF THIS REVIEW
3. RESEARCH DESIGN AND METHODOLOGY
3.1. METHODOLOGICAL ISSUES IN THE LITERATURE
3.2. RESEARCH DESIGN
3.3. CASE SELECTION
3.4. DATA COLLECTION
3.5. DATA ANALYSIS
3.6. ENSURING VALIDITY AND RELIABILITY
3.7. SHORTCOMINGS AND SOURCES OF ERROR
PART II: CASE NARRATIVES
4. CASE SUMMARY: AHMED
4.1. PERSONAL CONTEXT
4.2. FAMILY AND SOCIAL CONTEXT
4.3. BUSINESS AND ORGANISATIONAL CONTEXT
4.4. MACRO-ENVIRONMENT AND COMPETITIVE CONTEXT
4.5. DESCRIBING THE EXPERIENCE
5. CASE SUMMARY: ANDILE
5.1. PERSONAL CONTEXT
5.2. FAMILY AND SOCIAL CONTEXT
5.3. BUSINESS AND ORGANISATIONAL CONTEXT
5.4. MACRO-ENVIRONMENT AND COMPETITIVE CONTEXT
5.5. DESCRIBING THE EXPERIENCE
6. CASE SUMMARY: BYRON
6.1. PERSONAL CONTEXT
6.2. FAMILY AND SOCIAL CONTEXT
6.3. BUSINESS AND ORGANISATIONAL CONTEXT
6.4. MACRO-ENVIRONMENT AND COMPETITIVE CONTEXT
6.5. DESCRIBING THE EXPERIENCE
7. CASE SUMMARY: HANS
7.1. PERSONAL CONTEXT
7.2. FAMILY AND SOCIAL CONTEXT
7.3. BUSINESS AND ORGANISATIONAL CONTEXT
7.4. MACRO-ENVIRONMENT AND COMPETITIVE CONTEXT
7.5. DESCRIBING THE EXPERIENCE
8. CASE SUMMARY: MARGARET
8.1. PERSONAL CONTEXT
8.2. FAMILY AND SOCIAL CONTEXT.
8.3. BUSINESS AND ORGANISATIONAL CONTEXT
8.4. MACRO-ENVIRONMENT AND COMPETITIVE CONTEXT
8.5. DESCRIBING THE EXPERIENCE
9. CASE SUMMARY: JOHAN
9.1. PERSONAL CONTEXT
9.2. FAMILY AND SOCIAL CONTEXT
9.3. BUSINESS AND ORGANISATIONAL CONTEXT
9.4. MACRO-ENVIRONMENT AND COMPETITIVE CONTEXT
9.5. DESCRIBING THE EXPERIENCE
10. CASE SUMMARY: ANDRE
10.1. PERSONAL CONTEXT
10.2. FAMILY AND SOCIAL CONTEXT
10.3. BUSINESS AND ORGANISATIONAL CONTEXT
10.4. MACRO-ENVIRONMENT AND COMPETITIVE CONTEXT
10.5. DESCRIBING THE EXPERIENCE
11. CASE SUMMARY: KENNETH
11.1. PERSONAL CONTEXT
11.2. FAMILY AND SOCIAL CONTEXT
11.3. BUSINESS AND ORGANISATIONAL CONTEXT
11.4. MACRO-ENVIRONMENT AND COMPETITIVE CONTEXT
11.5. DESCRIBING THE EXPERIENCE
PART III: CASE ANALYSES
12. CASE ANALYSIS: AHMED
12.1. EARLY INFLUENCES
12.2. SOCIAL CAPITAL
12.3. NEW VENTURE-CREATION PROCESS
12.4. BUSINESS MODEL AND STRATEGY EVALUATION
12.5. SUPPORT REQUIRED
12.6. MEANING MAKING
12.7. LEVELS OF ANALYSIS
12.8. RESPONDENT DIFFERENCES
12.9. IMPLICATIONS OF THIS ANALYSIS
13. CASE ANALYSIS: ANDILE
13.1. EARLY INFLUENCES
13.2. SOCIAL CAPITAL
13.3. NEW VENTURE CREATION PROCESS
13.4. BUSINESS MODEL AND STRATEGY EVALUATION.
13.5. SUPPORT REQUIRED
13.6. MEANING MAKING
13.7. LEVELS OF ANALYSIS
13.8. RESPONDENT DIFFERENCES
13.9. IMPLICATIONS OF THIS ANALYSIS
14. CASE ANALYSIS: BYRON
14.1. EARLY INFLUENCES
14.2. SOCIAL CAPITAL
14.3. NEW VENTURE-CREATION PROCESS
14.4. BUSINESS MODEL AND STRATEGY EVALUATION
14.5. SUPPORT REQUIRED
14.6. MEANING MAKING
14.7. LEVELS OF ANALYSIS
14.8. RESPONDENT SIMILARITIES AND DIFFERENCES
14.9. IMPLICATIONS OF THIS ANALYSIS
15. CASE ANALYSIS: HANS
15.1. INFLUENCES ON THE ENTREPRENEURIAL EXPERIENCE
15.2. SOCIAL CAPITAL
15.3. NEW VENTURE CREATION PROCESS
15.4. BUSINESS MODEL AND STRATEGY EVALUATION
15.5. SUPPORT REQUIRED
15.6. MEANING MAKING
15.7. LEVELS OF ANALYSIS
15.8. RESPONDENT DIFFERENCES
15.9. IMPLICATIONS OF THIS ANALYSIS
16. CASE ANALYSIS: MARGARET
16.1. EARLY INFLUENCES
16.2. SOCIAL CAPITAL
16.3. NEW VENTURE CREATION PROCESS
16.4. BUSINESS MODEL AND STRATEGY EVALUATION
16.5. SUPPORT REQUIRED
16.6. MEANING MAKING
16.7. LEVELS OF ANALYSIS
16.8. RESPONDENT DIFFERENCES
16.9. IMPLICATIONS OF THIS ANALYSIS
17. CASE ANALYSIS: JOHAN
17.1. EARLY INFLUENCES
17.2. SOCIAL CAPITAL
17.3. NEW VENTURE CREATION PROCESS
17.4. BUSINESS MODEL AND STRATEGY EVALUATION
17.5. SUPPORT REQUIRED
17.6. MEANING MAKING
17.7. RELATIONSHIP BETWEEN DIFFERENT LEVELS OF ANALYSIS
17.8. RESPONDENT PERSPECTIVES
17.9. IMPLICATIONS OF THIS ANALYSIS
18. CASE ANALYSIS: ANDRE
18.1. EARLIER INFLUENCES ON THE ENTREPRENEUR
18.2. SOCIAL CAPITAL
18.3. NEW VENTURE CREATION PROCESS
18.4. BUSINESS MODEL AND STRATEGY EVALUATION
18.5. SUPPORT REQUIRED
18.6. MEANING MAKING
18.7. LEVELS OF ANALYSIS
18.8. RESPONDENT DIFFERENCES
18.9. IMPLICATIONS OF THIS ANALYSIS
19. CASE ANALYSIS: KENNETH
19.1. EARLY INFLUENCES
19.2. SOCIAL CAPITAL
19.3. NEW VENTURE CREATION PROCESS
19.4. BUSINESS MODEL AND STRATEGY EVALUATION
19.5. SUPPORT REQUIRED
19.6. MEANING MAKING
19.7. LEVELS OF ANALYSIS
19.8. RESPONDENT DIFFERENCES
19.9. IMPLICATIONS OF THIS ANALYSIS
PART II: DISCUSSION AND CONCLUSIONS
20. CROSS-CASE ANALYSIS AND THEORY DEVELOPMENT
20.1. EARLY INFLUENCES ON THE ENTREPRENEUR
20.2. MOTIVATION FOR ENTREPRENEURSHIP
20.3. PREPARATION FOR ENTREPRENEURSHIP
20.4. THE ROLE OF WORK EXPERIENCE
20.5. DIFFERENT APPROACHES TO OPPORTUNITY IDENTIFICATION
20.6. THE COMMITMENT PROCESS
20.7. MANAGING PARTNERSHIPS
20.8. HOW ENTREPRENEURS GATHER RESOURCES
20.9. MANAGING RISK
20.10. THE NEW VENTURE CREATION PROCESS
20.11. THE ROLE OF RELIGIOUS FAITH
20.12. WHY ENTREPRENEURS PERSIST WITH NEW VENTURE CREATION
20.13. USING METAPHOR TO DESCRIBE THE EXPERIENCE
20.14. CHAPTER SUMMARY
21. CONCLUSIONS
21.1. METHODOLOGICAL CONTRIBUTIONS TO THE LITERATURE
21.2. EMPIRICAL CONTRIBUTIONS TO THE LITERATURE
21.3. THEORETICAL CONTRIBUTIONS TO THE LITERATURE
21.4. IMPLICATIONS FOR POLICY AND PRACTICE
21.5. RECOMMENDATIONS FOR FUTURE RESEARCH
REFERENCES

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Venture creation: building theory from South African case studies

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