SA's economic empowerment history offered easier routes than entrepreneurship

| 0 Comments

 

AllonRaiz.jpgThree periods in South Africa's history have applied policies making entrepreneurship a last resort for many would-be entrepreneurs.


During these periods the country has offered selective groups less-risky alternatives to becoming entrepreneurs effectively disincentivising entrepreneurship in the country, says Allon Raiz, CEO of enterprise development organisation Raizcorp.


"South Africa's political history meant that pre-1948, English, white males were almost guaranteed employment; post-1948 offered Afrikaans, white males similar guarantees. Today, the government is applying black economic empowerment," explains Raiz.


Three times in a short space of history South Africa has enticed entrepreneurs into less-risky economic ventures, "sucking them out of the system."


This so-called brain drain has contributed to South Africa's persistent lagging on the global entrepreneurship index, on which we have periodically come stone last, notes Raiz.


According to the Global Entrepreneurship Monitor (GEM) 2014, only 12.8% of South Africans aged 18-64 have entrepreneurial intentions - considerably lower than the rest of sub-Saharan Africa and trailing globally.


Clearly "some entrepreneurial eco-systems work better than others," says Raiz.


Within an entrepreneurial eco-system, entities collaborate to ensure that entrepreneurs precipitate and that they become successful. It is collaboration between government policies, the education system, enterprise development incubators, venture capitalists and banks and the banking system - these puzzle pieces work in concert to stimulate entrepreneurial activity, says Raiz.


South Africa's policy history of selective empowerment has weakened the country's entrepreneurial eco-system, and the current spate of economic empowerment is no different.


Conditions that encourage entrepreneurship


Raiz, recently named entrepreneur-in-residence at the University of Oxford’s Saïd Business School, says procurement professionals tasked with enterprise development need to be aware of certain conditions that need to be present in order for an individual to become a trading entrepreneur.


1) They must see an opportunity or experience a challenge;
2) have a tolerance for pain;
3) have a tolerance for risk;
4) believe in their ability to muster resources; and
5) be able to learn and iterate.


These characteristics develop with experience. "In the US, most successful first-time entrepreneurs were 60 years of age or older – suggesting that entrepreneurs are certainly not “born that way..."
 

Leave a comment


SmartProcurement Newsletter
X

Please enter your details below to receive the SmartProcurement Newsletter for FREE on a regular basis.

As part of the SmartProcurement Newsletter you will be receiving World Class Procurement News, Tools, Tips, Tactics, Procurement Training updates, Upcoming Events, and the latest Procurement Career Openings.

* Email Address:
* Title:
* First Name:
* Surname:
* Company:
  Position:
* Country:
* Public / Private:

 

 

Career opportunites

Risk Control Manager

  • <500 000 Gauteng Permanent Procurement Consultant Projects / Category Management
R450 000 - R550 000 per annum.Location: Johannesburg ...More

Demand Planner

  • <500 000 Gauteng Operations, Planning & Inventory Permanent Procurement Consultant
Salary: R500 000 - R500 000 per annum.Location: ...More

Fuel Logistics Manager

  • <500 000 Logistics & Warehousing Operations, Planning & Inventory Permanent Western Cape
Salary: R600 000 - R720 000 per annumLocation: ...More

Supply Chain Manager

  • <500 000 Gauteng Permanent Projects / Category Management Supply Chain
R650 000 - R700 000 per annum.Location: Johannesburg.A ...More

SENIOR BUYER

  • <500 000 Buyer Gauteng Permanent Supply Chain
R500 000 - R550 000 per annum,Location: Midrand,A ...More

Supply Chain Analyst

  • <500 000 Analyst Gauteng Permanent Supply Chain
Salary: R600 000 - R700 000 CTC per ...More

Supply Chain Manager

  • <500 000 Gauteng Permanent Supplier / Business Development Supply Chain
Salary: R600 000 - R700 000 per annum,Location: ...More

Demand Planner

  • <500 000 Gauteng Logistics & Warehousing Permanent Projects / Category Management
Salary: R450 000 - R550 000 per annum,Location: ...More

Demand Planner

  • <500 000 Gauteng Logistics & Warehousing Operations, Planning & Inventory Permanent
Salary: R500 000 - R500 000 per annum,Location: ...More

Warehouse and Distribution Manager

  • <500 000 Logistics & Warehousing Permanent Procurement Management
Salary: R650 000.00 - R850 000.00 CTC pa,Location: ...More

National Supply Chain Manager

  • <500 000 Gauteng Permanent Procurement Management Supply Chain
Salary: R900 000 - R1 000 000 per ...More

Procurement Specialist

  • <500 000 Gauteng Permanent Procurement Management Procurement Officer / Specialist
Salary: R380 000 - R420 000 per annum,Location: ...More

Supply Chain Analyst Lead

  • <500 000 Analyst Gauteng Permanent Supply Chain
Salary: R1 000 000 - R1 100 000 ...More

CIPS Tutor and Coordinator

  • Gauteng Permanent Projects / Category Management Supply Chain
Commerce Edge South Africa,Division: Commerce Edge Academy,Location: Johannesburg, ...More

Warehouse Manager

  • <500 000 Gauteng Industrial Engineer Logistics & Warehousing Permanent
Salary: R480 000 - R600 000 per annum.Location: ...More

Senior Buyer

  • <500 000 Buyer Gauteng Permanent Procurement Consultant
Salary: R600 000 - R650 000 per annum.Location: ...More

Operations Manager

  • <500 000 Gauteng Operations, Planning & Inventory Permanent Supply Chain
Salary: R700 000 - R800 000 CTC per ...More

Warehouse Manager

  • <500 000 Gauteng Logistics & Warehousing Operations, Planning & Inventory Permanent
R400 000 - R480 000 CTC per annum.Location: ...More

Supply Chain Analyst

  • <500 000 Analyst Permanent Supply Chain Western Cape
R400 000 - R500 000 per annum.Location: Cape ...More

Commodity Manager

  • <500 000 Commodities Gauteng Permanent Procurement Consultant
R650 000 - R750 000 per annumLocation: Cape ...More