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TopIntroduction And Methodology
Entrepreneurial education and training are needed for the empowerment of South Africans entrepreneurs. Technical entrepreneurship education studies would also have positive spin-offs (Tengeh, Iwu & Nchu, 2015). By researching the global methods used for the development of entrepreneurs, in comparison to South African methods, it is believed this study will positively contribute to the entrepreneurship in South Africa.
Some researchers argue that the stimulation of entrepreneurship is a possible solution to the unemployment problem, through business formations and expansions (Mahadea, Ramroop & Zewotir, 2011). Therefore, entrepreneurial activity and the creation of new ventures is considered to be a major economic force with the potential to reduce unemployment by creating jobs, create economic growth and general prosperity and, to an extent, to enhance national competitiveness in the global business arena (Nicolaides, 2011).
Background to the Problem
In South Africa, entrepreneurial intentions, which refer to the willingness to start a new venture, have dropped from 15.4% to 11.8% when compared with 2013 statistics. When South Africa’s nascent entrepreneurial activity between the ages of 18 and 64 years in 2014 is compared with that of other African countries, South Africa rates the lowest at 3.2%, with the group average being 14.1% (Herrington, Kew & Kew, 2013).
To identify the major contributors to the developmental training support of successful entrepreneurs in South Africa.
The research problem was addressed by formulating a set of research questions. The main research question for this research effort was:
Hypotheses were created to test whether relationships exist between the main problem and the factors identified which may contribute to the successful development and training of entrepreneurs, in South Africa. The hypotheses were centred on Global, Individual and Financial success for entrepreneurship.
Purpose and Research Objective of the Study
Once the identified factors were tested and the relationships analysed, a model was created, showing the various stakeholders for entrepreneurial development. A model was then constructed to depict these findings and involvement of the various contributing stakeholders for entrepreneurship (Figure 1).
The Sample
332 responses were collected randomly from South African business owners. 46% were from family-run businesses. 75% of the responses came from males with the majority coming from ages between 40 and 70 years old.
Measuring Instrument
All questionnaire items were linked to a 7-point Likert-type scale with strongly agree scored as 1 and strongly disagree scored as 7. Structural Equation Modelling (SEM) was used to analyse the quantitative data received from the respondents.
Statistical Procedures
In order to identify the unique factors in the data, an exploratory factor analysis was conducted. The software application, LISREL version 8.8 was used to determine the discriminant validity of the data. To confirm the reliability of the instruments used, each factor’s Cronbach alpha coefficient was calculated. Structural equation modelling (SEM) was used to measure the relationships amongst the dependent variables, identified as perceived Global and perceived Individual success of entrepreneurs.