Against the backdrop of rising unemployment more especially amongst the youth according recent information released by Statistics SA, increasing number of South Africans are averse to becoming self-employed.
This information is very worrying considering that the development of small and medium businesses is regarded in the National Development Programme as both an engine for economic growth and the solution to rising joblessness.
Global Entrepreneurial Monitor South African Report 2015/16, entrepreneurial intentions among South Africans dropped by almost 30% in 2015 when compared to 2013, and almost halved when compared to 2010.
In spite of this, the perceived entrepreneurial opportunities has increased over the same period, Global Entrepreneurship Monitor South African Report 2015/16 says. More people value entrepreneurship than 2009, with 40.9% of South African adults in 2015 perceiving good entrepreneurial opportunities (up from 37.8% and 25.4% in 2013 and 2009 respectively).
Perceived entrepreneurial capabilities – those South Africans that believe they have the necessary skills, knowledge and experience to start a business – also increased to 45.4%, up from 42.7% in 2013 and 35.5% in 2009.