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Taking responsibility for entrepreneurship development in South Africa: The role of local municipalities

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  • Thanyani S Madzivhandila
  • Mazanai Musara

Abstract

Local economic development policies around the world increasingly emphasise entrepreneurship as a tool to mobilise local and indigenous economic potential. This paper explores the role of local municipalities in entrepreneurship development in South Africa. In particular, it provides a critical review of local economic development strategies and their effect on entrepreneurial development. Special attention is placed on deeply rural municipalities, primarily because of their marginalisation from national development efforts and the acute need for entrepreneurial development to tackle the triple challenges, which are unemployment, poverty and inequality. The paper argues that local municipalities should play a pivotal role in enhancing the development and upliftment of entrepreneurs in their areas of jurisdiction. The paper uses an integrative literature review method in which sources such as academic journal articles, reports and books are analysed, critiqued and synthesised. Lessons are drawn from other developed and developing nations, combined with the observations and thorough review of literature, to develop a framework that can inform South African Local Municipalities in mobilising entrepreneurship development in their communities. The paper concludes that for entrepreneurship development to be strengthened and for local economic development to be accomplished, local municipalities should invest in the development of entrepreneurship within their municipalities.

Suggested Citation

  • Thanyani S Madzivhandila & Mazanai Musara, 2020. "Taking responsibility for entrepreneurship development in South Africa: The role of local municipalities," Local Economy, London South Bank University, vol. 35(3), pages 257-268, May.
    • Handle: RePEc:sae:loceco:v:35:y:2020:i:3:p:257-268
    DOI: 10.1177/0269094220922820
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    References listed on IDEAS

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    Cited by:

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    2. Maria Pache Durán & María Teresa Nevado Gil & Triana Arias Abelaira & Ángel Sabino Mirón Sanguino, 2024. "Informative Transparency on Entrepreneurship by Spanish Local Governments," Sustainability, MDPI, vol. 16(6), pages 1-15, March.
    3. Mzukisi Xweso & Catherina Schenck & Derick Blaauw, 2021. "“Will wait for the government pension here†: Structural factors impacting on day labourers’ access to employment in East London, South Africa," Local Economy, London South Bank University, vol. 36(4), pages 308-324, June.

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