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Navigating the Role of Business Incubators: A Review on the Current Literature on Business Incubation in South Africa

Author

Listed:
  • Thobekani Lose

    (Vaal University of Technology)

  • Zinzi Nxopo

    (Cape Peninsula University of Technology)

  • Eugine Maziriri

    (Vaal University of Technology)

  • Welcome Madinga

    (AAA School of Advertising)

Abstract

Business incubators (BIs) are a significant tool in promoting the development of entrepreneurial firms, technology-based growth firms and economic growth in South Africa. The study reviewed the current literature on business incubation in South Africa. BIs in South Africa emerged as a popular strategy in the 1990s and most of the current literature was established in the same period. However, the current literature is still limited. The aim of this paper is to provide an overview of existing knowledge on the role and effectiveness of business incubation in supporting the development of new small startup businesses. The quantitative and qualitative literature published by the academic and practitioner communities is reviewed. The searches indicated that incubation has encouraged many studies in South Africa. The studies can be categorised under the following themes: the role and contribution of incubators, success factors for business incubation, obstacles, and the relationship between incubators and entrepreneurship. The areas for further research are suggested. Two major areas that new research can explore focus on the creation of the model and selfsustainability of BIs.

Suggested Citation

  • Thobekani Lose & Zinzi Nxopo & Eugine Maziriri & Welcome Madinga, 2016. "Navigating the Role of Business Incubators: A Review on the Current Literature on Business Incubation in South Africa," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 12(5), pages 130-140, OCTOBER.
    • Handle: RePEc:dug:actaec:y:2016:i:5:p:130-140
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    References listed on IDEAS

    as
    1. Lindile Ndabeni, 2008. "The contribution of business incubators and technology stations to small enterprise development in South Africa," Development Southern Africa, Taylor & Francis Journals, vol. 25(3), pages 259-268.
    2. Thobekani Lose & Robertson K. Tengeh, 2015. "The Sustainability and Challenges of Business Incubators in the Western Cape Province, South Africa," Sustainability, MDPI, vol. 7(10), pages 1-14, October.
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