Entrepreneurship in Africa – a classificatory framework and a research agenda

Purpose - – The purpose of this paper is to provide a classificatory framework for mapping out entrepreneurs and small businesses with growth potentials in Africa. Design/methodology/approach - – The study undertakes a review of the existing development economics and entrepreneurship literature to determine the need for the framework and how to proceed in developing it. Findings - – The literature review informs that although enterprise-led growth provides a greater promise for absolute poverty reduction, policymakers lack guidelines on how to identify those with highest potentials for job creation and tax revenue generation. Furthermore, African entrepreneurs can purposefully be classified in terms of their motives and degree of innovation. The classification produces a 2×2 matrix that maps out the growth capabilities of businesses found in a given country or community. Research limitations/implications - – The framework provides researchers and policymakers with descriptive categories that can guide their strategies and decisions. Originality/value - – Introducing innovation-imitation dimension into the classificatory framework extends and improves previous typologies of small enterprises available in the literature.