Fostering entrepreneurship as a career management option to reduce youth unemployment.

Abstract

This study explores the impact of skills development amongst youth in order to start businesses with the intent to create employment, therefore reducing unemployment. The rate of unemployment in South Africa has been growing rapidly the past few years which is concerning as it affects young people the most. Many youth resort to starting small businesses as a way to survive and to provide for their social needs. While there has been studies that have been conducted that motivate for entrepreneurship as a viable career option,it has been limited, especially in South Africa. This study focuses on encouraging youth to consider selfemployment as a career option than to seek employment. In order to ensure business success, this study advocates for the development of entrepreneurial skills through skills initiatives by various government departments. In order to ensure the effectiveness of skill development, this study examined the skills development programme offered by the National Youth Development Agency (NYDA) at EThekwini region. The study adopted the Structural Transformation model in order to advocate for entrepreneurship through skills development and policy intergration inorder to enhance economic growth in South Africa. This study took a qualitative research design which included collecting data through face-to-face interviews with youth who have attended the entrepreneurship skills development programme and stakeholders who facilitate the programme.The findings of the study indicated that while the youth found the programme offered by NYDA to be useful, they also noted various challenges, which at times could not be directly addressed by the programme. The paramount issue of capital frequently came through from interviews in which participants mentioned it crippeld certain spheres of their businesses. Stakeholders concluded that many youth are not informed about the governemnet departments and the programmes available to them for financial assistance. It was also noted that entrepreneurs are not versed in the industries in which they venture into. Therefore, negatively impacting on their business success. This study recommends that more awareness is made on the availability of agencies like NYDA in the promotion of skills to the youth. It also recommends further research to be done to explore ways to improve and encourage skills development for entrepreneurship and creating an entrepreneurial mind-set amongst youth.