Evaluating the effectiveness of adult entrepreneurial education in building the South African economy.

Abstract

This study evaluates the effectiveness of adult entrepreneurial education in building the South

African economy. A literature review was done to define small, medium and micro

enterprises (SMME’s) and their contribution to the Gross Domestic Product of South Africa.

Factors hindering SMME’s are also considered. The theory of entrepreneurship is then

discussed in order to understand the general principles that govern entrepreneurship.

The aim of this study was to establish whether adequate entrepreneurial education takes place

at schools and the extent that adult entrepreneurial plays a role in forming SMME’s. The

alignment of entrepreneurs with their primary business experience was investigated to

establish the extent of training that took place. The average incubation period during the adult

entrepreneurial training phase was investigated relative to the economy in terms of

unemployment and the absorption rate of the economy. Perceptions of entrepreneurs were

established with regards to their education and its perceived success.

A non-probability sampling technique was used with purposive sampling as the sub

technique. A total of 75 entrepreneurs were successfully interviewed for this project. The

study established that entrepreneurial education at schools is minimal. It was discovered that

post school entrepreneurial education is an important factor in setting up SMME’s and most

entrepreneurs stayed in the same industries that they received their primary training from.

Most entrepreneurs obtained some formal post school education and perceived this to be an

important factor in their success.

It is recommended that entrepreneurship education be taught at all schools (both primary and

secondary) to provide a better foundation for school leaving entrepreneurs. It is also

recommended that a study be done to find ways to reduce the incubation period that is needed

post school in order to gain the necessary confidence levels to start businesses. This study

should include ways of identifying prospective entrepreneurs early in their careers and

nurturing them.