SURVIVALIST ENTREPENEURSHIP THE HINDRANCE TO INOVATIVE AFRICA .

 

WHY WE NEED TO MOVE ENTREPRENEURSHIP FROM NECESSITY TO MAINSTREAM ECONOMY IN AFRICA. THERE IS A NEED TO REVOLUTIONIZE OUR STATE OF MIND TOWARDS ENTREPRENEURSHIP AND TAKE CHARGE OF OUR ECONOMY.

In third-world countries, survivalist enterprises have become part of the global economy. It is part of employment as a means of survival due to low opportunities for formal employment

Africa needs to ditch survivalist entrepreneurship

Poor trading conditions, poverty, unemployment, and lack of insufficient support from the government are some of the characteristics leading to the growth of survivalist enterprises in Africa.

Survivalist enterprises arise as a survival necessity to escape from poverty or unemployment. Due to global economic changes and lack of employment survivalist entrepreneurship has become an alternative among youths. With business motivation, education, and financial assistance most survivalist entrepreneurs can mature into profit-based and opportunity businesses with a major contribution to the country’s GDP.

Most women are survivalist entrepreneurs struggling to balance their reproductive and productive roles. Lack of education and unending household chores makes them turn into survivalist entrepreneurship for survival and conceal their families from poverty.

Lack of training, credit information, business network, technology, limited market access, business development services, and proper business premises are some challenges associated with a rural environment where most survivalist enterprises are set up.

“Daring to survive or to grow? The growth aspirations and challenges of survivalist entrepreneurs in South Africa”

Providing the survivalist female entrepreneur with market skills, business education, and financial assistance will reduce dependence on government support while improving overall family sustainability and reducing poverty.

Unemployment is a major motivating factor for survivalist enterprises hence most are created based on meeting the needs of the owner hence most can’t create jobs. They mostly contribute to poverty reduction rather than job creation and buffer unemployment. African governments should focus on supporting survivalist entrepreneurship as it is a form of employment for the owner hence reducing unemployment.

Barriers to entry in survivalist enterprises are low making it easy to start a business. The low barriers to market entry have a major setback to business success. The setbacks include increased competition as it is easy for new entrants to set up a business which leads to overcrowding and tight competition amongst the survivalist enterprise in the trading environment.

The Unique Role of the Survivalist Retail Entrepreneur in Job Creation and Poverty Reduction. Implications for Active Stakeholder Participation

Moreover, low barriers to entry also cause market saturation due to the price of items rather than quality-based purchases and low-skill components. The main aim of survivalist entrepreneurs becomes selling the items in large quantities rather than the quality of the item sold and also the lack of competitive market edge due to the similarity of products sold in the same area without uniqueness or quality of products.

Motivation for starting a business by an opportunity entrepreneur includes financial incentives, recognition gain appreciation and acceptance by people, independence and the willingness to become their boss, and self-realization.

However, survivalist entrepreneurs are pushed into business due to a lack of income options resulting from unemployment, a lack of better alternatives, advice to try self-employment, and the need for survival and escape poverty.

Supporting entrepreneurship in sub-Saharan Africa keeps dreams and hope alive

For a continent facing poverty, high youth unemployment, and lack of infrastructure we need solutions. To revolutionize our challenges to sustainability and solution we need active innovation to create value and capital.

What type of entrepreneurs does Africa need?

It’s time we move beyond necessity entrepreneurship to the innovation level.