November 2013 Issue (VOL 14, NO 4)
308 BOOK REVIEWS
- H. Etemad, ed, The Process of Internationalization in Emerging SMEs and Emerging Economies
- (reviewed by Yumiao Tian)
- Brian W. Arthur, The Nature of Technology: What It Is and How It Evolves
- (reviewed by Dermot Breslin)
311 Index to Volume 14, 2013
Abstract: Since the 1990s several new indices, including the Index of Economic Freedom, Doing Business and the Global Competitiveness Index, have been created to achieve progress in modernizing the business climates of developed and developing countries alike. These indicators, however, are focused largely on ameliorating burdens for current business, addressing issues with property rights, processes, etc. While necessary in the public effort to improve economic incentives and create employment, they remain insufficient to foster the economic essence of development: entrepreneurship. Entrepreneurship and entrepreneurship policy are not merely about small business, or even at times about business at all; rather, they are about creating environments in which people are able to perceive entrepreneurial opportunities to improve their lives and in which they are empowered to act on their visions. While much has been written about the Global Entrepreneurship Monitor (GEM) and increasingly about the Global Entrepreneurship and Development Index (GEDI), this paper represents the first attempt to examine private enterprise development in Africa.
Abstract: Based on a cross-sectional study using a data set of 77,400 households in 37 regions of Nigeria, the authors examine how the ability of the poor to use information and communication technology-based products (their ‘venturesomeness’) influences the location of entrepreneurial firms in urban and rural regions. They investigate in particular the role of human capital in mediating the relationship between such venturesome consumption and the location of entrepreneurial firms. They test three sets of hypotheses to examine this relationship using multiple regression analyses, bivariate correlations and t-tests. The authors find that the use of information and communication technology by both the urban and rural poor is significantly linked to the location of entrepreneurial firms. While human capital mediates this relationship with regard to the poor in urban areas, the same is not the case for the rural poor. Implications are drawn for theory, practice and policy.
Abstract: High levels of personal initiative will be required to unlock the potential offered by the many untapped resources in Africa in terms of business opportunities. Significant resources are ploughed into the development of the small business sector by governments in Africa, particularly in South Africa. However, there is little evidence that these efforts are sufficiently effective to produce the desired results. Two issues are addressed in this article: (a) whether or not enhancing the personal initiative of owner-managers improves the performance of small businesses, and (b) the moderation of the content and effectiveness of a short training intervention by means of a longitudinal evaluation study, including a control group. The findings show an increase in the training group’s business activities and performance, and also identify the varied contributions of the components of the training.
Abstract: The authors explore the question of model transferability from North to South through a case study of a Canadian non-governmental organization (NGO) which supports entrepreneurs in South Africa. The analysis shows that the transfer to the South of an entrepreneurial support model developed in the North has significant limitations because of country specificities. It becomes apparent that adaptations are necessary to ensure the adequacy of the model in the particular context of the targeted country. Success factors and adaptation strategies were identified based on the limitations to transferability. These limitations relate to consideration of the local business sectors, consideration of lenders’ and stakeholders’ expectations, establishing partnerships with local players, internal capacity building, segmentation of services according to entrepreneur types, activities targeted at entrepreneur service customization and, finally, the use of quantitative and qualitative indicators and the balance between expansion and consolidation of the organization.
Abstract: The total entrepreneurial activity rate in South Africa was 9.1% in 2011, compared with 8.9% in 2010, which is below the average for similar economies. This study examines the moderating impact of environmental difficulty on the relationship between planning strategies and entrepreneurial success. The authors carried out a cross-sectional interview-based study of 60 start-up entrepreneurs in the Western Cape in South Africa. The results show that environmental difficulty moderated the relationship of ‘opportunistic’ and ‘reactive’ strategies to entrepreneurial success. No moderation effects were found for environmental difficulty on the relationship between success and ‘complete planning’ and ‘critical point planning’ strategies.
Abstract: African entrepreneurs in the diaspora are increasingly leveraging the duality of transnational space to expand economic opportunities in their countries of origin. Using the UK (London) and Sub- Saharan Africa migration corridor as a contextual prism, this paper explores the ‘everydayness’ of entrepreneurship among African entrepreneurs in relation to how they traverse entrepreneurial spaces linking their countries of origin (home) and country of residence (host). Data collection combined discovery-oriented and ‘observer as participant’ techniques and emerging strands were fully explored using focus group protocols. Contrary to conventional wisdom, the findings indicate that Africans in diaspora contribute to Sub-Saharan African economic development through entrepreneurial investments. Diaspora direct investment (DDI) is an authentic avenue that unlocks untapped investment opportunities, and its objectives are driven by both economic and non-economic factors. Thus policy makers need to focus on harnessing its benefits.
Abstract: The case of PSA Peugeot Citroën’s electric passenger car is an example of an innovation perceived as a failure because of its disappointing sales volume. Yet, by limiting our assessment of the electric passenger car to a short-term perspective, we may miss out on an essential part of its value. As part of a wider innovation process, the electric passenger car project is a significant step for PSA in its expertise regarding electric vehicles.
Abstract: ‘Internet Review’ provides critical commentary on entrepreneurship, small business and innovation information on the Web.