An investigation of interventions to develop entrepreneurship and new venture creation

Abstract

The slow growth in economy and the rise in the unemployment level in countries all over the world has posed a challenge to governments to promote economic growth and to create job opportunities. The success of government interventions depends on business participation in the implementation of intervention policies, improving their productivity by engaging in activities that are aimed at promoting economic growth and the creation of job opportunities. The question arises whether South African businesses are able to face the challenges of job creation by engaging in projects aimed at developing entrepreneurship and new venture creation. A literature study was conducted whereby a propos~d model to investigate the interventio·ns to develop entrepreneurship and new venture creation was developed. With the aforementioned model as a basis, a questionnaire was designed and tested by means of conducting a pilot study. An empirical survey was then conducted where questionnaires were sent to 1000 South African businesses, after which the results were reported. Descriptive Statistics and Advanced Statistical methods were used to analyse the data and to test the six stated hypotheses. The relationship between the development of entrepreneurship and new venture creation was empirical assessed. The results showed a significant relationship in three out of the six hypotheses tested. In conclusion, recommendations on interventions to develop entrepreneurship and new venture creation in South African businesses are provided.