Entrepreneurship In Africa: Context And Perspectives (global Entrepreneurship)

It is now widely recognized that in regions like Africa, for economic and other reasons, the public sector has had to disengage and divest from many areas of the economy and allow private enterprise, especially scalable start-ups and new ventures, to enter and flourish if economic development and employment are to grow. There is, however, a training and education gap since entrepreneurship is rarely taught formally at African universities and, when it is, it is often approached from a Western perspective which may not be appropriate given that African environments are significantly different from most Western ones in terms of economic infrastructure and political considerations. This book allows readers to understand the African entrepreneurial context by guiding them through the principal stages in the life of a new venture, and offers approaches, both Western and indigenous, that can inform their entrepreneurial actions. It concludes by examining some specialized topics, including female, youth, and social entrepreneurship, as well as real estate and technology. Exercises throughout the book will enable readers to evaluate their motivations and preparedness for entrepreneurship and learn how to communicate a new venture’s key features to potential stakeholders. By focusing on the distinctive features of entrepreneurship in the African context, and taking a conversational tone, this is an informative and practical text that will be useful for students of Global Entrepreneurship and Business as well as actual and prospective entrepreneurs in the private, non-profit, and public sectors. Cover Half Title Series Page Title Page Copyright Page Dedication Contents List of figures List of tables List of contributors About the authors Preface Acknowledgments PART I: The basics 1. The African environment for entrepreneurship A history of entrepreneurship in Africa Scope and types of enterprises The environment for African entrepreneurs The political environment The economic environment Sociocultural environment Legal and regulatory environment Technological environment Summary Review questions 2. Theories of entrepreneurship Why does theory matter? The first attempts to study entrepreneurship Defining entrepreneurship What do we know about entrepreneurship? The big picture The big picture—part I—income levels The big picture—part II—economic structure The big picture—part III—institutions The big picture—a coda—change The mid–levels—industry The day–to–day—part I—discovering and creating entrepreneurial opportunities The day–to–day–part II—exploiting entrepreneurial opportunities From the West to the East and South—entrepreneurship theories from emerging economies What do we know about entrepreneurship in Africa? What don’t we know about entrepreneurship? Summing it all up Review questions PART II: Birth 3. Mindset, capabilities, and goals Personality traits What about creativity? Entrepreneurial motivations The role of passion What skills are necessary? An entrepreneurial mindset Education and training The role of gender Do culture and the environment matter? Summary Review questions PART III: Growth 4. Financing the venture Sources of startup funding Self-funding Family members and friends Debt financing Equity financing Grants Microfinance Angel investors Crowdfunding Venture capital Kiva person-to-person lending Innovative financing approaches in Africa Informal financial systems Financing business operations and growth Managing the venture’s finances Evaluating the venture’s financial health and performance Profitability analysis Summary Review questions Appendix to Chapter 4: an example of a chart of accounts for a small business Assets Liabilities Owner’s equity (total assets minus total liabilities) Income Expenses 5. The marketing imperative The marketing mix Customer segments Application exercises Targeting and positioning Entrepreneurial versus traditional marketing Marketing in Africa Summary Review questions 6. Operations and supply chain management Managing operations and supply chain management Major decision areas in operations and supply chain management Productivity measurement Continuous improvement Summary Review questions 7. Managing networks and teams Networks The strength of weak ties Strong and weak ties combined Structural holes Network density, diversity, and social frontiers Social networks: Individual/environment interface Entrepreneurial teams Summary Review questions Appendices to Part III: Business plans and pitch decks Business plan template PART IV: Maturity 8. Next steps Managing growth and expansion Growth and expansion strategies Entrepreneurial failure Entrepreneurial exit Environmental conditions in Africa that increase entrepreneurial exit propensity Benefits of entrepreneurial exits Entrepreneurial self-efficacy and managing overconfidence Summary Review questions PART V: Special topics on African entrepreneurship 9. African women entrepreneurs Radioxity media Introduction Peculiarities of the African context Motivations and opportunity recognition/risk perception Funding Personal savings Family investment Community initiatives Loans Challenges Discrimination and gender bias/stereotypes Illiteracy Lack of/insufficient information about microfinancing options Bureaucratic processes Inadequate/poor infrastructure Performance of female-owned enterprises in Africa Opportunities Growing use of internet and mobile phones International opportunities Growing campaign for locally made materials Policy implications Practical implications for women entrepreneurs in Africa Conclusion 10. Entrepreneurial opportunities in real estate development Introduction Real estate development entrepreneurs African international/national developers Real estate investment trusts Necessary conditions for REITs Land markets in established cities New towns avoiding stalemate Developing in Abuja Land acquisition Joint ventures Legal issues Summary 11. Understanding entrepreneurs: A focus on youth OYO Rooms MnM clothing line What makes a good entrepreneur? Entrepreneurial self-efficacy Achievement motivation/Need for achievement Risk propensity The big 5 personality traits Creativity Youth entrepreneurship Contextualizing traits Summary 12. Technologies enabling entrepreneurship in Africa Introduction The African context Technologies impacting the entrepreneurship process Emerging themes Summary Index "It is now widely recognised that in regions like Africa, for economic and other reasons, the public sector has had to transition away from several areas of the economy and allow private enterprise, especially scalable start-ups and new ventures, to enter and flourish if economic development and employment are to grow. There is, however, a training and education gap since entrepreneurship is rarely taught formally at African universities and, when it is, it is often approached from a Western perspective that may not be appropriate given that African environments are significantly different from most Western ones in terms of economic infrastructure and political considerations. This book allows readers to the understand the African entrepreneurial context by guiding them through the principal stages in the life of a new venture, and offers approaches, both Western and indigenous, that can inform their entrepreneurial actions. It concludes by examining some specialised topics, including female, youth and social entrepreneurship, as well as real estate and technology. Exercises throughout the book will enable readers to evaluate their motivations and preparedness for entrepreneurship and learn how to communicate a new venture's key features to potential stakeholders. By focusing on the distinctive features of entrepreneurship in the African context, and taking a conversational tone, this is an informative and practical text that will be useful for students of Global Entrepreneurship and Business as well as actual and prospective entrepreneurs in the private, non-profit and public sectors"-- Provided by publisher