Entrepreneurial intention of matric commerce students in rural areas of KwaZulu-Natal, South Africa

Abstract

Entrepreneurship is widely accepted to be an effective mechanism for elevating tripartite challenges of unemployment, inequality and poverty. This study was conducted to gauge whether matric commerce students in rural areas of KwaZuluNatal have the intention to start their own businesses. The study put heavy reliance on entrepreneurial intention models and focused on the relationship between exposure to entrepreneurship education, personality traits of entrepreneur and social capital as variables of the study, aimed to establish whether they are related to the intention of matric commerce students to start their own businesses. The current literature was consulted in an effort to understand diverse views on entrepreneurial intention and entrepreneurial intention models; entrepreneurship education and its role in strengthening entrepreneurial intention, entrepreneurial selfefficacy, entrepreneurial competencies and entrepreneurial intention; the influence of social capital on entrepreneurial intention, key drivers and enablers of entrepreneurial intention and personality traits that influence entrepreneurial intention. A survey was conducted among commerce students in 11 districts of Kwa-Zulu Natal. The respondents for the study comprised 433 matric commerce students of which 38 were from Amajuba, 45 from Ethekwini, 43 from Ilembe, 39 Sisonke, 33 from Ugu, 47 Umgungundlovu, 56 from Umkhanyakude, 47 from Umzinyathi, 36 from Uthukela, 34 from Uthungulu and 15 from Zululand. Data was analysed using descriptive statistics and nonparametric statistics. The findings revealed that seventy percent were ready to start a business after their studies and believed that their professional goal was to be an entrepreneur. Some significant relationships were found between entrepreneurial intention and the key variables of the study. The study developed an entrepreneurship model using the personality traits influencing entrepreneurial intention, social capital and entrepreneurship education as variables of entrepreneurial intention. The study recommended that government authorities should come up with awareness programmes that encourages business start-ups especially considering the fact that unemployment looms the South African market. The government authorities should channel the curriculum even more positively in order to interest these matric students in starting a business after leaving school. The authorities are highly encouraged to provide free workshops and training activities that will equip these matric students as far as the management of financial records and assets of the business is concerned besides the academic subjects they are getting. The study recommends that future researchers may consider the same scope and area of study but making use of a different methodological approach. Studies may use an approach that will be able to rank the level of entrepreneurship intention of these matric students. Alternatively, the same research can be conducted but in the form of a comparative study across African countries and this will enrich a wider and better understanding at continental level. A study on entrepreneurial intention of commerce matric students can also be examined in the context of both urban and rural areas of South Africa in order to ascertain the net effect as entrepreneurship cuts across both in the rural and urban areas