Barriers confronting small and micro tourism enterprises of previously disadvantaged entrepreneurs in the Nelson Mandela Metropole

摘要

The research problem in this study was to look at barriers confronting small and micro tourism enterprises of the previously disadvantaged entrepreneurs in the Nelson Mandela Metropole. To achieve this objective, literature on the barriers confronting these enterprises, was reviewed. The empirical results obtained indicate a strong concurrence with the literature study emphasizing the importance of the barriers identified and the possible ways of resolving them. The main problems identified in the literature review were: lack of institutional support, legislation, lack of access to finance, and lack of entrepreneurial skill (planning and organizing, marketing, training and human resources, time management, conflict resolution and negotiation skill). These barriers identified in the literature study were then used to develop a questionnaire to test the extent to which small and micro tourism enterprises are constrained by barriers when starting up and how these barriers can be resolved. A sample of 18 small and micro tourism businesses was taken, one from Uitenhage and 17 from Port Elizabeth. The main results were that there are few small and micro tourism businesses of the previously disadvantaged entrepreneurs in the Nelson Mandela Metropole. The main reason for this is that previously disadvantaged entrepreneurs are not given adequate support by government institutions created for that purpose. iv Most of these businesses are not getting enough financial support during start-up because of problems with the owners’ credit records. The results also indicate that small and micro tourism businesses of the previously disadvantaged entrepreneurs view legislation intended to develop them, as actually stifling their development, such as the municipal credit laws. The study recommends that more institutional support should be given to small and micro tourism businesses that are starting up, and government institutions responsible for the development of small and micro businesses need to target the previously disadvantaged communities with their marketing. The Nelson Mandela Metropolitan Municipality and the Small Enterprise Development Agency (SEDA) need to conduct research on alternative non-collateral financing for small and micro businesses. More training programmes on business skills have also to be conducted.