Abstract
Orientation: In Tembisa, within the Ekurhuleni Metropolitan Municipality, women sell woven baskets and traditional beaded accessories, trading informally. The baskets have both functional and aesthetic values, as they are used for interior decoration. The skill of weaving is passed on from generation to generation.Research purpose: To investigate the business model used, the skills needed and the opportunities and support measures available to these craft traders to empower them to transition from being informal traders to becoming formal craft traders.Motivation for the study: Little is known about the women who sell crafts informally in Tembisa. The literature has revealed that the majority of informal traders in South Africa are women from poor communities. It is not known whether opportunities, support measures and sources of funding are available in the local municipality and community to assist these craft traders in transitioning from the informal to the formal sector.Research approach/design and method: A mixed-methods research approach was adopted. A quantitative survey using a structured questionnaire enabled data collection from 32 traders. Through in-depth interviews, information on current programmes by the Ekurhuleni Metropolitan Municipality and the Moses Molelekwa Centre were obtained.Main findings: This research revealed that the African craft business is seasonal, depending on the supply of weaving material and cultural and other functions. Most of the traders were not South African and were not interested in transitioning from the informal to the formal sector. Both the municipality and the centre offered programmes to assist informal traders to transition from the informal to the formal sector.Practical/managerial implications: Only a few of the respondents were South African. It is essential to ensure that the skill of weaving continues and be elevated to lucrative business. Owing to the fact that informal businesses purchase from formal business, government programmes should focus more on supporting informal business to be successful without requiring them to be formalised.Contribution/value-add: The business model of the craft traders in Tembisa has been unpacked. Insight has been gained into their economic challenges and the measures that a local authority could implement to empower and assist these women.
Highlights
This article falls in the sphere of local economic development (LED)
He has been with the Department of Economic Development (DED) since 01 October 2013, and he explained that the Ekurhuleni DED has the following programmes that include women: mentorship, incubators, innovation hubs and the informal trade programme
In Ekurhuleni, the DED holds road shows to inform the community of these programmes, and these are open to all nationalities, South Africans
Summary
This article falls in the sphere of local economic development (LED). There are various definitions for LED, but for the purpose of this article the definition of Swinburn, Goga and Murphy (2006) is used:[L]ED occurs when a community consciously decides to improve the economy of the area where they live, by getting all stakeholders such as the public, private and nongovernmental sector in that specific area to work together using their local assets in a manner that it creates decent jobs which will improve local living conditions ensuring a sustainable economic future. (p. 1)Venter (2014:722) elucidated that ‘It is generally believed that municipalities are the foot-soldiers of local economic development’. Open Access and economic opportunities in the metropolitan area’ These areas collectively comprise approximately 61% of the total population of Ekurhuleni, whilst Tembisa has a population of 463 109 and a dependency ratio of 32.7% (Statistics South Africa 2015). The dependency ratio is defined as the number of children (0–14 years) and older persons (65 years and older) per hundred persons of working age (United Nations Conference on Trade and Development (UNCTAD) 2017). These are people who are not part of the labour force. The South African Craft Industry (1998) found that black women dominate the craft industry because of fewer barriers to entry. It has been shown that craft initiatives or activities could contribute positively to personal health and reduce levels of depression
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