Abstract
Community-based entrepreneurship (CBE) is considered a viable approach for bridging the gap between people living in the mainstream economy and the Bottom of the Pyramid (BoP), especially in rural communities of developing nations such as South Africa. Previous research studies focused on the impact of CBE on employment creation and poverty reduction. This study investigated the role of sense of belonging on the success of community-based agricultural enterprises in KwaZulu-Natal, South Africa. The study adopted a positivism research paradigm using a quantitative research approach for data collection. A census sampling strategy was employed to gather data from all 209 members of three (3) agricultural cooperatives in Nkandla rural communities using structured questionnaires. Statistical Package for Social Sciences (SPSS) version 25 was used to analyse data using descriptive and inferential statistics. The Pearson Correlation Coefficient was used to establish the relationship between the psychological factors and the success and sustainability of community-based enterprises. Findings revealed that sense of community is an enabling factor for the success and sustainability of community-based enterprises. This study concluded that to ensure the success and sustainability of CBE, policy makers should consider the assessment of psychological factors during the design and implementation of community-based initiatives.
Highlights
Community-based entrepreneurship has been adopted as the strategy for local economic development in both developed and developing countries such as Norway, India and Kenya (Dana, Han, Ratten & Welpe 2008:750; Purusottama, Trilaksono & Soehadi 2018:435)
6.4% strongly disagreed that they have any form of symbols and expression of membership in their cooperatives. These findings clearly show that agricultural cooperatives members have symbols and expression of membership
10.3% were neutral whereas 2.0% strongly disagreed. These findings show that agricultural cooperative members invest a lot of time and effort in being part of their cooperative
Summary
Community-based entrepreneurship has been adopted as the strategy for local economic development in both developed and developing countries such as Norway, India and Kenya (Dana, Han, Ratten & Welpe 2008:750; Purusottama, Trilaksono & Soehadi 2018:435). The need for CBE has become more urgent for addressing socio-economic issues in South Africa (Peredo & Chrisman 2006:315). An empirical study conducted by Mtapuri and Giampiccoli (2016:165) established a relationship between CBE and rural economic development in South Africa. Rural areas are mostly affected by poverty and unemployment which necessitate the need for CBE to address these socioeconomic conditions. Consistent with this argument, Tchamyou, Erreygers and Cassimon (2019:170) posit that South Africa is currently experiencing socio-economic challenges such as poverty, economic exclusion and inequalities especially in the rural areas.
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