Guiding framework for female entrepreneurial identity development in South Africa

Abstract

Although South Africa is recognised as being the second largest economy in Africa, it is constrained by rising unemployment. Entrepreneurship plays a pivotal role in achieving inclusive economic participation, renewed economic vibrancy and overall economic growth for South Africa, as women are considered to be societal- and economic change agents. Although there has been an increase in female entrepreneurship activity over recent years, lower levels of education and confidence, domestic responsibilities, balancing work and family roles, lower societal status, and cultural biases present a Pandora’s box of challenges for female entrepreneurs. The recurrent themes in women-owned businesses relate to solo entrepreneurship, low profit margins, vulnerability to market disruptions and economic shocks, which hinder business start-up and growth possibilities. Research has found that founder-identity shapes the market opportunities that individuals pursue, as well as the capabilities and resources they deploy to bring their ideas to fruition.This study aimed to cast a light on the interaction between female entrepreneurial identity and business aspirations and success, with the ultimate objective of developing a guiding framework for female entrepreneurial identity in South Africa, as a catalyst for bringing about a shift in aspirations. To understand the drivers of female entrepreneurship identity and its contribution to the creation of value-creating businesses, an international study was undertaken in South Africa and the Netherlands. The complex nature of the study was characterised by two separate social realities, namely subjectivist and objectivist assumptions. Therefore, as a balanced approach, two methodological research approaches, including the interpretivist paradigm and the radical structuralist paradigm, were adopted.The research commenced with an interpretivist phase, incorporating a systematic literature review (SLR) and semi-structured interviews, followed by a structuralist phase, in the form of an objective, structured questionnaire to determine female entrepreneurs’ attitudes, opinions, behaviours and characteristics. The SLR resulted in the development of a conceptual model for female entrepreneurial identity, which was validated by means of a statistical model, substantiated by the findings from the semi-structured interviews and the results of the questionnaire.The study found that identity development is a dynamic, iterative process of ‘becoming’, with a complex interaction between self- and social constructs, which deeply impacts identity authenticity or dissonance and the approaches that are adopted to achieve an appropriate intersection between feminism and entrepreneurial identity. The study highlighted that women’s entrepreneurial confidence is influenced by context, and that a stronger social identity contributes to women experiencing increased entrepreneurial authenticity; while belonging to groups and having strong networks positively influence female founders’ entrepreneurial confidence and their occupational self-concept, business aspirations and success.Finally, a guiding framework for female entrepreneurial identity development in South Africa was developed through the triangulation of the findings from the SLR, the semi-structured interviews and the results of the self-administered questionnaire. The framework provides guidelines for the development of higher levels of female entrepreneurial identity development, while also recommending policies aimed at supporting female entrepreneurship in South Africa.