Exploring factors that sustain succesful women-owned informal micro businesses in the Western Cape

Master Thesis

2014

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University of Cape Town

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The study explored factors that sustain successful women-owned informal micro businesses. This explorative qualitative study was conducted in Cape Town in the communities of Philippi and Khayelitsha. Face- to- face in-depth interviewing was carried out on a purposive sample of sixteen women-owned informal microbusinesses (WBOs) and five key informants from government and NGO institutions offering small business support services. The main findings indicated that some of the women are successful due to a variety of multifaceted and linked factors. These women have been operating their businesses successfully despite economic downturns and gender exclusion and other community related factors. A variety of behavioural and motivational factors also contribute to small business success. The WBOs are able to successfully operate businesses in economic downturns due to their adaptability, flexibility and innovation in their business practices. A resilient mindset, their strong spirituality, confidence and business aspirations enabled them to persevere in difficult economic and personal circumstances, while conducting business in often violent communities. The nature of trade and their knowledge of the market, customer care, relationships and their attitudes to competition were key to their business success. The family and institutional support however appears to be weak and barriers included sparse information about the support services from NGOs and government. The main recommendation is that these more successful informal micro-business women owners could be better documented and used as case studies and role models for best practice. Much more research is needed on a larger scale across the country since the informal sector is constantly expanding and changing.
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