African Journal of Hospitality, Tourism and Leisure (Jan 2020)
Personal factors, forms of capital and the entrepreneurial competence of female engineering and construction SMME owner/managers in an emerging economy context
Abstract
The role of entrepreneurship in tourism destination growth is critical as small businesses provide services and fulfil the socio-economic opportunities of domestic and foreign tourists. Although personal traits (e.g. age and gender) and the different capital forms possessed by entrepreneurs are often touted in explaining entrepreneurial competence, it remains unclear what explains the entrepreneurial competence of female entrepreneurs especially those operating in predominantly male-oriented industries. To address this research gap, the study examined the effects of personal demographic variables (i.e. race, age, and education) and different capital forms (i.e. social capital, cultural capital and emotional capital) on the entrepreneurial competence of female owned/managed SMMEs operating in engineering and construction industry in a South African province. A descriptive, cross-sectional survey was conducted on 336 female owners/managers of SMMEs operating engineering and construction businesses in the Free Province. A set of statistical techniques (namely T tests, ANOVA, correlation analysis and regression analysis) were conducted to test the proposed relationships between these foresaid constructs. The results revealed a strong, positive and statistically significant relationship between different demographic characteristics and entrepreneurial competence. Surprisingly, only emotional capital was significantly and positively correlated with entrepreneurial competence. Lastly, while all three capital forms significantly predicted entrepreneurial competence, emotional capital had the strongest effect. The study provides some valuable insights into the determinants of entrepreneurial competence which could be instrumental to the success and survival of emerging female owned/managed SMMEs in engineering and construction industry, an industrial domain where female entrepreneurs are yet to be seriously considered.
