An Evaluation of the Factors that Impact the Sustainability of Maritime SMMES in the Kwazulu-Natal Province

Abstract

The general state of entrepreneurship reveals that despite the efforts of the South African government to stimulate entrepreneurship through a policy framework, many SMMEs remain unsustainable. SMMEs in the country continue to experience a high failure rate of almost 70% to 80% within the first 5 years of operation. Policymaker’s have attempted to advance local economic development through various developmental models, as key economic development drivers, without success. Studies reveal that there is a misalignment in the various developmental instruments aimed at the development of the SMME sector and its reality. This study sought to explore challenges faced by SMMEs within the ocean economy in KZN province. This study was conducted with SMMEs in the ocean economy in the KZN province. Semi-structured qualitative interviews were conducted with 12 SMMEs participating in the ocean economy in the KZN province. Thematic analysis was used to analyse the data. The generated data from the research study showed that entrepreneurs are faced with various challenges which influence the organisation’s capacity to operate appropriately and sustainably. Understanding key challenges faced by entrepreneurs in the ocean economy in the province can help policymakers and entrepreneurs to navigate sustainable approaches to the sector’s development.

Keywords

• ocean economy
• maritime economy
• entrepreneurship
• SMMEs
• KZN