Entrepreneurship: Unlocking Africa’s Riches

Abstract

Entrepreneurship is touted as the engine of economic development for both developed and developing countries. This chapter considers the importance of entrepreneurship, especially small to medium enterprises (SMEs) in the growth and development of Africa. Although economic prosperity has eluded Africa for many years due to many ills, entrepreneurship holds the key to its growth and sustainability. The chapter examines the etymology of entrepreneurship from early thinking to contemporary view, its definition, and differentiates the major types of entrepreneurship. Entrepreneurship in Africa is discussed in relation to entrepreneurial culture, as well as the critical role of SMEs—how they are defined in different contexts, their importance in economic and social development, the challenges they face, and their mitigation strategies. Finally, on good governance and leadership, which has dogged Africa for most of its independent history, the chapter highlights South Africa, Botswana and Mauritius, which are viewed as role models upon which economic and social development has consistently been on the rise.