Original Research

Impact of entrepreneurial incubators on youth employment in South African local government

Luluto Mgweba, Sithenkosi Lungisa
The Southern African Journal of Entrepreneurship and Small Business Management | Vol 16, No 1 | a911 | DOI: https://doi.org/10.4102/sajesbm.v16i1.911 | © 2024 Luluto Mgweba, Sithenkosi Lungisa | This work is licensed under CC Attribution 4.0
Submitted: 01 May 2024 | Published: 25 September 2024

About the author(s)

Luluto Mgweba, Department of Public Administration, Faculty of Management and Commerce, University of Fort Hare, Alice, South Africa
Sithenkosi Lungisa, Department of Public Administration, Faculty of Management and Commerce, University of Fort Hare, Bhisho, South Africa

Abstract

Background: Unemployment has been the central socioeconomic issue in South Africa since the democracy in 1994. As a result, the nation’s unemployed youth continue to be at risk in the job market. In the quest for alternatives, youth entrepreneurship has been acknowledged as a crucial strategy for empowering youth through innovation and technology.

Aim: This study sought to analyse the impact of innovative entrepreneurial incubators (IEIs) in fostering youth employment within Raymond Mhlaba Local Municipality.

Setting: This study was conducted within the Raymond Mhlaba Local Municipality to analyse the effectiveness of IEIs in supporting young entrepreneurs, thus increasing employment opportunities for the youth in South Africa.

Methods: A sample of 20 semi-structured open-ended interviews was conducted, and thematic coding was used for data analysis.

Results: The study found that there are several challenges pertaining to the effective implementation of IEIs to foster youth employment in South African municipalities. This is attributed to a lack of funding and educational programmes.

Conclusion: The main recommendation is that all municipalities must establish IEIs and devise strategies to ensure that these are implemented effectively.

Contribution: This study contributes to improved municipal governance through providing innovative mechanisms that foster effective and efficient implementation of IEIs in South African local government. This contribution aims to ensure that municipalities discharge their constitutional mandate to improve citizens’ standard of living through IEIs, especially in areas with high youth unemployment.


Keywords

innovation; entrepreneurship; youth; unemployment; education; incubator; local government; Raymond Mhlaba Local Municipality.

JEL Codes

J23: Labor Demand; L26: Entrepreneurship; O35: Social Innovation; R58: Regional Development Planning and Policy

Sustainable Development Goal

Goal 8: Decent work and economic growth

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