Motivations of sustainable entrepreneurship in Gauteng province, South Africa

Nhemachena, Charles
Journal Title
Journal ISSN
Volume Title
The study analysed dimensions of entrepreneurial motivations that drive sustainable entrepreneurship in Gauteng Province and estimated the relationships between these motivations and enterprise performance. Despite the growing field of sustainable entrepreneurship, most of the available literature has been mainly theoretical and qualitative, or has focused on developed countries, and very little has been done in developing countries such as South Africa. This study contributed to addressing this gap. The study was based on quantitative research methods based on a positivist research paradigm to test the conceptual framework. The empirical analysis of these hypotheses was based on primary survey data collected from 91 sustainable entrepreneurs in Gauteng Province. Reliability of the enterprise performance and motivation scales was tested with the Cronbach’s alpha coefficient test and the results were acceptable. The test of the factorability of the scale items into specific factors was based on exploratory factor analysis and the items were found to relate to the respective scales. Multiple regression analysis (both OLS and robust estimations) were used to test the relationships in the conceptual framework. The empirical analyses were done using 2016 SAS Studio University Edition. The Exploratory Factor Analysis results indicated that the motivations of sustainable entrepreneurship in Gauteng Province could be factored into four dimensions: extrinsic motivations, intrinsic motivations, income security and financial independence motivations, and necessity motivations. Multiple regression analysis results revealed that extrinsic and intrinsic motivations are important determinants of enterprise performance. Analysis of the effect of individual and enterprise control factors revealed that owner/manager business management experience; and years of operation of the enterprise and number of full-time employees positively and significantly affected enterprise performance. The study makes a contribution to empirical findings on entrepreneurial motivations for sustainable entrepreneurship and their effects on enterprise performance in a developing country context. The research findings provide evidence of how different dimensions of motivations can affect enterprise performance. Interventions aimed at helping sustainable enterprises perform better and grow can target support in these dimensions as well as improve business management skills and competencies of sustainable entrepreneurs. The research on motivations of sustainable entrepreneurship could be broadened by undertaking a nationwide study to better understand the drivers of entrepreneurial behaviour related to sustainable entrepreneurship across the country. This can also be extended to the regional and continental levels.
A research report submitted to the Faculty of Commerce, Law and Management, University of the Witwatersrand, in partial fulfillment of the requirements for the degree of Master of Management specialising in Entrepreneurship and New Venture Creation Johannesburg, 2017
Nhemachena, Charles (2017) Motivations of sustainable entrepreneurship in Gauteng province, South Africa, University of the Witwatersrand, Johannesburg, <>