Evaluation of the new venture creation learnership programme offered by the Sector Education Training Authorities in South Africa
Date
2014-02-19
Authors
Naidoo, Denver
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Abstract
“Small, Medium, and Micro-Enterprises (SMMEs) represent an important vehicle
to address the challenges of job creation, economic growth, and equity in our
country. Throughout the world one finds that SMMEs are playing a critical role in
absorbing labour, penetrating new markets and generally expanding economies
in creative and innovative ways” (McGrath, 2005; p.6).
The study assessed the “New Venture Creation (Small, Medium, and Micro
Enterprises (SMME)” National Qualifications Framework (NQF) Level 2
learnership program offered by the Sector Education and Training Authorities
(SETAs) namely the Services SETA (SSETA) and the Management, Engineering
and Related Services (merSETA). The primary purpose of the study is to
contribute towards the development of an effective new venture creation training
program for entrepreneurs within South Africa (SA).
A quantitative approach was therefore best suited to identify the crucial factors
affecting the outcome of the above investigation. A 7-point Likert scale was used
as the measuring instrument. The captured data was analysed using both
descriptive and inferential statistic methods. The mode, mean, frequencies,
standard deviation, Chi-square, and regression analyses were used.
The key findings were that more than 90% of new ventures were created across
all industry sectors since the completion of the “New Venture Creation (SMME)”
learnership programme for the sample population tested. The Return on
Investment (ROI) proved to be very attractive with benefits exceeding the cost of
the training within a 12-month period.
Overall, the research supported the claim that the “New Venture Creation
(SMME)” learnership program is adding value to the development of young
entrepreneurs in the sectors covered by the study. The program however does
have some areas of concern that need attention, and could restrict the future
growth of entrepreneurs if attention is not provided in this regard.
Description
MBA thesis
Keywords
New venture creation, Entrepreneurship, Training