THE INFLUENCE OF CULTURE ON THE DEVELOPMENT OF YOUTH ENTREPRENEURS IN A SELECTED SUBURB IN CAPE TOWN

Coloured people’s entrepreneurial efforts in South Africa are mostly survivalist. Although most of the selected suburb’s youth have high entrepreneurial intentions, most do not become successful entrepreneurs. We are hoping to understand why people think this. Indisputable are the inadequacy of entrepreneurial education and training, a heavily skewed distribution of resources, a lack of mentorship, minimal support from parents, and a cultural upbringing in opposition to entrepreneurship. This study’s objective was to gain insight into the cultural and educational limitations on entrepreneurial development and the entrepreneurial intentions of the selected suburb’s youth. This paper employed quantitative and qualitative research methodologies. The quantitative data was collected from 470 youths through a survey questionnaire. Ten personal interviews were conducted within the qualitative ambit and served to validate the quantitative tool’s results. The quantitative data was analysed using SPSS software, and the qualitative data was analysed by identifying common themes in relation to the quantitative findings. The study revealed a low level of tertiary education, a family orientated culture and a high level of entrepreneurial intention. The findings further revealed that many parents do not run their businesses, which indicated that most of the youth do not stem from entrepreneurially oriented households. The researchers recommend that business incubators be established within the suburb and that schools within the community should partner with the private sector and governmental structures, such as the Department of Trade and Industry (DTI), The National Youth Development Agency (NYDA), and Small Enterprise Finance Agency (SEFA) in order to expose youth to the practical application of entrepreneurship.


Introduction
A variety of developmental programmes have been introduced in post-Apartheid South Africa. They include the Growth, Employment and Redistribution Framework (GEAR), the Reconstruction and Development Programme (RDP), and the Accelerated Shared Growth Initiative South Africa (AsgiSA). These programmes were administered to help socio-economically transform society. The initiatives, as mentioned earlier, made an impact and have managed to achieve reasonable success. However, these programs' performances do not meet the government's expectations [1,2]. Economic development is, therefore, still a crucial pursuit in South Africa.
Demand for job creation and unequal distribution of economic power have highlighted a need for young entrepreneurial individuals to serve in South Africa's future economic development. Meyer and Meyer [3] demonstrate that small business development has proven to aid other economies to grow substantially and that South Africa aims to adopt the same approach, especially, when 65 % of its youth are unemployed. Entrepreneurship is a critical element of economic development, which aids in job creation and can help alleviate poverty [4].

Business, management and accounting
According to the Global Entrepreneurship Monitor 2017/2018 indicator, the rate of early-stage entrepreneurship in South Africa is 11 % and the overall entrepreneurial intention rate is 11.7 %. The GEM report further notes that the percentage of established business ownership stands at 3.51 %.
In an attempt to understand why the Small, Medium and Micro Enterprises (SMME) sector is experiencing a modest growth rate, factors such as poverty, limited distribution of skills, inadequate social support for youth from impoverished backgrounds, challenges and restrictions within entrepreneurial education and government policy have been investigated [5]. The increased interest in entrepreneurship makes it necessary to investigate the entrepreneurial culture further. In addition to this, cultures in South Africa are often split along racial lines. Besides, Western culture has influenced African education systems, traditions, political systems and religion [6]. The claim is that groups of people are stuck on either end of the spectrum and strive to create a healthy business culture. This paper investigates the role of culture on youth entrepreneurs' development in a selected suburb of Cape Town.

A Brief definition of entrepreneurship
Maritz and Donovan [7] stated that entrepreneurship encompasses identifying and exploiting opportunities. Additionally, entrepreneurship is an essential contributing factor to economic development [8]. There are numerous other definitions of entrepreneurship. Gibb [9] concludes that "entrepreneurship" is widely understood as implementing companies and individuals' ideas. He further stated that it is how these companies and individuals respond to their changing environments. Building on this definition, the ability to successfully implement ideas is influenced by how individuals respond to their environment. The way an individual responds results from values and belief systems is further explored in this paper. Furthermore, entrepreneurship can also be defined as the skills, attributes, and behaviours, used to aid persons and businesses in managing change and creating solutions [9].

2. Understanding culture in entrepreneurship
Numerous factors can influence entrepreneurship. These factors can either encourage entrepreneurship or it can impede entrepreneurship. Culture is one of these factors and is a crucial element for business and venture creation [10]. It is imperative to understand what entrepreneurial culture means. Entrepreneurial culture can be defined as a programming of the mind that is positive and in favour of entrepreneurial activity [11]. It is an essential element in entrepreneurship development, especially within a region [12].
Additionally, a culture of entrepreneurship can be interpreted as an informal society that includes values, codes of conduct, and norms [13]. When observing the term 'culture' in isolation, a clearer perspective on entrepreneurial culture is achieved. The Global Leadership and Organisational Behaviour Effectiveness Research Programme (GLOBERP) has defined culture as shared motives, values, beliefs, identities and interpretations or meanings of events that result from everyday experiences among members of a community and are transmitted from generation to generation [14].
Culture can therefore determine and establish the behaviour of individuals in society and can often differ between communities. Authors have suggested that an individual's social and cultural upbringing can influence how they behave corporately and create a business [15].

3. History and the development of a culture
Prior studies have proposed through statistical evidence that momentous occurrences in history can have long-term effects on a people's culture [16]. Culture is a variable that changes over a while, so the effects of historical events can linger from generation to generation [17]. Traumatic historical events, such as Apartheid, have an impact on the distribution of cultural traits today. Additionally, Heinrich et al. (2010) [18] suggested that when bringing the same artificial problem to people from different backgrounds, they would respond differently due to their different perspectives. Cohen et al. [19] and Jakiela and Ozier [20] also confirm this by having witnessed other Business, management and accounting behaviours in settings that people from different cultures artificially constructed. Evidence that historical events can cause culture transmission can be seen in the mass immigration to the United States of America. Cohen et al. [19] explained that in the South Side of the US, there is a culture that does not exist in the Northern side of the US. The explanation put forward is that Celts settled in the South and have been herders throughout history. A herding culture can be characterised by weak states, low population density and means that one has to protect one's property. As a result, a culture of aggressive behaviour was made to manifest and is still evident today in the US's Southern region. Davies and Rizk [21] have suggested a theory that culture can be seen as capital. The theory suggests that an individual can have relationships and networks that will give them access to various institutions and organisations. Access to networks and institutions can be identified within the term, known as social capital [22]. Social capital can often lead to privileges in the social world and can be altered into other capital forms. Furthermore, Lee and Peterson [23] have presented a model, proposing that entrepreneurship is only compatible with specific cultures.

4. Culture as capital
South Africa's culture is said not to support entrepreneurial development [24]. Although this generalisation has a degree of truth to it, it cannot be interpreted as a fact without the necessary empirical studies. Minkov [25] demonstrated links between culture, a nation's wealth and entrepreneurial activity, which is still referred to today in numerous studies [25,26]). There is a substantial amount of literature, concerning entrepreneurial intent, entrepreneurial behaviour and attitudes [27,28]). The literature, concerning entrepreneurial intent, entrepreneurial behaviour and attitudes, can be further explored and understood, when accessing the five main personality dimensions. The five main personality dimensions are the need for achievement, risk-taking, autonomy, self-efficacy, locus of control, and may influence entrepreneurial behaviour and intent [29]. Cultural values influence the entrepreneur's thinking and ability to make decisions [30].

5. Regional entrepreneurship culture
Fritsch et al. [31] state that historical reasons shape a region's entrepreneurial culture. Empirical studies provide compelling evidence that entrepreneurial culture can vary substantially across regions of a country, even though there are country-wide uniform formal political rules [31,32]). There is a difference in the rate and the type of entrepreneurial activity, found in particular regions [31]. The intangible factors, contributing to the way an area or community performs entrepreneurially, can be classified as their spirit towards an entrepreneurial activity and their culture for entrepreneurial activity. There are copious studies, involving well-known economies, such as the: US [33]), the Netherlands [34], West Germany [35] and Sweden [36]. These studies indicate that regional levels of self-employment and start-ups are generally persistent over relatively long periods. Depending on an individual's cultural origin, some tend to be more entrepreneurial than others [37].

6. Entrepreneurship education
By definition, entrepreneurship education is the training methods, developed and implemented to transfer skills that lead to venture creation [38]. Empirical studies have shown that processes in education and a student's immediate and overall environment can influence entrepreneurship and new business formation [39]. These studies have all communicated the need for entrepreneurial education. However, Mani [39] proposes that contemporary entrepreneurship education teaches the individual, but does not equip the individual for entrepreneurship. Furthermore, Ali [40] believes that entrepreneurship education is crucial in the development of an economy. As could be expected, entrepreneurship education happens more effectively at a university level to prepare the potential graduates for success in the small business sector [41]. It is essentially meant to encourage, equip, and provide students with a thorough understanding of what is needed to become a successful entrepreneur. Business, management and accounting Furthermore, addressing perceptions regarding failure to enable entrepreneurs to accept mistakes and persevere in their objectives is another area of development that is being explored [42]. Successful youth entrepreneurship education needs an approach that aims to change learners' behaviours and attitudes [43], ultimately making up the individual's culture. This statement shows that education should be structured to develop a culture in favour of entrepreneurship. To become a reality, learners' behaviours and attitudes and their origins primarily need to be understood.
Entrepreneurs are people of action and choose to learn in an atmosphere, where there is room for trial and error and reflection [44]). However, academic research on entrepreneurship usually focused on entrepreneurs' characteristics, personality, and distinct skills [45]. Therefore, domestic factors, impacting personality traits and characteristics and the transference of skills, are put into question.
The aim of the study was to investigate the role of culture on youth entrepreneurs' development in a selected suburb of Cape Town.

Research design and methodology 1. Methodology
A mixed-methods approach was used for this study. The convergent parallel design was adopted as it has been proven to be trustworthy and useful in similar studies [46]. A descriptive research design was employed. The quantitative questionnaire had three pages in total, which were subdivided into two sections. Section A was inclusive of nine closed-ended questions. Section B included a Likert scale with four constructs: Culture, Education, Entrepreneurial Intentions, and Apartheid. The Likert scale ranged from 1-5 (1=strongly disagree, and 5=strongly agree). The qualitative study was conducted using an interview schedule with 11 open-ended questions and elaborated on the convergent parallel design's quantitative findings.

Population, sample size and sampling
The group of interest is the population. A sample is drawn from a broader population to represent it [47]. This study's research population included youth, residing in the Grassy Park, Lotus River, Ottery and Parkwood areas. Together these areas form part of Ward 66 of Cape Town, South Africa. The population consisted of were high school students, matriculants or individuals, who started their careers or businesses. Raosoft software was used to calculate the sample size for quantitative research. Taking into account the 2011 census in Ward 66 of Cape Town, the population total was 31083. The Raosoft calculation considered a 5 % margin of error, 95 % level of confidence and a 50 % response distribution rate. The recommended sample size was 380 individuals. However, the researcher decided to use a slightly bigger sample size to factor in potential population growth. The total sample size for quantitative data was 470 individuals. The qualitative sample size was determined based on Guetterman's [48] suggestion regarding the ideal number between 5 and 25. Hence, a sample size of 15 was envisaged, although saturation was reached after interviewing 10 subjects. Therefore, the qualitative sample size comprised of 10 participants.

3. Data collection and analysis
Data was collected both manually and digitally. The researcher handed out surveys at Fairmount High School, Grassy Park High School, Good Hope Christian Centre (Ottery) and Alpha Squad Youth (Lotus River). The researcher also embedded the questionnaire online and distributed the link for it to be completed. The Statistical Package for the Social Sciences (SPSS) software was used to interpret data from the questionnaire. The program was used for data clean-up and data visualisation to identify the trends within the quantitative data collected. Furthermore, exploratory factor analysis was conducted to measure the validity of the data. The qualitative findings were analysed by identifying the common trends and comparing them to the quantitative findings. Both descriptive and inferential statistical approaches were implored in this study.  Table 1) was one of the demographic factors that was vital to identify the study's selected population, predominantly Coloured youth, residing on the Cape Flats. Age was an imperative demographic factor as the focus of the research was on youth entrepreneurship. The results show that a majority of respondents were between the ages of 16-20. Table 1 show that a majority of respondents' current highest level of education was high school.

2. 1. Reliability and validity
The exploratory factor analysis was performed to empirically evaluate culture and educational constructs regarding reliability and validity via SPSS.
Reliability was assessed by composite reliability (CR); where reliability values over 0.8 indicate robust reliability, where reliability values over 0.7 suggest that reliability levels are acceptable [49]. The CR values ranged from 0.724 to 0.804, indicating a satisfactory to a robust level of reliability within the four constructs ( Table 2).

Business, management and accounting
Convergent validity was evaluated via factor loadings and average variance extracted (AVE). The factor loadings of the culture, education and entrepreneurial intention constructs ranged from 0.558-0.922, and AVE ranged from 0.545-0.672, which are all greater than 0.5 (refer to Table 2) and surpasses the threshold of 0.5, which is suggestive of convergent validity [50].

2. 2. Linear Regression
In 1894, Sir Francis Galton introduced linear regression to understand the relationship between independent and dependent variables [51]. The researcher will provide possible dependent variables based on the independent (predictor) variable within linear regression. Ultimately, linear regression helps determine the strength in the relationship between the outcome variables (dependent) and the independent variable, also known as the predictor variable [51].
The linear regression analysis showed that education had a positive influence on entrepreneurial intention (β=0.309, p<0.001). The linear regression analysis also showed that the culture had a favourable influence on entrepreneurial intention (β=0.173, p<0.001). However, there was little variance (R 2 ) in that education explained 9.6 % of the entrepreneurial intention variance, and culture only explained 3 % of the entrepreneurial intention variance.

Influence of demographic, educational and cultural factors on entrepreneurial activity
A generalised linear model (GLM) was used to determine any significance in terms of the entrepreneurial intention construct; entrepreneurial activity among the community youth scale; and culture, values and beliefs systems on the entrepreneurial activity scale via a Wald Chi-Square distribution. The Bonferroni correction pairwise post hoc tests were utilised to ascertain significant differences between the respondents' demographic and cultural factors, which either positively or negatively influenced the entrepreneurial intentions and activities.

1. GLM entrepreneurial intention
The GLM was used to establish the influence of the independent variables on entrepreneurial intention. The independent variables were the demographic, educational as well as cultural factors. Entrepreneurial factors were also taken into consideration (refer to Table 3). The GLM measures the effect of the different variables on continuous variables. You run own company (p<0.05): Respondents, who confirmed that they already ran their own company (3.23±0.267), exhibited less positive entrepreneurial intention sentiments in comparison to those, who did not own their own company (3.73±0.239).
You intend to start own business (p<0.05): However, respondents, who confirmed that they intended to start their own business (3.58±0.239) showed greater positive entrepreneurial intention attitudinal responses compared to those did not intend to start their own business (3.38±0.247).

2. GLM entrepreneurial activity among community youth
The GLM was used to establish the influence of the independent variables on entrepreneurial activity among community youth. Demographic and educational as cultural factors were considered to determine how entrepreneurial activity among community youth is affected ( Table 4). Parents run own business (p<0.05): Respondents, who confirmed that their parents ran their own business (1.64±0.154), exhibited more positive entrepreneurial activity among community youth sentiments in comparison to those parents, who did run their own business (1.42±0.142).
Top entrepreneurship contributing factors -Historic events (Apartheid) (p<0.05): Respondents, who indicated historic events (Apartheid) (1.60±0.141) as one of the top entrepreneurship contributing factors, showed less favourable entrepreneurial activity among community youth attitudinal responses compared to those, who did not view historical events (1.45±0.150) as a top entrepreneurship contributing factor.
Top entrepreneurship contributing factors -Tolerance for risk (p<0.05): Additionally, respondents, who specified tolerance for risk (1.60±0.141) as one of the top entrepreneurship contributing factors, also revealed less favourable entrepreneurial activity among community youth predispositions in comparison to those, who did not perceive risk tolerance (1.45±0.150) as a top entrepreneurship contributing factor.
Culture, values and beliefs systems on entrepreneurial activity (p<0.001): Respondents, who indicated low (1.33±0.1.52) entrepreneurial activity among community youth, revealed less favourable perceptions than those with medium (1.64±0.145) and high (1.60±0.146) entrepreneurial activity among community youth.

GLM culture, values and beliefs systems on entrepreneurial activity
The GLM was used to establish the influence of the independent variables on culture, values, and beliefs systems on community youth's entrepreneurial activity ( Table 5). Demographic and educational factors were taken into consideration.

Discussion
The quantitative findings indicate that the participants had a low level of tertiary education. These findings support the results of Chetty and Pather [62], who found that students performed poorly in certain racial groups due to the lack of quality teachers, sufficient textbooks, and in disadvantaged schools within the Cape Flats. Further insight was received within the qualitative findings regarding education within the selected suburb. The respondents unanimously agreed that there are shortfalls within the education system and can be seen in Khupe and Keane's [60] work.
The primary shortcoming of the education system according to most of the respondents is that it has not been crafted from an African perspective. Mani [39] suggested that education should ultimately be shaped by the traditions and culture of the community, in which it serves. Because of its impact on youth entrepreneurship development, culturally appropriate and thorough entrepreneurial education is imperative for realising well-developed youth entrepreneurs in the suburb. The qualitative findings revealed that the education available to youth does not effectively equip them for practical entrepreneurship. Mani [39] also found that current education does not prepare young people for the entrepreneurial world.
Though only a small percentage of parents own their own business, a significantly high percentage of youth desired to own a business. These findings are interesting as it gives rise to why entrepreneurial intention is high, yet the entrepreneurial activity level does not match the intention. Understanding the factors that hinder the realisation of more youth entrepreneurs thus gains a greater level of importance when considering this backdrop. This statement affirms Ramli et al. [62] assertion that evidence of entrepreneurial intention does not guarantee the realisation of successful entrepreneurial activity. The selected suburb has a positive attitude towards entrepreneurship. However, it is hindered by the lack of entrepreneurial education, few mentors and often little to no support from parents, amongst other factors. Ramli et al. [63] further states that although schools and universities attempt to capitalise on the levels of entrepreneurial intention youth display by equipping them with the necessary skills and knowledge, many graduates still do not venture into entrepreneurship. According to the qualitative findings, entrepreneurship activity's main hindrance is a curriculum that does not encourage creativity with further suggestions for distributing practical skills. The quantitative findings further confirmed a positive relationship between education and entrepreneurial intention. The quantitative findings also demonstrated a positive relationship between culture and entrepreneurial intention. The qualitative results show that the respondents believe that the implementation of business incubators and more practical training and mentorship will be a more effective way to move the youth from a space of entrepreneurial intent to execution. Ramli et al. [63] stated four main drivers of entrepreneurial intention and entrepreneurship desire. They are the perceived monetary rewards, unemployment, the desire for independence and the avoidance of redundant lifestyles. The quantitative findings showed that a vast majority of the respondents identified independence as one of their fundamental values and can be considered a contributing factor to the realisation of high entrepreneurial intention within the selected suburb. Besides, the high levels of poverty in the community attract the monetary rewards of entrepreneurship.
The quantitative findings showed that a majority of respondents believed that culture has a moderate influence on entrepreneurship. Furthermore, many respondents agreed that culture has a considerable influence on youth entrepreneurs' development. The qualitative findings displayed a clearer understanding of the culture on the Cape Flats. Simply put, most of the respondents stated that the Cape Flats culture is family-oriented and that the family values are carried out within the community. Tam [52] provides evidence that culture may be transmitted and transferred from generation to generation. The quantitative findings have shown that most youth do not grow up to be entrepreneurs because their parents are not involved in their businesses. In the same vein, it was noted, that the youth, whose parents run their own business, exhibited more positive entrepreneurial activity. Additionally, individuals' cultural upbringing influences the way they behave corporately [15]. Although the youth displayed a high level of entrepreneurial intention, their upbringing is not necessarily favouring venture creation.
Furthermore, Fritsch et al. [31] stated that historical events shape a region's entrepreneurial culture. Coloureds, being socialised to perceive their culture as lesser within a "white world", have presented psychological hindrances within the community. The quantitative study revealed that a majority of respondents agree that the family belief system is an integral component of entrepreneurship. The qualitative study confirms that two-thirds of the participants believed that youth from the community are not culturally ready for entrepreneurship because of their mentality. Gorji [58] and many other scholars confirm this statement. Ultimately the participants confirmed that the youth's thinking is linked to their identity, which is moulded in the family structure.
The research was geographically limited and could have obtained a more representative sample if the survey was expanded to additional suburbs in the Cape Flats. The findings might have also differed more young adult respondents, participated in the survey.
A comparison between young people in predominantly White and Coloured communities would be helpful in future studies. This study could measure parental support concerning entrepreneurship, entrepreneurial education, entrepreneurial culture and entrepreneurial intention. Still, another area could involve researching why practical entrepreneurship skills are not common in high school and most tertiary institutions' curricula. The research could also investigate what is prohibiting schools from implementing more practical components with the intent of starting a business.

Conclusions
This study aimed to understand a selected suburb's culture and its influence on entrepreneurial intention and activity. It ultimately assessed the educational and cultural hindrances, resulting in a sparse number of youth entrepreneurs. The sample revealed that most of the youth, who participated in the study, did not identify with 'optimism' as one of their values, which is a crucial characteristic for being a problem solver. Domestic entrepreneurial exposure was low, meaning that most youth stem from parents, who are not entrepreneurial and therefore lack an entrepreneurial heritage. Most respondents held independence as a critical value, and this was associated with high entrepreneurial intention. Thus, the hindrance was the youth's entrepreneurial culture, which stems from a generation that is not business-minded and displays a lack of optimism. There are cultural issues, but the theoretical education students receive is not practically implemented often enough within the school curriculum, which serves as a hindrance. Youth from this community need more Original Research Article: full paper (2021), «EUREKA: Social and Humanities» Number 2 excellent parental and mentoring support for the practical development of entrepreneurial skills. Based on the results, it is recommended that high schools introduce additional start-up camps and ideas that allow youth to put their ideas into practice. High schools should form relationships with funding organisations, such as Red Door, the Department of Trade and Industry (DTI), the Small Enterprise Finance Agency (SEFA) and the National Youth Development Agency (NYDA), among others. The purpose of forming these relationships is to create awareness among youth about these organisations and enrol promising youth into the free entrepreneurial programmes they offered as extra-curricular activities.