The influence of gender and enthnicity on the perceptions of an entrepreneurial career - Farrington, Gray & Sharp


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THE INFLUENCE OF GENDER AND ETHNICITY ON THE PERCEPTIONS OF AN 
ENTREPRENEURIAL CAREER IN THE SOUTH AFRICAN CONTEXT 

Shelley Farrington*, Beverley Gray and Gary Sharp 
Department of Business Management, Nelson Mandela Metropolitan University 

PO Box 77 000, NMMU South Campus, 
Port Elizabeth 6031, Republic of South Africa 
Tel:  +27-41-5042203; Fax:  +27-41-5832644 

Shelley.Farrington@nmmu.ac.za 
 

To whom correspondence should be addressed. 

 

THE INFLUENCE OF GENDER AND ETHNICITY ON THE PERCEPTIONS OF AN 
ENTREPRENEURIAL CAREER IN THE SOUTH AFRICAN CONTEXT 

ABSTRACT 

In South Africa men are more likely than women to undertake entrepreneurial activity. 
Similarly, White South Africans are more likely to start new business ventures than other 
ethnic groups. In order to establish why women and certain ethnic groups are less inclined to 
undertake entrepreneurial activities, the primary objective of this study was to establish 
whether the perceptions of desirability that some groups have of an entrepreneurial career 
differ from those of others. 

Respondents were identified by means of convenience and judgemental sampling. In total, 
739 usable questionnaires were returned. The validity and reliability of the measuring 
instrument was assessed by means of an exploratory factor analysis and Cronbach-alpha 
coefficients. T-test statistics were undertaken to establish significant differences.  

The results show that female small business owners perceive that self-employment will allow 
them more Flexibility and Autonomy than do their male counterparts, whereas male students 
perceive that self-employment will allow them more Time than do female students. Black 
small business owners and Black student respondents scored higher mean scores than 
White respondents for the majority of work values investigated in this study. This seems to 
suggest that Black respondents perceive an entrepreneurial career more positively than 
White respondents do, despite White South Africans being more likely to start 
entrepreneurial ventures than Black South Africans. 

KEYWORDS: Entrepreneurial career, small business enterprises, career perceptions, work 
values, gender, ethnicity. 



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INTRODUCTION AND RESEARCH OBJECTIVE 

As in all countries, venture creation in South Africa plays a vital role in stimulating economic 
activity and reducing unemployment (Malagas, 2003; Nieman, 2006; Timmons & Spinelli, 
2009; Venter, Urban & Rwigema, 2008), and as such, is seen as a potential solution to some 
of South Africa’s economic and social difficulties. However, it is reported that given the 
country’s per capita income, South Africa has a lower-than-expected entrepreneurial activity 
rate. According to Global Entrepreneurship Monitor (GEM) survey in 2009 (Herrington, Kew 
& Kew, 2010:59), the total early-stage entrepreneurial activity (TEA) scored by South Africa 
(5.9%) is considerably lower than the average for all efficiency-driven economies (11.2%), as 
well as the average for all middle- to low-income countries (14.8%). The 2009 GEM survey 
also reported that although 64% of South Africans perceive entrepreneurship as a good 
career choice, this is lower than that reported (71%) in efficiency-driven economies. 
Furthermore, in comparison to other participating countries, who reported an average of 
19%, only 11% of South African respondents reported having entrepreneurial intentions 
(Herrington et al., 2010:61). Of particular concern are the low numbers of female and Black 
South Africans who are engaging in entrepreneurial activities.  

Herrington et al. (2010:68) report that in South Africa, men are 1.5 times more likely than 
women to be involved in early-stage entrepreneurial activity. Similarly, White and 
Indian/Asian individuals are more likely to start new business ventures than are Coloureds or 
Black Africans (Herrington et al., 2010:71). According to Urban (2010:1), both national and 
international studies show that the ratio of female to male participation in entrepreneurial 
activity varies significantly across countries.  In a study spanning 17 countries, Langowitz 
and Minniti (2007:341) have found that significantly fewer women than men are involved in 
entrepreneurial activity. Differences in starting new businesses also appear to exist among 
various ethnic groups. Tracking a decade of entrepreneurial activity in South Africa across 
the four main racial groups, the 2009 GEM survey reported that Whites are more likely to be 
entrepreneurs than Blacks, although in more recent years this difference is becoming less 
marked (Herrington et al., 2010:43). Studies have shown that racial differences in 
entrepreneurial intention and starting new business ventures can be attributed not so much 
to a lack of entrepreneurial activity by Black individuals, as to the existence of stronger 
barriers to entry and higher failure rates in this ethnic group (Köllinger & Minniti, 2006).  

Despite several studies investigating the possible factors that contribute to the differences 
between gender, ethnic groups and entrepreneurial behaviour (DeTienne & Chandler, 2007; 
Gupta, Turban, Wasti & Sikdar, 2009; Langowitz & Minniti, 2007; Urban, 2010), 
understanding what drives entrepreneurship remains one of the most important questions 
being asked in management research (Drost, 2010:28). Given the findings by Herrington et 
al. (2010), it appears that gender and ethnicity perspectives of entrepreneurship as a career 
choice continue to plague the levels of entrepreneurial activity in South Africa. Fostering 
entrepreneurship among these disadvantaged groups is thus a topic in need of increased 
attention among educators, researchers and public policy-makers in South Africa. 
Furthermore, an understanding of which factors play a role in driving the career decision 
towards entrepreneurship of these groups should top the agenda. 

Increasingly, researchers are turning to “intentions models” as a means of explaining why 
some individuals embark on entrepreneurial activity and others do not (Ariff, Bidin, Sharif & 
Ahmad, 2010; Autio, Keeley, Klofsten, Parker & Hay, 2001; Degeorge & Fayolle, 2008; Gird 
and Bagraim, 2008; Kolvereid, 1996; Krueger & Carsrud, 1993). However, applying 
intentions models to entrepreneurial intentions is an area of research that is still in its initial 
stage (Autio et al., 2001). Ajzen’s (1991) theory of planned behaviour is one of the most 
commonly used intentions models to understand and predict human behaviour (Gaddam, 
2008; Gray, Farrington & Sharp, 2010; Haase & Lautenschläger, 2011; Kuehn, 2008; Leffel 
& Darling, 2009). Central to this theory is an individual’s intention to perform a given 



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behaviour, such as choosing a particular career path. According to Ajzen (1991:181), the 
general rule is that the stronger the intention to engage in a particular behaviour, the more 
likely will be the performance of that behaviour. The theory of planned behaviour proposes 
that three independent variables determine intentions, namely the Attitude toward the 
behaviour, the social pressure to perform or not perform the behaviour (Subjective norm), 
and the Perceived behavioural control. The more favourable the attitude and subjective norm 
regarding a particular behaviour, and the greater the perceived behavioural control, the more 
likely should be an individual’s intention to perform the behaviour under consideration 
(Ajzen, 1991:188; 2006:1).   

Several studies (Gird & Bragraim, 2008; Gray et al., 2010; Lüthje & Franke, 2003; Pihie, 
2009) report Attitude toward the behaviour as having the strongest influence on 
entrepreneurial intentions. According to Ajzen (1985; 1991), Attitude toward the behaviour 
refers to the degree to which a person makes a favourable or unfavourable evaluation of the 
behaviour in question, and is a function of beliefs relevant to the behaviour (Ajzen, 1991; 
2006). The theory of planned behaviour asserts that one’s attitude towards an 
entrepreneurial career or self-employment determines one’s intention to embark on such a 
career path. One’s attitude, however, is determined by one’s beliefs or perceptions about 
such a career path. For example, Autio, Keeley, Klofsten and Ulfstedt (1997) report that 
career preferences and entrepreneurial conviction are influenced by the image of 
entrepreneurship as a career alternative. Similarly, Liñán (2008:260) argues that an 
individual’s decision to create a new enterprise is based on personal preference or attraction 
towards entrepreneurship. According to Zaidatol Akmaliah (2009:340), an attitude towards 
self-employment is an individual’s perception of working as the owner of a business, and 
one’s attitude towards self-employment is associated with self-employment intentions 
(Kolvereid, 1996; Kolvereid & Isaksen, 2006).  

Parr (2007) suggests that to fully benefit from the contributions that small businesses can 
make to the South African economy, entrepreneurship and self-employment should be 
positioned as highly desirable career options, and South Africans from all gender and ethnic 
groups should be encouraged to pursue this option. However, an individual’s decision to 
follow a particular career path is influenced by their attitude towards that career, which in 
turn is influenced by their beliefs or perceptions of whether that experience would be 
desirable or not if they chose that particular career.  According to Smith-Hunter, DeCasperis 
and Paul (2009:26), very few researchers have attempted to examine the role of career 
perceptions on entrepreneurial pursuits. The failure of past entrepreneurial research to 
highlight the role of perceptions on entrepreneurial choices has created a void in the 
entrepreneurship literature waiting to be addressed (Smith-Hunter et al., 2009:26). 

An individual’s perceptions dominate both their thoughts and their behaviour as human 
beings, and perceptions are shown to differ across cultures, different life stages and genders 
(Smith-Hunter et al., 2009:27). According to Smith-Hunter et al. (2009), it is these 
perspectives that raise questions about the role of perceptions in influencing entrepreneurial 
behaviour. One such question is whether gender or ethnic grouping influences one’s 
perceptions or actual experience of an entrepreneurial career in South Africa. Another is 
whether the perceptions that women and Black Africans have of self-employment influence 
their decision to become self-employed. In pursuit of answers to these questions, this study 
aims to establish the influence of gender and ethnicity on the perceptions of several work 
values associated with an entrepreneurial career. If differences in perceptions of self-
employment could be identified, possible explanations could be forthcoming with regard to 
why certain groups are more likely to embark on entrepreneurial careers than others. This 
study considers several work values associated with an entrepreneurial career because 
values are important determinants of behaviour, particularly values that influence work 
attitudes (Twenge, Campbell, Hoffman & Lance, 2010:19). The primary objective of the 



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study is to establish whether the perceptions of desirability that women and Black individuals 
have of an entrepreneurial career differ from those of White males.  These differences will be 
established in terms of several work values.  

According to Urban (2010), by gaining an understanding of entrepreneurial perceptions, an 
understanding of intended behaviour increases. The results of this study provide insights into 
what the different gender and ethnic groups think it would be like to follow an entrepreneurial 
career, and how these perceptions differ between students and individuals who currently 
own and run their own businesses.  These insights will be useful to policy-makers, education 
in general, educators of entrepreneurship and career advisors in particular, who are required 
to provide students, particularly women and Black students, with an accurate description of 
what owning and managing an own business entails. In addition, from these insights a more 
realistic perspective can be provided of what it might be like to be self-employed. Gaining 
insights into different viewpoints adds to the knowledge of how different individuals perceive 
and operationalise entrepreneurship (Urban, 2010). 

In this study an ‘entrepreneurial career’ means owning and managing one’s own small 
business, and a ‘small business’ is defined as a business that is independently owned and 
managed and employs more than 5 but fewer than 50 persons. First, a brief overview of the 
supporting literature is presented and relevant hypotheses are formulated. Thereafter, the 
research methodology is described and the empirical findings presented.  The findings and 
their implications are discussed. Lastly, the limitations of the study are presented and 
opportunities for future research highlighted. 

 

LITERATURE OVERVIEW 

Attitudes, perceptions and work values 

As mentioned above, Attitude toward the behaviour refers to the degree to which a person 
has a favourable or unfavourable evaluation of the behaviour in question (Ajzen, 1985; 
1991). It reflects a person’s judgement about the impact of the desired behaviour (Ajzen & 
Fishbein, 1980.  Attitude toward the behaviour is a function of beliefs relevant to the 
behaviour, beliefs about the likely outcomes of the behaviour, and evaluations of these 
outcomes, which are assumed to influence attitudes towards the behaviour (Ajzen, 1991; 
2006). It is proposed that one’s attitude towards performing the behaviour is influenced by 
perceptions of the personal desirability of performing the behaviour (Zellweger, Sieger & 
Halter, 2010:3), and related to the desirability of becoming an entrepreneur is the image of 
an entrepreneur in society (Veciana, Aponte & Urbano, 2005:174). 

According to Douglas and Shepherd (2000), when choosing a career, an individual must 
decide whether the desirability of a specific career option is greater than that of alternative 
options.  ‘Desirability’ is a form of value (Steel & Konig, 2006), and values are important 
determinants of behaviour, particularly values that influence work attitudes (Twenge et al., 
2010:19). A person’s work values are the components of a job which are important to their 
work satisfaction (Duffy & Sedlacek, 2007:359; Twenge et al., 2010:5). Work values shape 
employees’ perceptions of preference in the workplace, and as such have a direct influence 
on employee attitudes, behaviours, job decisions and perceptions (Twenge et al., 2010:5). 
According to McKay (n.d.), taking one’s values into account when choosing a career, could 
be the most important factor that determines whether one is satisfied or not with that aspect 
of life.  

Several authors have recognised that work values are variables that influence career choice 
(Nelson, 1995; Rousseau & Venter, 2009; Stead & Watson, 1993). According to Rousseau 
and Venter (2009), work values are important career choice factors for both career choices 



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in general and for initial career choice. In addition, they maintain that understanding an 
individual’s work values can provide insight into career aspirations. Fitzsimmons and 
Douglas (2010:4) suggest that the attractiveness of a career alternative can be rated in 
terms of various work values. Work values have also been shown to significantly predict 
career choice, and when work values are realised in the work environment, they significantly 
predict job satisfaction and job performance (Duffy & Sedlacek, 2007:359).  

In their article investigating differences in perceptions of self-employment between students 
and small business owners, Farrington, Gray and Sharp (2011) have identified numerous 
aspects influencing occupational choices. They have grouped these aspects into fourteen 
categories or work values, which together with several descriptive statements are 
summarised in Table 1. An elaborate theoretical discussion on the various work values 
identified is deemed beyond the scope of this article, and readers are referred to Farrington 
et al. (2011) in this regard. The fourteen work values identified by Farrington et al. (2011) 
have served in the present study as the factors to be investigated in establishing the 
perceptions of an entrepreneurial career among the different genders and ethnic groups. 

The entrepreneurial attributes possessed, as well as the entrepreneurial intentions shown, 
differ between individuals depending on their demographic profile. According to Kristiansen 
and Indarti (2004), several studies support the argument that demographic variables such as 
age, gender and individual background (education and employment experience) influence 
entrepreneurial intentions. Similarly, Kiggundu (2002) asserts that various demographic 
variables appear to distinguish between successful and less successful entrepreneurs. The 
focus of this study is on the demographic variables gender and ethnicity. 

 

TABLE 1 

WORK VALUES 

Work values Statements reflecting work values 

Time 
Work-life balance; time to spend with friends and family; time for 
interests outside of work; time for a social life; working hours that 
allow one to have a good social life; regularity of work hours. 

Flexibility 
Flexible working hours; job and career flexibility; opportunity to 
move between workplaces.  

Financial benefit 

High salary; opportunity to earn lots of money; increased personal 
income; initial and future earning potential; salary and benefits; 
financial gain; economic reward; instrumentality of wealth; 
acquisition of personal wealth;  financial success.  

Challenging 
Doing challenging work/tasks; challenging career; competing 
demands; challenging profession.  

Stimulating 

Doing exciting work; doing a variety of things; change and 
diversity in tasks, place and people; rapidly changing; interesting 
and exciting;  enjoyable and stimulating; fun; adventure; doing 
what you love; happy to go to work; not mundane  and repetitive. 

Imaginative 
Permits creativity and originality; opportunity to be creative; build 
on ideas and adapt or re-invent them; develop new ideas, 
innovation and initiatives.   



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Security 
Being sure of a job; being certain of keeping a job; being certain a 
job will last; a stable future; employment security;  job security;  
confidence in income; personal security; provide for retirement. 

Prestige 
Being looked up to by others; prestige; respected position in the 
community; gain public recognition; status in family and in 
society; status of profession; recognition. 

Autonomy 
Freedom, independence and choice; doing my work in my own 
way; make my own decisions; independence of actions; sense of 
freedom and power; maintain personal freedom. 

Interaction 

Getting to know fellow workers; developing close ties with co-
workers; working closely with people; people-orientated; 
opportunity to work with people; working as part of a team; social 
interaction; having pleasant friendly contacts; interaction with 
others. 

Serving the 
community 

Being of service to society; making the world a better place; 
helping others; socially responsible; contribution to the 
community; contribution to society; helping and caring for others; 
opportunity to help others; worthwhile to society. 

Stress* 
Feeling threatened; feeling uncomfortable; gives one a sinking 
feeling when thinking of it; dealing with crises and conflicts; 
working under pressure.  

Responsibility 
Management responsibility; degree of responsibility expected to 
assume; responsibility for other people; responsibility for getting 
things done; responsibility for significant business activities. 

Future prospects 
Opportunities for promotion and advancement; future career 
progression; career advancement progress; promotion prospects 
for the future. 

*  Note:  Stress is not considered to be a value, but being “stress-free” is. The reverse of 
this factor is considered a value for the purpose of this study. 

(Source: Farrington et al., 2011). 

Gender and Entrepreneurship 

Several studies (Delmar & Davidsson, 2000; Matthews & Moser, 1995; Veciana et al., 2005) 
have found that males have a higher preference for entrepreneurial behaviour than females. 
For example, Zhao, Seibert and Hills (2005) found that women reported significantly lower 
intentions to become entrepreneurs than men, while Veciana et al. (2005:180) found 
relationships to exist between students’ gender and perceptions of new venture desirability, 
as well as with their intention to create new firms, with males showing higher desirability and 
intentions to create firms. 

In comparing background, culture and nationalities, studies show that there is a higher 
prevalence of entrepreneurship among men than women with similar backgrounds, across 
cultures and national boundaries (Zhang, Zyphur, Narayanan, Arvey, Chaturvedi, Avolio, 
Lichtenstein & Larsson, 2009). In their study across 17 countries, Langowitz and Minniti 
(2007:341) found that while entrepreneurship is a significant and growing source of 
employment for women, the level of female involvement in entrepreneurial activity remains 



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lower than that of men. Similarly, Urban (2010) contends that in comparison to men, South 
African women tend to have lower entrepreneurial career aspirations.  

Drost (2010), Kakkonen (2010) and Ahmed, Nawaz, Ahmad, Sajukat, Usman, Rehman, and 
Ahmed (2010), as well as Gupta et al. (2009), however, have reported that gender has no 
significant influence on intentions to start an own business. Ahmed et al. (2010) have 
concluded that gender does not predict entrepreneurial intentions. In addition, most studies 
on entrepreneurs seem to suggest that few differences exist between male and female 
entrepreneurs (Mueller, 2004).  On the other hand, according to Urban (2010:3), research 
shows that not only do the entrepreneurial intentions of women differ from those of men, but 
work values help to explain why gender differences lead to different self-employment 
choices. For example, women experience more complexity in their career choices for the 
work value Time than men, given their need to balance their work and family roles 
(DeTienne & Chandler, 2007).   

Previous empirical studies (Cliff, 1998; DeTienne & Chandler, 2007) indicate than men tend 
to place a greater emphasis on economic values and on quantitative non-ambiguous 
measures, such as status and wealth, whereas women tend to assign more importance to 
social values and qualitative, ambiguous measures such as personal fulfilment and strong 
interpersonal relations. According to Duffy and Sedlacek (2007:360), men typically rate 
values related to prestige, responsibility, and pay as more important than do women. 
Conversely, women are more likely to rate social values, such as helping others and working 
with people, higher than do men. Duffy and Sedlacek (2007:61) concluded that men were 
more likely to espouse extrinsic values, whereas women were more likely to espouse social 
values. In their study on gender differences concerning various work values, Kakkonen 
(2010) reported no significant difference between the perceptions of an entrepreneurial 
career in terms of holding an esteemed position in society, having the chance to be 
independent, a job that is interesting and challenging, better income levels than in paid work, 
the time available for family and hobbies, responsibility, the amount of work needed to be 
done, independence, and earning potential. The only significant difference in perceptions 
between males and females in that study related to the quality of life one would have as an 
entrepreneur.  Males perceived that being an entrepreneur would afford them a better quality 
of life than if they were in a paid job, more so than females did (Kakkonen, 2010). 

Today, self-employment is widely recognised as an attractive and worthwhile career for 
women (Heilman & Chen, 2003) and in recent years the number of women entrepreneurs 
has increased dramatically (De Bruin, Brush & Welter, 2006; Kakkonen, 2010). Despite this 
increase, the rate of entrepreneurship among women remains much lower than among men 
(Kakkonen, 2010; Reynolds, Bygrave & Auto, 2004). Gender differences in entrepreneurial 
activity are well documented in the literature (Reynolds et al., 2004). However, scholars have 
a limited understanding of the factors and decision processes that influence men and women 
differently to pursue entrepreneurship or not to do so (Zhao et al., 2005). Yet the persistent 
and consistent differences in male and female entrepreneurial activity across the world 
makes it important to understand why fewer women than men choose to become 
entrepreneurs (Gupta et al. 2009:409). Against this background, the following hypotheses 
are formulated:  

H01: Gender has no influence on the perceptions of the work values associated with an 
entrepreneurial career. 

Ha1: Gender has an influence on the perceptions of the work values associated with an 
entrepreneurial career. 



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Ethnicity and Entrepreneurship 

Wherever society is highly differentiated along racial or ethnic lines, race and ethnicity have 
been used to predict entrepreneurial activity (Kiggundu, 2002:241) and several studies have 
examined the relationship between racial differences and self-employment (Bates, 2000; 
Fairlie, 2004), consistently reporting that Black and Hispanic Americans exhibit lower rates of 
self-employment than other ethnic groups (Köllinger & Minniti, 2006:59). However, studies 
show that African Americans are more likely than either Hispanic Americans or Caucasian 
Americans to engage in entrepreneurial activities (Dyck & Neubert, 2010:178). In their study 
measuring differences in the rates of entrepreneurial involvement between Black and White 
Americans, Köllinger and Minniti (2006:59, 63) found that although Blacks were almost twice 
as likely to start a business than Whites, Blacks were significantly less likely than Whites to 
own an established business that survived beyond the initial start-up.  

Studies in Africa (Ramachandran & Shah, 1999) have shown that while European and 
Indian-owned firms registered positive growth, Black-owned firms recorded negative growth. 
The study noted, however, that Black entrepreneurs had significantly less formal education 
and business networks than their European and Indian counterparts. In South Africa, 
however, White and Indian/Asian individuals are more likely to start new business ventures 
than are Coloureds or Black Africans (Herrington et al., 2010:71). These findings are 
supported by Fairlie and Meyer (1996) who found evidence that self-employment was higher 
among more advantaged racial groups. Giacomin, Janssen, Pruett, Shinnar, Llopis and 
Toney (2010) found that although students were motivated by similar factors and perceived 
similar barriers to business creation, American, Asian and European students did not share 
the same entrepreneurial intentions or dispositions.  

According to Köllinger and Minniti (2006:73), the gap in entrepreneurial propensity between 
Blacks and Whites can partly be explained by individual perceptions. High levels of 
confidence and optimistic perceptions of entrepreneurship suggest that the subjective 
perceptions of Black Americans tend to be biased towards over-optimism more than the 
perceptions of Whites (Köllinger & Minniti, 2006:75). According to Kazela (2009) a general 
perception among disadvantaged communities is that one earns an academic qualification to 
be more suitably qualified for the employment market rather than for self-employment. 

As in the case of gender, perceptions relating to work values could also influence 
entrepreneurial activity among ethnic groups. Duffy and Sedlacek (2007:361) found that 
African Americans and Asian Americans were more likely to express extrinsic values, while 
Whites were more likely to express intrinsic values. More specifically, Black adolescents 
tended to place a greater emphasis on social values, whereas adolescent White men tended 
to favour work values focused on economic rewards and job security. Kiggundu (2002:242) 
concluded that differences in race and ethnicity might be indicative of other variables more 
important for entrepreneurial success. In an attempt to identify these variables, the following 
hypotheses are formulated:  

H02: Ethnicity has no influence on the perceptions of the work values associated with an 
entrepreneurial career. 

Ha2: Ethnicity has an influence on the perceptions of the work values associated with an 
entrepreneurial career. 



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METHODOLOGY 

Sample and sampling method 

A comparison of student expectations of a particular career versus actual experiences of that 
career has been the focus of several studies (Daniel, Chamberlain & Gordon, 2001; 
Ferguson & Hatherly, 1991; Gedye, Fender & Chalkley, 2004; Scott & Gunderson, 2003). 
According to Rousseau and Venter (2009:5), one’s expectations of a particular career and 
one’s experiences in reality, do not always correspond. Furthermore, studies have shown 
that students have a more favourable attitude towards entrepreneurship than the population 
in general (Piipponen, 2000). In order to account for these differences between expectations 
and reality, two samples were identified to participate in this study, namely undergraduate 
students of Business Management and existing small business owners.  

Convenience and judgemental sampling were used to identify potential respondents, and a 
survey instrument was administered. The Business Management students were conveniently 
selected from undergraduate students at the Nelson Mandela Metropolitan University, 
whereas specified criteria were used in judging the selection of small business owners 
operating in Nelson Mandela Bay, to participate in the study.  Judgemental sampling was 
used to identify small business owner respondents because no complete lists of small 
businesses are available in the area, or in South Africa, for that matter. The criteria by which 
the small business owner respondents were identified, were as follows: the small business 
owner respondents had to be actively involved in running (owning and managing) the 
business, the business had to have been in operation for at least one year, and the business 
had to employ fewer than 50 persons. 

The sample frame consisted of 803 students and 355 small business owners. In total, 739 
usable questionnaires were returned, 454 from students and 285 from small business 
owners, yielding a response rate of 64%. 

Data collection and statistical analysis 

The fourteen work values under investigation were measured using several items developed 
by Farrington et al. (2011).  By means of a structured self-administered measuring 
instrument, these items were then used to empirically measure the work values as 
applicable to an entrepreneurial career among both the student and small business owner 
samples. 

In Section A, demographic information pertaining to the students and small business owner 
respondents, as well as the small businesses themselves, was requested.  Section B of the 
measuring instrument consisted of 69 statements (items) relating to the fourteen work values 
under investigation. In the case of the student questionnaire, the items measuring the 
constructs were phrased to measure perceptions of “what it could be like to run one’s own 
business”. These exact items were used in the small business owner questionnaire, but in 
the latter case the items were phrased to measure perceptions of “what it is like to run one’s 
own business”. Using a 7-point Likert-type interval scale, respondents were requested to 
indicate their extent of agreement with regard to each statement. The 7-point Likert-type 
interval scale was interpreted as 1 = strongly disagree through to 7 = strongly agree.  

The data collected from 739 usable questionnaires were subjected to various statistical 
analyses. In order to assess the validity and reliability of the measuring instrument, an 
exploratory factor analysis was undertaken and Cronbach-alpha coefficients were 
calculated. Descriptive statistics relating to the work values, such as the mean and standard 
deviation, were calculated to summarise the sample data distribution. Furthermore, t-test 
statistics were undertaken to establish whether differences in mean scores reported between 
males and females were statistically significant, as well as between the means of the various 



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ethnic groups.  Cohen’s d statistics were calculated to establish practical significance. 
Differences were only considered significant if found to be both statistically and practically 
significant. 

Describing the sample 

More than half of the student respondents were male (56%) and the large majority (99%) 
were under the age of 25 years. For the purpose of this study South Africans of colour, 
namely Blacks, Indian/Asians and Coloureds are grouped together as Black South Africans. 
The reason for this is the small number of Indian/Asian and Coloured respondents 
participating in the study. Of the student respondents, 67% were Black South Africans. Most 
respondents reported that none of their parents were self-employed (55%), but the majority 
(66%) indicated that they themselves undertook some form of employment (occasional, 
casual or full-time). The majority of respondents were completing a BCom degree. 

With regard to the small business owners sample group, the majority of respondents were 
male (72%) and less than 49 years of age (69%). An even number of White and Black 
respondents participated in the study. Most respondents (66%) indicated that they 
possessed a tertiary qualification. A little over half of the respondents (52%) reported that 
none of their parents were self-employed. On average, respondents had owned their own 
business for 9.72 years. Small businesses participating in the study employed an average of 
between 9 and 10 people, and most operated in either the retail (30%) or services (36%) 
industries. Just less than half (49%) considered their business to be a family business.  

Validity and reliability 

The validity of the measuring instrument was assessed by conducting an exploratory factor 
analysis. The software program Statistica Version 8.0 was used for this purpose. Principal 
component analysis with a varimax rotation was specified as the extraction and rotation 
method. In determining the factors to extract for the model, the percentage of variance 
explained and the individual factor loading were taken into account. 

The exploratory factor analysis revealed fourteen distinct factors. The items measuring the 
fourteen work values loaded as expected. However, only three of the five items originally 
intended to measure Time and Stimulating loaded onto these factors.  Similarly, only four of 
the five items measuring the factors Flexibility, Challenging and Interaction loaded as 
expected. The fourteen work values cumulatively explained 43% of variance in the data. 
Factor loadings of ≥ 0.6 (Hair, Black, Babin, Anderson & Tatham, 2006) were reported for all 
factors, with the majority having loadings of ≥ 0.7. This result provides evidence of a factor 
structure which has been well defined. Evidence of validity for the measuring scales is thus 
provided. 

Despite several items not loading as expected, it was unnecessary to reformulate the 
operational definitions. The operationalisation of the fourteen work values identified, the 
minimum and maximum factor loadings, as well as the Cronbach-alpha coefficients for each 
of these constructs, are summarised in Table 2. Cronbach-alpha coefficients of greater than 
0.70 (Nunnally & Bernstein, 1994; Peterson, 1994) were reported for all constructs, 
suggesting that reliable measuring scales were used to measure the constructs under 
investigation. 
 

 



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TABLE 2 

MEASUREMENT INSTRUMENT ANALYSIS 

Operationalisation of work values 
 

Items 
 

Factor 
loadings 

Cronbach-
alpha 
values 

Time: Allows for a balance between work and leisure time 
i.e. time for friends, family and outside interests. 

3 
Max: 0.808 
Min: 0.769 

0.776 

Flexibility: Allows for freedom to vary activities and to 
regulate own working hours. 

4 
Max: 0.758 
Min: 0.644 

0.774 

Financial benefit: Allows for a rewarding income level 
and increased personal wealth.  

5 
Max: 0.767 
Min: 0.642 

0.838 

Challenging: Requires performing activities that are 
difficult and highly demanding. 

4 
Max: 0.776 
Min: 0.650 

0.789 

Stimulating: Requires performing activities that are 
interesting, exciting and adventurous. 

3 
Max: 0.770 
Min: 0.752 

0.771 

Imaginative: Requires creativity, innovation and original 
thinking in performing activities. 

5 
Max: 0.750 
Min: 0.686 

0.833 

Security: Provides regular income and secure 
employment 

5 
Max: 0.864 
Min: 0.778 

0.905 

Prestige: Earns respect and approval from friends, family 
and the community. 

5 
Max: 0.812 
Min: 0.610 

0.878 

Autonomy: Allows for working independently and the 
making of all operational decisions  

5 
Max: 0.833 
Min: 0.601 

0.836 

Interaction: Requires being people-orientated and 
working closely with others. 

4 
Max: 0.768 
Min: 0.642 

0.780 

Serving the community: Provides opportunity to help 
others and be of service to the community. 

4 
Max: 0.847 
Min: 0.683 

0.868 

Stress: Is a source of worry and constant pressure. 5 
Max:-0.890 
Min:-0.671 

0.872 

Responsibility: Requires taking full responsibility for 
activities and outcomes. 

5 
Max: 0.810 
Min: 0.642 

0.816 

Future prospects: Provides one the opportunity to grow 
personally and professionally. 

5 
Max: 0.784 
Min: 0.617 

0.855 

 

EMPIRICAL RESULTS  

Descriptive statistics were calculated to summarise the sample data distribution. The means 
and standard deviations of the various work values were reported for business owners and 
students, firstly in terms of gender (Tables 3 and 4) and secondly in terms of ethnic group 
(Tables 5 and 6).  In order to establish whether gender and ethnicity have an influence on 
the perceptions of an entrepreneurial career, the mean scores of the fourteen work values 
reported by the different sample groups were investigated. Statistical significance was 
established by means of t-tests, while Cohen’s d statistics were calculated to establish 
practical significance. The two sample groups, namely small business owners and students, 
were separately analysed.  

With regard to the work value Flexibility, significant differences (p < 0.10; Cohen’s d 0.237) 
were found between the mean scores reported by male and female small business owners 
(see Table 3).  Females (5.20) reported significantly higher mean scores than males (4.87). 
This finding suggests that female small business owners perceived that an own business 
allowed them freedom to vary activities and regulate working hours, more so than male small 



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business owners did. Significant differences (p < 0.05; Cohen’s d 0.283) were also reported 
between the mean scores of male (5.95) and female (6.22) small business owners for the 
work value Autonomy. Females perceived that an own business allowed for autonomy and 
independence, more so than males did.  

 

TABLE 3 

GENDER OF SMALL BUSINESS OWNERS AND WORK VALUES 

(MALE N = 206; FEMALE N = 79) 

 
Mean 

Female 
Mean 
Male 

Std.Dev. 
Female 

Std.Dev. 
Male 

t-value df P Cohen's 
D 

Time 4.650 4.382 1.45 1.53 1.34 283 0.180 0.178 
Flexibility 5.196 4.867 1.27 1.43 1.79 283 0.074* 0.237* 
Financial benefit 5.192 5.209 1.09 1.26 -0.10 283 0.919 0.013 
Challenging 5.696 5.799 0.97 1.00 -0.78 283 0.436 0.103 
Stimulating 5.304 5.058 1.14 1.18 1.58 283 0.114 0.210* 
Imaginative 6.139 6.014 0.78 0.94 1.05 283 0.293 0.139 
Security 5.068 5.181 1.20 1.26 -0.68 283 0.497 0.090 
Prestige 5.261 5.092 1.16 1.30 1.01 283 0.316 0.133 
Autonomy 6.218 5.948 0.58 1.06 2.14 283 0.033** 0.283* 
Interaction 6.500 6.414 0.54 0.68 1.00 283 0.316 0.133 
Serving community 5.785 5.846 1.05 1.02 -0.45 283 0.655 0.059 
Stress 4.425 4.657 1.47 1.49 -1.18 283 0.239 0.156 
Responsibility 6.352 6.411 0.64 0.83 -0.57 283 0.571 0.075 
Future prospects 6.008 5.974 1.01 0.93 0.27 283 0.789 0.036 

 (*p < 0.10; **p < 0.05) (* small 0.2 < d < 0.5; ** medium 0.5 < d < 0.8; *** large d > 0.8) 

No other significant differences between the mean scores of male and female small 
business owners were reported. For the small business owner sample, the null hypothesis 
stating that gender has no influence on the perceptions of the work values associated with 
an entrepreneurial career, can thus be rejected in favour of the alternative for the work 
values Flexibility and Autonomy, but cannot be rejected for the other work values 
investigated in this study. 

For the work value Time, significant differences (p < 0.05; Cohen’s d 0.236) were found 
between the mean scores reported by male and female students (see Table 4). Males (4.93) 
reported significantly higher mean scores than females (4.66). Male students perceived that 
owning their own business would allow them to maintain a balance between work and 
leisure time (Time), more so than female students did.  

 



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TABLE 4 

GENDER OF STUDENTS AND WORK VALUES  

(MALE N = 254; FEMALE N = 200) 

  
Mean 

Female 
Mean 
Male 

Std.Dev. 
Female 

Std.Dev. 
Male 

t-value df p Cohen's 
D 

Time 4.655 4.929 1.25 1.09 -2.50 452 0.013* 0.236* 
Flexibility 5.360 5.234 0.91 1.08 1.32 452 0.188 0.125 
Financial benefit 5.686 5.804 0.90 0.79 -1.48 452 0.139 0.140 
Challenging 6.034 5.974 0.80 0.78 0.80 452 0.427 0.075 
Stimulating 4.950 5.000 1.05 1.10 -0.49 452 0.624 0.046 
Imaginative 6.157 6.031 0.66 0.77 1.85 452 0.065 0.175 
Security 4.832 5.065 1.42 1.36 -1.78 452 0.076 0.168 
Prestige 5.400 5.506 0.98 0.96 -1.16 452 0.245 0.110 
Autonomy 5.948 5.806 0.81 0.97 1.66 452 0.098 0.157 
Interaction 6.348 6.268 0.61 0.72 1.26 452 0.209 0.119 
Serving community 5.901 5.832 0.84 0.99 0.79 452 0.427 0.075 
Stress 4.422 4.368 1.23 1.29 0.46 452 0.649 0.043 
Responsibility 6.294 6.254 0.61 0.64 0.67 452 0.504 0.063 
Future prospects 6.343 6.256 0.62 0.68 1.41 452 0.160 0.133 

(*p < 0.05; **p < 0.01) (* small 0.2 < d < 0.5; ** medium 0.5 < d < 0.8; *** large d > 0.8) 

No other significant differences were reported between male and female students. For the 
student sample, the null hypothesis can thus be rejected in favour of the alternative for the 
work value Time, but cannot be rejected for the other work values investigated in this study. 

The results of this study (see Table 5) showed that Black small business owners reported 
significantly higher mean scores than their White counterparts for five of the work values 
associated with an entrepreneurial career. The work values were Flexibility (p < 0.05; 
Cohen’s d 0.246), Security (p < 0.05; Cohen’s d 0.310), Future prospects (p < 0.05; Cohen’s 
d 0.250), Prestige (p < 0.001; Cohen’s d 0.557) and Serving the community (p < 0.01; 
Cohen’s d 0.302). Black respondents (5.13) perceived that owning one’s own business 
allowed for autonomy and independence (Flexibility) more so than White respondents (4.79) 
did. Black small business owners reported mean scores of 5.35 for Security and 6.10 for 
Future prospects, whereas White respondents reported significantly lower mean scores of 
4.96 and 5.87 for these work values. This finding suggests that Black respondents perceived 
that owning their own business provided them with a regular income and secure employment 
(Security), as well as the opportunity to grow personally and professionally (Future 
prospects), more so than White respondents did. Similarly, Black small business owners 
reported mean scores of 5.48 for Prestige and 5.99 for Serving the community, whereas 
White respondents reported significantly lower mean scores of 4.80 and 5.68 for these work 
values.  In other words, Black respondents perceived that owning their own business earned 
them respect and approval (Prestige) and gave them opportunities to serve the community 
(Serving the community), more so than their White counterparts did.  

As with the work values discussed above, a significant difference exists between the mean 
scores reported by White and Black small business owners for the work value Stress (p < 
0.001; Cohen’s d 0.589). However in contrast to the above, White respondents (5.02) 
reported significantly higher mean scores than Blacks (4.17). White small business owners 
perceived that their own business was a source of worry and pressure, more so than Black 
respondents did. 

 



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TABLE 5 

ETHNICITY OF SMALL BUSINESS OWNERS AND WORK VALUES 

(WHITE N = 142; BLACK N = 143) 

 
Mean 
White 

Mean 
Black 

Std.Dev. 
White 

Std.Dev. 
Black 

t-value df p Cohen's 
D 

Time 4.383 4.529 1.54 1.48 -0.82 283 0.41 0.097 
Flexibility 4.787 5.128 1.50 1.27 -2.07 283 0.04* 0.246* 
Financial benefit 5.104 5.303 1.27 1.15 -1.39 283 0.17 0.164 
Challenging 5.713 5.827 1.03 0.95 -0.97 283 0.33 0.115 
Stimulating 5.077 5.175 1.17 1.18 -0.70 283 0.49 0.083 
Imaginative 6.006 6.091 0.89 0.91 -0.80 283 0.43 0.095 
Security 4.958 5.340 1.28 1.18 -2.62 283 0.01* 0.310* 
Prestige 4.797 5.478 1.29 1.15 -4.70 283 0.00*** 0.557** 
Autonomy 6.128 5.917 0.96 0.95 1.86 283 0.06 0.220 
Interaction 6.428 6.448 0.70 0.60 -0.26 283 0.80 0.030 
Serving community 5.674 5.983 1.12 0.91 -2.55 283 0.01** 0.302* 
Stress 5.015 4.173 1.31 1.54 4.97 283 0.00*** 0.589** 
Responsibility 6.423 6.366 0.87 0.68 0.60 283 0.55 0.072 
Future prospects 5.865 6.101 1.03 0.85 -2.11 283 0.04* 0.250* 
(*p < 0.05; **p < 0.01; ***p < 0.001) (* small 0.2 < d < 0.5; ** medium 0.5 < d < 0.8; *** large d > 0.8) 

For the small business owner sample, the null hypothesis stating that ethnicity has no 
influence on the perceptions of the work place values associated with an entrepreneurial 
career, can thus be rejected in favour of the alternative for the work values Flexibility, 
Security, Prestige, Serving the community, Stress and Future prospects. The null hypothesis 
can, however, not be rejected for the other work values investigated in this study. 

As in the case of Black small business owners, Black students also reported significantly 
higher mean scores than their White counterparts for the factors Flexibility (p < 0.001; 
Cohen’s d 0.354), Security, (p < 0.001; Cohen’s d 0.510), Prestige (p < 0.001; Cohen’s d 
0.693), Serving community (p < 0.001; Cohen’s d 0.593) and Future prospects (p < 0.001; 
Cohen’s d 0.390). In addition to the aforementioned factors, Black students also reported 
significantly higher mean scores for the factors Imaginative (p < 0.001; Cohen’s d 0.534) and 
Interaction (p < 0.001; Cohen’s d 0.345). 

The results of this study (see Table 6) show that Black students (5.40) perceived that owning 
their own business would allow for autonomy and independence (Flexibility) more than White 
students (5.05) did. Black students reported mean scores of 5.18 for Security and 6.37 for 
Future prospects, whereas White respondents reported significantly lower mean scores of 
4.48 and 6.12 for these work values. In other words, Black students perceived that owning 
their own business would allow for a regular income and secure employment (Security), as 
well as the opportunity to grow personally and professionally (Future prospects), more so 
than White students did. Black students also reported mean scores of 5.66 for Prestige and 
6.03 for Serving the community, whereas White students reported significantly lower mean 
scores of 5.02 and 5.50 for these work values.  This finding suggests that Black respondents 
perceive that owning their own business would earn them respect and approval (Prestige) 
and would provide them with an opportunity to serve the community (Serving the 
community), more so than their White counterparts did.  

 



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TABLE 6 

ETHNICITY OF STUDENTS AND WORK VALUES 

(WHITE N = 139; BLACK N = 315) 

 
Mean 
White 

Mean 
Black 

Std.Dev. 
White 

Std.Dev. 
Black 

t-value df p Cohen's 
D 

Time 4.986 4.730 1.05 1.21 2.16 452 0.03* 0.220* 
Flexibility 5.045 5.398 1.01 0.99 -3.48 452 0.00*** 0.354* 
Financial benefit 5.718 5.767 0.80 0.86 -0.57 452 0.57 0.058 
Challenging 6.022 5.991 0.71 0.82 0.38 452 0.71 0.038 
Stimulating 4.916 5.005 0.99 1.11 -0.81 452 0.42 0.083 
Imaginative 5.826 6.201 0.76 0.67 -5.24 452 0.00*** 0.534** 
Security 4.483 5.174 1.48 1.29 -5.01 452 0.00*** 0.510** 
Prestige 5.016 5.655 0.95 0.91 -6.81 452 0.00*** 0.693** 
Autonomy 5.869 5.869 0.78 0.96 0.01 452 1.00 0.001 
Interaction 6.144 6.373 0.75 0.62 -3.39 452 0.00*** 0.345** 
Serving community 5.495 6.025 0.91 0.89 -5.82 452 0.00*** 0.593** 
Stress 4.612 4.295 1.16 1.29 2.48 452 0.01* 0.253* 
Responsibility 6.265 6.275 0.63 0.63 -0.16 452 0.87 0.016 
Future prospects 6.119 6.371 0.70 0.62 -3.83 452 0.00*** 0.390* 

(*p < 0.05; **p < 0.01; ***p < 0.001) (* small 0.2 < d < 0.5; ** medium 0.5 < d < 0.8; *** large d > 0.8) 

Black students reported means of 6.20 for Imaginative and 6.37 for Interaction.  White 
students on the other hand reported significantly lower means of 5.83 and 6.14 for 
Imaginative and Interaction respectively. This finding suggests that Black students perceived 
that owning their own business would require creative thinking to perform activities 
(Imaginative), that they worked closely with others and that they were people-orientated, 
more so than White students.  

A significant difference also existed between the mean scores reported by White and Black 
students for the work values Time (p < 0.05; Cohen’s d 0.220) and Stress (p < 0.05; Cohen’s 
d 0.253). In this case, however, White students reported significantly higher mean scores for 
Time (4.99) and Stress (4.61) than Black students who reported mean scores of 4.72 and 
4.30 respectively for these factors. White students perceived that owning their own business 
would allow them to maintain a balance between work and leisure time (Time), more so than 
Black students did. White students perceived that their own business would be a source of 
worry and pressure, more so than Black students did. 

For the student sample, the null hypothesis can thus be rejected in favour of the alternative 
for the work values Time, Flexibility, Imaginative, Security, Prestige, Interaction Serving 
community, Stress and Future prospects, but cannot be rejected for the other work values 
investigated in this study. 

 

DISCUSSION 

The primary objective of this study was to establish whether the perceptions of desirability 
that women and Black individuals have of an entrepreneurial career differ from those of 
White males. These differences were established in terms of the fourteen workplace values 
identified by Farrington et al. (2011) among both students of Business Management and 
existing small business owners. 



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A significant relationship between the gender of the small business owner and the work 
values Flexibility and Autonomy is reported in this study. Female small business owners 
perceived that having their own business allowed them autonomy and independence as well 
as freedom to vary activities and regulate working hours, more so than males did. Given the 
household and child-rearing responsibilities which still dominate for most women, having 
one’s own business would allow them greater flexibility and autonomy to meet these 
commitments.  Men, on the other hand, are less likely to see themselves as being 
responsible for household and child-rearing duties, but are more likely to see their role as 
one of providing for their families – thus creating the perception that having their own 
business would require more work and less flexibility in order to meet these commitments. 
With regard to the student sample, Time was the only work value that was influenced by 
gender. Male students were under the impression that owning their own business would 
allow them to maintain a balance between work and leisure time, more so than female 
students did. This opinion changes over time, as can be seen from the business owner 
results. 

The findings of this study suggest that Black respondents perceived that owning their own 
business provided them with a regular income and secure employment, as well as the 
opportunity to grow personally and professionally, more so than White respondents did. In 
addition, Black respondents perceived that owning their own business earned them respect 
and approval and gave them opportunities to serve the community, more so than their White 
counterparts perceived. White small business owners perceived that their own business was 
a source of worry and pressure, more so than Black respondents did. 

Black students perceived that owning their own business would provide a regular income 
and secure employment, as well as the opportunity to grow personally and professionally, 
more so than White students did. The findings also suggests that Black student perceived 
that owning their own business would earn them respect and approval, and would provide 
them with an opportunity to serve the community, more so than their White counterparts did. 
Black students perceived that owning their own business would require creative thinking to 
perform activities, working closely with others, and be people-orientated, more so than White 
students did. White students perceived that owning their own business would allow them to 
maintain a balance between work and leisure time, more so than Black students did. 
However, White students also perceived that their own business would be a source of worry 
and pressure, more so than Black students did. 

 

IMPLICATIONS 

Studies report that males and particularly White males are more inclined towards 
entrepreneurship than females. The reasoning behind undertaking this study was that if 
differences in perceptions of self-employment could be identified, possible explanations 
could be forthcoming with regard to why certain groups are more likely to embark on 
entrepreneurial careers than others. The results of this study show, however, that with the 
exception of perceptions relating to Flexibility, Autonomy and maintaining a balance between 
work and leisure time (Time), males and females do not differ in their perceptions of what an 
entrepreneurial career could be like (for students) or is (for small business owners). Female 
small business owners associated higher levels of Flexibility and Autonomy with self-
employment than their males counterparts did. Given that more men embark on 
entrepreneurial careers than women, but women perceived these benefits more than men 
did, it can be assumed that the way the different gender groups perceive self-employment is 
not a factor influencing their choice of pursuing an entrepreneurial career. Considering the 
household and child-rearing responsibilities of most women, one would expect self-
employment to attract women to such a career. However, the perceptions relating to 



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Flexibility and Autonomy differed only between male and female small business owners, and 
not between male and female students. This could imply that only through the experience of 
self-employment would women be aware of this advantage. With an increasing number of 
women embarking on entrepreneurial careers (De Bruin et al., 2006; Kakkonen, 2010), it is 
assumed that as the word spreads among the female community, women will become more 
aware of the advantages of flexibility and autonomy experienced when self-employed.  

Interestingly, male students perceived that self-employment would allow them time to 
maintain a balance between work and leisure (Time), more so than female students did. A 
possible explanation for this finding is that male students perceive time not at work as leisure 
time, whereas because of anticipated household and childrearing responsibilities, female 
students do not necessarily regard all time not at work as leisure time. According to 
Langowitz and Minniti (2007:341, 347), men tend to perceive the entrepreneurial 
environment in a more positive light than do women. The results of this study, however, 
show that women are more positive in terms of the flexibility and autonomy of self-
employment, whereas men are more positive in terms of the leisure time that self-
employment will permit.  Unfortunately the findings of this study do not offer an explanation 
as to why more males are likely to become entrepreneurs than females, only that 
explanations should be sought elsewhere. 

The results of this study show that Black small business owners and Black student 
respondents scored higher mean scores than White respondents for the majority of work 
values investigated in this study. This seems to suggest that Black respondents perceive an 
entrepreneurial career more positively than White respondents do, specifically in terms of 
Flexibility, Security, Future prospects, Prestige, opportunity to serve the community (Serving 
the community) and stress levels (Stress). In addition, Black students believe that self-
employment will allow for greater imagination and interaction with others, than White 
students do. Despite the more positive perception of self-employment among Black 
repondents, the GEM survey suggests that Black individuals, and in particular Black South 
Africans, are less likely than White South Africans to embark on an entrepreneurial career 
(Herrington et al., 2010).  This raises the question of whether the perception of, or the 
attitude towards, an entrepreneurial career is a factor contributing to the low levels of 
entrepreneurial activity among Black individuals in South Africa. Should an explanation 
rather not be sought from the other determinants of intentions, as implied by the theory of 
planned behaviour? Another possible explanation for the low levels of entrepreneurial 
activity among Black South Africans is the many opportunities now available to them in the 
corporate and government sector as a result of affirmative action and employment equity.  
Future studies could shed light on this aspect. 

In their study, Köllinger and Minniti (2006:72) also reported that Black individuals perceive 
themselves and their entrepreneurial environment in a much more optimistic light than 
Whites do, despite Black entrepreneurs being more likely to fail than Whites in the early 
stages of the entrepreneurial process (Köllinger & Minniti, 2006:61). According to Köllinger 
and Minniti (2006:75), high levels of confidence and optimistic perceptions of 
entrepreneurship in the face of high failure rates suggest that the subjective perceptions of 
Black Americans tend to be biased towards over-optimism, more so than the perceptions of 
Whites. Given their findings, Köllinger and Minniti (2006:61) conclude that constraints and 
not preferences are behind racial differences in business ownership. Black individuals 
embarking on entrepreneurial careers face numerous constraints, such as discrimination and 
lack of access to finance, as well as lack of business and managerial skills. The identification 
of these constraints is of utmost importance if solutions are to be found and entrepreneurial 
activity among Black individuals in South Africa is to be enhanced. 

Furthermore, the Government and policy-makers should take cognisance of the results of 
this study, and future efforts to encourage entrepreneurship should not only focus on 



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creating a positive perception of self-employment as a career, but also on facilitating an 
enabling environment for prospective women and Black entrepreneurs.  

 

LIMITATIONS AND FUTURE RESEARCH 

As in all studies of an empirical nature, the findings of this study should be interpreted in the 
light of several limitations. The use of a convenience and judgemental sampling technique is 
a limitation of this study. Non-probability sampling introduces a source of potential bias into a 
study, and consequently the findings cannot be generalised to the general population. 
Future research should strive to develop a more comprehensive database from which 
probability samples can be drawn.  

Another limitation of this study is that the data collected relied on one-time individual self-
report measures to assess constructs. Self-reporting potentially leads to common method 
bias. However, Meade, Watson and Kroustalis (2007) are of the opinion that the use of 
common assessment methods does not necessarily lead to the problem of common method 
bias, and in many cases common method bias may be small and will not necessarily 
jeopardise the validity of the results. It is, however, acknowledged that common method bias 
could have influenced the results of this study.  

The results of this study show that statistically significant differences exist between males 
and females as well as between White and Black respondents regarding how an 
entrepreneurial career is perceived. However, given the small to medium-size effect as 
determined by Cohen’s d statistics, it is questionable whether these differences in 
perceptions are large enough to have an effect in practice (Ellis & Steyn, 2003:51). The 
findings of this study should be interpreted in light of the levels of practical significance 
reported. 

Given the importance of entrepreneurship to the economies of countries, it would be useful 
to replicate this study throughout South Africa among the general working population, in an 
attempt to establish the perceptions of an entrepreneurial career on a broader scale. 
Investigating relationships between the various work values and entrepreneurial intentions 
could also provide some valuable insights into why more South Africans are not 
entrepreneurial. Whether other demographic factors such as socio-economic status, age and 
having entrepreneurial parents influence the perception of an entrepreneurial career, is also 
worth further investigation. Furthermore, the significant differences reported in this study 
concerning how the different ethnic groups perceive an entrepreneurial career suggest a 
need for more cross-cultural research relating to entrepreneurial activity in South Africa. 

Despite the limitations identified, this study has added to the field of entrepreneurship 
research and has provided valuable insights into how existing and potential entrepreneurs 
from different gender and ethnic groups perceive an entrepreneurial career. 

 

REFERENCES 

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Ajzen, I. 1985. From intentions to actions: A theory of planned behaviour. In Kuhi, J. & 
Beckman, J. Eds. 1985. Action control: From cognition to behaviour. Heidelberg: 
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Ajzen, I. 1991. The theory of planned behavior. Organizational Behavior and Human 



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Decision Processes, 50:179-211. 

Ajzen, I. 2006. Behavioral interventions based on the theory of planned behavior. [Online] 
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Autio, E., Keeley, R.H., Klofsten, M. & Ulfstedt, T. 1997. Entrepreneurial intent among 
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