A policy framework for an improved impact of entrepreneurial initiatives on poverty alleviation in rural communities: the case of Bushbuckridge Local Municipality.

Abstract

The purpose of the study was to investigate the role of rural entrepreneurship in poverty alleviation in rural communities, as well as the entrepreneurial framework conditions in rural communities, and to propose a policy framework for improving the impact of entrepreneurial initiatives on poverty alleviation in rural communities in the Bushbuckridge Local Municipality. While entrepreneurship is increasingly recognised as a critical force for economic growth and poverty alleviation, rural communities such as Bushbuckridge face significant barriers to thriving entrepreneurial ventures. These challenges include a lack of financial resources, inadequate infrastructure, low levels of education and skill, and poor market connections. The methodology used is a qualitative research method, which includes interviews with local entrepreneurs and municipal officials. A thematic analysis was conducted to investigate the key issues influencing entrepreneurship in the municipality. The main findings show that entrepreneurship in Bushbuckridge is hampered by issues such as limited market access, a lack of skill training, and a lack of specific policies and support mechanisms for rural entrepreneurs, which is a critical deficiency that must be addressed. Nonetheless, there is growing interest in sectors such as agriculture, tourism, and small-scale manufacturing as potential areas for entrepreneurship. Furthermore, community networks and social capital are recognised as critical components for success in rural entrepreneurial ventures. Based on these findings, the study concludes that a cohesive policy framework that includes improved access to finance, tailored skill development initiatives, infrastructure improvements, and increased government support is critical for fostering entrepreneurship in Bushbuckridge. Key recommendations include establishing local business incubation centres, collaborations with private sector entities to promote financial inclusion, targeted educational initiatives, and the development of a more favourable regulatory environment for small businesses.