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Service provision for street-based traders in Pietermaritzburg, KwaZulu-Natal: comparing local findings to lessons drawn from Africa and Asia

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  • Andrea Mayrhofer
  • Sheryl Hendriks

Abstract

South Africa's informal economy absorbs approximately one-quarter of the labour force of 15 million people and is therefore the fastest growing sector of employment. Street-based trading constitutes a major subsector within the informal economy and is continuously expanding through unrelenting proliferation of survivalist micro-enterprises. However, few organisations that support enterprises are accessible or appropriate to survivalist and informal sector micro-enterprises. Interviews were conducted with 98 Pietermaritzburg street-based traders and ten KwaZulu-Natal service providers to determine service provision requirements. The results are compared with findings of four international studies. The findings suggest that for survivalist enterprises to benefit from entrepreneurial education and training services, obstacles with regard to South African traders' understanding of entrepreneurship and cultural limitations to enterprise growth should be overcome. Service institutions also require incentives to serve the informal sector, as well as the capacity to design and deliver appropriate services.

Suggested Citation

  • Andrea Mayrhofer & Sheryl Hendriks, 2003. "Service provision for street-based traders in Pietermaritzburg, KwaZulu-Natal: comparing local findings to lessons drawn from Africa and Asia," Development Southern Africa, Taylor & Francis Journals, vol. 20(5), pages 595-604.
  • Handle: RePEc:taf:deveza:v:20:y:2003:i:5:p:595-604
    DOI: 10.1080/0376835032000149243
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    Cited by:

    1. Geyer, M. & Coetzee, H.C. & Plessis, D. du & Donaldson, R., 2011. "Recent business transformation in intermediate-sized cities in South-Africa," Serie Research Memoranda 0005, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.

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