Community entrepreneurship as a tool for community development: A review

Xolani Thusi and Sbonelo Gift Ndlovu
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Xolani Thusi: University of Limpopo
Sbonelo Gift Ndlovu: North-West University

International Journal of Research in Business and Social Science (2147-4478), 2025, vol. 14, issue 7, 658-667

Abstract: South Africa is a developing country characterised by a high rate of unemployment. Unemployment is more prevalent among women and the youth, as they comprise a larger population in South Africa. This has created a higher demand for public services, burdening the government’s ability to provide services. Promotion and funding of community entrepreneurship can ensure that local communities are given the required skills and support to start their businesses to support their families while creating an impact in society. South Africa has many informal businesses in which community members operate, and street vendors are the noted portion that constitutes this informal trading in South Africa. This paper seeks to analyse how the government can implement local economic development (LED) initiatives in a way that promotes and encourages community entrepreneurship. The local government is a sphere closer to the people and is entrusted with implementing LED initiatives in South Africa. The local government has a vital role to play, but it has not done enough to enhance community entrepreneurship in local communities. Based on this premise, this paper will also analyse the key challenges the local government faces in ensuring that community entrepreneurship is encouraged and promoted. This paper is timely. Therefore, the country is currently faced with a higher unemployment rate, which is mostly prevalent among women and the youth, and effective LED initiatives can promote community entrepreneurship in local communities for the betterment of citizens’ lives. Key Words: Entrepreneurship; Community; Government; LED; South Africa

Date: 2025
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