Description
Women Driven Entrepreneurship Within The Information And Communication Technology Sector
WOMEN-DRIVEN ENTREPRENEURSHIP WITHIN THE INFORMATION AND
COMMUNICATION TECHNOLOGY SECTOR: A GROUNDED ANALYSIS OF
SMALL, MICRO, AND MEDIUM ENTERPRISES IN THE EASTERN CAPE
PROVINCE
by
NALEDI SEKELENI
submitted in accordance with requirements for the
degree of
DOCTOR OF LITERATURE AND PHILOSOPHY
In the subject of
COMMUNICATION SCIENCE
at the
UNIVERSITY OF SOUTH AFRICA
PROMOTER: Dr N. C. Lesame
June 2014
ii
DECLARATION
Student number: 07383312
I declare that WOMEN-DRIVEN ENTREPRENEURSHIP WITHIN THE INFORMATION
AND COMMUNICATION TECHNOLOGY SECTOR: A GROUNDED ANALYSIS OF
SMALL, MICRO AND MEDIUM ENTERPRISES IN THE EASTERN CAPE PROVINCE
is my own work and that all sources that I have used or quoted have been indicated and
acknowledged by means of complete references.
Signature Date: June 2014
(Miss N. Sekeleni)
iii
DEDICATION
I dedicate this thesis to my mother, who has given me unwavering support and for all
her sacrifices while making every effort that enables me constantly to accomplish my
academic success.
?Diba, Ngqolomsila, Yemyem! ...nangamso nkosazana?.
iv
ACKNOWLEDGEMENTS
I wish to thank the following people who assisted and supported me with the completion
of this thesis.
1. My supervisor, Dr N. C. Lesame, my sincere gratitude for your endless
patience, motivation, support, and academic guidance during my candidature.
Thank you for keeping me going through this process. Lastly, thank you for
your extensive investment in my professional development during of my
academic career.
2. Quantitative data and statistical specialist, Dr M. Pohl, who provided
professional expertise on quantitative data analysis.
3. Mr André Hills for editing the thesis.
4. Mr David Wigston who assisted with the graphic illustrations.
5. I wish to thank the University of South Africa (UNISA) for funding my studies.
6. The women entrepreneurs who participated in this research study and who
assisted me towards completing this project. I am extremely grateful to you all
for your time.
7. The business community – Nelson Mandela Bay Business Chamber, Business
Women‘s Association (BWA), Eastern Cape Development Corporation (ECDC),
Small Enterprise Development Agency (SEDA), Eastern Cape Information
Technology Initiative (ECITI), and provincial government departments – that
afforded me access to their databases and private ICT enterprises that referred
me to the right people to participate.
8. The Media, Information, and Communication Technologies Sector Education
and Training Authority (MICTSETA) for granting me permission to use their
figures and tables.
v
9. Provincial government departments who assisted with providing documents and
information about the Eastern Cape Province ICT sector.
10. Dr N. P. Mpako, for the motivation that inspired me to aim for the stars even
when it was inconceivable in my mind. I am forever indebted to you.
11. Ms Linda Koni, thank you for your spiritually words of encouragement and
random conversations that invigorated me to finish this project.
12. Special thanks to my family, particularly my son, Wam, also an entrepreneur
who was there to support my business when I had to dedicate time to this
project. Yoleka, you have been a continual source of support. Vuyo, you
believed in me and assisted me to the finish line and for that I am forever
grateful. Last but not least, to my grandchildren Liyana, Libulele, and Alizwa
who could not enjoy having a grandmother around. I apologise and give you my
word that I will be at the next picnic you arrange. I love you all.
13. Finally, thank you to my friends and colleagues who expressed interest in the
research and provided encouragement during its completion.
vi
ABSTRACT
The thesis is a grounded analysis that seeks to understand small, micro, and medium
enterprises (SMME) in the ICT sector that are particularly driven by women
entrepreneurs in the Buffalo City and Nelson Mandela metropolitan municipalities of the
Eastern Cape Province. Small businesses in the ICT sector owned and driven by
women are still an understudied topic in South Africa, since there is not much literature
that covers the topic from either a quantitative, or a qualitative perspective. The Eastern
Cape Province is not an exception to the dearth of literature that focuses on SMME
women-driven entrepreneurship in the ICT sector.
The research interest of this research project emphasises the gap pertaining to the
unavailability of gender-disaggregated data that indicates, for example: i) The number
of women-owned ICT enterprises; ii) The nature of women-driven entrepreneurial
activity in the ICT sector; iii) Evidence of how competitive women-owned ICT
enterprises are; iv) Sustainable job creation by these ICT enterprises; iv) Availability of
women with ICT skills; and v) Women who are occupying ICT core positions.
These factors strengthen the case for employing a grounded approach to explore this
substantive area of investigation.
The researcher has no doubt that this study is one of the first studies to examine
women-driven entrepreneurship of SMMEs in the ICT sector of the Eastern Cape
Province, hence the adoption of a Multi-Grounded Theory (MGT) approach. This
methodology is anchored in a qualitative approach that explores this phenomenon
about which little is known. A moderate constructivist and interpretive approach guided
by the voices of women entrepreneurs was employed to provide a meaningful account
that added depth and breadth to the description and explanation of the status quo in
relation to women-driven entrepreneurship in SMMEs.
Emerging data from in-depth interviews conducted with 12 SMME women
entrepreneurs and two experts from the ICT industry was matched with the two theories
of entrepreneurship and cyberfeminism. These theories provided a theoretical lens
vii
through which data could be analysed and interpreted. This empirical and theory driven
approach assisted in grounding the substantive theory.
The research objectives provided answers to the empirical research questions that
sought to gain an in-depth understanding of women entrepreneurs‘ perspective about: i)
Conceptualisation of entrepreneurship and ICT technology as a concept; ii)
Conceptualisation of the ICT sector; iii) The perceived importance of the ICT sector as
an enabler in promoting SMME women-driven entrepreneurship; iv) How SMME women
entrepreneurs use ICT as a core product and service; and v) The role played by
government and the private sector in promoting SMME women-driven entrepreneurship
in the ICT sector of the Eastern Cape Province.
The findings uncovered concerns that women entrepreneurs perceived as having an
influence on women-driven entrepreneurship. The findings included the manner in
which women entrepreneurs responded to these issues.
The findings for example, highlighted gender sensitivity issues which were of great
concern to women entrepreneurs. Gender discrimination was amongst the key issues
identified that lead to women‘s marginalisation inside the ICT sector, this entailing: i)
ICT underrepresentation in core ICT environments; ii) Inaccessible tender opportunities;
iii) Inaccessible funding; iv) Limited ICT knowledge and skills; and v) Lack of technical
support.
Considering the fact that SMME women-driven entrepreneurship within the ICT sector
is on the radar screen of both government and the private sector‘s developmental
agenda, the gap in research and literature presented a case that the study intended to
address by developing a substantive theory which could contribute toward the
transformative change in SMME women-driven entrepreneurship in the ICT sector of
the province.
viii
KEY TERMS
Information and Communication Technology; Small, Micro, and Medium Enterprises;
Entrepreneurship; Cyberfeminism; Multi-Grounded Theory.
ix
LIST OF ABBREVIATIONS
ASGISA : Accelerated and Shared Growth Initiative for South Africa
ADSL : Asymmetric Digital Subscriber Line
BCG : Boston Consulting Group
B-BBEE : Broad-based Black Economic Empowerment
BEE : Black Economic Empowerment
B2B : Business to Business
CAGR : Compounded Annual Growth Rate
COSATU : Congress of South African Trade Unions
DBSA : Development Bank of South Africa
DDMA : Digital Media and Marketing Association
DoC : Department of Communications
DSL : Digital Subscriber Line
DTI : Department of Trade and Industry
ECDC : Eastern Cape Development Corporation
ECITI : Eastern Cape Information Technology Initiative
E-commerce : Electronic commerce
GEM : Global Entrepreneurship Monitor
GEMS : Global Entrepreneurship Monitor Survey
GCIS : Government Communications and Information Services
x
GDP : Gross Domestic Product
GT : Grounded Theory
GSM : Group Spécial Mobile or Global System for
Mobile Communications
ICASA : Independent Communications Authority of South Africa
ICT : Information and Communication Technology
ICTs : Information Communication Technologies
IP : Internet Protocol
JIPSA : Joint Initiative on Priority Skills Acquisition
KIS : Knowledge intensive services
LED : Local Economic Development
LLU : Local Loop Unbundling
LTE Long-Term Evolution
MGT : Multi-Grounded Theory
MICTSETA : Media, Information, and Communication Technologies
Sector Education and Training Authority
MTN : Mobile Telephone Networks
NQF : National Qualifications Framework
OECD : Organisation of Economic Cooperation and Development
SAEEC : South African Electro-technical Export Council
xi
SAITIS : South African Information Technology Industry Strategy
SAP : Systems Application Protocol
SETA : Sectoral Education and Training Authority
SEDA : Small Enterprise Development Agency
SARS : South African Revenue Services
SMME : Small, Medium, and Micro Enterprise
StatsSA : Statistics South Africa
UN : United Nations
UNISA : University of South Africa
VANS : Value-added Network Service Providers
WEF : World Economic Forum
WiFi : Wireless Fidelity
VNI : Virtual Networking Index
VoIP : Voice over Internet Protocol
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TABLE OF CONTENTS
DECLARATION ...................................................................................... ii
DEDICATION ..................................................................................... iii
ACKNOWLEDGEMENTS ..................................................................................... iv
ABSTRACT ..................................................................................... vi
CHAPTER 1
OVERVIEW OF THE STUDY ...................................................................................... 1
1.1 INTRODUCTION ...................................................................................... 1
1.2 THEORETICAL BACKGROUND OF THE STUDY ........................................ 2
1.2.1 South Africa‘s ICT sector ................................................................... 5
1.2.2 The Eastern Cape Province ICT sector ........................................... 30
1.3 AIM OF THE STUDY .................................................................................... 31
1.4 RESEARCH OBJECTIVES .......................................................................... 32
1.5 RESEARCH INTEREST ............................................................................... 33
1.6 THE RESEARCH QUESTIONS ................................................................... 34
1.7 PHILOSOPHICAL POSITION ...................................................................... 34
1.8 EPISTEMOLOGICAL ORIENTATION ......................................................... 35
1.9 METHODOLOGICAL ASSUMPTIONS ........................................................ 38
1.10 SUMMARY .................................................................................... 41
1.11 OUTLINE OF CHAPTERS ........................................................................... 41
CHAPTER 2
CONCEPTUAL AND OPERATIONAL DEFINITIONS .............................................. 44
2.1 INTRODUCTION .................................................................................... 44
2.2 ICT SECTOR .................................................................................... 44
2.3 INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) ................ 45
2.4 SMALL, MICRO, AND MEDIUM ENTERPRISES (SMMEs) ........................ 46
2.5 SMME WOMAN ENTREPRENEUR ............................................................. 47
2.6 ICT ENTERPRISE .................................................................................... 47
2.7 ENTREPRENEURSHIP ............................................................................... 48
2.8 CYBERFEMINISM .................................................................................... 49
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2.9 THE INFORMATION AND COMMUNICATIONS TECHNOLOGY SECTOR
INDUSTRIAL DEVELOPMENT FRAMEWORK (SAITIS) ............................ 50
2.10 THE EASTERN CAPE ICT STRATEGY ...................................................... 51
2.11 THE ICT CHARTER .................................................................................... 51
2.12 SUMMARY .................................................................................... 53
CHAPTER 3
LITERATURE REVIEW ............................................................................................ 54
3.1 INTRODUCTION .................................................................................... 54
3.2 THEORETICAL FOUNDATION OF THE STUDY ........................................ 55
3.2.1 Cyberfeminism ................................................................................. 56
3.2.2 Entrepreneurship ............................................................................. 63
3.3 SKILLS SHORTAGE AND IMPACT ON THE ICT ENTERPRISE ............... 81
3.4 SMME WOMEN-DRIVEN ENTREPRENEURSHIP AND ITS
SIGNIFICANCE IN THE ICT SECTOR ........................................................ 85
3.4.1 Why women empowerment in the ICT sector is important ............... 85
3.5 THE IMPACT OF CORRUPTION IN RELATION TO WOMEN-DRIVEN
ENTREPRENEURSHIP ............................................................................... 93
3.6 SUMMARY .................................................................................... 97
CHAPTER 4
RESEARCH METHODOLOGY ................................................................................. 98
4.1 INTRODUCTION .................................................................................... 98
4.2 RESEARCH AIMS .................................................................................... 99
4.3 RESEARCH QUESTIONS ........................................................................... 99
4.4 RESEARCH DESIGN ................................................................................. 100
4.5 SECTION A: DATA COLLECTION ............................................................ 104
4.5.1 Selection of participants ................................................................. 104
4.5.2 Sampling procedures ..................................................................... 108
4.6 SECTION B: DATA COLLECTION PROCEDURES ................................. 112
4.6.1 Interview guide ............................................................................... 112
4.6.2 Interview Instruments ..................................................................... 115
4.6.3 Procedure for conducting interviews .............................................. 118
xiv
4.7 SUMMARY……………………………………………………………………….. 120
CHAPTER 5
DATA ANALYSIS PROCEDURE ........................................................................... 121
5.1 INTRODUCTION .................................................................................. 121
SECTION A:
5.2 PHASE ONE: THEORY GENERATION- EMPIRICALLY DRIVEN
ANALYSIS (INDUCTIVE) - EXPLAINED ................................................... 123
5.2.1 Inductive coding ............................................................................. 122
5.2.2 Conceptual refinement ................................................................ 130
5.2.3 Pattern coding .............................................................................. 131
5.3 PHASE TWO: EXPLICIT GROUNDING - THEORY DRIVEN
ANALYSIS (DEDUCTIVE) - EXPLAINED .................................................. 132
5.3.1 Explicit grounding ....................................................................... 132
5.3.1.1 Theoretical matching ...................................................................... 132
5.3.2 Explicit empirical validation ............................................................ 133
5.3.3 Evaluation of theoretical cohesion ................................................. 133
5.3.4 Theory condensation…………………………………………………..133
5.4 PHASE THREE: RESEARCH QUESTION, REFLECTION,
AND REVISION - EXPLAINED ................................................................. 134
5.4.1 Research question ...................................................................... 134
5.4.2 Reflection and revision .......................................... 134
SECTION B:
5.5 APPLICATION: PHASE ONE - THEORY GENERATION
EMPIRICAL (INDUCTIVE) ............................................................. 136
5.5.1 Analysis of closed-ended questions and open-ended questions ... 135
5.5.2 Conceptual refinement ................................................................... 188
5.5.3 Patten coding ................................................................................. 194
5.6 APPLICATION: PHASE TWO - EXPLICIT GROUNDING (DEDUCTIVE) 200
5.6.1 Theoretical matching ..................................................................... 200
5.6.1.1 Cyberfeminism .............................................................................. 200
5.6.1.2 Entrepreneurship ........................................................................... 213
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5.6.2 Document Analysis ........................................................................ 216
5.6.2.1 The Eastern Cape ICT Strategy (2009-2014) ................................. 216
5.6.2.2 The ICT sector code for BEE score card point system ................... 218
5.7 THEORY CONDENSATION ....................................................................... 222
5.8 LIMITATIONS OF THE RESEARCH DESIGN ........................................... 226
5.9 CRITICAL EVALUATION OF RESEARCH METHODOLOGY .................. 227
5.10 SUMMARY .................................................................................. 230
CHAPTER 6
RESEARCH FINDINGS, ANALYSIS OF FINDINGS, AND
RECOMMENDATIONS .......................................................................................... 231
6.1 INTRODUCTION .................................................................................. 231
6.2 ANALYSIS OF FINDINGS ......................................................................... 231
6.2.1 Recognising gender-based discrimination ..................................... 231
6.2.2 Responding to gender-based discrimination .................................. 241
6.3 STUDY RECOMMENDATIONS ................................................................. 245
6.4 CONTRIBUTION OF THE STUDY TO THE FIELD OF
COMMUNICATION SCIENCE ................................................................... 248
6.5 CONCLUSIONS .................................................................................. 249
SOURCES CONSULTED .................................................................................. 251
APPENDIX A: CONSENT FORM .......................................................................... 287
APPENDIX B: REQUEST TO THE ORGANISATION TO
ACCESS DATABASE ................................................................................ 290
APPENDIX C: INVITATION: PARTICIPATION IN RESEARCH STUDY .............. 292
APPENDIX D: EMAIL APPROVAL FROM MICTSETA TO USE
ITS GRAPHICAL USER INTERFACE (GUI) INFORMATION ................... 294
APPENDIX E: INTERVIEW GUIDE FOR INDIVIDUAL INTERVIEWS ................. 295
APPENDIX F: INTERVIEW GUIDE FOR PRIVATE SECTOR EXPERT .............. 301
APPENDIX G: INTERVIEW GUIDE FOR GOVERNMENT SECTOR EXPERT .... 307
APPENDIX H: APPROVAL BY THE ETHICS REVIEW COMMITTEE OF
THE COLLEGE OF HUMAN SCIENCES AT
THE UNIVERSITY OF SOUTH AFRICA .................................................... 313
xvi
APPENDIX I: SAMPLE INTERVIEW 1 TRANSCRIPT – EARLY
CODING LINE-BY-LINE............................................................................. 314
APPENDIX J TABLE 1: SAMPLE – INTERVIEW PERSONAL NOTES ......... 323
APPENDIX J TABLE 2: SAMPLE PRE-DATA COLLECTION ....................... 323
APPENDIX K TABLE 1: SAMPLE METHODOLOGICAL MEMO –
PRE-DATA COLLECTION ......................................................................... 324
APPENDIX K TABLE 2: METHODOLOGICAL MEMO –
INTERVIEW – BEFORE AND AFTER.........................................................325
APPENDIX K TABLE 3: SAMPLE MEMO – EARLY OPEN CODING ............ 326
APPENDIX L: THE EMERGING CORE CATEGORIES ....................................... 327
APPENDIX M: THE MICTSETA SIC CODE LIST ................................................. 334
APPENDIX N: ANALYSED OPEN-ENDED QUESTIONS ............................335-356
APPENDIX O: CONCEPTUAL REFINEMENT – DEPICTING THE
REFINEMENT OF CATEGORIES AND CONCEPTS GENERATED
FROM OPEN-ENDED QUESTIONS........................................................................357
APPENDIX P: FIRST ILLUSTRATION OF BUILDING CATEGORICAL
STRUCTURES..............................................................................................384
xvii
LIST OF FIGURES
Figure 3.1: Types of different technical skills required in the ICT sector ................... .82
Figure 3.2: National ICT priority skills 2009 – 2011 .................................................... 83
Figure 3.3: Types of different skills required by small business in
the ICT sector ........................................................................................... 84
Figure 3.4: Number of employees in the MICT sector segmented
by gender (2012) ...................................................................................... 89
Figure 3.5: Gender distribution of employees (2012) ................................................. 92
Figure 4.1: Core tenants of an MGT research design – SMME Women-Driven
Entrepreneurship Substantive Theory: data collection and analysis
(empirically-driven and theory-driven) .................................................... 103
Figure 4.2: Theoretical sampling from Interview 1 to 14 ........................................... 110
Figure 5.1: Iterative process of data collection and analysis
to produce substantive theory ................................................................ 121
Figure 5.2: Iterative process of transcribing ............................................................. 123
Figure 5.3: Interview 1: Q 14 – Relationships between selected
statements defining entrepreneurship .................................................... 127
Figure 5.4: Demonstration of iterative process of giving meaning to concepts.........129
Figure 5.5: Ages of the participants .......................................................................... 136
Figure 5.6: Participants‘ race groups ........................................................................ 137
Figure 5.7: Position of the women in the ICT business.............................................139
Figure 5.8: The SMMEs‘ business models................................................................140
Figure 5.9: The SMMEs‘ market segments...............................................................142
Figure 5.10: Number of years the SMMEs had been in business...............................142
Figure 5.11: Number of employees at the businesses................................................143
Figure 5.12: Interview 1: Q14 relationship between selected statements...................146
Figure 5.13: Second illustration of building categorical structure................................199
Figure 5.14: A graphic representation of theoretical model: Business Gender-
Based Discrimination in the ICT SMME sector.......................................225
xviii
LIST OF TABLES
Table 1.1: Contribution of the Internet to GDP growth.................................................8
Table 1.2: Subscribers (millions) and market share...................................................12
Table 1.3: Key performance indicators as of September 2012 for the
South African telecommunications industry..............................................13
Table 1.4: Internet access in South Africa at the end of 2010...................................15
Table 1.5: Demand for the top twelve scarce skills
(potential vacancies – occupations) in the electronic media
and film sub-sector....................................................................................19
Table 1.6: Demand for the top twelve scarce skills
(potential vacancies – occupations) in the electronics sub-sector............20
Table 1.7: Demand for the top twelve scarce skills
(potential vacancies – occupations) in the information
technology sub-sector...............................................................................21
Table 1.8: Demand for the top twelve scarce skills
(potential vacancies – occupations) in the in the
telecommunications sub-sector.................................................................21
Table 5.1: Early open codes – Definition of entrepreneurship provided
in Interview 8: Q14..................................................................................125
Table 5.2: Q 14 Constant comparison between statements –
Definition of entrepreneurship.................................................................127
Table 5.3: Conceptual ordering of statements – entrepreneurship
development from the interview with a government expert.....................128
Table 5.4: Education qualifications of participants...................................................138
Table 5.5: SMME ownership status of the participant..............................................138
Table 5.6: Types of SMMEs owned by participants.................................................139
Table 5.7: Services offered by SMMEs....................................................................141
Table 5.8: Size categories of enterprises.................................................................143
Table 5.9: Education qualifications of the SMME employees..................................144
Table 5.10: The SMME annual turnover (in millions).................................................144
Table 5.11: Illustration of constant comparison between concepts............................146
xix
Table 5.12: Interview 1: Q14 conceptual ordering of substantive statements...........148
Table 5.13: Abstract A – Conceptual refinement:gender sensitivity..........................190
Table 5.14: Abstract B – Conceptual refinement: corruption.....................................193
Table 5.15: First illustration of building categorical structures...................................197
Table 5.16: Category: women experiencing gender-based discrimination................201
1
CHAPTER 1
OVERVIEW OF THE STUDY
?South Africa is an inclusive information society where ICT-based innovation
flourishes. Entrepreneurs from historically disadvantaged population groups,
rural communities, and the knowledge-intensive industry benefit and
contribute to the well-being and quality of life of our citizens. South Africa has
a strong national ICT brand that captures the vibrancy of an industry and
research community striving for excellence, characterised by innovative
approaches to local and global challenges, and recognised for its
contribution to the economic growth and well-being of our people and
region?.(South African ICT R & D and Innovation Strategy: 2015 ICT Vision
Page 21)
1.1 INTRODUCTION
Notably, the discourse about information communication technology (ICT) inter alia
includes the enabling of access for previously disenfranchised Small, Micro and
Medium Enterprises (SMMEs). particularly Women entrepreneurs, who are the
particular focus of this study, are high on the developmental agenda of both
government (Accelerated and Shared Growth Initiative for South Africa (AsgiSA)
2007:34; Provincial Growth and Development Plan (PGDP) 2004-2014:88; Eastern
Cape ICT Strategy 2009-2014: Programme 2, Strategy 1; South African Information
Technology Industry Strategy (SAITIS) 2000 Chapter 2; Department of Trade and
Industry (DTI); National Industry Policy Framework (NIPF) 2007:33-35; South
Africa1996; Section 2) and the business community (Broad-Based Black Economic
Empowerment [B-BBEE] 2005).
There also appears to be general consensus that greater awareness of
entrepreneurship development in the SMME segment of the information and
communication technologies (ICT) sector needs to be created with the purpose of
encouraging increased participation of SMMEs in the economic mainstream (South
2
Africa1996 Section 2; Media, Information and Communication Technologies Sector
Education and Training Authority (MICTSETA 2012). Such increased participation
should take into consideration the various opportunities for new business innovations
(Eastern Cape ICT Strategy 2009-2014; Department of Communications (DoC)
Strategic Plan 2006:5; Department of Science and Technology 2002) and the
mushrooming of new business innovations that results from the unbundling of services,
which encourages participation at a small scale in the telecommunications industry
(DoC Report 2007). This economic environment inevitably increases job creation
opportunities (Eastern Cape ICT Strategy 2009-2014; Research ICT Africa 2005:51) in
this sector.
This commitment is expressed in various government policy documents and in
partnership with the private sector (Eastern Cape ICT Strategy 2009-2014: Programme
2; Joint Initiative on Priority Skills Acquisition (JIPSA) Annual Report 2008, 2010). The
commitment is supported by the Human Resources Development Council (HRDC), the
World Summit on the Information Society Commitments (2003), and the ISETT SETA
(2007) that proclaim entrepreneurial development gains in the ICT sector through the
effective involvement of sectors and organisations in fast tracking SMME enterprise
development by implementing prioritised skills interventions (Eastern Cape ICT
Strategy 2009-2014) in order to build a substantial base of knowledge workers in the
ICT sector.
1.2 THEORETICAL BACKGROUND OF THE STUDY
In view of the topic, the researcher had regarded it fitting to conduct a preliminary
literature control (Strauss & Corbin 1998:48; Goldkuhl & Cronin 2010) before the
commencement of the data collection process with the view of assisting the researcher
with the development of theoretical sensitivity while contextualising the research topic.
For the reader who is not that familiar with the ICT sector, this preliminary literature
control facilitates an understanding of the technological context. In accordance to
Heeks, Arun and Morgan (2004), this context is influenced by the ?political (government
policy) and economic (markets and suppliers)? structures that impact on the context of
3
ICT enterprises and ?value chain relations? (Porter 1985:34-45) in relation to the
entrepreneurship processes of these enterprises.
"All kinds of literature can be used before a research study is begun? (Strauss & Corbin
1990:56) as long as this is done in a manner that does not allow ?technical literature?
(Strauss & Corbin 1998:35) to block the researcher‘s creativity by getting in the way
of discovery?. This implies selectively choosing relevant literature that enhances
theoretical sensitivity. Strauss and Corbin (ibid) maintain there is no need to review all
of the literature before entering the field (hence the preliminary literature control), since
it is impossible for the researcher to know prior to the investigation what theoretical
concepts would emerge.
A researcher should be mindful not to enter a research field with preconceived thoughts
and should acknowledge that entering a field with a ?tabular rasa" (Glaser & Strauss
1967) is impossible, since any potential researcher is neither an empty vessel, nor a
person with no history or background (cf. Cutcliffe in Dunne 2011). Therefore, the
serious researcher understands that valuable insights and innovative
conceptualisations could only come about following an engagement with the literature
(Bryant 2009). Besides, a researcher cannot pretend to be without preconceptions that
have been forming since the development of the initial research proposal. A researcher
should be ?responsible? (Bruce 2007) enough to acknowledge the impact of theoretical
influences that inform the development of the research questions. Preconceptions are
inevitable but need to be managed (Goldkuhl 2004; Goldkuhl & Cronholm 2010). The
human sciences, the field of this research study, have preconceptions but these
preconceptions should not interfere with the scientific research processes and
procedures.
The preliminary literature control is, therefore, viewed as building ?theoretical sensitivity?
(Strauss 1987:300) and guiding the formulation of the research interest and questions.
It is also conducted to avoid ignorance about the existing body of knowledge, to avoid
the assumption that research with the same focus has not been conducted before in
this substantive area of investigation, and to avoid ?reinventing the wheel? (Goldkuhl &
4
Cronin 2010:191). The researcher sampled related literature about how SMME
women-driven entrepreneurship had been studied before in South Africa and
internationally with the aim of promoting clarity in thinking about key concepts and
central issues, identifying the area of focus previously omitted, and justifying the
research methodology.
This open-minded (Strauss & Corbin 1998:48) approach differs from traditionalist
grounded theorists thinking that advocates the researcher should not investigate the
existing work and research literature most closely related to the research topic (Bryant
2009). For example, Glaser and Strauss (1967:37) in their early writings reject the
imposition of any theoretical framework at the outset. Glaser (1992:31; 1998:67)
considers conducting an early literature review as a ?waste of time? (Glaser & Holton
2007), insisting that a researcher‘s effort to generate categories might get contaminated
and that the literature review should be conducted during the sorting and recording
when it could be woven into the theory for constant data comparison; thus the need for
the ?delay? Charmaz (2006:165). The version of Strauss and Corbin and Corbin (1998;
2008) suited this study better, since the less rigid approach allows the notion of
consulting ?technical literature? (Strauss & Corbin 1990:48-56) prior to gathering
empirical data. The researcher was satisfied that the preliminary literature review did
not influence the inductive process of data collection.
To conclude, a preliminary literature control essentially constitutes the
?contextualisation‘ of the research interest and questions, and a detailed literature
review is conducted at a later stage during the analysis (deductive) process. This is
congruent to Goldkuhl and Cronholm‘s (2010) proposition that an early literature review
should be conducted before collecting empirical data as long as it is done in an
inductive manner that is applicable to grounded theory procedures. This phasing-in
approach is in agreement with Martin‘s (2006) articulated interpretations of the
?noncommittal? phase, during which a researcher develops theoretical sensitivity (pre-
data collection), and the ?integrative? phase, during which a researcher integrates the
emergent theory (inductivism) with pre-existing theories (deductivism) to position the
5
new theory in the context of existing knowledge in order to ground the theory
convincingly.
Dunne (2011) and Bryant (2009) provide a detailed account – that is not discussed in
this study – on the different views held by grounded theorists for or against the use of a
literature review either prior to a study, or later towards its completion. The controlled
literature review examines South Africa‘s ICT sector which includes the
telecommunications industry, the mobile sector, information technology industry,
electronics industry and the Eastern Cape Province ICT sector.
1.2.1 South Africa’s information and communication technology (ICT) sector
The combined value of the ICT sector in South Africa is estimated to be in the region of
R 60 billion. According to a report by Business Monitor International, published by
Frontier Marketing Network (2012), spending on ICT is predicted to rise to R 120 billion
by 2016 and increasing 13 per cent above real GDP growth over the same period.
The sector has been regarded as an ICT Gateway to Africa as far back as 2003
(Goldstuck 2003) based on the increasing number of South African companies
expanding to the continent and the influx of multinationals choosing Africa as a
destination to set up their operations. According to global rankings, however, South
Africa is slipping as an ICT leader. This is affirmed by the 2013 Global Information
Technology Report of the World Economic Forum (WEF). South Africa ranked 70th out
of 144 economies surveyed. The decrease is measured against the Network Readiness
Index (2012) that reports South Africa moving down from position 61 to 72 in
international rankings. These rankings include 142 countries in terms of network
readiness, skills development, access costs, and infrastructure development.
According to a global audit, the other Sub-Saharan regions of Africa are not performing
much better either, as the WEF report suggests that a number of countries in that
region lack ICT connectivity. However, African countries realise that ?ICT is an enabler
of future economic growth? (MTN 2012) and they are rapidly taking advantage of ICT to
transform their economies (Global Information Technology Report 2012).
6
Needless to say, these reports are perturbing news for South Africa, since it
emphasises the absence of a cohesive overarching ICT policy (at the time of
conducting this study) that, according to Chulani (2012), is likely to impact negatively on
the South African ICT sector development strategies in the near term. It is likely that
government departments are going to continue with the establishment of disconnected
projects in this kind of environment. Chulani (2012) reiterates that South Africa has
drastically dropped in comparison with its earlier ranking position in 2002 which was in
the mid-30s and associates the drop to 72 in 2012 to the absence of a policy that
outlines how technology is deployed congruent to the developmental goals of the
country. Contrary to these remarks, there are pockets of significant ICT gains as
demonstrated by specific sub-sectors such as the electronics industries that are doing
reasonably well regardless of the absence of a policy. According to the South African
Electrotechnical Export Council (SAEEC) (2013), the electronics industries are reported
as having a competitive advantage in the local and global markets and are lauded for
their innovativeness in software development that accrues gains from the ICT sector.
1.2.1.1 The telecommunications industry
The total South African telecommunications market grew from R 131 billion in 2007 to R
179 billion in 2010 (DoC 2010:18) and contributes more than 7 per cent to the gross
domestic product (GDP) of the country with approximately 5.5 million installed landline
telephones. Landline operators are Telkom – with a market capitalisation of R 14.7
billion – and the second network operator Neotel that have access to a network of
6 900km of cable across the country and a 500km fibre-optic cable network links 14
central business districts in South Africa and access to all five undersea network cables
that link the continent to West Africa and Europe (Speckman 2012). The latest figures
by SAEEC (2013) report an estimated US$ 42 billion in 2013, with communications
accounting for US$ 27.18 billion while the sector contributes about 8.2 per cent to the
GDP.
South Africa has the most sophisticated telecommunications network that is reported to
be about 99.9 per cent digital with the latest state of the art fixed line, wireless, and
7
satellite communication systems (SAEEC 2013). South Africa has two fixed line
operators namely, Telkom and Neotel. According to the Millennium Development Goals
Report (2010), South Africa is ranked 23rd in telecommunications development in the
world, representing more than 30 per cent of the total lines installed in South Africa and
ranked 34th in the world in terms of fixed line telephony with over 4.3 million fixed line
connections.
The telecommunications industry is rated as one of fastest growing industries and is
characterised by a rapid growth in broadband and mobile telephony with about 46.4
million mobile users registered in 2009. However, the ICT Sector Performance Review
2009 / 2010 reports high prices still plague the industry across a range of services from
mobile voice services to leased lines and broadband, citing the competition amongst
DSL, cable, mobile with DSL, and 3G mobile (Esselaar et al. 2010).
Linked to the high prices is competition which, Goldstuck (2012) states, is lacking in
fixed line broadband (ADSL providers) and is stifling the growth of fixed line broadband
users despite a dramatic rise in fixed-line broadband users in South Africa, from 15 700 in
2003 to 875 000 in 2012. It is expected that improvements will be noticeable in the
reduction of price as broadband becomes more accessible and penetration levels increase
as a result of the passing of Broadband Policy, Strategy, and Plan in parliament and the
ICASA dropping of termination rates.
The Global Information Technology Report (2013) ranks South Africa, using criteria that
examine how importantly a government regards ICT policy:
?The perception of a lack of clear government vision (105th) to orchestrate
and implement a holistic ICT strategy for the country, plays negatively and
outweighs a rather positive political and regulatory framework for ICT
development (21th) and [the] pro-business environment (55th)? (WEF 2013:
page 27)
8
1.2.1.2 Mobile sector
The mobile segment dominates the South African Internet market (Table 1.1) due to
increased investment in cellular coverage by mobile operators and decreasing tariffs.
There are ?ve mobile operators; namely Vodacom, MTN, Cell C, Telkom Mobile, and
mobile virtual network operator (MVNO) Virgin Mobile, and hundreds of Internet service
providers (ISPs) and value-added network service providers (VANS).
A 2012 study – the Internet Economic Impact Study –happens to be the first in terms of
quantifying the impact of the Internet and its contribution to the economy of South
Africa. The Internet economy contributes up to R 59 billion (or 2 per cent) to the South
African GDP. The forecast claims that this figure would rise by about 0.1 per cent a
year, reaching R 79 billion by 2016 and contributing up to 2.5 per cent to the GDP of
South Africa.
Table 1.1: Contribution of the Internet to GDP growth
Year Internet
economy
(R bn)
Growth rate of
Internet
economy
GDP
(R bn)
Internet as % of
GDP
Contribution of
Internet sector
to GDP growth
2011 59 2 964 1.98%
2012 63 8.2% 3 053 2.08% 5.41%
2013 68 7.96% 3 145 2.18% 5.51%
2014 74 7.73% 3 239 2.28% 5.61%
2015 79 7.53% 3 336 2.38% 5.71%
Source: World Wide Worx (2012)
According to research conducted in 2012 by the Boston Consulting Group (BCG)
across the G20 countries, the South African Internet economy as a proportion of GDP
ranks very low when compared to both industrialised and other developing countries.
The G20 Internet economy is set to increase from $ 2.3 trillion in 2010 to $ 4.2 trillion by
2016 while nearly half of the world population would be becoming web users. The BCG
report also states that the global increase of users from 1.9 billion users in 2010 to a
projected figure of 3 billion in 2016 could be attributed to a number of things; including
the rise of the emerging markets (growing from less than one quarter in 2010 to more
than one third in 2016), the popularity of mobile devices – especially smart phones –
9
(accounting for about 80 per cent of all broadband connections by 2016), and the
compounding impact of the Internet. The Research ICT Africa (2012) reports that
South Africans are increasingly accessing the Internet via mobile phones. This
observation is based on the findings that in South Africa mobile broadband is cheaper
and faster than fixed broadband and that wireless is inherently less stable than fixed
broadband technologies, such as fibre. Not having ubiquitous, reliable high speed
connectivity have dire implications for the economy and global competitiveness.
In the Digital Manifesto Report launched at the WEF (2013)Dean from the Boston
Consulting Group (BCG) acknowledges the benefits of Internet connectivity and
reiterates that every business should go digital in order to capitalise on the dramatic
transformation of the Internet over the next five years in all the biggest economies of the
world:
?No company or country can afford to ignore this development. Every
business needs to go digital. The new Internet is no longer largely western,
accessed from your PC. It is now global, ubiquitous and participator? (The
Digital Manifesto 2013: Page 3).
The WEF report (2012) claims companies that make extensive use of the Internet –
including social media – to sell, market, or interact with their customers and suppliers
would grow faster than those that do not. Mckend, Google South Africa country
manager shares the views of Dean with reference to the findings of an Internet
Economic Impact Study (2012) conducted by World Wide Worx for Google South Africa
and remarks:
?No business, industry or government can ignore the scale of the Internet
and the impact it is having. It presents a host of opportunities. Small and
medium enterprises (SMEs) have been uneven in their uptake, but they are
moving online in increasing numbers and are committed to doing so.? (World
Wide Worx 2012)
10
The findings of the Internet Economic Impact Study also reveal the growing importance
of the Internet as an enabling tool for business communications, collaboration, and
transactions. Goldstuck Managing Director for World Wide Worx remarks:
?The study indicates that ecommerce is growing at a rate of around 30 per
cent a year, and is showing no signs of slowing down. In fact, taking into
account the fact that a number of major consumer brands and chains have
not yet devised comprehensive online retail strategies, the scope for future
growth is even greater.? (World Wide Worx 2012)
The impact of the Internet on the SME segment also appears in the findings of the SME
Survey (2012) conducted by the World Wide Worx that highlights:
?About 410 000 SMEs in South Africa representing 63 per cent of active,
formal SMEs have a web site. Sectors cited with a particularly high prospect
of SMEs having a web site include Information Technology (89 per cent),
communications (76 per cent) and tourism (77 per cent). Notably, the survey
shows that SMEs with a web site are far more likely to be highly profitable
than those without. Of those with a web site, 27 per cent are strongly
profitable, while only 11 per cent of those without can claim the same. Only 5
per cent of those with a web site are running at a loss, while 16 per cent of
those without a web site are in the red.? (Internet Economic Impact Study
2012).
Another report published in 2013 by the Cisco Visual Networking Index (VNI) analyses
the impact of the Internet and includes forecasts for the period 2012 – 2017. The
forecasts claim that the South African Internet Protocol (IP) traffic would quadruple
between 2012 and 2017 at a compound annual growth rate of 31 per cent. The
motivating factors of increased IP traffic include:
i. more devices and / or connections, estimating 133 million network connections by
2017 from either fixed, or mobile personal devices up from 94 million connections
in 2012;
11
ii. faster fixed broadband network speeds; the average fixed broadband speed would
increase 2.3-fold, from 2.5 Mbps to 6 Mbps for the period 2012 – 2017 compared
to the average fixed broadband speed that grew by 28 per cent from 2011 – 2012
and from 2.0 Mbps to 2.5 Mbps; and
iii. increased use of video services and / or applications; 38 billion minutes (72 436
years) of video content would cross the Internet each month in 2017, translating to
14 487 minutes of video streamed or downloaded every second compared to 4 per
cent of the South African Internet traffic originated from non-PC devices in 2012.
However, by 2017 the non-PC share of Internet traffic would grow to 20 per cent. On
average, a global Internet household is estimated to generate 74.5 gigabytes per month
compared to the average Internet household that generated 31.6 gigabytes of traffic per
month in 2012. Ookla Net Index (2013) statistics also confirm the rapid increased
broadband download (from 3.86Mbps to 4.03Mbps) and upload speed (from 3.86Mbps
to 1.74Mbps). The organisation also confirms that the speed rates are far lower
compared to global standards that on average are a download speed of 13.64Mbps and
an upload speed of 5.41Mbps.
This information clearly suggests the demand for faster broadband speeds and the
importance of broadband to the future optimisation and impact of advanced ICT.
Findings from a research study conducted in 2012 by the Development Bank of South
Africa (DBSA) attest to claiming that mobile operators are unable to keep up with the
explosive demand for their broadband supported services based on an increasing
demand on wireless spectrum and pressure for greater broadband access. This
increased uptake and usage are attributed to the flood of mobile devices in the market
that are currently connecting to the Internet anywhere via mobile broadband enabled
platforms. According to the 2013 Digital Media and Marketing Association (DMMA)
Report, the Wi-Fi platform supports an estimated 12 million smartphones, two million
tablets and 4.5 million laptops in the South African market.
Business Tech My Broadband (2013) assesses the market share of mobile subscribers
and reports that during 2011 and 2012 mobile operator MTN and Vodacom dominated
12
the mobile service market. It is also reported that while Cell C and Telkom Mobile are
continuing to accrue customers, their gain appears to be the big players‘ loss. MTN‘s
subscriber rate reduced by half a million from 24.5 million subscribers in 2012.
Vodacom, on the other hand, in 2011, had a subscriber base of 32 million customers
but witnessed a decline in 2012 to 29 million. On the contrary, Cell C increased it
subscribers from 8.2 million users in 2011 to 9.4 million in 2012 and to 11.7 million by
2013. Similarly, Telkom Mobile had 1.1 million subscribers in 2011 who increased to
1.54 million the following year. Virgin Mobile has 500 000 subscribers, up from 300 000
subscribers in 2011. In terms of market share, Table 1.2 shows subscribers (Millions)
and percentage of market share.
Table 1.2: Subscribers (millions) and market share
Operator 2011 Market Share 2012 Market Share 2013 Market Share
MTN 20.9 33.6% 24.5 37.3% 25.0 36.8%
Vodacom 31.7 50.9% 29.97 45.6% 29.28 43.0%
Cell C 8.2 13.2% 9.4 14.3% 11.7 17.2%
Telkom Mobile / 8ta 1.14 1.8% 1.48 2.2% 1.54 2.3%
Virgin Mobile 0.3 0.5% 0.4 06% 0.5 0.7%
Total* 62.24 100% 65.75 100% 68.02 100%
Source: Deloitte Digital South Africa (2013 forecast – South African Telecoms market)
*Based on tabulated numbers (2013)
Market share calculations in Table 1.2 are based on available user number information
from operators that release reports and presentations at different times. Table 1.2
indicates the latest known data reported between June 2013 and September 2013,
where applicable, and does not include the 120 000 Red Bull Mobile subscribers.
Subscriber totals are greater than the total population of South Africa, since mobile
phone users may have simultaneous, multiple accounts on various networks.
Deloitte forecasts (2013) predict a slowdown in connections with mobile operators that
is attributed to price wars seen across segments and product lines. Another factor
identified as being a challenge for mobile operators concerns spectrum allocation
limitations that face all mobile operators. According to Deloitte, positive spinoffs are
witnessed in data mobile usage owing to the boom of smartphone and tablet adoption,
13
especially in the business environment where enterprise-based mobile applications
would be increasingly employed.
Based on an analysis of the financial reports of Vodacom, MTN, and Telkom and
certain key press releases by Cell C, Deloitte Digital has identified key performance
indicators for the South African telecommunications industry (Table 1.3).
Table 1.3: Key performance indicators as of September 2012 for the South
African telecommunications industry
South African population 51.8 million
Total mobile connections (active sim cards) 66.1 million
Total unique subscribers (people) 40.7 million
Mobile penetration (active connections to population) 128%
Estimated active smartphones in South Africa 11 million
Estimated mobile data penetration (data mobile connections) 39%
Weighted blended average revenue per user per month (ARPU) R 119
Prepaid subscriber base 83%
Post-paid (contract) subscriber base 17%
Source: Deloitte Digital South Africa (2013 forecast – South African Telecoms market) Based on a snapshot of the
South African market
The access to broadband is in demand due to instant connectivity. However, compared
to fixed-line services, mobile broadband is not as reliable and price competitive as a
moderately fast fixed-line service powered by an ADSL backbone that is only available
from one provider and the is supply often limited (DBSA 2012). On the question of
price, according to the World Economic Forum Report (2013), South Africa ranks at 117
out of 114 economies assessed. This survey emphasises that the country is one of the
most expensive countries. South Africa keeps the company of Switzerland and Australia at
120 and 121 respectively. The South African Internet Economic Impact Report (2013)
also acknowledges concerns about affordability and remarks:
?The key message for SA, in terms of growing the Internet economy, is to
loosen the logjams constraining this economy, to promote ubiquitous and
affordable [universal access to ICT services], and to take a more active
14
embrace of open competition. This will, in turn, ensure that the economic
benefits of the Internet are enjoyed sooner rather than later, and by the many
rather than the few.? (World Economic Forum Economic Impact Report
2012).
The African Prepaid Mobile Price Index (2012) also reveals the problem of high prices.
South Africa, among 46 African countries studied, ranks poorly in terms of prepaid
mobile telephony affordability. Ranked 30th out of 46 African countries, South Africa is
far behind countries where the regulator is actively promoting competition by enforcing
cost-based mobile termination rates that have driven down the costs for consumers.
This report confirms (Esselaar, Gillwald, Moyo & Naidoo 2010; Angel 2010) that
whether it is either mobile or fixed line connectivity, communication costs in South
Africa are still high compared to 30 other African countries and this points to the South
African ?managed liberalisation of the market that has been far too restrictive for the
benefits of competition to be realised? (Esselaar et al. 2010:42).
This huge difference between emerging and mature markets, Angel (2010) observes, is
indicative of a slow uptake in ICT services but is quick to point out that the situation is
reversible with an increase in supply (sufficient bandwidth) and competition (reduced
costs). The current regulatory and policy environment, however, influences the modest
and almost non-existent in remote rural and urban areas. In the context of the Eastern
Cape Province (the locus of this research project), the SMMEs that operate in remote
areas are less likely to derive benefits and to encourage demand for ICT services
particularly advanced services due to limited infrastructure. Galloway and Mochrie
(2005), in their study on ICT use by rural SMMEs, makes a similar observation and
cites supply and demand failure as a contributing factor to a lag in ICT uptake in rural
areas. In the South Africa context, it defeats the objectives of the Electronic
Communications Act of 2005 that seeks to support market entry especially for SMMEs,
in particular those of women ICT entrepreneurs (the population of this research project).
For example, the stalling of policy directives – by government that are intended to
create an opportunity for small scale new entrants (licensing of the SMMEs to provide
telecommunications service in underserviced areas) – has been a disappointment for
15
hopeful South African SMMEs. It is however, encouraging to note that there is a rise in
the number of people who use broadband connections in South Africa. A study by the
Groupe Speciale Mobile (GSM) Association published in the Business Tech my
Broadband (2012) emphasises that more than 70 per cent of people in emerging
economies – including Brazil, South Africa, and Russia – are leading in the adoption of
mobile devices to access the Internet.
A recent report published by the South African entertainment and media outlook (2013)
indicates ADSL as the dominant technology due to the demand for higher speeds and
its relatively wide coverage in the home broadband market, which is forecast to grow its
subscriber base by a compound annual growth rate (CAGR) of 8.6 per cent over the
next five years. On the contrary, the DBSA (2012) reports a different outlook of ADSL
growth as relatively stagnant and experiencing a reduction in subscriber numbers
compared to mobile broadband that has consistently increased its total subscriber base
(DBSA 2012). Table 1.4 summarises the number of users at the end of 2010 and
considers the fact that there is high cross-usage of ADSL and mobile broadband.
However, ADSL is the primary form of access (DBSA 2012).
Table 1.4: Internet access in South Africa at the end of 2010
Unique
primary
wireless
broadband
users
Primary
ADSL
Users
Cellular
only
Dial-up
Internet
users
Corporate
users
(adjusted for
mobile
broadband
users)
SME users
(through
of?ce
ADSL)
Academic
users
Total users
2 100 000 700 000 1 000 000 250 000 1 550 000 600 000 600 000 6 800 000
Source: World Wide Worx (2010)
Table 1.4 portrays that the increased broadband subscriber numbers point to a shift
towards broadband services. The shift toward mobile broadband has also been
influenced by a reluctance of the government to liberalise the market. Forecasts
indicate that economic conditions would favour and level the playing field for the SMME
ICT enterprises. ICT SMME entrepreneurs stand to benefit from the local loop
unbundling (LLU) project (draft regulations have been postponed to 2014) that would
give ICT enterprises the right to access the exchange infrastructure – including the
16
copper infrastructure owned by Telkom – to provide fixed line services to consumers.
This would enable SMMEs to potentially drive growth in the economy and in job
creation. Since the aim of LLU is to create more competition in the fixed-line market,
the result of competition would be improved coverage that extends to rural areas and
reduces fixed-line broadband prices for consumers. Entry barriers to broadband access
would be reduced because SMMEs would be able to introduce innovative products into
the market. This implying, SMME ICT enterprises would have a license as dictated by
the provisions of the Amended Telecommunications Act, No 103 of 1996 (amended in
2001) and the Independent Communications Authority of South Africa (ICASA 2006:2)
to provide services such as Voice over Internet Protocol (VoIP), fixed mobile services,
public payphones, and long distance transported through networks of any operators
licensed to carry international traffic. The Congress of South African Trade Unions
(COSATU), however, in a public hearing opposed the unbundling project, arguing it
would only create further inequity between urban and rural areas in accessing digital
platforms. Barendse (2011) who holds the same view concurs that the unbundling
would only benefit the 8 per cent of the population who have fixed line access.
COSATU also argues that a 60 per cent penetration of fixed lines is required before
introducing unbundling in order for the majority of South Africans to benefit in an
attempt to explain that neither small business, or the labour market would benefit from
unbundling.
Against this background, Telkom contests the unbundling (ICASA Draft Regulations)
and threatens to raise its prices that are currently kept low because the company is
absorbing cable maintenance and infrastructure upgrade costs. With the introduction of
competition, these prices would increase. Telkom argues that it would not benefit the
majority of South Africans, especially the ones who have limited or no access to a fixed
landline (TechCentral 2013). The DBSA (2012) identifies a challenge that SMMEs
might be confronted with in terms of the optimal use of LLU, since penetration levels
might be affected by initial expensive costs of investing in the technology. However,
once the technology is installed, marginal costs are lowered by employing fibre optic
cables. Fibre optic technology is the future backbone of present mobile broadband
17
networks, as well as future connections to core networks that provide opportunities for
carriers, equipment manufacturers, and device providers (DBSA 2012).
Evidently, broadband is considered a key enabler not only for consumers but for
SMMEs if it would like to remain competitive. The SMMEs have to leapfrog onto the
broadband wagon where the demand is for innovative broadband enabled solutions that
would attract consumers. These market studies leave a distinct impression that for an
increasing number of people a mobile phone is no longer nice-to-have technology,
since consumers are starting to see beyond the monthly bill while acquiring more value
from the features, functionality, and applications that are integral elements of their
mobile devices. From a business point of view, convenience overtakes the price factor
as shown in the DMMA and Effective Measure Report (2013). This report commends on
the escalation of digital content users who are optimising online access enabled by
mobile broadband, exercising choice to access any webpage from mailboxes, webmail,
news pages, and using their own websites to actively take part in business to business
(B2B) e-commerce.
Another forecast, the South African entertainment and media outlook (2013 – 2017)
published in 2013, claims online display advertising is driven by an increasing number
of Internet users, in particular on Facebook that remains the second-largest Internet
advertising segment throughout the forecast period. Internet users are expected to
increase by a CAGR of 22.6 per cent, reaching R 1 billion in 2017. Search engine use
would grow at a CAGR of 23.9 per cent over the forecast period, driven by an increase
in Internet penetration. With the addition of Long Term Evolution (LTE) technology to
the market, compatible smartphones and more affordable feature phones providing
access to mobile Internet would see mobile advertising grow at a notable CAGR of 37.8
per cent over the forecast period. That would translate to growth from R189 million in
2012 to R938 million in 2017. The South African Internet advertising market is forecast
to generate revenues of up to R 3.7 billion in 2017 compared to R 1.2 billion in 2012; a
CAGR of 25.4 per cent.
18
With the continual shift toward online and mobile distribution of content, it is expected to
become one of the biggest evolutions in the ICT sector. With the advent of fourth
generation (4G) technology, other technologies that enhance broadband access, and
new devices and services that use these technologies, data usage would continue to
expand exponentially.
According to World Wide Worx (2012) estimates, Internet growth in South Africa is
expected to rapidly increase, spurred by the anticipated falling wholesale bandwidth
costs and the emergence of a new generation of Internet Service Providers (ISPs).
World Wide Worx estimates true individual mobile penetration to be about 80 per cent,
with 40 million South Africans using smartphones. Goldstuck (2012), however, cautions
that although the impact of the Internet may increase significantly with the number of
Internet users that have started to accelerate in 2008, it could take up to five years
(according to Goldstuck‘s Digital Participation Curve Model) before new Internet users
gain the confidence and experience to become active participants in the Internet
economy. The number of experienced users has begun accelerating in 2013, and the
acceleration is anticipated to continue during the 2014 – 2019 period.
The low levels of broadband penetration represent a major barrier for access to online
services by small businesses and consumers. Yet, despite these limitations, in South
Africa close to two-thirds of active small and medium enterprises have established a
presence on the Internet that is a critical factor in the survival and growth of SMMEs.
The Internet debate provides evidence from numerous sources that acknowledge the
rapid growth of the Internet, however, South Africa still lags significantly behind the
biggest Internet user bases in Africa. Figures released cite Nigeria in the lead with 45
million users and a 29 per cent penetration rate, while the 21.6 million users in Egypt
represent a 26 per cent penetration and the 15.6 million users in Morocco with a market
penetration of 49 per cent. Kenya claims 10.4 million Internet users with a 25 per cent
penetration rate. The lagging behind of South Africa is mainly attributed to high Internet
cost, and the fact that infrastructure development mainly happens in urban areas. The
almost non-existent rural infrastructure hampers SMME driven entrepreneurial activity.
19
The discussions at the ICT Indaba (2012) confirm these concerns, since broadband
was cited as one of the obstacles that are preventing the creation of a knowledge-
based economy. A knowledge-based economy is deemed to be essential in the current
climate because the implementation of this objective would allow for the production of
multiple economic benefits and job creation in society. In this regard, South Africa is
falling behind global ratings in terms of broadband connectivity and pricing because the
technology penetration in rural communities remains limited. With the uptake of mobile
data in rural areas (Goldstuck 2012), entrepreneurial activity in rural areas can be
expected to increase.
? ICT skills shortage
Human capital development in the ICT sector was a central theme of an international
ICT Indaba (2012) hosted in South Africa where discussions about sourcing, building,
and retaining the necessary skills force for a robust ICT industry in Africa were
deliberated. Tables 1.5 – 1.8 produced by the Media, Information, and Communication
Technologies Sector Education and Training Authority (MICTSETA) attest to the
shortage of critical and scarce skills in the ICT sector.
Table 1.5: Demand for the top twelve scarce skills (potential vacancies –
occupations) in the electronic media and film sub-sector
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
264101 Author 31
264204 Radio journalist 24
265401 Director (film, television, radio or stage) 14
343101 Photographer 13
343907 Continuity person 10
352103 Sound technician 6
352105 Radio station operator 6
241107 Financial accountant 5
352102 Camera operator (film, television or video) 5
352101 Broadcast transmitter operator 4
265403 Film and video editor 4
121101 Finance manager 4
Source MICTSETA (2012: Page 8)
20
Radio journalist vacancies is depicted in Table 1.5 as an area that has the highest
demand for potential potential careers that women could pursue, especially in
photography. The huge demand in these career categories is indicative of what this
study seeks to investigate in terms of why women are absent in these areas of technical
expertise. The absence of women in these environments is concomitant with the
literature review in this study that has identified an education gap, particularly at tertiary
level where these ICT skills are acquired. The table further correlates with the
arguments raised in the literature review about the education sector that fails to turn
around the situation in relation to the ICT sector.
Table1.6: Demand for the top twelve scarce skills (potential vacancies –
occupations) in the electronics sub-sector
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
311301 Electrical engineering technician 92
252301 Computer network and systems engineer 65
251201 Software developer 48
251201 Software developer 48
214401 Mechanical engineer 45
352201 Telecommunications technical officer or technologist 45
215101 Electrical engineer 42
214201 Civil engineer 38
251401 Applications programmer 34
122101 Sales and marketing manager 31
215201 Electronics engineer 26
351201 ICT communications assistant 26
215103 Energy engineer 26
Source MICTSETA (2012: Page 8)
Table 1.6 supports the arguments observed during the literature review of this study in
respect of the dire need for such critical skills in the ICT sector and the lack of core ICT
education (e.g. vacancies 42 to 90). Perhaps it also confirms the point of view that
students, particularly women, are shying from the ICT sector due to the lack of
orientation in science and technology.
21
Table 1.7: Demand for the top twelve scarce skills (potential vacancies –
occupations) in the information technology sub-sector
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
251201 Software developer 493
251203 Developer programmer 451
252301 Computer network and systems engineer 402
251101 ICT systems analyst 351
351301 Computer network technician 220
422206 Call or contact centre agent 220
351201 ICT communications assistant 186
251901 Quality assurance analyst (computers) 152
252101 Database designer and administrator 76
251202 Programmer analyst 72
242101 Management consultant 67
133102 ICT project manager 63
Source MICTSETA (2012: Page 9)
Table 1.7 provides information that is also linked to the low levels of ICT orientation.
Some of these vacancies, such as call or contact centre agent, already have an
environment that could easily absorb women. With reference to the research questions
of this study, it is evident that women-driven entrepreneurship in the ICT sector is an
evident challenge, since research suggests that women shy away from technically and
scientifically orientated career options.
Table1.8: Demand for the top twelve scarce skills (potential vacancies –
occupations) in the in the telecommunications sub-sector
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
243402 ICT business development manager 116
522304 ICT sales assistant 69
252301 Computer network and systems engineer 52
133102 ICT project manager 39
235601 ICT trainer 37
252901 ICT security specialist 33
241204 Financial markets practitioner 32
251203 Developer programmer 29
352201 Telecommunications technical officer or technologist 26
242401 Training and development professional 17
22
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
422206 Call or contact centre agent 14
672205 Telecommunications technician 11
Source MICTSETA (2012: Page 9)
Table 1.8 confirms the dire need for ICT skills training in the ICT sector for
development, especially from an entrepreneurial point of view that government and the
private sector seek to promote women-driven entrepreneurship.
The issue of women empowerment remains high on most ICT developmental agendas,
such as the ICT Indaba held in 2011. Discussion topics at the ICT Indaba revolved
around women entrepreneurs who were depicted as change agents. These topics were
based on the empowerment of understanding the role ICT plays, on the importance of
women entrepreneurs gaining access to ICT in terms of affordability, and on outreach
with the aim of advocating development in rural areas. Related to this are the findings
of the WEF Report (2012) that highlights a shortage of human capital in the ICT sector
which requires increased access to ICT infrastructure in the South African context.
According to the report, South Africa fails to advance the affordability and skills of the
ICT sector, where it ranks disappointingly at 104 and 102 respectively.
The CEO of the Computer Society of South Africa, Dagada (2012) also acknowledges
the skills limitations in the ICT sector in an analysis of the South African industry over
50 years. The analysis raises critical issues with regard to the status quo of the
shortage of ICT skills training in the country:
?While, globally, there is a lack of ICT capacity, SA, like many other African
nations, is experiencing a stunning shortage of skills. This will dearly cost
the economies of the country, should the situation remain unimproved. ICT
skills are so important to the economy because, in effect, they produce ICT
goods and services, which are applied in myriad business and social
environments. The contribution that ICT skills makes to countries?
development, as well as that of the individual citizens? is very well
documented in various research studies. While it may not be disputed that
ICTs are vital in today?s industrial production, the effective use of the
23
technologies is what is more important for productivity and economic
growth. Hence, the lack of the ICT skills, if not addressed swiftly, is likely to
erode the potential economic development of this country. The question is,
what causes the shortage of ICT skills and how can this be addressed in
SA? Concerns have been raised that SA?s institutions of higher learning are
not producing sufficient numbers of graduates with the required levels of
ICT skills to boost productivity and competitive products, in keeping with
international trends. ICT-trained employees are more efficient; they work
quicker and make fewer mistakes, hence they are more productive. The
lack of ICT skills in the country has been exacerbated by the fact that
between 1994 and 2009, the ANC government neglected the technical
colleges, which could equip the masses with ICT skills? (ITWEB: 2012).
In this context, the issue of skills shortage is also identified in a national expert‘s survey
conducted in 2008 by the Global Entrepreneurship Monitor (GEM) Women‘s Report
South Africa. Of all 30 countries sampled, South Africa had the highest percentage of
experts identifying education and training as a major limiting factor. The WEF (2013)
highlights issues of concern pertaining to education inefficiencies:
i. South African ICT skills ranking are found to be among the lowest in the world with
a ranking of 102 out of 144 economies in terms of the necessary skills to boost the
performance of the country;
ii. Quality of educational system – 140th out of 144 economies;
iii. Quality of mathematics and science education – 143rd out of 144 economies;
iv. Secondary education gross enrolment rate – 56th out of 144 economies;
v. Adult literacy rate, defined as a percentage of the population aged 15 years and
older who can read and write with an understanding of a short, simple statement
on his / her everyday life – 93rd out of 144 economies;
24
vi. Raising educational standards and making the labour market more efficient are
considered as a critical factors in view of the high unemployment rate in the
country of more than 20 per cent a youth unemployment rate of close to 50 per
cent; and
vii. That these statistics are an indication for South Africa to drastically improve its ICT
education if it plans to be competitive in a fast changing economy that increasingly
relies on ICT skills.
The WEF (2013) reiterates the importance of skills in the economic and ICT growth of a
country:
?Among the expressions of transformation is the development of new skills
that are important in knowledge-based, information-rich societies and that
are crucial for employment. Building a skilled labour force and creating
sufficient employment present considerable challenges for South Africa?
(WEF: 2013).
The WEF also emphasises the need for government and the private sector to
collaborate in building the skills base:
?Government and the private sector need to join hands once and for all to
properly address the education issues and specifically to deal with the issue
of poor maths and science in South Africa. Only then will we start to see true
benefits flowing through in order for us to truly grow our economy? (WEF
2013).
Attempts by the private sector to improve the reading literacy levels are shown in the
findings of research conducted by the South African Entertainment and Media Outlook
(2013 – 2017). The report anticipates that the interest shown by new multinational
entrants, such as Apple with subsidiary distributers in South Africa, that have found
their way into the education e-book segment since February 2013 with an anticipated
increase in book sales after their launch of a full store in 2014. Apple is presently
servicing about 180 schools that are using iPads in their classrooms. Electronic books
25
are forecast to account for 8 per cent of the consumer market in 2007, up from 1.5 per
cent in 2012 but the rollout impact will remain limited during the next five years based
on the print version being favoured to the electronic version. The majority of schools, in
particular those based in underserved and rural areas, have limited and poor
telecommunications infrastructure to access broadband enabled services.
According to the Department of Communications; GovTech (2012) is a world class
platform for collaborations, capacity building, and information sharing between the
government and ICT sectors. During the 2012 SITA annual conference, GovTech
affirmed its position as a strategic ICT resource for the public and private sectors to
advance the ICT agenda of government with a shift towards greater collaboration on
key strategies and priorities. The GovTech conference has become a valuable platform
for learning and information sharing by government decision makers and ICT industry
representatives with the purpose of enabling the planning of effective ICT
implementation by government. Parallel to issues raised under the education pillar
were the limitations of government to harness innovation levels in order to increase
competitiveness and productivity levels in entrepreneurship. The South African
government seeks to address slow decision-making processes in the entrepreneurship
sector through its National Development Plan that contains the blueprint for economic
and social development of the country until 2030. According to the WEF economist,
Thierry Geiger, competitiveness rankings are important, since they are among factors
considered by investors before they decide to invest in a country.
Against the backdrop of South Africa being regarded as an important role player in the
global economy and a future driver of global growth, the South African government
maintains that improved innovation levels are necessary and critical for the country.
1.2.1.3 The information technology (IT) industry
In an Africa Attractiveness Survey (2011), South Africa ranked 47th out of 66 countries
measured in the IT industry competitiveness index, with a score of 35 out of a possible
100 (Ernst & Young 2013). However, the South African IT infrastructure, with a low
score of 17.5, is a key area in need of improvement, primarily through the provision of
26
high-quality networks and greater liberalisation of telecommunications. In a report by
SAEEC (2013), the industry contributed US$ 15.08 billion to the South African economy
in 2013. As reported by Engineering News (2012), South Africa is the 20th largest
consumer of IT products and services in the world. The South African IT industry is
characterised by technology leadership, particularly in the field of electronic banking
services. South African IT companies are world leaders in prepayment revenue
management, fraud prevention systems, and manufacturing of set top boxes; all
products and services that are exported successfully to the rest of the world.
There are several international IT corporations that are recognised as leaders in the ICT
operating subsidiaries from South Africa; such as IBM, UNISYS, MICROSOFT, Intel,
Systems Application Protocol (SAP), Dell, Novel, and Compaq (SAEEC 2013).
Gartner, the international research group, rates South Africa as one of its top 30
software development outsourcing destinations (2007) on par with Israel from the
Europe, Middle East and Africa region and next to Australia and India globally.
In another forecast provided by the Industrial Development Corporation (IDC) of South
Africa, it appears that the industry is weathering the storm. The IDC reports a healthy
uptake in IT services, growing from 8 per cent year-on-year in 2010 to contributing more
than a third of total IT spending in the country. The forecasts that the IT services
market to exceed R 40 billion in 2012 were confirmed. The IDC forecasts that the total
South African IT services market would expand at a compound annual growth rate of
8.7 per cent to exceed US$ 17 billion, about R 136 billion, in 2015. The growth is
attributed to a number of factors including a recovering economy, increased business
confidence, expanding bandwidth availability, and various infrastructure investments
made in the country during 2010 (Nolan 2012).
Outsourcing constitutes 40 per cent of the South African IT services market, which
represents the largest market share of all IT services foundation markets, followed by
systems integration, and installation and support services. The healthy growth in
outsourcing services signifies a level of sophisticated and maturity in the IT services
segment. Services such as networking and desktop outsourcing, as well as
27
infrastructure hosting saw an increased uptake in 2010 fuelled by the incremental
supply of datacentre space and increased customer awareness of the managed
services model.
1.2.1.4 The electronics industry
The electronics industry is performing well at present and is expected to do so in the
next number of years based on competitive advantages specific to the local and
international market. The industry is known as a leader in world-class innovations,
production, and cost efficiencies with capabilities in professional electronics, testing and
piloting systems, automotive electronic subsystems, and access control systems. Small
to medium companies also specialise in security and electricity pre-payment metres.
On the contrary to this, albeit South Africa‘s recognised status in the areas mentioned,
according to a recent studies (GEM 2014 and Global competitiveness report 2014),
South Africa does not feature among the top rated innovation-driven economies
(international level) but counter parts such as, Asian Taiwan, and Singapore do. This
being an indication that although there are pockets of innovation comparing to global
rankings South Africa has got to have a balance across its sectors in order to graduate
to towards an economy driven by innovation. The South African automotive industry is
regarded as an engine of growth in the manufacturing and export of vehicles and
components. The sector accounts for about 10 per cent of the South African
manufacturing exports. The South African leadership in software development and
capacity to deliver quality world-class software have contributed to high regard of the
African and international markets. International companies are increasingly outsourcing
software development to emerging countries and South Africa appears on that list.
Software development companies have made remarkable inroads (software and
peripherals) in the marketplace and are competing favourably despite the global
recession.
Although there is room for SMMEs to compete in the industry, the industry remains
unable to attract high-tech knowledge and skilled engineers. These SMMEs specifically
include women entrepreneurs who are the focus of the investigation in this study. This
28
phenomenon is not unique to the electronics industry, since it exists in all industries of
the ICT sector. However, there is commitment from multinational companies, such as
IBM, that are willing to support the industry by building IT business skills in the small
business sector. The IBM has a well-established innovation hub that continually hosts
emerging software companies. A substantial number of innovative hubs have been
established in all nine provinces in South Africa. This is only one of many positive
responses to the call by government for increased private sector involvement.
South Africa has a vibrant, growing film industry that is becoming increasingly
competitive internationally. Local and foreign filmmakers are not only taking advantage
of the diverse, unique locations of the country but also of the low production costs and
favourable exchange rate. It is up to 40 per cent cheaper to make a movie here than in
Europe or the United States and up to 20 per cent cheaper than in Australia. According
to the Department of Trade and Industry, the South African entertainment industry is
valued at around R 7.4 billion, with film and television generating more than R 5.8 billion
in economic activity each year. According to a recent economic impact assessment
study commissioned by the Cape Film Commission, the industry has a direct annual
turnover of more than R 2.65 billion and contributes an indirect annual turnover of more
than R 3.5 billion to the South African GDP.
There is also a range of general and specialised news websites that, in terms of the
speed and scope of their coverage, are on par with the best in the world. The South
African Broadcasting Corporation (SABC) television broadcasting monopoly ended in
1986 when the subscription-based M-Net was launched. Nowadays, Digital Satellite
Television (DSTV) carries more than 50 channels, ranging from South African produced
content to international content, sports, and news. The ICT sector is regarded as an
engine for economic growth based on its significant contribution to GDP growth. Wolf
(2001:9) argues that the relation between GDP per capita and ICT run parallel; ICT as a
production input and a consumption commodity makes it difficult to separate the impact
of ICT investment from its determinants. This, according to Wolf (2001:9), could be a
possible explanation for the ?productivity paradox? between developed and developing
economies. Developed economies have better established infrastructure than
29
developing economies. This is likely to impact positively on high growth rates in the ICT
sector as a result of heavy investment in ICT infrastructure.
The electronics industry revenues in South Africa are growing at levels well above the
general GDP growth rate. Key players include Siemens, Alcatel, Ericsson, Altech,
Grintek, Spescom, Tellumat and Marconi. The South African electronics industry has
repeatedly proved itself in terms of world-class innovation and production. The industry
is characterised by a handful of generalist companies with strong capabilities in
professional electronics, while small to medium companies specialise in security
systems and electricity prepayment meters. Investment opportunities exist in the
development of access control systems and security equipment, automotive electronic
subsystems, systems and software development in the banking and financial services
sector, silicon processing for fibre optics, integrated circuits, and solar cells. There are
also significant opportunities for the export of hardware and associated services, as well
as software and peripherals. The common denominator of these claims is the
economic construct of SMME ICT-based enterprises that are still facing challenges
(Berry, Von Blottnitz, Cassim, Kesper, Rajaratnam & Van Seventer 2002) brought about
by many inhibiting structural developmental factors that have yet to be addressed
through political influence, since the ICT sector in the Eastern Cape Province still lacks
access to infrastructure. In this regard, an assumption that ICT would solve economic
challenges faced by SMMEs operating in the ICT sector of the province might be a
misnomer.
However, the idea of leapfrogging fixed line broadband technology to overcome some
of the structural constraints. At the same time, mobile broadband offers new or
advanced technologies; such as wireless, 3G, satellite, and voice recognition software.
By bridging the technological divide, a substantial part of landline infrastructure might
no longer be needed. It may well be an option for SMMEs operating in rural areas of
the province. According to the SME Survey (2008) findings, SMEs perceive broadband
as leading critical infrastructure expenditure. This perception suggests a prevailing
demand for existing and future use of basic ICT infrastructure (Internet services), as
well as advanced (broadband services) infrastructure to meet the growing demand in
30
the marketplace. However, the question of accessing such infrastructure by SMMEs in
terms of cost disadvantages discussed elsewhere in this study.
1.2.2 The Eastern Cape Province ICT sector
At present, the Eastern Cape has an underdeveloped ICT sector. The ICT sector is
regarded as an engine for economic growth based on its significant contribution to GDP
growth (Wolf 2001:9), since the relation between GDP per capita and ICT runs parallel.
However, ICT as a production input and a consumption commodity makes it difficult to
separate the impact from the determinants of ICT investment. Wolf maintains that this
could be a possible explanation for the ?productivity paradox? between developed and
developing economies. Developed economies have well established infrastructures –
owing to substantial investment in ICT infrastructure – that are likely to impact positively
on high growth rates in the ICT sector. At the core of these claims is the economic
construct of SMME ICT enterprises in the Eastern Cape Province that are still facing
challenges brought about by many inhibiting structural development factors. These
factors have yet to be addressed through political influence (Berry et al. 2002), since
the ICT sector in this province still lacks acceptable access to infrastructure. In this
regard, it might be assumed that ICT would solve economic challenges faced by
SMMEs operating in the provincial ICT sector.
However, in terms of the growth of the province by way of commercial and
manufacturing operations, the Eastern Cape Development Corporation (ECDC), on
their website, reports that there are significant development potential and opportunity in
the provincial ICT sector to attract investment and business operations. Specific
opportunities have been identified in the electronics software sector:
? Software research and development: With its strong tertiary education institutions,
the province provides a solid foundation for investment in research and
development of niche software for global markets.
? Technology Park: Opportunities exist for the investment in, and development of, a
technology park that would act as a technology incubator for the Eastern Cape. It
31
is envisaged that this initiative could form part of a private and public sector
partnership, offering intensive support to SMMEs and entrepreneurs who wish to
enter the ICT sector. At least two of the five universities in the province have
expressed an interest in being part of such an initiative.
? Telecommunications: Opportunities exist for the supply and maintenance of
telecommunication systems in support of call centres and business process
outsourcing and offshoring BPO&O operations in the province.
At present, the Eastern Cape ICT sector is supported by incubation hubs that are
making a contribution in terms of GDP growth in the province. The two main hubs are
the Eastern Cape Information Technology Initiative (ECITI) situated in East London and
the Nelson Mandela Bay Technology Hub situated in Port Elizabeth. The ECITI is a
multi-faceted programme that focuses on providing support to SMMEs in ICT and
related industries and is supported by provincial government in line with provincial
growth and development strategies (ECITI website). The Nelson Mandela Bay
Technology Hub, initiated and championed by the ECDC in conjunction with the ECITI,
is the implementation arm of the provincial ICT strategy in terms of providing incubation,
growth, and development opportunities for SMMEs in the ICT sector. The hub
comprises representatives from all the major commercial and manufacturing sectors in
the province.
Although entrepreneurial activity and new enterprise formation are considered engines
of economic growth and innovation (SME Survey 2010), realising this in the context of
ICT SMMEs in the Eastern Cape Province remains to be empirically proved. The
establishment of these activities and enterprises are analysed in this study.
1.3 AIM OF THE STUDY
The aim of this study is to provide a grounded analysis of women-driven
entrepreneurship in the SMME segment of the ICT sector in the Eastern Cape
Province. Two cities, East London and Port Elizabeth are sampled to achieve this aim.
32
The view is to develop an in-depth understanding that is grounded in the experiences of
SMME women entrepreneurs enterprising within this sector.
The voices of women entrepreneurs are used to describe what is happening in their
practical contexts and why it is happening. In the process, the researcher uncovers a
fundamental pattern of factors emerging from gathered data that influences women-
driven entrepreneurship processes and emphasises issues or restrictive conditions
which contribute to the status quo. These processes and issues have an impact on
women entrepreneurs, therefore, the necessary changes need to be identified for the
growth and development of SMME women-driven entrepreneurship in the ICT sector of
the Eastern Cape Province.
1.4 RESEARCH OBJECTIVES
The objectives of the research are to:
? describe SMME women entrepreneurs‘ conceptualisation of entrepreneurship, ICT
as a technology and as a sector;
? explore the importance of ICT as an enabler in advancing SMME women-driven
entrepreneurship;
? describe ways in which women entrepreneurs use ICT as a core product and
service of the enterprise; and
? describe how SMME women entrepreneurs perceive the role of government and
the private sector in supporting the advancement of SMME women-driven
entrepreneurship in the ICT sector of the Eastern Cape Province.
These objectives indicate the scope of exploring the substantive area under
investigation and confirm what the researcher expects to achieve.
33
1.5 RESEARCH INTEREST
The motivation behind the study focuses on SMME women-driven entrepreneurship in
the ICT sector of the Eastern Cape Province, since women economic empowerment
has appeared on the radar screen as a result of the governmental ICT millennium
development agenda as reflected in passages from policy frameworks: i) the
Information and Communications Technology Sector Industrial Development
Framework (SAITIS) ICT Charter; ii) ICT codes of BEE and Eastern Cape ICT Strategy
2009 – 2014: Programme 2, Strategy 1; and iii) department of Science and Technology.
Arguably, while there is a general consensus on the importance of promoting the
participation by SMME women entrepreneurs in the economic mainstream of the ICT
sector of the country, it would appear their economic rationale has not been rigorously
investigated, since there is little evidence of women in ICT research (Women in ICT in
South Africa 2006) conducted in the Eastern Cape Province.
In light of the Eastern Cape ICT Strategy (2010 – 2014), there appears to be a gap in
research in relation to SMME women-driven entrepreneurship and general SMME
driven entrepreneurship in the Eastern Cape ICT sector. The unavailability of gender-
disaggregated data emphasises:
i. The number of women-owned ICT enterprises;
ii. The nature of entrepreneurial economic activity within these ICT enterprises;
iii. Evidence about their degree of competitiveness;
iv. Their ability to adapt quickly to changing market conditions and restructuring of
business operating processes; and
v. Sustainable job creation and data defining available skills and occupations.
The unavailability of such data is indicative of an existing research problem that is
presented in the form of broad research questions to be explored and refined during the
process of analysis to accommodate evolving empirical and theoretical themes.
34
Hutchinson (2001:11) claims that ?a precise research question is not possible to pose
before beginning any grounded theory? and ?it is fully acceptable to let the research
questions develop through the empirical and theoretical work? (Goldkuhl & Cronholm
2003; 2010).
1.6 THE RESEARCH QUESTIONS
Based on the research interest, the following research questions were investigated:
i. How do the selected SMME women entrepreneurs conceptualise the concept ICT
as a technology and a sector?
ii. How do SMME women entrepreneurs conceptualise the concept of
entrepreneurship?
iii. Why is the ICT sector regarded as a critical enabler in advancing SMME women-
driven entrepreneurship?
iv. In what way do SMME women entrepreneurs employ ICT as a core product and
service of the ICT enterprise?
v. How do SMME women entrepreneurs perceive the role of government in
supporting the advancement of SMME women-driven entrepreneurship in the ICT
sector of the Eastern Cape Province?
vi. How do SMME women entrepreneurs perceive the role of the private sector in
supporting the advancement of SMME women-driven entrepreneurship in the ICT
sector of the Eastern Cape Province?
1.7 PHILOSOPHICAL POSITION
Creswell and Plano Clark (2007:20) infer that no research is value free, since ?all
studies include assumptions about the world and knowledge that informs [sic] the
inquiries?. The researcher‘s paradigm or ?worldview? influences this research enquiry
(Creswell & Plano Clark 2007:21), therefore, it is characterised by a feminist approach
35
to promote women‘s active engagement in changing their lives [entrepreneurially]
(Stanley & Wise 1990:21). The researcher, a women entrepreneur consulting in the
SMME segment, has an interest in better understanding women-driven
entrepreneurship in the SMME segment of the ICT sector of the Eastern Cape Province
and in knowing why there seems to be limited representation of women entrepreneurs
in this sector.
Firstly, numerous calls from the investment community (business chambers) during
SMME workshops trigger this interest that encourages the participation of women
entrepreneurs in the economic mainstream of the ICT sector. Secondly, the concerns
echoed in surveys and research reports spur on a similar curiosity (ISETT & DTI Skills
Audit Survey 2005; James, Leinonen, Smith & Haataja 2006; Research ICT Africa
2006:49; Paterson 2007). In relation to the particular focus of this research project,
these calls and concerns include low levels of active participation of women in the
economic mainstream of the sector and in high-level ICTs, low equity ownership, the
shortage of suitably skilled people, and the lack of a strong R & D capacity in ICT
innovation.
1.8 EPISTEMOLOGICAL ORIENTATION
An epistemological orientation refers to the philosophical inquiry of the nature and
scope of knowledge that is concerned with developing an acceptable understanding of
what a researcher may identify as a paradigm of positivism, constructivism, and
interpretivism which guides research and provides justification for the methodology
used in an inquiry.
The SMME women-driven entrepreneurship in the ICT sector of the Eastern Cape
Province represented a substantive area of social investigation that motivated the
researcher to adopt a moderate constructivism (Butler 1998; Charmaz 2011; Creswell
1994) and interpretivism (Denzil & Lincoln 2005; Goldkuhl 2012; Guba & Lincoln 1994;
Saunders, Lewis & Thournhill 2007; Orlikowski & Baroudi 1991) epistemological
position on building knowledge.
36
1.8.1 Constructivism and Interpretivism
Constructivism asserts that reality is constructed by individuals, since they assign
meaning to the world around them (Appleton & King 2002; Charmaz 2000:521; Guba &
Lincoln1989:43). Equally, generating and analysing data are not neutral acts because
these processes are imbued with subjectivity. The moderate constructivist stance is
taken in acknowledgement that reality is generated jointly by the participants and the
researcher, and that ?a real world exists but is never separate from the viewer who may
see it from multiple standpoints? (Charmaz 2009). Constructivism:
i. scrutinises the process of interaction – reciprocal shaping – (Strauss & Corbin‘s
1994:280) among participants who emphasise the subjective interrelationship
(Hayes & Oppenheim, 1997; Pidgeon & Henwood 1997) between the researcher
and participants (Charmaz 2006:130);
ii. emphasises the ?co-construction? of meaning (Charmaz 2003:250) and knowledge
(Watling & Lingard 2012) by both parties who seek understanding of the real world
in which they operate that shapes the researcher‘s approach to data collection and
analysis;
iii. involves an iterative process of constant comparison made of interpretations
(Charmaz 2011) and the inclusion of the perspectives of voices of the people
studied (Strauss & Corbin 1998:160); and
iv. grounds the emerging substantive theory through ?interplay? (Strauss & Corbin
1984) between the women entrepreneurs‘ interpretation of their experiences, how
they construct their worlds, what meaning they attribute to their experiences
(Merriam 2009:5), and the researcher‘s background and assumptions in relation to
the analytical process (Walting & Lingard 2012). The researcher ?actively? reacts
to and works with data while co-constructing meaning (Strauss & Corbin 1998:
58).
Guba and Lincoln (1989:88) concur with the above claims and contend that it is
?impossible to separate the inquirer from the inquired into?, since ?it is precisely their
37
interaction that creates the data that will emerge from the inquiry?. Charmaz (2009)
cautions there is a need for the researcher, in grounding the emerging substantive
theory, to be mindful of keeping the voice of women entrepreneurs visible in the
interpretation of meaning by learning from the multiple perspectives they present when
describing their experiences as entrepreneurs in the ICT sector. These multiple
perspectives depict the current reality and substantiate the trustworthiness of the
substantive theory.
This substantive theory has the potential to address identified problems, to suggest
improvement of practices, and to provide theoretical warrants that are limited to SMME
women-driven entrepreneurship operating in the ICT sector (Charmaz 2006:8; Glaser
1967). In other words, SMME women-driven entrepreneurship could only be
understood in the context of the ICT sector of the Eastern Cape Province and the
findings cannot be generalised to the ICT sector in other provinces.
From an interpretivist perspective, the researcher attempts to understand SMME
women-driven entrepreneurship (contextual and socially constructed phenomena) from
meaning assigned by women entrepreneurs (Bryman 2001:265; Deetz 1996; Myers &
Walsham 1998) through a process of interpretative ?creativity?, with reference to open
coding (Orlikowski 1993; Strauss & Corbin 1998). During this process, the researcher
?actively? (Sideman 1998) constructs concepts and theories from an account that is
constructed by women entrepreneurs and the researcher who attempt to explain and
make sense of their lived experiences. From these multiple constructions of interpreted
reality, the women entrepreneurs and the researcher collaboratively produce
?knowledge? (Corbin & Strauss 2008; Charmaz 2003; Glaser 1978; Hand 2003).
This interpretivist position assumes the researcher needs to ?adopt an empathetic
position when entering the social world of [women entrepreneurs] and to understand
their world from their view point? (Saunders et al. 2007) in order to form an
interpretation that describes the way that their ?subjective meanings... are created and
sustained in a particular context? (Putnam 1983:41). Understanding these dynamics
enables the researcher to better grasp SMME women-driven entrepreneurship
38
processes, issues, and concerns grounded in their everyday experiences in the
technological environment of their ICT enterprises. The researcher understands that
little is known about the ?substantive area? (Charmaz: 2006) of entrepreneurship in the
sense of a social process of entrepreneurial activity driven by women entrepreneurs in
the ICT sector, therefore:
The researcher as such, is keen on ?discovering? entrepreneurship processes indicating
?reciprocal changes in patterns of action [and] interaction? indicative of ?changes of
conditions that are either internal or external? to women-driven entrepreneurship
processes (Strauss & Corbin 1998:169).
In the pursuit of building knowledge that culminated in a substantive theory to
comprehensively provide a meaningful interpretive account of the experiences of those
SMME women entrepreneurs. Adopting a single, empirically driven approach to explore
the research topic would have been too restrictive. Hence, the researcher decided to
employ the Multi-Grounded Theory (MGT) methodology that potentially provided an
interpretive account. Such a methodology was not only grounded in the experiences of
women entrepreneurs‘ but was also deductively driven by employing theoretical
frameworks to develop a substantive theory. Combining the two approaches in the
context of this study enhanced methodological rigor.
1.9 METHODOLOGICAL ASSUMPTIONS
Research methodology is the procedure of considering and explaining the logic of
research methods and techniques that provides the means to explore a phenomenon
(Weman, Kruger & Mitchel 2005:2).
1.9.1 Multi-grounded theory
The Multi-Grounded Theory (MGT) research methodology guided the research interest
to explore and describe the phenomenon of SMME women-driven entrepreneurship in
the ICT sector of the Eastern Cape Province. The MGT research method developed by
39
Goldkuhl and Cronholm (2003; 2010), is an extension and modification of the Grounded
Theory (GT) that forms the basis of this study.
The MGT approach has been applied in various studies that are relevant to the context
of this study; such as the studies about ICTs and business by Goulding (2002), Rittgen
(2007), and Kazaka (2013). However, studies with an entrepreneurial focus by Skild et
al. (2005) and Harris (2012) and other studies by researchers; such as Douglas (2005),
Orlikowski and Baroudi (1991), and Goldkuhl (2004) use the grounded approach. The
researcher, therefore, decided that the MGT was best suited to explore the research
questions, since it had been flexible enough to accommodate the review of literature,
i.e. a ?non-committal literature review? (Urqhart & Fernandez 2006), before the
researcher collected empirical data.
Although GT is rooted in a qualitative approach to theory and method, it differs from
traditional qualitative methods of collecting, analysing, and interpreting data that do not
necessarily follow a chronological, step-by-step procedure. Grounded Theory explicitly
employs a structured and ?systematic set of procedures? in its analytical processes
(Strauss & Corbin 1998:24). Whilst qualitative investigation focuses on producing thick
descriptions of data (Eisner 1991; Polit & Beck 2010), GT facilitates the shift from a
description of what is happening to a conceptual level of ?creating new and theoretically
expressed understandings? of the process that makes it happen (Strauss & Corbin
1998:8). This process facilitates the building of ?systematic checks and refinements of
the researcher‘s major theoretical interpretation of data? (Charmaz 2012).
In MGT (Goldkhul & Lind 2006), GT procedures are complemented by grounding the
evolving theory by explicitly using pre-existing theoretical frameworks in a systematic
manner to inform theory development. However, different to GT, MGT adds two explicit
grounding processes (theoretical and internal) not found in GT. Theoretical grounding
prevents the ?risk for noncumulative theory development? (Goldkuhl & Cronholm
2010:191). Internal grounding, on the other hand, seeks to validate the consistency
and congruency (Goldkuhl & Lind 2006:4) of the emerging substantive theory in order to
ensure that the conceptual structure is clear and sound.
40
Grounded theory gives one tools to answer ?why? questions from an interpretive stance.
By interrogating data – and emerging ideas – with analytic questions throughout the
research process, the level of conceptualising data can be raised to a point of analysing
theoretically (Wertz et al. 2011).
One of the MGT features is the research interest that is operationalised in questions.
The research question is reflected upon continually, since it might change during the
stages of theory development due to influences that emerge from ?empirical
observations and theoretical insights? (Goldkhul & Cronholm 2010:193). On the
contrary, in GT the research questions could be vague and unfocused during the
empirical and theoretical phases of theory development (Goldkhul & Cronholm
2010:192).
One finds another difference between the two research approaches in the sense that
GT employs a purely emergent inductive approach in working with data while the MGT
advocates for the use of pre-existing theories to either confirm or discard the empirically
generated findings (Goldkhul & Cronholm 2010). The reluctance of GT to explicitly
incorporate existing theories, according to Goldkhul and Cronholm (2010:188),
encourages the risk of ?knowledge isolation and theory development? rather than aiming
at knowledge ?integration and synthesis? that existing theories facilitate.
41
1.10 SUMMARY
The focus in this chapter offers an overview of what this research study is about. The
aim and objectives are intended to provide an in-depth exploration and description of
the substantive social area of investigation. To this end, the researcher employed the
MGT working structure of Goldkuhl and Cronholm (2010) to address the research
interest and questions. The methodological assumptions included a validation for using
the MGT approach and its processes and how MGT incorporated grounded theory
methods that it borrowed from.
A preliminary literature review (Strauss & Corbin 1998:12) was conducted to build
theoretical sensitivity while contextualising the research interest and questions. The
researcher took into consideration counter arguments advanced (Glaser 1992:31)
against conducting a prior literature review before data collection and analysis. It cannot
be expected of researchers to enter the field with a blank theoretical slate; therefore, it
is not scientifically sound to only conduct a literary review while writing the research
report (Dunne 2011).
The researcher believed the epistemological framework was linked to the philosophical
assumption of a feminist worldview, since the researcher had used the voices of SMME
women entrepreneurs to interpret the findings that informed the status quo based on
the lived experiences of women entrepreneurs.
1.11 OUTLINE OF CHAPTERS
Chapter 2: Conceptual and operational definitions
This chapter provides concepts and operational definitions to guide the scope of the
study. An early identification of concepts prior to data collection, as opposed to
constructing these definitions from raw data, is indicative of grounded analysis practices
that aim at constraining irrelevant variations and sharpening external validity.
42
Chapter 3: Literature review
This chapter covers a full literature review that is intended to lay the foundation on
which the study of women-driven entrepreneurship is built. This process included
examining past research about women-driven entrepreneurship and its significance in
the ICT sector. The chapter also includes women empowerment and efforts made by
government and the private sector at provincial and national level. In addition, it
examines the question of a skills shortage and the impact it has on the women-owned
enterprises, as well as the impact of corruption in relation to women-driven
entrepreneurship. Given the enormous amount of work done in some of these areas,
this review is in no way meant to be exhaustive, but rather to emphasise some of the
main literature streams.
Chapter 4: Research methodology
Chapter 4 discusses the research methodology and design, including an explanation of
the different MGT phases of generating inductive and deductive theory. The chapter
also provides a detailed discussion of data collection and analysis methods, as well as
an explanation of MGT procedures that are employed in order to generate the theory on
women-driven entrepreneurship.
Chapter 5: Analysis and interpretation of interview questions
Section A provides an explanation of the various levels of MGT procedures involved in
the analysis and Section B the application of the MGT procedures in the analysis and
interpretation that provides traceable evidence about the relation between interview
statements and categories generated that led to the generation of the substantive
theory. The analysis and interpretation of interview questions is also illustrated in
graphic format. The structure and sequence of the analysed data depict how
statements were arranged into categories cumulatively gathered through theoretical
sampling from Interview 1 to Interview 14. The section also depicts a summary of the
conceptual refinement process depicting the refinement of concepts generated from
open-ended questions. A critical category determination that illustrates the building of
43
the categorical structures is demonstrated. The section also demonstrates the
deductive analysis procedure and lastly, the section concludes by solidifying the
substantive theory – theory condensation.
Chapter 6: Research findings, analysis of findings, and recommendations
Chapter 6 presents research findings, analysis of findings, and recommendations. This
chapter also summarises the empirically and deductively generated findings of the
substantive theory. According to the MGT procedures, the empirical findings had to
correspond with existing theories – namely cyberfeminism and entrepreneurship – to
validate the emerging substantive theory. The findings highlight factors that are
influencing women-driven entrepreneurship processes in a broader gender context and
inform the recommendations.
44
CHAPTER 2
CONCEPTUAL AND OPERATIONAL DEFINITIONS
2.1 INTRODUCTION
Since the researcher was aware that an established body of knowledge supported the
ICT phenomenon, including formulated definitions gleaned from existing literature,
important concepts and operational definitions were identified.
Goldkuhl (2004) does not refute the view of performing a ?provisional concept
determination? before collecting empirical data, especially where theoretical definitions
already exist. This process assists to focus the research questions and guide the data
collection. Initially, the conceptual definitions are broadly defined in order to create
space for further exploration and refinement with the purpose of accommodating
evolving empirical and theoretical ideas.
2.2 ICT SECTOR
For the purpose of this study, the ICT sector definitions and classifications are those
employed by Statistics South Africa (2013):
i. For the ICT sector, the production (goods and services) of a candidate industry
must primarily be intended to fulfil or enable the function of information processing
and communication by electronic means, including transmission and display.
ii. ICT products must primarily be intended to fulfil or enable the function of
information processing and communication by electronic means, including
transmission and display.
iii. For the 'content and media' sector, the production (goods and services) of a
candidate industry must primarily be intended to inform, educate, and entertain
human beings through mass communication media. These industries are engaged
in the production, publishing, and / or the distribution of content (information,
45
cultural, and entertainment products) in such a way that content corresponds with
an organised message intended for human beings.
iv. 'Content' corresponds with an organised message intended for human beings
published in mass communication media and related media activities. The value of
such a product to the consumer does not lie in its tangible qualities but in its
information, educational, cultural, or entertainment content.
2.3 INFORMATION AND COMMUNICATION TECHNOLOGY (ICT)
ICT is a generic term used to express the convergence of telecommunications,
computing, broadcasting, and communications. On its website, the World Bank defines
the acronym ICT as consisting of hardware, software, networks, and media. These
elements are used to collect, store, process, transmit, and present information (voice,
data, text, and images). According to the World Bank, ICT could be split into:
i. Information and Communication Infrastructure (ICI) that refers to physical
telecommunications systems and networks (broadcast, cable, satellite, postal) and
the services that utilise them (Internet, voice, mail, radio, and television); and
ii. Information Technology (IT) that refers to the hardware and software of
information collection, storage, processing, and presentation.
The ICTs represent a cluster of associated technologies defined by their functional
usage in information access and communication (Appendix M: MICTSETA SIC code
list):
i. Office, accounting, and computing machinery;
ii. radio, television, and communication equipment;
iii. miscellaneous ICT components and goods;
iv. leasing or rental services without operator;
v. professional, technical, and business services;
46
vi. telecommunications and broadcasting information supply services; and
vii. content and media (Statistics South Africa 2013).
2.4 SMALL, MICRO, AND MEDIUM ENTERPRISES (SMMES)
The definition of an SMME is broad and defined differently in certain regions of country
and across sectors. For example, SMMEs for funding purposes is defined by the South
African Department of Trade and Industry (DTI) as small enterprises that employ less
than fifty, but more than five workers and fewer than 100, which utilise capital assets
(excluding fixed property) valued at less than two million rand. In addition, they should
have an annual turnover of less than six million rand.
The South African National Small Business Act of 1996 defines a ?small business‘ as:
?A separate and distinct business entity, including co-operative enterprises
and nongovernmental organisations, managed by one owner or more which,
including its branches or subsidiaries if any, is predominantly carried on in
any sector or subsector of the economy.
The South African National Small Business Act (1996), however, also provides a
broader definition of SMME that is premised on three categories and their variations
according to particular industries with reference to the number of employees, turnover
bands, and variations of segments in relation to the different sectors:
i. Survivalist enterprises (informal): Operating out of necessity to secure a minimal
income with little capital and skills and with scant prospect for upward growth;
ii. Micro enterprises: A growth potential that involves the owner and family members
or at the most four employees; and
iii. Formal small and medium-sized enterprises: These businesses have five to one
hundred and one hundred to two hundred employees respectively; they are still
owner-managed and fulfil all the trappings associated with formality.
47
For the purpose of this research project, the definition adopted is the DTI classification.
The SMMEs concerned are those businesses operating in the formal sector in the ambit
of the ICT sector with the core business of manufacturing, producing, or processing ICT
related products or services (SAITIS 2000).
2.5 SMME WOMAN ENTREPRENEUR
Appropriate for this study, an SMME woman entrepreneur is an employer, owner,
cooperative (registered owner), part owner (51 per cent shareholding or 25.1 per cent
equity), or principal manager who is responsible for the expansion and strategic
development of the ICT enterprise.
A woman entrepreneur, by definition, refers to a woman who exercises initiative in
setting up a new ICT enterprise, as well as organises and competitively operates the
ICT enterprise independently. This involves taking on risk, as well as an opportunity to
make a profit. In general, an entrepreneur is defined as either ?a person who either
creates new combinations of production factors; such as new methods of production,
new products, new markets, finds new sources of supply, and new organisational forms
or a person who is willing to take risks, or a person who by exploiting market
opportunities, eliminates the disequilibrium between aggregate supply 0and aggregate
demand, or as [sic] one who owns and operates a business? (Tyson, Petrin & Rodgers
1994:2-3).
2.6 ICT ENTERPRISE
For the purpose of this study, an ICT enterprise refers to an entity with the core
business processes of production, manufacturing, and processing to generate ICT
related products and / or services.
The Woman‘s ICT-based Enterprise for Development Project (2005), in defining an ICT
enterprise, points out three main categories in qualifying their definition, namely:
i. ICT as an enterprise output refers to a business that produces hardware, software,
and telecommunications products;
48
ii. ICT – as a primary, processing technology – refers to an enterprise that provides
data entry services, ICT-based business services, software customisation, ICT-
based distance learning, etc.; and
iii. Other ICT related support activities that refer to enterprises which provide
computer training, consultancy, and other services.
It is important to clearly define the ICT enterprise right from the start, since
understanding the context in which the ICT enterprises operate is critical for this study.
The researcher‘s interest was to conduct an analysis that provided an in-depth
understanding interpreted from the perspective of women on how those enterprises
used ICT as a core product and / or service. This distinction is made because
references in most literature focusing on women refer to ICTs as an enabling tool (Kelly
2013; Huyer & Sikoska & Women in ICT in South Africa 2006).
2.7 ENTREPRENEURSHIP
Entrepreneurship by inference is a process by which entrepreneurs are in a constant
search to exploit new (ICT-based) technologies (Hawthorne & Klien 1999) and
alertness of new types of economic opportunities (Gaglio 2004; Galio & Katz 2001) in
the mainstream of the ICT sector (in local and global markets) to create new means
(novel ICT products or services) that yield new economic ends (profit or wealth) made
possible through innovation (Bruyat & Julien 2000; Drucker; Schumpeter 1934;
Timmons & Spinelli 2008) which plays a significant role in shaping the ICT enterprise‘s
entrepreneurial processes, and in changing – creative destruction (Schumpeter:1942)
the technological environment – technical innovation (Chiware 2007) in methods of
production and organisation. Bapat and Harkal (1989) add the dimension risk-taking to
the definition conceived as a central characteristic of entrepreneurship.
In general terms, entrepreneurship encapsulates the ability of an enterprise to expand
market access opportunities. This includes the entrepreneurs‘ ability to initiate and drive
the business vision, goals, and strategic objectives of an enterprise in order to gain a
competitive edge in the marketplace to ensure the success of the enterprise.
49
Nadim and Seymour (2008:14) define three entrepreneurial components; namely
entrepreneurs, entrepreneurial activity, and entrepreneurship. They associate
entrepreneurship with the critical stages of creation and development of new economic
activity. However, their definition focuses more on action rather than on intentions or
supply and demand conditions. Entrepreneurs, according to them, are persons who
seek to generate value by the creation or expansion of economic activity, as well as by
the identification and exploitation of new products, processes, or markets. Equally,
entrepreneurial activity is an enterprising human action in pursuit of the generation of
value by the same means.
As an entrepreneurial activity, the entrepreneurship phenomenon has a number of
individual definitions according to other theorists:
i. A relentless pursuit of opportunity without regard to resources currently controlled
(Stevenson & Salman 1989:104; Stevenson & Jarillo 1990:230);
ii. The process of individuals who pursue opportunities without regard to alienable
resources they currently control with the view of valuing creation (Hart, Stevenson
& Dial 1995; Chell 2007:18); and
iii. Doing things differently or in a non-routine manner with a typical aim of developing
a venture (Gartner 1988:24).
2.8 CYBERFEMINISM
In Paasonen‘s view (2005), the concept cyberfeminism dispersed definitions that
depend on the school of feminist thought applied, e.g. definitions with a political,
economic, or social focus. Paasonen claims, despite the variations in defining the
concept, in broad terms the concept refers to feminist supposition of ?critical analysis
and rethinking of gendered power relations related to technology?. The context of the
ICT sector is generally perceived as a male-dominated environment, hence the call for
women entrepreneurs to empower themselves in ICT with the purpose of ?provid[ing]
the technological basis for a new form of society that is potentially liberating for women?
(Wajcman 2010:148). Women have the ability to end the male-domination in the ICT
sector on to balance the perceived ?gender digital divide? (Huyer & Sikoska 2003:2).
50
This perspective equates to what Pierce (1999:10) regards as a movement driven from
a feminist standpoint that advocates women‘s participation in creating and defining the
present and future technological space. While feminist contributions to literature about
technology are increasing, women also use new media as a liberating tool.
In this study, the concept cyberfeminism is used explicitly to refer to a woman‘s
perspective that synthesises gender concerns and ICT (Huyer & Sikoska 2003:19). The
concept also emphasises women‘s advocacy to use new ICT products and / or services
for economic empowerment (Wajcman 1991:32, Wajcman 2004:45-46, Hawthorne &
Klien 1999:2). The researcher, however, was mindful of this school of thought and
subsequently used the voice of women entrepreneurs under investigation on the basis
of the methodology adopted in analysing women-driven entrepreneurship in the
technological context.
2.9 THE INFORMATION AND COMMUNICATIONS TECHNOLOGY SECTOR
INDUSTRIAL DEVELOPMENT FRAMEWORK (SAITIS)
This policy framework – initiated by the DTI (1995), funded (over a three year period) by
the Canadian International Development Agency (CIDA), and launched in 2000 –
provides the closest semblance to a national policy for the ICT sector. The SAITIS
framework identifies specific goals and supportive actions for government and the
private sector to implement in order to grow the South African ICT sector. The
framework (SAITIS 2000) identifies four key goals to facilitate this process:
i. Goal 1: The ICT sector (Robust, growing and sustainable ICT sector with equity);
ii. Goal 2: ICT usage in other economic sectors (Increased use of ICT as an enabler
for social-economic development with equity);
iii. Goal 3: ICT innovation (Knowledgeable and growing ICT with a skilled workforce);
and
iv. Goal 4: ICT human resources (World class ICT culture).
51
The SAITIS baseline studies (1999) also contributed to the development of the policy
framework.
2.10 THE EASTERN CAPE ICT STRATEGY
The Eastern Cape ICT Strategy (2009 – 2014) outlines the strategic direction for ICT in
the Eastern Cape Province. The strategy aims at enabling and improving service
delivery, especially to rural communities. The transformation of the Eastern Cape ICT
capabilities focuses on eight building blocks:
i. ICT sector development and innovation;
ii. ICT adoption and usage in the public sector;
iii. Human Resource Development: R & D by academia and advancing the skills of
citizens with a particular focus on SMMEs, youth, and graduates;
iv. ICT Governance: Improve ICT governance, transparency, and accountability;
v. ICT Infrastructure Development: Incorporate broadband connectivity for business
and citizens;
vi. ICT Enterprise Architecture; and
vii. Shared Services and business process outsourcing.
2.11 THE ICT CHARTER
The empowerment charter for the ICT sector is an industry-driven document designed
to support the B-BBEE imperatives by:
i. supporting the objectives of the B-BBEE Act and promoting its effective
implementation in the ICT Sector;
ii. bridging the ?digital divide? by actively promoting access to ICTs;
iii. stimulating and supporting growth in the ICT Sector;
52
iv. advancing economic and social transformation in the ICT Sector;
v. contributing to the reduction of unemployment and poverty alleviation;
vi. supporting skills development and training initiatives;
vii. kindling equity and addressing the legitimate economic aspiration of all South
Africans; and
viii. providing an enabling environment conducive to transparency, fairness, and
consistency when adjudicating matters related to B-BBEE in the ICT sector.
The ICT charter covers a range of areas of transformation that include skills
development, employment equity, procurement, ownership, enterprise development,
socio-economic development, and the development of a framework for cooperate with
multinational companies. The charter serves as a code of good practice for the ICT
sector in South Africa.
53
2.12 SUMMARY
Chapter 2 articulates key concepts and provides operational definitions that are
applicable to the context of the research interest and research questions. The
controlled literature review serves as a useful lens for contextualising the research
interest and questions. Chapter 3 contains a comprehensive literature review.
54
CHAPTER 3
LITERATURE REVIEW
?While changing the way individuals live, interact, and work, ICT has also
proven to be a key precondition for enhanced competitiveness and economic
and societal modernisation, as well as an important instrument for bridging
economic and social divides and reducing poverty.? (Greenhill – 10th
anniversary edition of the annual Global Information Technology Report
(2010 / 2011).
3.1 INTRODUCTION
In Chapter 1, a controlled literature review was recorded (Strass & Corbin 1998) and
this chapter contains a full literature review of theme categories based on the empirical
data analysis and comparison with existing theories (Chapter 5). The literature review
comprehensively describes the central importance of these categories to this study. In
accordance to the MGT (Goldkhul & Cronholm 2010), relevant literature was examined
initially and accessing additional literature for the review was left for later as the
emerging categories become relevant.
The role of the ICT sector as evidenced in the regulatory and policy framework of South
Africa (National Development Plan; DoC 2013) has been widely acknowledged by
government (Eastern Cape ICT Strategy 2009) and the private sector (Media,
Information, and Communication Technologies Sector and Education Training Authority
2012) as an enabler of economic growth and development. Concomitantly, government
(NDP; DTI 2013, USAASA 2013:23, SME Growth Index 2013) and the private sector
(Ntshona 2012) have a role to play in supporting SMME development, in particular
women entrepreneurs in the sector. As reflected in the empirical findings of this study,
gender imbalance is still an issue that needs to be addressed, since it is hampering
women‘s needed contribution in the economic mainstream of the ICT sector. Kelley,
Brush, Greene, and Litovsky (2013) also recognise the role that the government should
play in terms of actively acknowledging women entrepreneurs‘ role in the mainstream
55
economy of the ICT sector and supporting women-owned ICT enterprises. Government
should enable them to be productively innovative and to grow their enterprises while
understanding the importance of realising their full contribution measures in order to
address gender-based inequalities in the sector. Government in this regard aims at
enforcing gender transformation compliance as early as 2015 through the new Women
Empowerment and Gender Equality Bill (2013) that would apply to private and public
sectors alike. This empowerment legislation includes women in rural areas.
3.2 THEORETICAL FOUNDATION OF THE STUDY
Theories provide a sound foundation for explaining viewpoints and related socio-
economic challenges. The next section of this chapter explores theories that laid this
foundation for the study.
Despite a plethora of literature and countless research studies emanating from a
feminist perspective raising awareness on gender inequalities in accessing ICT and
gender insensitive ICT policies in an attempt to draw attention from policy makers, the
gender gap appears to be widening particularly for developing countries. This literature
review discusses and analyses various feminist viewpoints at great length both from a
South African and international perspective especially in the context of the ICT sector
in developing countries.
Although ICT is at the top of the agenda of most developing countries for economic
development and human development, and policy in place covering SMME
entrepreneurship development, there appears to be a void when it comes to women
entrepreneurship development. This is evidenced by the absence of gender
disaggregated data, gender mainstreaming interventions and indicators measuring
gender empowerment which could assist in raising greater awareness on women‘s
involvement in the mainstream economy of the ICT sector. Empirical studies, such as
this study could provide a starting point in closing this information gap as qualitative
research has depth and breadth in investigating phenomena that has not been
examined before.
56
The dearth of women‘s representation in policy decision-making core environments of
the ICT sector and low levels of active participation in the mainstream economy of the
sector are an indication of existing gender inequalities manifested in discriminatory
views. This global phenomenon bares evidence suggesting the contrary to utopian
political and economic agendas of different countries in particular developing countries
fetishizing women‘s economic and development benefits through the ICT sector. South
Africa is no exception as its ICT SMME development policy framework (fragmented)
continues to gloss over women empowerment (Green paper) issues and thus further
marginalising women from ICT.
The following theories articulate the digital discourse to analyse gender sensitivity and
insensitivity in the context of the ICT sector.
3.2.1 Cyberfeminism
Essentially, cyberfeminism in broad terms refers to feminist supposition of ?critical
analysis and rethinking of gendered power relations related to technology? Paasonen
(2005). Cyberfeminism borrows qualities from other feminist theories focusing on the
socio-cultural (Plant 1996; Wilding 1998) and economic (Haraway 1997; Wajcman
2004) relations of power in the ICT sector and the application of these theories to
gender in the ICT discourse of both developed and developing (Gajjala 1999) countries
(South Asia). Cyberfeminism as a movement increasingly raises awareness of the
digital divide in understanding women‘s use of new technologies (ICT) profitably in the
fight against patriarchy which manifests itself in the form of gender-based
discrimination. Cyberfeminism arose in contestation to the ?pessimism of the 1980s
feminist approaches that stressed the inherently masculine nature of techno-science?
(Wajcman 2004) and third world perspectives of women‘s marginalisation from ICT
(Gajjala 2003; 2004). Recent cyberfeminist thinking (Paasonen 2010: 349) suggests
activists should engage more critically with ?contemporary technocultures in order to
map out [new forms of politics] solutions for current social and economic inequalities?.
This signifies the relevance that the theory has in the present day.
57
Haraway (1997:127), who advocates against historically established male domination in
the fields of science and technology, encourages women to engage in politics ?…the
meaning-making processes of technoscientific world-building? that goes beyond
naturalism and essentialism fostering stereotypes that come with women‘s
marginalisation from ICTs. Haraway‘s sentiments of bridging the digital gender divide
based on a postmodernism perspective, acknowledge variables marginalising women
from new technologies relating to issues of connectivity to the Internet and the effective
use of ICT for economic gains which are factors highlighted in the findings of this study.
Women‘s marginalisation from ICTs on the basis of discrimination is a perpetuating
condition which defeats the purported utopian view of the ICT sector being an enabling
environment (GEM 2012) to spur women-driven entrepreneurship.
Haraway‘s gender sensitivity activism approach in raising awareness on the need for
women‘s active involvement in the politics of technology in order to influence change is
recognised by Hawthorne and Klien (1999) who also advocates for women‘s solidarity,
that is, coalitions based on affinity rather than on identity. Solidarity, according to
Haraway is a means to women empowerment fostered by political bargaining power
which is informed by the critical analyses and evaluation of gender power relations
concerning ICT political agendas.
Activism efforts then centred mostly on political strategies addressing key concerns
regarding the marginalisation of women from new technologies on the grounds of
discrimination. This activism campaign attracted global attention that drew feminist
activists into the movement from theorists across disciplines, technocrats including
artists who got together as a collective that saw the early establishment (90s) of a
number of international collaborative virtual information networks such as, ?VNX Matrix‘,
?The Old Boys Network‘ which were used as a platform for ?participatory democracy?
(Wajcman 2004:3).
Plant‘s (2000) perspective on activism rests on the premise that women are the future
in the digital space as women and new technologies are inseparable. This assumption
is based on women‘s self empowered position to manipulate the Internet (at the time)
58
and therefore in a position to weaken patriarchal power. Plant in this regard, veers
support for a radical transformative political activism approach that, ?…women can
either accept, adapt or refuse altogether?. Plant is of the view the effect of change can
be realised when contemporary discourses are relevant to women‘s current concerns.
Similar to Plant‘s essentialist views, Millar (1998:2000) contends women‘s
empowerment ?…will lead to an end to male superiority because women are uniquely
suited to life in the digital age?. However, such postmodernist thinking is a fallacy,
particularly in the context of developing countries challenged by inhibiting socio-
economic and political structural issues revealing disparities in women‘s engagement
with new technology (ICT). ?Although utopian thinking is indispensible to feminist
politics, there ought to be a clear distinction between description and imagination
[hyper-realism]? Nowotny (2006:109).
Wilding (1998:50) also counteracts utopian views based on an argument that,
?technological processes are gendered in a manner that excludes women from access
to the empowering points of techno-culture?. This view is in line with colonialist thinking
interpreting technology in the context of sexism and racism ?Cyberfeminism Racism,
Embodiment? (Fernandez 2003) entrenched in the politics of technological resistant to
reform (male dominance). Daniels (2009) in support to such views, argues that gender
inequalities are the cause of women lagging behind and women‘s limited participation
(activism) in the global digital economy.
Wajcman (2004:6) in agreement to this attributes the problem to scientific and
technological fields being historically dominated by men and argues the envisaged
emancipatory role of new technologies in bridging the gender divide is nothing but a
fallacy as technology is used by men as a ?key source of power? which limits women's
prospects in the ?digital economy [ICT sector]? (2004:6). This thinking in the context of
the ICT sector is evidenced by women‘s underrepresentation in the digital space.
Braidotti Rosi (1996), also a sceptic of postmodern ideology ?hyper-reality‘, on the basis
that it disregards postcolonial discourses which directly impacts on the sociology of
ICTs, advocates for a different activism agenda which takes into account the socio-
59
political dynamics associated with postmodern ideology. Rosi draws attention to the
realty that the nature and the depth of socio-political dynamics of a society are
challenging to address as they are rooted in the fabric of the society‘s system. For
example, assuming that discrimination (social dynamic manifested in a business
environment) levelled against women entrepreneurs within the ICT sector can
disappear, is a misnomer. Evidence suggesting women‘s underrepresentation as
articulated in the literature review including findings in this study is evidence of
discrimination encountered by women within the sector. Discrimination, it could be
argued in this context, is deliberate (women denied access – influenced by colonialist
ICT policy regimes) and subtle (women‘s economic marginalisation despite their entitled
right to benefit from affirmative procurement policy – ICT BEE scoring card) based on
authoritarian (coalition of role players in the ICT marketplace – men using dominant
might to dictate the rules of the game) and capitalist market ideologies (women‘s
subordinate economic participation – boxed in low-tech instead of hi-tech environments)
that drive the politics of the ICT sector. Economic discrimination in this regard is a
multi-faceted system of oppression that legitimates the practice of male dominance.
Braidotti Rosi (1996) holds the view that new solutions are required to solve
postmodern thinking in relation to discourses hypothesizing women‘s emancipation in
the digital space enabled through new technologies. Technology however, cannot
balance (bridging the digital divide) what cannot be balanced (based on gender
inequities) not even in the near future for developing economies like Africa in view of
the gap between demographics and regions characterised by structural disparities in
the social (low technology adoption levels), technological (low innovation levels to
leapfrog technology) cultural (ICT men‘s environment) , economic (high infrastructure
costs, low SMME penetration levels into ICT sector), political (ICT policies) realms.
The 2012 Global Information Technology Report released by the World Economic
Forum reviewed in this study attests to this. The report ranks 142 countries (worldwide)
in using ICT to boost economic competitiveness and reports South Africa‘s ICT state of
readiness (72nd from 61st in 2009) to be on the decline (70th in 2013: WEF 2014).
Indicators pointing to this include: ICT not leveraged to accrue potential benefits
associated with ICT; insufficiently developed ICT infrastructure (82nd) ; ICT usage
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(76th) and enterprise based innovation system (34th); economic impacts accruing from
ICT (59th); social impacts (98th). The overall picture painted by the report casts doubts
on the capability of developing countries and emerging economies to leverage the full
potential benefits associated with ICT. This based on the figures indicating stagnant
growth despite improvements in infrastructure across nations to signify efforts in
bridging the digital divide (WEF 2014). These facts should be a concern for activist
ascribing to counter suppositions idealising women‘s role in the ICT sector based on the
reality that economic inequalities in the ICT still exist. However, concerning women‘s
visibility, there are pockets of evidence in some industries of the ICT sector of the
country suggesting evidence of gender transformation (MICTSETA 2012).
Wakunuma (2013:186) in illustrating gender inequalities, in the context of gender and
ICT policy reform, refutes claims made by government idealising women‘s possibilities
of making a contribution towards economic activities in the sector based on a number of
structural issues inhibiting women-driven entrepreneurial development indicated in the
SANEF (2013) and MICTSETA (2012) reports, which are one of the few reports
providing comprehensive data on the industries of the ICT sector. The SANEF report
reveals slow transformation in some various industries such as, the print and media
industries concerning women‘s ownership, management control, skills development and
employment equity. The MICTSETA report reveals a huge gender divide in terms of
occupational levels by industry. Women as the report indicates are underrepresented
in all industries except in service and sales positions where they outnumber men and
elementary occupations equalising with men. The gap is more evident at management
and professional level (this analysis is provided in subsequent the heading). A host of
structural factors which include low education attainment and skills levels are
highlighted in the report as factors contributing to the digital gender divide. In this study
one of the gaps identified was the lack of disaggregated data which would have given
concrete evidence to support findings that women‘s active participation is far from the
idealised statements from governments where the Eastern Cape Province is
concerned. Counter to the utopian view articulated in the above discussions, clearly,
women‘s relationship with ICT for underdeveloped countries and economies (Gajjala
2004) has an opposite effect of creating ?social disparities and social dislocations for
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women in Africa? (Adomi 2011:217). In closing, Adomi argues that all ICT policies of
developing nations should be gender mainstreamed on the backdrop that national ICT
policies in Africa have yet to actually address inequalities with respect to making
provisions for gender matters and issues of inequalities in the sector.
Women‘s economic marginalisation however, cannot be left to the powers of the market
to resolve. Women entrepreneurs need to take a stand to advocate for transformation.
Collective activism has been and can be a powerful force of women‘s empowerment in
addressing gender oppressive regimes. In recent writings from proponents of the
school of cyberfeminism there appears to be a growing interest in appealing for activists
in the ICT space to revive cyberfeminism activism but with a shift in paradigm (Daniels
2009; Paasonen 2010).
Although cyberfeminism may appear to have faded, in academia the discourse
continues and carried outside on new media platforms such as Facebook and Twitter
(social media). This form of online activism however, is criticised by some feminist
activists (Simone 2010; Evans 2014) who believe the discourses on gender inequality
are fragmented and do not necessarily have a clear agenda as opposed to
cyberfeminism (politically motivated). Another criticism concerns the absence of
structure in terms of formation which lacks that element of a radical community which
cyberfeminism was built on. Indeed it can be argued that online activism is more
individualistic than collective. This observed from the frequency at which blogs attract
and loose audiences. A number of reasons can be attributed to this; one being,
individualistic activists tend to use online platforms as an escapism to experiences of
gender oppression and therefore the intent is often not necessarily a call to action as
the contributions to the conversation are often not impactful. Whereas, collective
activism seeks a call to action ranging from online to offline collective action that has an
approach to shared problem solving and intent to influence decision makers. Group
formations ?networking platforms, in the context of this study are platforms that women
entrepreneurs could take advantage of to launch activism campaigns to counteract
gender insensitive agendas. From the findings of this study, women entrepreneurs
were found lacking in networking skills. This finding associated with a confirmation that
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women entrepreneurs did not know of other ICT enterprises within the market place.
The same observations were made from another study (Eagly & Carli 2007:68) which
claims women, different to men, are likely to under invest in ?social capital? (networking
platforms). The lack of networking skills in this study was attributed to a number of
factors associated with socio-cultural barriers related to stereotypes domesticating
women‘s role which results in women juggling ?multi-tasking‘ domestic and business
responsibilities.
The findings also revealed that women entrepreneurs were, on discriminatory grounds,
economically marginalised as the agenda in meetings did not accommodate women
issues. Linked to this finding were claims that women were subjected to sexual
innuendos intended to reduce their self-confidence and self-esteem and thus a
confirmation of an attitude indicative of discrimination manifest in the form of
insecurities entertained by men relating to gender inequalities in the work environment
associated with men‘s fear of being in competition with women. These factors correlate
to Reeves (2010:225) who attests to men‘s behaviour that does not recognise women
as business owners and therefore resisting to deal with women in this capacity.
From an entrepreneurship perspective, as attested by literature, gender-based
discrimination is characteristic of women-driven entrepreneurship thus the need for a
collectivist approach in challenging gender oppressive regimes. This based on the
?intrinsic value? of collectivism that draws strength from within the group that builds an
individual‘s ?self-esteem and self-confidence in accessing ICT networks that go beyond
local boundaries (Evans & Nambiar 2012:4).
Notably, the above discussion invariably justifies the theoretical cyberfeminism lens
used to in this study to examine the research questions seeking to understand women‘s
perspective concerning women-driven entrepreneurship in the context of the ICT sector
of the Eastern Cape Province which is an underdeveloped economy characterised by
structural problems entrenched in a post-colonial regime.
Although the prioritisation of gender equality continues to be treated as a core
developmental objective in its own right (Washington: World Bank 2012; South Africa:
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Women Empowerment and Gender Equality Bill 2013) and women entrepreneurs
viewed as an integral part of growing and developing the economy of a country, in
particular the ICT sector which is under review, the digital era, however, has not
changed, as women are still digitally and economically marginalised from the economic
mainstream in the ICT sector. Gathering from the from literature reviewed, women‘s
inactive role in activism in the ICT sector of the country particularly in the context of the
Easter Cape Province, will continue to perpetuate gender inequalities unless action is
taken. Collective activism as such, can be a powerful force of women‘s empowerment
in addressing gender oppressive regimes.
3.2.2 Entrepreneurship
3.2.2.1 Gender-based discrimination in the context of entrepreneurship
Gender, which is ?patterned, socially produced distinctions between female and male,
feminine and masculine? (Acker 1992:250) is a central concept in this study for
contextualising prevailing gender inequalities concerning women-driven
entrepreneurship in the ICT sector which is dominantly perceived as a men‘s
environment. In this study, discrimination on the basis of gender takes many forms;
including inequalities in education, workplace, career; stereotypes; sexual harassment
and socio-cultural role expectations. These facets of gender-based discrimination point
to the findings of this study which highlighted socio-economic structural barriers that
perpetuate gender inequalities in entrepreneurship processes such as men‘s behaviour
that does not recognise women as business owners. This includes resistance to deal
with women in their capacity (Reeves 2010:225) as entrepreneurs and thus resulting in
discrimination that economically deprives women from accessing business opportunities
(tenders) otherwise available to men. This form of discrimination according to the
findings, has been linked to gender based sexual harassment associated with
corruption (officials asking for bribes) including women‘s deliberate exclusion from
networking agendas as attendance is dominated by men.
Women‘s constant subjection to economic marginalisation on the basis of
discrimination, the findings reveal, has resulted in them developing apathy emanating
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from an absence of ICT policies favouring the promotion of women-driven
entrepreneurship. According to Paludi, Paludi, Jr. and DeSouza (2011:205), in the
context of women-driven entrepreneurship, women entrepreneurs face three types of
discrimination namely: i) occurring in customer or product markets; ii) lowered earnings
for women than men and ii) discrimination levelled against them by financial support
systems.
In this study, findings also reveal that women entrepreneurs (both start-up and
established) fell short in the area of marketing their enterprises. Factors contributing to
this were, local competition associated with ineffective marketing by new entrants linked
to customer brand loyalty favouring established enterprise and the economic
marginalisation of established ICT enterprises vs new entrants who were getting more
business (tenders) through internal connections (corrupt government officials). The
economic marginalisation of women entrepreneurs also related to irregular tender
adjudication processes that officials override such as BEE affirmative policies that are
usually in place, and women‘s inability to access financial assistance on the basis of
gender. These factors were related to low motivation levels which consequently lead to
them closing down their enterprises. This consequence was linked to government and
private sector‘s apathy influenced by the absence of an ICT development policy
framework policy.
Parallel to these findings the OECD in 2012, published a report ?Closing the gender
gap: Act now?, which broadly focused on four categories namely: i) gender equality,
social norms and public policy and gender equality in ii) education; iii) employment and
iv) entrepreneurship from which indicators (2005-2009) were drawn to measure the
performance of women-owned enterprises and the findings according to these
indicators suggest women lag behind men-owned enterprises in all four areas.
Relevant to the context of this review, findings in terms of gender equality in
entrepreneurship indicate amongst a host of factors the following: i) fewer women-
owned enterprises than men-owned enterprises; ii) on average women-owned
enterprises have lower profits; iii) women-owned enterprises lag behind in average
productivity, profits and generation of new jobs; and iv) differences in credit use and
65
access by women entrepreneurs. These findings are an indication that gender
inequality is a global phenomenon across industry sectors in terms of women‘s
economic marginalisation.
3.2.2.2 SMMEs contribution to economic growth and job creation
Economic outlook
Looking at the current outlook of the of the South African economy in the context
of the relationship between economic growth (when slowing down) and
unemployment growth (then rises), and in relation to SMMEs postulated impact in
contributing towards the two; and in view of current structural barriers influencing
SMME driven entrepreneurship highlighted in the literature review, the future of
women driven entrepreneurship within the ICT sector of the country depends on
the economic and entrepreneurship lens used to justify their active participation.
The following theories and research findings put perspective to the discourse.
The economic outlook in terms of GDP, South Africa‘s economy is projected to grow
with 2.7% in 2014 and 3.2 % in 2015. South Africa is hovering a 1.4 per cent far below
the minimum of 5.4 per cent that NDP projects over the next 15 years (SME index
2013). South Africa experienced an average growth rate of 1.8 per cent (2013)
registering a decline affected by labour market disruptions whilst in 2012 the growth rate
was 2.5 per cent. South Africa‘s economic recovery since 2009 has not been robust.
The previous years between 2008 and 2012 an average growth of about 2 per cent was
registered against a 7 per cent the previous years 2004 and 2007 obviously affected by
the global recession period. Although the manufacturing sector occupies the significant
share of the country‘s economy, a decline (17%) was registered in 2012 in 2013 its
contribution was recorded at 15.2 per cent. The ICT sector‘s contribution in 2013 was 7
per cent. The Eastern Cape provinces figures are not so promising either as growth
has been sluggish affected by the national economy‘s receding growth from 3.5 per cent
in 2011, to 2.5 per cent in 2012 and 1.8 per cent in 2013 (DEDEA 2014). The two
industrialised areas that the province‘s economy hinges on (DEDEA 2014), namely the
Nelson Mandela Metro (NMM) and Buffalo City Metro (BCM) which contribute largely to
66
the growth of the province‘s economy (GVA 59.9% & 25.1% respectively). There is
political will in terms of the prioritisation of rural development through upgrades and the
installation of new infrastructure. This includes the creation of new jobs generated from
these projects (State of the Province Address 2014).
Notably, in the address pertaining to sector priorities, no reference is made to the ICT
sector. This correlates to the DEDEA report (2014) where the ICT sector is not
amongst the sectors prioritised. Against this background and micro investment
platforms including mainstream media statements proclaiming economic gains and
employment growth accrued from SMME entrepreneurs, it can be argued SMMEs
across sectors are unlikely to make a significant impact. The situation is not so
promising either where women-driven entrepreneurship is concerned.
The utopian view
SMME driven entrepreneurship is considered to be one of the drivers for economic
growth and job growth in both developed (GEM 2013) and developing economies
(Tambunan 2009), because of their ?key role in processes of creative destruction
[Schumpeter 1994] knowledge exploitation [Drucker 2008] breakthrough and
incremental innovation [Dunlap-Hinkler 2010]? (OECD 2010).
In South Africa, SMMEs development and job creation is prioritised (NDP 2012). This
post to the advent of democracy in 1994 where every growth strategy document is
placing emphasis on SMME development on the precursor of poverty eradication and
women‘s economic empowerment (ICT sector code for BEE 2013).
In light of the views basing the contribution of SMMEs as being more pronounced in
developing economies than developed and therefore viewed as catalysts in growing the
economy, the Eastern Cape Province has also prioritised SMME development however,
the economic growth figures are not so promising although SMME development is
regarded as one of the growth strategies to boost the economy (PGDP 2004-2014; EC
ICT Strategy 2009-2014). However, growth and increases in productivity will require
policy to focus on the potential obstacles mentioned above.
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Tambunan (2009:2) in justifying the contribution of SMMEs towards the growth of an
economy in particular developing economies akin to the one under review in this study,
singles out the following characteristics: i) SMMEs have the potential to create
employment because they are big in numbers and scattered widely; ii) are government‘s
political agenda based on their potential for employment growth; iii) use appropriate
technologies to factor local conditions in developing economies; iv) have the potential to
expand; v) have the ability to develop entrepreneurs from local talent; vi) the primary
market for SMMEs uses simple production methods and produces simple products that
can be consumed readily by locals; and vii) as part of their dynamism SMMEs achieve
increased levels of productivity over time through investment and technological
changes.
In addition, Fischer and Reuber (2000:2) in the context of job creation claims SMMEs
have the potential for increasing rural based entrepreneurship ?telecommuting‘ whereby
SMMEs operate from home. These entrepreneurs are usually in the ?knowledge
economy? (Drucker 2008:269) for example, in the context of the ICT sector, training
providers, research and development practitioners employ few assistants on a contract
basis (temporal employment).
In light of the above, the contribution of SMME women enterprises in accordance to the
findings of this study is more visible in capital intense environments where few jobs are
created as opposed to labour intense environments which are mainly in manufacturing
most where jobs are generated. Jobs generated in the capital intensive would be few
as highly skilled and skilled labour is required as opposed to labour intensive
environments requiring mostly unskilled labour.
Looking at SMME employment creation in the context of global statistics (GEM 2012;
2013; 2014 and SME Index 2013) compared to the South Africa, the country lags
behind its peers (Sub-Saharan countries) in terms of entrepreneurial uptake in 2013
registered a figure of 10.6% against an average of 26,6% (GEM 2013). According to
the SME Growth Index (2013) a normal uptake is usually in the region of 10% (25-34
year). In 2012 South Africa dropped to 7.3% from 9.1% in 2011 below an average of
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14% (GEM 2012). These figures signify a drop in entrepreneurial activity in South
Africa can be linked to fewer opportunities for growth in jobs generated by SMMEs.
In the context of the Eastern Cape Province, unemployment rates are high and
possibilities of new job creation are deem based on the low uptake levels of early
entrepreneurship in the formal sector (2%) discussed elsewhere in this document and
indicated in the findings of this study where women entrepreneurs affirmed they were
unable to contribute meaningfully to permanent employment as the following statement
suggests.
“We cannot commit to quality job creation…people are poached by other
companies or go after better opportunities. You train them and they
leave…you cannot employ graduates…they are expensive. You struggle to
generate income to sustain the business…and without cash flow where are
you going to get money to pay people [salaries]?”
Structural barriers the findings suggest were also at play in influencing possibilities of
sustainable employment generated by SMMEs.
The pragmatic view
Against the background of economic growth correlating with unemployment and the
offset of imbalances, Dagada (2012) predicts South Africa in the next 15 years is
unlikely to significantly increase job creation levels despite the economy demonstrating
growth in GDP terms, unless there are direct flows of investment into Africa.
Booyens (2011) in line with research findings (SME Index 2013) questions the
associated impact and benefits articulated from a utopian perspective arguing that
statements are exaggerated regarding the sustainable viability of SMMEs. This
argument is based against the background that SMMEs operate in a highly
concentrated economy dominated by large enterprises; that they have the lowest
education attainment levels in the world (Global competitive index report 2014/15); and
that entrepreneurship processes are impacted by inefficiencies in SA Revenue Services
(SARS) including Broad Based Black Economic empowerment stringent codes. Other
69
impeding factors are structural municipality blockages, labour laws and regulations
(SME Index 2013) including low start-up entrepreneurial rates, and the lack of an
entrepreneurial culture (GEM 2014).
Concerning the ICT sector and taking into consideration that it is highly technical and
therefore requiring technically oriented labour, and against the reported ICT skills
shortage in South Africa, it is no wonder that government‘s claims are exaggerated
especially where the ICT sector of the Eastern Cape Province is concerned.
Looking at the postulations that women-owned ICT enterprises can contribute to
employment growth in the ICT sector; grow their enterprises (migrating from small or
medium to the next level); engage in processes of creative destruction (innovative
solutions); raising their own start-up capital; ?propensity to acquire technological
capabilities and develop new products and processes and thus contributing to national
technological development and competitiveness? (Fischer and Reuber 2000:4) is
currently unachievable in the current future where women-driven entrepreneurship in
the ICT sector of the Eastern Cape province is concerned. The following reasons
qualify this claim.
With regard to specific statistics that reveal the status of SMMEs enterprising in the ICT
sector in South Africa, not much literature is available as the sector is under-explored.
Often data is included under general statistics reporting on manufacturing output (dead
in terms of ICT sector of Eastern Cape Province) or export output (growth in Eastern
Cape Province is stimulated by domestic consumption) affected by exchange rates
making it expensive to trade in international markets and from a domestic point of view
the regulatory compliance issues (duty and taxes) that are weighing on SMMEs. The
ability to export is a sign of the SMMEs competitiveness.
However, although e-commerce trading is an open opportunity for SMMEs to divert
trade restrictions as confirmed by Maier and Nair-Reichert (2007) study analysing the
benefits of e-commerce and e-retailing in the context of SMMEs in developing countries
where SMMEs have accrued benefits in terms of greater ease concerning efficiency in
administrative and financial processes when linking up with regional, national and global
70
economies. The findings of this study attest to this as one of the women entrepreneurs
whose core business was e-commerce based had this to say:
“It [e-commerce] has also made it possible for business to open 24/7 all
over the globe. Business with ecommerce websites is open anytime and
anywhere, making purchases from different countries easier and
convenient”.
Notably, there was a dearth of literature covering gender disaggregated indicators to
prove evidence of women‘s potential to contribute sustainably towards economic growth
and job growth. The absence of ICT indicators is another missed opportunity to
stimulate local economic development within the sector as other aspiring entrepreneurs
(unemployed but with ICT skills) would be absorbed in women-owned ICT enterprises
or get inspired to start their own ICT enterprises based on case studies of performing
and successful ICT enterprises. In sum the ICT sector of the Eastern Cape Province
critically analysing the utopian view of SMMEs contribution in the ICT sector of the
Eastern Cape province poses challenges to the sustainable viability of SMME women-
driven entrepreneurship based on the province‘s socio-cultural, economic, technological
and political structural barriers influencing women-driven entrepreneurship
development.
Early stage entrepreneurship
Tambunan (2009) holds the view that SMMEs women entrepreneurs based in
developing economies (rural areas) have the tenacity to survive albeit structural
limitations and suggests telecommuting as a viable option. Telecommuting is common
nowadays especially in the small business segment where most start-up ventures are
launched from home. One of the reasons for this, viewed with gender lenses, can be
associated with gender-based discrimination in the form of gender inequalities reflecting
start-ups (women‘s) inability to secure finance confronted with rejection from financial
institutions based on a number of reasons articulated elsewhere in the literature review.
Start-up capital for all new ventures is determines continuity or discontinuity of the start-
up enterprise. Capital is often needed for renting out office space, office furniture and
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buying equipment. Telecommuting in this regard may be a viable option for women
entrepreneurs escaping business related gender biases. However, the downside of
telecentres as an entrepreneurship models in the context of encouraging
entrepreneurial uptake (drawn from local talent) in semi-urban and rural areas
especially from the youth segment is that, youth may not be inspired to venture in the
direction of telecentres, particularly if the intention is to start a business for purposes of
earning an income ?necessity driven entrepreneurship? (GEM 20140) particularly when
faced with no other option for work). On the other hand, those who want to start a
business with the intent to exploit an opportunity in the marketplace may venture in the
direction of a private telecentre entrepreneurship model. However, based on the failure
rate of private telecentres in rural areas they may not be a viable option for start-ups
based on the fact that these centres require heavy investment in terms of financial and
human resources as opposed to community based telecentres. Community based
telecentres provide advantageous benefit such as, business mentorship to build
members capacity in business skills and financial management including financial
stability in the form of donor support. However, in terms of employment growth,
telecentres have limited potential for growth in new job creation faced with the limitation
of financial constraints linked to inability to hire qualified staff as they have to be paid
more than what low skilled labour requires.
Another finding relating to telecommuting, concerns women entrepreneurs not being
counted in official statistics (Haffkin & Hyer 2006; Heeks 2010); including their needs
which are not taken into consideration in the design of SMME support programmes
(Maier & Nair-Reichert 2007). This appears to be a common phenomenon in
underdeveloped countries. The findings of this study also reveal the absence of sex
disaggregated data, underrepresentation of women entrepreneurs in core ICT
environments where decisions regarding women‘s engagement with ICT are made on
the behalf as women are underrepresented at management level including their
exclusion from ICT policy making processes and programme design holds clues of
gender inequalities which are well document in literature and research studies
articulated in the literature review. These issues are compounded by governments‘
apathy in promoting rural based SMME entrepreneurship. This influences gender
72
inequality in rural driven entrepreneurship development. The findings of this study
reveal a huge digital gender divide between urban, semi-urban and rural SMME
observed in terms of the limited availability of women-owned ICT enterprises especially
in rural areas where ICT women-driven entrepreneurship does not exist. Even men-
owned ICT enterprises which are few offer ICT training (not accredited) including their
dominance (management structure) in community run telecentres ?technology access
centres?(Lesame & Seti 2014). Men mostly own internet cafes and women own
payphone businesses (Buskens & Webb. 2009). Statistics in the Easter Cape Province
attest to infrastructural disparities which influence ICT driven entrepreneurship in rural
areas. In relation to connectivity, about 75.9 per cent of households have access to a
cellphone and 81.2 per cent do not have access to the Internet (Stats SA 2014). Albeit
increased mobile penetration levels in rural areas the use of computers and access to
the internet is still limited (SAnews 2014).
Some of the factors influencing the slow uptake of start-up business are motivational
reasons which determine the whether there is appetite for starting a new venture or not.
In this regard findings from a study conducted by GEM (2014) reveal Sub-Saharan
countries excluding South Africa see good opportunities on the basis that they have the
necessary business skills and knowledge to start a new business compared to South
Africa.
Concerning the Eastern Cape Province and according to the findings of this study,
women entrepreneurs were found lacking in business skills and knowledge of the
industry (market intelligence). This kind of behaviour would be according to Bapat and
Harkal (1989:244) associated with ?know how risk? which concerns entering the
business without an adequate preparation in terms of knowledge and skill (technical).
The following statement from the finding of this study confirms this.
“They do want to get into the sector but lack business knowledge. For
example, some have tried but have failed because they start
big…[pause]…which is a challenge. Instead of starting small then building
up their business like, start out with an internet café to get the ropes. Doing
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training [as a training provider] for starters may be sustainable as over-head
costs are more manageable”.
Although the lack of such skills was an issue, it did not deter some start-up
entrepreneurs who willingly took a ?personal risk? described by Bapat and Harkal
(1989:244) as risk associated with a willingness or preparedness to survive under
extraordinary hardships ?sink or swim? which involves heavy opportunity costs. The
findings of this study revealed when women were faced with such adversities, tend to
close business as the following statement confirms.
“Women quickly give up on business especially faced with the challenges I
have just mentioned…[pause]…they rather opt for employment yet men
are more dedicated and will take the risk”.
The levels of discontinuity (GEM 2014) generally in the start-up segment throughout
developing countries are higher than men. This associated with gender factors manifest
in gender-based discrimination. The spirit of determination and zeal is a positive
attribute of an opportunity-driven entrepreneur who is constantly alert (perceiving the
market environment correctly) of new types of economic opportunities regardless of
resource limitations (human capital) which are garnished along the way. Not every
entrepreneur (opportunity-driven) aspiring to get into the ICT sector is going to first
study towards an ICT qualification but may draw on previously acquired qualifications in
business management or may have a business acumen based on years of business
experience (acquired from another sector). The following statements from the findings
of this study support this view. The first one relates to the ICT enterprise owner who
ventured into the ICT sector with no prior technical skills and runs an established
business:
“Coming into the ICT environment…understanding the link between my
computer and the shared network was just completely new. So I had to
undergo training…sometimes you get service providers that give you the
tools that you need but you do not get the right training for you to be able
to utilise them [ICT] to their fullest potential.”
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The second one relates to the ICT enterprise owner who had an IT qualification (start-
up):
“Well I am running this business that deals with IT (Information
Technology) and communications [laughs] but I am really not an IT expert
I just know the basics”.
Such entrepreneurs surround themselves with technically oriented staff and seek
support in the form of business mentoring and coaching to empower themselves in
technical skills. As much as one of the barriers to entry is associated with low education
and skills attainment in ICT, the fact is structural issues that can neither be wished away
nor addressed in the long term because they are embedded in the social fabric of
society. In this regard, SMME demographics and psychographics (where radical change
can happen) have to be critically analysed based on the unique characteristics of the
province as each province differs.
For example, findings from the study reveal women entrepreneurs (successful in
another sector before joining the ICT sector) initially had reservations in joining the ICT
sector based on the fear factor of business failure where they were anticipating lack of
government or private sector support or peers (men) to mentor and coach the them.
This correlates with the findings of this study where gender-based discrimination played
a role in economically marginalising women as they could not access business related
information from networking platforms which were dominated by men. Parallel to this,
one of the research questions of this study sought women‘s understanding of the ICT
sector and their understanding of the ICT sector and what ICT meant to them in terms
of their engagement with ICT. The findings suggested women entrepreneurs developed
an attitude of failing before they had even failed influenced by gender insecurities.
Because entrepreneurial activity is gender sensitive including the ICT sector, socio-
cultural, economic and structural barriers will continue to influence entrepreneurship
processes irrespective.
South Africa is ranked on par with European countries in terms of having gender
balanced rates of start-up business that are started ?out of necessity? GEM 2014).
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Measuring perceptions of social values towards entrepreneurship in South Africa about
69.6% (Botswana 69.9%) of people see entrepreneurship as a good choice and in
terms of the rate of successful entrepreneurs 72.9% (Botswana 78.1%) faring better to
Asian developing countries.
The fear of failure factor, where women are concerned was a finding that correlated with
this study revealing women entrepreneurs concerning ?risk-taking? (Bapat & Harkal
1989:244) being averse and keen at the same time to embark on business venture
risks. Financial risk was associated with the risk of business failure and personal risk
taking associated with their determination to succeed despite socio-cultural, economic
and technological structural barriers encountered that were manifest in gender-based
discrimination resulting in being economically marginalisation in the mainstream
economy of the ICT sector.
Innovation in entrepreneurship
From a South African perspective, Booyens (2011) claims innovation levels are unlikely
to increase remarkably for ?dynamic? enterprises including start-up enterprises and that
if it does happen it will be in the very early stages of product life cycle. This confirmed
in the SME Index (2013) attesting low levels of innovation in SMMEs arguing although
early stage enterprises ?born digitals‘ contribute towards innovation the low levels of
innovation will not enable them to stand a chance over competition as they tend to offer
the same product (in demand) instead of offering new products (not in supply).
Booyens in agreement argues innovation is stifled by SMMEs failing to form strong
upward linkages with larger enterprises which would assist them in technology diffusion
this affirmed by (Magubane & Goko 2013). In this study, the findings revealed SMMEs
relied on large enterprises for support in terms of research and development (R&D) to
launch their products.
Although the creation of new enterprises is associated with innovation, not all
enterprises are equally innovative. The findings in this study attest to this. The
question of innovation was explored through the study‘s research questions seeking to
understand how women-owned ICT enterprises put to use ICT as a core product. This
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was against the background of women and their engagement with technology being
researched from a usage point of view. The findings from the analysis of their
product(s) and service(s) value chain revealed most ICT enterprises lacked the element
of innovative. This is supported by the following statements.
In statement was in relation to the woman‘s conceptualisation of the concept
entrepreneurship which was one of the study‘s research questions. The response was:
“…it is so hard to find someone like that [innovative] really…someone taking
something ordinary and realising that you can actually do something more
by making it extraordinary.”
The following statement sought to ascertain the level of innovation in women-owned ICT
enterprises. This statement was an affirmation on an earlier view claiming the element
of innovation from their entrepreneurship was lacking.
“Now what government and everybody [private sector] is looking for is
progressive SMMEs who are constantly at the fore front [of innovation].
Also, for me, I see them as part of a research and development sector.
Because they should be looking at a problem and coming up with a
solution, you know! That is the value that they are supposed to bring.”
In this regard the findings pointed to a gap in research from both the academic and
industry community in the province concerning critical assessment studies analysing
how SMME women-owned ICT enterprises factor innovation ?creative destruction?
(Schumpeter 1994:83) into their value chain of entrepreneurial processes. Other
findings revealed that some enterprises were moderately innovative except for one
manufacturing whose entire value chain had factored innovation. The following
statement supports this finding.
“Innovation is at the heart of any ICT business and women come through
with innovative ideas that improve the growth of the business. For
example, we have come up with and innovative product which is a tablet
PC powered by solar”.
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Other findings revealed women entrepreneurs were lacking research and development
(R&D) capability and wanted government to support them by imparting information
(market intelligence on ICT sector) that would assist their enterprises to offer ?relevant‘
products but ?different‘ (innovative) to what competition was offering so as to remain
competitive in the ICT sector. This finding is linked to Drucker‘s viewpoint that ?what
matters in the knowledge economy is whether knowledge, old or new is applicable?
(2008:269) implying new information will not be utilised unless ICT applications are
rooted in the realities of local circumstance and diversity. Heeks (2010) on the other
hand in regard to the design of innovative yet ?relevant‘ products for the marketplace
(developing economies) suggests three types to innovation approaches that can be
employed namely: i) laboratory (pro-poor) i.e. innovation done on behalf of community
e.g. Internet cafes; ii) collaborative (para-poor) i.e. innovation done working alongside
communities e.g. telecentres; and grassroots (para-poor) i.e. innovation by and within
community i.e. ICT training. To go by Drucker‘s concept of ?knowledge economy?, the
examples given (Internet café, Telecentre and ICT research) are not labour intensive
activities that require heavy investment but have room for innovation in terms of content
development that could be exported i.e. development platforms to share experiences
with counterparts in developing countries. Also on the basis of inclusion no level of hi-
tech skills are required but innovative intellectual capital that can revolutionise
acceptable forms of technology ?creative destruction? (Schumpeter 1994:83) in the
advent of mobile applications and based on their uptake in rural communities (Gillwald
2013). Booyens (2011) in this regard made recommendations advocating for
government to encourage ?knowledge networks? to enable the exchange of information
(market intelligence) between SMMEs and counterparts (large enterprises) in domestic
and global markets. Similarly, the findings of this study, a need for networking platforms
akin to ?knowledge networks? to cross pollinate information with counterparts through
outbound missions facilitated by government was identified by women entrepreneurs.
Against this background a clear understanding of the SMME environment within the
context of the ICT sector and an understanding of SMME women demographic and
psychographic dynamics is imperative. A research of this similar nature ?Understanding
women entrepreneurs in South Africa? was conducted on women in the SMME segment
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(formal sector) and not related to a specific industry (SME Growth Index 2013). The
report examines characteristics of their enterprises; their motivations for entering
business; their growth orientations and how different they are to their male counterparts.
Therefore more research needs to be conducted to get the entrepreneurial culture right
on SMMEs in general and women exclusively in the ICT sector of the Eastern Cape
Province.
Another possible option that SMMEs could take advantage given an enabling policy
environment to build innovative capacity is through the unbundling of services.
However, there are pessimistic views held by critics regarding the ICT sector as a
nurturing ground for SMMEs concerning the postulated benefits accrued from the
unbundling of services (economies of scales reaped through small scale production –
increasing competitive advantage through innovation), which could enable SMMEs to
leapfrog stages of technological development to achieve economic growth resulting in
more job creation opportunities.
In this regard, positive gains in terms of leapfrogging technological development are
reported in Africa which is progressively closing the gap with the rest of the world
showing positively performance in every environment of ICT sector – mobile; 11
broadband; international bandwidth; and PC penetration (eTransform Africa 2012). The
majority of these countries however, are factor-driven (high rates of early stage
entrepreneurial activity that is opportunity driven) whilst South Africa draws advantages
from efficiencies but needs to graduate towards an economy driven by innovation to
foster economic growth through job creation and technical innovation (GEM 2014; SME
Index 2013). Although within the broad ICT sector, SMME entrepreneurs account for
the majority of enterprises in terms of numbers and across industries of the sector, they
account for a relative small share of total employment (SEDA 2012:36).
Findings from this study are in tangent with all of the above findings sharing the same
structural barriers that inhibit economic growth and jobs generated by SMMEs, in
particular where women-owned ICT enterprises are concerned. Other factors that can
be mentioned applicable to the Easter Cape ICT sector concern: high ICT costs; low
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innovation levels; low export potential; the lack of entrepreneurship models to drive
employment; the lack of ICT innovation hubs or clusters to support ICT driven
entrepreneurship in semi-urban and rural areas; including government‘s apathy in
supporting SMMEs. All of these factors impact on the SMMEs potential to generate
new jobs on a sustainable basis. In this regard Drucker‘s (2008) theory on
?discontinuity? of underlying contemporary socio-cultural, economic, technological and
political realities that pose challenges necessitating the enforcement of change to shape
the future that is already here with us, is more relevant than yester. Drucker delineates
four areas of discontinuity namely: i) the explosion of new technologies resulting in
major new industries; ii) the change from an international to a world economy that
presently lacks policy, theory and institutions; iii) a new socio-political reality of
pluralistic institutions that poses drastic, political, philosophical challenges; and iv) the
new universe of knowledge based on mass education and its implications in work and
leadership. The advancement of women-driven entrepreneurship in the ICT sector of
South Africa and the Eastern Cape Province can only happen when there is recognition
from both policy makers and women entrepreneurs that women‘s active involvement
can happen only if ICT policy and programmes are gender mainstreamed and address
current structural issues.
Conclusion
From a research perspective, qualitative women-driven entrepreneurship studies across
industries conducted on developing countries, Africa in particular, is hard to come by.
Often women entrepreneurs are included under the umbrella of small medium
enterprises and it is rare to find disaggregated data including specific sector indicators
to measure their performance not withstanding policy that is gender sensitive. The ICT
sector is the most challenged.
The ICT sector of the Eastern Cape Province that is under investigation is no exception
as there is a void in research focusing on women-driven entrepreneurship which was
motivation for conducting this study which adopts a bottom up approach that seeks to
address the digital gender divide. The findings highlighted gender-based discrimination
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as an inhibiting factor which perpetuates the divide manifested in many forms of gender-
based discriminatory behaviour embedded in post colonialist socio-economic and
political structural issues of the ICT sector such as: inaccessible finance; business
related information; inequalities in workplace; career differences; and gender based
sexual harassment. The differences were evident between urban, semi-urban and rural
areas as attested to by many cyberfeminists authors and researchers in literature
reviewed which is not conclusive but selected on the basis of being relevant to
categories that emerging from the findings.
The job creation function of SMMEs is of great relevance to the recovery of the global
recession since it is clear that policies enabling innovation in new and small firms will
have benefits not just for improving products and services and increasing efficiencies
but also for meeting job creation challenge of high unemployment. This correlates to
government‘s agenda for promoting SMME driven entrepreneurship policies and
innovation to meet productivity and job creation objectives (NDP 2012). What is still
lacking though is a solid and comprehensive understanding of what policies need to do
to release the innovation capacity of start-ups and established ICT enterprises.
The following in the context of the findings from Tambunan (2009), Fischer and Reuber
(2000) compared to the findings of this study suggest the following characteristics as
being workable in the context of the women-driven entrepreneurship in the ICT sector of
the Eastern Cape: i) industrial clusters (ICT Hubs) to foster innovation nurtured through
mentorship programmes as suggested by women entrepreneurs interviewed; ii) SMMEs
using E-enabled but appropriate technologies to factor local conditions in developing
economies. This correlates with Heeks (2010) idea of inclusivity (disadvantaged
communities) to enable them to use co-design products; iii) developing
entrepreneurship indicators on economic growth generated by women entrepreneurs;
iv) export growth (small scale) of manufactured products and services and development
of entrepreneurship, manufacturing industries in the rural areas.
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3.3 SKILLS SHORTAGE AND IMPACT ON THE ICT ENTERPRISE
Despite the important role SMMEs have to play in the economic mainstream of the
sector, there are still expressed concerns that there is a shortage of ICT skills in South
Africa (SEDA 2012, MEG 2012, WEF 2013). Reports from government, training
providers, industry, and academia are vocal about this skills gap. These reports
emphasise the two extreme polarities between a concentration of non-ICT professionals
and a few high-tech professionals. According to a report published by SEDA (2012:8),
the education department has an important role to play in terms of aligning its
curriculum to incorporate the business element to ICT training. Seegers (PwC 2013), in
this regard, states: "Businesses are struggling with a widening mismatch between the
skills of their workforce and the skills required"; especially for high-end solutions. This
aspect is also observed by Tshabalala (2012) and Harris (2012) and noted in the JIPSA
report (2010:46). Seegers (2013) recommends a joint partnership approach between
businesses and governments as a solution. It includes collaboration to prioritise
investment in employee training and development, as well as higher learning institutions
that increase the pool of ICT skills output. These remarks are based on the findings of
the PwC 16th Annual Global CEO Survey (2013). In this worldwide survey, the CEO
interviews highlight the global predicament of a critical skills shortage; particularly in
technology and engineering that are relevant fields to this study. This shortage appears
highest on the list of the most serious threats to business growth. ICT Academy head
Van der Westhuizen (Vermeulen 2013) also acknowledges the lack of ICT skills in the
country: ?There is a definite gap in the market, and we are working towards closing that
gap?.
The lack of entrepreneurial training (Penfold 2012:41) has been identified as one of the
factors contributing to business failure (Harris 2012), especially at start-up businesses
that often lack business management skills. Numerous reports (e.g. the Global
Competitiveness Report 2008 – 2009; 2014-2015) are echoing the same concerns in
terms of the education system in South Africa and the crucial reform that could benefit
sectors, such as ICT, where there is a dire need for innovative solutions. Figure 3.1
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depicts the findings of a survey conducted in 2012 in relation to the different technical
skills in the ICT sector.
Figure 3.1: Types of different technical skills required in the ICT sector
Source: The MICTSETA (2012)
The Global CEO Survey (2013) further emphasises concerns about the limited culture
of innovation that is cited in the Global Entrepreneurship Monitor Report (GEM
2012:37). The breakthrough in R & D output, according to a sector report (EY G20
Entrepreneurship Barometer 2013), includes technological advances that are
recognised as the principal catalyst in continually accelerating business transformation.
The report states CEOs are dissatisfied with the speed at which companies are
adapting to technological change, since they view new products and services as the
primary driver of growth in their companies.
The joint partnership issue (GEM 2012:79) compliments the key outputs of the JIPSA of
government. These mandated outputs include the: i) prioritisation of key skills and
implementation of appropriate human resources development strategies to address
these issues in the short to medium term; and ii) mobilisation of senior leadership in
business, government, organised labour, institutions concerned with education and
training, science, and technology to address national priorities in a more co-ordinated
and targeted way (2010).
The report confirms that JIPSA managed to deliver on its mandate at the close of its
term by increasing the number of students graduating in the field of engineering (14.11
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per cent), technicians (3.63 per cent), and technologists (15.79 per cent). The
MICTSETA properly articulates the need to address the ICT skills shortage. The
MICTSETA in its Skills Sector Plan (2013 – 2018) identifies a skills gap at national level
(Figure 3.4) of different scarce and critical technical skills (Figure 3.2) required in the
ICT sector and in many industries. In relation to the fluctuating figures, it is reported
that while application development skills were an important priority during 2009 and
2010, it declined in 2011. On the other hand, the importance of business intelligence /
knowledge management (BI / KM) skills showed an increase in 2011 and software as a
service had significantly grown over the three-year period. With regard to database
development and information security, in 2011 the figure had declined from the high
figure recorded 2010 back to the figure reported in 2009.
Figure 3.2: National ICT priority skills 2009 – 2011
Source: The MICTSETA (2012)
A SEDA study (2012:136) assesses the performance of the services sector and
describes the challenges businesses are facing. The main challenges specifically
encountered by businesses in the ICT sector include the lack of relevant business
management skills, training in technical ICT skills, financial skills, and marketing
knowledge. The lack of these skills negatively affects the operations of ICT enterprises
and their growth. Access to ICT and skills remains an issue (James et al. 2006;
Valenduc, Vendramin & Guffens 2004) that is closely associated with women
entrepreneurs‘ inability to competitively participate in the market place. A lack of
literacy constrains women‘s entrepreneurship, since it is higher for women than it is for
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men (United Nations 2013) and restricts access to business information that is critical
for increasing and sustaining their competitiveness in the marketplace (Chiware 2007).
The role of education is highlighted as an important element of encouraging
entrepreneurship. Fanaroff (2013:5) remarks:
?Education is another priority issue in South Africa. Skilled employees are
necessary for the development of high-growth businesses. We need a much
more focused effort on education at every level in South Africa: junior
education, tertiary education, university education as well as developing
general high-level skills. I think there is great potential for online training,
which could be boosted with more connectivity to schools in rural areas? (EY
G20 2013:5).
According to Niethammer (2013:34), international research evidence reveals that
women have weaker business backgrounds than men. The lack of relevant (technical)
education and limited access to skills training affect the growth of women enterprises.
Especially in the underdeveloped areas (both urban and rural) of South Africa, for
example, females are given fewer educational opportunities, particularly at the higher
education levels (Kelley 2013:19). Figure 3.3 depicts the different types of skills that
are in demand in the SMME segment of the ICT sector as identified in the 2012 survey
of the MICTSETA.
Figure 3.3: Types of different skills required by small business in the ICT sector
Source: The MICTSETA (2012)
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At an international level, particularly in economies that are part of the Organisation of
Economic Development, Niethammer (2013:31) mentions comparable data about
women-owned enterprises that provide evidence of an increasing number of start-up
women-owned enterprises which are mushrooming at a higher rate than men-owned
enterprises. This evidence advances the assumption that ?the poorer the country, the
more likely women‘s entrepreneurship is driven by necessity? (Niethammer 2013:32).
The increasing number of women-owned ICT enterprises has also been reported.
3.4 SMME WOMEN-DRIVEN ENTREPRENEURSHIP AND ITS SIGNIFICANCE IN
THE ICT SECTOR
3.4.1 Why women empowerment in the ICT sector is important
Women empowerment in the South African Constitution (1996, Section 9[2]) advocates
for the advancement of women. According to the Broadband Commission Working
Group report (2013:8) on broadband and gender, while the concept of empowerment is
related to gender equality, it also differs from it in some aspects. The commission
maintains: i) the core of empowerment is embedded in the ability of women to control
their own destiny; ii) empowered women should not only have equal capabilities (such
as education); and iii) equal access to resources and opportunities, such as
employment, but the right to use those capabilities, resources, and opportunities to
make decisions in the context of leadership opportunities and participation in the ICT
sector.
Women empowerment should be viewed as:
?Opening up access to decision making, but also must include processes that
lead people to perceive themselves as able and entitled to occupy that
decision-making space (Rowlands, 1995). Empowerment is sometimes
described as being about the ability to make choices, but it must also involve
being able to shape what choices are on offer. Empowerment corresponds to
women challenging existing power structures which subordinate women?
(Oxaal & Baden 1997:3).
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Narayan (2002:45-49) provides a succinct definition relevant to entrepreneurship which
covers i) accesses to information; ii) inclusion and participation; iii) accountability; and
iv) local organisational capacity.
Access to information considers levels of transparency and accountability that are
exercised to facilitate communication (clear messages) that is two-way (between the
provider and receiver) and that is able to enhance one‘s knowledge (informative). In
the context of SMME entrepreneurship accessing information that is business related
from both government and private sector programmes designed for SMME
development is key (SEDA 2012). Often as the findings of this study revealed,
information is not readily accessible due to the medium (online) used which may not be
accessible for entrepreneurs who do not have access to the Internet or landline.
Although mobile phones can be used in accessing the Internet, affordability (airtime or
data bundles) can be a barrier for most SMMEs. For those who can afford access,
information often is not easily retrievable as webpages are often not user-friendly or
information required relating to SMME business opportunities is not included.
Affordability (telephone costs) can become an issue again when responsible officers
are not accessible through direct contact (service centres). Unnecessary telephone
costs are usually incurred when holding on for long before establishing contact this
includes rental and connection costs (ADSL Internet service provider). As attested in
the literature review and findings of this study, SMMEs due to problems in accessing
finance, find it these costs an unnecessary expenditure.
Secondly, the face-to-face medium is ideally preferred by most entrepreneurs as they
are able to visit local, regional and provincial offices. However, information at local level
may not be readily available due to a disconnect between the local and provincial office.
In instances where information is available at local level, officers are not empowered
enough (too junior or unknowledgeable) to address SMME information needs. The
findings of this study attest to inefficiencies and incapacitation of government officials.
Getting access to information is a constitutional right that is institutionalised through
Access to Information policies of companies enforced by law. In the context of
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decision-making, it is crucial for SMMEs access business related information timeously
as this may impact on their bottom line. For example, getting information on tenders on
time (before a few hours) before the tender closes impacts on planning decisions that
go with considerations for resources that is, financial and human capital. For example,
SMMEs have to ensure that monies are available (backup) in case the tender is
awarded. This consideration is usually taken on the backdrop of governments slow
turnaround payment cycle which maybe anything from 30 days to 90 days even more
and at times the consequence is business discontinuity. The findings from this study
concerning decision-making, revealed women entrepreneurs were not included in
micro-economic decision-making ICT platforms (formal and informal) to make their
contribution (as co-producers) on the grounds of gender-based discrimination. Another
issue that findings report is the lack of transparency in information regarding getting
access to tenders as they were often not advertised especially in instances when they
were reserved for particular entrepreneurs. This behaviour was associated with corrupt
tendencies by government officials who deliberately marginalised others to manipulate
those chosen by extorting bribes or to ask for sexual favours in exchange for the
awarded tender. Having a collective voice (entrepreneurial advocacy) as women,
promotes gender sensitivity into processes driving entrepreneurship. Besides, it would
be motivation to break the stereotypes associated with women-driven entrepreneurship.
In the context of inclusion and participation, literature review and the findings of this
study attest to the fact that women are not involved in decision-making platforms where
women could be in a position to advocate for gender sensitive ICT policy and
programme implementation. Accessing such platforms will be in their ?power‘ in
enhancing transparency by challenging officers who deliberately violate procedures and
holding them accountable for service delivery entrusted in their power. In this regard,
women entrepreneurs‘ working together with government and private sector officials to
solve blockages influencing women-driven entrepreneurship would be an affirming local
organisation capacity. The findings of this study affirm women‘s assertive decisions on
taking action to address gender sensitivity issues. Women‘s self-empowerment was
perceived along the lines of getting access to business related information, improving
education and skills training in ICT, participating in decision-making platforms to
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mention a few. Empowerment in this regard meant being visible in environments
dominated by men and having a voice in raising awareness on matters concerning
women-driven entrepreneurship within the ICT sector. This type of leadership thinking
is characteristic of Eagly and Carli‘s (2007) description of women‘s leadership qualities
which entail being an inspiration for others (women aspiring to enterprise in the ICT
sector). Eagly and Carli contend women tend to have a maternal concern for treating
others (employees) compassionately and transferring skills. These views correlate with
the findings of this study were women entrepreneurs (employers) demonstrated a
passion for empowering others (employees, learners and community members). This
kind of empowerment can be linked to role modelling. This also correlates with the
findings which highlighted there need for role models especially in rural areas to
encourage more women entrepreneurs to join the ICT sector.
In the context of this study, women empowerment is viewed as a process that leads to
women entrepreneurs‘ understanding of their assertive role in challenging and forming
part of the decision-making processes where they could advocate for issues in relation
to the development and implementation of ICT policies. For example, influencing
change in the ICT education and training environment is critical.
The Women Empowerment and Gender Equality Bill (2013) endeavour to mainstream
women empowerment and refers in Section 9 (3) to designated public and private
bodies, as well as the ambit of their responsibilities. These responsibilities include the
development and implementation of plans and strategies that would assist women to
gain power and control over decisions and resources that determine the quality of their
lives with the view of achieving the progressive fulfilment of women empowerment and
gender equality. Section 5 of the Bill (2013) refers to the development and
implementation of policies and programmes that, according to Section 6, should include
economic initiatives (cf. Section 10 [3]) that benefit women and their rights to access
such initiatives. This is congruent to the joint partnership approach discussed
previously.
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3.4.2 The relationship between ICT and business
Evidence of the role of ICTs in business has been well documented in literature and
there is no doubt about the cost effective gains that accompany ICTs and the ability to
accelerate several stages of technological development. However, little attention is
paid to researching women-owned ICT enterprises in the ICT sector of the Eastern
Cape Province, since there is no evidence of disaggregated data to identify and
document differential access between men and women in order to inform provincial
policy decision-makers and programme implementers. This study seeks to fill that gap.
The disaggregated data in Table 3.4 should be readily available in the ICT sector of this
province because it clearly indicates the disparity in favour of males at the managerial,
professional, and technical occupational levels.
Figure 3.4: Number of employees in the MICT sector segmented by gender
(2012)
Source: The MICTSETA (2012)
Lack of such data is contributing to diverting attention away from women economic
marginalisation while the opposite should take place. According to Wood in Valenduc
et al. (2004), ICTs that are sufficiently gender-sensitive have the potential to be
inclusive rather than marginalising. Increasing women entrepreneurs‘ participation in
the ?T‘ of the ICT sector is important as opposed to their evidential contribution to the
?IC‘ of the sector (Monyooe & Ledwaba 2004). This could be associated with claims
made by Bibby in Valenduc et al. (2004:11) who suggest, in mapping ICT professions,
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that ICT enterprises should focus on creating more value in the area of ICT knowledge
(core ICT work, e.g. ICT producers) and less on ICT-enabled areas (business domain
knowledge, e.g. ICT users).
It could be argued that the impact of women-driven entrepreneurship in the ICT sector
is minimal, since the ICT sector of the province is still considered to be in its embryonic
stages (ECDC website). The empirical findings of this study attest to this assertion as
women entrepreneurs are faced with numerous challenges that obstruct them from
contributing actively to the mainstream economy of this sector. Women
entrepreneurship is regarded as the key to ?unlocking economic growth for South
Africa? (Global Entrepreneurship Monitoring 2008) and the barriers to this process are
well documented in research studies (Small Enterprise Development Agency 2012).
However, there is minimal impact on narrowing the digital divide between women and
men entrepreneurs in the ICT sector, since no imminent support exists for these
women-owned ICT enterprises, including those in rural areas, that are economically
marginalised in comparison with men-owned ICT enterprises.
The SEDA Survey (2012:136) identifies specific challenges of businesses in the ICT
sector that include:
i. Access to finance is a serious challenge for ICT businesses as it hampers every
aspect of the business from operations and management of cash flow to
purchasing equipment and paying for running costs.
ii. Working capital is another big issue that businesses face, particularly for a start-up
ICT business. Accessing working capital could be difficult for SMMEs.
iii. Lack of infrastructure is a serious concern, since the ICT industry is based on
infrastructure. Therefore, having the necessary existing infrastructure, as well as
having access to infrastructure are critical to developing a sustainable business.
iv. The high cost of imported components and products for resale affects the cash
flow and profit margins as price fluctuations cannot be mitigated. Yet, the price of
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services and products need to remain relatively unchanged in order to retain
existing client bases.
v. The biggest effects of the obstacles and challenges on businesses in the ICT
sector recorded in 2012 are:
? Decline in business (25 per cent);
? Slow business growth (20 per cent); and
? Increased operational costs (19 per cent).
However, there is a widely held consensus (American Express Open 2013, Herrington
& Kelly 2012; Niethammer 2013:31-39) about the significant role that women
entrepreneurs play in the economic growth and development of a country, especially in
developing economies. Their impact is evident in the area of job creation.
Maria Pinelli, Global Vice Chair, Strategic Growth Markets, (EY G20 Entrepreneurship
Barometer 2013) with regard to these issues observe:
?The need to act is clear. Entrepreneurs have the power to create jobs and
drive growth – but first we need to give them the tools and the environment
that will enable them to succeed.?
On the same note, Fanaroff (EY G20 2013) remarks:
?It?s no secret that unemployment is a huge problem in South Africa. And one
of the keys to dealing with this is to increase the number of entrepreneurs
who can create new jobs. I think the Government needs to focus more
attention on increasing the number of entrepreneurs and the numbers of new
businesses? (EY G20 2013:5).
The MICTSETA shows evidence that SMMEs are making inroads into the ICT sector;
between 2011 and 2012 there was an increase of seven significant enterprises in the
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Electronic Media and Film, Electronics, and Information Technology sub-sectors These
are areas where women are mostly concentrated.
Figure 3.5 shows it would appear that women are attracted to the advertising sub-sector
in particular but they also favour the electronic media and film sub-sector.
Figure 3.5: Gender distribution of employees (2012)
Source: The MICTSETA (2012)
According to the MICTSETA, the number of small enterprises increased due to new
start-up enterprises across all sub-sectors while the same trend does not appear in the
large enterprises.
The innovation metrics of the EY G20 Entrepreneurship Barometer (2013:7), recorded
low performance scores for the country in terms of spending on R & D and the number
of registered researchers in this environment while ?patent applications fell by 24 per
cent between the year 2008-2011, an indication that the country‘s research institutions
are unlikely to produce a large number of innovations with a commercial application in
the near future thus undermining prospects for the country‘s innovation-led start-ups?.
Challenges in education (poor or lack of orientation in science and technology) are
contributing to these low levels of innovation by women entrepreneurs.
According to the Global Entrepreneurship Monitor Report (2012), elements that drive
innovation and entrepreneurship are: i) R & D transfer; ii) Entrepreneurial finance; iii)
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Government policies; iv) Government entrepreneurship programmes; v)
Entrepreneurship education; vi) Commercial and legal infrastructure for
entrepreneurship; vii) Internal market openness; viii) Physical infrastructure for
entrepreneurship including culture and social norms.
3.5 THE IMPACT OF CORRUPTION IN RELATION TO WOMEN-DRIVEN
ENTREPRENEURSHIP
Corruption is a common phenomenon in both developed and developing countries both
in government and private sector. Corruption is commonly viewed as ?acts in which
public power is [abused] for personal gains in a manner that contravenes the rules of
the game? (Jain 2001:73; Treisman 1998:1). In South Africa, the term ?tenderpreneur?
is commonly used to describe government officials who enrich themselves by awarding
government tender contracts in a corrupt way. A survey conducted by the United
Nations (2012) findings revealed SMEs resorted to corrupt tendencies to survive as
they had to compete with large enterprises. The findings also reveal that corruption is
tolerated by SMEs who have a ?short-term vision and perspective since they tend to
think only about the present or the very near future as they often see only the short-
term benefits of corruption and don‘t think about the hidden costs that will accumulate in
the long run? (2012:2).
Jain (2011), in addition, explains how corruption occurs at many levels on a continuum
of benign to extreme corrupt activities. Jain provides this example:
?Most people are exposed to corruption in its benign form when they have to
pay a bribe to receive a service from a government official. Quite often, the
service would have been a right of the citizen; the bureaucrat may merely
have discretion over imposing some costs… on the citizen before granting
the service? (Jain 2011:3).
This is akin to corruption activities that women entrepreneurs interviewed in this study
levelled at government officials. These women claimed that they were expected to pay
a bribe (percentage of the tender) in exchange for tenders awarded by government
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officials. Another finding revealed fierce competition for government tenders between
women and men-owned enterprises that were start-ups and established enterprises.
Established enterprises were economically marginalised whilst start-up enterprises who
had connections with government officials to by-pass bureaucracy. The term
?destabilising the market? was used by one of the women entrepreneurs in articulating
the radical change that was associated with unfair competition. They also claimed
sexual favours were expected of women when awarded a tender. The findings also
report no action was taken in reporting corruption as no action would be taken against
these officials and women were not sure about the procedure to follow if they were to
report them. Corruption in this context was a result of gender inequalities manifested in
economic inequalities. In a study conducted in South Africa by the Institute for Security
Studies in 2004, findings reveal, corruption was not reported based on a view that it
would not change anything and the fear of being victimised was a contributing factor in
covering up corruption including the lack of knowledge about where and how to report
it. The United Nations report (2012) in this regard provides a guideline on how to curb
corruption such as, making use of business networking forums to raise awareness and
including corruption related issues in the curricular of entrepreneurship training.
In the context of the Easter Cape Province, corruption is bound to be rampant as
confirmed by this study as there are stark inequalities between urban, semi-urban and
rural areas where poverty levels are high, unemployment figures are high, the economy
is slow and a majority of SMME activity is in urban areas. This is not surprising as the
ICT sector is still in its embryonic stages of development and no legislative framework is
in place to deal with matters of corruption as other countries are doing. Unless women
entrepreneurs take action, corruption will continue to influence women-driven
entrepreneurship processes to their marginalisation in the ICT sector.
In conclusion, whilst it is corruption is a common practice in many African countries
(Global Entrepreneurship Monitoring Report 2012; 2013 PwC Annual Global Economic
Crime Report), the effect that corruption has on entrepreneurship development is
growing concern as it is creating entrepreneurial apathy and increasing further
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economic marginalisation of those SMMEs that are not fortunate enough to have inside
connections to influence tender processes to their advantage.
Trentini and Koparanova (2013) state that women entrepreneurs are less likely to
engage in corrupt behaviour than men entrepreneurs. They further claim that women
starting small businesses or expanding established activities are particularly affected
and note that corruption in the public sphere limits the effects of special support
programmes for women entrepreneurship. MEG (2012:79-80) also illustrates the
magnitude of this corrupt culture that is increasing countrywide and affecting the ability
of businesses to survive and grow in South Africa. MEG remarks:
?Government must enable market access for legitimate small companies by
putting an end to „fronting? and „tenderpreneurship?. Corruption must be
eradicated completely, at all levels of society, to allow legitimate new and
growing businesses a fair chance. Furthermore, not only does corruption
have a negative impact on existing businesses, it could also lead to a
decrease in both perceived opportunities and the desirability of
entrepreneurship, thereby affecting our already small pool of potential and
intentional entrepreneurs? (MEG 2012:80).
Trentini and Koparanova (2013:8) acknowledge the practice of corruption as a common
behaviour, especially among new entrants who engage in corrupt behaviour that they
term ?administrative corruption?. It refers to illicit and non-transparent provision of
payment to public officials in exchange for preferential treatment in procurement
processes. In this study, women entrepreneurs alleged that new entrants were
?destabilising the market?, since they had inside information to tender specifications,
therefore, they were able to undercut the price of traditional suppliers (women-owned
enterprises). Subsequently, those traditional suppliers hardly benefitted from the BEE
scorecard system which government intended as an added advantage (extra points
awarded) for women-owned ICT enterprises. In this regard, it could be argued that
these perceptions confirm the close link between corruption and gender-based
discrimination. The deductive section of Chapter 5 provides an extensive comparison
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between empirical data and the theories of cyberfeminism and entrepreneurship that
reveal the magnitude of the problem.
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3.6 SUMMARY
This chapter provides a theoretical account of the insights extrapolated from existing
theoretical frameworks that could broaden the understanding of the categories identified
by the researcher that were central in the empirical findings. Discrimination levelled
against women entrepreneurs appearing in different facets including corruption, as
confirmed by literature, is an issue that women entrepreneurs from other business
sectors and across the country are experiencing. Although legislation embraces
women empowerment, in practice women remain marginalised in the ICT sector, since
support from government remains illusive. Other studies also emphasise the
insufficient capacity building of women entrepreneurs, especially, their lack of access to
business related information. This includes their inactive role in activism for active
participation in the mainstream economy of the sector. Despite the fact that
government and the private sector recognise the significant economic role of women
playoff in the ICT sector, no effective coordinated action programme addresses the
needs of these women. The following chapter maps out the research methodology
followed in the MGT design and ends with the data collection and analysis procedures.
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CHAPTER 4
RESEARCH METHODOLOGY
?Qualitative research is like peeling away the onion, until one gets closer to
the essence of the phenomenon.? (Sprenkle & Piercy 2005:69)
4.1 INTRODUCTION
This chapter offers a description of the MGT research design (Goldkhul & Cronholm
2010), a summary of the research aims, the research questions addressed in the study,
and illustrates how the MGT method was systematically applied to generate the
substantive theory with the purpose of exploring and explaining SMME women-driven
entrepreneurship in the ICT sector of the Eastern Cape Province.
The research design emphasises an iterative analytical approach to data collection and
analysis in developing the substantive theory. Data was analysed inductively and
deductively. The inductive driven analysis was conducted following a sequence of
procedures that included: i) full transcription, familiarisation and initial interpretation
including member check procedure; ii) identifying early codes and conceptual labelling;
iii) generating and relating substantive categories, properties and dimensions; iv)
constant comparison (Glaser & Strauss 1967:115, Strauss & Corbin 1998: 223) within
the first interview and between subsequent interviews; v) saturation of categories; vi)
systematic and cumulative theoretical sampling (Strauss & Corbin 1998:210) and vii)
theory condensation. Data was deductively analysed employing MGT analytical
procedures not found in GT namely, explicit grounding, comprising of theoretical
matching, explicit empirical validation and evaluation of theoretical cohesion. The
chapter also highlights the limitations of the research design and describes the ethical
considerations.
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4.2 RESEARCH AIMS
The research study aimed at providing a grounded analysis of women-driven
entrepreneurship in the SMME segment of the ICT sector in the Eastern Cape
Province.
The researcher needed to develop an in-depth understanding that was grounded in the
experiences of SMME women entrepreneurs who conducted enterprising business
activities in this sector. The voices of women entrepreneurs were used to describe
what happened contextually in practice in their enterprises and why it happened. In the
process, the researcher sought to identify fundamental factors from emerging data that
influenced women-driven entrepreneurship processes and exposed issues or restrictive
conditions about the status quo that women entrepreneurs were concerned about. The
was analysed data enabled the researcher to substantiate a change orientated support
programme with the view of continued growth and development of SMME women-
driven entrepreneurship in the ICT sector of the Eastern Cape Province.
4.3 RESEARCH QUESTIONS
Based on the research interest, the following research questions were investigated:
i. How do the selected SMME women entrepreneurs conceptualise the ICT concept
as a technology and a sector?
ii. How do SMME women entrepreneurs conceptualise the concept of
entrepreneurship?
iii. Why is the ICT sector regarded as a critical enabler in advancing SMME women-
driven entrepreneurship?
iv. In what way do SMME women entrepreneurs employ ICT as a core product
and service of their ICT enterprises?
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v. How do SMME women entrepreneurs perceive the role of government in
supporting the advancement of SMME women-driven entrepreneurship in the ICT
sector of the Eastern Cape?
vi. How do SMME women entrepreneurs perceive the role of the private sector in
supporting the advancement of SMME women-driven entrepreneurship in the ICT
sector of the Eastern Cape?
4.4 RESEARCH DESIGN
The research design of this study was the MGT (Goldkhul & Cronholm 2003, 2010) that
was anchored in a GT design, described by Strauss and Corbin (1998:24) as ?a
qualitative research method that uses a systematic set of procedures to develop an
inductively derived grounded theory about a phenomenon?.
Wertz, Charmaz, McMullen, Josselson, Anderson, and McSpadden (2011) in Charmaz
(2012) point out the features that distinguish a GT from other forms of qualitative
analysis. GT guidelines advise that each phase of inquiry should raise the analytic level
of the work. Developing theoretical categories is a central part of the analytic process.
We grounded theorists record, check, and presumably saturate the properties (i.e.
characteristics) of our theoretical categories with data. In addition, we look for variation
in these categories and relationships between them. Most qualitative studies address
?what? and ?how? questions (Wertz et al. 2011).
As a novice in grounded theory methods, the researcher guarded against methods that
bordered on pure qualitative and GT analysis that required different coding processes
(Charmaz 2012). The researcher employed Strauss and Corbin‘s (1998) GT approach
as a foundation for this study. Strauss and Corbin‘s methodology was chosen based on
their flexible methods (Glaser & Strauss 1967).
Guided by the research interest and research questions, the study aimed at exploring
and describing SMME women-driven entrepreneurship in the ICT sector of the Eastern
Cape Province. Since little was known about the phenomenon, the researcher was
motivated to contribute towards literature where this ?topic of interest has been
101
relatively ignored in literature or has been given only superficial attention? (Goulding
2002:55). In view of the fact that the development strategies of government and the
private sector put SMME women-driven entrepreneurship in the ICT sector of the
province on the radar screen, this gap in empirical research had to be addressed.
The MGT research design was, therefore, an appropriate choice for the researcher who
needed a research methodology that would be flexible in facilitating the development of
conceptual categories and their relationships that were grounded in the experiences of
participants. The researcher was keen to discover entrepreneurship processes that
indicated ?reciprocal changes in patterns of action, interaction? indicative of ?changes of
conditions that are either internal or external? (Strauss & Corbin 1998:169) to women-
driven entrepreneurship processes and and to understand these processes from the
perspective of the women entrepreneurs themselves.
The interchange between an empirically driven and a theoretically driven approach
(Goldkhul & Cronholm 2010) enabled the researcher to apply a bottom up method for
grounding the evolving theory from an inductive iterative process of data collection,
coding, data analysis, and interpretation. The method of constant comparison,
theoretical sampling, and matching the inductively generated data with theoretical
frameworks grounded the theory. The theoretical frameworks of entrepreneurship and
cyberfeminism were considered because their inclusion was relevant for adequately
addressing the research questions.
Given those research conditions, choosing the GT method (inductive approach) instead
of the MGT method (inductive and deductive combined) was not an option in view of the
fact that there were different versions of the same method (cf. Dunne 2011) that were
not explicit about the use of pre-existing theories during theory development.
Employing a GT framework, therefore, would not have sustained the researcher‘s
confidence in demonstrating procedural adherence to GT methodology that
compromised methodological rigor. Finally, MGT (Goldkuhl 2004; Goldkuhl & Cronholm
2003; Goldkuhl & Cronholm 2010) was employed to provide contextual depth and detail
to exploring this substantive area about the socially centred phenomenon of ?SMME
102
women-driven entrepreneurship‘ that had not been well researched. In essence, the
whole aim of employing the MGT methodology was based on it being an emerging
design that could be employed to explore and ?discover what is going on, rather than
assuming what should go on? (Glaser 1978:159) in terms of SMME women-driven
entrepreneurship in the ICT sector.
As a result of the epistemological underpinnings of this study, the researcher played an
active role in co-constructing the substantive theory (Chamaz 2006) that was evident in
this study because the researcher kept the voices of SMME women entrepreneurs
audible in the meaningful interpretation of the in-depth interviews.
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Figure 4.1: Core tenants of an MGT research design – SMME Women-Driven Entrepreneurship Substantive Theory: data
collection and analysis (empirically-driven and theory-driven)
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4.5 SECTION A: DATA COLLECTION
4.5.1 Selection of participants
Having conducted a controlled literature review earlier, the researcher had an indication
of where to start looking for the sample. There were a number of factors incorporated
in the inclusion and exclusion criteria that the researcher had to take into consideration
that were likely to influence the process of purposive sampling such as, the geographic
location (urban or rural) and the verification of the value chain of products and services
offered by ICT enterprises to maintain data integrity. Some enterprises for example,
although registered as an enterprise in the ICT sector, had since changed their primary
focus from ICT products and services to general trading.
The researcher decided to focus on the Buffalo City Metropolitan (BCM) area – East
London, King Williams Town and Bisho and the Nelson Mandela Metropolitan (NMM)
area – Port Elizabeth, Uitenhage and Despatch. The two metropolitan municipalities
were suitable locations because:
i. Both metropolitan municipalities were urbanised with well-developed integrated
economic development networks, developed infrastructure, full representation of
industries across all sectors of the economy and an economically active
contingence of enterprises. Statistically, 45 per cent of the province‘s GDP comes
from the NMM area followed by BCM (21%) with the remaining shared among the
remaining six district municipalities.
ii. The contact register initially obtained from the MICTSETA before the researcher
conducted the study indicated that a majority of ICT enterprises were situated in
the two metropolitan areas. This confirming the findings from an earlier scoping
exercise conducted to identify women-owned ICT enterprises from the six district
municipalities. With the exception of one ICT enterprise based in Mthatha that
was included in the interviews, other enterprises did not meet the inclusion criteria.
The first interview conducted was selected on purposeful sampling grounds with the
purpose of pilot testing the interview guide. This interview was included in the sample
as no significant changes were made to the interview.
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4.5.1.1 Background on the Eastern Cape Province
The Eastern Cape Province is frequently measured as one of the poorest provinces of
the country after Limpopo and KwaZulu-Natal. The province comprises of a large
proportion of the population living in the rural areas. The province is characterised by
spatial inequality of both infrastructure and economic development between urban and
rural areas. According the Department of Economic Development, Environmental
Affairs and Tourism (DEDEA) statistics (2014), the Nelson Mandela Metro (NMM) and
Buffalo City Metro (BCM) are the two industrialised areas that contribute largely to the
growth of the province‘s economy (GVA 59.9% & 25.1% respectively) although growth
has been sluggish affected by the national economy‘s receding growth from 3.5 per
cent in 2011, to 2.5 per cent in 2012 and 1.8 per cent in 2013 (StatsSA 2014). The
province has the highest rate of unemployment compared to other provinces.
According to the National and Provincial labour Market 2008-2014 report, the
unemployment rate between 2008 and 2014 rose from 37.2 per cent to 39.4 per cent for
males and from 38.1 per cent to 42.4 per cent for females over this same period.
The province comprises of a young working population between ages 15-34 with young
women affected the most by unemployment (10% higher than males). Although the
level of education attainment during the same period is reported to have improved, the
skills shortage across industries, particularly where women are concerned remains a
going concern for the province. Parallel to this is the mismatch between available skills
and those required by industry against a backdrop of rapid technological change and
the demands of modern manufacturing. According to stats issued by DEDEA in 2013,
private sector contributes about 56 per cent to 61 per cent towards employment and the
manufacturing sector relevant to this study in the context of the ICT sector, is counted
among the top three sectors that provide the bulk of employment in the province, and
government services being the largest (35.2%) employer.
Notably, in the DEDEA (2013) report, activities of the ICT sector do not feature among
the listed four namely utilities, (electricity and water), construction, transport and finance
which are measured based on strong forward and backward linkages created with other
activities in the economy of the province. The manufacturing sector, regarded as an
engine for growth (17% GVA), comprises of manufacturing ICT industries largely the
automotive industry which also contributes to a fair share of employment. Not much is
106
reported on the other industries making up the ICT sector which could suggest the ICT
sector is not prioritised in the development agenda although much noise is made about
it in the media and investment platforms.
According to a DEDEA‘s (2014) presentation on the business environment in the
Eastern Cape the following statistics were presented: the two metros, NMM and BCM
contribute 84.6% of provincial manufacturing output; the export contributions are
remarkably low and only 2 per cent of SMMEs are export oriented; the province has
261 000 SMMEs (StatsSA 2007) and the province is considered the third largest SMME
market after Gauteng and KwaZulu Natal; the informal segment accounts for 13 per
cent against a 5 per cent figure of formal SMME activity in South Africa and the
provincial share of the SMME market is about 7 per cent; about 51 per cent of the small
enterprises (micro and survivalist) are located in rural areas; the SMME bands are
brokendown as follows – survivalist (17% of national market) and largest, micro (10%)
fourth largest; very small – relatively small compared to Gauteng (42%), Western Cape
(16%), KwaZulu Natal (12%).
The ICT sector which is still in its embryonic stages of development is not immune to
the socio-economic and technological structural imbalances articulated above
especially in the context of their impact concerning SMME driven entrepreneurship in
both semi-urban and rural areas where the bulk of small enterprises are concentrated.
Issues of access to ICT infrastructure matched with the unavailability of ICT skills in
these areas is a foreseeable challenge concerning bridging the entrepreneurial divide
between these areas and urban areas. Inhibiting factors amongst many characteristic of
the Eastern Cape Province that have a bearing on SMME driven-entrepreneurship in
the ICT sector include, gender inequality, inequalities in education, economic inequality,
and low rate of growth in job creation. In relation to connectivity, about 75.9 per cent of
households have access to a cellphone and 81.2 per cent do not have access to the
Internet (Stats SA 2014). Albeit increased mobile penetration levels in rural areas the
use of computers and access to the internet is limited (SAnews 2014).
These factors have a bearing in harnessing SMME women-driven driven
entrepreneurial activity as women are commonly more disadvantaged concerning ICT
education attainment levels which are essential in a highly technical environment such
as the ICT sector which is innovation-driven and thus requiring high qualifications that
107
are rare to find (MICTSETA 2012). However, as education attainment is an important
determinant of an economy‘s capacity to compete successfully, the ICT sector of the
province with the right skills mix SMMEs may well stand a chance to leapfrog the
stages of technological development through the ICT sector. Although DEDEA attests
to government rendering support in the form of incubation programmes for SMMEs,
Notably, the statistics are not gender disaggregated to give an indication where their
focus lies in concerning women. The focus appears to be on the automotive sector and
the value chain ICT based activities that feed into this sector are not explicitly
mentioned in the DEDEA report (2012).
The postulated utopian view relating to the ICT sector as being a springboard for
SMMEs to accrue economic wealth and contribute to job creation where the Eastern
Cape‘s ICT sector is concerned appears to be an exaggeration based on this review.
Which correlates to the controlled literature review suggesting utopian views held
worldwide (SEDA 2012) and the perceived importance of women‘s role in driving
economic growth (Herrington & Kelly 2012; Niethammer 2013 & Women‘s Net South
Africa) based on the premise that women-owned enterprises grow faster than those
owned by men (Ernest & Young 2013) this against the backdrop of an environment that
is not enabling (EC ICT strategy 2009-2014). These claims are yet to be proven where
the Eastern Cape Province is concerned as there are no guarantors of success of
SMME ICT enterprises in particular women-owned ICT enterprises.
Of significance to this study according to the census report (Stats SA 2014) is that, not
only do women have high unemployment levels suggesting room for possible start-up
business but that females according to the composition of the population of the Eastern
Cape Province outnumber males (4.5%) suggesting a niche market that can be taken
advantage in promoting entrepreneurship development. Evidently, drawing from the
above findings, it would appear there is dislocation between existing literature and
empirical grounded findings, which calls for a thorough analysis of the ICT sector at
provincial level which this study seeks to do. Another study by Kent (2013) conducted
on issues of ICT development in the three provinces of the country including the
Eastern Cape, highlights disparities between urban and rural economies, and criticises
the utopian ideology arguing development cannot be leapfrogged by technology based
on the inherent structural imbalances facing underdeveloped areas.
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4.5.2 Sampling procedures
4.5.2.1 Sample
The sample (Pilot & Beck 2010) for this study was defined as SMME women
entrepreneurs trading in the ICT sector in the two major cities in the Eastern Cape
Province, namely the Nelson Mandela Metropolitan Municipality (Port Elizabeth,
Uitenhage, and Despatch) and the Buffalo City Metropolitan Municipality (East London,
King Williams Town, and Bisho).
These SMME women entrepreneurs were either registered owners of an ICT
enterprise, cooperative, part owner (51 per cent shareholding), or manager in charge
who were responsible for the expansion and strategic development of the ICT
enterprise.
4.5.2.2 Sample size
The sample was not fixed and relied on theoretical sampling. The ?size? of the sample
in grounded methods cannot be decided before the study commences (Strauss &
Corbin 1998:214) but only when ?theoretical saturation? has occurred. In essence, it
means that no further information (concepts) or variation (theoretical) can be obtained
from analysing data any further (Glaser & Strauss 1967:61). In this study, for example,
theoretical saturation was attained at the end of the 14th interview. Although the
sample was small it represented a wholesome account of all substantial experiences.
According to Creswell (2002), a sample size could be about 15 to 20 interviews.
Maxwell (1998) and Strauss and Corbin (1998:281) suggest a figure between 10 and 12
is acceptable in a qualitative research study based on the fact that qualitative research
is rigorous and detailed in its coding processes.
According to Charmaz (2006:114), the sample size could be small with ?modest claims?
and saturation is achieved quicker. This suggests that the quality of collected data
?supersedes the sample size?.
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4.5.2.3 Sampling criteria
? Purposeful sampling
Purposeful sampling is the process of selecting information rich cases for a study
(Patton 2002: 230) based on the researcher‘s personal judgement (Polit et al. 2001).
Purposive sampling – according to Omen, Krugman and Fink (2003) – can be used at
the beginning of a qualitative study. For the purpose of this study, the research
questions guided the purposeful sampling and were specifically used to pilot the
interview guide (Jeon 2004). The subsequent interviews were conducted by means of
?theoretical sampling? (Corbin & Strauss 1998:210). That meant the categories and
concepts emerging from data collected from previous interviews guided the researcher
where next to collect data. Hood, in Charmaz (2006:101), explains the difference
between theoretical sampling and purposeful sampling asserting that theoretical
sampling is ?purposeful sampling according to categories that are developed from one‘s
analysis and not based on quotas but theoretical concerns?.
? The pilot interview
The pilot interview was conducted at the premises of a participant in the Buffalo City
Metropolitan Municipality. The researcher identified the participant from a pre-drawn list
obtained from the MICTSETA.
Nune, Alajamy, Al-Mamari, Martins and Zhou (2010) advocate for pilot studies to be
conducted in a grounded theory approach and state that:
?Pilot studies can… provide the researcher with the necessary reflexivity and
awareness of having the human ecology that Strauss and Corbin (1990:42)
define as 'the attribute of having insight, the ability to give meaning to data,
the capacity to understand, and the capability to separate the pertinent from
that which isn?t'?
The pilot interview aimed at evaluating the clarity and appropriateness of the semi-
structured interview guide questions and gaining insight to changes that subsequently
informed theoretical sampled interviews (Nune et al. 2010). Feedback from the pilot
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interview informed changes made to the interview guide in terms of rephrasing some of
the questions.
? Theoretical sampling
Figure 4.2: Theoretical sampling from Interview 1 to 14
Theoretical sampling (Glaser 1978:36, Glaser & Strauss 1967:45) in a GT research
design happens by selecting subsequent interviewees based on information emerging
from data that has been already coded. This implies that a researcher samples for the
purpose of developing and refining identified tentative categories, their properties,
dimensions, and variations as they emerge from data (Strauss & Corbin 2008:143).
This sampling method is different to sampling applied in a conventional qualitative
design that samples for population representation (Corbin & Strauss 1990:8, Strauss &
Corbin 2008, Charmaz 2006:101; 2012:11). As such, in a quantitative approach
?researchers want to use their data to make statistical inferences about their target
Interview 11
SMME
Interview 1
(Pilot –
purposeful
sampling)
Expert:
Government
sector interview
10
Interview 2
SMME
Interview 3
SMME
Expert: private
sector
interview 4
Interview 5
SMME
Interview 6
SMME
Interview 7
SMME
Interview 8
SMME
Interview 9
SMME
Interview 12
SMME
Interview 13
SMME
Interview 14
SMME
Theoretical
sampling
Emerging empirical
substantive theory
Theoretical
grounding of
substantive
theory
111
population? (ibid.). In a grounded approach, however, the aim is to fit emerging theories
with data. Charmaz (2012) asserts:
?Theoretical sampling is predicated on fresh analytic categories and thus
occurs later. Gathering data to fill out the properties of a tentative category is
theoretical sampling. You keep gathering data until no new properties of
your categories emerge. This strategy means that you saturate [theoretical
saturation] the properties of your category, not the data? (Charmaz 2012:11).
The theoretically sampled women entrepreneurs were initially selected from the
provincial database of the MICTSETA and subsequently through referrals from
previously interviewed women entrepreneurs. The contact register, the researcher
discovered, did not reveal whether the enterprises where women owned or not and that
necessitated the researcher to proceed with a process of verifying ownership by
telephoning every ICT enterprise on the list to ensure that every enterprise met the
selection criteria. A number of ICT enterprises on the list, as it turned out, were owned
by men. The verification process also confirmed a substantial number of ICT
enterprises on the contact register that had either closed down or changed their primary
focus of product offering. That could not have been coincidence. The researcher
reflected on the research interest and speculated why these SMMEs were abandoning
the ICT sector when there was so much emphasis on the promotion of SMME driven
entrepreneurship in the ICT sector, in particular women-driven entrepreneurship.
? Restrictive inclusion and exclusion criteria
The restrictive inclusion and exclusion criteria (Polit & Beck 2010) were employed to
control as many extraneous factors as possible to maintain trustworthiness in the
sampling criteria. The inclusion criteria refer to specific characteristics or criteria that
participants were expected to meet in order to be included in the study. These criteria
included finding eligible participants who were SMME (as defined in the National Small
Business Act 1996) women entrepreneurs from both metropolitan municipalities of
Buffalo City and Nelson Mandela and whose core business, in accordance with the ICT
sector definition (Stats SA 2012), corresponded with any one of the ICT industry
categories; such as manufacturing, producing, or processing ICT related products or
services.
112
The researcher also decided that industry experts would be considered for theoretical
sampling to bridge any gap in information which participants provided. This would
apply in instances where information that participants shared was insufficient due to a
lack of adequate technical knowledge or orientation on a matter.
The exclusion criteria referred to participants whose characteristics or attributes,
according to the sampling criteria, were found not suitable for inclusion. A number of
ICT enterprises registered on the MICTSETA list had to be excluded, since they did not
fit the selection criteria. Some enterprises, for example, had since changed their
primary business focus from ICT to general trading.
4.5.2.4 Profile of participants
A total number of 14 participants from the different ICT enterprises were interviewed.
Chapter 5 contains a detailed profile of participants. The interviews were conducted
between April and September 2013.
4.6 SECTION B: DATA COLLECTION PROCEDURES
4.6.1 Interview guide
An interview guide ?serves as a framework for the main body of a semi-structured
interview and is based on the key questions that the study is addressing? (Arksey &
Knight 1999:97). Different interview guides were developed for SMME women
entrepreneurs, a government sector expert, and a private sector expert. The interview
guides comprised a number of thematic questions that the researcher wanted to
explore during the interview (Patton 2002:341). The interview guide assisted the
researcher in structuring the interview by asking SMME women entrepreneurs the same
questions while providing flexibility in pursuing certain questions in greater depth and
modifying the questions for the industry experts (government and private sector) – as
the MGT theoretical sampling procedures describe – in order to focus attention on
areas of particular importance to the research questions (Lofland & Lofland 1984).
The interview guide contained both closed-ended questions (Part I, Section A and B)
and open-ended questions (Arksey & Knight 1999:97) that were used in Part II,
Sections C, D, and E. Part I was a short section and covered closed-ended questions
113
primarily designed to provide demographic and contextual information about the ICT
enterprise while the more extensive Part II contained open-ended thematic questions
designed to solicit business knowledge information and the role of the government and
private sectors in SMME development.
The structure of the interview guide was:
Part I: Closed-ended questions
Section A: Demographic details of the woman entrepreneur
Section B: ICT enterprise related information (ICT enterprise development and
operations)
Part II: Open-ended questions
Section C: Business knowledge information
Section D: Role of government in SMME development
Section E: Role of the private sector in SMME development
Appendix E contains the interview guides.
4.6.1.1 Semi-structured in-depth interviews
? Interview
An interview is defined as ?a process in which a researcher and participant engage in a
conversation focused on questions related to a research study? (deMarrias 2004:55).
? In-depth interview
An in-depth interview is ?a qualitative research technique that involves conducting
intensive individual interviews with a small number of participants to explore their
perspectives on a particular situation? (Boyce 2006:3). Those individual interviews were
suitable for extensively exploring specific situations in the context of guided
conversations that allowed the researcher to gain insight into issues that were of
?concern to particular segments [SMME] of the population [women entrepreneurs] that
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had not [been given] an opportunity to be interviewed? (Laforest 2009:1) in the ICT
sector. In this study, the researcher was more interested in listening to the point of
view of the SMME women entrepreneurs than using a quantitative data collection
instrument that would have limited the information to what the researcher wanted to
know.
? Semi-structured interview
Saunders et al. (2009), Bogdan and Biklen (2007:103), Jimenz (1985) describe a semi-
structured interview as comprising a combination of structured and unstructured
elements in the format of open-ended and closed-ended questions (Iqbal, Gencel &
Abbas 2012:19). Although ?semi-structured interviews are characterised by an
emphasis on relatively open questions? the researcher may include ?certain closed
questions (Wengraf 2001:162).
? Closed-ended questions
Although closed-ended questions, or ?highly structured questions?, are commonly used
in a quantitative interview design, they could also be included in a qualitative interview
design (Merriam 2009:89). According to Berg (2007:94), closed-ended questions could
also be used in a qualitative interview design especially when the purpose is to obtain
demographic information that describes the sample. Berg advises the questions should
be asked at the beginning of the interview preceding the open-ended questions. The
structure of closed questions comprises ?a pre-determined set of possible answers
derived from the logic of the question? and the questions have a note explaining to the
participant the options of answers to choose from (Bernsen & Dybkjaer 2009:163).
? Open-ended questions
?Open-ended questions yield in-depth responses about people?s
experiences, perceptions, opinions, feelings, and knowledge. Data consists
of verbatim quotations and sufficient content to be interpretable? (Patton
2002:339).
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4.6.2 Interview Instruments
4.6.2.1 SMME women entrepreneurs – individual interviews
? Face-to-face interviews
Theoretical sampled face-to-face interviews comprised 11 participants. Theoretical
sampling was conducted in manner that ensured each woman entrepreneur met the
accepted definition of a member of an ICT enterprise and the ICT sector. That required
the researcher to do a background check on every ICT enterprise before conducting the
interview to maintain consistency in the application of MGT procedures and to avoid
compromising the research findings from a credibility point of view.
The face-to-face interview technique supported the building of rapport with the
participants. The level of enthusiasm and cooperation of participants was clear
evidence of the importance of building rapport , for example, although there were too
many questions available in the interview guide, participants enthusiastically
volunteered information to to the extent that they willingly exceeded the scheduled
interview time. Another contributing factor to the cooperation was the encouragement of
the researcher who egged the participants on to be candid about issues they felt would
augment the improvement of ICT policy and programme implementation in relation to
SMME women-driven entrepreneurship in the ICT sector of the province.
The face-to-face interviews also enabled the researcher to observe the nonverbal
messages that the behaviour of the participants communicated. For example, the
researcher‘s ability to detect when participants experienced difficulty in understanding a
question by interpreting their facial expressions. Another advantage of choosing face-
to-face interviews was the elimination of biases from the interpretation of verbal
responses, since the researcher was able to notice incongruence between verbal and
nonverbal responses. Non-verbal communication, in this study, contributed significantly
to the interpretation of verbal responses and added richness to statements.
? Telephonic interview
The researcher conducted one telephonic interview in this study. Telephonic interviews
were not chosen as an interview technique; however, the researcher had to
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accommodate the participant who was not available for a face-to-face interview. One of
the main disadvantages of a telephonic interview is the inability to observe nonverbal
communication. Different to face-to-face interviews, during a telephonic interview it
could be challenging to detect nonverbal subtleties without applying active listening
skills. Applying active listening skills could eliminate bias in interpreting participant‘s
responses (Creswell 1998). To eliminate bias in interpretation, the researcher applied
?active listening skills? and ?interpretive listening? to seek clarification (Ritchie, Burns &
Palmer 2005:105) from participants during the interview. For example, for clarification
purposes, the researcher confirmed messages by paraphrasing verbal responses
(Beebe, Beebe & Richmond 2005), e.g. ?Am I detecting from your voice a sense of…??,
or ?How does this make you feel??
4.6.2.2 Industry expert interview
? Private sector expert
An interview was conducted with a seasoned SMME woman entrepreneur who owned
an ICT enterprise. The interview was conducted on the grounds of theoretical sampling
to bridge the gaps in information that had emerged from previous interviews that
required input from an expert in the industry. Subsequently, changes were made to the
interview guide to accommodate additional questions in accordance with the MGT
model.
? Government sector expert
The researcher theoretically sampled an expert from provincial government who was
responsible for ICT policy development. The expert was sampled to provide a
perspective from a policy point of view to bridge the gap in information pertaining to
policy matters.
4.6.2.3 Document analysis
According to Bowen (2009), document analysis is a systematic procedure for reviewing
or evaluating documents both in print and electronic format. In this study, the
researcher conducted a document analysis of two significant government policy
documents (Eastern Cape ICT Strategy and ICT Sector Code for BEE) for comparison
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purposes with empirical statements from the prior interviews. Document analysis was
conducted during the deductive phase of theory generation, which is theoretical
matching (Goldkhul & Cronholm 2010). Categories and their properties, including
dimensions, were compared and contrasted with those identified from the specific policy
and strategy documents.
The first advantage of using documents was that the documents were in the public
domain and, therefore, accessible and secondly, it was far less time consuming to
conduct the analysis, since the researcher did not analyse the entire policy document
but only applicable passages that referred to promoting SMME women entrepreneurs in
the ICT sector. The comparison of findings amongst data sets assisted with reducing
biases in the study. The researcher identified a disadvantage, since the policy
document reviewed was scheduled for review subject to ICT policy changes influenced
by national government.
4.6.2.4 Role of the researcher
In accordance with the epistemological orientation of this study, the researcher was
?actively? (Strauss & Corbin 2008) involved in the ?co-construction? (Charmaz 2003:250)
of the emerging substantive theory and, as a primary instrument, was responsible for
collecting, interpreting, and analysing data (Fink 2000).
? Memo recording: Personal notes, methodological memos, and theoretical
memos
The researcher in this study made use of different types of memos (Charmaz 2006;
Groenewald 2008, Strauss & Corbin 2008) fittingly throughout the evolving stages of
data collection and analysis and until the time of writing this research report. The
memos comprised short passages of personal, methodological, and theoretical text that
the researcher could manage and easily refer to.
? Personal notes
The researcher used personal notes to capture personal analytical thoughts on
particular aspects, such as coding a process or noting observable non-verbal behaviour
that could not be digitally recorded during the interview. These notes also enabled the
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researcher to trace (audit trail) an idea initially conceived in relation to concepts and
categories, as well as establishing the connection between the two. These personal
notes were initially hand written and later typed into text format and filed.
Methodological memos kept the researcher immersed in the procedural methodological
processes of identifying emerging substantive categories and developing their
properties. Also, they were used to guide subsequent data collection, coding, and
analysis and to assist the researcher with keeping an audit trail of decisions that
informed the methodological approach and the critiquing of emerging categories.
Theoretical memos assisted with ?the theorising, write-up of ideas about substantive
codes and their theoretically coded relationships as they emerge[d] during coding,
collecting and analysing data, and during memo [recording]" (Glaser 1998:177). The
researcher derived meaning from theoretical concepts of descriptive data and
?raising that description to a theoretical level through the conceptual rendering of the
material? (Glaser 1978:84) in an attempt to point out connections between empirically
generated data and deductively generated data.
4.6.3 Procedure for conducting interviews
4.6.3.1 Contacting interviewees
The initial interviewee was selected from a contact list obtained from the MICTSETA
that the researcher verified in terms of identifying participants who met the sampling
criteria. An interview invitation was issued to each participant and on acceptance the
researcher secured an appointment that was confirmed either in writing, or
telephonically. The invitation provided a brief explanation of the research topic in order
to familiarise participants with the aims of the study and a consent form (Appendix A)
that included a protocol procedure which was to be followed when conducting the
interview, including permission to digitally record interviews.
Building ?rapport? (DiCicco-Bloom & Crabtree 2006; Odendahl & Shaw 2001) and
credibility of the study before the interview were necessary in order to: i) make each
participant understand how invaluable their contributions would be in facilitating change;
ii) let them understand that the study was confined to fulfilling the researcher‘s
academic obligations; and iii) get an indication of their possible interest in participating.
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To minimise the level of disturbance, all the face-to-face interviews were conducted in
seclusion at the premises of the respective ICT enterprises and lasted between 45 and
90 minutes.
Interviews were mainly conducted in English but also allowed for the use of vernacular
(isiXhosa in this case) with the aim of encouraging each participant to articulate points
of view clearly. All vernacular passages were translated into English, except in
instances were actual word(s) uttered by participant ?in vivo code? (Strauss 1987:33)
had to be reserved.
4.6.3.2 Data management strategy
? Data capturing
The researcher developed a filing system for electronic and hard copy documents. File
folders were opened for every document or record generated and an index file was
used to facilitate ease of access to documents or records. The stored documents and
records included: standard template for invitations, interview guide, transcripts, consent
forms, participant contact register, backup digitally recorded interview CDs, memos,
personal notes, as well as correspondence between participants and the researcher,
e.g. member check requests.
? Document tracking procedure
All data collected was anonymously recorded and stored by replacing the participants'
names with ascending code numbers (1 – 14) in the order of the initial interviews. Data
was organised into different files in a chronological index file, that is all data was
organised in the order of the date on which data was collected. This system made it
possible to keep track of participants interviewed and enabled the researcher to access
files easily, especially for the purpose of establishing when data saturation was reached
in order to terminate further theoretical sampling.
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4.7 SUMMARY
This chapter explains why the use of a multi-grounded research design is important.
The aim of the design was to develop a substantive theory about SMME women-driven
entrepreneurship in the ICT sector. This chapter presents an overview of the design of
the study that provided its structure by using the guiding principles of an MGT method.
The systematic procedures followed in the MGT approach included clearly identified
phases.
Section A comprised data collection procedures, that is the selection of participants and
sampling procedures that included choosing the sample, determining the sample size,
and sampling criteria which were initially purposeful sampling used for piloting the
interview guide from which categories were drawn to sample theoretically in subsequent
interviews.
Section B covered data collection procedures that included the preparation of the
interview guide that comprised closed-ended and open-ended questions as part of a
semi-structured approach that facilitated in-depth questioning that was favourable for
the face-to-face approach. Theoretical sampling guided by emerging categories led the
researcher in the direction of interviewing industry experts whose statements were
compared and contrasted to previous ones to enhance credibility.
In chapter 5 data was analysed and interpreted at various levels of generating the
empirically-driven and deductively driven substantive theory.
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CHAPTER 5
DATA ANALYSIS AND INTERPRETATION
?Any researcher who wishes to become proficient at doing qualitative
analysis must learn to code well and easily. The excellence of the research
rests in large part on the excellence of the coding? (Strauss 1987:27)
5.1 INTRODUCTION
According to MGT procedures, data analysis is empirically-driven ?inductivism? and
theory-driven ?deductivism? (Goldkhul & Cronholm 2010:192). The balance between
data and theory solidifies the construction of theory. Goldkhul and Cronholm
(2010:192) maintain this approach builds on the strengths of both GT and MGT.
The process of data analysis in both MGT and GT methods does not occur in isolation
from data collection and ?data analysis is not a routine-like process. It is a creative and
iterative process including both categorization and validation? (Goldkhul & Cronholm
2010:190). While a researcher is collecting and analysing data, theory is also
?generated? (Goldkhul & Conholm 2010). In the process of collecting and analysing
data, theoretical sampling provides an opportunity to enrich emerging categories that
are constantly compared with previous concepts to validate or to achieve an improved
and deepened understanding that leads to theory generation.
Figure 5.1: Iterative process of data collection and analysis to produce
substantive theory
Concurrent data
generation and
analysis
Constant
comparison
analysis
between
interviews
1 & 2
Analyse data
Theoretical
sampling
Constant
comparison
analysis between
statements
Theoretical saturation
Interview 1
Data saturation
Interview 2
Analyse data
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The interpretation of data in accordance with MGT procedures occurs at the level of
pattern coding, as well as during explicit grounding and theory condensation.
Interpretations, Strauss and Corbin (1998:160) maintain, ?Must include the perspectives
and voices of the people whom we study?. In view of the epistemology orientation of
this study, the researcher had the responsibility to ensure that the voices of participants
were kept audible and that interpretation reflected an ?interplay? (Strauss & Corbin
1990:19) between a participant‘s account of experiences (Bryman 2001: 265), and the
researcher‘s interpretive processes of analysis during which both co-construct a
meaningful account that better described the state and action taken as a result of the
condition(s) at that time.
In MGT, specific analytical procedures akin to GT are employed to facilitate the process
of generating the substantive empirical theory. The analytical levels comprise inductive
coding (open coding), conceptual refinement (not found in GT), and pattern (axial
coding) to generate the empirical substantive theory. These analytical process levels in
summary can be explained in the following logical sequence: i) full transcription,
familiarisation, and initial interpretation including member check procedure (Strauss &
Corbin 1998:48); ii) identification of early codes and conceptual labelling (Strauss &
Corbin 1998:123); iii) generating and relating substantive categories, properties –
characteristics or attributes and dimensions – and the location of a property along the
continuum or range (Strauss & Corbin 2008: 159-160); iv) constant comparison
(Strauss & Corbin 1998: 223) between the first interview and the subsequent interviews;
v) saturation of categories (Bowen 2008; Charmaz 2012:11); vi) systematic and
cumulative theoretical sampling (Strauss & Corbin 1998:210), the demonstration of an
iterative process of data collection and analysis (Strauss & Corbin 1998:58) that
promote greater ?sensitivity? (Corbin & Strauss 2008:32) to data, thus enabling the
researcher to revise interview questions as the analysis progresses; and vii) theory
condensation where more than one category is identified (Goldkhul 2010:196).
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SECTION A
5.2 PHASE ONE: THEORY GENERATION – EMPIRICALLY DRIVEN ANALYSIS
(INDUCTIVE) - EXPLAINED
5.2.1 Inductive coding
The MGT processes followed at each level of data analysis are explained.
5.2.1.1 Full transcripts of recorded interviews
The following processes are undertaken to analyse data: first the researcher listens to
the recording to check whether raw data (transcript) has been transcribed correctly by
comparing the script to the recorded interview. In this study, this was an important
verification process that was grounded in the epistemology orientation of this study
where the voices of the participants were kept audible in the interpretation of meaning.
Figure 5.2: Iterative process of transcribing
In this study, on average it took about 48 hours to 60 hours to transcribe the recording
of one interview. A sample of a full transcript of one of the interviews is available in
Appendix I. The transcribing procedure followed an iterative process that involved
listening to the recordings again and revisiting personal notes in an attempt to: i)
interpret the mood of the conversation and observe the rules of grammar without
altering statements in a manner that distorted intended meaning; ii) incorporate ?in vivo
codes? when necessary and ensuring that the transcript matched the recorded interview
closely to ensure unbiased interpretation; iii) connect interpreted statements
characterised by change in the thought process of the participant and capture the tone
Meaning in
statements
Verify
transcribed
text Interview 1
Check
Personal notes
Replay recorded
tape
Member checking
Transcribed text
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whether flat or rising; and iv) capture from recording, the idiosyncratic elements of
speech; such as stuttering, pause, sighs, short laughs, and emotional expressions that
played their role in interpreting meaning in context.
5.2.1.2 Member checking procedure
?Member checks? (Creswell 2007:208) are conducted immediately after transcribing an
interview by subsequently sending the transcript to the participant to confirm the
accuracy of the interpretation of points of view and quoted statements (Lincoln 1995).
In MGT procedures, inductive analysis involves an iterative process of cross checking
interpretation and seeking clarity on unclear expressions from participants, a process
Strauss and Corbin (2008:48) refer to as ?validating?. ?Respondent validation?, Creswell
(1998:211) also affirms, is determined by the parties concerned recognising the validity
of their documented experiences and as such, the participant potentially plays a
participatory role in cross checking the transcript. Where errors are found, the
researcher corrects them and sends it the transcript to the participant once again to be
checked. This collaborative procedure of seeking and confirming clarification is a
necessary component of MGT procedures to ensure that meaning is understood from
the participant‘s point of view to increase the ?validity? (Creswell 2007:134-135) and
?credibility? (Guba & Lincoln 1989:239) of the interpretation.
In this study, most responses to member checking were provided telephonically. The
validation process of ?member checks? (Creswell 2007:208) was an important quality
control element in the epistemology orientation of this study, since the participants were
also actively verifying the transcript to validate the researcher‘s interpretation.
5.2.1.3 Early coding of script
This process is an open-minded analytical process (Goldkhul 2010:94). The analysis
according to Strauss and Corbin (1998:121) involves developing a category (cf. Birks &
Mills 2011:98) by identifying, naming, comparing and categorising concepts into
?properties‘ (a cluster that defines and gives it meaning) and ?dimensions‘ (range of
variance the property demonstrates to provide further clarity) to assist with the
discovery of the relationships that form the basis of developing tentative
conceptualisations that have explanatory power.
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? Transcribing
The typed transcript is read and reread line-by-line (labelling each line of data) to record
analytical thinking in coded sentences as some concepts emerged repeatedly.
Throughout the coding process, memos are used to record some thoughts on emerging
relationships between statements (concepts) and evolving groups of related statements
(categories).
In this study, all transcripts were transcribed following the logical sequence of topic
questions appearing in the interview guide (e.g. questions 14 to 28 see Appendix I).
Tables (exemplified in Table 4.1) were used to identify early open codes. The first
column of the table depicted the question code (e.g. Q14); the following column a line
number corresponding to each sentence (e.g. L1, L2 etc.) appearing in the subsequent
column (transcript reflecting responses to question) showing underlined words or
phrases described as early open codes (last column).
Table 5.1: Early open codes – Definition of entrepreneurship provided in
Interview 9: Q14
Question
Code
Line
#
Transcript of Interview 8 Descriptive early codes
Q14 1
2
3
4
5
6
7
8
9
10
11
12
What is entrepreneurship? Please elaborate.
?Eh! Well for me, entrepreneurship is eh! Being
able to uh! Understand the needs of the market and
come up with ideas on how to address those needs.
Eh! Also understanding the need to develop people
who form part of that organisation that serve the
community needs.
?Also for me, although I know that there are profits
that have to be made, entrepreneurship for me is
where the focus is more on making the difference for
the people and than profits coming afterwards.
I know I might differ with other people?.
Understanding ?market‘ needs
Taking assertive action
Developing ?people‘ * staff
Mission * serving ?community
needs‘
Acknowledging benefit
Taking action on decision
Affirming decision * prioritising
Affirming decision
? Labelling
After an idea is established, the researcher subsequently assigns ?…‘labels‘ by means
of descriptive words…? (early open codes) that were text bound in summarising the
sentence to generate substantive ?inferential or explanatory? statements (Miles &
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Hurberman 1994:56). These statements became units of analysis that laid the
foundation to theoretical conceptualisation based on emerging patterns in data.
The labelling procedure requires a researcher to first identify from the transcript (c.f.
Table 4.1) key statements that seem significant in providing possible meaning or ?fit in
data? (Strauss 1987: 28). These key statements are underlined. As the analysis
progresses any analytical thought around questions and ideas regarding statements are
recorded in methodological memos. The actual verbatim words used by the participant,
?in vivo codes? (Strauss & Corbin 1998:105) are included to enhance authenticity in
data. In line with MGT procedures, the same labelling procedure is applied consistently
throughout the analysis to ensure methodological rigor (Oman Oman, Krugman, & Fink
2003).
In this study, based on the study‘s research questions examining entrepreneurship
which has its processes of activities, statements were coded using ?gerunds? (verbs
ending ?ing‘) to focus the researcher‘s thinking around an emerging pattern of action or
process describing the participant‘s entrepreneurial experience (Charmaz 2012:5).
5.2.1.4 Developing substantive codes
Strauss and Corbin (2008:159-160) refer to ?lower-level? concepts and corresponding
?higher-level? concepts in their conceptualisation method. According to them, ?higher-
level statements [categories] which are more abstract than lower-level statements, tell
[the researcher] what a group of lower-level concepts are pointing to or are indicating?.
Corbin and Strauss (2008:143) assert the ability to see the difference (similarities and
differences are brought about through constant comparison) in levels of abstraction
between statements (lower- and higher-level). This ability enables the researcher to
build a web of evidence, based on an interpretive account grounded in empirical data
that facilitates a meaningful understanding of the process of interpretative creativity.
Constant comparison (exemplified in Figure 4.2) implies systematically examining and
refining variations in emergent and grounded concepts. Variations in the concepts need
to be compared and contrasted.
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Table 5.2: Interview 6: Q 14 – Constant comparison between statements –
Definition of entrepreneurship
Memo Notes
Discovered
concept
Comparison between statements of the same
interview
Theoretical
sampling (inductive
level)
Data
saturation
Yes No Yes No
Innovation Similarities Variances
Q 14 Personality characteristics Business characteristics X X
Comments:
Compared to interview 5 which focused on the business characteristics here the focus is on personality characteristics
and the word ?innovative‘ is identified for theoretical sampling to expand its meaning.
Statements (lower-level concepts) are subsequently clustered together to form a pattern
as exemplified in Figure 4.5.
Figure 5.3: Interview 1: Q 14 – Relationships between selected statements
defining entrepreneurship
The clustering results in the emergence of a list of categorised statements or ?theme
topics? (Tesch in Creswell 1994:154-155) which remain unverified and undeveloped;
however, they provided insightful descriptive meaning interpreted from the views that
the participants express. The conceptual ordering of substantive statements are
exemplified in Table 4.3 describing the concept ?entrepreneurship‘ derived from the
participant.
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Table 5.3: Interview 10: Q 14 – Conceptual ordering of statements –
entrepreneurship development from the interview with a
government expert
Question
Code
Line # Descriptive codes : Entrepreneurship
Q14 2
3
4
5
8
9
10
14
15
28-29
31
?an entrepreneur‘
Taking something that is done normally
?different way of doing it‘
?Enhancing‘ ,‘making better‘ ?faster‘
?enhancing‘, ?bringing in different skill‘
Different skill
?looking outside the box‘
Doing something different, new
Not depending on conventional ways
Yong minds given opportunity to ?challenge the normal‘
Coming up with something different – new
Memo: Conceptual ordering of statements (underdeveloped)
? Concept: Entrepreneur – personal characteristics can be linked to – innovation: ability to do
?things in different ways‘, ?enhancing‘, ?looking outside the box ?, ?giving opportunity to
young minds to challenge the normal‘
? Concept: ?looking outside the box‘ can be linked to an attribute of an entrepreneur
? Concept: ?challenging the normal‘ can be linked to an attribute of an entrepreneur
? Concept: ?enhancing with different skill‘ can be linked to an attribute of an entrepreneur
? Concept: ?coming up with something different, new‘ can be linked to an attribute of an entrepreneur
? Concept: ?not depending on conventional way different ?set ways‘ can be linked to attributes of an
entrepreneur
?Coding?, Strauss and Corbin (1990:61) maintain, involves practising to think abstractly,
since ?the idea is not just to take a phrase from ?raw‘ data and use it as a label. Rather
searching for the right word or two that best describes conceptually what the researcher
believes is indicated by the data? (Corbin & Strauss, 2008:160). The researcher‘s
analytical intuition, at that stage, is kept as free as possible from imposing own
perspectives but equally important to understand the need to ?actively? react to and
work with the statements and to keep the voice of the woman entrepreneur audible in
the interpretation of co-constructed meaning (Strauss & Corbin 1998: 58,160) whilst
remaining open-minded in order to enhance theoretical sensitivity.
The sentence numbering system (cf. Table 4.3) enables the researcher to rearrange,
rename or refine concepts (Gibbs 2007:75-77) as the analysis progresses. This coding
process is applied consistently to all text generated throughout the analysis process
and the researcher is constantly aware of the need to engage in an iterative process
(cf. Figure 4.6 below) of reflecting on analysed interview transcripts. The researcher
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critically evaluates, compares, and contrasts interpretations in the context of coded
statements (Leedy & Ormrod 2001; Corbin & Strauss 1990) using Corbin and Strauss‘s
(2008:71) questioning technique which entails asking simple questions while analysing
statements; such as, ?What is suggested by these sentences?‘, ?What is the
participant‘s‘ point of view?‘ and ?What is the situation subsequent to experience?‘
enabling the researcher to probe deeper into responses that facilitate a better
understanding of the world view of the participants (Patton 2002:372). Re-reading text
to look for variations from the grounded experiences articulated by participants assists
in validating interpretation. At this level, the analysis goes beyond the descriptive level
to one where the researcher begins to formulate tentative conceptualisations
(exemplified in Table 4.3) noted in memos to interpret the emerging patterns of
relationships between categories and providing an in-depth explanation that was fitting.
An advantage of MGT is its application of iterative and interactive procedures that ?blur
and intertwine continually? (Glaser & Strauss 1967:43) during various levels of analysis.
This implies that a researcher goes back and forth during the process of data collection,
coding, and analysis by revisiting some of the processes informed by theoretical
sampling.
Figure 5.4: Demonstration of iterative process of giving meaning to concepts
Following MGT theoretical sampling procedures, the researcher at this level of analysis
is mindful not to confuse theoretical sampling applied during the inductive phase when
the discovery of information emerges from interview statements. Rather, considers its
application during the deductive phase when established theories inform theoretical
sampling (Goldkhul & Cronholm 2010).
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The researcher uses methodological memos (exemplified in Appendix K, Table 1, 2 & 3)
at this level of analysis to reflect on the meaning of statements emerging from ideas that
were sparked by in vivo codes.
5.2.2 Conceptual refinement
The notion of ?conceptual refinement? implies a level of analysis that a researcher
?actively? (Goldkuhl & Cronholm 2010:194) works on clarifying statements, including the
provision of a comprehensive interpreted descriptive meaning. This procedure requires
a researcher to critically and constructively reflect on the categories and subcategories
(statements and variations in statements) developed earlier that are conceptually
refined ontologically and linguistically challenged. As statements (concepts) keep
evolving during analysis, more focus is turned on refinement (using different questions
to interrogate statements) to enhance rigor in the build-up of distinct categories
generated from interview statements. This provides a ?valid? theory described by Green
and Thorogood (2004:192) as depending on the participants‘ interpretation of validity
constituted by socially situated truth that is contextually linked.
Goldkuhl and Cronholm (2010) suggest a ?critical category determination‘ procedure for
ontological determination of scientific categories to reflect on, namely:
i) Empirical statements: The conceptualisation of statements should not be taken for
granted but challenged. Charmaz (2006:33) suggests the researcher should be
aware and follow up on taken-for-granted responses so as to get the exact
meaning and context in which statements are made. Statements, therefore,
should be founded on a proper world view or social reality as articulated by
participants.
ii) Ontological statements: Here, six essential questions are considered in order to
achieve an in-depth understanding of the context of conceptualised statements (cf.
Goldkuhl & Cronholm 2010 for comprehensive description of a procedure for
ontological determination of scientific categories), such as:
? ?What is it??: Content determination – an attempt to grasp the essence of the
conceptualised phenomenon;
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? ?Where does it exist??: Determination of ontological position;
? ?What is the context of it??: Determination of context and related phenomena;
? ?What is the function of it??: Determining the functions and purpose; and
? ?What is the origin of it??: Determination of origin and emergence.
iii) Linguistic statements: An understanding of how concepts are articulated and
given substantive form in describing specific categories (noun, verb, quality) as
construed in the ?real world‘ thereby validating the process of theory abstraction.
During the process of refinement some categories (statements) may be rejected whilst
some developed into broader categories.
Goldkuhl and Cronholm‘s questioning technique in this study is complemented with
Scott and Howell‘s (2008) questioning technique (c.f. appendix O) used in their
conditional relationship guide (facilitating the move from open coding to axial coding) to
link categories more clearly to data from which patterns of action and conditions
emerged.
5.2.3 Pattern Coding
Goldkuhl and Cronholm (2010:196) in their recent writings prefer using the term ?pattern
coding?. Building categorical structures, Goldkuhl and Cronholm (2003) explain, refer to
an interest toward conceptualising action patterns. Pattern coding is akin to axial
coding in GT (Strauss & Corbin 1998) and, therefore, it adopts GT procedures.
Axial coding is defined as ?a set of procedures whereby data are put together in new
ways after open coding by making connections between categories? (Strauss & Corbin
1990:96). Diagrams of theoretical patterns and graphical representation are used to
point out relationships between categories (Goldkuhl & Cronholm 2010:196). Strauss
and Corbin (1998:223) encourage researchers to demonstrate their own style of
creativity when developing or presenting the diagrams.
A ?paradigm? contains three aspects: The condition, the actions, and the
consequences. The conditions answer the questions: Why, where, how, and when the
phenomena occurred. The actions answer the ontological questions (social reality), that
132
are the strategic responses made by the individuals or groups to issues, problems,
happenings, or events that arose under those conditions. The consequences answer
the question what happened as a result of those actions – or the failure of individual(s)
to respond to arisen situations – and the consequential theoretical explanations that the
researcher provided.
A researcher explores the specific conditions and consequences in respect of each
category of statements and determines whether sufficient data ?saturation‘ (Bowen
2008, Strauss & Corbin 2008) exists to support these interpretations. At this stage, a
researcher records theoretical ideas emerging through the process of constant
comparison (Strauss & Corbin 1998:67) of incoming data (categories) to raise data to a
conceptual level (emerging theory). Following MGT procedures closely prevents a
researcher from building categories on the foundation of vague interpretations
(Goldkuhl & Cronholm 2010:194).
5.3 PHASE TWO: EXPLICIT GROUNDING – THEORY DRIVEN ANALYSIS
(DEDUCTIVE) - EXPLAINED
5.3.1 EXPLICIT GROUNDING
Explicit grounding (Goldkhul & Cronholm 2010:192) means the evolving empirically
grounded substantive theory is subjected to rigorous validation against three explicit
grounding processes namely theoretical matching, explicit empirical validation, and
evaluation of theoretical cohesion.
5.3.1.1 Theoretical matching
Theoretical matching (Goldkhul & Cronholm 2010:197) means that the evolving
empirical findings and abstractions are compared and constructed with other external
theories to ground the evolving theory as opposed to being a starting point that
governs analytical work (Cronholm 2005; Goldkuhl & Cronholm 2003).
The researcher in this deductive process verifies theoretical alignment by comparing
and contrasting the evolving theory (empirically derived) with the pre-existing theories,
namely cyberfeminism (feminism and technology) and entrepreneurship to establish
133
whether theory can match empirical statements of participants (SMME women
entrepreneurs) in conjunction with industry experts and other documents (policy)
5.3.2 Explicit empirical validation
Explicit empirical validity (Goldkuhl & Cronholm 2010:197) means that the theory is in
accordance with empirical observations of the world. Focus on theory generation
portrayed in the earlier phases of analysis shifts to the control of validity in the sense
that data is verified and compared to the claims of empirical data (Cronholm 2004).
Validating the emerging theory entails perusing identified categories and their
properties. To a great extent, revisiting the initial formation of these categories confirms
the interrelationships.
5.3.3 Evaluation of theoretical cohesion
Evaluation of theoretical cohesion (Goldkuhl & Cronholm 2010:198) is determined by: i)
the degree to which data accurately and clearly assists in providing insightful
understanding; ii) answers being provided to the research questions; iii) the researcher
addressing issues of fit between participants‘ views (reality); and iv) the researcher‘s
representation of these views (reality) includes determining whether the explanations fit
the descriptive account to determine credibility in data that is enhanced by ?constant
comparison‘ (Strauss & Corbin 2008).
In this study, this level of abstraction required a conceptual structure to systematically
analyse the evolving theory and to verify internal consistency and congruency within the
evolving substantive theory (Cronholm 2004). Emphasis was placed on applying
systematic evaluation processes to verify consistency and internal congruency of core
action categories and subsequent consequences evolving by using appropriate
descriptive graphic and textual presentations (Goldkuhl & Cronholm 2003) to describe
conceptual structures.
5.3.4 Theory condensation
This analysis concludes the processes of theory generation. Theory condensation
(Goldkhul & Cronholm 2010:196), that is akin to selective coding in GT, entails
condensing categories (higher-level concepts) that have been developed to form the
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initial theoretical framework which provides ?an explanatory scheme comprising a set of
concepts related to each other through logical patterns of connectivity? (Birks & Mills
2011). This process enhances the substantive theory. Unlike the recommended one
core category of a grounded theory (Strauss & Corbin 1998), a few core categories of
themes are developed in MGT that appear frequently in the data without artificially
inflating its importance (Glaser 1992).
In this study, the initial analyses of 33 categories from open coding were subsequently
reduced to eight during axial coding, and subsequently to two in this phase, namely:
recognising gender-based discrimination; and responding to gender-based
discrimination that related to other subcategories. The graphic representation of the
theoretical model that illustrates SMME women-driven entrepreneurship is portrayed in
Figure 4.7.
5.4 PHASE THREE: RESEARCH QUESTION, REFLECTION, AND REVISION –
EXPLAINED
5.4.1 Research question
According to Goldkuhl and Cronholm (2003, 2010), research questions should develop
over time for allowing empirical observations and theoretical insights to influence their
formulation. The researcher‘s understanding of the participants‘ account of reality
(SMME women-driven entrepreneurship in the ICT sector) progressively increased from
one level of data collection, analysis, and interpretation to another. That process
enabled the researcher to gain a comprehensive understanding of the conditions that
influenced the research issues, including proposed interventions aimed at mitigating the
situation. The questions were constantly reflected upon to direct the empirical and
theoretical orientation. The systematic application of MGT processes supported the
processes of good ?traceability between data, categorisation, and theory? (Goldkuhl &
Cronholm 2010:190).
5.4.2 Reflection and revision
This process heralds the last phase of the analytical procedure that enables the
researcher to conduct a self-critical account of the research methodology by reflecting
on the research interest and questions and by authenticating confirmability (Tobin &
135
Begley 2004). The research questions are also aligned to the substantive empirical
categories. That procedure also encompasses the verification of participants‘ responses
to establish whether they are interpreted accurately and whether theory is grounded in
the experiences and views of the participants.
136
SECTION B
5.5 APPLICATION – PHASE ONE THEORY GENERATION EMPIRICAL
(NDUCTIVE ANALYSIS)
5.5.1 ANALYSIS OF CLOSED-ENDED AND OPEN-ENDED QUESTIONS
This section provides an analysis and interpretation of closed-ended questions and
open-ended questions accompanied. Closed-ended questions were analysed before
the open-ended questions. The structure and sequence of the interviews depict how
data was cumulatively gathered through theoretical sampling from Interview 1 to
Interview 14. Interviews were conducted on both SMME women entrepreneurs and
industry experts from government and the private sector. The subsequent stage of
analysis depicts a summary of the conceptual refinement process of concepts
generated from open-ended questions. The next stage depicts a critical category
determination procedure that illustrates the building of the categorical structures from
data analysed during pattern coding. The last stage of analysis culminates in a
substantive theory that comprehensively provides a meaningful interpreted account of
?SMME women-driven entrepreneurship within the ICT sector of the Eastern Cape
Province. This section provides good ?traceability between data, categorisation, and
theory? (Goldkuhl & Cronholm 2010:190).
5.5.1.1 ANALYSIS OF CLOSED-ENDED QUESTIONS
Question 1
0
20
40
60
80
100
25-
35
36-
45
46-
54
55
and
over
TOT
AL
Number of participants 4 9 0 1 14
Percentage of sample 28,60% 64,3 0 7,2 100
Total 28,6 64,3 0 7,2 100
Figure 5.5 : Ages of the participants
Number of participants
Percentage of sample
Total
137
0
2
4
6
8
10
Black Coloured Indian White
Race
1 to 12 Private and public expert
Twelve SMME women entrepreneurs and two industry experts were interviewed, one
from the private sector and the other from government. The ages of all participants
interviewed ranged between 25 and 55 years. Four SMME women entrepreneurs were
between 25 and 35 years old, seven between 36 and 45, and one person was older
than 55 years. The two industry experts were between 36 and 45 years old. The ages
had no relevance to the categories identified in the study, but useful for future research
analysing age groups in early stage entrepreneurship activity.
Question 2
This question inquired about the race group the respondents belonged to.
Figure 5.6: Participants’ race groups
Eight SMME women entrepreneurs interviewed were Black, two White, one Asian, and
one Coloured. The industry expert from the private sector was Black while the
government sector expert was Coloured. The results suggested that the majority of the
participants were Black. The sampling criterion was based on theoretical sampling,
meaning these participants were interviewed guided by the emerging categories rather
than on representative grounds. Therefore, the different racial groups had no relevance
to the categories identified in the study.
138
Question 3
Table 5.4: Educational qualifications of the participants
Part I: Closed-ended questions
Section A: Demographic information – Personal details of SMME women entrepreneurs and industry experts
Interview Interview ID Participant’s response
Q3 What is your highest educational qualification level in ICT?
Interview 1 Woman entrepreneur Bachelor‘s degree
Interview 2 Woman entrepreneur Diploma
Interview 3 Woman entrepreneur Grade 12
Interview 4 Private sector expert Bachelor‘s degree
Interview 5 Woman entrepreneur Certificate
Interview 6 Woman entrepreneur Certificate
Interview 7 Woman entrepreneur Grade 12
Interview 8 Woman entrepreneur Diploma
Interview 9 Woman entrepreneur Certificate
Interview 10 Government expert Bachelor‘s degree
Interview 11 Woman entrepreneur Certificate
Interview 12 Woman entrepreneur Bachelor‘s degree
Interview 13 Woman entrepreneur Bachelor‘s degree
Interview 14 Woman entrepreneur Bachelor‘s degree
The highest education qualifications of participants were: One completed grade twelve,
four completed a certificate course, two held diplomas, and three had bachelor‘s
degrees. Both industry experts held a bachelor degree. This demographic did not have
much relevance to the category gender inequalities as all the participants had some
form of orientation of ICT relevant to the skill needed by enterprise.
Question 4
Table 5.5: SMME ownership status of the participants
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Interview Participant’s ID Participant response
Q4 What is your role in the ICT enterprise?
Interview 1 Woman entrepreneur Sole owner, Manager in charge
Interview 2
Woman entrepreneur
Sole owner, Manager in charge
Interview 3
Woman entrepreneur
Sole owner
Interview 4 Private sector expert Sole owner
Interview 5
Woman entrepreneur
Part-owner
Interview 6
Woman entrepreneur
Part-owner
Interview 7
Woman entrepreneur
Part-owner; Manager in charge
Interview 8
Woman entrepreneur
Owner
Interview 9
Woman entrepreneur
Sole owner
Interview 10 Government expert Chief technical officer
Interview 11
Woman entrepreneur
Manager in charge
Interview 12
Woman entrepreneur
Manager in charge
Interview 13
Woman entrepreneur
Part-owner
Interview 14
Woman entrepreneur
Part-owner
139
Owner &
manager
Owner
Part-
owner
Part-
owner &
Manager
Manager
Chief
Technica
l Officer
TOTAL 14,3 28,6 28,6 7,2 14,3 7,2
% of sample 14,3 28,6 28,6 7,2 14,3 7,2
Number of persons 2 4 4 1 2 1
2 4
4 1
2 1
0
10
20
30
40
50
60
70
Figure 5.7: Position of the women in the ICT business
Number of persons % of sample TOTAL
The roles of the participants were: Two sole owners were managers in charge. Sole
owner meant they owned the ICT enterprise a 100 per cent and manager in charge
meant the person was the responsible person for the day-to-day operations of the ICT
enterprise. This demographic had no relevance to the categories identified in the study,
but useful for future research analysing broad based black economic empowerment in
terms of ownership.
The research results indicated that the ownership status of the SMMEs involved one
woman part-owner and manager in charge, two were sole owners, and four were part-
owners. This demographic had no relevance to the categories identified in this study.
Question 5
Table 5.6: Types of SMMEs owned by the participants
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development & operations)
Interview Participant’s ID Participant Response
Q5 What type of ICT enterprise is your business?
Interview 1 Woman entrepreneur Closed Cooperation
Interview 2 Woman entrepreneur Closed Corporation
Interview 3 Woman entrepreneur Closed Cooperation
Interview 4 Private sector expert Closed Cooperation
Interview 5 Woman entrepreneur Closed Cooperation
Interview 6 Woman entrepreneur Profit Company
Interview 7 Woman entrepreneur Closed Cooperation
Interview 8 Woman entrepreneur Closed Cooperation
Interview 9 Woman entrepreneur Closed Cooperation
Interview 10 Government expert ICT Department
Interview 11 Woman entrepreneur Non-Profit Organisation
Interview 12 Woman entrepreneur Non-Profit Organisation
Interview 13 Woman entrepreneur Cooperative
Interview 14 Woman entrepreneur Closed Cooperation
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0 1 2 3 4 5 6
Services
Services; Retail
Retail
Multiple
Government Sector
Production Services
Manufacturing
SMME business models
Private and public expert 1 to 12
A majority (10) of these enterprises were closed corporations (including the private
sector expert), two were non-profit organisations (NPOs), and one was a profit
company. The government sector expert worked in an ICT department. This
demographic had no relevance to the categories identified in the study, but useful for
future research making comparisons between the formal and informal sectors.
Question 6
This question inquired about the industry type of the ICT enterprise.
Figure 5.8: The SMMEs’ business models
The breakdown of ICT enterprises according to the ICT sectors industries were: One
represented the manufacturing industry, one operated in the production services, two
were retail businesses, five represented the services industry while two operated in the
services, as well as in the retail space. A multiple business model refers to an ICT
enterprise that operates many industries; i.e. manufacturing, production, services, retail,
as well as importers and exporters. This demographic was of little relevance to the
categories identified except in giving an indication of possible sampling (i.e. random
sampling) strategies that can be used for future research besides theoretical sampling
which was used to explore a phenomenon that little was known about.
141
Question 7
Table 5.7: Services offered by the SMMEs
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development & operations)
Q7 What ICT product(s) and / or service(s) are offered
by the enterprise?
Participant’s Response
Interview 1 Woman entrepreneur Bulk printing, photocopying, laminating, binding, faxing,
email
Interview 2 Woman entrepreneur Computer training and skills development, retail
(computer sales and repair)
Interview 3 Woman entrepreneur Retail (computers and laptops sales, electrical equipment,
printing equipment, and software
Interview 4 Private sector expert Computer training, IT solutions, web-design and hosting
Interview 5 Woman entrepreneur Computer training, national end-user computing, technical
support
Interview 6 Woman entrepreneur Retail (ICT hardware and software), ICT equipment,
maintenance and support service, design and networking
Interview 7 Woman entrepreneur PostNet service: Faxing, courier, document solutions, mail
boxes, manufacture, office supplies, digital solutions
Interview 8 Woman entrepreneur ICT training and skills development
Interview 9 Woman entrepreneur Retail (sales hardware and software), support service,
networking, cabling infrastructure, desktop / server
solutions, security systems solutions
Interview 10 Government expert Policy development, strategic operations
Interview 11 Woman entrepreneur ICT multi-purpose: ICT training and printing,
photocopying, laminating, binding, faxing, email
Interview 12 Woman entrepreneur Broadcasting: programming, advertising, and marketing
Interview 13 Woman entrepreneur Film and television production, graphic design, and
photography
Interview 14 Woman entrepreneur Manufacturing and web-hosting
Products / services offered by the ICT enterprises included: One provided bulk printing
and internet café services; one offered computer training and retail services; three
operated in the retail industry; one offered computer training and technical support; one
provided postal services; one conducted ICT training; one offered ICT training and
internet café services; one operated in the broadcasting space; one was in the
production industry; and one operated in the manufacturing industry. The government
expert had the line functions of policy development and strategic operations while the
private sector expert offered computer training, IT solutions, web-design, and web-
hosting. A majority of enterprises were ICT training providers and providers of retail
services. This demographic had relevance to the category analysing how ICT was
used as a core product linked to the category lacking innovation which depicted the
levels of innovation across a continuum between low-tech and high-tech.
142
0 2 4 6 8 10
Local
Provincial
Local; National
Local; National;Regional
Market segment
Private and public expert
0
2
4
6
8
1 to 5 6 to 10 11 to 20 more than 20
Years in business
1 to 12 Private and public expert
Question 8
This question inquired about the market segment of the ICT enterprises.
Figure 5.9: The SMMEs’ market segments
One of the ICT enterprises targeted the local, national and regional markets, three
targeted the local and national markets, and eight focused on the local market only.
The public service expert targeted the provincial market while the private sector expert
concentrated on the local market. The demographic had no relevance to the category
identified but useful for future research analysing market segmentation trends.
Question 9
This question inquired about the number of years the ICT enterprise had been in
business.
Figure 5.10: Number of years the SMMEs had been in business
A majority of ICT enterprises were in business between one and five years, two
between six and 10 years, two between 11 and 20 years, and one for more than 20
years. Both the private sector and the public sector expert had between six and 10
143
0
2
4
6
8
10
1 to 5 6 to 10 11 to 100
Number of people employed
1 to 12 Private and public expert
years of experience. This demographic had no relevance to the categories identified in
the study.
Question 10
Table 5.8: Size categories of the enterprises
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Q10: What SMME category does the enterprise fall
under?
Participant’s response
Interview 1 Woman entrepreneur Micro
Interview 2 Woman entrepreneur Small
Interview 3 Woman entrepreneur Micro
Interview 4 Private sector expert Micro
Interview 5 Woman entrepreneur Small
Interview 6 Woman entrepreneur Small
Interview 7 Woman entrepreneur Micro
Interview 8 Woman entrepreneur Micro
Interview 9 Woman entrepreneur Micro
Interview 10 Government expert Question not asked
Interview 11 Woman entrepreneur Micro
Interview 12 Woman entrepreneur Very Small
Interview 13 Woman entrepreneur Micro
Interview 14 Woman entrepreneur Micro
A majority (8) of ICT SMMEs of the women entrepreneurs were reported to be micro
enterprises, three were small, and one was very small. The micro category represented
an enterprise that employed one to five employees. The very small category
represented an enterprise that employed five to 10 employees. The small category
represented an enterprise that employed 10 – 100 employees, and the medium
category had more than 100 employees. This demographic had no relevance to the
categories identified in the study, but would be relevant to research analysing the
number of enterprises in different categories.
Question 11
This question inquired about the number of people that every ICT enterprise employed.
Figure 5.11: Number of employees at the businesses
144
A majority ICT enterprises employed between one to five people; one employed
between six and ten people; three employed between eleven and one hundred people
and another enterprise employed three from 11 to 100 years. The private sector expert
employed between one and five people; and the public service expert between 11 and
100 people. This demographic had no relevance to the categories identified but would
be useful for research analysing employment patterns in women-owned enterprises.
Question 12
Table 5.9: Educational qualifications of the SMME employees
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Q12 What is the ICT education level of employees in
the enterprise?
Participant’s response
Interview 1 Woman entrepreneur Certificate, Bachelor‘s degree
Interview 2 Woman entrepreneur Grade 12, Certificate, Diploma, Bachelor‘s degree
Interview 3 Woman entrepreneur Grade 12
Interview 4 Private sector expert Bachelor‘s degree
Interview 5 Woman entrepreneur Diploma
Interview 6 Woman entrepreneur Grade 12, Diploma, Bachelor‘s degree
Interview 7 Woman entrepreneur Grade 12
Interview 8 Woman entrepreneur Certificate
Interview 9 Woman entrepreneur Grade 12, Certificate, Diploma
Interview 10 Government expert Bachelor‘s degree
Interview 11 Woman entrepreneur Certificate
Interview 12 Woman entrepreneur Certificate
Interview 13 Woman entrepreneur Diploma; Bachelor‘s degree
Interview 14 Woman entrepreneur Diploma; Bachelor‘s degree
In summary, seven were in possession with a bachelor degree qualification; five had a
national diploma; five had a national certificate/vocational qualification; and four had a
senior national certificate. This demographic had no relevance to the categories
identified in the study, but useful for future research looking at ICT education attainment
and skills levels in relation to employment.
Question 13
Table 5.10: The SMMEs’ total annual turnover (in millions)
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Q13 Total annual turnover (million) of the ICT
enterprise?
Participant’s response
Interview 1 Woman entrepreneur 0 – 1
Interview 2 Woman entrepreneur 6 – 10
Interview 3 Woman entrepreneur 0 – 1
Interview 4 Private sector expert 0 – 1
Interview 5 Woman entrepreneur 0 – 1
Interview 6 Woman entrepreneur +10
Interview 7 Woman entrepreneur 2 – 5
145
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Q13 Total annual turnover (million) of the ICT
enterprise?
Participant’s response
Interview 8 Woman entrepreneur 0 – 1
Interview 9 Woman entrepreneur 6 – 10
Interview 10 Government expert Question not asked
Interview 11 Woman entrepreneur 0 – 1
Interview 12 Woman entrepreneur 0 – 1
Interview 13 Woman entrepreneur 0 – 1
Interview 14 Woman entrepreneur 2 – 5
The research results indicated that there was one ICT enterprise with an annual
turnover of more than R 10 million, two with an annual turnover between R 6 and 10
million, another two had an annual turnover between R 2 and 5 million, and seven of
the responding ICT enterprises had an annual turnover between R 0 and R 1 million.
The private sector expert had a turnover between R 0 and R 1 million. This category
had no relevance to the categories identified in the study, but useful for future research
analysing productivity levels in the enterprise.
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5.5.1.2 ANALYSIS OF OPEN-ENDED QUESTIONS
Q15: What problems in your view are encountered most by SMMEs? Please
elaborate
The description provided by the first participant (pilot interview) was narrow. The
statement, ?that‘s what I‘m living for‘ was scrutinised by asking the question, ?What does
the participant mean by this statement?? This was in relation to the in vivo codes
?running‘ ‘your‘ ?business‘. The researcher continued questioning statements and
making interpretations along the way, moving from formulating interpretations to
reading the entire interview transcript over again to get a broader understanding of how
the concept entrepreneurship was perceived by the participant. This approach was in
line with considerations from Miles and Hurberman (1994:57) who posit descriptive
words should attribute meaning to a segment of text and interpretive codes with
?reference to context [entrepreneurship] and other segments [entire transcript]?. The
researcher had to apply theoretical sensitivity by reflecting on vocabulary acquired from
professional literature on the concept, entrepreneurship and from experience as a
practicing entrepreneur to think through the in vivo codes in order to widen
interpretation (Strauss & Corbin 1990:62) fitting the participant‘s description.
Descriptive words generated were closely examined at this early stage of analysis
through ?constant comparison? (Strauss & Corbin 2008:143), a process which resulted
in the identification of similarities and variations among in vivo codes and
Memo Notes
Interview 1:
Discovered
concepts –
Definition of
entrepreneurship
Comparison Theoretical
sampling
(inductive level)
Data
Saturation
Yes No Yes No
Similarities Variances
Q14
?Business‘ owner
?Business‘ activity *
Work
Income * Profit X x
Comments:
?How is entrepreneurship described by others?? The category and its properties need to be further
explored as the description can not be validated and thus disconfirming data saturation as further
theoretical sampling was required.
Table 5.11: Illustration of constant comparison between concepts
147
the disconfirmation of data saturation (Creswell 1998) which lead to theoretical
sampling as exemplified in Table 5.11 above. The substantive descriptive words
(concepts) were subsequently grouped into a cluster comprising of a category, property
and dimension to demonstrate the interrelationships between the concepts (Corbin &
Strauss 2008:159) as exemplified in Figure 5.12 below.
Figure 5.12: Interview 1: Q14: Relationships between selected statements
The category, business owner was associated with the concepts, ?your‘ and ?business‘
which were linked to the property, trading ?that‘s what I‘m living for‘ which was linked to
day-to-day business activities (dimension). The researcher critically analysed the
concept, business owner, in the context of entrepreneurship and observed from
literature that there were distinct characteristics defining a business owner and an
entrepreneur. A comparison between statements from other questions (16 and 17) in
the interview guide associated with the description of the concept, entrepreneurship
corresponded with the characteristics of a ?business owner‘. For example, statements
associated with the description of business owner included I) participant‘s concern
about close by competition rather than appreciating competition as an opportunity to
test their product as an entrepreneur would do; II) expecting business to come to them
?we thought we would have more walk-in customers‘ rather than going out to get
customers as an entrepreneur does and the focus on making profit were linked to the
statement ?have more walk-in-customers‘ and IV) lacking motivation which was
uncharacteristic of an entrepreneur who normally has a high level of motivation.
Theoretical sensitivity in this regard went beyond the descriptive level (cf. Figure 5.12)
to one where the researcher began to formulate substantive conceptualisations (cf.
Figure 5.12) to interpret the emerging definition of ?business owner‘ in terms of its
148
properties and providing an in-depth dimension of explanations to demonstrate the
interrelationship between the concepts. The researcher went back to a recorded memo
on the various definitions of entrepreneurship and realised that Schumpeter (1942:78)
in articulating the concept makes a distinction between an owner of a business and the
entrepreneur. Constant comparison enabled the researcher to ensure that related
concepts ?earned? their relevance by accurately reflecting and including statements
which the category was generated from (Corbin & Strauss 1998:292). Some descriptive
words and statements were dropped on refinement (e.g. income and profit) and some
exemplified in Table 5.12 below ?were sharpened through theoretical sensitivity (Corbin
& Strauss 2008:32). For example, the statement ?that‘s what I‘m living for‘ was replaced
with occupation and ?running‘ replaced with operating activities. The sentence
numbering facilitated ease in reshuffling and ordering concepts to a substantive
theoretical level.
Codes line Substantive descriptive codes : entrepreneurship
Q14 2
4
?business‘ * work-?living‘
?running‘- in charge of action- business activities * ?your‘- owner
Memo: Conceptual ordering of statements (underdeveloped)
? Category: Business owner – associated with in vivo codes ?your‘ and ?business‘ can be linked
to the business owner
? Properties: Occupation – associated with the statement ?that‘s what I‘m living for‘ – can be
associated with work – an occupation
? Dimensions: Operating activities – associated with concept ?running‘ suggesting the
management of day-to-day business activities - operating activities
Table 5.12: Interview 1: Q14 Conceptual ordering of substantive statements
The above analytical process provided basis for sampling on theoretical grounds to
compare how the next participant would describe the concept entrepreneurship by
expanding on the current interpretation of the concept. The researcher recorded a note
to observe whether in subsequent interviews there would be a distinction made by
participants between the characteristics of a business owner and entrepreneur. Doing
so enabled the researcher to break through subjectivity and bias in interpretation of the
concepts as the researcher understood that some concepts might have been unfittingly
placed in the category and thus not belonging. According to Grounded Theory (GT)
procedures, the researcher should keep looking and stop only when the concept was
sufficiently described ?saturated? (Corbin & Strauss 2008). Saturation of data –
according to Morse, Barnett, Mayan, Olson, and Spiers (2002) in Bowen (2008:140) –
149
?ensures replication in categories; replication verifies and ensures comprehension and
completeness?.
In the second interview, which when compared with the previous, expanded on the
definition revealing characteristics fitting the description of the concept ?business
owner‘, and thus yielding additional possible meaning. The in vivo code, ?somebody‘
was identified and interpreted similar to interview 1 implying a ?business‘ owner
(category) as described by the participant was a person having an ?idea‘ (property) that
could ?turn‘ (evolve an idea). The concept was interpreted as suggesting a
transformation pattern associated with the in vivo code, ?into a big venture‘ (dimension)
?bigger than one from hand-to-mouth‘, implying expansion or growth of the ?business‘
which would become a source of employment (sub-dimension). This interpretation was
drawn from the statement suggesting describing the business as being ?sustainable for
?self (business owner) and others‘ (employees). The sub-dimension, source of
employment compared to the previous interview was viewed by the researcher as a
variance to the property, ?that‘s what I‘m living for‘ which after conceptual ordering was
interpreted as suggesting the ?business‘ owner understood the ?business‘ to be an
occupation to earn a salary from. The participant‘s use of the in vivo code, ?venture‘,
interpreted in the context of entrepreneurship was linked to risk involved when
launching a venture and combined with the statement, ?taking the business from nothing
to a ?desired state‘, suggested a goal oriented action. Theoretical sampling continued
with the view of expanding the description of the concept. In interview 3 the participant
similar to interview 1 described the concept entrepreneurship as an act of ?trading‘
associated with ?selling products to people‘. This description, the researcher observed
was focused on entrepreneurial activity ?action‘ and not on the ?business‘ owner or
entrepreneur. Interview 4 (industry expert) was theoretically sampled with the view of
getting insights that would expand on the definition. The participant articulated
entrepreneurship as an ?employer‘ (category) who was a driver in creating ?employment
for self and others‘ (property) similar to interview 2 where the ?business owner‘
perceived the ?business‘ as a ?source of employment‘ linked to the notion of
employment creation suggested in interview 2 related to the in vivo code ?job creation‘
in interview 5.
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The iterative process of collecting and analysing data, that is, moving from the current
to the previous assisted the researcher in building theoretical sensitivity around
statements in order to enhance meaning. In interview 1 for example, the back and forth
analysis whereby the entire transcript was read again, enabled the researcher to
discovered a relationship between statements relating to the notion of ?job creation‘
drawn from the in vivo codes ?paying salaries‘ for ?people‘ (staff) appearing in the
subsequent question (Q15). The description of entrepreneurship provided in interview
5 had both characteristics of an entrepreneur and entrepreneurial activities. These
similarities were drawn from the in vivo codes, ?vision‘ and ?goal‘ (interview 2) described
by the participant as having an influential role in decision-making. The concepts, ?goal‘
and ?vision‘ were interpreted in association with the statement, ?build a professional
entity with sound monitory value‘. A variance noted between both interviews were
concepts used in describing factors determining the success of a ?business‘ such as,
?expansion‘ used in interview 2 and in interview 5, building a ?sustainable professional
entity‘ (property). This suggesting evidence of a transformation pattern linked to the in
vivo code, ?from nothing‘ interpreted as a starting point associated with an action to
?build it [business] up to a sustainable professional entity. This property was further
described using a dimension of concepts such as, offering training (Dimension 1)
having sound financial planning (dimension 2) and quality assurance standards
(dimension 3) further explained as entailing research (sub-dimension 1) and risk
management internal processes. Another similarity observed was between interviews 4
and 5 in the use of the concept, ?research‘ which was explained as being characteristic
of entrepreneurship processes. In interview 5 ?research‘ was described as a tool to
evaluate internal systems and in interview 4 a tool in ?identifying a need in the market‘
(dimension). This statement was interpreted by the researcher in relation to
entrepreneurial processes of starting a venture which involve planning. A variation was
also identified between interviews 2, 4 and 5.
In interview 5 the statement ?rural development‘ empowerment (aimed at poverty
alleviation and job creation) was related to the statement, ?creating employment for self
and others‘ (interview 4) and ?job creation‘ (interview 2). Another variation noticed
related to the scope of operation of the ?business‘, in interview 2 the in vivo codes, ?big
business‘, ?bigger venture‘ and ?expand‘ were interpreted to denote a wider scope of
operation were the focus would be on benefiting its internal audience denoted by the in
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vivo code, ?others‘ interpreted as employees. In interview 5 the scope although wider,
extended outside of the organisation to benefit ?rural‘ ?community‘ members. The in
vivo code, ?rural‘ was linked to the in vivo codes ?mission‘ and ?vision‘ (identified as a
category) taking from the participant‘s explanation that rural development was on the
ICT enterprises agenda. The description of entrepreneurship similar to the previous
interviews (2 and 3) depicted characteristics associated with entrepreneurial activity
rather than the ?business owner‘ (interview 1) or the entrepreneur (interview 4). In
interview 6, where entrepreneurial characteristics emerged from a number of related
concepts did not earn their way to making a category, but were identified and compared
for similarities and variances from previous interviews. For example, the relationship
between in vivo codes, ?vision‘ appearing in interview 5, and ?somebody‘ a variation to
?business owner‘ also appearing in interviews 1 and 2 including ?enterprise owner‘ and
?employer‘ in interview 4.
Additional descriptions appearing for the first time in this interview, linked to
characteristics of the entrepreneur which were drawn from in vivo codes such as, ?being
innovative‘, ?looking out for the environment‘, ?seeing opportunities in the market place‘,
?creating something extraordinary‘, ?having the drive and passion‘. The concept,
?looking out for the environment‘ was interpreted by the researcher as relating to
conducting a SWOT analysis and thus considering the interpretation to be similar to the
concept, market ?research‘ appearing in interview 4. The concept, ?creating something
extra ordinary‘ interpreted by the researcher as implying innovation, was perceived by
the participant to be a rare characteristic found in entrepreneurs. This
acknowledgement also related to one made by the participant in interview 4 (industry
expert) where the concept innovation was first theoretically sampled (Q23 was added to
the interview guide cf. Appendix F). The industry expert also affirmed the ?low
innovation levels‘ (category) claiming there was little room for innovation as ?ICT [was]
not understood well enough by small businesses‘ to trigger innovation‘ (property) and
made further claims that ?owners tend to be followers rather than leaders‘ (dimension).
Other characteristics describing the concept entrepreneurship in interview 6 included,
statements such as ?having the drive and passion‘ which were related to the in vivo
code ?motivation‘.
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The description of the concept entrepreneurship was expanded in interview 7 where the
concept, gender stereotyping (category) appeared for the first time. This category
described a woman ?business owner‘ (property) who from the point of view of the
participant was ?not recognised in the industry‘ (dimension). A similar claim was made
in a previous interview (5) which related closely with the assertion that ?women‘s
capability‘ was ?still questioned‘ in the industry. Other gender stereotypes were
associated with the perceptions held by the public of the ?business owner‘ described in
association with masculine descriptors such as, ?someone who dominates‘, affirmed by
the participant ?people always look surprised when they see me‘ (feminine features).
The in vivo code, ?surprise‘ was linked to ?astonished‘ used in interview 5 describing
men‘s stereotype attitude that seeks to undermine a woman entrepreneur‘s ability to
acquire ICT ?knowledge and skill‘. The researcher at this juncture of analysis decided to
consult dictionaries to draw ?literature derived concepts? (Strauss & Corbin 1990:68)
articulating gender as a number of concepts interpreted in relation to gender issues
emerging from previous interviews (other questions in the interview guide e.g. Q17,
Q20) were suggestive of an evolving theme. Consulting literature sources was a
quality measure to ensure rigor in the build-up of distinct categories generated from
correct interpretations.
Similarities were drawn between interviews 8 and 3 where entrepreneurship was
described from a position of entrepreneurial activities relating to the ?business‘
generating profit (interview 3) and having financial sustainability (interview 5).
Similarities and variances also emerged between interview 9, 4 and 5. In interview 9
the category, understanding the needs of the market was similarly interpreted in
association with conducting ?market research‘ (interview 4). The category was
subsequently linked to the property coming up with ideas on how to address these
needs such as, developing people (similar to interview 5), focusing on making a
difference for the people (dimension 1) and generating profit (dimension 2). Both
participants (interviews 9 and 5) exhibited a passion to develop people in order for them
to serve back in their communities.
The researcher made a note to reflect on the concepts, development and self-
empowerment and to seek a clear definition with the view of guarding against
interpreting both concepts narrowly in the context of the ICT environment. The
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researcher, deducing from the experiences (interview 5 and 9) described by participants
realised that the interpretations had thus far been narrowly articulated as the described
experiences appeared to be heavily laden with meaning. This assumption was made
taking into consideration that achieving the status of empowerment or development
entails undergoing a process of on-going action. This subsequently prompted the
question, ?What action were these women entrepreneurs taking in addressing the
identified obstacles hindering them from empowering themselves??
In interview 10 the concept, ?business owner‘ was associated with the concept ?risk‘
which interpreted through theoretical sensitivity and in the context of literature on
entrepreneurship was interpreted as implying a willingness to take risk, a characteristic
expected of entrepreneurs. A variance was noted in the interpretation of the concept,
?risk‘ drawn from participant‘s explanation in interview 5 where ?risk‘ was associated with
quality assurance (risk management) that the ICT enterprise had to manage. The
concept risk was further theoretically samples to get an expanded meaning as the
concept had not rendered a variation of explanations. Another concept identified was
?funding limitations‘, associated with covering ?operational costs‘. In interview 11 a
broadened meaning rendering the saturation of the concept innovation, came from a
comparison of statement analysed that formed a close correlation between concepts
such as, ?challenging the normal‘, ?doing things differently‘, ?create new ways‘, ?looking
outside the box‘, and ?not depending on conventional‘ thinking. The definition of
entrepreneurship both from the previous interview and interview 11 leaned more on the
characteristics of an entrepreneur. A combination of entrepreneurial and entrepreneurial
activities in the definition emerged in interview 12 where the concept entrepreneurship
was saturated as sufficient explanations both depicting characteristics and
entrepreneurship activities were rendered. The researcher identified similarities
between previous interviews and interview 12 from concepts such as, the ?art of
creating a business‘, ?having business acumen‘ which were all interpreted applying
theoretical sensitivity from the in vivo code, ?read‘ as implying self empowerment
referenced in interview 5. A variance in the use of the concept, ?human resource‘
(interview 12) and ?empowerment‘ (appearing in interview 5 and 9) was noted.
In interview 5 the emphasis was placed on self empowerment and the empowerment of
community members and in interview 9, on ?developing staff capacity‘ and the concept
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empowerment was subsequently saturated. In interview 12, the participant‘s definition
of entrepreneurship leaned more towards describing the characteristics of the
entrepreneur in relation to the importance of having employees ?human capital‘ that took
the effort to empower themselves. In interview 11 ?human resources‘ were considered
a driving force of entrepreneurship, this associated with concepts such as, ?young
minds given opportunity‘ and to ?bring in different skills‘ to create ?new ways of doing
things‘. Other concepts interpreted by the researcher through further questioning and
theoretical sensitivity with the view of understanding in depth the meaning of the
concept empowerment from interview 12 included, business acumen, ?read[ing]‘,
business management skills, ?communication‘, ?marketing skills‘ and problem solving
skills. All of these descriptors suggested the significance of human capital in the
context of entrepreneurship. Linked to this interpretation were current problems facing
ICT enterprises brought about by disempowerment such as, increased ?incompetency‘
levels linked to the lack of ?workplace experience‘. In an interview (11) with the
government expert, ?human resources‘ were also described as a driving force of
entrepreneurship, this interpretation was associated with concepts used by the
participant such as, ?young minds given opportunity‘ and to ?bring in different skills‘ to
create ?new ways of doing things‘.
In interview 13 the concept, ?guts was identified and subsequently linked to the concept
?risk‘ appearing in interview 11 implying the entrepreneur‘s ?willingness to take risk‘.
The in vivo code, ?venture‘ (interview 2) interpreted in association with the concept, ?risk‘
was also linked to the interpretation of the concept, ?guts‘. A variation in the
interpretation of the concept, ?willingness to take risk‘ was noted from interview 8 where
the concept, ?risk aversion‘ was perceived as a lost opportunity linked to fear. The
researcher reflected on the definition of entrepreneurship and made a connection
between failure and success. The interpretation of failure in entrepreneurship terms
tends to be associated with success. The concept, ?risk‘ was considered saturated as
its meaning was sufficiently articulated. In the last interview (14), entrepreneurial
characteristics same as the ones emerging from the previous relating to the concept
business ?business owner‘ was interpreted from the perspective of the participant as a
skilled person with the ?capacity‘ to ?manage a business‘ and having a sharp ?business
acumen‘. This statement also related to interview 12 where the property ?business
acumen‘ emerged.
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With reference to the research question of this study, the researcher was able to
identify emerging themes from the responses of participants that provided sufficient
evidence in answering to the research question pertaining to the conceptualisation of
the concept ?entrepreneurship‘. Various themes that emerged evolved from a pattern
depicting entrepreneurial process and action that emerged from a range of categories,
and properties that were compared, and critically examined from other questions of the
same transcript and between interviews looking for similarities and variances that would
provide a clear understanding of how the participant understood the meaning of
entrepreneurship as a concept. This back and forth critical analysis of categories and
their properties culminated into a theme of characteristics identified from data that was
either associated with the ?business owner‘, entrepreneur or entrepreneurial activities.
Characteristics associated with the ?business owner‘ or entrepreneur that were
highlighted included: ?guts to establish business venture‘, ?initiate‘, ‘develop idea‘ and
drive an enterprise‘s ?vision‘, and ?goals‘; ?turns idea into big venture‘, ?ensuring its
[enterprise‘s] success through ?sheer determination and belief in one‘s concept‘, and
?creating value‘; ?looking outside the box‘, and ?non-conventional‘ thinking; ?acumen‘ to
?organise resources‘, and ?risk‘ taker creative; and ?understanding the needs of the
market‘ and coming ?up with ideas on how to address those needs‘, and passion for the
?development and empowerment of people‘.
Other descriptive concepts associated with entrepreneurial activity included ?Art of
creating business‘, ?turn business venture into big venture‘, ?expansion‘ of ?venture‘,
seeking ?new‘ market trends, ?business opportunities‘, ?tenders‘, ?creating employment
for self and others‘, ?creating new products and services‘, increasing ?productivity levels
of the enterprise‘, ?doing things differently‘, and creating something extraordinary‘.
The repetition of these concepts including the context in which concepts were
interpreted, provided depth and breadth in understanding the concept from the point of
view of the participants and the researcher‘s interpretation which corresponded to
literature. This analytical process confirmed data saturation. The chronological order
in which categories, their properties and dimensions were identified including stand
alone concepts appear in Appendix N Table 1
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In sum, in the context of marrying the theoretical definitions provided by participants
from different perspectives and the researcher‘s observations of the real situation,
highlighted similarities and differences between the participants and researcher in
conceptualising the concept entrepreneurship and the actual modelling of what an
entrepreneur does. For example, the articulation of the concept in relation to the in vivo
codes ?expansion‘, innovation‘ and ?seeking new business opportunities‘ was well
understood theoretically but in practice there appeared to be no workplace evidence in
most enterprises. For example, the lack of evidence was observable in terms of the
growth of the enterprise i.e. ventures into new markets, producing new products,
acquiring new customers, or active involvement in research and development linked to
new technological improvement. One of the advantages of conducting interviews in the
workplace was that, the researcher could make such observations.
Another analysis made by the researcher on the backdrop of participants‘ understood
meaning of entrepreneurship as being a dynamic process that needs entrepreneurs
who can actively and consistently identify and pursue economic opportunities, was that
in practice there seemed to be a disconnect suggesting these ICT enterprises were
rather on the supply and demand side. This analysis highlighted the importance of
definitions (the words used) in shaping the entrepreneur‘s frame of thinking and the
strategy entrepreneurs adopted in influencing their entrepreneurial processes.
Q15 What problems in your view are encountered most by SMMEs? Please
elaborate.
In this question (Q15), the participants were asked to share their understanding of
problems encountered by SMME entrepreneurs within the ICT sector. The following
question (Q16) asked participants to share their opinion on challenges that were
specific to women entrepreneurs. Asking these two questions the researcher hoped,
would provide a balanced understanding of problems generic to the ICT sector that
would delineate parallels or differences between SMMEs in general and women
entrepreneurs. In addition, the researcher (a practicing woman entrepreneur) would be
able to see how different the problems experienced by SMMEs enterprising in the ICT
sector were to other SMMEs enterprising in other sectors. This interest, prompted by
the research interest of the study, was proof demonstrating how impossible it is for
researchers to separate who they are as individuals, that is, their ?background and prior
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understandings? from the research and analysis they do (Creswell 2007:39). The coding
of both questions (Q15 and Q16) required of the researcher to bracket out any
preconceived notions held that would influence interpretation by letting interpretation
guide the analysis. The researcher however, consistently made use of in ?vivo codes?
(Strauss & Corbin 1990:69) to allow participant‘s own phrases to come through thus
enhancing integrity in interpretation by keeping the data grounded in the participant‘s
voice.
In the first interview the category, experiencing difficulty in accessing capital was
associated with the problem of entrepreneurs having a ?limited operating budget‘
(property) which influenced the purchasing of ?stock/material‘ (dimension 1) and inability
to pay ?staff salaries‘ (dimension 2). The second category, local competition was a
perceived threat to the new entrant (property 1) who was struggling to penetrate the
local competitive market because of the ?limited marketing budget‘ (dimension) hence
the ineffective marketing activities (sub-dimension 1) associated with the statement
?unable to convince people‘ suggesting low brand recognition linked to limited customer
market share (sub-dimension 2) associated with the in vivo codes, ?just come in‘
implying ?new entrant‘ and therefore ?unknown‘ interpreted as suggesting low brand
recognition. The established ICT enterprise (property 2) was identified from an
association of concepts such as, ?always been there‘, ?in existence‘. This established
ICT enterprise was linked to customer market share (dimension), which was interpreted
by the researcher through theoretical sensitivity as suggesting the established ICT
enterprise had a fair share of customers in the market. This interpretation was
prompted by the participant‘s statement suggesting that the established ICT enterprise
had gained competitive advantage (sub-dimension) over ?new entrant‘ hence their
increased customer market share.
The researcher made an observation from the analytical process that all identified
categories had ?conceptual power? hence the various layers of properties, dimensions
and sub-dimensions were able to render an in-depth explanation deduced from
interrelated statements (Strauss & Corbin 1990:65). In interview 2 the problem was
that SMMEs were experiencing difficulty in accessing funding (category) due to barriers
(property) such as, poor credit rating (dimension 1) associated with in vivo codes ?credit
rating and not having ?collateral‘ (dimension 2). The cause of this situation was
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interpreted from a combination of in vivo codes that rendered an explanation that,
monies ?owing‘ towards ?study loans‘ made it difficult to obtain a ?financial record‘
needed by funders. Similarly, interview 1 and 2 experienced the same problem
pertaining to the limited ?operating budget.
The second category, developing staff capacity, was associated with barriers linked to
lack of business knowledge and skills (property 1), and the lack of human resource
capital (property 2). Property 1 was linked to the statement, lack of business
knowledge and skill which was interpreted in relation to a range of concepts rendering
explanations such as, unfamiliarity with business operations in the area of ?finance‘
(dimension 1), management‘ and ?employment regulations‘ (dimension 2). Human
resource capital (property 2) problems were associated with concepts relating to
?mentor[ing]‘ of staff which was lacking‘ and linked to ?workplace experience‘ which too
was lacking. This associated with the use of the in vivo codes, ?incompetent‘. The
inability to create ?sustainable employment‘ (dimension 1), was associated with the
statement, ?people are poached by other companies or go for better opportunities‘ (sub-
dimension). Property 2 was also linked to statements highlighting high staff turnover
(dimension 2) associated with the statements, ?you train them and they leave‘ and
inability to create ?sustainable employment‘ (dimension 3) linked to ?cash flow‘ related
problems associated with the statements, ?you cannot employ graduates because they
are expensive‘ (sub-dimension 1) implying ICT enterprise was unable to pay salaries
interpreted from the participants explanation that ICT enterprise was ?struggling to
generate income‘ (sub-dimension 2). Interview 3 compared to interview (1) drew a
similarity associated with the concept operating budget which was mutually perceived
as a barrier. In interview 1 the association was linked to ?limited operating budget‘ and
in interview 3 with ?high overhead costs‘.
Similar to previous interviews, the problem of experiencing difficulty in accessing
funding was also identified in interview 4 as a category and associated with concepts
such as, ?capital‘ and ?start up finance‘ and similar to the previous interview (2)
explained that ?qualified‘ people with ?experience‘ were ?expensive to hire‘. The
category experiencing difficulty in accessing funding was saturated but the researcher
was open in accommodating other explanations. SMMEs were found to be lacking in
marketing skills (property) also identified in interview 1. This property was associated
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with the in vivo code, ?sales‘ which was perceived by the participant as an area
?overlooked [by SMMEs] to the detriment of the business‘ including a combination of
statements such as, the need for SMMEs to ?create their own space‘ and ?finding a
niche market‘ where similar products were offered. All of these statements were
interpreted by the researcher as suggesting competitive marketing in the context of
SMMEs inability to survive competition (dimension). Interview 5, similar to the previous
interviews, the problem of experiencing difficulty in accessing funding (category) was
linked to the statement, ?not understanding documentation requirements‘ (property)
suggesting vagueness of information presented in documents (dimension) as ?there is
always some loop hole that is used by officials as an excuse for you not to get funding‘
and ?there is always some fine print‘. These perceptions were interpreted by the
researcher through theoretical sensitivity as implying SMMEs do not fully understand
the stipulated documentation requirements which were often too technical to
understand and overlooked restrictions, implied by the in vivo code, ?in fine print‘.
However, reflecting on the interpretation, the researcher detected subtle connotations
by linking these statements and body language communicated by participant such as,
?sighing‘ suggesting a ?sense of defeat‘ observed. This tentative interpreted was made
in association with gender inequalities inhibiting women from accessing to business
opportunities. These tentative interpretations were recorded in a memo to analyse at a
later stage.
Another perceived problem was that women entrepreneurs were seen to be ?lacking self
motivation‘ (category 2) linked to participant‘s (interview 2) perceived notion that
motivation was a ?big factor when starting a business‘. This statement was also linked
to one made in interview 3 suggesting women have to ?think positively to stay in
business‘ based on the challenges encountered. The lack of self motivation‘ was linked
to the following statements, taking action in ?developing staff‘ (property 1), getting staff
into the ICT sector (dimension) and developing learners (property 2) in order to ?give
them the chances they did not have‘ (dimension). The concept, ?motivation‘ emerged
as an evolving concept that was interrogated in subsequent interviews.
In interview 6 the concept, globalisation (category) was identified as a problem and
linked to the property, SMME support lacking locally, perceived by the participant as a
consequence of ?globalisation‘ linked to the in vivo code, ?multi-vendors‘ who were
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perceived as creating a system favouring big companies over local SMMEs who were
not considered by ?procurers of services‘ implying ?multi-vendors‘. This treatment,
explained from the participant‘s point of view was linked to the statement, SMMEs not
trusted (dimension) drawn from the statement, ?they are not trusted until they have
proved themselves‘ in the marketplace.The researcher‘s interpretation, confirmed
through member checks, the lack of trust in SMMEs was based on limited service track
records. This based on the grounds of limited business opportunities coming their way
in terms of getting sufficient contracts. In interview 7 similar to previous interviews the
concept, ?finance‘ emerged and was associated with inability to access finance related
to the in vivo code, ?equipment‘. The statement, ?banks will not fund you unless you
present financials‘ was a problem mentioned from previous interviews (1, 2 and 5) and
associated with women‘s poor credit rating. The researcher revisited thoughts recorded
on the category ?experiencing difficulty in accessing funding‘ in a memo where gender
inequalities were tentatively implied in association with the statement ?there is always
some loop hole that is used by officials as an excuse for you not to get funding‘. This
also suggesting discrimination levelled by bank against women.
The problem with women entrepreneurs experiencing difficulty in accessing finance was
a theme cutting across from all previous interviews and barriers encountered were
sufficiently described for the researcher to consider the theme saturated as additional
explanations did not add any new insights. In interview 8 the concept ?risk‘ was
explained differently in that a distinction was made between men and women
entrepreneurs who were perceived as being cautious in taking risk than men. The
concept, ?risk‘ also reached a state of saturation at this point in the analysis and was
considered saturated. However, gender comparisons were noted and at this juncture in
the analysis of the theme gender sensitivity in the form of structural inequalities in the
processes of women-driven entrepreneurial activities. Another problem identified was
that, SMMEs tended to offer a limited range of ICT products or services and thus not
competing favourably in the marketplace. This observation was made in interview 4
where the concept, competitive marketing was identified as a challenge facing SMMEs.
In interview 9 the category, Eastern Cape market was perceived as a market where big
businesses were thriving and SMMEs getting limited business opportunities as there
was an existing private company preferred supplier list (property 1) that business was
given to. This claim was linked to the statement, ?private sector already has its own
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suppliers‘ (dimension 1) and that ?national companies already [had] contracts with local
companies‘ (dimension 2). The researcher identified similarities between these claims
and those made in interview 6 where globalisation was perceived as creating a system
favouring big companies ?multi-vendors‘ over local SMMEs. The participant also
identified problems faced by government suppliers (property 2) categorising suppliers
as established companies (dimension 1) described as having high overhead costs (sub-
category), standard market ?mark up rates‘ on products (sub-category 2), having a
service ?track record‘ (sub-category 3). New entrants, ?black SMMEs‘ (dimension 2)
were described in association with descriptive concepts such as, ?having government
connections‘ (sub-dimension), ?getting inside information from government? (dimension
2), ?responding competitively to requests for quotations compared to established
?existing‘ company ‘ (dimension 3), were ?marking down the price against a set standard
market margin‘ (dimension 4) and were the ones ?getting work‘ and thus ?destabilising
the market‘ (dimension 5). The researcher identified similarities and variances when
comparing and contrasting these statements to previous interviews concerning
uncompetitive pricing mentioned in interview 3 associated with small business lowering
their price resulting in reduced profit margins and also in interview 1 where the problem
was associated with black SMMEs not accessing tenders from government due to entry
requirements for tendering being extremely high. The researcher recorded tentative
thoughts from the comparison that were tentatively suggesting subtle corruption
practices.
A variance to the above explanations was identified in interview 10 in relation to
uncompetitive ?pricing‘. There was an acknowledgement by the government expert that
government was doing something to address the inequality between big and small
business by allowing small business to inflate their price (preferential procurement
rating system) in order for them to remain competitive. Another variance was noted
between statements from interview 10 and 6 suggesting government had confidence in
SMMEs (interview 10) as opposed to private sector were trust in SMMEs was lacking
(interview 6). In interview 11, the category, technology stereotypes emerged for the first
time. The reasons given for stereotypes attitudes were associated with the statement,
?people do not seem to understand that technology is vital nowadays‘ (property) and the
researcher wondered why marketing was ineffective (dimension) asking the question,
?Why would people not be interested in the media centre given the fact that the role of
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telecentres‘ were seen as adding value in the development of underserviced and rural
communities in many ways for example, in the sphere of education and socio-economic
(cf. Schreiner 1998; Lesame 2008) development. In interview 12 similar, to the problem
cited in interview 2 regarding SMMEs lacking business skills, in this interview the
concept, ?not knowing how to start a business‘ was interpreted by the researcher as
implying SMMEs were lacking business skills. Similarly, in interview 2 the concept,
?incompetency‘ was linked to an explanation that people lacked business management
skills. This problem similar to previous interview (2) was attributed to employers not
affording qualified professionals working for them.
In interview 13 the concept, managing ?finance‘ was identified and related to the in vivo
code, ?misused money‘ linked to the statement, ?the management of income and
expenditure‘ and the consequences of mismanagement of finances. This statement was
compared to a similar statement appearing in interview 5, making reference to ?women
lacking financial skills‘ whilst men as ?accountants‘ were financially astute. Another
problem identified linked to skills incapacity linked to the property, ?lacking decision-
making power‘ associated with the statement ?oppression of women‘ in relation to
gender-based discrimination (category). Other statements linking to this interpretation
were, that, women lacked independent decision-making ability (interview 8) and ?women
not hav[ing]‘ no power to ?challenge or change the situation‘ (interview 12). This linked
to the issue of women‘s underrepresentation in decision-making positions. The skills
gap was also identified in interview 14 linked to a statement explaining that
entrepreneurs were lacking ?business mentors for guidance‘. These statements
confirmed prevailing gender inequalities suggesting implying women‘s economic
marginalisation. The chronological order in which categories, their properties and
dimensions were identified including stand alone concepts appear in Appendix N Table
2: Problems encountered by SMMEs.
By the end of the interviews, the researcher identified the following themes which
emerged from this question (Q15) in relation to: Experiencing difficulty in accessing
funding; local competition; developing staff capacity; lacking self-motivation;
globalisation; Eastern Cape ICT market; technology stereotypes. Related concepts
included: inability to manage finances; lacking business mentors; women cautious in
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taking risk; managing finance; offering a limited range of products or services; lacking
independent decision-making; and lacking business mentors for guidance.
In sum, one of the inhibitory factors that were interpreted by the researcher using
theoretical sensitivity in relation to failed attempts in penetrating the market were linked
to structural issues of local economic development (LED) priorities. In most of the
underserviced and rural areas, local economic development (LED) priorities are placed
on other services such as, access to water, electricity and roads rather than on
telecommunications. Therefore, the role of telecentres and their impact on socio-
economic development may not be appreciated by the community. The lack of adoption
and use of ICT services offered by the centre, albeit the purported claims of
establishing the telecentre for purposes of resuscitating economic activity, promoting
digital literacy and creating jobs within the local community, was interpreted by the
researcher as a possible result of historically embedded structural factors emanating
from previous colonialist perceptions regarding ICT manifested in socio-cultural and
economic norms that continue to perpetuate the digital divide. This interpretation was
linked to perceptions articulated by participants affirming colonialist thinking manifested
in gender-based discrimination inhibiting previously disadvantaged communities from
accessing and/or taking full advantage of ICT in leapfrogging the stages of development
rather than perpetuating the existing digital divide. The researcher made a note to
explore further reasons from the literature review that might explain factors influencing
the disinterest in making use of the telecentre. The lack of investment and involvement
by private sector in the promotion of women-driven entrepreneurship within the sector
was interpreted by the researcher as confirmation of the absence of gender
mainstreaming policies (interview 10) that could enforce investment in women
programmes.
Q16: What in your opinion are the challenges faced by women as
entrepreneurs? Please elaborate.
In interview 1, ineffective marketing (category) was linked to product diversification
decisions (property) influenced by miscalculated marketing decisions which were
associated with local competition (concept) interpreted in the context of a local
competitive marketplace. Product diversification decisions were linked to decisions to
diversify into new segments A and B (dimensions) which explained decisions for
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product diversification. The competitor (category 2) was considered eminent
competition for the new entrant because of the perceived product diversification
advantage (property) associated with having a fair customer share (dimension).
Gender sensitivity (category 3) interpreted and understood in the context of the woman
entrepreneur being aware of existing gender biases, was linked to socio-cultural gender
role expectations (property 1) associated with gender role stereotyping (dimension)
attitudes linked to a perceived value standard regarding it unacceptable for women to
hold business ?meetings‘ with ?strangers‘ ?after hours‘. Gender-based discrimination
(property 2) was associated with ?women-owned businesses‘ not getting access to
business opportunities. This interpretation was associated with concepts suggesting
gender based economic marginalisation (dimension) and partially met SMME woman
entrepreneur‘s expectations (property 3) regarding government taking action
(dimension) in recognising women entrepreneurs as ?business women‘. The concept,
low motivation was identified and associated with verbal and non verbal expressions
interpreted in association to expectations that were partially met (business
opportunities). The concept, local competition was identified and associated with local
market forces influencing competition.
The category, gender sensitivity was theoretically sampled to explore in-depth some of
the categories and properties of statements relating to gender sensitivity to prevent the
researcher from building categories on vague interpretations (Goldkuhl & Cronholm
2003) influenced by own gender biases (feminism orientation). In interview 2 gender
sensitivity was identified as a category and linked to gender stereotyping (property 1)
associated with perceptions held of men as being ?better employers compared to
women‘ (dimension 1); the perception that women were not given the ?credit they
deserve‘ (dimension 2) and were still questioned (sub-dimension) in terms of their ability
to operate at a level same as their counterparts (men). The third dimension linked to
gender stereotypes was apathy. The concept, women developing apathy (dimension 3)
was associated with the statement explaining they ?quickly give up‘ when faced with
challenges. Gender role differences (property 2) were drawn from statements based on
gender stereotypical sex role constraints such as, ?time‘ restrictions (discouraging
women from attending meetings after work) and women ?multi-tasking‘ (balancing work
and family responsibilities). Multi-tasking was associated with societal expectations that
women were better skilled to care of domestic obligations. In interview 3 the concept
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competition was identified as a challenge for the enterprise and was associated with a
combination of statements describing uncompetitive circumstances whereby the
enterprise had to lower their prices in order to be competitive.
In interview 4 gender-based discrimination (category) portrayed by men was identified
as a concern as it resulted in women‘s economic marginalisation (property). Women
were also subjected to men‘s patriarchal attitude linked to the in vivo code, ?males only
club‘ (dimension1) referred to in interview 1 using terms such as ?it‘s a men‘s world‘ and
term ?sexual innuendos (dimension 2) interpreted by the researcher as suggesting
gender based sexual harassment behaviour linked to the statement that men had
?differing moral scales‘ (dimension 3) to women. This explained from the participant‘s
perspective implied immorality in business ethics (sub-dimension) linked to other
descriptive words such as, ?doggy and illegal‘ deals men engage in. The explication of
gender comparisons suggested men were more prone than women to such deals. In
interview 4 gender sensitivity (category) issues emerged again and gender stereotypes
(property) similar to the previous interview (2) were identified. Additional concepts were
added to describe gender stereotypes such as, gender based educational differences
(dimension 1), gender based career choices (dimension 2), socio-cultural gender role
expectations (dimension 3), workplace gender inequalities (dimension 4) linked to
inequalities in earnings between women and men (sub-dimension 1) and maternal
obligations (sub-dimension 2). The researcher determined whether sufficient data
(saturation) supported these interpretations through constant comparison to facilitate an
improved conceptual understanding of the gender sensitivity issues and decided to
explore in-depth some of the categories and properties of statements relating to gender
sensitivity.
In interview 5 a new category, lack of women representation was introduced and was
linked to gender-based career differences brought about by women not taking ICT as a
career choice (dimension). In interview 6 the acknowledgement of women lacking
recognition (category). This acknowledgement linked to the suggestion that gender
disaggregated data (property) needed to be generated through surveys within the ICT
sector. The lack in ?effort‘ by the Women Business Associations in directing attention to
the entrepreneur behind the ICT enterprise (dimension) was raised as a concern. This
concern was linked to a statement suggesting the need to develop a profile of women
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entrepreneurs in the sector (dimension). In interview 7 the concept, women lacking
recognition was raised again but in the context of family and relatives not taking women
entrepreneurs seriously. This statement was considered a variance to previous
interviews (1, 5 and 6) where government and the ICT industry were blamed. Another
perception held by the participant was for women to start recognising and praising
themselves (dimension). This statement was made in acknowledgement of women‘s
ability to balance ?family life‘ and ?business life‘. Barriers confronting women similar to
those expressed in interview 1 and 2 (agenda for ?meetings‘ perceived to be gender
biased) affirmed the concern that networking platforms, were not accommodating
women and the perception that these platforms were a place where doggy business
deals were made and that women were subjected to sexual harassment behaviour.
Similarities were drawn between this interview and interview 1 were concerning
networking platforms not embracing women who needed business-to—business (B2B)
platforms which were perceived as a source of support. The researcher analysed the
concept ?networking‘ in the context of the interpreted meaning and asked the question,
?What action are women taking to have their input or views considered as equals at
such platforms?? The concept, sexual harassment which was kept active an earlier
memo (interview 4) emerged again in interview 8. The notion of men asking for ?sexual
favours‘ in exchange for tenders awarded was linked to an action statement from
previous interview (7) linking ?sexual favours‘ to an action statement, ?It must stop, this
thing of having to give out a percentage of your money to procurement officers in order
to obtain a contract‘. Additional insights on factors influencing the behaviour linked to
gender-based discrimination which guided interpretation in identifying the concept,
?gender based sexual harassment‘ which was subsequently considered saturated.
Other concepts identified demonstrating forms of gender-based discrimination
confronting women were: the exploitation of women through partnership ventures
organised by government; women not benefiting from the BEE score card;
uncompetitive tendering between traditional and new entrants who get inside
information from government officials which results in the economic marginalisation of
women and late payment turnaround which affects their cash flow. In interview 9 the
concept women entrepreneurs taking assertive action (category) was identified and
associated with the statement, women successfully operating their own business
(dimension 1) despite gender stereotypes (dimension 2) that women were not feeling
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intimidated by young men. Similarly, in interview 10, the category gender based
stereotyping emerged and was linked to a stereotypical attitude demonstrated by men
confirming men do expect women to own ICT enterprise (property) and to be in
managerial positions (dimension). This perception was similar to interview 12 and was
linked with the statement, ?women are usually boxed into secretarial responsibilities‘
(sub-dimension) and thus affirming women‘s underrepresentation in decision-making
positions.
Another similarity identified between this interview and interview 8 was the
interpretation of the in vivo code ?bribe‘. The interpretation revealed a pattern
suggesting irregularities in government‘s procumbent processes linked to the
statement, ?If I need funding I have to bribe‘ suggesting a common practice however,
condoned by others as affirmed by the statement, ?it must stop…this thing of having to
give out a percentage of your money to procurement officers in order to obtain a
contract‘. The concept ?bribe‘ was interpreted with the same understanding associated
with the in vivo code, ?corruption‘. The statement, ?it‘s the main problem‘ referring to
corruption witnessed was repeated several times suggesting the magnitude of the
problem.
The challenges in balancing family and work life also emerged as a theme linked to
previous interviews (1, 2, 7 and 9) with in vivo code ?multi-tasking‘, ?mothers‘ ?nurturers‘.
A variance was identified in the interpretation of the in vivo code ?mother‘ associated
with the participants maternal responsibility towards staff (interview 9) and ?colleges‘
(interview 12). In interview 13 the concept, gender stereotyping emerged again
rendering sufficient evidence of examples of stereotype behaviour demonstrated such
as, differences in educational and career occupations based on perceptions about the
ICT environment being a male dominated career path and industry; socio-cultural
gender role expectations that enforce judgemental stereotypes including perpetuating
inequalities based on perceptions that men were better performers, employers than
women. Another emerging theme was ?networking‘ identified in interview 14 but treated
as an evolving concept as it had not reached a point of saturation. The chronological
order in which categories, their properties and dimensions were identified including
stand alone concepts appear in Appendix N Table 3.
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The by the end of the interviews, the researcher identified the following theme of
categories which emerged from this question (Q16): Ineffective marketing; competitor;
women needing action from government; gender sensitivity (women aware of existing
gender biases); gender-based discrimination; women lacking recognition; women
lacking representation; women experiencing difficulty in accessing funding. Concepts
included: competition; women exploited through partnership ventures; late payment
turnaround time; women not benefiting from BEE score card; condemning of bribing by
officials; men asking for sexual favours.
In sum, an observation made was that women-driven entrepreneurial activities were
characterised by socio-cultural, economic, and technological structural barriers that
women entrepreneurs were aware of. However the question remaining in the
researcher‘s was ?Why were these women not taking action? especially being aware of
gender sensitive issues impacting on their enterprises. Another observation was that
women-driven entrepreneurship in the ICT sector was a competitive environment
suggesting women-owned enterprises needed some form buffer in the form of policy or
programme support in order to survive.
Q17: What is your understanding of the term ICT? Please elaborate
This question was asked to interpret an understood meaning from the perspective of
women entrepreneurs on how the concept is defined and understood in the context of
their operating environment. The researcher considered it important for entrepreneurs
to understand definitions (knowing what business the ICT enterprise is in) which are at
the core of business strategies directed by the primary focus of the ICT enterprise‘s
products and services.
In Interview 1 The concept, technology gap was identified that suggested participant‘s
limited understanding of the concept ICT. Skyping was, identified as a concepts from a
combination of related descriptive in vivo codes, describing its functional usage
(electronic means), technology features (voice, text, images), linked to in vivo codes,
?communicate‘, ?overseas‘ and ?instantly‘ which were described in association with
electronically conveyed messages perceived as a convenience by the participant.
Skyping was associated with the C of the acronym ICT. In interview 2 different to
interview 1, the term ICT was interpreted as referring to ?information in the form of raw
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or processed data‘ and communication in new ways using ?gadgets‘. In interview 2 the
concept, ?processed‘ was associated with the IT of the acronym and communication
?gadgets‘ with the C (same as in interview 1) of the acronym ICT. In interview 3 The
participant understood the concept ICT as referring to a means of communication
where communication is used as a tool to ?link up with clients and suppliers‘ and
associated with the C of the acronym ICT. The interpreted description of technology
was insufficient and needed to be explored further. In interview 4 The concept, ICT was
described as having the components communication comprising ?computers‘
(hardware) and radio and cell phones (networks) including the function of processing,
managing, and communicating information. In interview 5, the concept, ICT was
described as comprising of a ?computer infrastructure‘; ?communication networks‘ and
human ?communicating. The elements of the description were associated with the I and
C of the acronym ICT. In interview 6 Similar to the previous interviews, the participant
described the concept ICT as ?a bridge‘ (network) used to communicate within the
business world using ?technology‘. The elements of the description were associated
with the I and C of the acronym ICT. In interview 7 the participant understood the
concept ICT as technology that uses computers (hardware) and the description was
associated with the IT of the acronym ICT. In interview 8 Similar to interview 4 the
participant described the term ICT as a ?combination of computers‘ (networks) used for
?document storage and retrieval of that information‘ interpreted as referring to hardware.
The elements of the description were associated with the IT? and C of the acronym
ICT. In interview 9 the concept was the described similar to the previous interview
associated with the I, T, and C of the acronym ICT. Although the concept ICT had a
variation of descriptions, it was described sufficiently and considered saturated. The
chronological order in which categories, their properties and dimensions were identified
including stand alone concepts appear in Appendix N Table 4
The by the end of the interviews, the researcher identified the following concepts that
emerged from question (Q17) where ICT was perceived in association with: the I and C
of the acronym ICT; the IT and C of the acronym ICT and the C of the acronym ICT.
Descriptions falling under the I and C included: relaying and production of information
through the use of telecommunications. Descriptions falling under the IT and C
included: computers‘ (hardware), used to store and retrieve information facilitated
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through satellite technology. Descriptions falling under the C included: platform that
facilitates the communication of information using the latest technology available.
This question related to the research questions seeking understanding of how women
entrepreneurs conceptualise ICT as a technology.
Q18: In your view what is the role of ICTs in business? Please elaborate.
In interview 1 a number of concepts were identified from statements that were
compared for similarities and variance. The first concept, reduced travel was
associated with in vivo code teleconferencing which was perceived as being a
convenient technology for office meetings. Similarly, the concept, ?improved quality of
work life‘ was linked with the in vivo code, ?making life easier‘ which implied
convenience interpreted from the statement, ?sitting around the table‘ associated with
long distance communication. Internet technology was perceived as a convenient
communication tool for researching information. From a filing point of view technology
was a convenience tool for electronic document storage associated with the statement,
?so that you have something that you can file on record as proof. In interview 2 the
concept, communication tool was interpreted from the perspective of human
communication drawn from in vivo code, ?face-to-face communication‘. In interview 3
similarities were drawn from this interview and previous interviews (1) ICTs were
perceived as a communication tool. This interpretation was associated with the
following in vivo codes ?computer‘, ?fax line‘ and ?telephone‘ used by the participant.
The participant‘s description in interview 4 was more elaborate compared to the
previous interviews adding more functional aspects related to ICTs being the ?back-
bone‘ that ?assists in improving business processes‘, enhancing ?efficiency‘ and
?effectiveness‘ in performance levels. All subsequent interviews had some of the
concepts mentioned in interview 4 except for two additional concepts describing ICTs
as an ?enabler for innovative business processes‘ (interview 14) and ?financial gain‘
(interview 8). The concept of innovative business processes was interpreted in
associated with the idea of one developing innovative products. This was linked to the
in vivo codes, ?hardware‘ and ?software developers‘. The concept, financial gain was
interpreted in the same context of getting better paying jobs. The chronological order
in which categories, their properties and dimensions were identified including stand
alone concepts appear in Appendix N Table 5
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The by the end of the interviews, the researcher identified the following theme of
concepts emerging from this question (Q18): Benefit associated: reduced travel;
improved quality of business life; facilitates improved business processes; increased
productivity; functionality: communication tool; storage tool; research tool; efficiency in
business processes; enabling innovative business processes.
This question related to the research question seeking to understand how women
conceptualise ICT as a technology.
Q19: What problems do SMMEs have with ICTs? Please elaborate.
In interview 1 the category, ?lacking computer literacy‘ was interpreted from an
association of problems associated with barriers (property) linked a dimension of
problems linked to unaffordability linked to entrepreneurs not affording internet
connectivity (associated with financial limitations), lacking computer literacy skills
(associated with the following statements, ?unable to use the tool‘, and the concept,
?access to a computer‘ associated with computer literacy benefits, ?easy‘ work life and
?smooth‘ ?running‘ of operations. The researcher made a note to explore the concept
?access‘. The researcher wanted to understand the context in which the concept
?access‘ was understood. On further probing the concept ?access‘ was linked to
unaffordability and interpreted in association to costly ICT infrastructure. In interview 2
the category, infrastructure costs were linked to property, costly ?software and
infrastructure‘ which required frequent updates (dimension). Similarly, in interview 3
costs related to ?frequent changes in technology‘ linked to statement, ?keeping up with
trends of latest technology‘ and ?inability to train people on a regular basis‘. The lack of
computer literacy skills was a problem identified that related to gender sensitivity issues
raised in interview 5 linked to gender stereotypes (property) associated with women
being ?judged as being incompetent and lacking technical knowledge‘.
The assertive action taken by women in dispelling these stereotypes was confirmed in
this interview. The researcher noted the evolving theme of women taking assertive
action in correcting the stereotypes in subsequent interviews. In interview 6 the
participant acknowledged SMMEs lacked knowledge and training on retail products and
services of the ICT enterprise. Lack of skills was also an evolving theme but the
explanation of the causes of the lack of skills in this environment was not yet sufficiently
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explained to render an in-depth understanding. In interview 7 the lack of training
problems were related back to previous interviews to compare differences but only
similarities were identified linked to the concept, ?self empowerment‘ appearing in
interviews 1, 2, 5 and 12 where the need for entrepreneurs to empower themselves is
expressed. The lack of business skills was also identified as a concern in interview 8
and linked to a claims in interview 13 ?SMMEs are ill-informed about the benefits of
utilising ICT in their enterprises‘ and ?this has kept them in the dark as they are not
aware of the simplified formats offered by ICT to manage some of the sections in the
ICT enterprises‘. The chronological order in which categories, their properties and
dimensions were identified including stand alone concepts appears in Appendix N
Table 6.
The by the end of the interviews, the researcher identified the following themes which
emerged from this question (Q19) which included: Computer literacy lacking;
unaffordability of ICT infrastructure; awareness of gender sensitivity issues; SMMEs
needing competitive advantage over big business and internal barriers (expensive
equipment costs, expensive maintenance costs, licensing of software and external
barriers (stringent government regulations).
This question related to the research question seeking to understand how women
conceptualise ICT as a technology.
Q20: In your own words can you please describe your understanding of the ICT
sector? e.g. how the sector is structured, applicable legislation and policy.
Please elaborate.
This question required of the participant to describe an understood meaning of the ICT
sector. The participant was not clear on the question requiring the researcher to
explain the question further by giving an example of explanatory terms which were
added to the interview guide. This question was one of the questions identified during
the pilot that the researcher made changes to. This question, the researcher hoped,
would shed an interpreted insight from the perspective of women entrepreneurs on how
they understood the technological environment from a business perspective, influenced
by ?broader structural factors? Strauss and Corbin (1990:11) within the ICT sector
having a bearing on the ICT enterprise such as, economic, cultural, social and political
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issues to enhance the researcher‘s theoretical sensitivity in exploring evolving patterns
and variations during interpretation.
In interview 1 the concepts, ?acknowledging an information gap‘ emerged from a close
examination of similarities and differences in statements that revealed an information
gap associated with statements making reference to women lacking information about
the ICT sector. In interview 2 different to interview 1, where an interpreted gap in
information was perceived, this participant had an understanding of the ICT sector in
the terms of the role players, applicable sector policies and those that have a direct
impact on the ICT enterprise. In interview 3, 4, 7 the concept, acknowledging an
information gap was identified as they had no knowledge of about the sector. This left a
question in the researcher‘s mind that was noted to reflect on asking the question, ?Why
do these women entrepreneurs not know anything about the sector? In interview 4 the
participant, similar to interview 2 had an understanding of the ICT sector in relation to
applicable policies within the ICT enterprise‘s industry governing its operational
environment. In interview 8 and 9 participants expressed their limited understanding
about the sector. In interview 6 the participant‘s understanding of the legislative
environment was limited to Black Economic Empowerment (BEE). The descriptions
provided thus far were not sufficient and prompted the researcher to ask the questions,
?What motivated these women entrepreneurs to join the sector?? and ?What distinct
incentives were set aside for women entrepreneurs especially start-up enterprises to
lure women entrepreneurs into the ICT sector?? The researcher made a note to follow
up on these questions with an expert theoretically sampled from the public sector. The
participant (government expert) in interview 10 had extensive knowledge about the ICT
legislative framework and applicable SMME policies. For example, the Eastern Cape
ICT strategy 2014 (property) was described as a policy making provision for SMME but
with limited emphasis on SMMEs women entrepreneurs. This linked to an explanation
that a great deal of the strategy was focused on government mobility in ICTs to
enhance service delivery by automating government systems. The researcher
recorded a note to examine the Eastern Cape ICT strategy 2014 document later
(document analysis phase) to compare statements. The chronological order in which
categories, their properties and dimensions were identified including stand alone
concepts appears in Appendix N Table 7.
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The by the end of the interviews, the researcher identified the following theme emerged
from this question (Q20). Legislative environment: applicable legislation, policies and
the structuring of the ICT sector. The concept: ?information gap‘ was a dominant theme.
This question also related to the research question seeking understanding on how
women entrepreneurs conceptualise the concept ICT as a sector.
Notably the absence of a policy framework contributed in a way in terms of women
entrepreneurs lacking information about the sector. Equally so, the lack of government
support programme in the form of briefing sessions left a gap in information.
Q21: How are women stimulating entrepreneurship in the ICT sector? Please
elaborate.
In interview 1, gender sensitivity (category) was identified from an association of
statements validating women‘s awareness of existing gender biases influencing
women‘s lack of participation within the ICT sector. Gender sensitivity was linked to
gender based career differences (property 1) which were delineated into women careers
(dimension 1) interpreted from an association of in vivo codes explaining careers that
women are penetrating within the ICT sector such as, ?IT technicians‘, ?web design‘ and
?motor mechanics‘ which were interpreted by participants as suggesting women‘s
assertive action in taking up careers in environments previously defined as ?men‘s
world‘. Men careers (dimension 2) were interpreted from an association of in vivo codes
shedding light on their involvement in careers qualifying them to become ?engineers‘ and
?ICT technicians‘. In vivo codes repeatedly used in describing these career
environments included ?it‘s a men‘s world‘ affirming the lack of visibility of women in
such careers. Gender sensitivity also linked to the statement making reference to more
women-owned enterprises mushrooming in the sector implying women were making in-
roads into a ?men‘s world‘. Gender sensitivity was also linked to gender-based
educational differences (property 3) related to an affirmation that women were taking up
science and engineering careers especially in IT. In interview 2 the category, lacking
business knowledge was identified and linked to a statement explaining women‘s failed
attempts and sustainably enterprising in the sector. The claim made by the participant
was that entrepreneurs tended to start off with ambitious business goals (property 1).
This statement drawn from a combination of in vivo codes implying start-up
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entrepreneurs ?start big‘ with ?limited financial resources‘, ?instead of starting of small‘.
These statements were linked to an assertion made about the ICT sector being a ?tough‘
environment to do business in (dimension) and the suggestion that SMMEs need to start
off small projects and then build up as they grow business confidence. This assertion
was linked to a perception that ?women lack motivation to face challenges‘ and in the
event fail. Failure was also linked to a claim that entrepreneurs lack business
knowledge. This statement was interpreted through theoretical sensitivity which implied
the lack of planning skills interpreted from in vivo codes, ?ambitious‘ and ?eager to enter
the sector but failing as they ?lack business skills‘ and market intelligence.
In interview 3 the concept, limited knowledge was identified and associated with the
notion that the ICT sector was perceived to be a ?tough‘ environment to trade in linked
to similar opinion expressed in the previous interview. The statement acknowledging
that other women trading in the ICT sector were unknown to the participant was
affirmation that the sector was still male dominated. This interpretation was linked to
other statements compared such as, ?I only know of a few women trading in the retail
sector‘ linked to ?it‘s a few of us who have been in retail this long as we have been‘ and
?I just know of one business that is the same as mine‘ (interview 7) that were interpreted
by the researcher as suggesting low representation of women in the ICT sector. Linked
to this interpretation was the notion of survival in the sector which linked back to other
statements (interviews 1, 2 and 6) implying women ?do not last very long‘ as ?most of
the black businesses open and do not even last for a year‘.
In interview 4, the concept, women making inroads into a male dominated ICT industry‘
was compared to the statement, ?women do things differently‘ implying being innovative.
The researcher compared the concepts ?male dominated‘ and male‘s only club‘
(mentioned in a response to the previous question) and ?men‘s world‘ mentioned in
interview 1 and identified a relationship suggesting male dominance (property). The
concept ?male dominated‘ also appeared in the previous interview 1, where the concept
was used by participants within a context of networking platforms where it was
explained males dominate these platforms linked to assertions that women were
voiceless. The researcher noticed a theme depicting gender sensitivity issues emerging
from all interviews. In interview 5 planned actions such as, identifying the need for ICT
training and development, motivating candidates to enrol for technical skills and
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awareness about women not being visible in technical environment. These actions
were interpreted as an assertive action taken by the ICT enterprise to address the
shortage of skills in the ICT sector, especially women who were not visible in ?technical‘
environments where the gap was huge. In interview 6 the statement, ?I personally do
not find many women participating in ICTs‘ was linked to statements from previous
interviews (3 and 5). In this interview, the participant shed more insight on areas within
the ICT sector where women were needed most but not visible. This interpretation was
linked to the statement that women need to penetrate areas in ?policy-making‘ where
they can ?recommend and implement solutions to solve [ICT] problems‘. The participant
made a comparison linked to ?sales positions‘ and ?accounts positions‘ where women
were mostly represented as positions lacking influence in decision-making processes.
In interview 7 the notion of self empowerment in relation to the ICT sector was
perceived as a necessary obligation considering that the sector was a difficult
environment to enterprise in. This interpretation was linked and compared to previous
statements affirming existing gender sensitivity issues such as, gender stereotypes,
gender equality and skills development gap. The statement making reference to self
empowerment was supported by the statement ?good knowledge of business orientation
in information technology‘ linked to in vivo codes, ?knowledge of the business‘, ?keep on
upgrading your skill‘, ?equipping yourself with knowledge‘ were used in interview 3, 5
and 6 in associated with the statement, ?not every woman can run a business in this
environment‘. In interview 8 gender stereotypes influencing women‘s participation were
articulated and supported by in vivo codes such as, ?women boxed under
administration‘ positions, ?limited creativity‘ interpreted as implying innovation and lack
of visibility in management‘ decision platforms.
In interview 9 the concept, skills development was highlighted and similarities
(interviews 2, 4, 7 and 8) were identified between statements affirming assertive action
in addressing the issue of skills development. The researcher reflected on a previous
memo asking the question, ?What action are these women entrepreneurs taking in
addressing the identified obstacles hindering them from empowering themselves?? The
concept self empowerment was sufficiently explained as the researcher could make an
interpreted correlation through theoretical sensitivity of a process leading to women
entrepreneurs‘ understanding of their assertive role in taking action to change the
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situation. In interview 10 and 12 the assertive action taken by women in addressing
gender stereotypes and inequalities were also demonstrated in interview 13 where
assertive action was associated with statements suggesting the need to ?exploit talent
and passion as a source of business‘ and in interview 14 where the concept, motivation
was linked to a statement advocating for women to start their own business linked to
the concept, ?self employment‘ (interview 4). A variance was noted from previous
interviews where motivation was directed at motivating people to acquire skill through
education and becoming an employee rather than becoming an entrepreneur ?self
employed‘. At this junction in the analysis, gender based related concepts were all
saturated as all possible explanations rendered an in-depth understanding of the
experiences of women entrepreneurs in relation to gender issues impacting on their ICT
enterprises. The chronological order in which categories, their properties and
dimensions were identified including stand alone concepts that appears in Appendix N
Table 8.
The by the end of the interviews, the researcher identified the following theme of
categories emerging from question (Q21): gender sensitivity; women attempting to
make inroads into sector; developing staff in ICT; women attempting to make inroads
into the sector; gender stereotypes and women taking assertive action.
This question related to the research question seeking an understanding on how
women entrepreneurs conceptualise the ICT sector.
In sum, if the perceived notion of the ICT sector is to promote the participation of women
entrepreneurs in the mainstream economy of the ICT sectors particularly marginalised
areas (underserviced and rural), than the sector should be one in which women
entrepreneurs enterprising in both urban and rural areas, are not barely surviving but
rather building upon a policy foundation that takes gender mainstreaming into account.
Q22: Describe ways in which SMME women entrepreneurs use ICTs as a core
product or service of the ICT enterprise. Please elaborate
In interview 1 ICT usage was identified as a category linked to printing service (property
1) and Internet café services (property 2) which had a variety of services such as, email
service, photocopying, binding, Internet and telephone service used by clients and for
internal administrative purposes. The value chain of services offered indicated the ICT
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enterprise was operating on the low-tech end of the continuum as opposed to the high-
tech end of the continuum in terms of engaging with ICT. Although interview 2, different
to the previous interview offered ICT training, the level of engagement with ICT was still
not considered on the high end. Equally so, interview 3 (retail industry) did not sell
products that were state of the art. The researcher decided to theoretically sample an
ICT enterprise (interview 4) with experience in the ICT sector. The ICT enterprise
operated at the high end of the continuum as it offered a wider scope of services that
were not limited to conventional ICT training (same as in interview 2) but included
engagement with technology on the high-end of the continuum as new training methods
manipulated via new forms of technology.
Similarly, interview 6 was categorised on the high-tech end of the continuum as the ICT
enterprise sold a range of primary sophisticated products in the range of ICT
consumables, pastel software, networking equipment, digital printing, web design
solutions, innovative technical advice and support on office and home office. Another
ICT enterprise that was interfacing with technology on the high-tech end of the
continuum was interview 9 offering a primary service comprising of network
infrastructure solutions, mobile solutions, systems development solutions, a technical
support service, eBook solutions, software and hardware equipment including high-tech
ICT security systems.
The researcher subsequently theoretically sampled an expert (interview 10) in ICT
policy to explore further insights. The participant (government expert) who intimately
knew entrepreneurship developmental issues within the ICT sector affirmed women
entrepreneurs were engaging in high-tech technology in the areas of software
development, systems development, web design, business analyst, intelligence, and
cabling which were described as environments where a lot of innovation was initiated
by women. Research and development and innovative manufacturing of ICT products
were identified from interview 14 as another area where women were engaging with
high-tech manufacturing. In interview 13 the concept, innovation was associated with
innovative ways of doing business using ?online‘ platforms that is, e-commerce.
The researcher reflected on questions raised earlier in a recorded memo from interview
1 to reflect on the concept innovation where the questions, ?How are women
entrepreneurs being innovative in their business world?? and if they were, ?What
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inventions had they produced?? This iterative process of constant comparison to seek
understanding in the construction of interrelationships was typical of Grounded Theory
analytical procedures (Strauss & Corbin 1998:123). Answers to these questions were
answered in interview 14 and thus confirming saturation of the concept innovation
derived from further evidence deduced from the statement, ?we have produced a tablet
and PC powered by solar‘ which was marketed globally.
The need for women to engage at a higher level with ICTs was articulated in interview
12 where gender-based career differences were identified as a contributor in slowing
down the advancement of women in the technical, engineering and decision-making
positions within the sector. These actions taken by women were affirmed by participants
in interviews 4, 5, 8 and 10 who were taking assertive action in addressing gender
stereotypical orientations influencing the progression of women within the sector. The
chronological order in which categories, their properties and dimensions were identified
including stand alone concepts appears in Appendix N Table 9.
The by the end of the interviews, the researcher identified the following themes which
emerged from question (Q22) which included services and products. Services: printing,
ICT training, Internet café, administration, consulting, postal service, and systems
development solutions. Products: retail products such as ICT consumables, brochures,
electronic equipment, eBooks, and ICT security systems; as well as manufacturing of
ICT products such as film production, network infrastructure, mobile solutions, and
engineering.
This question related to the research question seeking understanding on how women
entrepreneurs employ ICT as a core product and service of the ICT enterprise. In sum,
what was encouraging to note was that these enterprises were surviving in the sector
and willing to effect change to improve the women-driven entrepreneurial processes.
The absence of a policy framework is the missing element to offset some of the
structural barriers i.e. advocacy interventions addressing the unavailability of ICT
infrastructure especially in semi-urban and rural areas.
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Q23:
Describe the enterprise’s value chain of business processes? e.g. which relate
directly to the delivery of the enterprise’s core products or service? Please
elaborate.
In interview 1 the ICT enterprise‘s value chain processes (category) were linked to
printing processes (property 1) linked to the following sub processes, laminating
(dimension 1) and binding (dimension 2). Another process identified was concept
development (property 2) and the Internet (dimension) which was a sub process; the
third process creative design (property 3) linked to the following sub processes, editing
(dimension 1) email (dimension 2) and outsourcing (dimension 4). Outsourcing
decision processes linked to the sub processes, printing (dimension 1) and creative
skills (dimension 2). The last process communication service (property 5) linked to the
following sub processes, internet (dimension 1), editing (dimension 1), email (dimension
2), typing (dimension 3). Interview 2 processes included marketing (property 1) the
following sub processes, design (dimension 1), developing posters (dimension 2) and
distributing posters to existing and potential clients (dimension 3). The second process
aftersales (property 2) linked to the following sub processes, database management
(dimension 1), sending email and SMS (sub dimension 1), telephoning clients (sub-
dimension 2). The third process content development (property 3) linked to the
following sub processes, training manuals (dimension 1) and printing manuals
(dimension 2). The last process, financial management (property 4) liked to the
following sub processes, purchasing equipment (dimension 1), software and hardware
(sub-dimension 1), invoicing (dimension 2) and generating and printing certificates
(dimension 3).
In interview 3, processes comprised of, retail processes (property 1) linked to sales
(dimension) and marketing and advertising (property 2) linked to advertising through
posters (dimension). In interview 5, the processes comprised of, administration
processes (property 1) linked to sub processes, registering the businesses (dimension
1) linked to compliance issues (sub-dimension), procedures for developing content for
the curriculum (dimension 2) and submitting documentation for accreditation (dimension
3). The second process was marketing linked to word of mouth advertising (dimension
1) linked to brochures, banners, and pamphlets (dimension 2) and newspaper adverts
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(dimension 3). In interview 6 the processes comprised of, market research (property)
linked to sub processes, word of mouth (dimension 1), radio advertising (dimension 2),
mail marketing (dimension 3) Internet (dimension 4), building up a customer base
(dimension 5). The second process, maintenance (property 2) linked to sub processes,
ICT equipment and tools (dimension 1), staff training (dimension 2). The third process
procurement (property 3) linked to the following sub process, stores (dimension).
Interview 7 had postal services (property) linked to sub process, information distribution
and packaging (dimension). Interview 8 had the same processes as those described in
interview 2 because both ICT enterprises were training providers. However, the
variance was with the scope of services offered that did not include retail services.
Similarities were identified between interviews 2, 3, 6, and interview 9 where a retail
service was offered (sales) including marketing research mentioned which was not
mentioned in interview 9 where processes were focused internally (inward-out
approach) in building the capabilities and strengths of the ICT enterprise compared to
the others whose processes were more focused externally (outward-in approach)
focused on providing high calibre customer value associated with the notion of
marketing research.
A similarity was also drawn between interview 11 and the previous interview that had
internally focused processes. For example, there was reliance on walk-in (inward-out
approach) clients suggesting reliance on the strengths of the product sold and reliance
on word-of-mouth advertising (similar to interview 1) albeit knowing about the stiff
competition facing them, advertising remained their weakest point. Interview 12 had
process that included radio programming (property 1) linked to sub processes, informed
by customer feedback (dimension 1), informed by the mandate of the board and
committees (dimension 2). The second process, committee functions (property 2) was
linked to the following sub processes, market our programmes (dimension 1) address
technical issues that have to do with signal distribution (dimension 2), develop program
content (dimension3) linked to disability issues (sub-dimension), advertising (dimension
4) linked to media buying (sub dimension) and issuing of quotations and invoices
(dimension 5). Interview 13 different to the previous interviews had processes which
included, documentary production (property 1) linked to sub processes, drafting of
proposals (dimension 1), and pre-production (dimension 2), linked to planning (sub-
dimension 1), researching (sub-dimension2) and drafting of the script (sub-dimension
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3). The second process was production (property 2) linked to sub processes, film or re-
enact scenes (dimension 1), editing of raw footage (dimension 2) and producing the
final product (dimension 3). The third process, web designing and hosting (property 3)
was linked to sub processes, generating the content (dimension 1) and creating and
activating pages (dimension 2). Interview 14 was an affirmation to a statement made
in interview 10 that SMMEs needed to develop research and development capacity
linked to the inability to produce innovative products. The processes of the ICT
enterprises included, research and development (property) linked to sub processes,
new design processes, (dimension 1), production (dimension 2), manufacturing quality
control (dimension 3) and packaging (dimension 4). The second process was
marketing and promotion (property 2) which was linked to the sub process, distribution
of the product (dimension).
The researcher observed from the participant‘s explanations that marketing was a
critical aspect of their end-value chain which determined their competitiveness in the
global market. This interpretation was deduced from the statement, ?we have to get the
product out there before competition does‘. The chronological order in which
categories, their properties and dimensions were identified including standalone
concepts appear in Appendix N Table 10.
The by the end of the interviews, the researcher identified the following theme of
concepts which emerged from question (Q23): ICT enterprise value chain processes
which included administrative functionalities, resource management systems,
communication functionality, database management functionality, sourcing systems to
mention a few. The value chain of processes were all ICT enabled and thus meeting
the definition of an ICT enterprise.
Q24: How often does the enterprise introduce new products or services and what
informs the decision to do so? Please elaborate
In interview 1, the category, market driven decision-making was identified informed by
the emergence of an opportune gap in the market (property 1). Funding limitations
(dimension) were identified as a barrier impeding women from taking full advantage of
arising opportunities. Market driven decision-making was also interpreted in the context
of addressing clientele needs (property 2) in terms of product line diversification
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(dimension). The concept, yearly upgrades was linked to funding limitations,
determining purchasing decisions. Similarly, in interview 2, decision making was driven
by the market. However, different to the previous interview (relying on walk-in
customers), these decisions were informed by market research (property) conducted by
way of reading industry ?magazines‘ (dimension 1), conducting ?competitor benchmarks
(dimension2) and through customer feedback (dimension 3). Similarly, upgrades on
products were done yearly. The in vivo code, ?trends‘ used in interview 3, was
interpreted in the same context whereby market research (interview 2) informs these
decisions. This interpretation was linked to the statements making reference to getting
latest trends from ?suppliers‘, ?customers‘ and ?students‘. Subsequent interviews (4, 5, 6,
7 and 8) also made decisions informed by the market. The motivation for yearly
upgrades were linked to in vivo codes such as, ?obsolete‘, ?keeping abreast with
technology‘, ?technology changes quickly‘ and ?frequent technology changes‘.
Obtaining feedback from ?customers‘ or ?listeners‘ emerged from all interviews as a
common factor in ensuring customer needs were met. These interpretations suggested
customers were involved in informing decision-making. Interview 9 was an exception in
that decision making was informed by a shift in [ICT enterprise‘s] internal strategic focus
(category). The internal strategic focus was influenced by the market segmentation
strategy (property) which focused on particular segments to introduce products
(dimension). Another aim of the internal strategic focus was explained as a strategy to
create strategic partnership ventures (property 2) within the mobile industry. The
concept, innovation appearing from previous interviews was interpreted in relation to
the concept ?market segmentation strategy‘ where different products where targeted for
different markets by the enterprise. This strategy was linked to in vivo codes suggesting
a focused plan of action aimed at being ?competitive‘ and offering ?something different‘
but ?relevant‘ to customers. The chronological order in which categories, their properties
and dimensions were identified including stand alone concepts appears in Appendix N
Table 11.
The by the end of the interviews, the researcher identified the following theme of
categories which emerged from question (Q24) describing factors influencing decision-
making concerning the introduction of new products in the marketplace: market driven
decision-making; technology driven changes; shift in internal strategic focus; and
market research decision-making.
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Q25: What is government currently doing to promote ICT women-driven
entrepreneurship development? e.g. structured and unstructured support
programmes and initiatives. Please elaborate.
In interview 1 the participant acknowledged an information gap (category) which was
associated with barriers limiting access to formal channels of communication usually
used as a source for business related information. Access to information was limited to,
secondary sources of information (property). The property was associated with the
statement made by the participant affirming not having ?full information‘ about
government programmes. The researcher reflected on responses (notable the reasons
for the information gap on the ICT sector) from previous interviews which also affirmed
an existing gap in information and suggested action that participants expected
government to take such as, providing information sharing platforms where the agenda
of the session would centre on women issues only).
The consequences of an absence of readily accessible information was a contributing
factor in women developing entrepreneurial apathy causing them to be despondent in
following up on information and subsequently missing out on business opportunities
that men were taking advantage of and using B2B networking platforms to disseminate
business related information. The concept apathy was derived from a combination of
statements compared and contrasted implying reduced levels of trust between SMMEs
and government. For example, the statement (interview 7) ?I have lost trust and faith
[government]. Especially as a white woman‘ was interpreted with clarification from the
participant through member checking as implying economic marginalisation. This
interpretation was further associated with the statement ?rather than using money that
we give each other‘ uttered in interview 1, was interpreted from the perspective of the
participant as implying unethical business conduct and an affirmation of women‘s desire
to have inclusive B2B platforms where they too can get access to business related
information. The researcher applied theoretical sensitivity in further interpreting the use
of the in vivo codes, losing ?trust‘ and ?faith‘ in government, ?especially as a white
woman‘, was linked to the participant‘s affirmation statement that ?there is so much
corruption in government‘.
A variance ?clean money‘ (interview 1) was also identified in relation to the in vivo code
?corruption‘. ?Clean money‘ was used with reference to B2B networking platforms which
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the participant envisaged should be a platform where businesses give each other
?support‘ and ?clean money‘, insinuating ethical business conduct. On the contrary, in
relation to a perceived claim that networking platforms marginalised women
entrepreneurs, on the contrary, in interview 9 there was confirmation of the inclusion of
women in business networking platforms such as the ICT provincial networking council
(comprising of captains from different industries within the ICT sector) where women
entrepreneurs‘ input was recognised. The researcher conducted an analytical
comparison between this interview and interview 1 and 2 in terms of the participants
levels of business confidence at networking platforms and discovered interpreting from
a combination of statement that other women did not feel intimidated by men at such
platforms. The following statement was but one that affirmed this ?I deal a lot with these
ICT heads‘ which was different to a statement from the previous interview (2) asserting
women entrepreneurs were voiceless in networking platforms. This raised questions
from the researcher who sought to understand the kind of demographics or
psychographics that should be reflective of women entrepreneurs trading in the ICT
sector. These questions confirmed the research gap that linked to the previous
interview where the need for sex disaggregated data was identified. The researcher
was of the view that these women should have certain characteristics unique to the ICT
sector empowering them to deal with gender sensitive issues as gender insensitivity
practices were identified in association with concepts implying information was readily
accessible to men than to women. This interpretation was derived from the following in
vivo codes, ?benefiting males‘ and ?attendance dominantly male‘ at ?networking‘
platforms. The acknowledgment of an information gap was also affirmed in subsequent
interviews (3, 4, 5, 6, 7, 8 and 9) supported by gender stereotype statements such as,
?networking platforms inaccessible to women‘, ?limited formal sources of information‘. At
this juncture in the analysis, the concept networking was sufficiently articulated by
participants rendering an in-depth understanding on how it happens and why including
proposed action that has to be taken. Interviews 10, 13 and 14 were the only
exceptions affirming support given to women. This affirmation was linked to the BEE
preferential procurement scoring point system (interview 10) considered as an
intervention giving women an advantage over men. In interview 13 and 14 participants
acknowledged support that women were getting in terms of accessing through ICT hubs
that were providing support such as, mentorship programmes, coaching, financial
assistance and access to ICT infrastructure. The researcher noted a memo to reflect
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on the statements suggesting expectations from government wondering ?What
expectations were created by government with regard to Black Economic
Empowerment?? and ?Why it was difficult to access tenders when there is legislation in
place favouring women, whose development is prioritised on the development agenda
of government?? The chronological order in which categories, their properties and
dimensions were identified including stand alone concepts appears in Appendix N
Table 12.
Q26: What more should government do? Please elaborate.
There were expectations from participants (interview 1, 8, 9, 10 and 11) for government
to take action by paying attention to women issues. Statements relating to this
included, creating venture partnerships ?linking women with relevant companies‘,
government playing a mentorship role in the sector, ?making available funding‘,
?addressing gender based inequalities in the sector, ?providing training‘, ?funding the
established of ICT centres in rural areas‘, resuscitating economic activity in rural areas,
providing ?rental subsidy for office space occupied by small business‘. The concept
mentorship was saturated in this interview as the concept rendered a sufficient
understanding in terms of what mentorship programmes were that were envisaged for
the empowerment of women. The chronological order in which categories, their
properties and dimensions were identified including standalone concepts appear in
Appendix N Table 13.
The by the end of the interviews, the researcher identified the following themes
emerging from question (Q26) which highlighted the following action categories:
organise road shows; funding processes not fair to SMMEs; women entrepreneurs
needing action from government and addressing gender-based inequalities.
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Q27: What is the private sector doing to promote ICT women-driven
entrepreneurship development? For example, structured and unstructured
support programmes and initiatives implemented?
All participants acknowledged an information gap that was identified as a concept which
providing limited insight. For example, there was only one participant (interview 5)
acknowledged getting a grant from a private company as start-up capital. The
participant from interview 10 acknowledged private sector‘s involvement in sponsoring
only ICT sector recognition awards for ?women in ICT and ?women of the year award‘,
an indication that not much was known in terms of private sectors involvement and
initiatives supporting entrepreneurship development especially that directed at women.
The researcher at this juncture of analysis decided to reflect back on the research
interest where women entrepreneurs are encouraged to penetrate the sector but no
information and support is forth coming in especially in view of commitments made in
policy documents. This research question seeking to understand how women
entrepreneurs perceived the role of private sector in supporting the advancement of
SMME women-driven entrepreneurship in the ICT sector of the Eastern Cape Province
could not be saturated as gaps of information were still missing. The researcher made
a note and left this question for interpretation later (document analysis phase where
existing literature would be perused). The chronological order in which categories, their
properties and dimensions were identified including standalone concepts appear in
Appendix N Table 14.
The by the end of the interviews, the researcher had identified only one theme:
Acknowledging an information gap.
In sum, the lack of private sector‘s involvement in the province‘s development agenda
of the ICT sector of the province can be regarded as a missed opportunity. This is in
the light of the much talked about media and policy statements referring to joint
partnership collaborations as a workable solution in promoting SMME driven
entrepreneurship in the province.
Q28: What more should the private sector do?
In interview 1 the concept, give support by sponsoring ?networking platforms‘ was
interpreted in association with an identified need for businesses to give support to each
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other. This interpretation was drawn from the in vivo codes, ?give‘, ?grow‘ and ?support‘.
Another suggestion from interview 2 and 9 was that private sector should be
encouraged to ?support local companies‘. This suggestion was associated with the
expectation that private companies ?avail business opportunities‘ and access to their
?webpages‘ advertising available business opportunities. Interviews 4, 5, 10 and 12
wanted support in the form of ICT training (formal and informal). The chronological
order in which categories, their properties and dimensions were identified including
standalone concepts appear in Appendix N Table 15.
The by the end of the interviews, the researcher identified the following theme of
concepts which emerged from question (Q27): Private sector should be encouraged to
use women-owned enterprises; conduct ICT road shows; conduct training for SMMEs
and being a source of mentorship for start-up women entrepreneurs.
5.5.2 CONCEPTUAL REFINEMENT
In this study, the researcher ?actively? (Goldkuhl & Cronholm 2010) worked with and
clarified statements by applying different questions to derive meaning from the
categories and concepts identified. The researcher critically and constructively
reflected on seven categories and subcategories (empirical statements and variations in
statements) developed, including six concepts identified earlier that were conceptually
refined ontologically and linguistically challenged.
The researcher decided to complement Goldkuhl and Cronholm‘s questioning
technique with Scott and Howell‘s (2008) questioning technique (cf. .Appendix O) used
in their conditional relationship guide (facilitating the move from open coding to axial
coding) to link categories more clearly to data from which patterns of action and
conditions emerged.
The advantage in combining the two techniques was that Goldkuhl and Cronholm
(2010) place emphasis on the critical analysis of emergent concepts as they usually
carry depth in meaning. On the other hand, Scott and Howell (2008:6) use questions
such as: What is the category, when does the category occur, where does the category
occur, why does the category occur, how does the category occur, and what
consequence does the category represent? Akin to Strauss and Corbin‘s (1998:127),
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the investigative questions of who, when, where, why, how, and with what
consequences relate structure to process.
Answering these questions assembled the loose array of concepts and categories
labelled and sorted in the inductive coding stage into a coherent pattern that enabled
the researcher to stay close to participant‘s meanings of articulating factors that
influenced the processes of women-driven entrepreneurship, including understanding
how women entrepreneurs were ?making sense? (Weick 1995) of this ?constructed
reality? (Walsham 1993; Guba & Lincoln, 1994).
The researcher observed from employing Scott and Howell‘s (2008) conditional
relationship guide that during the transition towards axial coding, the coding boundaries
were ?artificial? as Corbin and Strauss‘s (2008:198) attest. There was no distinction
between inductive coding and pattern coding. The researcher had to revert to inductive
coding to expand the codes and had to return to rework the categories with the purpose
of renaming them. For illustrative purposes, the following primary ontological category
of the 33 identified categories were analysed and one of the 11 concepts. The rest of
the categories are reflected in Appendix 0)
Gender sensitivity
According to the conditional relationship guide, the ?What is it?? question, for example,
was asked for the category gender sensitivity (Table 5.13 Abstract A). In answering this
question, the researcher paraphrased the participants‘ collective descriptive phrases
(derived from properties) that seemed to capture the collective intent of what all
participants were saying. In some instances, in vivo codes used by specific participants
were included in order to avoid researcher bias. The other reason was to
accommodate the blending of researcher‘s meaning with that of the participants.
Gender sensitivity was interpreted from the perspective of the SMME women
entrepreneurs‘ as an acknowledgment of gender biases and problems interpreted from
the following properties: i) socio-cultural gender role expectations; ii) gender-based
career differences; iii) gender stereotyping; iv) gender-based discrimination; gender
based inequality in the workplace; v) gender-based educational differences; partially
met SMME woman entrepreneurs‘ expectations; vi) women‘s management style; vii)
women have no decision-making power; and viii) women entrepreneurs taking assertive
action.
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Table 5.13 Abstract A: Conceptual refinement: gender sensitivity
Ontological
Category
Properties What When Where Why How Consequence
Gender sensitivity Socio-cultural gender
role expectations
Societal expectations
that view women
entrepreneurs different
to their male
counterparts
Women
entrepreneurs have to
market the ICT
enterprise
Restaurants after
hours
? Women not expected to
hold business meetings
after hours (night)
? Women‘s role viewed to
be more domesticated,
attending to family after
hours
Women being judged
against cultural norms,
?improper‘ behaviour
Women entrepreneurs
are balancing work and
domestic
responsibilities, men
have fewer domestic
responsibilities
Experiencing challenges in
marketing and growing the
business
Women unable to market
their businesses after
hours through business
relationships
Networking
platforms
Networking platforms
friendlier to men than to
women
If you are a women,
sexual favours would
likely be expected
Experiencing challenges in
building business
relationships, ?networking‘,
perceptions that it‘s a
?men‘s world‘
Gender-based
discrimination
Gender-based
economic
marginalisation
Seeking financial
assistance ?loans‘
?Banks‘ Discriminated against by
virtue of being a woman
Denied access to
finance
? Have limited operating
capital – low profits
? ?black businesses‘
struggle and close down
? Cash flow problems
seen as a risk by banks
No ?collateral‘ security SMMEs in urban
and rural areas
Poor credit history or no
?financial record‘,
Do not earn a regular salary
Loans inaccessible
SMMEs neither know where,
nor how to access funding.
Information not readily
available
Develop apathy
Access business
opportunities
Government and
private sector
Bias in tender adjudication
processes
BEE scoring point
system is not benefiting
women as it intends to
(due to lack of
transparency)
? Women entrepreneurs
shy away from pursuing
tender opportunities
? Playing field is not level
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i. The ?What? reflected in the third column of the table above sought an answer to
the question, ?What is [the category]?? meaning ?what is gender sensitivity?? was
responded to by first understanding the property, ?socio-cultural gender role
expectations? that provided context in defining the ?What?, i.e. societal
expectations that view women entrepreneurs different to men.
ii. The ?When? sought an answer to the question, ?When does [the category] occur??
meaning ?When do these societal expectation occur?? The answer was facilitated
by using the word ?during? when ?marketing the ICT enterprise?.
iii. The ?Where? sought an answer to the question, ?Where does [the category]
occur?? The answer was facilitated by using the word ?in?. For example, the
participant‘s response to the first ?where? was in restaurants after hours. In the
second ?where?, on networking platforms.
iv. The ?Why? sought an answer to the question, ?Why does [the category] occur??
The answer was facilitated by using the word ?because?. For example, the
participant‘s response in explaining societal expectations with regard to marketing
in restaurants was women were not expected to hold business meetings after
hours (at night) in restaurants. In the second instance, the explanation in relation
to marketing on networking platforms was that women‘s role was viewed to be
more domesticated and, therefore, they were expected to attend to family after
hours. In the third instance, networking platforms were perceived to be friendlier
to men than to women.
v. The ?How? sought an answer to the question, ?How does [the category] occur??
The answer was facilitated by using the word ?by?. This question identified actions
and interactions between the category and property by providing insight in terms
of understanding the consequences. The participant, for example, explained that
women were being judged according to cultural norms that regarded it ?improper‘
for them to hold business meetings after hours. Secondly, women were balancing
work and domestic responsibilities, since men had less domestic responsibilities
and lastly, ?if you are a woman sexual favours [were] expected‘.
vi. The consequence sought an answer to the sixth question, ?With what
consequences does [the category] occur?? or how it was understood. The
consequence of being judged according cultural norms resulted in women
experiencing challenges in respect of marketing the business and growing the
business. Secondly, the consequence of women balancing work and domestic
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responsibilities resulted in women being unable to market their businesses after
hours through business networking relationships and lastly, the consequence of
sexual favours resulted in women experiencing challenges in building business
relationships by ?networking‘ with peers.
Corruption
The following Table 5.14 Abstract B exemplifies the conceptual refinement of one of the
11 concepts ?corruption‘ reflected in the same procedure of questioning was applied as
in the above example.
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Table 5.14 Abstract B: Conceptual refinement: corruption
Concept
What When Where Why How Consequence
Corruption Bribing tendencies of
government officials
Awarding of funds SMMEs Get money in exchange
for granting funds
Ask for money Women subjected to
sexual harassment
Women economically
marginalised
Irregular tender
practices
SMMEs have
government connections
Loose ?trust‘ and ?faith‘ in
government
SMMEs
Inaccessible tenders Corrupt tendencies of
government officials
Women do not have
trust government
?I have lost faith,
especially as a white
woman‘
Funding processes not fair
to SMMEs
Adjudication of tenders Government Officials ask for money in
exchange for awarding
tenders
?To get funding,
SMMEs must know
someone from inside
or belong to a ?certain
network group‘
SMMEs are
marginalised
?Dole out a percentage of
your money‘
Seek funding Government
procurement
officers
Stop the ?corruption‘ Monitor and evaluate
procurement
Exhaust SMMEs
?financially‘
Business is awarded on a
friend-to-friend basis
Private sector
procurement
officers
National companies
engage local
companies that they
have longstanding
contracts with
Local companies miss
out on business
opportunities
Men ask for sexual favours
Sexual innuendos
Adjudication of tenders Government Officials ask for sexual
favours in exchange for
awarding tenders
Business proposals
that have a
precondition that
business will be
awarded in exchange
for a personal
relationships
SMMEs are
marginalised
Bribing tendencies by
government officials
Awarding of funds SMMEs To get money in
exchange for granting
funds
?Asking for money‘
Women
subjected to
sexual
harassment
Women
economically
marginalised
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During the process of refinement, some categories (statements) the researcher
observed appeared a few times in response to the ?consequence‘ questions and
provided substance to explaining interrelationships with other categories. During
refinement, some categories were rejected whilst some developed into broader
themes and during the subsequent stages of analysis. The elimination was aided by
the coding hierarchy that necessitated the renaming of some concepts (words) into
more analytical substantive concepts to ensure congruence in the analysis.
This critical reflection on statements underpinned quality assurance in order to start
building categories on explicit rather than vague formulations (Goldkhul & Cronholm
2012:194).
5.5.3 PATTERN CODING
In this study, the researcher‘s interest, at that level of analysis, focused more on
conceptualising the emerging pattern of statements by participants who explained
their perceptions and experiences of SMME women-driven entrepreneurship
processes. Statements were reformulated. Gender sensitivity for example, was
changed to women experiencing forms of gender-based discrimination subsequent
to the inductive coding (open coding) analytical phase. Meaningful connections
between the categories of statements were – through constant comparisons (Strauss
& Corbin, 1998: 67) – formed to build categorical structures (Axelsson & Goldkuhl
2004), i.e. critical category determination (Appendix P). During the process, the
researcher recorded theoretical propositions in memos that diagrammatically
illustrated how the substantive statements were associated whilst critically reflecting
on previous notes made to obtain multiple points of view with the aim of comparing
emerging interpretations.
The question: ?Under what conditions are women experiencing forms of
discrimination?? for example, was asked when the conditions were considered and in
relation to consequences, the question: ?What happens as a result of such
discriminatory behaviour?? was asked. The coding paradigm stimulated thinking
about how women entrepreneurs conceptualised discrimination. The conditions and
context of discriminatory situations and strategies that women entrepreneurs
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experienced included consequences of discrimination. These consequences were
taken into consideration irrespective of whether they were positive or negative.
The coding paradigm was used as a guide to integrate structure (conditional context
of discrimination) with process (sequences of response action / interaction over a
period time). Integrating structure with process was a necessary procedure, since
that contributed towards developing the substantive theory (Strauss & Corbin, 1998).
Theoretically defining each category and making theoretical statements facilitated
the identification of relationships among categories, as well as relating structure with
its corresponding process. Strauss and Corbin (1998:168) outline types of questions
to ask while analysing data for process, such as: ?What conditions combine to create
the context in which the action or interaction is located??
Paying attention to participants‘ use of language was also a valuable analytical tool
employed during inductive and pattern coding to develop categories. For example,
the metaphor ?destabilising the market‘ was used to describe the participants‘
experience in relation to ?black SMMEs within the context of the category the
?Eastern Cape Market‘ that practised uncompetitive pricing which was a condition for
the marginalisation of women entrepreneurs in the awarding of tenders. The
metaphor ?destabilising the market‘ depicted how the women entrepreneurs
organised and conveyed meaning from own experience of submitting tenders for
government work (Coffey & Atkinson 1996). The metaphor also stimulated
theoretical ideas and analytical thinking that the researcher related to the category
experiencing gender-based discrimination. The metaphor was subsequently linked
to a variation of the subcategory ?acknowledging gender equity‘ referring to the BEE
scorecard point system which was developed to enable women entrepreneurs to
access government tenders and also linked to the subcategory ?irregularities in
tender practices‘. The consequence of this described the nature of ?corruption‘ in the
awarding of tenders by government procurement officers. Other metaphors
repeatedly used were ?it‘s a men‘s club‘, ?boys club‘ and ?men‘s game‘ which
stimulated analytical thinking that the researcher related to a range of statements
explaining how women were facing economic marginalisation on the basis of gender
discrimination.
196
The use of diagrams (cf. Figure 5.9) facilitated theoretical conceptualisation around
an emerging pattern of actions that revealed a deeper understanding of the different
forms of gender-based discrimination that women entrepreneurs were experiencing
and how they were responding to it.
In accordance with the epistemology underpinning the study, women entrepreneurs‘
worldview of the ICT sector and their lived entrepreneurial experiences and
consequent action taken by them as a result of the prevailing conditions were
interpreted by the researcher through a symbolic interactionism lens (Chenitz &
Swanson 1986) that facilitated a co-constructed meaningful account. The researcher
had the ?opportunity to examine continuous processes [entrepreneurial activity] in
context [socio-economic and political] in order to draw out the significance of various
levels of analysis and thereby revealing the multiple sources of loops of causation
and connectivity so crucial to identifying and explaining patterns [gender-based
discrimination] in the process of change? (Pettigrew 1989:14). In the case of SMME
women-driven entrepreneurship, those processes were transformative.
The researcher determined whether sufficient data existed (theoretical saturation) to
support those interpretations and by so doing provided an improved holistic
conceptual understanding constructed from several perspectives that represented
different points of view which the women entrepreneurs expressed. That
understanding clarified the concerns and factors in terms of their experience of
gender-based discrimination. Furthermore, the alignment of research questions with
empirical substantive categories enhanced the rigor of the analytical process. The
analytical process of comparing different snippets of data for similarities and
differences confirmed to a large degree that open (inductive) and axial coding
(pattern) were not discrete phases (Corbin & Strauss 1990:81).
The following table (5.16) exemplifies the conceptualisation of action patterns of
statements in terms of the conditions, enablers, obstacles, actions, strategies, as
well as consequences. Detailed lists of categories are listed in Appendix P). A
graphical conceptualisation is depicted in Figure 5.13 below.
197
Table 5.15: First illustration of building categorical structures
Category Conditions Action / strategies Consequence (outcome)
1. Women experience forms of
discrimination
What gives rise to discrimination?
Circumstance / situation
? Actions that allow it to occur
? Strategic response to issue / problem
Outcome of actions / interaction
? Socio-cultural gender role expectations
conflict with women‘s entrepreneurial role
? Occupational differences
? ICT sector predominantly a male career
environment
? Society judges women holding
business meetings after hours
? Men orchestrate women from
networking platforms
? Limit women‘s career advancement
? Women take action through self-
empowerment
? Women do not have decision-making
power
? ICT understood as a combination of
network, computers (hardware) used
for ?relaying‘, ?communicating‘
information, storage of documents,
retrieving information easily
? Understand the significant role of ICT in
business
? Enforce gender stereotypes
? Women are economically marginalised
? Increase levels of underrepresentation
of women in key ICT positions
? Increase over-representation of women
in non-professional ICT occupations
? Penetrate ?technical‘ careers previously
dominated by men
? Inability to contribute to decisions that
concern operations of the organisation
? Become more assertive in stamping out
gender-based stereotyping ?it‘s a men‘s
club‘, ?boys club‘, ?men‘s game‘
? Not recognised in the industry as
?business owners‘ and equals to male
entrepreneurs
? Men undermine women‘s ability to run
ICT enterprises
? The EC Province lacks sex-
disaggregated statistics of the ICT
sector
? Marginalise women in the ICT sector
? Women‘s contribution in the ICT sector
goes unrecognised despite weathering
the challenges
? Experience gender-based inequality in the
workplace
? Women identify the lack of knowledge
about the ICT sector
? Gender differentials in earnings
? Inequalities in accessing career
advancement opportunities
? Gender differentials in earnings
? Take assertive action in upgrading their
ICT knowledge and skills
? Unacceptability of women as equal
working partners and their abilities are
questioned
? Women educationally underqualified in
comparison with men, hence their
earnings are less.
? Economic marginalisation.
? Women entrepreneurs shy away from
pursuing tender opportunities
? Experience educational differences ? Government officials ask for money and
sexual favours in exchange for
awarding tenders
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Category Conditions Action / strategies Consequence (outcome)
? Are exposed to gender-based sexual
harassment
? Subjected to unwelcoming ?sexual
innuendos‘ from men in networking
platforms
? Widening inequalities in accessing
information that could enable women to
benefit from available resources and
economic opportunities
Figure 5.13: Depiction of the graphical conceptualisation of action patterns of statements in terms of the conditions, enablers,
obstacles, actions, strategies, as well as consequences.
199
Figure 5.13: Second illustration of building categorical structure
200
5.6 APPLICATION: PHASE TWO: EXPLICIT GROUNDING – DEDUCTIVE DRIVEN
ANALYSIS
5.6.1 Theoretical matching
The evolving theory was further integrated by contrasting it with the Eastern Cape ICT
strategy and the ICT Sector Code for BEE while looking for statements / provisions
referred to women entrepreneurs and the promotion of women-driven entrepreneurship
in the ICT sector. The researcher also checked for coherence between the policy, the
interview statements, and existing theories by establishing how similar or different
policy statements were in order to achieve addressing comprehensive grasp of the
responses to the research questions. The same coding procedures were followed
during the inductive phase. Theoretical sampling continued and only stopped when
data could no longer reveal new categories and theoretical insights.
The convergence of multiple perspectives and realities derived from the comparison of
documents and empirical data gave the researcher greater confidence in terms of
offering a comprehensive picture founded on evidence that was empirically grounded
and deductively grounded. That approach enabled the researcher to avoid isolated
knowledge generation (Bowen 2009:110). Theoretical memos (Glaser 2004:61; Strauss
& Corbin 1990:10) were used at this stage to document written records of conceptual
rather than descriptive analysis (Strauss & Corbin 2008). The empirically generated
substantive categories were compared and contrasted with the entrepreneurship and
cyberfeminism theories to ascertain whether they confirm theoretical interpretations.
The outcome of theoretical validation provided insightful information that enhanced the
evolving substantive theory.
The empirical substantive categories were compared to the following theories:
5.6.1.1 Cyberfeminism
Literature reviewed from the cyberfeminism school of thought was found to be
synchronised with the categories developed from the empirical phase.
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Table 5.16: Category: Women experiencing gender-based discrimination
Sub-category Explanation
Socio-cultural gender role expectations Women entrepreneurs shying away from technical
environments discouraged by gender based
stereotyping promoting a culture of masculinity –
perceptions of ICT being a ?men‘s game‘, ?men‘s club‘ –
which strengthens the gender gap.
Inaccessible sources of information Limiting women entrepreneurs from accessing business
related information, e.g. SMME technical support,
funding, tenders, lacking access to government offices
to obtain business related information, etc.
Networking platforms Women being discriminated against by men who make
networking platforms inaccessible for women
entrepreneurs.
The voice of women entrepreneurs not heard, that is
women issues are not included in the agenda.
Exposure to intimidating behaviour such as, sexual
harassment.
Gender-based inequities Inequity in accessing tender opportunities; the ?BEE
scorecard point system? is not effective.
The playing field is not level and due to irregular
procurement processes, women entrepreneurs by
default are economically marginalised from the
mainstream economy of the ICT sector.
Inequalities in the workplace concerning women getting
paid less and men more as they are highly qualified
than women.
Inequalities in accessing ICT infrastructure and
resources between rural and urban areas.
Gender-based educational differences (structurally
induced)
Differences are distancing women from actively
participating in the development of ICT due to lack of
educational orientation in ICT.
Increased over-representation of women in non-
professional ICT occupations.
Underrepresentation in high level decision-making
structures, limiting women‘s ability to make an input into
ICT decision-making processes.
Discrimination manifests in the absence of
empowerment interventions directed at women
empowerment in ICT skills development, e.g. in high
level policy platforms to stimulate women careers and
progression in ICT careers.
Gender-based career differences Inducing inequalities in career advancement
opportunities for women who are aspiring to climb up
the ladder into core ICT environments.
The ICT sector is predominantly a male-dominated
202
Sub-category Explanation
career environment.
Inequalities in accessing funding Inaccessible funding is a barrier for women
entrepreneurs who cannot afford technology, i.e. capital
to upgrade ICT systems and equipment to keep up with
technological developments.
Restrictive administrative requirements prevent access
to loans.
These empirical categories were matched with cyberfeminism theory (Daniels 2009,
Fernandez & Wilding 2003; Haraway 1991; Hawthorne & Klien 1999) that ?refers to a
range of theories, debates and practices about the relationship between gender and
digital culture? (Flanagan & Booth 2002:12) and the investigation of gender power
relations linked to technology (Wajcman 2004) where the conceptualisations of
technology are inherently ?masculine? (Kendal 2000; Adam 2004) or where ?women
have always been the machine parts for a very much male culture? (cf. Plant 1996:
interview with geekgirl).
Women entrepreneurs, in this study, were of the view that government was not doing
enough in terms of promoting gender equity in its BEE scorecard rating system by
levelling the competitive playing field between women-owned and men-owned ICT
enterprises.
Underrepresentation of women in the technology field (Hewlett 2008, Kitetu 2008),
particularly in management positions, is acknowledged in numerous literature sources
and identified as a global phenomenon. In this study, participants affirmed the
underrepresentation of women entrepreneurs in the ICT sector:
?I think there are just as many technical women that are competent in this
field like men but maybe not as many to pursue this sort of career direction. I
think that it is probably because it is not seen as a woman oriented career
choice as it is primarily dominated by men. Women more interested in other
types of industries either [sic] than this industry [ICT].?
Another statement acknowledged women‘s underrepresentation at managerial level
and in the sector compared to men:
203
?Most women are presenters, few are station managers. About 80 per cent
employed are men and 20 per cent women [sigh]. This shows
“ukucinezelwa” [oppression] or the powerless position of women who do not
have a chance to participate in decisions concerning the operations of the
organisation.?
According to Kelan‘s (2007) observations, women are still a minority in the ICT sector,
especially in leadership positions. Participants in this study affirmed the low numbers of
women in the ICT environment:
?At this point, women are not visible. If you look at employment there are
about ten men versus one woman that have been employed.?
Vehviläinen (2009:6) concurs with this observation, ?The nerd culture has often been
seen exclusionary for women.? A recent study conducted by the European Commission
(2012) also identifies that women are underrepresented in the technical environment. It
is specifically true at decision-making levels where the number of women managers in
the ICT sector is lesser than in other sectors. The gap in the technical environment was
affirmed by participants in this study:
?Generally, [seeing] women in ICT is not common at all. I have personally
come across very few women in the technical environment. You will find
them in the sales environment but not really on the technical side.?
Pertaining to women entrepreneurs‘ participation in decision-making platforms, a
participant remarked:
?There is a provincial networking committee which was male-dominated in
2002 but now it is equally represented by a fifty-fifty split. This is an
indication that women have the ability and capability to make decisions,
deliver on them and are [becoming] more vocal.?
Decision-making, according to Leske (2010:370), is an important competency that
every entrepreneur should have, since such a skill determines the survival of an ICT
enterprise.
204
In line with the empirical findings of this study, Humbert, Drew and Kelan (2010:128)
acknowledge the value added by women in respect of soft skills and they claim that
these skills are essential in ?modern? ICT operations, arguing women augment of the
social skills capacity. One participant remarked:
?Women bring in the other element, which is soft skills [emotional
intelligence]. Women look at all the elements [soft skills] that we men often
forget. For example, the way we looked at one of our anti-corrupt campaigns
[explains the campaign] certain parts of the system like reporting we [men]
could not think from a mother?s perspective.?
Findings of the European Commission study (2012) also identify a gap in ICT education
between men and women who are less qualified than men. Only 29 women hold a
degree in ICT (compared to 95 per cent of men) and out of about 1 000 women holding
a bachelor degree, only four eventually work in the ICT sector. About 19.2 per cent of
ICT sector workers compared to 45.2 per cent of non-ICT sector workers have female
managers.
The European Commission study (2012) also acknowledges the essential role of
women‘s active participation in the ICT sector and their contribution that directly impacts
positively on the GDP of a country. Although the empirical findings of this study
recognise the participation of women in the ICT sector of the Easter Cape Province,
due to the lack of disaggregated data, women‘s contribution could not be expressed in
GDP terms.
In another international survey (Aymerich 2012), the comparison is historically drawn.
The survey reports that men in the field of new technologies in developed and
developing economies has a bigger presence than women who account for 51 per cent
of the world population. Additional findings emphasised that:
i. Worldwide, the usual 20 per cent of women with a computer science degree could
possibly drop to under 10 per cent.
? Considering the favourable labour market situation since 2005, 25 per cent of
all European employees worked in high-tech knowledge intensive services
(KIS).
205
? Only 2.4 per cent – around 160 000 people – were women, and this figure
had dropped as low as 1.1 per cent – less than 18 000 people – in the high-
tech manufacturing sector. These gender differences did not apply to certain
Asian countries, such as Malaysia, but were found in advanced Western
industrial countries.
ii. Women lagged behind in terms of incorporating new technologies compared to
other parts of the world. This key factor hampered progress:
? Some studies suggested the differences between men and women reflected
women's supposed aversion to science and technology.
? Other studies, however, suggest the differences are due to discrimination
issues that underpin unequal pay for men and women.
In this study, in relation to the level of innovation found in the ICT enterprises, a majority
of women are concentrated in the low-tech activities; such as retail and services, and a
few in manufacturing that provides high-tech products. The lack of product innovation
is influenced by a number of conditions that include the lack of Research and
Development (R & D) capacity. Some ICT enterprises were making a breakthrough in
innovation as acknowledged in a statement by one of the participants:
?Innovation is at the heart of any ICT business and women have to come
through with innovative ideas that will improve the growth of the business.
For example, we have come up with an innovative product which is a tablet
PC powered by solar which is a first.?
The European Commission‘s study (2012) refers to women‘s working conditions in
respect of balancing professional and personal life by recommending that corporations
need to ?speak [the] female language? in order to retain women in the ICT sector.
Women‘s retention in the ICT sector is very low Hewlett (2008). In this study, the
concept ?multi-tasking‘ was used by participants to describe why they found it
challenging to balance work and family responsibilities. Multi-tasking was an activity
also linked to women‘s inability to market an ICT enterprise that impacted negatively on
achieving its growth targets:
?Men are more at an advantage than women because they have time on
their hands to market the business and do not have to multi-task like us
206
women who, by day are business owners and after hours burdened with
domestic responsibilities.?
Other findings suggested that women lacked confidence in their ability to run an ICT
enterprise and the lack of ?role models? exacerbated the situation (Bygrave & Minniti
2000). Disaggregated data for start-up ICT enterprises can boost women‘s confidence
levels as learning experiences can be drawn from other women (James, Leinonen,
Smith & Haataja 2006:45; GEM South African Report 2008:21).
Participants, in this study, raised these issues that are related to gender-based
discrimination. They also raised a concern about lack of mentorship and guidance for
start-up ICT enterprises and emphasised that other SMMEs, government, and the
private sector in general should assume the mentorship responsibility for women.
A participant who was playing the role of a mentor said:
“Most SMMEs do not have mentors for guidance. I feel it is my responsibility
to nurture this talent and show them that there is a space for women in this
sector. Make them realise that it is possible to get into this sector and
become a women employers instead of being employees.?
Another participant suggested:
?The private sector can be a source of mentorship for up and coming women
entrepreneurs. They [private company] can serve as a source of reference
providing them [women entrepreneurs] with the basic knowledge or
information on how the sector functions.?
In terms of mentorship guidance from government, the participant remarked:
?I think more should be done in encouraging women to get into this sector. I
do not think government is doing enough. Women should be made aware of
what is available for them [business opportunities], what women can offer
[products and services] when getting into the sector, how women can be
assisted [technical support] and to put it in isiXhosa, „Ungabhudi (okanye,
ungaphazami)?. Meaning, getting the proper advice to enable you to avoid a
situation where you offer something that is not relevant for the market.?
207
Vehviläinen (2009:6) refers to the conceptualisations of the ICT sectors as ?men‘s
hobby clubs? and ?male worlds?. These metaphors used by participants in this study
when they described their marginalisation from business networking platforms were
akin to a men‘s world and men‘s club. These masculine stereotypes, participants
explained, reinforced public perceptions that owners of ICT enterprises were men.
Participants related their perceptions of masculine stereotypes:
?When they come into the shop asking for the owner, you see a look of
surprise when they see me. I do not know why. Probably they expect to
see someone dominating and I am a quiet person. This attitude just goes to
show how much women are not recognised as being capable of running a
business in this environment.?
Another participant said:
?There is this stereotype attitude… when people come here… looking for the
manager, they expect to see a man. For example, [smiles] they ask to speak
to a Mr…“utata lo ndizakuthetha naye ngu Mr Bani kanene? [What is the
gentleman‘s name by the way? Mr whom?], and when the receptionist tells
the person it?s actually a Miss or Mrs they seem amazed. It is this stereotype
attitude I am talking about… they don?t expect it to be a women instead of a
man… why must we be judged??
James et al. (2006:45) also report on the ?masculine culture? (cf. Wajcman 2004) of ICT
sector that causes women to perceive the ICT environment as a men‘s domain.
Symanowitz (2012), who analyses gender stereotyping from the perspective of a
management style in the corporate environment, remarks:
?While businesses [traditional culture] tend to follow methods focused on
mutual respect and understanding of western business practices expect[ing]
business leaders to be more ruthless, headstrong and less sensitive or
respectful [which are] all primarily male traits, [however, when] a woman
shows this behaviour, she is often considered aggressive, which has a
negative connotation.?
208
A participant in this study emphasised the concern about women‘s management style in
relation to gender stereotyping:
?An idea made by a woman maybe very clear but ignored because it?s
coming from a woman. I do not know why this happens. One can only
attribute this tradition to a gender mentality thing coming from men who
consider themselves as being in charge and being the only one entitled to
make a decision on a matter.?
Gender stereotyping was also emphasised when the participant described the manner
in which women were undermined by the traditional attitude of men in an
overwhelmingly male-dominated environment:
?Men are always astonished to see what women have achieved with regard
to the skill and knowledge in ICT. This including women?s ability to obtain a
degree in ICT which surprises men who tend to question women?s ability in
becoming a graduate in this field which is regarded to be very scientific.
Especially in technical support [A+, N+] environment where you need to be
very scientific as it has to do with science and maths.?
Participants in this study identified the almost non-existing promotion of rural-driven
SMME entrepreneurship, especially in the case of women-driven entrepreneurship.
Women entrepreneurs claimed they were marginalised from ICT due to a number of
structural conditions, such as the lack of access to ICT infrastructure, that were linked
to inequalities in educational development between rural and urban areas:
?People in rural areas do not… have access to the Internet to learn about
available career opportunities in the ICT sector. For example, I can search
the internet to learn more about ICTs. This I?m doing to upgrade my skills for
better positions in this field [ICT].?
Wamala (2012:13) also attests to the glaring ?gender digital divide? at community level
that includes women‘s marginalisation from technology and influences women‘s
relationship with technology. This disparity is evident in ?cultural structures? that
marginalise women into ?domesticity? that limits their mobility and exposure to ICTs.
Socio-cultural influences that portray inequalities between women and men are linked
209
to barriers in educational development influenced by gender role expectations. One of
the participants affirmed this observation:
?Coming from a rural background and being forced to assist [family]
financially left me with no option but to go and find work. Although I knew I
wanted to study further, the immediate financial circumstances did not permit
me to do so. After grade twelve, I had to go into the corporate world to find a
job. Men, on the other hand, are always encouraged to further their studies.?
According to Wamala, women‘s marginalisation is induced by a lack of education in
ICTs. Participants in this study also identified this issue, since they viewed women‘s
marginalisation from ICT as one of the limitations causing gender-based educational
differences and the subsequent inequalities in earnings between women and men in the
sector. Jacobsen (2011), who advocates for gender equity, examines how technology
affects gender and the value technological change adds. For example, ?productivity
gains? in economic terms emphasise the importance of educational attainment of
entrepreneurs. Chandler and Hanks (1994) agree that entrepreneurs should have a
learning culture. Women entrepreneurs in this study also expressed the same
sentiments:
?SMMEs lack of [sic] knowledge and education on how to run a business.
For some start-up, businesses it is not easy as they are not familiar with
business operations such as, financial management, employment
regulations.?
Another participant expressed a concern about educational inequalities between female
entrepreneurs and male entrepreneurs:
?From a financial point of view and my experience as a woman, we are
suppressed by our own ignorance... allowing our accountants to take
advantage of our lack in financial skills. One of the business registration
requirements according to SARS [South African Revenue Services]
stipulations, you must have an accountant. For example, women struggle
with book keeping and accountants who are usually men, abuse our
dependence on them.?
210
Some participants who were aware of the existing inequalities in the sector appreciated
the effort of government by introducing ICT in education:
?The ICT sector is no longer a boys club. Government has introduced ICT for
education in many schools in South Africa, and hence we see women in the
ICT sector.?
Cyberfeminists, in this regard, believe such patriarchal stereotypes could be weakened
by women developing a close alliance with new technology that has the potential of
facilitating gender equality in the ICT sector (Plant 1996). From a cyberfeminist
perspective, women could only resist repressive gender regimes by being actively
involved in the mainstream economy of the ICT sector.
Vehviläinen (2009:6) acknowledges the efforts that women entrepreneurs made by
upgrading their knowledge and skills in the ICT environment despite their exclusion
from ICT professions based on the grounds of cultural and socialisation influences:
?Women today are increasingly taking up ICT professions and holding high
qualifications equal to men.?
A participant in this study also affirmed this assertive trend:
?I know historically women have been undermined but now I see that we
[women] are proving to ourselves that there is so much we can do. Before,
you would not find women in this industry but the gap is closing.?
Gathering from the empirical findings of this study, women entrepreneurs in the ICT
sector of the Eastern Cape Province were steadily becoming visible in the engineering
environment, traditionally known to be a male field (SME Growth Index 2013). In the
context of a broadcasting environment, one of the participants remarked:
?If you look at their [women] positions they are administrators doing office
related work and not involved in sound engineering… it is „rare? to find them
in this environment. Look at my position, few of us [women] are station
managers…I know there are some people who aspire to become a station
manager like me but do not have the qualifications [engineering] that I have.?
211
Participants also acknowledged the assertive action taken by women in upgrading their
qualifications in the technical environment and skills in ICT:
?You are not going to get far if you are selling a commodity that anybody can
sell without studying… technology changes all the time… it is changing so
fast… every three months… you have to keep on upgrading your skill.?
Plant (1997), who advocates for gender inequality, states that power structures should
be made more equal through a process of revealing and addressing overlooked female
elements. This transformative approach is associated with assumptions about
possibilities for freedom that are related to the expectations of new media ICTs as a
means of socio-cultural transformation.
?With ICT, you are now able to sit around a table and be able to see another
person in another place… you save your money… instead of flying to
Johannesburg, you can actually have a meeting with the person sitting in the
office [teleconferencing] without spending too much money travelling
around.?
Wamala (2012) emphasises the necessity of a continued effort in initiating women-
centred empowerment interventions that are not only directed at addressing the digital
divide but at empowering women through ICTs in order to unlock opportunities for them.
In this study, participants expressed their point of view with regard to skills development
of women entrepreneurs:
?By giving skills to people in rural areas… women entrepreneurs will be able
to create jobs like, computer training skills. Women are progressive. They
should be given a chance.?
Another suggestion focused on rural educational empowerment initiatives:
?Government should penetrate the most rural areas informing and educating
entrepreneurs about the benefits of ICT either through workshops or
roadshows where presentations and information packs would be given to
SMMEs on how to introduce ICT in their businesses.?
212
The following suggestion called on government to facilitate community-driven economic
activity in rural areas by providing seed funding for infrastructure development:
?Government should assist by providing funding for the establishment of
sustainable ICT centres in rural areas as well. This will create lots of
business opportunities for the country?s youth living in remote areas and they
will contribute to the economy [resuscitating economic activity].?
Wajcman (2004), who also advocates for women empowerment, expresses a concern
about the ways in which technologies are often designed to either marginalise or
subordinate women. In this study, women entrepreneurs also raised a concern about
the frequent changes in technology (determined by big role-players who were in control
of the market) that made it impossible for them to keep up with the training required to
use newly introduced technologies. One of the participants shared this experience:
?For me, coming into the ICT environment… understanding the link between
my computer and the shared network was just completely new. So, I had to
undergo training… sometimes you get service providers that give you the
tools [technology] that you need but you do not get the right training to
enable you to utilise them to their fullest potential.?
James et al. (2006:46) and Kelan (2007) emphasise the workplace inequalities in
earnings, arguing that women in the sector still earn less because they remain boxed in
particular jobs which discourage career advancement. In this study, workplace gender
inequalities were identified and associated with statements such as: i) women lacking
work experience compared to men entrepreneurs who had work experience; ii) women
not being competitive enough to earn a high salary; and iii) women starting off with a
small salary compared to men who started with a higher salary.
Concerning career stereotypes, Vehviläinen (2009) observes that young women and
men make their career choices based on the notion of hegemonic masculinity rather
than on the job description. Participants in this study echoed similar sentiments,
arguing the men‘s club culture held by family (socio-cultural gender role expectations)
contributed to influencing career choice:
213
?Women do not generally show interest in pursuing this direction [technical].
It could perhaps have something to do with family upbringing values, where
men are pushed into technical oriented [sic] careers, whilst women are
discouraged in pursuing this industry [ICT].?
In relation to women‘s inability to access funding, Lester (2013) reports women face
economic marginalisation based gender stereotypes induced by investors that
encourage gender inequalities manifest in investment preferences for young, male,
technocrats who have experience in well recognised corporations such as Google or
Facebook. In this study, a participant stated:
?I think another problem for SMMEs, to a degree, concerns funding. They
are not trusted until they have proven themselves. But how can they prove
themselves if they do not get the support right from the beginning??
5.6.1.2 Entrepreneurship
Entrepreneurship theorists attest, is about seeking market opportunities with the view of
expanding the enterprise in terms of either new products for a new market, or new
products introduced into an old market (Gaglio 2004; Schumpter 1934; Timmons 1989).
Participants in this study seemed aware of the need to introduce new products and to
diversify their product range with the aim of accommodating the needs of their market
segments.
Entrepreneurship could also be considered as a combination of managerial practices
and acts of innovation (Drucker 1985) where the entrepreneur displays characteristics,
(Brockhaus 1982) such as a ?readiness to take risks with new or innovative ideas to
generate new products or services? (Calcagnini & Favaretto 2011:55). Participants in
this study acknowledged the importance of upgrading their skills in business
management and the need for diversifying their product range to meet the needs of the
market. Most ICT enterprises recognised the lack of innovation and product
development as a challenge. A number of conditions influencing this challenge included
the lack of R & D capacity.
The SME Growth Index (2013) survey reports women entrepreneurs are risk adverse
(Still & Timms 2000). This characteristic was also described by participants in this
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study. The survey also discovered that, in every region surveyed, women reported
being more afraid of failure [risk averse] on average than their male counterparts with a
majority showing reluctance to enter new and less tested markets.
Participants in this study expressed their concern about tough local competition (big
business vs small business), as well as their reluctance to venture into new markets.
They articulated their reservations about diversifying their product range based on
financial constraints and the lack of confidence in gaining market share that was a
result of lacking market intelligence. The empirical findings also revealed that only a
few women entrepreneurs embraced competition. According, to literature
entrepreneurs in the ICT sector require market intelligence in order to competitively
position them in the marketplace. In other words, having an understanding of existing
competition is a necessary component of ICT-driven entrepreneurship. One of the
participants explained:
“Competition is good as it helps you to be on your toes but it can also shut
down your business. In the ICT environment you have to make sure that
you are on top of things. Job seekers know they [employers] are looking for
qualified people who have done Windows 7 and Office 10. Now here you
[training provider] are, teaching your students XP and Office 2003 whilst
your competition is offering Windows 7 and Office 10. Your business will
suffer as students will go to competition. So you have to be on top of
things.”
Competition determines the success of ICT enterprise while entrepreneurs are scouting
for opportunities in niche markets that are likely to enable an ICT enterprise to gain
competitive advantage. Humbert, Drew, and Kelan (123-141) claim that competitive
advantage and product innovation go hand-in-hand. This implies that ?entrepreneurs‘
use of technology to create innovation will either be rewarded within the marketplace or
find failure primarily due to competition? (2010:372). One of the participants in this
study stated:
?We are trying to be competitive in the marketplace by offering something different
[innovation] and relevant. We identified gaps that were overlooked concerning the
needs of government. I had to look for niche solutions to offer the market because I got
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tired of doing what everybody else was doing. To avoid becoming obsolete, I need to
be relevant to my market as its needs change, just as ICT changes.?
Another factor associated with risk aversion was provided in response to a question
relating to underrepresentation of women entrepreneurs in the ICT sector.
Underrepresentation, participants stated, was linked to fear of joining the ICT sector
because it was perceived to be a tough environment in which only men could survive.
Participants claimed that being risk averse, especially when faced with challenges,
resulted in women abandoning business and opting for employment. Other studies on
entrepreneurship that cite women entrepreneurs as being more risk averse than men in
the context of the ICT sector include the European Commission study (2012).
The SME Growth Index survey (2013) reports that innovation lacks in women-driven
entrepreneurship. The empirical findings in this study also raised the issue of women
entrepreneurs lacking innovation and this relates to the lack of R & D capacity in their
ICT enterprises. From an entrepreneurship perspective, the creation of a new idea
(innovation) is an important pre-cursor to the sustainability of an ICT enterprise that has
to ?offer products or services that are new to some or all customers, with additional
consideration that no or few other businesses offer that same product? (GEM 2013:32).
Empirical findings in this regard have highlighted the low levels of innovation that
correlated closely with the gap in entrepreneurial education. The lack of innovation was
associated with ICT enterprises that offered products which were more on the low-tech
side of the technology continuum.
Chell (2007) emphasises the social construct of entrepreneurship, arguing an
entrepreneur by nature should invest in ?social capital? that requires ?networking‘. Chell
claims entrepreneurs characteristically are known networkers who have the ability to
draw upon extant social and personal ties when necessary. In this study, participants
described how they felt marginalised in accessing business related information shared
or disseminated through business networking platforms. Networking platforms were
perceived by participants to be an important platform for discussing business
opportunities. A study by Vehviläinen, Vuolanto, and Ylijoki (2010:69-70) describes
how women entrepreneurs in science innovation parks value networking platforms by
initiating women networks where they could share issues relevant to women as
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experienced in their business environments. In this study, participants identified the
need for the creation of B2B network platforms that could focus on women issues.
Voesmek (2013), CEO of a global non-profit organisation called Astia that supports
women entrepreneurs in obtaining funding, acknowledges the value of business
networks:
?High-growth entrepreneurship is a part of the economy where women don‘t really
participate. Entrepreneurship is a deeply male place. Men and women exist in separate
business networks and we look at this as an opportunity to build trusted business
networks between men and women so it results not only in venture investment, but all
subsequent business relationships that lead to big success.?
Davies, Minister of Department of Trade and Industry, affirms the value of business
networking platforms with a remark in an article titled ?Stronger symbiotic ties needed
between big business and small SME? (Magubane & Goko 2013):
?We don‘t have a strong culture of symbiotic relations between big business and small
business... we have too much of the big businesses relating to the same old suppliers,
and we need to create opportunities for small business and especially black business to
relate to big business?.
This remark correlates with the category ?Eastern Cape market‘ that describes and
explains the reason why networking is important for women entrepreneurs in the ICT
sector if their enterprises were to survive. A chronic problem in the Eastern Cape ICT
sector is the shortage of skills to operate or function in an information and digital
environment.
5.6.2 Document analysis
5.6.2.1 The Eastern Cape ICT strategy (2009 – 2014, Section 39) states:
SMMEs play a crucial role in the provincial economy. Special measures that will
accelerate participation of SMMEs, especially women-owned enterprises in the ICT
sector, must be developed. This will include deliberate preferential procurement by
government to stimulate participation of these enterprises. The aim is to specifically
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address equity issues with regard to gender, disadvantaged groups, and those in rural
and under-served communities.
The following passages in the ICT strategy document were identified to either compare,
or contrast with empirical statements with regard to the category ?women experiencing
gender-based discrimination‘:
Strategy 1: Accelerate SMME development and participation in the ICT sector
Initiative 1: Develop targeted procurement framework to grow ICT SMME supply.
This statement matched a statement that the government sector expert made by
claiming women-owned ICT enterprises had the advantage over men-owned ICT
enterprises due to the ICT BEE scorecard point system of through government which
allocated women-owned enterprises extra points. Also, all women entrepreneurs
interviewed were aware of this advantage, however, some confirmed not benefiting
from the BEE scorecard due to the lack of access to tender opportunities (influenced by
irregular tender processes).
The statement indicates how women are economically marginalised by being denied
access to tenders even though legislation enabled access to tender opportunities.
Initiative 2: Establish framework to communicate ICT opportunities for SMMEs.
This initiative focuses on activities that assist SMMEs with developing sustainable
business skills and facilitates collaboration between large enterprises and SMMEs for
subcontracting opportunities.
A majority of participants confirmed not receiving any kind of assistance from
government in terms of skills training.
Strategy 2: Bridging the digital divide
Initiative 1: A strategy to support women ICT companies.
Although the Eastern Cape ICT Strategy (2009 – 2014) aimed at supporting women,
the participants had this to say:
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?I do not think women entrepreneurs are getting the advantage that they
should be getting as women. In most cases I have not been advantaged
[BEE scorecard].?
A number of participants shared the view that procurement officers were not doing
much in promoting the ICT sector scorecard, since women often were not benefiting
from the policy. In terms of validating the empirically generated categories against
existing theories, the researcher could claim that the emerging theory was in
accordance with other theoretical abstractions.
5.6.2.2 ICT sector code for BEE
The BEE scorecard point system was developed in response to the inequalities that
resulted from systemic exclusion of black people, women in particular, from
participating in the ICT sector of the economy. Elements of the scorecard include:
ownership, management control, employment equity, skills development, preferential
procurement, enterprise development, as well as a ?socio-economic development and
sector-specific contributions element?. The following passage makes reference to
women:
Section 9: Enhance recognition of certain categories of black people
9.1) Black women should form between 40 and 50 per cent of the beneficiaries of all
elements of the generic scorecard
The passage makes reference to an element of the BEE score card which is ownership.
In terms of ownership, a majority of the women entrepreneurs interviewed in this study
either had full or part ownership over their ICT enterprise. Their enterprises were closed
corporations and non-governmental organisations (i.e. telecentre, community radio
station and postal service franchises). In terms of management control all women were
practically involved with the operations of the enterprise.
A rigorous inclusion and exclusion vetting procedures employed in preparation for
sampling purposes confirmed that women-owned enterprises in ICT were very few
across the province in semi-urban and rural areas in particular.
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Related to the aspect of low levels of ownership, is women‘s limited visibility in the
entrepreneurial space iin the ICT sector which literature review (SANEF 2013;
MICTSETA 2012) attests to. In the context of the ICT sector of the Eastern Cape
Province, the number of women enterprising in the sector as suggested by empirical
findings was considerably small. Another industry news report (Getnews 2011)
supporting these findings carried an article, ?More Eastern Cape women leaders
needed in ICT? ahead of the Eastern Cape Women in ICT awards raising awareness on
the need for women to be encouraged to join the ICT sector of the province.
Another element of the BEE score card in this regard, which discourages women‘s
economic participation as articulated by women entrepreneurs in this study, is the
aspect of preferential procurement. The following statement confirms economic
marginalisation.
“I do not think women entrepreneurs are getting the advantage that they
should be getting [entitled to] as women. In most cases I have not been
afforded the advantaged [BEE score card].”
This statement was made on the backdrop of the lack of alignment between BBBEE
codes and ICT sector codes in terms of the scoring point system which by default is not
enabling SMME women (who fall short of points as they make little business) to qualify
for level 1 and 2 status in order to get big contracts. Another possible reason in the
context of this study could be associated with the limited options for women in terms of
set asides (projects reserved for women) where they could compete favourably.
However, despite the enabling scoring card system women are still economically
marginalised by corrupt officials who manipulate procurement systems as attested by
participants.
9.2) Black people with disabilities, black youth, black people living in rural, areas and
black unemployed people must form between 2 and 3 per cent of the beneficiaries of all
elements of the generic scorecard.
The analysis from this policy statement points to the structural disparities between rural
and urban areas which discourage aspiring entrepreneurs from joining the ICT sector.
In relation to women, socio-cultural structural imbalances may discourage them from
entering the ICT sector as the empirical findings suggest it to be an environment
220
dominated by men. Also, in the advent of the notable gap concerning an ICT policy
framework to gender mainstream, women‘s participation including youth-driven
entrepreneurship in rural areas might remain limited and thus further the digital divide.
5.6.3 Explicit empirical validation
In this study, the analysis indicated that what was voiced by participants pertaining to
their experiences of gender-based discrimination and responses to gender-based
discrimination were in accordance with ?reality‘. Validating the emerging theory meant
perusing the categories and their properties. To a great extent, revisiting the initial
formation of those categories confirmed the interrelationships. The graphic
presentation portrays in Figure 4.7 the theoretical model that illustrates women-driven
entrepreneurship.
In this study, the initial analyses of 33 categories from open coding were subsequently
reduced to eight during axial coding, and subsequently to two in this phase, namely:
recognising gender-based discrimination; and responding to gender-based
discrimination that related to other subcategories.
The selection of the core categories was based on six criteria outlined by Strauss
(1987), cited in Strauss and Corbin (1998): i) all other major categories can be related
to it; ii) it must appear frequently in the data; iii) the explanation that evolves by relating
the categories is logical and consistent; iv) the phrase or concept used to describe the
central category should be sufficiently abstract; iv) as the concept is refined analytically
through integration with other concepts, the theory grows in depth and explanatory
power; and v) the concept is able to explain variation, as well as the central idea of the
data. That implies whether the conditions vary or not, the explanation still holds,
although the way in which the phenomenon is expressed might look somewhat
different.
Recognising and responding to gender-based discrimination were two concepts that
consistently emerged from the data and interrelated to explain women entrepreneurs‘
awareness and experience of, as well as response to gender-based discrimination
while enterprising in the ICT sector. For example, an issue that participants repeatedly
explained and related was socio-cultural gender role expectations that also appeared in
other categories; such as educational differences, career differences, and workplace
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inequalities. Those categories influenced participants‘ interpretation and understanding
of conditions and consequences that impacted on SMME women-driven entrepreneurial
processes.
Following the emergence of those core categories, the researcher moved from
descriptive to concept modification, integration, and eventually to a theoretical level by
continually asking questions like, ?What is the main analytical idea presented?? (Strauss
& Corbin 1990:14). Categories from empirical data were subsequently combined into
theoretical statements that provided a holistic explanation of issues, concerns, and
challenges raised by participants in terms of SMME women-driven entrepreneurial
processes. The researcher did not find a link from the empirical demographic data that
could be associated with the categories identified in the analysis.
The iterative process of data collection and analysis continued until a point of
theoretical saturation was reached. Charmaz defines theoretical saturation as the point
?when gathering fresh data no longer sparks new theoretical insights, nor reveals new
5.6.4 Evaluation of theoretical cohesion
In this study, this level of abstraction required a conceptual structure to systematically
analyse the evolving theory and to verify internal consistency and congruency within the
evolving substantive theory (Cronholm 2004). Emphasis was placed on applying
systematic evaluation processes to verify consistency and internal congruency of core
action categories and subsequent consequences evolving by using appropriate
descriptive graphic and textual presentations (Goldkuhl & Cronholm 2003) to describe
conceptual structures
5.6.5 Phase Three: Research Interest, Reflection, and Revision
5.6.5.1 Research interest
According to MGT (Goldkuhl and Cronholm 2003, 2010), it is important for a researcher
to continually reflect on the research interest (operationalised in research questions) of
the study and that the questions should develop over time for allowing empirical
observations and theoretical insights to influence their formulation.
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The questions were constantly reflected upon to direct the empirical and theoretical
orientation. The research questions were also aligned to the substantive empirical
categories. That procedure also encompassed the verification of participants‘
responses to establish whether they were interpreted accurately and whether theory
was grounded in the experiences and views of the participants.
5.6.5.2 Research reflection and revision
That process heralded the last phase of the analytical procedure that enabled the
researcher to conduct a self-critical account of the research methodology by reflecting
on the research questions and by authenticating confirmability (Tobin & Begley 2004).
The researcher‘s understanding of what was happening at the time of the research
project in terms of SMME women-driven entrepreneurship in the ICT sector
progressively increased from one level of data collection, analysis, and interpretation to
another. That process enabled the researcher to gain a comprehensive understanding
of the conditions that influenced the research issues, including proposed interventions
aimed at mitigating the situation. The systematic application of MGT processes
supported the processes of good ?traceability between data, categorisation, and theory?
(Goldkuhl & Cronholm 2010:190).
5.7 THEORY CONDENSATION
In this study, the initial analyses of 33 categories (cf. Appendix O) from open coding
were subsequently reduced to eight during axial coding and subsequently to two in this
phase (cf. Figure 5.14 below) namely:
Recognising gender-based discrimination
This core category related to other subcategories namely: i) Socio-cultural gender role
expectations – economic marginalisation, stereotypes based on socio-cultural norms; ii)
Gender based educational differences – gender based digital divide; iii) Finance
inaccessible – cash flow problems, difficulty in accessing finance, late payment; iv)
Opting out of business when faced with challenges – inequalities in access to ICT,
lacking access to funding; v) Gender based inequalities in the workplace – women‘s
underrepresentation in key ICT positions, digital divide between urban and rural driven
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entrepreneurship; vi) Exposed to gender based sexual harassment – subjected to
bribes, subjected to sexual harassment, lacking access to business related information;
vii) Developing apathy – lack of recognition in the industry, government slow pace of
change; viii) Low motivation – supply chain is not doing enough to promote BBBEE,
limited access to finance, not benefitting from government and private sector initiatives;
xi) lacking resources to ICT infrastructure.
Responding to gender-based discrimination
This core category related to other subcategories suggesting assertive action taken by
women entrepreneurs in the following context:
i) Socio-cultural gender role expectations – taking assertive action through self-
empowerment; ii) Gender based educational differences – taking assertive action by
demystifying gender stereotypes; iii) Finance inaccessible – taking advocacy action in
seeking transparency in procurement processes, seeking relaxation in restrictive loan
application requirements; iv) Opting out of business when faced with challenges –
developing apathy: lacking initiative in following up on business related information,
experiencing low motivation, taking assertive action in developing self; v) Exposed to
gender based sexual harassment – assertive action: self-initiated empowerment,
gender sensitive entrepreneurship advocacy; vi) Developing apathy – experiencing low
motivation; vii) Low motivation – developing apathy, not benefiting from government
and private sector initiatives, advocating for change in government and private sector
supply chain processes; and viii) Lacking resources to ICT infrastructure.
These two categories influenced participants‘ interpretation and understanding of
conditions and consequences that impacted on SMME women-driven entrepreneurial
processes.
The selection of the two core categories was based on six criteria outlined by Strauss
(1987), cited in Strauss and Corbin (1998): i) All other major categories can be related
to it; ii) it must appear frequently in the data; iii) The explanation that evolves by relating
the categories is logical and consistent; iv) The phrase or concept used to describe the
central category should be sufficiently abstract; v) As the concept is refined analytically
through integration with other concepts, the theory grows in depth and explanatory
224
power; and vi) The concept is able to explain variation as well as the central idea of the
data.
The researcher moved from descriptive to concept modification, integration, and
eventually to a theoretical level by continually asking questions like, ?What is the main
analytical idea presented?? (Strauss & Corbin 1990:14). The MGT iterative analytical
procedures facilitated the process of combining categories from empirical data into
theoretical statements refined into two core categories, recognising and responding to
gender-based discrimination (cf. Appendix L) emerging from the analytical processes of
theory generation (cf. inductive coding – table 1 to 15 in appendix N; conceptual
refinement in appendix O; Pattern coding in appendix P and Figure 5.13; including the
deductive analysis comprising of explicit grounding processes – theoretical matching,
explicit empirical validation and evaluation of theoretical cohesion), which rendered
traceable evidence that provided a holistic understanding of issues, concerns, and
challenges raised by participants relating to women‘s experience of the various forms of
discrimination they were subjected to whilst enterprising in the ICT sector of the Eastern
Cape Province.
The various forms of discrimination (related subcategories mentioned above) which
consistently reappeared from interview statements that were compared and contrasted
within a single interview and with other interviews confirmed women entrepreneurs
were experiencing different forms of gender-based discrimination influenced by socio-
cultural, economic or political structural issues (cf. Figure 5.14) and that they were
responding to it. This confirmation was solidified by empirical statements which when
compared and contrasted with existing theories (cyberfeminism and entrepreneurship),
matched the experience of other women entrepreneurs enterprising in the ICT sector of
developing countries and thus confirming the substantive theory of this study that
gender-based discrimination (induced by socio-cultural, economic and political
structural factures) does influence women-driven entrepreneurship processes.
A graphic representation of the theoretical model illustrating gender-based
discrimination in the ICT SMME Sector of the Eastern Cape Province is provided in
Figure 5.14 below.
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Figure 5.14: A graphic representation of theoretical model:Business Gender-Based Discrimination in the ICT SMME Sector
226
5.8 LIMITATIONS OF THE RESEARCH DESIGN
A major limitation was the fact that the interview questions were too many. Although
the questions were many, the researcher was satisfied with the theme topics covered
to address the scope of the research questions of the study. Unfortunately, that
resulted in the questions accumulating heaps of data that made the coding
processes tedious and time consuming, since the researcher had to religiously follow
rigorous MGT processes; that limited the researcher‘s creativity to an extent. The
unavailability of other high profile industry experts who were scheduled for
interviewing limited the diversity of views as their input would have given a wider
perspective about the status quo of women-driven entrepreneurship.
5.8.1 Ethical considerations
In line with Gibbs‘ (2007) recommendations (cf. Amdur, 2002: Belmont Report:
Evaluating ethics in qualitative research), the researcher took into consideration the
aspects of informed consent, anonymity of transcripts, confidentiality, and feedback.
Observing ethical considerations for this study was important, especially viewed from
the perspective of the epistemology underpinning the study that necessitated the
researcher to produce proof of identification, including the contact details of the
supervisor, in order to confirm to participants that the research was indeed for
academic purposes. The nature and purpose of the research study were clearly
explained for them to make an informed decision whether to participate or not.
Ethical aspects observed included:
Informed consent: The researcher had an obligation to protect participant‘s rights;
the right to refuse participation or to withdraw from the interviews at any time for any
reason and consent before commencement of the interview.
Anonymity of transcripts: The researcher ensured that confidentiality was
preserved by making use of a coding procedure to obscure the identity of participants
and their ICT enterprises, as well as identifying their ICT enterprises according to
industry type. The researcher also ensured limited access to transcripts and
committed to destroy recordings upon acceptance of dissertation.
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Transcription: The researcher ensured that the transcription of interviews remained
faithful and original representations of the views of the participants; when necessary,
words were highlighted, i.e. ?in vivo codes? (Strauss & Corbin 1998:105) included in
the text. The researcher also made sure that the findings of the research study were
true to its aims and objectives.
Confidentiality: Due to the sensitivity of some issues raised during the interviews,
the researcher had to verify with participants their level of comfort with evidenced
business or industry information during the interviews and member checking while
reassuring participants that access to information would only be allowed to those
identified persons directly involved with research.
Feedback: The researcher created participant awareness that the summary of
findings would be available or might invite them to a meeting where the researcher
anticipated discussing the findings. Participants were also made aware that their
participation would not only give them an opportunity to share their experiences but
would also contribute to the improved implementation of policies aimed at promoting
women-driven entrepreneurship in the ICT sector of the Eastern Cape Province.
5.9 CRITICAL EVALUATION OF RESEARCH METHODOLOGY
Researcher trustworthiness
According to Lincoln and Guba (1985:290), trustworthiness results from asking the
question, "How can an inquirer persuade his or her audiences that the research
findings of an inquiry are worth paying attention to?" and the evaluation of the rigor of
MGT analytical procedures (Aroni 1991:1).
Rigor
It was imperative for the researcher to demonstrate rigor throughout the levels of
data collection and analysis procedures, according to MGT. Rigor was regarded as
the means by which the researcher could ?demonstrate integrity, competence, and
legitimacy in the research process? (Aroni 1991:1), including demonstrating discipline
and accurately representing the views and experiences of SMME women
entrepreneurs.
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Trustworthiness determines the credibility of a research project. To this end, the
researcher observed relevant criteria and appropriate strategies to augment the MGT
design of this study.
Credibility of the researcher and the research participants
Credibility addresses the issue of ?congruency between the participants‘ views and
the researcher‘s representation thereof (Schwandt 2001). The researcher
acknowledges that:
i. There could have been biases in the interpretation of statements that were
clarified during member checking. Statements also reflected logical connection
and definitive explanations;
ii. Consistency was maintained at all the levels of analysis – between research
questions and the methods, asking the same questions of all SMME women
entrepreneurs and gathering similar data that allowed for constant comparisons
between statements and reflecting on formulated statements from the point of
view of SMME women entrepreneurs;
iii. Transparent application of the MGT methods to data generation, recorded
memos of decisions, and the provision of evidence for conclusions in such a
way that other researchers could arrive at the same conclusions (Oman et al.
2003:218);
iv. Providing an ?audit trail? (Bowen 2009, Creswell & Miller 2000; Schwandt 2001)
and ensuring that decisions were sequentially recorded in memos and linked to
the interview transcripts and analysis. That epistemological process embedded
the confirmability of MGT methodological processes;
v. Research conclusions were grounded in the real-world patterns that emerged
from the evolving substantive theory; and
vi. Establishing credibility confirmed through ?member checks? during transcribing
and interpretation (Lincoln 1995; Strauss & Corbin 1998). Credibility was also
confirmed by the quality of comprehensive information received from
participants rather than the quantity and, in such instance, the researcher used
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constant comparison (industry experts and participants) techniques to enhance
the fullness of information gathered during interviews.
Confirmability of data
The researcher conducted a ?confirmability audit? of data by giving participants an
opportunity to study and comment (member checks) on transcribed interviews to
verify whether views had been accurately interpreted and whether findings
conformed to SMME women entrepreneurs‘ experiences clearly derived from the
data (Lincoln & Guba 1985: 290-327) and not to the researcher‘s imagination(Tobin
& Begley, 2004). That required an audit trail that consisted of raw data, transcripts,
analysis of personal notes, and memos to enhance the trustworthiness of the data.
Authenticity of research findings
The researcher evaluated authenticity (cf. Christians 2000 in Denzin & Lincoln 2005)
by ensuring that research findings represented a fairly balanced in-depth analysis
and understanding of SMME women-driven entrepreneurship to stakeholders with a
particular interest in promoting women-driven entrepreneurship in the ICT sector of
the Eastern Cape Province.
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5.10 SUMMARY
In the introduction an explanation is provided of the first phase of generating
empirically-driven theory that proceed inductive coding of data followed by
conceptual refinement of statements before building categorical structures by means
of pattern coding.
Section A, explains the deductively driven procedures namely, explicit grounding that
includes procedures, such as theoretical matching of empirical statements with
existing theories (cyberfeminism and entrepreneurship). The section also explained
the verification of categories in relation to ICT policies through a rigorous deductive
process that ensured that the categories were theoretically sound and explained the
procedure for theoretical condensation of data into two main categories. The section
also provided a review of MGT procedures.
Section B
In this section the application of empirically and deductively driven procedures of
generating theory are demonstrated. The section also provides an analysis and
interpretation of both closed and open-ended interview questions. The analysis,
supported by a graphical presentation of tables and figures attached in the appendix,
provides good ?traceability between data, categorisation, and theory? (Goldkuhl &
Cronholm 2010:190). The section also depicts a summary of conceptually refineded
concepts generated from open-ended questions. A critical category determination
illustrating the building of the categorical structures, deductive analysis procedures
followed by the theory condensation procedure which solidifies the substantive theory
that provided a comprehensive understanding of SMME women-driven
entrepreneurship in the ICT sector of the Eastern Cape Province.
The section also provided a review of MGT procedures limitations of the research
design and a critical evaluation of the research methodology.
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CHAPTER 6
RESEARCH FINDINGS, ANALYSIS OF FINDINGS, AND
RECOMMENDATIONS
6.1 INTRODUCTION
This chapter summarises the empirically and deductively generated findings of the
substantive theory of women-driven entrepreneurship in the ICT sector of the Eastern
Cape Province. According to the multi-grounded theory procedures, the empirical
findings had to be congruent to existing theories, namely cyberfeminism and
entrepreneurship, with the purpose of validating the emerging substantive theory.
The aim of the study was to develop a substantive theory that explained and
described SMME women-driven entrepreneurship in the ICT sector of the Eastern
Cape Province. Data was gathered during one-on-one interviews with SMME
women entrepreneurs who were taking part in the ICT sector of the two economic
nerve centres in the Eastern Cape Province, namely the Nelson Mandela and Buffalo
City Metropolitan Municipalities. The study identified two core categories, namely
recognising gender-based discrimination and responding to gender-based
discrimination. Both categories subsumed the majority of categorical data that
comprised the model which explained this particular substantive theory.
6.2 ANALYSIS OF FINDINGS
The findings were firmly embedded in the categories of the data analysis that elicited
some pertinent discussion points articulated in subsequent headings.
6.2.1 Recognising gender-based discrimination
It emerged from the findings that women entrepreneurs were acutely aware of the
gender sensitivity issues influencing entrepreneurship development in the ICT sector.
The empirical findings, when matched with existing literature of cyberfeminist and
entrepreneurship theorists, confirmed that around the world a majority of women
entrepreneurs were still faced with barriers influenced by socio-cultural, educational
differences, gender-based inequalities at the workplace, gender-based occupational
differences, and low motivation. Those barriers contributed towards women
developing apathy because they became inactive in the mainstream economy of the
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sector. A thread off evidence is built in the analysis between the core category and
sub categories comprising the foundation of building theoretical statements.
6.2.1.1 Gender- based discrimination
Literature review attest to the difficulty in stamping out gender-based discrimination
as it is embedded in society‘s historic fabric of remnants of a post-colonial regime
permeating across corporate and business institutions, where social, economic and
technological divides manifest as barriers in women‘s empowerment aspirations.
The findings from this study articulate the push effects of discrimination on women‘s
aspirations to climb up the ladder into leadership positions to influence decisions on
the design and implementation of ICT programmes. The findings also reveal that
women entrepreneurs were taking assertive action in empowering (ICT training and
business skills) themselves and others that is, mentoring and training staff and
community members in ICT in an attempt to bridge the digital divide. This assertive
action was based on the background that men were not taking them (women
entrepreneurs) seriously as equals by not giving recognition where deserved in terms
of wins accomplished especially in male dominated environments. The following
statement affirms this:
“We empower them; develop them with the skills and the knowledge to
make a difference to their homes and the whole community; and to
contribute to the economy of the country. We are focused on rural
development it is our mission and vision to alleviate poverty and also
create jobs for better life support in the social environment.”
The findings in this study concerning discrimination experienced by women
entrepreneurs, on the grounds of economic marginalisation associated with women‘s
non-representation at management level (Hewlett 2008), including advocacy action
taken, corresponds to the literature review articulating gender-based discrimination in
many facets also revealed in this study, for example:
i) Career differences:
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Findings revealed inequalities in career advancement opportunities for women
aspiring to climb up the ladder into core ICT environments as the sector was
predominantly a male dominated career option.
ii) Educational differences:
Findings revealed an inadequate access to human resources. However, according
to the findings women were developing their skills (empowering self and others) in
ICT training others through mentoring and venturing into technical environment
(where women‘s representation was evident). This finding is suggested by the
following statement.
“I feel it is my responsibility to nurture this talent and show them that
there is a space for women in this sector. Make them realise that it is
possible to get into this sector and become women employers instead of
being employees.”
However, findings also revealed that women were dominantly visible in
administration careers on the low end of the continuum rather then in core line
functions, such as policy making. This finding linked to sex stereotyping where
women are pulled towards female occupations (Paludi et al. 2011:216) instead of
leadership positions. The following statement supports this finding.
“They [men] do not expect us to do the job and responsibilities of a
manager…the responsibilities that we do are those of taking minutes or
being a secretary.”
This linked to an assertion that, women lacked decision-making power to challenge
ICT decisions taken on their behalf that have implications on their engagement with
ICTs. These findings were indicative of the void in advocacy activism suggested in
the literature review which could otherwise discourage the current situation of
women‘s absence in decision-making platforms. The above correlates with
international best practice ?team driven participation decision-making approach
employed in the ICT environment to boost the confidence levels of women in ICT.
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Besides Literature sources acknowledge the importance of decision-making as a skill
that entrepreneurs ought to have, since ?accurate and timely decisions? were crucial
for the success and survival of small enterprises, including ?competency in
recognising, evaluating, and responding to potential possibilities? (Leske 2010:370).
iii) Occupational differences:
The findings suggested a notable over-representation of women in non-professional
ICT occupations and stereotypes held about women‘s ability to run an ICT enterprise
undermined. This affirming opinions voiced by women entrepreneurs concerning
them not being recognised in the industry as equals to men. The following statement
suggests this finding is based against the background of women affirming gender
divides in regard to equal treatment regardless of women being in management
positions.
“We are equal to men. We are running our business on the same level
that men do”
iv) Inequalities in the workplace:
The findings revealed inequalities between women and men in terms of
accessing tender opportunities associated with the perception that the ?BEE
score card point system? was not effective as women were denied an
entitlement that was designed for them to gain competitive advantage over
men. The findings also revealed women entrepreneurs were experiencing low
motivation levels as a result and consequently developing apathy. This form of
economic marginalisation manifested in discrimination linked to corruption
claims of detected irregularities in government‘s procumbent processes
articulated above. Economic marginalisation was also linked to women‘s
disapproval of stereotype perceptions questioning their ability as seasoned
entrepreneurs. The following statement, on the backdrop of men perceived as
being better employees than women, supports this finding.
“Women, you know, are not given the credit they deserve…they are
better employers. I go around…ask how black males are paying and
found I pay better and look after my employees. I suppose that is why
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my business is successful. But I am still questioned [success]…like there
is a man behind me”.
Inequalities in earnings and maternal obligations (Paludi 2010:209-212) were
linked as factors influencing women‘s inability to secure financial assistant
linked to financial history and collateral surety discussed above. The above
forms of discrimination bear evidence of embedded economic structural issues
that continue to impact negatively on women-driven entrepreneurship and how
difficult it will be to eradicate them.
v) Gender based sexual harassment;:
Gender-based sexual harassment (sexual innuendos) emerged as a common
theme in women-driven entrepreneurship, since women did not usually have
bargaining power. This finding correlated to literature reviewed in this study.
Sexual innuendos were linked to networking platforms where women were
marginalised from by men and this was associated with the void in women‘s
organisation as a collective to advocate against corruption. Interesting to note,
women in this regard were not taking action in terms of reporting this behaviour.
This may be tracked back in history to social upbringing where women are
treated as sex symbols and therefore subservient to men‘s behaviour carried
into the corporate environment. This can be construed as a compromise of
women entrepreneurs‘ dignity and a violation of their rights. This finding can be
linked to the following statement.
“If you are a female sexual favours can be expected. Another problem
although I have not personally experienced this is that men ask for sexual
favours from women, as you will find in government it is mostly men that
we deal with especially in the ICT sector. There is an expectation from
men for women to give themselves to men in order to get work. I have
heard of instances where people got contracts because of that. This I
think is a big disadvantage for women because if you are not prepared to
go that route then the chances of you getting the work are limited”.
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The following statement drawn from a study conducted on ?women, business
and human right? (2014:6) revealing discrimination levelling against women,
attests to the above.
“The prevalence of sex discrimination is an indicator that women?s
human rights continue to be regularly undermined whether it is equal
access to business and leadership opportunities or the extent to which
the practices of businesses at various points in the value chain have an
impact on female workers and women in surrounding communities”.
vi) Stereotyping; and socio-cultural role expectation:
The findings show that gender stereotypes enforced through language such
as, ?men‘s world‘ and ?boy‘s club‘ used within the ICT sector continue to
undermine women‘s contribution in the mainstream economy of the sector.
This language discourages other women entrepreneurs aspiring to join the
sector and thus defeating the political agenda of growing women-owned
businesses to balance the gender divide.
Despite the political agenda veering for increased absorption of women
entrepreneurs into the ICT sector, there are no provisions in ICT policy
passages supporting such. This however, is characteristic of developing
economies worldwide where policies do not encompass gender sensitive
strategies to ensure high uptake levels of women-driven entrepreneurship in the
SMME segment, especially in light of postulations considering SMMEs as
having potential to create the much needed jobs wanted by government (NDP
2013). In this regard, findings reveal anticipations suggesting it may be unlikely
for women entrepreneurs to create these jobs based on the high unemployment
rate, low education and skill attainment levels linked to the assertion that highly
qualified professional may contribute to unemployment figures in the SMME
segment. These findings are supported by the following statements.
Pertaining to education attainment and skill acquisition:
“You have to train employees to use the technology. For me coming into
the ICT environment…understanding the link between my computer and
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the shared network was just completely new. So I had to undergo
training…sometimes you get service providers that give you the tools that
you need but you do not get the right training for you to be able to utilise
them [ICT] to their fullest potential.”
Pertaining to employment:
“Another challenge is not having skilled people…like you [SMME] cannot
afford to hire highly skilled people for example, qualified
engineers…ha![short laugh] where would you get the money to pay
them…you just do not have that kind of money! not when you don?t even
know where you are going to get seed money to grow the business.”
6.2.1.2 Acknowledging information gap
This category was identified in relation to business information concerning:
i) Tenders not advertised. Findings suggest the lack of transparency in
government‘s procurement processes where information on available tender
opportunities were withheld to benefit preferred suppliers. This resulting in the
economic marginalisation of women entrepreneurs who although on
government‘s preferred supplier list, were denied the opportunity to tender for
work. Another finding was the claim that tender information was not obtainable
from some websites of private companies.
ii) Limited information about available SMME support interventions (structured and
unstructured). The findings revealed a majority of women entrepreneurs did not
know where to look for information concerning financial assistance as financial
institutions had turned them down on the grounds of not having a good credit
record and collateral. The following statement supports this finding:
“You know, as a person coming straight from varsity…still owing on study
loans, it is difficult to get a loan. You do not even have a salary. You
cannot be given funding because you do not have a financial record to
secure funding from the bank.”
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The inequality gap correlates with affirmations that women were far
inexperienced than men in the ICT field. The following statement supports this
finding:
“I think another problem for SMMEs to a degree concerns funding. They
are not trusted until they have proven themselves. But how can they prove
themselves if they do not get the support right from the beginning?”
This statement also correlates to the researcher‘s personal experience where
banks, before granting the loan go through a vetting (on paper) process which
involves evaluating the business plan to ascertain whether the enterprise is
financially viable, has accounting, management and marketing systems in
place including surety. The question of access to finance has been well
documented in entrepreneurship literature. Survey results attest to the high
discontinuity rate of start-up enterprises which are the most affected. In a
recent study (GEM 2013), findings reveal high discontinuity of start-up
businesses in South Africa compared to counterparts (Ghana, Zambia).
The findings discovered women entrepreneurs had developed a lack in initiative
to follow up on available sources of information. This finding was linked to an
affirmation that they did not know what kind of information to look for as they did
not know what was being offered by both government and the private sector. In
this regard, findings revealed a gap between urban, semi-urban rural
communities in terms of an information gap.
iii) Limited understanding of market related information: The findings revealed
women entrepreneurs did not know other women-owned ICT enterprises in the
local market and lacked an understanding of the ICT sector in terms of roles
players and regulatory framework.
6.2.1.3 Lacking access to resources
This category was identified in relation to barriers confronted by women
entrepreneurs in accessing funding concerning the following:
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i) Experiencing difficulty in accessing funding for operating capital: Findings
revealed inequities in accessing funding due to restrictive loan application
qualifying criteria that was associated with poor credit rating and the
unavailability of collateral surety, this affected by one‘s employment record.
Women were disadvantaged over men who had been in employment longer
(more experience than women) and earning higher than women, although
having the same qualifications. This indicated gender disparity in earnings
which was a common factor in the workplace across countries worldwide (Acker
1992:250; StatsSA 2011). Concerning the ICT sector in Africa women earn less
than men in terms of average income figures from a survey conducted by
Research ICT Africa (2012) across 12 African countries.
ii) Lacking financial skills. Findings were that men had better financial
management skills than women.
“Women lack knowledge and education on how to run a business. For
some start-up businesses it is not easy as they are not familiar with
business operations such as, financial management.”
Findings also revealed that start-up entrepreneurs were likely to mismanage
finances due to lacking financial skills. The following statement suggested this
finding:
“A number of SMME?s struggle to stay afloat as they have either misused
money or cannot account for any of their income and in the process do not
make any profit.”
Either way, the consequences of not having financial skills, may drive
enterprises out of business. Findings also revealed that most women
entrepreneurs had to raise money from their own coffers to cover equipment
costs, telecommunications infrastructure set up costs, maintenance costs,
licensing fees, upgrading software and hardware costs. Consequences to this
were cash flow problems impacting on staff salaries, marketing and training
budget.
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iii) Inequalities in accessing funding. The findings were linked to instances of
irregular adjudication processes which were not transparent enough hence the
economic marginalisation of women on the basis of not having inside
connections with officials disbursing grants. This was common where non-
governmental enterprises depended on government grants. The following
statement suggested this.
„To get funding SMMEs must know someone from inside or belong to a
„certain network group?
This finding corresponds to statements supporting corruption claims that women
entrepreneurs had to pay a percentage of the tender awarded as a trade-off.
These officials can be referred to as Ono 10% (fee charged on total amount of
tender awarded). The ?Ono‘ (plural) is a Xhosa translation referring to more
than one individual (officials extorting bribes from entrepreneurs). As attested
elsewhere in the literature review, corruption is viewed by some SMMEs as a
way of doing business and therefore one has the option to either join the
bandwagon (corruption) or ship out of business. These findings can be
summed up as an indication of loose internal intelligence systems on the side of
government.
Corruption in the context of women-driven entrepreneurship defeats the utopian
views anticipating women‘s meaningful contribution in the mainstream economy
of the ICT sector in the Eastern Cape Province in terms of job growth and
creation. The Easter Cape Women in ICT Awards mentioned in this study is
evidence of government‘s efforts in recognising women‘s role in the ICT sector.
One of the aims of this event is to counter the digital gender divide in the sector
through role modelling.
6.2.1.4 Disaggregated data
The unavailability of disaggregated statistics to demonstrate inequalities between
men‘s and women‘s access to ICT is a common finding across developing countries
worldwide (Research ICT Africa 2012).
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In sum, theoretical sampling, prompted the researcher to get a thorough
understanding of thought processes underpinning women-driven entrepreneurship in
the context of socio-cultural, economic and political structural barriers embedded in
historical post-apartheid regime. These findings suggest a call for an activists
approach in raising awareness on women issues and concerns which although not
unique to other sectors, are unique viewed in the context of a sector perceived to be
difficult for both men and women to enterprise in based on the structural dynamics
articulated in the literature review. This compounded by the absence of a regulatory
framework. Although (at the time of writing) the ICT sector of Eastern Cape Province
had an ICT Strategy, the strategy did not cater for women entrepreneurs but was
gender sensitively biased to women in government. This gap defeats the realisation
of women‘s potential role in contributing to ICT driven-entrepreneurship especially in
rural areas where the gender divide is huge.
From a programme design and implantation point of view, a thorough review is
needed of ICT policy and ICT development programmes promoting women-driven
entrepreneurship. Based on the findings emerging from the constant comparison of
empirical statements and document analysis, very little was being done to empower
women in this provincial sector. From the perspective of women entrepreneurs,
policy makers and programme developers need to design specific interventions for
these women.
6.2.2 Responding to gender-based discrimination
This category subsumed the majority of categorical data. The analysis of statements
revealed that women were ready to take assertive action in changing their situation in
terms of meaningful engagement with technology for economic gain. The
suggestions about what government and the private sector should be doing were
clear messages that women entrepreneurs were very aware about the level of
gender mainstreaming in entrepreneurship needed. It was also interesting to note
from the findings that women were aware of the kind of changes expected of
government and the private sector to bridge the gender digital divide some of which
were short-to-medium and long term.
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Despite strong evidence about the importance of the inclusion of women
entrepreneurs in the ICT sector, a gender gap still persists in the Eastern Cape
Province. Women remain underrepresented in the sector, particularly in technically
orientated and decision-making positions. Women‘s active participation in the ICT
sector is essential for the long-term growth and economic sustainability of the
Eastern Cape Province. What remains worrisome, however, emanates from the lack
of women entrepreneurs‘ understanding of the ICT sector which, affirmed from
findings, is impacting on the productivity and innovative output levels and
consequently causing the slow growth of women-owned enterprises in this sector
which. The lack of disaggregated data also compounds the problem. The availability
of disaggregated statistics and indicators are imperative in evaluating performance,
would encourage the rapid growth of women-owned enterprises including the
success stories of other women-driven entrepreneurial activities would accelerate
women‘s desire to enter the sector.
6.2.2.1 Acknowledging information gap
This category subsumed the majority of subcategories providing an expanded holistic
understanding of the reasons causing the information gap and women‘s intent to
advocate for change.
Based on the following background, women entrepreneurs are assertively intending
to advocate for an enabling environment (gender mainstreaming
policies/programmes) facilitated through government and private sector intervention.
Findings revealed the information gap was a result of information being inaccessible
from government offices especially at regional level. Affordability (telephone costs)
was a common theme identified as a barrier for women in accessing ICT services
and infrastructure and this was interpreted as a form of discrimination. This implied
to the ?slow‘ changes made by government in terms of addressing gender inequities
in rural entrepreneurship which according to the findings, was non-existing due to
inherent structural barriers perceived to be widening the gender digital divide attested
in the literature review. Findings also reveal that ICT training was a serious
limitation. This linked to low education (science and technology) attainment levels
and technical skills acquisition which were a consequence of historical structural
barriers influencing the digital gap. Another finding that was identified concerned the
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need for government and private sector to support women entrepreneurs in terms of
up-skilling them (interventions targeting women specifically) in ICT skills; providing
information sharing workshops and road shows; and funding business-to-business
(B2B) networking events. This included the upgrading of infrastructure (access to
telecommunications and electricity) in rural areas where telecentres could be
established. Government was also expected to provide rental subsidies for office
space and to provide support for the establishment of ICT hubs to nurture innovation
levels through mentorship programmes.
Regarding marketing, the findings revealed women were lacking marketing skills and
market intelligence support (trading platforms) facilitated through government
outbound missions. These factors were linked back to economic structural barriers
linked to women‘s marginalisation from networking platforms. This correlated to
literature review affirming women‘s marginalisation from such platforms which were
considered an important source for information sharing especially for start-up
business. Another suggestion related to curbing irregular business deals in terms of
government monitoring and evaluating joint venture projects as women were taken
advantage of by established enterprises concerning unequal remuneration although
the scope of work done was equal to that done by established enterprises.
Concerning specific interventions aimed at promoting women-driven
entrepreneurship, suggestions were that private companies should afford women
offering ICT training, an opportunity to train their employees. This included an
expectation that private companies‘ develop mentorship programmes specifically
targeting women-owned ICT enterprises. Although there was an acknowledgement
regarding action taken by government in terms of the ICT BEE scoring card, which
gives women additional points over men to enable them to compete favourably, the
findings revealed women entrepreneurs were not benefiting from the scoring point
system. Women entrepreneurs interpreted this as discrimination levelled against
them as they had an entitlement to such but were denied tender opportunities due to
irregular tender adjudication procedures that were perpetuating corruption.
In conclusion, these findings, viewed through a cyberfeminism lens, suggested
women entrepreneurs were acutely aware of how gender insensitive the sector was
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and the need for assertive action to change the situation although not knowing how
to go about with it.
The barriers and constraints identified from the findings are similarly observed from
well researched studies that have paid particular attention to research, on the status
of women in ICT in developing countries in Africa, South Africa and in particular in the
Eastern Cape Province conducted by Adomi (2011), Buskens & Webb (2009),
Chisango and Lesame (2014), Lesame and Seti (2014), Elnaggar (2007), Heeks
(2010), Hafkin (2002), Hafkin and Heyer (2006), James et al. (2006), Kelley (2013),
Lesame (2008), Maier and Nair-Reichert (2007), Obayelu and Ogunlade (2006) who
identified the following aspects that were congruent to the findings of this study: i)
The economic marginalisation of women entrepreneurs in the ICT sector; ii) The
underrepresentation of women entrepreneurs in core ICT positions; iii) Insecurities
held by women induced by gender stereotypes; iv) Lack of access to ICT
infrastructure – physical access; v) Lack of local ICT content; vi) Gender
empowerment lacking; vii) The focus on professional development rather than
entrepreneurial development in ICT; viii) Lack of attention to rural areas where
economic activity could be resuscitated by SMMEs; ix) Low levels of innovation; x)
Lack of awareness on policy advocacy; xi) Women lacking networking skills; xii) ICT
usage – dominantly confined to application rather than for economic gain; xiii)
Women subjected to sexual harassment; and xi) The lack of women role models in
the ICT sector.
The researcher‘s interpretations of the findings were confirmed through member
checks with participants (Strauss & Corbin 1998:157; 2008:115). The researcher
conducted that research process via email to communicate a summary of findings to
the participants, since it was practically too difficult and time consuming to schedule
member checking meetings to confirm the research findings. According to the
participants, the findings were a true reflection of the prevailing state of affairs in
respect to women-driven entrepreneurship characterised by gender-based
discrimination and them responding to gender-based discrimination.
The researcher‘s interpretation of the findings confirmed the answers to the research
questions seeking to understand how women entrepreneurs: i) conceptualised
entrepreneurship and ICT as a technology and sector; ii) why the ICT sector is
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regarded as a critical enabler in advancing women driven entrepreneurship; iv) in
what ways ICT was employed as an offering to gain financial gain; and v) their
understanding of the role played by both government and the private sector in
promoting SMME women driven entrepreneurship within the sector of the province.
6.3 STUDY RECOMMENDATIONS
Based on the in-depth insights that emanated from the interviews, several
recommendations are proposed.
6.3.1 Addressing economic stumbling blocks
A stakeholders‘ forum needs to be established as a platform for dealing with
strategies that enable women entrepreneurs in the ICT sector to access financial
support. Collaboratively, the business community, investment community,
government agencies responsible for the support of small businesses, and policy
makers of the ICT Sector Code for BEE (scorecard) have to be active contributors at
such a platform. This is one of the issues women entrepreneurs identify as a critical
success factor for their sustainability in the sector.
6.3.2 Government enforcing sunset clauses
Government needs to enforce sunset clauses in their procurement policies that
specifically apply to women entrepreneurs in the ICT sector of the Eastern Cape
Province in order to address the unique challenges in this sector.
6.3.3 Start-up funding
A special start-up fund needs to be provided by existing agencies for women in the
ICT sector. This aspect can be a short to medium intervention whilst strategies are
developed for long-term interventions (Section 7.3.1).
6.3.4 Capacity building and training
Women ICT enterprise owners lack knowledge about the ICT sector, including
business and management skills. Training interventions (based on a skills audit)
need to be designed. Having a leadership programme for entrepreneurs would
effectively address continued learning, since short-term interventions do not factor in
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progress evaluation over a longer period. One of the participants suggested that up-
skilling should be extended over a long period because entrepreneurs (especially
one-man driven enterprises) could not afford to leave their business for a protracted
period of time. This disconnect could contribute to low levels of attendance. Other
participants suggested mentorship programmes to create a level of comfort that there
would be a person holding their hand and guiding them to develop core skills that an
ICT entrepreneur required. Addressing the aspect of capacity building would assist
with increasing the representation of women in core technical environments.
6.3.5 Government and private sector collaboration
Collaboration in the form of having leadership institutions with the mandate of
facilitating the convergence of ICT organisations with mutual interests, including
academia that deal with female orientated entrepreneurship and innovation. Such
leadership institutions would raise the awareness of different women issues and
needs. This would assist with addressing gender sensitivity in entrepreneurship.
6.3.6 Raising the visibility of women entrepreneurs in the ICT sector of the
Eastern Cape Province
This is an important aspect as there is great potential to have many women joining
the sector by learning from successful case studies. This would be an open
opportunity for government and the private sector to include networking platforms
into their social responsibility projects. Such a project would include a database of
successful women from the Eastern Cape Province with the view of hosting host ICT
workshops for a network of women entrepreneurs in the sector. Such a project
would support a process for successful women to formally mentor emerging ICT
enterprises. The findings did state that when women entrepreneurs are faced with
difficulties, they are inclined to close business and return to full employment. The
literature review attests to the fact that motivation plays an important role in
entrepreneurship.
6.3.7 Establishing a business networking forum for women in ICT
This platform could be used by government and the private sector to disseminate
information about business opportunities for women in the ICT sector and to get
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feedback in the form of business surveys to improve their programmes. One of the
participants claimed surveys that interrogated the main motivating factors of an ICT
enterprise would benefit women entrepreneurs who aspired to join the sector by
highlighting lessons about successes and challenges. This statement emphasised
that existing surveys were too superficial to really discover the state of women-driven
entrepreneurship in the sector.
6.3.8 Academia encouraging (funding) research studies
Academia should focus on women-driven entrepreneurship and government should
commission research that specifically takes care of the circumstances of women
entrepreneurs in the ICT sector of the Eastern Cape Province. This would increase
the number of women in the Eastern Cape Province with the potential to create
business consulting opportunities in the field of research.
6.3.9 Government improving its payment turn-around time
On paper, the turn-around time for payment is 30 days. However, in principle
payment is often done after the stipulated 30-day period. If government enforces
strict measures in its procurement processes and procedures, the payment period
could be reduced to less than 30 days.
6.3.10 Private sector and academia (career search campaigns) should target
women in rural areas
Learnership programmes (rural out-reach programmes) in ICT could be offered.
These programmes would include internships memorandums of understanding
(MOUs) between private companies and academia to arrange the allocation of
students to ICT enterprises.
6.3.11 Ethics workshops for all government employees in the supply chain
environment
These workshops need to be conducted in order to eradicate corrupt behaviour by
officials. B-BBEE workshops would also assist them to understanding the value that
SMMEs add to the marketplace. Participants were very vocal about government
officials who did not understand the value that these ICT enterprises were adding.
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6.3.12 Partnerships with academic institutions
Academic entities could design programmes for women entrepreneurs in ICT. The
EC ICT Strategy cites the intent do establish an academy, however, at the time of
submitting this thesis, no evidence was available that suggested measures to
establish such an institution.
6.3.13 Private sector providing opportunities that promote diversity in their
supply chain systems
Accredited ICT training providers should be given an opportunity by private
companies to train their staff.
6.3.14 Private sector to conduct market research
Research in the ICT sector of the Eastern Cape should build a business case for
interventions that target women.
6.3.15 The development of a comprehensive Eastern Cape ICT directory
Such a directory would enable ICT enterprises to access finance and opportunities,
such as organisations that support women-owned ICT enterprises.
6.3.16 Government and the private sector joining hands
Together, the public and private sectors should design strategies to reach the women
entrepreneurial market in rural areas and to identify support programme mechanisms
in areas where there are many women entrepreneurs.
6.4 CONTRIBUTION OF THE STUDY TO THE FIELD OF COMMUNICATION
SCIENCE
It is the researcher‘s hope that this research makes a contribution that is appreciated
by government, the private sector, the ICT research community, and the women
entrepreneurs in the ICT sector. These stakeholders stand to benefit from this
research study in terms of gaining a deeper understanding of the status quo of
women-driven entrepreneurship in the ICT sector of the Eastern Cape Province.
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The findings, the researcher envisages, might inform the improvement of the ICT
sector in the Eastern Cape in terms of policy guidelines, effective programme
implementation, and the research community to become more interested in women-
driven entrepreneurship to encourage increased participation by women
entrepreneurs in the sector.
Findings from this study may be used by government policy makers to adapt their
initiatives and programmes by assessing the status quo. The focus should be
providing education and training programmes to women entrepreneurs that go
beyond business start-ups. Those training programmes need to include growth and
targeted initiatives with the purpose of providing women entrepreneurs with equal
access and opportunity – as for their male counterparts – to the mainstream
economy of the Eastern Cape ICT sector.
Disaggregated sex statistics should include the gender of those entrepreneurs who
start and run ICT enterprises, the variety of industries in which women entrepreneurs
participate, and the contribution of women-owned ICT enterprises to job creation.
These statistics would assist with focusing attention on women-driven
entrepreneurship. Then, researchers could hone in on specific areas of the ICT
industries to investigate issues of concern in relation to women entrepreneurs. This
would broaden the availability of reliable literature specific to the Eastern Cape
Province.
The findings suggest the research can be generalised to other women entrepreneurs
in the other provinces of South Africa, since gender-based discrimination appears to
be a common phenomenon influencing women-driven entrepreneurship.
6.5 CONCLUSIONS
The rationale for prioritising SMME women is premised on their potential ability to
contribute to the alleviation of the socio-economic challenges, especially in rural
areas, facing most developing economies; such as unemployment, poverty, and low
levels of economic development.
From a South African perspective, SMME development is viewed as an appropriate
strategy that could assist government with its endeavours of bridging the gap that
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exists between the formal and informal sectors of the economy (first and second
economy). Since the Eastern Cape Province has a large informal economy, it is not
immune to the divide between the formal and informal sectors. To date, the Small
Enterprise Development Agency (SEDA) of government has utilised various
approaches to facilitate the entry, development, and integration of small enterprises
into the mainstream economy of other sectors but has not been successful in the ICT
sector as the perceived impact seems to be minimal. The SMME women
entrepreneurs interviewed in this study confirmed this perception.
The empirical findings suggest there are fundamental structural issues that need to
be addressed in order to unlock the economic blockages that obstruct women-driven
entrepreneurship in the ICT sector. The researcher confirms that findings are an
authentic reflection of what is happening in reality. Although the Eastern Cape ICT
Strategy provides for a governmental programme of action to support women
entrepreneurs in the ICT sector, very little is done to assist SMME women
entrepreneurs who remain economically marginalised on the basis of gender.
Surprisingly, albeit women entrepreneurs face challenges, these women appear to
have the vigour to survive. This is demonstrable in the assertive action that women
take in advocating for change in the public and private sectors to provide proper
support to women-driven entrepreneurship. Constant comparison augments the
process of confirming and validating the findings. The promotion of women-driven
entrepreneurship can only be successful when government and the private sector
embark upon joint partnerships.
251
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APPENDIX A: CONSENT FORM
TITLE: Women-driven entrepreneurship in the information and communication
technology sector: A grounded analysis of small, micro, and medium
enterprises of the Eastern Cape Province
Date ......../........./.........
Dear prospective research participant.
1. INTRODUCTION
You are invited to participate in this research study undertaken for a Doctoral Study
at the University of South Africa (UNISA).
Before you agree to take part in this study, you should fully understand what is
involved.
If you have any questions that are not fully explained in this leaflet do not hesitate to
ask the researcher.
If you agree to volunteer to participate, you will be asked to sign the consent letter.
2. THE NATURE AND PURPOSE OF THIS STUDY
The aim of this research study is to provide a grounded analysis of women-driven
entrepreneurship in the Small, Micro, and Medium Enterprises (SMMEs) segment of
the information communication technology (ICT) sector of the Eastern Cape
Province. You have specifically been selected for participation in this research study
based on your experience as an entrepreneur currently enterprising in this sector.
3. EXPLANATION OF PROCEDURES TO BE FOLLOWED
A theme of questions will be asked by the researcher and the interview will last for
approximately 30 to 45 minutes. Please be advised the researcher will be recording
the interview. Although the researcher will be taking some notes during the session,
it may not be possible to write fast enough to record everything. Because the
interview is recorded, please be sure to speak up so that we don‘t miss your
comments.
288
4. RISK AND DISCOMFORT INVOLVED
The research will not involve any physical, emotional, and psychological discomfort.
5. POSSIBLE BENEFITS OF THIS STUDY
Participation in this study will give you the opportunity to share your experiences that
will contribute to improvements in the implementation of policies aimed at promoting
women-driven entrepreneurship within the ICT sector of this province.
I understand that if I do not want to participate in this study, it will not be held against
me.
I may at any time withdraw from this study.
6. ETHICAL APPROVAL
The study adheres to the guidelines of the ethical committee of The University of
South Africa (UNISA). You are free to discuss your participation in this study with the
researcher contactable on [email protected]. If you would like to speak to a
representative of the university, you may contact Dr N. C. Lesame in the Department
of Communication Science via email: [email protected].
7. INFORMATION
I have read the information contained in the consent form and any questions I have
asked have been answered to my satisfaction and any further questions will be
addressed to:
Name of candidate: Miss Naledi Sekeleni
Contact details of researcher: email:[email protected]
8. CONFIDENTIALITY
All records obtained during this study will be regarded as confidential. Results will be
published or presented in such a fashion that you remain unidentifiable.
289
Feedback
If you would like to be invited to a meeting where the findings will be presented or if
you are interested in obtaining a summary of the findings, please write your e-mail
address below or indicate how you would like to be contacted to receive a summary.
9. CONSENT TO PARTICIPATE IN THIS STUDY
I hereby wish to take part in this study.
I have received a signed copy of this informed consent agreement.
............................................................... ……………………………………
Person obtaining informed consent Date
(Full name)
............................................................. …………………………………….
Researcher: Date
(Full name)
290
APPENDIX B: REQUEST TO THE ORGANISATION TO ACCESS DATABASE
8 Mgwali Crescent
Sunnyridge
East London
5201
5 December 2012
Dear Mr Louw
REQUEST: ICT SMME DATABASE
Could you kindly assist me with regard to the following matter?
I am conducting research in fulfilment of my PhD studies at UNISA (approval by the
ethics review committee is attached) and my sample is CIPRO registered SMMEs ()
trading in the ICT (Information, Communication, Technology) sector of the Eastern
Cape Province. I am specifically researching women-owned companies.
However, I‘m currently struggling to find ICT companies let alone women-owned
based on the following:
? A majority is not listed in the telephone directory, i.e. yellow pages;
? A majority is not listed in the register of business chambers / associations /
ISETT-SETA; and
? A majority work from home, therefore, they are not easily identifiable.
I had placed advertisements in local newspapers in the past two months but it was a
fruitless exercise, hence I am appealing for your assistance to kindly assist in
providing me with a database of SMME companies trading in the ICT sector. All I
need from you would be the contact details of the company and I will contact the
company to identify whether the company is women-owned or not.
291
I do realise that you may not have a segregated database which would categorise
companies according to either gender, ICT ventures but I am convinced that these
companies might be identified by a commodity type index / code search.
Your assistance in this regard would be highly appreciated and I confirm that this
information is going to be used solely for purposes of facilitating my studies and
would not be divulged to any persons.
Regards
Naledi Sekeleni
PhD Candidate
University of South Africa (UNISA)
Tel: 078 302 2959
Fax: 086 510 9563
Email: [email protected]
292
APPENDIX C: INVITATION: PARTICIPATION IN RESEARCH STUDY
8 Mgwali Crescent
Sunnyridge
East London
5201
20 August 2013
The Executive Manager
East London IDZ, Zone 1C
eMonti Science and Technology Park, Block B
Off Lower Chester Road
Dear Ms Patricia Dlamini
REQUEST: PARTICIPATION IN RESEARCH STUDY
You are invited to participate as a businesswoman in the ICT sector in this research
study undertaken for a doctoral study at the University of South Africa (UNISA) by
Naledi Sekeleni in the Department of Communication Sciences under the supervision
of Dr N. C. Lesame who is contactable via email: [email protected].
The study adheres to the guidelines of the ethical committee of the University of
South Africa (UNISA).
The aim of this research study is to provide a grounded analysis of women-driven
entrepreneurship in the Small, Micro, and Medium Enterprises (SMMEs) segment of
the information communication technology (ICT) sector of the Eastern Cape
Province.
You have specifically been selected for participation in this research study based on
your experience and involvement in the ICT sector of the province. Your invaluable
input will contribute towards the objectives of the study that seek to introduce
293
improvements in the implementation of policies aimed at promoting women-driven
entrepreneurship in the ICT sector of this province.
A theme of questions will be asked and the interview will last approximately 30 to 45
minutes.
All records obtained whilst in this study will be treated confidentially. Results will be
published or presented in such a fashion that you remain unidentifiable.
I, therefore, seek permission to arrange an appointment through your secretary at a
suitable time for us to conduct the interview.
Regards
Naledi Sekeleni
PhD Candidate (07383312)
University of South Africa (UNISA)
Tel: 078 302 2959
Fax: 086 510 9563
Email: [email protected]
294
APPENDIX D: EMAIL APPROVAL FROM MICTSETA TO USE ITS
GRAPHICAL USER INTERFACE (GUI) INFORMATION
Naledi Sekeleni <[email protected]>
Request for information
Sekgana Makhoba <[email protected]> Tue, May 13, 2014 at
12:08 PM
To: Naledi Sekeleni <[email protected]>
Cc: Oupa Mopaki <[email protected]>, Tia Maloka
<[email protected]>
Good Morning Naledi
Thank you for your request.
I hereby grant the permission to use the information from the MICTSETA Sector
Skills Plan 2013-2018 as per your request below.
Please make sure that the source is properly referenced.
Regards
295
APPENDIX E: INTERVIEW GUIDE FOR INDIVIDUAL INTERVIEWS
Date of interview: …/…./….
INTERVIEW GUIDE FOR INDIVIDUAL INTERVIEWS
PART I: CLOSED-ENDED QUESTIONS
SECTION A: DEMOGRAPHIC INFORMATION – PERSONAL DETAILS OF
WOMAN ENTREPRENEUR
Please provide me with the following information by selecting the correct answer and
indicating it with a tick (?) in the applicable box.
FOR OFFICIAL USE / RECORD NUMBER
Participant number (e.g. 1, 2, 3): …………………………….
Question 1
Please indicate
your age group.
Question 2
What is your race
group?
Question 3
What is
your
highest
educational qualification
in ICT?
SECTION B: ICT ENTERPRISE RELATED INFORMATION (ICT Enterprise
Development and Operations)
1
25 - 35 36 - 45 46 - 55 +55
2-5
6-9
Black White Asian Coloured
Grade 12 Certificate
course
Diploma Bachelors Degree MA Degree
10-14
296
Question 4
What is your role in
the ICT enterprise?
Question 5
What type of
ICT enterprise is
your business?
Question 6
What
industry
type is your
ICT
Enterprise?
Question 7
What ICT product(s) or service(s) are offered by the enterprise?
Question 8
What is the ICT
enterprise‘s market
segment, e.g. where are your clients located?
Question 9
How many years has the ICT
enterprise been in business?
Question 10
What SMME
category
does the
enterprise fall
under?
15-17
Sole owner Part owner Manager in charge
Sole Proprietor Closed
Corporation
Cooperation Cooperative
18-21
Manufacturing Production Services Retail Importer Exporter
22-27
28
Local National Regional International
29-32
1-5 6-10 11 -20 + 20
33-36
Micro
e.g. 1-5
employees
Very small
e.g. 5-10
employees
Small
e.g. 10-100
employees
Medium
e.g. +100
employees
37-40
297
Question 11
How many people are
employed by the ICT
enterprise?
Question 12
What is the
ICT education
level of
employees in the enterprise?
Question 13
What is the total annual
turnover (in millions) of the ICT
enterprise?
PART II: OPEN-ENDED QUESTIONS
SECTION C: BUSINESS KNOWLEDGE INFORMATION
Question 14
In your own understanding, how would you define the term entrepreneurship? Please
elaborate.
……………………………………………………………………………………………………
…………………………………………………………………………………………………..
Question 15
What problems, in your view, are encountered most by SMMEs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
What, in your, opinion are the challenges faced by women entrepreneurs? Please
1-5 6-10 11 -100 + 100
41-44
45-49
Grade 12 Certificate
Course
Diploma Bachelors Degree MA Degree
0-1 2-5 6-10 + 10
50-53
298
elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 17
What is your understanding of the term ICT? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 18
In your view, what is the role of ICTs in business? Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 19
What problems do SMMEs have with ICTs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 20
In your own words, can you please describe your understanding of the ICT sector,
e.g. how the sector is structured, applicable legislation, and policy? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 21
How are women stimulating entrepreneurship in the ICT sector? Please elaborate.
299
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 22
Describe ways in which SMME women entrepreneurs use ICTs as a core product or
service of the ICT enterprise. Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 23
Describe the enterprise‘s value chain of business processes, e.g. that relate directly
to the delivery of the enterprise‘s core products or service. Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 24
How often does the enterprise introduce new products or services and what informs
the decision to do so? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION D: ROLE OF GOVERNMENT IN SMME DEVELOPMENT
Question 25
What is government currently doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 26
300
What more should government do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION E: ROLE OF PRIVATE SECTOR IN SMME DEVELOPMENT
Question 27
What is private sector doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 28
What more should the private sector do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
The end
Thank you for time.
301
APPENDIX F: INTERVIEW GUIDE FOR PRIVATE SECTOR EXPERT
Date of interview: …/…./….
INTERVIEW GUIDE FOR PRIVATE SECTOR EXPERT
PART I: CLOSED-ENDED QUESTIONS
SECTION A: DEMOGRAPHIC INFORMATION – PERSONAL DETAILS OF
WOMAN ENTREPRENEUR
Please provide me with the following information by selecting the correct answer and
indicating it with a tick (?) in the applicable box.
FOR OFFICIAL USE /
RECORD NUMBER
Participant number (e.g. 1, 2, 3): …………………………….
Question 1
Please state your age.
Question 2
What is your race group?
Question 3
What is
your
highest
educational qualification in ICT?
1
25 - 35 36 - 45 46 - 55 +55
2-5
6-9
Black White Indian Coloured
Grade 12 Certificate
course
Diploma Bachelors
Degree
MA Degree
10-14
302
SECTION B: ICT ENTERPRISE RELATED INFORMATION (ICT Enterprise
Development and Operations)
Question 4
What is your role in
the ICT enterprise?
Question 5
What type of
ICT
enterprise is your business?
Question 6
What
industry
type is your ICT Enterprise?
Question 7
What ICT product(s) or service(s) are offered by the enterprise?
……………………………………………………..
Question 8
What is the ICT enterprise‘s
market segment, e.g. where
your clients are located?
Question 9
How many years has the ICT
enterprise been in business?
15-17
Sole owner Part owner Manager in charge
Sole Proprietor Closed corporation Cooperation Cooperative
18-21
Manufacturing Production Services Retail Importer Exporter
22-27
28
Local National Regional International
29-32
1-5 6-10 11 -20 + 20
33-36
303
Question 10
What SMME
category
does the
enterprise fall
under?
Question 11
How many people are
employed by the ICT
enterprise?
Question 12
What is the ICT
education level
of employees in
the enterprise?
Question 13
What is the total annual turnover
(in millions) of the ICT
enterprise?
PART II: OPEN-ENDED QUESTIONS
SECTION C: BUSINESS KNOWLEDGE INFORMATION
Question 14
In your own understanding, how would you define the term entrepreneurship? Please
elaborate.
……………………………………………………………………………………………………
…………………………………………………………………………………………………..
Micro
e.g. 1-5
employees
Very small
e.g. 5-10
employees
Small
e.g. 10-100
employees
Medium
e.g. +100
employees
37-40
1-5 6-10 11 -100 + 100
41-44
45-49
Grade 12 Certificate
Course
Diploma Bachelors
Degree
MA Degree
50-53
0-1 2-5 6-10 + 10
304
Question 15
What problems, in your view, are encountered most by SMMEs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 16
What, in your opinion, are the challenges faced by women entrepreneurs? Please
elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 17
What is your understanding of the term ICT? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 18
In your view, what is the role of ICTs in business? Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 19
What problems do SMMEs have with ICTs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
305
Question 20
In your own words, can you please describe your understanding of the ICT sector,
e.g. how the sector is structured, applicable legislation, and policy? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 21
How are women stimulating entrepreneurship in the ICT sector? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 22
Describe ways in which SMME women entrepreneurs use ICTs as a core product or
service of the ICT enterprise. Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 23
How do you regard the level of innovation in these ICT enterprises? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION D: ROLE OF GOVERNMENT IN SMME DEVELOPMENT
Question 25
What is government currently doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
306
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 26
What more should government do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 27
What is the private sector doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 28
What more should the private sector do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
The end
Thank you for time.
307
APPENDIX G: INTERVIEW GUIDE FOR GOVERNMENT SECTOR EXPERT
Date of interview: …/…./….
INTERVIEW GUIDE FOR GOVERNMENT SECTOR EXPERT
PART I: CLOSED-ENDED QUESTIONS
SECTION A: DEMOGRAPHIC INFORMATION – PERSONAL DETAILS
Please provide me with the following information by selecting the correct answer and
indicating it with a tick (?) in the applicable box.
FOR OFFICIAL USE /
RECORD NUMBER
Participant number (e.g. 1, 2, 3): …………………………….
Question 1
Please state your age:
Question 2
What is your race group?
Question 3
What is your
highest
educational
qualification in ICT?
SECTION B: ICT ENTERPRISE RELATED INFORMATION (ICT Enterprise
Development and Operations)
Question 4
1
25 - 35 36 - 45 46 - 55 +55
2-5
6-9
Black White Indian Coloured
Grade 12 Certificate
course
Diploma Bachelors
Degree
MA Degree
10-14
15-17
Sole owner Part owner Manager in charge
308
What is your role in the
organisation?
Question 5
What
department
do you work in?
Question 6
What
industry
type is your
department?
Question 7
What ICT product(s) or service(s) are offered by the enterprise?
……………………………………………………..
Question 8
What is the ICT enterprise‘s
market segment, e.g.
where your clients are located?
Question 9
How many years has the ICT
enterprise been in business?
Question 10
What SMME
category
does the
enterprise fall
under?
18-21
Manufacturing Production Services Retail Importer Exporter
22-27
28
Local National Regional International
29-32
1-5 6-10 11 -20 + 20
33-36
Micro
e.g. 1-5
employees
Very small
e.g. 5-10
employees
Small
e.g. 10-100
employees
Medium
e.g. +100
employees
37-40
309
Question 11
How many people
are employed by
the ICT enterprise?
Question 12
What is the
ICT education
level of
employees in the enterprise?
Question 13
What is the total
annual turnover (in
millions) of the ICT
enterprise?
PART II: OPEN-ENDED QUESTIONS
SECTION C: BUSINESS KNOWLEDGE INFORMATION
Question 14
In your own understanding, how would you define the term entrepreneurship? Please
elaborate.
……………………………………………………………………………………………………
…………………………………………………………………………………………………..
Question 15
What problems, in your view, are encountered most by SMMEs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
1-5 6-10 11 -100 + 100
41-44
45-49
Grade 12 Certificate
Course
Diploma Bachelors
Degree
MA Degree
0-1 2-5 6-10 + 10
50-53
310
Question 16
What, in your opinion, are the challenges faced by women as entrepreneurs? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 17
What is your understanding of the term ICT? Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 18
In your view, what is the role of ICTs in business? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 19
What problems do SMMEs have with ICTs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 20
In your own words, can you please describe your understanding of the ICT sector,
e.g. how the sector is structured, applicable legislation, and policy. Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 21
How are women stimulating entrepreneurship in the ICT sector? Please elaborate.
311
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 22
Describe ways in which SMME women entrepreneurs use ICTs as a core product or
service of the ICT enterprise. Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 23
How do you regard the level of innovation in these ICT enterprises? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION D: ROLE OF GOVERNMENT IN SMME DEVELOPMENT
Question 25
What is government currently doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 26
What more should government do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION E: ROLE OF THE PRIVATE SECTOR IN SMME DEVELOPMENT
Question 27
312
What is the private sector doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 28
What more should the private sector do? Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
The end
Thank you for time.
313
APPENDIX H: APPROVAL BY THE ETHICS REVIEW COMMITTEE OF THE
COLLEGE OF HUMAN SCIENCES AT THE UNIVERSITY OF
SOUTH AFRICA
College of Human Sciences
Department of Communication Studies
08 April 2014
Reference number: 2014_CHS_Student_CommSt_001
Proposed title: Women-driven entrepreneurship in the ICT sector in the Buffalo City
and Nelson Mandela metropolitan areas of the Eastern Cape Province: A Grounded Analysis
Principal investigator: Department of Communication Science
Approval status recommended by reviewers: Approved
The Ethics Review Committee of the College of Human Sciences at the University of South
Africa has reviewed the proposal and considers the methodological, technical and ethical
aspects of the proposal to be appropriate to the tasks proposed.
Ms Naledi Sekeleni is requested to maintain the confidentiality of all data collected from or
about research participants, and maintain security procedures for the protection of privacy.
The committee needs to be informed should any part of the research methodology as
outlined in the Ethics application (Ref. Nr.2014_CHS_Student_CommSt_001) change in any
way.
It is the responsibility of the principal investigator to ensure that the research project adheres
to the values and principles expressed in the UNISA Research Ethics Policy, which can be
found at the following website:
http://www.unisa.ac.za/cmsys/staff/contents/departments/res_policies/docs/Policy_Research
%20Ethics_rev%20app%20Council_22.06.2012.pdf
This certificate is valid for two years.
Sincerely
Mr D Wigston
Departmental ERC of Communication Science
College of Human Sciences
314
APPENDIX I: SAMPLE INTERVIEW 1 TRANSCRIPT – EARLY CODING LINE-BY-LINE
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
Q14 1
2
3
4
5
What is entrepreneurship? Please elaborate.
?That‘s what I‘m living for.
Entrepreneurship in my view is really about
running your business.
I cannot think of anything else… more than that?.
The ?business‘ * income*profit*
Explaining
Operating*in charge business activities*‘your‘- owner
Affirming
Q15 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
Generally what problems are faced by SMMEs? Please elaborate.
I think the first one is… eh! ?Pause]… funding, or capital rather.
And again it‘s the market.
Like you are ?competing? with people who have been in existence and you have
just come in.
And than on the other side you have the limitation of finances.
So, you are unknown, you do not have money, resources and…
Ha! soft ?laugh]... so you are unable to convince people why they
should stop going to the people they trust, people who have always been there and
come to you when you are going to give them a half-cooked service.
So I think those are the major things, obviously with the limitations of
funding…
Err! ?pause]… you have office running costs, you have people that need to be
paid you know,
You have to buy material like stationery and all what you call stock in
manufacturing terms… and… [sigh]
So, yea! It is those challenges that kind of make it difficult?
Accessing funding * capital
Operating environment * customers
New enterprise competing with established business
new enterprise * low motivation
Financial constraints * limited marketing activity
New enterprise* financial and resource constraints
emotional expression * ineffective marketing
Stopping customers*trusting established enterprise
Customers not coming *service planning problems
Affirming * limited funding
Office running costs*paying people
Affirming ?you know‘
Buying material
Affirming ?yea‘
Q16 1
2
3
4
5
6
7
8
9
10
11
12
13
14
What in your opinion are the challenges faced by women as entrepreneurs?
?I guess again, obviously taking the second challenge I was talking about which is
marketing… if I could pass through that… at first I was thinking that we would have
more of walk-in clients… ?sigh]… but as we started the business we realised that we
do not have much of walk-in clients because there is… [Company] around the
corner… ?sigh]… which is well known, so people would rather go there although
you still have the same machine, they know… [Mentions company] more.
So, this means you cannot rely on walk-in clients,
you have to go out there and market to bigger businesses like… ?mentions name]
and the training providers.
Err! ?Pause]… I suppose that things in the [country] are slowly changing as women
are a bit ?shrugging] recognised these days [meaning as business women] than
before.
You will find that sometimes people [women entrepreneurs] are busy. Like now, we
Reflecting *referring
Marketing*taking action * miscalculated decision
Despair
Limitation *‘walk-in clients‘ * close by competitor
Despair*affirming competition*preferring
Comparing service offering ?same machine‘
Acknowledging competitor‘s service diversification
Confirmation of decision taken ?cannot rely‘
Taking action *taking action, making choices
Decision-making on choice of clientele segment
Change in talk* Assuming* acknowledging change
Slow*despondent *noticing action
Comparing
315
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
are having a meeting after hours to do the interview taking a risk to meet with a
stranger.
We women are both mothers and nurtures of our families.
As you saw this afternoon I had to pick up my kids first, drop them off at home
before coming to the office.
But with men you will find that they do not have some of the responsibilities that
we have so they do have time to go out there and market themselves [business].
Again they do not have time limits where you would as a women feel like it is
improper to meet [business meeting] with a man in some restaurant at night.
I think opportunities [business] are there, because discrimination no longer exists
[sarcastic smile], unlike before where I would go to the bank and be told because
you are a woman you cannot get this [previously denied on the grounds of being a
woman].
As you may know… I think the government is opening up opportunities for women-
owned businesses?.
Offering evidence*offering evidence ?busy‘
Specifying time * personal judgement on action
Generalisation* clarifying dual domestic roles offering
evidence* prioritising ?kids first‘
Prioritising ?before coming to the office‘
Comparing gender roles
Affirming action taken by men ?market themselves‘
Affirming gender role differences
Socio cultural moral judging
Affirming improvement in accessing bank loans
Giving evidence
Giving evidence *gender-based discrimination
Verifying evidence *opportunities for ?women owned
businesses‘
Q16 1
2
3
4
5
6
7
8
9
10
What is your understanding of the term ICT? Please elaborate.
?Well I am running this business that has IT (Information Technology) and
communication and what, what [laughs] but I am really not an IT expert
I just know the basics that it is a means of communication, it makes people‘s
lives easier…
I mean it has kind of …err! ...moved things from what they were before…
were people would have to wait for letters to reach them after a month or
so, now you can even communicate with somebody from overseas and they
get the message instantly. I mean, you can skype, I just know it is some form
of information sharing that has made life a lot easier for everybody?.
Action
Acknowledging limited technology knowledge
Affirming limited knowledge
Acknowledging benefit
Comparing pervious
confirming waiting period
?communicating overseas‘
Instant communication
Information sharing
Q17 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
In your view what is the role of ICTs in business? Please elaborate
?Well... err... I do not think I will be talking more about my business in this
instance.
I think…eh! What can I say…I think communication is a significant part of
every business, like you find that there are people who have offices in
different cities and with ICT you are now able to sit around a table and be able to
see another person in another place all together. So firstly, I think that you
would save you money instead of maybe having to fly to Johannesburg, you
can actually have a meeting with the person sitting in the office and I think it
… [pause]… eases…
Like we with emails you are able to share emails. Which means that, instead of
having to spend travel money you can easily communicate with that person
and you have something that you can file on record as proof
Err! What else? …Internet… [laughs] what would we be without it? You are
able to use it to google research topics… mean it is just something that makes
business easier and I think largely it is a form of communication that makes life
Pronoun shifting
Uncertainty *affirming value ?significant‘
Providing evidence
Communicating long distance ?sit around table‘
Communicating long distance
Affirming saving ?money‘ and time ?fly‘
Affirming convenience ?sitting in office‘
Affirming ?easier‘
Affirming benefit ?sharing emails‘
Affirming cost saving and convenience
Affirming usage * function
Affirming dependence on ?internet‘
Affirming usage ?google‘ information
Affirming convenience and usage
316
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
17 easier for everybody without spending too much money travelling around?. Affirming convenience and cost saving and travel
Q18 1
2
3
4
5
6
7
8
9
10
11
12
13
What problems do SMMEs have with ICT? Please elaborate
?Err! You see the only problem from my experience is that when you are
unable to use… [laughs] the tool that you have. Like if you have got your staff
component that is not that computer literate or unable to use any other forms
of communication that you [company] are using, I think that would only be a
barrier.
Otherwise really it is something that makes life easy… [smiles]… it‘s supposed
to make thinks go smoothly.
If you are able to use it and you have access, the only barrier would be
finances, if you cannot pay for your Internet but you cannot say it is an ICT
problem but largely the part of the person wanting to use the service.
The major one really, would be you having the computers but
not knowing how to use them?.
Staff lacking ICT skill
Lacking computer literacy skills, inability to use other
?communication‘ tools used by ?company‘
Acknowledging ?barrier‘
Acknowledging benefit * emotional expression
Acknowledging benefit
Affirming ?If you are able to use‘ technology and have
access to it *affirms only barrier would be ?finances‘
technology is not the ?problem‘ but with end-user
?major problem‘ user ?having the computer but‘
Lacking knowledge on ?how to use computer.
Q19 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
In your own words can you please describe your understanding of the ICT sector?
For example, how the sector is structured, applicable legislation and policy. Please
elaborate.
?As I said earlier, I‘m running this business but I am not that into… [hand with two
fingers signalling inverted commas]… [pause]… like I remember last week we
were experiencing some problems with the Internet, it was slow and it was
said some ship had hit something in Egypt and I was like [amazed look] how
does that affect us we are so far away [smiling]. So really I don‘t know
much about it [ICT sector], I am kind of an end user if I may put it that way.
I have been an end user, even at school I did end user computing. So, as to
what happens beyond that I do not know. When the computer stops
working I have to get somebody else to come fix it?.
So there is nothing that you have heard being spoken about the ICT Sector? At any
platform that you have been?
No!
Affirming information gap
Non verbal expression *providing evidence
Providing evidence ?internet problems‘
Providing evidence on information gap
?technology‘
Affirming information gap
„telecommunications‘
Affirming information gap ‘ICT sector‘
Providing evidence *affirming ?end-user‘ skills
Affirming lack of interest *providing evidence
Providing evidence ?somebody else to fix technical
problem
Confirming ?no‘
Q20 1
2
3
4
5
6
7
8
9
How are women stimulating entrepreneurship in the ICT sector? Please
elaborate.
Women like you, your counterparts? [Question repeated – confused look].
About their involvement?
?Well I think these days as you may know, back then certain things especially
related to engineering were kind of like [throws both hands up]…
this is a men‘s world… you know… because if you think about ICT now when you
move from the end-user point of view, it is those guys who go to work in jeans
because they have to sometimes go under the desk, but now women own IT
Questioning
Making assumption * affirming * comparing
Providing evidence relating to ?engineering‘ field
Affirming gender imbalance and current state ?ICT‘
Comparing process*describing ?guys‘ occupation
Gender-based comparison * ?woman owning IT…
317
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
10
11
12
13
14
15
16
17
18
companies…
I know of one down the road [mentions the name] largely owned by woman.
The way I see it things have changed.
Women are no longer shy to be motor mechanics [laughs] I mean in the IT environment there
has been a change from when I was growing up women are
kind of into everything they can get into.
I think I know a number of women who are IT technicians, are into web
designing. I also remember from my school days there were actually few guys
than women doing IT?.
companies‘
Providing evidence on companies owned by women
Affirming change
Affirming ?women no longer shy‘ *occupation
Acknowledging change*comparing evidence
Affirming assertive evidence * occupations
Affirming women‘s occupational and skill
Providing evidence * comparing process ?schooling‘
women orientation ?IT‘
Q21 1
2
3
4
5
6
7
8
9
Describe ways in which SMME women entrepreneurs put ICT to use as a core
product or service. Please elaborate.
?I think that is an easy one [laughs].
First, we provide a printing service, at the same time we also use this for our own
business purpose like, we generate our own paperwork that is, and we print invoices.
We provide an email service at the same time use email to communicate with
clients.
What about the services displayed over there?
We provide an internet café [service, email service, photocopying, binding, Internet, telephone]
Printing
Internal use
Communication * tool
External
Internet café
Q22 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
Describe the enterprise’s value chain of business processes, e.g. which relate
directly to the delivery of the enterprise’s core products or services?
Please elaborate?
?How do I answer that one? [pause further explanation given by interviewer as
question is not too clear]
Look at the inputs that generate the outputs of the enterprise’s processes that
enable the enterprise to deliver its services or products for examples. [Question
repeated]
Ok lets take printing as an example, we have a person coming with their idea,
we develop the concept, e.g. kwaito festival, identify singers get pictures from their USBs or if
they don‘t have, we surf and download pictures
develop creative design, sometimes do research via Internet.
Currently, we are freelancing our graphic design because at times people look for
certain design elements that we do not have in-house expertise.
We then design the poster, communicate with the client to get approval and sign
off. This can be done via email when unable to come in.
Then print the poster. Again coming to the limitations I referred to earlier,
depending on the size of the poster …we have A3Z… and we had to outsource to
the bigger guys… we outsource what we cannot print in house to the bigger guys
[printers].
In instances were a client especially those in the training business.
We sometimes have to type, proof read copy with client and get signoff, before
printing and binding and manuals.
questioning * not clear
printing process
developing ?concept‘ process
communication service process ?download pictures‘
creative design process* researching information
free lancing process ?graphic design
providing evidence ?in-house expertise‘
design process *communication process
communication processes
printing process
taking decision to ?outsource‘
outsourcing decisions ?bigger guys‘
providing evidence on ?training business‘
typing and editing process
?printing and binding‘ process
318
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
24
25
26
27
28
29
30
31
32
33
Depending on the project, lamination is a service we offer
So basically your service is printing and design? What about those services you
mentioned earlier?
Not really, it depends… like one of our clients do training in computers… sometimes
they type for themselves… we do typing for them and
binding of manuals…you undergo the same steps mentioned where you type check
with the client before printing and binding the document
So it depends on the client some may want printing and or binding some laminating
which has its own processes… so not all in the same chain …differs on what the
client wants?.
?lamination‘ service
?typing‘ service
Binding service
Printing and binding service
Printing and binding or laminating service
service
Q23 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
How often does the enterprise introduce new products or services and what
informs the decision to do so? Please elaborate
?Ok, it‘s the market that informs the decisions we take. For example, if we talking
about printing, as you may well know, printing does not involve printing on paper
only, it may be printing on T-shirt or sling bag and pens that we had to do for a
client but ended up outsource our printing because we could not in house… we have
an [sic] ZA size. But now we are thinking that this something we can do in house because
we are seeing there is a market for this service and based on the opportune gap
identified from our outsourced print jobs.
It took our printers three weeks to finish the job because they had a load of projects
inline. But now there comes the limitation of funds. Would we be able to secure
funds to buy equipment?
But again when you think about it, instead of you continuing to outsourced services,
you could save the money to invest in your own equipment.
So I would say it is the market that dictates. If there is a need for it we will do it?.
?Market informs the decision‘* clients*competition
Explaining of ?printing‘ product line ?paper‘
Explaining of ?printing‘ product line ?T-shirts, pens‘
Providing evidence of decision to outsource
Taking decision ?in-house‘ production
Opportunity identified in the market
Providing evidence ?identified from outsourcing jobs‘
Affirming impact of outsourcing on enterprise
Funding limitation identified
Funding to ?buy equipment‘
Deciding on action to take ?outsourcing‘
Deciding on action ?save the money, invest in own
equipment
Affirming what influences decision ?market‘
Q24 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
What is government currently doing to promote ICT women-driven
entrepreneurship development, e.g. legislation, policy, development programmes, etc.?
Please elaborate.
? I think there is a lot though one has not really gone into reading about them
[initiatives].
You know how rushed our life is today you learn about things from the television
and you go oh! That is nice, thinking you are going to research this information but
you never get to it. I am aware of SEDA [a funding agency which provides financial
support to small business] but I have not followed up.
I think there is a lot government is doing though there is room for improvement.
Like even the Black Economic Empowerment scorecard you will find that there are
more points when you are a woman entrepreneur… err!
I think there is a lot that government is doing to make sure that women are
given preference to most of the businesses. So I am aware though I have not gone
Assuming * information gap *lack of initiative
Time management issue* secondary source of secondary
source of information
No follow up initiative *Aware of ?funding agency‘
No follow up initiative
Acknowledging room for improvement on action
taken by ?government‘
Affirming improvement -BEE scores
Giving more points to ?women entrepreneurs‘
Explaining process ?more points‘
Developing apathy *no follow up Initiative ?not gone
319
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
16
17
18
19
20
21
22
to research.
You see in this instance in terms of me benefiting from government support, I would
not blame the government for not affording me opportunities [tenders] as I have
not dedicated much time to actually tap into the opportunities that are out there.
So I would not say government is not doing something, it is me not making use of
the opportunities out there at hand?.
to research‘
Not benefiting from government initiatives
Affirming lack of initiative* accessing tenders
?time‘ management *lack of initiative to find out
Information gap*Affirming lack of initiative in
following up ?making use‘ of ?opportunities* No
action taken
Q25 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
20
31
32
33
34
35
What should government do? Please elaborate
What would you like to see government doing? [repeating question]
Well, I think for example, um! I know the… [Sighs! Hesitant pause and sigh]…
You see, one of the things that has been holding me back in terms of trying to
go to places like [mentions agency that gives support and technical assistance to
SMMEs] is because I do not have time for doing a business plan you see.
So, if they [agency] could… [Pause]… but then again I have not been to their offices…
You see, [voice tone picks up] I do not even know if they do business plans free of
charge… [soft laugh] you see what I mean. So, it is a bit difficult for me to say
government is not doing this, where as, I do not have full information because
somebody might be reading this and thinking and… where does she live… you
know… [laugh]… this is South Africa.
Something that has been holding me back is finances which I do not have and this is
kind of limiting me.
But again I have not been to these respective places to see what they can do for me.
But again when I look around… I do not see everybody as busy as I am… so
I ask myself a question and think to myself [smiling] ?OK, if it was so easy why are
people struggling so much [laugh] in business?? because I see most of the black
businesses open and do not even last for a year they kind of close down.
Let me make an example, although I am not offering the travel service now, there
was a tender that came out, advertising for travel agencies to be used by
government. Now the first thing they asked for was that the service provider should
have a net worth of about a million [soft sarcastic laugh] Secondly, be registered
with an international travel agency [mentions the name] that does ticketing and the
service provider has to have about two hundred and something thousand rand as a
deposit for membership fees. Traveling has its own professional body that you must
be a member of.
But now if you look at it, how many black people, just on the three things I have
spoke about will even be able to submit that tender…a net worth of a million
[laugh] … who has that? ... an organisation that wants you to subscribe to asks you to
put down two hundred and something thousand. What black person without even
going out to women, what black person has that kind of money. So, I think those
are the kind of things that our own government… this is our own black government
[laugh] that I am talking about… putting [terms and conditions]. Obviously without
mentioning names, those [submitting tender] will be big giants that have long been
Uncertain* verbal expressions
Affirming non-assertive action ?holding me back‘
going to ?places‘
Affirming lack of time to do ?business plan‘
Expressing expectation ?if‘ * no follow up action
lacking information
affirming ?not able to say‘
?government is not doing this‘ *affirming lack of information
that others might have
affirming financial limitations ?finance‘
affirming lack of initiative to find information
comparing self to others ?busy‘
Rhetoric question - introspection
Generalised perception that
Black businesses unsustainable
Offering evidence on previous experience
Offering evidence ?tender‘ advert
travel agent services *tendering requirement
Qualifying criteria
Accreditation criteria
Qualifying requirement
standard procedures ?membership‘ requirement
identifying limiting conditions for ?black people‘
affirming inability to submit tender ?million‘ rand
questioning restricting qualifying criteria
Rhetoric question affirming restriction for ?black
person‘*making gender based and racial comparison
Expressing opinion on ?black‘ government action
Affirming restrictive tender requirements set
Affirming unequal access to tenders ?big giants‘
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Codes Line Transcript: Interview 1 Early open codes | Descriptive code
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46
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in the travel business.
So, I am making this example which I think is a general problem that the black
businesses have. Now that is just black business and not even without getting to
women who have even more challenges than men.
Even when you ask them [officials issuing tender] what this [travel professional body]
they [government] do not even know a thing about this professional body but have
put it there on tender [sarcastic laugh] and it has restricted people from doing
business [tendering] and
Again as a black person I believe that most people of the… government, are black
people. As they are busy drafting these tender specifications… which are clearly
saying that this is going to white people [sarcastic laugh] because [sighs heavily –
sarcastic laugh] how many black people have a million in the bank? [sarcastic laugh]
Even with us [business owners] in the travel industry… what assets would you have
really, except for a computer because the nature of the business does not require
you to have big machines or anything that would be worth a million
So, they are practically saying you should have one million in the bank!
So, these are the things that I think government should look at.
Like the things that are kind of restricting. You know how… [big sigh – pause –
sarcastic laugh]… Do you [referring to researcher] know how you are free, but there
are still things that are chains [sarcastic laugh]…you are free but not free
[voice louder and shaking head].
So these are the things government should look into. We see printing tenders every
week but they have these requirements that you must have this… we will come for a
site inspection to see if your office has this and that… where do they think we [the
enterprise] take that from? Because they should provide… like… in the construction
environment… access to funding on obtaining a tender. Because if I could get a
tender then I can go to [mentions big printing company] get a bigger printer but
right now I cannot… I have to pay about six thousand rand a month [rental]. So, I
think they [government] should start creating funding opportunities sometimes
people have to partner with white people [companies] because the requirements of
the very same government in their tendering qualification process is kind of too
high [restrictive] for us.
And do you know how they [big printing company] kill us as well?
You do a job for them [government] and you have to borrow money everywhere
because you do not have it… then they take for ever to pay you, then they lose your
invoice [high pitched laugh] and you have to print, they lose this [invoice]… and
then tell you at the end of the day that black businesses do not provide a good
service.
But even if I had twenty thousand rand only and had to use it for printing, I still
would have to pay for this machine [hired printer] and return it… whilst you
[government] sit with my invoice for the next three months… and then you come
back you [government] wanting me to spend another forty thousand rand for
favouring big business
generalising problem experienced by black business
affirming problem experienced by ?black business‘
making gender based comparison ?women‘, ‘men‘
Officials not clear on set tender terms and references
officials lack of information about accreditation body
Tender specifications not researched* consequence
business unable to tender
Expressing expectation as a ?black person‘ of ?black‘
officials drafting tender specifications
Tender specifications restrictive * favouring ?whites‘
emotional expression*affirming restrictive ?million‘ tender
requirement not matching ?assets‘ required or ?nature of
business‘
Affirming ?million‘ rand restrictive
Rhetoric question affirming restrictive requirement
Suggesting action that government should take on
restricting tender requirements*emotion expression
Expressing emotions * affirming expectation ?free‘
Affirming unmet expectation ?chains‘
Expressing emotions ?rising ?shaking head‘
Expressing expectation of government enabling access to
?printing tenders‘*loosening restrictions
Affirming restrictive requirements
Expressing expectation* like in ?construction‘ which
provides access to funding *expectation ?get tender‘
expressing decision to get ?bigger printer‘
Affirming inability to afford equipment
Suggestion ?creating funding opportunities‘
Stringent qualifying criteria result in partnerships with ?white
people‘*affirming tendering restrictions
?too high‘
Affirming hiring equipment consequences
Slow turnaround payment consequences
Implications of late payment*affirming careless supply chain
administration processes ?invoice‘
disagreeing on assertion made by officials ?black business
do not provide a good service‘
Affirming inability to tender sustainably *delayed
invoicing
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Codes Line Transcript: Interview 1 Early open codes | Descriptive code
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another job... where will I get this money?
So I think the government should improve on this aspect. The very same
black people [government officials] are the ones killing black people [businesses]
and Unfortunately in most of these offices you will find that there are ladies… I do
not know [heavy sigh]… but that is the reality?.
Expectation ?improve‘ payment turnaround
Affirming situation lack of support from government
Expressing expectation not met
Expressing emotions, affirming current status ?reality‘
Q26 1
2
3
4
5
6
7
8
9
10
11
12
13
14
What is private sector doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and
initiatives? Please elaborate.
?Actually I have worked for NGOs.
I know that some of them are private entities that are currently trying to assist the
government in terms of service delivery.
Other than NGOs I do not know of any private sector assistance offered. I am not
saying there is no assistance but really [sigh] You see us black people [private
businesses] we do not know how to help each other.
You se [sic], what white people do that I have observed…like if you are running a bed and
breakfast business…I am your friend and I have a shuttle service…and another friend
has a travel agency…white people give business to one another.
They look at the clients needs like flight, accommodation and airport shuttle service
and each friend services the same client.
Confirming NGO sector experience
Acknowledging private sector assistance with
government ?service delivery‘
Confirming unaware of private sector assistance
Expressed emotion*opinion about ?black‘ business
Expectations of B2B – ?black‘ business
Offering evidence ?white‘ business practice
Affirming B2B ‘white‘ businesses practice
Explaining service value chain ?client needs‘
Affirming B2B practice
Q27 1
2
3
4
5
6
7
8
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12
13
14
15
16
17
18
19
20
21
22
What more should the private sector do? Please elaborate.
Let me paint you a picture,
I think when white people [business owners] meet, like going out on Friday night, it
is not all about soccer …maybe partly…but they look at how they can give each other
business may be grow each other, support each other.
This support is lacking among blacks.
Look at [mentions a suburb previously strictly a residential area, turning into
business are] how people [blacks] are converting their houses into bed and
breakfast businesses and the mushrooming of small business.
…I am not saying blacks should trade with blacks but the very same black person will
leave your company and go elsewhere…wasting their fuel to print what I can print.
Well, it could be they do not know me or the services that I offer or perhaps see this
tiny shop and probably think it‘s a waste of time coming in, I do not know.
But if we [business –to-business] were creating networks you know, whether they
be women forums where people get to know each other, grow each other, knowing
what our businesses offer and even supporting each other in business. I think that is the only
way our business can grow.
Just to give an example, one of the offices of an organisation I once worked for, we
moved into new offices, a converted house, and discovered that the company that
did the construction belonged to the son of the owner our company. Shortly after
moving into the new offices a decision was taken that we have a teambuilding
session. Whilst we were thinking of whom to facilitate the session the owner told us
Providing evidence
Affirming networking business platforms
Affirming B2B activity
Affirming B2B support
Affirming ?support‘ lacking in black business
Providing evidence acknowledging the black business
?mushrooming‘
Affirming expectation of black B2B
Affirming lack of black B2B activity
Assuming the cause of action
Assuming the cause of action
Expressed expectation of B2B networking platforms
?women‘ B2B networking platforms
Affirming need for B2B support
Affirming benefits of proposed activity
Providing evidence of learning experience from B2B
Explaining value chain processes moving into office
Value chain activity * B2B
Decision making
Value chain activity
322
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
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24
25
26
27
28
29
30
31
32
33
34
35
one of his sons was doing a teambuilding session at [mentions the area].
We sourced his services and started thinking about who would do the catering
and it turned out the wife does catering. You see [broad smile] the money did not
go out of the family.
I think this is how we [private business], should grow each other as businesses.
If we can network more like, at another breakfast meeting that I went to [mentions
the name of a business association] which is kind of like a forum were business
people in the area [mentions the local municipal area] could meet and talk about
things and sometimes invite the municipality.
I think the private sector needs to encourage these platforms so people [business]
know each other, know where to get services, know emerging businesses, see how
to grow each other do meetings, socialise and give each other clean money rather
the other money that we give each other?.
B2B
B2B
Affirming need for private business to support ?grow‘
Providing evidence of ?breakfast meeting‘ platform
Suggesting proposed activity ?meet and talk‘
?invite local municipality‘
Recommending private needs to take initiate Explaining
network benefits
Explaining network purpose and B2B moral values ?clean
money‘
The end
Thank you for time.
323
APPENDIX J TABLE 1: SAMPLE – INTERVIEW PERSONAL NOTES
Date: 8/04
Code: Interview 1
Location:
Personal notes: Interview
Ice breaker:
Weather
News article
Referrals
Thank participant for seeing you this late
Daily Dispatch article
Observations:
Venue
Time
Verbal
Non-verbal
Attitude: positive / negative /
assertive non-assertive
In town
Late rescheduling 17:30
Emotions displayed involuntarily constant sighing, short laughs – sarcastic?
Despondent? Where is this attitude coming from? Expectations not met? What has
she done? Follow up, end of interview.
Despondent? Lots of non-verbal gestures? What is going on here? What is the
meaning communicated here?
Reflections:
What to improve
Transcript
Ideas
Next on list
Timing – took too long: need to control pace next Time.
Transcribe immediately.
Bribe? What‘s going on here, gender differentials? Demographics?
Theoretical sampling ICT training provider.
Action:
Immediate
Later
Alter 22, 23, and 24
APPENDIX J TABLE 2: SAMPLE PRE-DATA COLLECTION
Date: 20/11
Code: ADM-3
Location: EL
Personal notes
Action: Make sure interview contact register is verified – need to stay a day or two in PE to
talk to the chambers, ECDC, SEDA and go from street-to-street to identify ICT
enterprises to add to the contact list.
Admin:
Filing
Appointments
Correspondence
Send letters of request for access to ICT SMME database.
Reflections:
Day-to-day
Weekly
Visit to OR Tambo district municipality not worth it. I could only find 2 ICT
enterprises owned by women entrepreneurs, lots of enterprises are owned by
men? What‘s going on here?
Personal development: Identify research workshops, conferences to attend.
Supervisor has suggested UNISA research workshops– need to attend.
324
APPENDIX K TABLE 1: METHODOLOGICAL MEMO – PRE-DATA
COLLECTION
Date: 26/11
Code: PDC-26
Location: EL
Memo: Pre data collection
Literature:
Research Question
Methodology
Objectivism vs. subjectivism
Refine definitions
Reflect on research interest and questions and decide which method to adopt,
(e.g.Glaser & Strauss & Corbin) suitable and in line with MGT including the
epistemology of the study.
Pre-literature control, confine within context of research interest and questions.
Identify types of data sources to consult, e.g. researched studies. Theoretical
framework?
Need for balancing tension between objectivity and subjectivity meaning I have to
?bracket? my thoughts based on being an SMME
Refine the ICT vs ICTs definitions.
Interview guide:
Structure
Types of questions
Length
Questioning technique:
How, what, why, where, who,
when
Decision taken to conduct semi-structured in-depth interviews
Are questions addressing research questions? Yes!
A bit long but short questions flow, just concerned about being too broad. I need to
zoom into key questions, need to consult an academic to look at the interview
guide.
Reflections:
Sample
Decision taken to conduct interviews in BCM and NMM metropolitan municipalities.
Need to consult government department, business chambers, or maybe send out
an advert, or go from street to street as I can‘t find participants.
Action:
Immediate
Later
Follow-up on request for database of ICT enterprises by setting up meetings with
officials as the email system is not effective.
Database of stakeholders e.g. ISETT SETA, SEDA, ECDC has a limited list of
enterprises available, most not fitting inclusion criteria.
Put a request for referrals as a standard item on personal notes.
325
APPENDIX K TABLE 2: METHODOLOGICAL MEMO – INTERVIEW – BEFORE
AND AFTER
Date: 8/04
Code: Interview 1
Location:
Memo: Interview – before and after
Ice breaker:
Weather
News article
Referrals
Thank participant for seeing you this late
Make reference to the Daily Dispatch article (BBBEE and SMMEs)
Observations:
Venue
Time
Verbal
Non-verbal
Attitude:
positive/negative/assertive
non-assertive
In town
Late rescheduling 17H30
Emotions displayed include involuntarily constant sighing, short laughs – sarcastic?
Despondent? Lots of non-verbal gestures? What is going on here? What is the
meaning communicated here?
Where is this despondent attitude coming from? Expectations not met? What has
she done in response to them not being met?
Follow up end of interview to get an understanding.
Reflections:
What to improve
Transcript
Ideas
Next on list
Timing – took too long: need to control pace next time
Transcribe immediately – whilst memory is fresh
The word bribe is repeated? What‘s going on here? Are there gender differentials?
Look at the demographics to see if anything relates to bribing.
Theoretical sampling of an ICT training provider
Action:
Immediate
Later
Alter 22 & 23 & 24
326
APPENDIX K TABLE 3: SAMPLE METHODOLOGICAL MEMOS – EARLY OPEN
CODING
Date: 8/04
Code: Interview 1
Location:
Memo – early open coding
Transcription:
Interview guide
Interpretation
Member checking
Transcript of pilot interview 001: Few questions to alter, taking too long to finish –
was taxing (24hrs)
Challenging – not too sure whether others will interpret the same.
Script emailed for verification on 10/05
Coding:
In vivo codes
Emerging concepts
Comparisons
Categories / properties
Depending a bit on in vivo codes. Concerned about overly describing. Line-by-line
is taxing but I have to immerse myself in the data. Will perfect coding with time.
Can improve on coding procedure, code Interview 2 using gerund – Charmaz?
Similarities and variations: develop template to illustrate differences.
The concepts funding, marketing, gender sensitivity, competition are emerging.
There is an information gap re participant‘s knowledge about the ICT sector –
surfacing in a couple of questions asked.
Reflections:
Conceptualisation
Relationships
Method / procedures
Saturation
Theoretical sampling
Need to improve on this. Consult Strauss and Corbin (1998)?
Identified with ease.
Convert pilot interview into actual sample. Make changes to Q23, 24, and 25.
A number of gaps in information surfacing. Need for theoretical sampling.
Theoretical sampling – maybe in different industry and SMMEs in business for 3 –
5 years. Do a background check on the ICT enterprise before conducting the
interview to maintain consistency in the application of inclusion and exclusion
criteria to avoid compromising the research findings from a credibility point of view.
Action:
Immediate
Later
Review contact register and check out referrals.
327
APPENDIX L: THE EMERGING CORE CATEGORIES
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
Women experience gender-
based discrimination
Recognise gender-based
discrimination
Socio-cultural gender role expectations
Conditions:
? Women judged when conducting business
meetings after hours and as being incompetent
? Domesticated role of female entrepreneurs
? Men orchestrate women away from networking
platforms
? Women entrepreneurs are not recognised by
industry
? Gender segregation; women are discouraged
from pursuing career aspirations
Consequences:
? Experience difficulties in marketing businesses
after hours through business relationships
? Multi-tasking, work and family responsibilities
? Advocate for inclusion in networking platforms
? Penetrate environments traditionally perceived
as men‘s world
? Limited career advancement opportunities
Respond to gender-based
discrimination
Conditions:
? Women multi-task, work and family
responsibilities
? Women empower themselves and others, e.g.
?staff‘, ?community‘
? Women-owned ICT enterprises mushroom
Consequences:
? Women entrepreneurs are balancing work and
domestic responsibilities
? Women upgrade ICT skills and business skills
? Venture into technical environments
? Economic activity
Women experience gender-
based discrimination
Recognise gender-based
discrimination
Gender-based career differences
Conditions:
? Delineate women-orientated skills and men-
orientated skills
? ICT sector is predominantly male-dominated
? Underrepresentation of women in key ICT
positions
? Increasing overrepresentation of women in non-
professional ICT occupations
? Stereotypes held about women‘s ability to run an
ICT enterprise is undermined
? Women do not have decision-making power
? Becoming more assertive in stamping out
gender-based stereotyping
Consequences:
328
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
? Enforce gender stereotypes, ?men‘s‘
environment
? Penetrate technical environment predominantly
occupied by men
? Self-empowerment in ICT skills and mentorship
through incubation programme
? Take assertive action in making their voice
heard
? Young graduates become leaders of the next
generation in the ICT sector
? Increase number of women who occupy senior
management and core ICT positions
? Women entrepreneurs nurture the talent
? ?Staff‘ through mentoring
? Women have to prove their capacity
? More women-owned businesses mushroom
Women experience gender-
based discrimination
Respond to gender-based
discrimination
Conditions:
Increase overrepresentation of women in non-ICT
occupations
Consequences:
? Forced to find employment in ?corporate world‘
as opposed to ?men‘ who have the opportunity to
?study further‘
? Women occupations are increasingly associated
with ?administrative creativity and men with
technical orientation
? Inability to contribute to decisions in terms of
operations of the organisation
? Decrease underrepresentation
? Become more assertive in stamping out gender-
based stereotyping, ?it‘s a men‘s club‘, ?boys
club‘, ?men‘s game‘
? Women‘s marginalisation from ICTs
? Women empower themselves
Recognising gender-based
discrimination
Experience gender-based inequalities in the
workplace
Conditions:
? Inequality in working conditions
? Underrepresentation of women in key positions
? Women lack workplace experience compared to
men
? Unacceptability of women as equal working
partners
? Women‘s ability is questioned
? Women do not have decision making power in
ICT
? Widen the gap between rural and urban access
to ICT
? Innovation levels are low
329
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
Consequences
? Not competitive enough like men to earn high
salaries
? Women‘s voices are not heard
? Inequalities in accessing funding
? Marginalise women from economic mainstream
of the ICT sector
? Understand significant role of ICT in business
? Low levels of innovation
? Women-owned ICT enterprise lack R & D and
not standing a chance to compete with big
business
Women experience gender-
based discrimination
Respond to gender-based
discrimination
Conditions:
? Take assertive action in self-development by
upgrading skills
? Take initiative in empowering rural communities
in ICT skills
? Women entrepreneurs demonstrate assertive
action in penetrating core technical
environments
? Women work twice as hard
? Advocate for change by government and the
private sector to recognise them as business
owners
Consequences
? Experience low motivation
? Flexibility in stringent administrative
requirements
? Possibilities of opportunities for career
advancement through ICT skills upgrade
? Rural community create employment
opportunities
? Increased entrepreneurial activity in rural areas
? Widen gap between rural and urban SMMEs in
terms of marginalisation from ICT
Recognise gender-based
discrimination
Experiencing educational differences
Conditions:
? Inequalities in accessing career advancement
opportunities
? Underrepresentation of women in key positions
? Women lack workplace experience compared to
men
? Unacceptability of women as equal working
partners
? Women‘s ability is questioned
? Create mentors in ICT sector
? Women do not have decision making power in
ICT
Consequences:
330
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
? Take assertive action to upgrade ICT and
business management skills
? Penetrate core technical environments
? Work twice as hard as men
? Advocate for change by government and the
private sector
Women experience gender-
based discrimination
Respond to gender-based
discrimination
Conditions:
? Take assertive action in self-development by
upgrading ICT skills
? Women entrepreneurs demonstrate assertive
action in penetrating core technical
environments
Consequences:
? Women infiltrate ICT space
Recognise gender-based
discrimination
Exposed to gender-based sexual harassment
Conditions:
? Women are subjected to ?sexual innuendos‘ in
exchange for tender awarded
? Subjected to unwelcoming ?sexual innuendos‘
from men in networking platforms
? Bribing tendencies by government officials
Consequences:
? Women shy away from pursuing tender
opportunities
? Widen inequalities to access information that
could enable women to benefit from available
resources and economic opportunities
? Economic marginalisation
? Bias in tender adjudication processes
? Not doing anything about ?sexual innuendos‘
Respond to gender-based
discrimination
Experience difficulty in accessing funding
Conditions:
? Women advocate for transparency in
procurement processes
? Relaxation of restrictive loan application
requirements
? Late turn around payment period
Consequence:
? Bring to an end the ?corrupt‘ behaviour by
officials
? Relaxation of restrictive tender requirements
? Relaxation of restrictive loan requirements
Women experience gender-
based discrimination
Recognise gender-based
discrimination
Lack initiative in following up on business related
information
Conditions:
? Do not know where or how to get funding
? Government does not recognise women as
?business owners‘
? Slow change in government action
331
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
? Lack of initiative in following up on information
obtained from secondary sources
Consequences:
? Lack access to resources
? Advocate for change by government
? Low motivation
Respond to gender-based
discrimination
Conditions:
? Develop apathy
? Experience low motivation
Consequences:
? Lack access to resources
Develop apathy Recognise gender-based
discrimination
Quickly give up on business opportunities,
especially when faced with challenges
Conditions:
? Lack access to resources, information is not
readily available
? ICT cost (online) a barrier to accessing
government offices
? Women entrepreneurs have limited scope in ICT
skills
? Lack orientation of ICT sector
? Lack access to funding
Consequences:
? Low motivation, no role models
? Lack initiative to following up on business-
related information
Respond to gender-based
discrimination
Conditions:
? Lack initiative to following up on business related
information
? Experience low motivation
? Take assertive action to develop self
Consequences
? Advocate for government and the private sector
to sponsor training, workshops, seminars
Recognise gender-based
discrimination
Low motivation
Conditions:
? Supply chain is not doing enough to promote B-
BBEE
? ICT enterprises face financial constraints
? Women do not benefit from government and
private sector initiatives
Consequences:
? Women do not benefit from BEE scoring point
system
? Supply chain is not doing enough to promote B-
BBEE
? Women miss out on business opportunities
? Economic marginalisation
332
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
? Develop apathy
Respond to gender-based
discrimination
Conditions:
? Develop apathy
? Do not benefit from government and private
sector initiatives
? Advocate for change by government and the
private sector
Consequence:
? Lack initiative to follow up on business related
information
? Experience gender-based economic
marginalisation
? Advocate for availability of tender opportunities
333
APPENDIX M: THE MICTSETA SIC CODE LIST
SIC Description Sub-sector
5791 Manufacture of Alarm Systems Electronics
75200 Telecommunication Telecommunications
75201 Wired Telecommunication Carriers Telegraph Telecommunications
75202 Television Broadcasting, Television and Radio Signal Distribution
Television and Radio Signal Distribution
Telecommunications
75203 Cable Networks and Programme Distribution Cable TV Services Telecommunications
75204 Telephone Telecommunications
75205 Wireless Telecommunication Carriers except Satellite
Radiotelephone
Telecommunications
75209 Television Broadcasting Telecommunications
75211 Telecommunications and Wired Telecommunication Carriers Telecommunications
75212 Paging Telecommunications
75213 Cellular and Other Wireless Telecommunications Telecommunications
75214 Satellite Telecommunications Telecommunications
75215 Other Telecommunications Telecommunications
75216 Security Systems Services except Locksmiths Electronics
75217 Office Automation, Office Machinery and Equipment Rental
Leasing including Installation and Maintenance
Electronics
86001 Software Publishers Pre-packed Software Information Technology
86002 Computer Systems Design and Related Services Computer
Integrated Design
Information Technology
86003 Computer Facilities Management Services Information Technology
86004 Electronic and Precision Equipment Repair and Maintenance
Computer Maintenance and Repairs
Electronics
86005 Computer Rental and Leasing Information Technology
86006 Computer Programming Services Information Technology
86007 Other Computer Related Activities Information Technology
86008 Call Centre Systems Development and Installations Activities Call
Centre and Customer Relationship Management System
Development
Information Technology
86009 Computer System Design Services and Integrated Solutions Information Technology
86010 Consumer Electronics Repair and Maintenance Electronics
86011 Computer and Office Machine Repair, Maintenance and Support
Services
Information Technology
86012 Communication Equipment Repair and Maintenance Telecommunications
86013 Other Electronic and Precision Equipment Repair and Maintenance Electronics
86014 Repair and Maintenance of Electronic Marine Equipment Electronics
87142 Research and Development of Electronic Equipment and Systems Electronics
87143 Import and Product Integration of Pre-Manufactured Electronic It
and Telecommunications Equipment
Electronics
87146 Research and Development In The Physical and Engineering
Sciences
Electronics
87147 Electronics Importation and Product Integration of Pre-
Manufactured Electronics It and Telecommunications Equipment
Electronics
87148 Telecommunications Importation and Product Integration of Pre-
Manufactured Electronics It and Telecommunications Equipment
Telecommunications
96131 Providing Radio and Television Transmission Signals Telecommunications
334
SIC Description Sub-sector
96133 Installation, Maintenance and Repair of Tracking Devices For Cars Electronics
96110 Motion Picture and Video Production and Distribution Electronic Media and Film
96112 Related Activities - Film and Tape Renting To Other Industries,
Booking, Delivery and Storage
Electronic Media and Film
96113 Film and Video Reproduction Electronic Media and Film
96123 Bioscope Cafes Electronic Media and Film
96132 Production and Broadcast of Radio and Television Broadcast
Content
Electronic Media and Film
96200 News Agency Activities Electronic Media and Film
88310 Advertising Advertising
88311 Activities of Advertising Agents Advertising
88313 Commercial Design Advertising
88940 Photographic Activities Electronic Media and Film
Source: Government Notice, No. 33756, Government Gazette, 11 November 2010
335
APPENDIX N:
Analysed open-ended questions
Table 1: Participants’ understanding of entrepreneurship
Table 2: Problems encountered by SMMEs
Table 3: Challenges faced by women entrepreneurs
Table 4: Participants’ understanding of the term ICT
Table 5: Role of ICT in business
Table 6: Problems SMMEs have in relation to ICT application in their
businesses
Table 7: Participants’ understanding of ICT legislation and policy
Table 8: How women are stimulating or advancing the ICT sector
Table 9: How the ICT entrepreneurs use ICT as a core product or service in
SMMEs
Table 10: Enterprises’ value chain of business processes
Table 11: The frequency of introducing new products or services by the
SMMEs
Table 12: Role of government in promoting ICT women-driven
entrepreneurship
Table 13: Additional requirements of the women entrepreneurs from
government to promote women participation in the ICT sector
Table 14: Role of the private sector to promote ICT women-driven
entrepreneurship
Table 15: Role of the private sector to further develop women in the ICT
sector
336
Table 1: Participants’ understanding of entrepreneurship
Part II: Open-ended questions
Section C: Business knowledge information
Q14 In your own understanding, how would
you define the term entrepreneurship? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: Business owner
Property: Occupation
Dimension: Operating activities
Interview 2 Woman entrepreneur Category: Business owner
Property: Having an idea
Dimension: A big venture
Sub-dimension: Source of employment
Interview 3 Woman entrepreneur Concepts: Trading; selling products to people
Interview 4
Private sector expert
Category: Employer
Property: Creating employment for self and others
Dimension: Identifying a need in the market
Interview 5 Woman entrepreneur Category: Driven by a vision and mission
Property 1: Sustainable professional entity
Dimension 1: Offering training
Dimension 2: Sound financial planning
Dimension 3: Quality assurance standards
Sub-dimension 1: Research
Sub-dimension 2: Risk management
Property 2: Rural development empowerment
Dimension: Poverty alleviation and job creation
Interview 6 Woman entrepreneur Concepts: Entrepreneurial person, being innovative, somebody
looking out for the environment, seeing opportunities in the
market place, creating something extraordinary, having the
drive and passion
Interview 7 Woman entrepreneur Category: Gender stereotyping
Property: Business owner
Dimension: Not recognised in the industry
Interview 8 Woman entrepreneur Concepts: Generating profit, having financial sustainability to
run business
Interview 9 Woman entrepreneur Category: Understanding the needs of the market
Property: Coming up with ideas on how to address the needs
Dimensions 1: Developing people, focusing on making a
difference for the people
Dimension 2: generating profit
Interview 10
Government expert
Concepts: Entrepreneurial person, creating something
extraordinary, challenging the normal, doing things differently,
creating new ways, looking outside the box, not depending on
conventional thinking, introducing different skills
Interview 11 Woman entrepreneur Concepts: Business owner, risk taker
Interview 12 Woman entrepreneur Concepts: Art of creating a business, having business acumen,
must have human and capital resources to run the business
Interview 13 Woman entrepreneur Concepts:Someone who develops ideas, has the guts to
establish idea as a business venture
Interview 14 Woman entrepreneur Concept: Someone with capacity to manage business
337
Table 2: Problems encountered by SMMEs
Part II: Open-ended questions
Section C: Business knowledge information
Q15 What problems in your view are
encountered most by SMMEs? Please
elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category 1: Experiencing difficulty in accessing capital
Property1: Limited operating budget
Dimension 1: Stock material
Dimension 2: Staff salaries
Category 2: Local competition
Property 1: New entrant
Dimension: Limited marketing budget
Sub-dimension 1: Ineffective marketing activities
Sub-dimension 2: Limited customer market
Property 2: Established ICT enterprise
Dimension: Customer market share
Sub-dimension: Competitive advantage
Interview 2 Woman entrepreneur Category 1: Difficulty in accessing funding
Property: Barriers
Dimension 1: Poor credit rating
Dimension 2: Lacking collateral
Category 2: Developing staff capacity
Property 1: Lacking business knowledge and skills
Dimension: Not familiar with business operations in the area of
?finance‘, management‘, and ?employment regulations
Property 2: Lacking human resource capital
Dimension 1: Lacking workplace experience
Dimension 2: Inability to create sustainable employment,
not familiar with financial
Interview 3 Woman entrepreneur Concept: High overhead costs
Interview 4
Private sector expert
Category: Difficulty in accessing funding
Property: Lacking marketing skills
Dimension: Inability to survive competition
Interview 5 Woman entrepreneur Category 1: Experiencing difficulty in accessing funding
Property : Not understanding documentation requirements
Dimension: Vagueness of information presented in documents
Category 2: Lacking self-motivation
Property 1: Developing staff
Dimension: Getting staff into the ICT sector
Property 2: Developing learners
Dimension : Giving staff chances you did not get
Interview 6 Woman entrepreneur Category: Globalisation
Property: SMME support lacking locally
Dimension: SMME not trusted
Interview 7 Woman entrepreneur Concepts: Finance for equipment inaccessible, no financials to
present to banks
Interview 8 Woman entrepreneur Concepts: Financial struggles, women are cautious in taking
risk, offering a limited range of products or services, lacking
independent decision-making capacity
Interview 9 Woman entrepreneur Category: The Eastern Cape ICT market
Property 1: Private company preferred supplier list
Dimension 1: Private sector already has its own suppliers
Dimension 2: National companies already have contracts with
local companies
Property 2: Government suppliers
Dimension 1: Established companies having:
Sub-category 1: High overhead costs
sub-category 2: Standard market mark-up rate on products
Sub-category 3: Track record
Dimension 1: New entrant ?black SMMEs‘
Sub-dimension : Having government connections
Dimension 2: Getting inside information from government
Dimension 3: Responding competitively to requests for
338
Part II: Open-ended questions
Section C: Business knowledge information
Q15 What problems in your view are
encountered most by SMMEs? Please
elaborate.
Participant’s Response
(category / property / dimension / concept generated)
quotations compared to established ?existing‘ company
Dimension 4: Mark down the price against a standard market
margin
Dimension 5: ?Are the ones who get the work‘ and ?destabilising
the market‘.
Interview 10
Government expert
Category: Cash flow problems
Property: SMME prices not competitive
Dimension: Have to inflate their prices in order to remain
competitive
Sub-dimension: Government taking action to address
inequalities between small and big business
Concepts: SMMEs providing quality jobs, lacking human
resource capacity
Interview 11 Woman entrepreneur Category: Technology stereotypes
Property: Do not seem to understand that technology is vital
nowadays
Dimension: Ineffective marketing
Sub-dimension: Need to ?educate our community‘
Interview 12 Woman entrepreneur Concepts: Not knowing how to start a business, know benefits
accrued from registering a business as an NPO, not affording
to employ qualified professionals, not knowing where to get
money like seed money
Interview 13 Woman entrepreneur Inability to manage finances
Interview 14 Woman entrepreneur Lacking business mentors for guidance
339
Table 3: Challenges faced by women entrepreneurs
Part II: Open-ended questions
Section C: Business knowledge information
Q16 What in your opinion are the challenges
faced by women as entrepreneurs? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category 1: Ineffective marketing
Property: Product diversification decisions influenced by
miscalculated marketing decisions
Dimension: Considering diversifying into new segments A and
B
Sub-dimension: Competitor eminent competition for the new
entrant
Concept : Local competition
Category 2: Competitor
Property: Product diversification advantage
Dimension: Fair customer market share
Category 3: Gender sensitivity
(women aware of existing gender biases)
Property 1: Socio-cultural gender role expectations
Dimension: Gender role stereotyping
Property 2: Gender-based discrimination
Dimension: Gender-based economic marginalisation
Property 3: Partially met SMME woman entrepreneurs
expectations
Dimension: Government taking action
Concept : Low motivation
Concept: Local competition
Interview 2 Woman entrepreneur Category: Gender sensitivity
(women aware of existing gender biases)
Property 1: Gender stereotyping
Dimension 1: ?Better employers compared to women‘
Dimension 2: Women were not given the ?credit they deserve‘
Sub-dimension: Still questioned
Dimension 3: Women developing apathy
Property 2: Gender role differences
Dimension 1: Time restrictions
Dimension 2: Women multi-tasking
Interview 3
Private sector expert
Concept: Competition
Interview 4 Woman entrepreneur Category: Gender-based discrimination
Property: Women‘s economic marginalisation
Dimension 1: ?Patriarchy‘ and ?males only club‘ attitude from
men
Dimension 2: Sexual innuendos
Dimension 3: Men having differing moral scales
Sub-dimensions: Immorality in business ethics
Interview 5 Woman entrepreneur Category: Gender sensitivity
(women aware of existing gender biases)
Property: Gender stereotypes
Dimension 1: Gender-based career choices
Dimension 2: Socio-cultural gender role expectations
Dimension 3: Gender-based education differences
Dimension 4: Workplace gender inequalities
Sub-dimension 1: Inequalities in earnings between women and
men
Sub-dimension 2: Maternal obligations
Interview 6 Woman entrepreneur Category: Lack of women representation
Property: Gender-based career differences
Dimension: ICT not a career choice
Interview 7 Woman entrepreneur Category: Women lacking recognition
Property: Needing gender disaggregated ICT sector data
Dimension: Lack of ?effort‘ made by the women business
associations in directing attention to the entrepreneur behind
the ICT enterprise
Sub-dimension: Need to develop profile of women
340
Part II: Open-ended questions
Section C: Business knowledge information
Q16 What in your opinion are the challenges
faced by women as entrepreneurs? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
entrepreneurs in sector
Interview 8 Woman entrepreneur Category: Women lacking recognition
Property: Not being taken seriously by family and colleagues
Dimension: Women not recognising and praising themselves
Concepts: Women balancing family life and business
Concept: Networking friendlier for males than for women who
are subjected to sexual harassment behaviour
Interview 9
Government expert
Concept: Women exploited through partnership ventures
Concept: Late payment turnaround time
Concept: Women not benefiting from BEE scorecard
Concept: Condemning of bribing by officials
Concept: Getting inside information from government
Concept: Request for quotation procedures marginalising
women
Concept: Men asking for sexual favours
Interview 10 Woman entrepreneur Concept: Women looked down upon and undermined
Interview 11 Woman entrepreneur Category: Gender sensitivity
(women aware of existing gender biases)
Property: Women entrepreneurs taking assertive action
Dimension 1: Women are successfully operating their own
businesses
Dimension 2: Gender stereotypes
Sub-dimension: Women ICT enterprises surviving in a sector
dominantly pursued by young men doing IT
Interview 12 Woman entrepreneur Category 1: Gender-based stereotyping
Property: Men not expecting women to own ICT enterprise
Dimension: Women not expected be in managerial positions
Sub-dimension: Women boxed into secretarial responsibilities
Category 2: Women experiencing difficulty in accessing funding
Property: No financial support given to women
Dimension: Women are expected to bribe officials to get
funding
Concept: Balancing family and work obligations
Interview 13 Woman entrepreneur Category: Gender stereotyping
Property: Predominantly male-dominated career path
Dimension: Women forced to work twice as hard to prove
themselves
Interview14
Woman entrepreneur
Concept: Women lacking networking skills
341
Table 4: Participants’ understanding of the term ICT
Part II: Open-ended questions
Section C: Business knowledge information
Q17 What is your understanding of the term
ICT? Please elaborate
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Technology awareness gap
Concept: Skyping
Interview 2 Woman entrepreneur Concept: Information in the form of raw or processed data
Concept: Communication in new ways using gadgets.
Interview 3 Woman entrepreneur Concept: A means of communication
Concept: Communication tool
Interview 4
Private sector expert
Concept: Communication comprising ?computers‘ (hardware)
Concept: Radio and cell phones (networks)
Concept: Processing, managing, and communicating
information
Interview 5 Woman entrepreneur Concept: Computer infrastructure
Concept: Communication networks
Concept: Human communication
Interview 6 Woman entrepreneur Concept: ?A bridge‘ used to communicate within the business
world using ?technology‘.
Interview 7 Woman entrepreneur Concept: A technology that uses computers (hardware)
Interview 8 Woman entrepreneur Concept: A ?combination of computers‘ (networks)
Concept: Document storage and retrieval of information
(hardware)
Interview 9 Woman entrepreneur Concept: Combination of computers (networks)
Concept: Storage and retrieval of information
Interview 10
Government expert
Concept: Computers (hardware) for communicating information
Interview 11 Woman entrepreneur Concept: Computers (hardware)
Concept: Store and retrieve information
Concept: Satellite technology
Interview 12 Woman entrepreneur Concept: Computers (hardware)
Concept: Store and retrieve information
Concept: Satellite technology
Interview 13 Woman entrepreneur Concept: Relaying and production of information
Interview 14 Woman entrepreneur Concept: Communication technologies
Concept: Access to information through telecommunications
342
Table 5: Role of ICT in business
Part II: Open-ended questions
Section C: Business knowledge information
Q18 In your view, what is the role of ICTs in
business? Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Reduced travel
Concept: Improved quality of work life
Concept: Information research tool
Concept: Communication tool
Concept: Electronic document storage tool
Interview 2 Woman entrepreneur Concept: Communication tool
Interview 3 Woman entrepreneur Concept: Communication tool
Interview 4
Private sector expert
Concept: ?Backbone‘ that ?assists in improving business
processes‘ ?efficiency‘ and ?effectiveness‘.
Interview 5 Woman entrepreneur Concept: Efficiency
Interview 6 Woman entrepreneur Concept: ?Everything is basically worked on the backbone of
ICT‘.
Interview 7 Woman entrepreneur Concept: Lifeblood of the ICT enterprise
Interview 8 Woman entrepreneur Concepts: ?Efficiency‘, ?faster‘, ?productivity‘, and ?financial gain‘
Interview 9 Woman entrepreneur Concept: Benefit value
Interview 10
Government expert
Concept: An ?enabler‘ for business processes
Interview 11 Woman entrepreneur Concept: Efficiency
Interview 12 Woman entrepreneur Concept: Convenience
Interview 13 Woman entrepreneur Concept: Efficiency
Interview 14 Woman entrepreneur Concept: Enabling innovative business processes
343
Table 6: Problems SMMEs have in relation to ICT application in their
businesses
Part II: Open-ended questions
Section C: Business knowledge information
Q19 What problems do SMMEs have with
ICTs? Please elaborate.
Participant’s Response
(category/property/dimension/concept generated)
Interview 1
Woman entrepreneur
Category: Computer literacy lacking
Property 1: Barriers
Dimension 1: Internet unaffordability
Dimension 2: Lacking computer skills
Property 2: Access to computer
Dimension: Computer literacy benefits
Interview 2 Woman entrepreneur Category: Unaffordability
Property 1: Infrastructure costs
Dimension: Software and infrastructure updates
Property 2: Inability to train people on a regular basis
Interview 3 Woman entrepreneur Concept: Frequent changes in technology
Interview 4
Private sector expert
Concept: Security risks
Interview 5 Woman entrepreneur Category: Gender sensitivity
(women aware of existing gender biases)
Property: Gender stereotypes
Dimension 1: Women are judged as being incompetent and
lacking technical knowledge
Dimension 2: ICT is a men‘s game
Dimension 3: Assertive action taken by women to in dispelling
these stereotypes
Interview 6 Woman entrepreneur Concept: Limited knowledge and training on ICT products
Interview 7 Woman entrepreneur Concept: Scarce resources to train staff
Interview 8 Woman entrepreneur Concepts: Unaffordable upgrades and maintenance costs
Interview 9 Woman entrepreneur Concept: Infrastructure security
Concept: Inadequate information protection systems
Concept: Computer literacy lacking
Concept: Frequency at which technology is changing
Concept: Good and bad competition
Interview 10
Government expert
Category: SMMEs needing competitive advantage over big
business
Property: Employing the latest technology
Dimension: Research and development capacity lacking
Sub-dimension: Government support to SMMEs through
arranged partnerships between big businesses and SMMEs
Interview 11 Woman entrepreneur Concepts: Inadequate security for ICT systems
Interview 12 Woman entrepreneur Concept: Business and ICT skills lacking
Interview 13 Woman entrepreneur Concept: SMMEs uninformed about the benefits of utilising ICT
Interview 14 Woman entrepreneur Category: Internal and external barriers
Property: Unaffordability
Dimension 1: Infrastructure equipment
Dimension 2: Software and hardware devices
Dimension 3: Expensive maintenance costs
Dimension 4: Inability to license software
344
Table 7: Participants’ understanding of ICT legislation and policy
Part II: Open-ended questions
Section C: Business knowledge information
Q20 In your own words, can you please
describe your understanding of the ICT
sector, e.g. how the sector is structured,
applicable legislation and policy? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Acknowledging information gap
Concept: Limited scope in ICT
Concept: Lacking information of the ICT sector
Interview 2 Woman entrepreneur Concept: Understanding of ICT sector
Interview 3 Woman entrepreneur Concept: Acknowledging an information gap
Interview 4
Private sector expert
Concept: Understanding the ICT sector in relation to applicable
policies
Interview 5 Woman entrepreneur Concept: Awareness of legislation policies
Interview 6 Woman entrepreneur Concept: Awareness of legislation policies
Interview 7 Woman entrepreneur Concept: Acknowledging an information gap
Interview 8 Woman entrepreneur Concept: Limited understanding about the sector
Interview 9 Woman entrepreneur Concept: Limited understanding about the sector
Interview 10
Government expert
Category: Legislative environment
Property: Eastern Cape ICT Strategy 2014
Dimension: SMME policies
Interview 11 Woman entrepreneur Concept: Information gap
Interview 12 Woman entrepreneur Concept: Limited understanding about the sector
Interview 13 Woman entrepreneur Concept: Information gap
Interview 14 Woman entrepreneur Concept: Information gap
345
Table 8: How women are stimulating or advancing the ICT sector
Part II: Open-ended questions
Section C: Section C: Business knowledge information
Q21 How are women stimulating
entrepreneurship in the ICT sector? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: Gender sensitivity – women aware of existing gender
biases influencing women‘s lack of participation
Property 1: Gender-based career differences
Dimension 1: Women careers
Dimension 2: Men careers
Property 2: More women-owned companies
Property 3: Gender-based educational differences
Interview 2 Woman entrepreneur Category: Women attempting to make inroads into sector
Property 1: Starting off with ambitious business goals
Dimension: Businesses failing, tough to do business in the ICT
sector
Dimension: Women lack motivation to face challenges
Interview 3 Woman entrepreneur Concept: Limited knowledge of existing women-owned
enterprises
Interview 4
Private sector expert
Concept: Women making inroads into a male-dominated ICT
industry
Interview 5 Woman entrepreneur Concept: ICT training and development
Concept: Motivating candidates to enrol for technical skills
Concept: Women not visible in technical environment
Interview 6 Woman entrepreneur Concept: Limited knowledge of existing women-owned
enterprises
Interview 7 Woman entrepreneur Concept: ICT sector challenging environment for women to
enterprise in
Interview 8 Woman entrepreneur Concept: Gender stereotypes influencing women‘s participation
Concept: Women boxed under administration, creativity, and
management
Interview 9 Woman entrepreneur Category: Developing staff in ICT
Property1: Prioritising the development of young graduates
Property 2: Nurturing talent
Dimension 1: Encouraging women to become women
employers instead of being employees
Dimension 2: Becoming leaders of the next generation
Interview 10
Government expert
Concept: Women making positive strides in taking up positions
previously dominated by men
Interview 11 Woman entrepreneur Concept: Limited knowledge of existing women-owned
enterprises
Interview 12 Woman entrepreneur Category: Gender stereotypes, women aware of existing
gender biases influencing women‘s lack of participation
Property: Most women are presenters
Dimension 1: Few station managers
Dimension 2: Influences of career differences
Interview 13 Woman entrepreneur Concept: Women entrepreneurs making inroads into the ICT
sector to overcome gender stereotyped assumptions
Interview 14 Woman entrepreneur Category: Women taking assertive action
Property: Self-employment creation
Dimension: Unemployment a motivation for women to start
their own business
346
Table 9: How the ICT entrepreneurs use ICT as a core product or service in
SMMEs
Part II: Open-ended questions
Section C: Business knowledge information
Q22 Describe ways in which SMME women
entrepreneurs use ICTs as a core product or
service of ICT enterprises. Please elaborate
Participant’s response
(category/property/dimension/concept generated)
Interview 1
Woman entrepreneur
Category: Service
Property 1: Printing service
Dimensions: Internal purposes
Dimension 2: Primary service
Property 2: Internet café services
Dimension 1: Internal communication tool
Dimension 2: Primary service
Interview 2 Woman entrepreneur Category 1: Service
Property 1: ICT training
Property 2: Computer used to market services via email
Category 2: Product
Property 1: Develop brochures
Product 2: Sales and repairs
Interview 3 Woman entrepreneur Category: Product
Property 1: Sell computer consumables
Property 2: Electronic equipment
Property 3: Printing equipment
Property 4: Software and hardware
Interview 4
Private sector expert
Category: Service, administrative function
Property 1: Generating invoices and quotations
Property 2: Generating payslips using software programmes
Property 3: Sales and inventory management
Interview 5 Woman entrepreneur Category: Service
Property: ICT training
Interview 6 Woman entrepreneur Category: Product
Property: Selling ICT consumables
Dimension 1: Pastel software
Dimension 2: Printing entities
Dimension 3: Networking equipment
Category 2: Service
Property 1: Consulting service
Dimension 1: Web design
Dimension 2: Advice support service on office and home office,
ICT products
Interview 7 Woman entrepreneur Category: Service
Property: Postal service
Dimension 1: Courier
Dimension 2: Mailbox
Property 2: Small office support
Dimension 1: Document solution
Dimension 2: Office supplies
Dimension 3: Digital solutions
Interview 8 Woman entrepreneur Category: Product
Property 1: ICT courses
Category: Service
Property : IT used for internal communication tool
Property 2: Marketing tool
Property 3: Externally for networking purposes
Interview 9 Woman entrepreneur Category: Service
Property 1: Network infrastructure, mobile solutions offered in
partnership with a mobile network operator
Property 2: Systems development solutions
Property 3: Support services
Category: Product
Property 1: eBooks sales
Property 2: Software and hardware equipment
347
Part II: Open-ended questions
Section C: Business knowledge information
Q22 Describe ways in which SMME women
entrepreneurs use ICTs as a core product or
service of ICT enterprises. Please elaborate
Participant’s response
(category/property/dimension/concept generated)
Property 3: ICT security systems
Property 4: Fixed line solutions
Interview 10
Government expert
Concept: Software development, systems development, web
design, business analyst, intelligence, and cabling
Interview 11 Woman entrepreneur Category: Service
Property 1: ICT training
Property 2: Internet café service
Interview 12 Woman entrepreneur Category: Gender-based career differences
influencing use of ICTs
Property 1: Women opting for occupations in the ICT
environment
Dimension 1: ICT training
Dimension 2: Secretarial positions
Dimension 3: Few in technical environment ?technicians‘
Interview 13 Woman entrepreneur Category: Product
Property 1: Engineering
Property 2: IT
Category: Service
Property: Film-making
Interview 14 Woman entrepreneur Category: Product
Property: Innovative manufacturing of ICT products
Dimension: Solar tablet PC
348
Table 10: Enterprises’ value chain of business processes
Part II: Open-ended questions
Section C: Business knowledge information
Q23 Describe the enterprise’s value chain of
business processes, e.g. which relate directly
to the delivery of enterprises’ core products
or services? Please elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: ICT enterprise value chain processes
Property 1: Printing processes
Dimension 1: Printing
Dimension 2: Laminating
Dimension 3: Binding
Property 2: Concept Development processes
Dimension: Internet
Property 3: Creative design processes
Dimension 1: Editing
Dimension 2: Email
Dimension 3: Typing
Dimension 4: Outsourcing
Property 4: Outsourcing decision processes
Dimension 1: Printing
Dimension 2: Creative skills
Property 5: Communication service processes
Dimension 1: Internet
Dimension 2: Editing
Dimension 3: Email
Dimension 4: Typing
Interview 2 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Marketing
Dimension 1: ?Design‘
Dimension 2: Develop posters
Dimension 3: Distributing posters to existing and potential
clients
Property 2: After sales marketing
Dimension 1: Database management
Sub-dimension 1: Sending email and SMS
Sub-dimension 2: Telephoning clients
Property 3: Content development
Dimension 1: Training manuals
Dimension 2: Printing manuals
Property 4: Financial management
Dimension 1: Purchasing equipment
Sub-dimension: Software and hardware
Dimension 2: Invoicing
Dimension 3: Generating and printing certificates
Interview 3 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Retail processes
Dimension: Sales
Property 2: Marketing and advertising
Dimension: Advertised through poster
Interview 4
Private sector expert
Category: Low innovation levels
Property: ICT is not understood well enough by small business
to trigger innovation
Dimension: Owners are inclined to be followers rather than
leaders
Interview 5 Woman entrepreneur Category : ICT enterprise value chain processes
Property 1: Administration processes
Dimension 1: Registering the businesses
Sub-dimension: Compliance issues
Dimension 2: Procedures for developing content for the
curriculum
Dimension 3: Submitting documentation for accreditation
Property 2: Marketing
349
Part II: Open-ended questions
Section C: Business knowledge information
Q23 Describe the enterprise’s value chain of
business processes, e.g. which relate directly
to the delivery of enterprises’ core products
or services? Please elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Dimensions 1: Word of mouth advertising
Dimension 2: Brochures, banners, and pamphlets
Dimension 3: Newspaper adverts
Interview 6 Woman entrepreneur Category: ICT enterprise value chain processes
Property: Market research
Dimension 1: Word of mouth
Dimension 2: Radio advertising
Dimension 3: Mail marketing
Dimension 4: Internet
Dimension 5: Building up customer base
Property 2: Maintenance
Dimension 1: ICT equipment and tools
Dimension 2: Staff training
Property 3: Procurement
Dimension: Stores
Interview 7 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Postal services
Dimension: Information distribution and packaging
Interview 8 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Marketing
Dimension 1: Products and service brochures
Property 2: Administration
Dimension 1: Invoicing
Sub-dimension: Registration payments and submission
procedures
Interview 9 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Retail
Dimension: Sales processes
Property 2: Administration
Dimension: Billing procedures and accounting work
Property 3: Technical department processes
Dimension: Project management
Sub-dimension 1: Overseeing the delivery
Sub-dimension 2: Implementation processes of internal
projects and outsourced projects
Interview 10
Government expert
Concept: Low levels of innovation
Concept: Innovation demonstrated in systems development,
web design, business analyst, intelligence, and cabling
Interview 11 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Advertising strategies
Dimension 1: Posters
Sub-dimension: Outsourcing work for design
Dimension 2: Doing a quality job for return business
Dimension 3: Word-of-mouth
Property 2: Administration
Property 3: Human resources
Interview 12 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Radio programming
Dimension 1: Informed by customer feedback
Dimension 2: Informed by the mandate of the board and
committees
Property 1: Committee functions
Dimensions 1: Market our programmes
Dimension 2: Address technical issues that have to do with
signal distribution
Dimension 3: Develop program content
Sub-dimension: disability issues
Dimension 4: Advertising
Sub-dimension: Media buying
Dimension 5: Issuing of quotations and invoices
350
Part II: Open-ended questions
Section C: Business knowledge information
Q23 Describe the enterprise’s value chain of
business processes, e.g. which relate directly
to the delivery of enterprises’ core products
or services? Please elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Interview 13 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Documentary production
Dimension 1: Drafting of proposals
Dimension 2: Pre-production
Sub-dimension 1: Planning
Sub-dimension 2: Researching
Sub-dimension 3: Drafting of the script
Property 2: Production
Dimension 1: Film or re-enact scenes
Dimension 2: Editing of raw footage
Dimension 3: Producing the final product
Property 3: Web designing and hosting
Dimension 1: Generating the content
Dimension 2: Creating and activating pages
Interview 14 Woman entrepreneur Category: ICT enterprise value chain processes
Property : Research and development
Dimension 1: New design processes
Dimension 2: Production
Dimension 3: Manufacturing quality control
Dimension 4: Packaging
Property 2: Marketing and promotion
Dimension: Distribution of the product
351
Table 11: The frequency of introducing new products or services by the
SMMEs
Part II: Open-ended questions
Section C: Business knowledge information
Q24 How often does the enterprise introduce
new products or services and what informs
the decision to do so? Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: Market driven decision-making
Property 1: Opportune gap in the market
Dimension : Funding limitations
Property 2: Addressing clientele needs
Dimension : Product line diversification
Concept: Yearly upgrades on products
Interview 2 Woman entrepreneur Category: Market driven decision-making
Property: Market research
Dimension 1: Reading ?magazines‘
Dimension 2: Competitor benchmarking
Dimension 3: Customer feedback
Concept: Yearly upgrades on products
Interview 3 Woman entrepreneur Concept: Market trends drive decision-making
Concept: Yearly upgrades on products
Interview 4
Private sector expert
Concept: Market trends drive decision-making
Interview 5 Woman entrepreneur Category: Market research driven decision-making
Property 1: Constant competitor research
Dimension 1: Being on par with latest technology for ICT
training
Dimension 2: Attract customers
Concept: Yearly upgrades on products
Interview 6 Woman entrepreneur Category: Technology driven changes
Property 1: Avoiding becoming obsolete
Dimension: Staying abreast of technology concept, product
changes on a yearly basis
Interview 7 Woman entrepreneur Category: Product change decision-making decided by head
office
Property : Sale promotions determined at branch level
Concept: Equipment is replaced based on ware and tear
Interview 8 Woman entrepreneur Concept: Market trends determine decision-making
Concept: Introduction of products happens yearly and is
informed by SETA policy requirements
Interview 9 Woman entrepreneur Category: Decision-making driven by the shift in internal
strategic focus
Property: Market segmentation strategy
Dimension: Focusing on particular segment to introduce
products
Property 2 : Strategic partnership ventures
Concept: Changes in technology upgrades occurred on a
yearly basis
Interview 10
Government expert
N / A
Interview 11 Woman entrepreneur Concept: Market driven decision-making
Concept: Upgrades occurred on a yearly basis
Interview 12 Woman entrepreneur Category: Market driven decision-making
Property 1: Listenership ratings
Property 2: Feedback through surveys
Concept: Product changes on a yearly basis
Interview 13 Woman entrepreneur Concept: Market trends
Concept: Product changes done yearly
Interview 14 Woman entrepreneur Concept: Market trends
Concept: Product changes done yearly
352
Table 12: Role of government in promoting ICT women-driven
entrepreneurship
Part II: Open-ended questions
Section D: Role of government in SMME development
Q25 What is government currently doing to
promote ICT women-driven entrepreneurship
development, e.g. structured and
unstructured support programmes and
initiatives? Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: Acknowledging an information gap
Property 1: Limited to secondary sources of information
Concept: Lacking follow-up initiative
Category: Developing apathy
Property 2: Lack of initiative in accessing business related
information
Dimension: Time management issue
Interview 2 Woman entrepreneur Category: Acknowledging an information gap
Property : Inaccessible information sources
Dimension 1: Networking sources of information inaccessible
Dimension 2: Government sources of information limited
Interview 3 Woman entrepreneur Concept: Acknowledging an information gap
Concept: Unaware of specific projects benefiting women in ICT
sector
Interview 4
Private sector expert
Concept: Lack of government intervention
Interview 5 Woman entrepreneur Category: Gender sensitivity
Property: Gender stereotypes
Dimension: Males benefiting from sector
Sub-dimension: Male-dominated environment
Interview 6 Woman entrepreneur Concept: Not aware of projects implemented by government for
women in ICT sector
Concept: More women should penetrate ICT sector in technical
environments
Interview 7 Woman entrepreneur Concept: Gap in information about initiatives promoting
women-driven entrepreneurship development in the ICT sector
Concept: Losing ?trust‘ and ?faith‘ in government
Concept: Especially as a ?white woman‘
Concept: There is so much corruption
Concepts: Not into politics
Interview 8 Woman entrepreneur Concept: Gap in information about initiatives promoting
women-driven entrepreneurship development in the ICT
Interview 9 Woman entrepreneur Concept: Gap in information about initiatives promoting
women-driven entrepreneurship development in the ICT
Interview 10
Government expert
Category: Government taking action
Property 1: Limited SMME support
Dimension: Managing procurement from SMMEs through
centralised electronic database
Dimension 2: Thirty day turnaround payment
Property 2: Giving support to women entrepreneurs
Dimension: BEE scoring point system
Interview 11 Woman entrepreneur Concept: Gap in information about initiatives promoting
women-driven entrepreneurship development in the ICT
Interview 12 Woman entrepreneur Category: Information gap
Property: Inequality in accessing ICT programmes
Dimension: digital divide between ?big cities‘ and rural areas
Dimension 2; Programmes targeting people who are already
aware
Interview 13 Woman entrepreneur Category: Government providing support
Property: Support through ICT hubs
Dimension 1: Mentorship programmes
Dimension 2: Coaching
Dimension 3: Financial assistance
Dimension 4: Access to infrastructure
Interview 14 Woman entrepreneur Category: Government providing support
353
Part II: Open-ended questions
Section D: Role of government in SMME development
Q25 What is government currently doing to
promote ICT women-driven entrepreneurship
development, e.g. structured and
unstructured support programmes and
initiatives? Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Property: Support through ICT hubs
Dimension 1: Mentorship programmes
Dimension 2: Coaching
Dimension 3: Financial assistance
Dimension 4: Access to infrastructure
354
Table 13: Additional requirements of the women entrepreneurs from
government to promote women participation in the ICT sector
Part II: Open-ended questions
Section D: Role of government in SMME development
Q26 What more should government do?
Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Women entrepreneurs needing action from
government
Concept: Up-skilling for SMMEs
Interview 2 Woman entrepreneur Category: Difficulty in accessing funding
Property: Provide rental subsidy for office space occupied by
small business
Interview 3 Woman entrepreneur Concept: Unaware
Interview 4
Private sector expert
Concept: Upselling for SMMEs
Interview 5 Woman entrepreneur category: Organise road shows on the ground
property : Get input from small businesses‘ perspective
dimension: Awareness of SMME challenges
Interview 6 Woman entrepreneur Concept: Government not taking SMME women seriously
Interview 7 Woman entrepreneur Concept: Government assistance lacking
Interview 8 Woman entrepreneur Category: Funding processes not fair for SMMEs
Property 1: Accessible when having inside connection
Property 2: Monitoring and evaluation of procurement
processes by government
Property 3: SMMEs giving out a percentage of their money
Property 4: Corruption must be stopped
Interview 9 Woman entrepreneur Category: Women entrepreneurs needing action from
government
Property 1: Linking women with relevant companies
Dimension: Monitor that these companies are not abused or
used by bigger companies
Property 2: Women entrepreneurs needing marketing support
Dimension: Marketing the province abroad
Property 3: Encouraging women to get into this sector
Dimension 1: Women made aware of available business
opportunities
Dimension 2: Made aware what they should offer
Dimension 3: Made aware of technical assistance that is
available for women
Dimension 4: Government to play mentorship role
Interview 10
Government expert
Concept: Procurement spend on SMMEs in ICT sector
Concept: SMMEs should be given preferential treatment to
favourably compete with big business
Interview 11 Woman entrepreneur Concept: Government taking action
Concept: Implanting procurement policy (BEE scorecard)
Category: Addressing gender-based inequities
Property: Historically women have been undermined
Dimension: Women not receiving equal benefits to men
property: Women taking assertive action
Dimension: Making in roads into the ?industry‘
Interview 12 Woman entrepreneur Concept: Women entrepreneurs needing action from
government
Concept: Government taking action
Concept: Providing training in the form of ?seminars‘
Concept: Funding training
Concept: More technicians who are women and station
managers
Interview 13 Woman entrepreneur Concept: Information gap not aware of government intervention
Interview 14 Woman entrepreneur Concept: Funding the establishment of sustainable ICT centres
in rural areas
Concept: Creating business opportunities for youth in rural
areas
Concept: Resuscitation of economic activity in rural areas
355
Table 14: Role of the private sector to promote ICT women-driven
entrepreneurship
Part II: Open-ended questions
Section E: Role of private sector in SMME development
Q27 What is private sector doing to promote
ICT women-driven entrepreneurship
development, e.g. structured and
unstructured support programmes and
initiatives? Please elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Acknowledging an information gap
Interview 2 Woman entrepreneur Concept: Acknowledging an information gap
Interview 3 Woman entrepreneur Concept: Acknowledging an information gap
Interview 4
Private sector expert
Concept: Limited but given through ICT innovation hubs
Interview 5 Woman entrepreneur Concept: Limited support in the form of financial assistance
Interview 6 Woman entrepreneur Concept: Acknowledging an information gap
Interview 7 Woman entrepreneur Concept: Acknowledging an information gap
Interview 8 Woman entrepreneur Concept: Acknowledging an information gap
Interview 9 Woman entrepreneur Concept: Acknowledging an information gap
Interview 10
Government expert
Concept: Limited support given in terms of recognition awards
Interview 11 Woman entrepreneur Concept: Acknowledging an information gap
Interview 12 Woman entrepreneur Concept: Acknowledging an information gap
Interview 13 Woman entrepreneur Concept: Limited to support through ICT hub
Interview 14 Woman entrepreneur Concept: Acknowledging an information gap
356
Table 15: Role of the private sector to further develop women in the ICT
sector
Part II: Open-ended questions
Section E: Role of private sector in SMME development
Q28 What more should the private sector do?
Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Not aware of private sector initiatives
Concept: Give B2B support
Concept: Support networking forums
Interview 2 Woman entrepreneur Concept: Private sector needed action
Concept: Support local companies
Concept: Avail business opportunities
Concept: Avail access to business information via webpage
Interview 3 Woman entrepreneur Concept: Unaware
Interview 4
Private sector expert
Concept: Support through ICT training
Interview 5 Woman entrepreneur Concept: Support through training skills
Interview 6 Woman entrepreneur Concept: Support SMMEs by developing their knowledge and
skills in ICT and funding the training
Interview 7 Woman entrepreneur Concept: Unaware
Interview 8 Woman entrepreneur Concept: Unable to suggest
Interview 9 Woman entrepreneur Concept: Use private companies based on their service track
record
Concept: Engage the services of women-owned companies
Concept : National companies engaging local companies
known by a friend
Interview 10
Government expert
Concept: Support through ICT training
Interview 11 Woman entrepreneur Concept: Conduct ICT road shows to create awareness on the
importance of ICT
Concept: Afford SMMEs opportunity to train their staff
Interview 12 Woman entrepreneur Concept: Empower rural people with ICT training
Interview 13 Woman entrepreneur Concept: Playing a mentorship role for emerging women
entrepreneurs.
Interview 14 Woman entrepreneur Concept: Supporting SMME women entrepreneurs
357
Appendix O: Conceptual refinement – depicting the refinement of categories and concepts generated from open-ended questions
Ontological
Category
Properties What When Where Why How Consequence
Gender
sensitivity
Socio-cultural gender
role expectations
Societal
expectations that
view women
entrepreneurs
different to their
male counterparts
Women
entrepreneurs
have to market
the ICT enterprise
Restaurants after
hours
Women not
expected to hold
business meetings
after hours (night)
Women‘s role
viewed to be more
domesticated,
attending to family
after hours
Women being judged
against cultural norms,
?improper‘ behaviour
Women entrepreneurs
are balancing work and
domestic
responsibilities, men
have fewer domestic
responsibilities
Experiencing
challenges in
marketing and
growing the
business
Women unable to
market their
businesses after
hours through
business
relationships
Networking
platforms
Networking
platforms friendlier
to men than to
women
If you are a women,
sexual favours would
likely be expected
Experiencing
challenges in
building business
relationships,
?networking‘,
perceptions that it‘s
a ?men‘s world‘
Gender stereotyping Men are better
employers than
women
Employees
compare
employment
conditions
Local market Men are treated
more respectfully,
they pay good
salaries, and they
are more productive
?Women not given the
credit they deserve‘
Women
entrepreneurs
developing
insecurities
?Women quickly give
up‘ on business
Gender-based
discrimination
Gender-based
economic
marginalisation
Seeking financial
assistance ?loans‘
?Banks‘ Discriminated
against by virtue of
being a woman
Denied access to
finance
Have limited
operating capital –
low profits
?black businesses‘
struggle and close
down
Cash flow problems
seen as a risk by
banks
358
Ontological
Category
Properties What When Where Why How Consequence
No ?collateral‘
security
SMMEs in urban and
rural areas
Poor credit history
or no ?financial
record‘,
Do not earn a
regular salary
Loans inaccessible
SMMEs neither
know where, nor
how to access
funding.
Information not readily
available
Develop apathy
Access business
opportunities
Government and
private sector
Bias in tender
adjudication
processes
BEE scoring point
system is not benefiting
women as it intends to
(due to lack of
transparency)
Women
entrepreneurs shy
away from pursuing
tender opportunities
Playing field is not
Level
Gender
sensitivity
Gender-based inequality
in the workplace
Underrepresentation
of women in key
positions
Career
advancement
Senior positions Men still question
women‘s abilities.
Perceptions of ?men‘s
world‘
Women‘s voice not
heard, no input in
the decision-making
platforms
Inequality in working
conditions
Workplace Women and men
not treated as
equals, differences
in remuneration,
maternity leave
(long absence from
work ) that affect
women‘s financial
standing
Credit rating affects loan
application
Inaccessible
funding affects
cash flow
Women lack work
experience in
comparison to their
male counterparts
and are not
competitive enough
to earn a higher
income
Limited career
advancement
opportunities
359
Ontological
Category
Properties What When Where Why How Consequence
Women lacking ICT
knowledge
Women lacking
knowledge about
ICT sector
Role of ICT in
business
acknowledged
Marginalisation from
ICT
Gender-based
educational differences
Unequal educational
qualifications
Compare women
to men
Workplace Inequalities in
earnings between
women and men
Women underqualified
than men
Women‘s
professional
advancement limited
Women have less
work experience
than men
Women occupy
subordinate positions
Inability to advance
to senior level
positions where
decision-making in
ICT happens
Women lack
financial confidence
Bookkeeping Enterprise Bookkeeping
purposes
Unable to compile
financial documents
In debt at the
receiver of revenue
owing to outstanding
information required
on submission
Gender stereotypes ?It is difficult in
today‘s environment
to be able to get a
tender although you
submit all required
information for
tendering‘
Accessing tenders Government Women
entrepreneurs are
?side-lined‘
?The panel looking
into these tenders
are male-dominated‘
Tender irregularities,
giving preference to
men get preferential
treatment
Women‘s economic
marginalisation in
the ICT sector
Gender
sensitivity
Gender stereotypes Women are ?judged‘
as being
?incompetent‘ and
lacking in technical
knowledge
Meetings and
workshops
Business Women are always
looked at as not
being
knowledgeable [in
ICTs]
Men perceived as
being
Underrepresentation in
technical environment
Women reverse
these perceptions in
taking assertive
action enrolling for
technical courses
360
Ontological
Category
Properties What When Where Why How Consequence
?the technical
experts in
computers‘, Men‘s
game
Partially met SMME
woman entrepreneurs‘
expectations
Government do not
recognise women as
?business owners‘
Seeking business
opportunities
Government Unequal access to
business
opportunities
Lack access to tender
information
Lack access to funding
Develop apathy and
eventually close
down business
Slow change in
government action
Women-owned
business
marginally
recognised
Government not
availing business
opportunities for
women-owned
BEE scoring point
system
Tender opportunities
are limited
Women‘s management
style
?sensitive
personality‘
Making their
voices heard
Board meetings Have a ?sensitive‘
and ?soft side‘
Make their views heard
using soft skills –
emotional intelligence
Diffuse intimidating
attitude from men
Women are
?emotional‘ by
nature
Lack emotional
intelligence, have
personal issues
Clouded judgement
and decision-making
?Women have no
decision-making power‘
?Women have no
power to challenge
or change the
situation‘
They are not
involved in decision-
making in
environments, e.g.
?engineering‘
Women‘s voice missing
to advocate for issues
affecting women
ICT decisions made
on their behalf
Gender-based
occupational
differences
Women distant to ICT –
socialisation
Women are
marginalised from
ICT
Women entrepreneurs
taking assertive action
Reverse gender
stereotypes
Professional and
economic
development
ICT sector Operate their own
businesses
?Pursue career options
in IT historically pursued
by young men‘
Reverse gender
stereotypes
Gender-based
discrimination
Women have no
decision-making power
Women are
oppressed and in a
powerless position
Decision-making Workplace Gender-based
occupational
differences, men in
positions of power
Have no power to
challenge or change the
situation
Inability to contribute
to decisions
concerning
operations of the
organisation
Gender-based sexual
harassment
Women subjected to
?sexual innuendos‘
Seek tender
opportunities
Government Government officials
seek sexual favours
in return for
awarding tenders
Immorality in business
ethics, ?differing moral
scales‘
Women are
economically
marginalised
361
Ontological
Category
Properties What When Where Why How Consequence
Gender-based
career
differences
?Predominantly male-
dominated career path‘
Stereotypical
notions of perceived
different career
paths for women
and men
Pursue career
choices
ICT sector Underrepresentation
of women in key
positions in the ICT
sector
Influenced by socio-
cultural gender role
stereotypes, men‘s
world / males only club /
men‘s club / boys club /
men‘s game
Lack career
orientation to and
understanding of
career possibilities
in the ICT sector.
Women career paths:
Training providers
Administrative workers
Technicians
Women ?not seeing
the value of ICTs?
Men not expecting
women
entrepreneurs to
take up senior
management
positions
Inequalities in the
workplace – women
not having decision-
making power in
ICT
?In the past, all technical
positions have been
held by men and it is
like an issue to have
women in [the] technical
[environment] ICT‘.
Marginalisation from
ICTs
Women empower
themselves in ICTs
Few women role
models in senior ICT
positions
Increasing
stereotypes in
?women‘s jobs
and ?men‘s jobs‘
Women
entrepreneurs
demonstrate
assertive action in
penetrating core
technical
environments
Gender
stereotyping
Gender-based career
differences
Gender segregation
influenced by socio-
cultural gender role
expectations
Delineating female
orientated skills
and male
orientated skills
Career development
planning at
workplace
Women
discouraged from
pursuing career
aspirations
Forced to find
employment in the
?corporate world‘ as
opposed to ?men‘ who
have the opportunity to
?study further‘
Increases the
underrepresentati
on of women in
the ICT sector,
especially in top
management
positions
Increases
overrepresentatio
n of women in
non-professional
ICT occupations
ICT sector
predominantly a
male-dominated
career environment
Women occupations
associated with
?administrative creativity‘
Marginalises female
participation in ICTs
362
Ontological
Category
Properties What When Where Why How Consequence
Gender
stereotyping
Public‘s stereotypical
perception of the
business owner
Stereotypes held
about women‘s
ability to run an ICT
enterprise
undermined
Women
entrepreneurs not
recognised in the
industry
Business
environment
?Women not given
the ?credit they
deserve‘
Men‘s technical
orientation better than
women
Have to prove their
capacity
Women
lacking
recognition
Needing gender
disaggregated ICT data
Sex disaggregated
statistics of the ICT
sector in the
Eastern Cape are
not available
Business women‘s
achievement
awards
Business
environment
To establish how
many businesses
are owned by
women
To look at the
nature of the
business [industry]
women are
enterprising in to
appreciate the
challenges they
encounter
Sex disaggregated
statistics of women
owned businesses in
the ICT sector should
be available
Understand women-
driven
entrepreneurship in
the province
Women‘s
contribution in the
ICT sector goes
unrecognised –
despite weathering
the challenges
Acknowledging
an information
gap
Limited to secondary
sources of information
Limited to television,
peers in business,
hear say
Look for business
opportunities
Small business
support agencies
Challenges with
time management
No follow-up with SEDA
on advertised
information
Miss out on
business
opportunities
Seek funding Non-assertive action No follow-up initiative
No research conducted
about the market
Develop apathy, low
motivation
Not optimising
available sources of
SMME support
Accessing support
initiatives
Networking sources
of information
Look for business
information
Business networking
platforms and
meetings
Attendance is
predominantly male
Agenda gender-biased,
issues discussed do not
speak to women issues
Widen inequalities in
accessing
information that
could enable women
to benefit from
available resources
and economic
opportunities made
available to
business networking
platforms
363
Ontological
Category
Properties What When Where Why How Consequence
Networking among
women
entrepreneurs is
lacking.
They do not know
one another and do
not know how other
women
entrepreneurs are
progressing
Lack of access to
information that
women are
supposed to benefit
from
Government
tenders
Government sources
of information
?Difficult to access
business
opportunities for
women-owned ICT
enterprises‘
?Supply chain is not
doing enough to
promote Broad-based
Black Economic
Empowerment‘
Women do not
benefit from BEE
scoring point system
Widening gap
between women
and men in
accessing
economic
opportunities
Acknowledging
an information
gap
Inaccessible government
offices
ICT cost (online)a
barrier in accessing
government offices
Business
opportunities
Government
departments
No national offices
at local level
Learn more about
assistance DTI provides
to women
Difficulty to access
information from
relevant local
departments
Access SMME
support
programmes
Access through the
local agency
Often referred to consult
the national office,
information gap at the
agency
Lack of access to
information limits
women‘s
development
business
opportunities
Lack access to local
branches, loss of
training, learning,
development and
career opportunities
Private companies No national offices
at local level
Cannot afford
telephony cost as
entrepreneurs are
operating from
home- teleworking
Information not readily
available
364
Ontological
Category
Properties What When Where Why How Consequence
Woman
entrepreneur has
limited scope in ICT
skills, lacks ICT
orientation in the
ICT sector
Computer
applications
Workplace Familiar with end-
user applications
ICT skills not upgraded,
limited to end-user
computing qualification
Limited knowledge
and skills in ICT
ICT enterprise
experience
technical
problems, network
infrastructure
Server network
unavailable
Lack of in-house
technical skills
Sourcing services of a
technician to detect
problem
Impact decisions
pertaining to
infrastructure
upgrades,
inflexibility to
consider changes
Women
entrepreneurs lack
information about
the ICT sector
Accessing
information
ICT sector Limited exposure to
information sources
Information not readily
available
Inflexibility to
changes in the ICT
sector that may
directly or indirectly
impact the ICT
enterprise
Women not
recognised as
?business women‘
Do not know what
information to look
for
Limited communication
between SMMEs and
government / private
sector
Lack of access to
information limits
women‘s
contribution to the
sector
Accessing
business related
information
ICT sector ?I do not know what
is available for
women out there‘
Information not readily
available
Missing business
opportunities
Internal and
external
barriers
Unaffordability ?Expensive
equipment costs‘
?Expensive
maintenance costs‘
Licensing of
software
Upgrading Workplace Financial limitations Access funding Obsolete technology
365
Ontological
Category
Properties What When Where Why How Consequence
Access Internet Look for business
opportunities
Government and
private sector
Financial limitations Access online
information
Missed business
opportunities
Unaffordability Cannot afford salary
of qualified staff
Hiring staff ICT Market Limited operating
budget
Recruiting people with
ICT qualification
Staff shortages
?one-man-show‘
Inability to conduct
continual training
Upgrade systems Workplace Limited operating
budget
Funding inaccessible Marginalisation from
ICT
Government regulations Stringent
procurement
systems
Tendering Government Women do not meet
strict qualifying
criteria
Denied access to
finance
Could exclude the
SMME from
business
Affect performance
of the enterprise
Inflexible
administrative
requirements and
procedures
Access finance Government Restricting
application
requirements, i.e.
loan, credit, and
collateral surety
Compliance
requirements
Documentation too
complex
Inability to access
operating capital
Access business
information
Do not having ?full
information‘ about
government
initiatives
Access business
information
Government Lack initiative Self-imposed barrier Get empowered
?Most SMMEs do
not have mentors to
provide guidance‘
Need exposure to
information,
networking
opportunities
Government and
private support
initiatives
Women
entrepreneurs need
guidance through
mentorship
programmes
Government and private
sector must establish
SMME business
incubators throughout
the province
Decrease their
visibility as
entrepreneurs in
the ICT sector
Government should
facilitate open dialogue
sessions with women
entrepreneurs
Under performance
of ICT enterprises
366
Ontological
Category
Properties What When Where Why How Consequence
Internal and
external
barriers
Access business
information
Late turnaround
payment processes
of Government
Wait for payment Procurement officers Careless supply
chain administration
processes
?no accountability‘ Unable to tender
sustainably
Cost implications
for the ICT
enterprise
Cash flow problems
Poor customer
service
Bad reputation for
ICT enterprises, pay
their suppliers late
Experience
difficulties to
access funding
Inequalities in accessing
funding
?To get funding, you
must know someone
from inside or be
part of a network
group‘
Allocation of funds Government Funding processes
are not fair
A lot of corruption
happens through
government
connections
Government must
?monitor and evaluate
procurement processes‘
Inequality in
accessing funding
?Operational costs‘ ?Although we get
funding for
infrastructure,
equipment from an
agency, we still
need funding to
cover operational
costs‘ for the multi-
media centre
Look for sources
of funding
Private donor
funding agencies
Government
Limited operating
budget
Generate funding for
sustainability
Community media
centre is a white
elephant, inability to
raise additional
finance
Lack of start-up
capital, loans
Look for sources
of funding
Government and
private sector
For equipment and
marketing costs
Not taking initiative to
approach sources that
provide funding
Lack of access to
finance affects
business
performance
Eastern Cape
ICT Market
Private company
preferred suppliers
Local companies
identified by
?National companies
to do business with
are getting business‘
Requests for
tendering services
From local market ?Already have
contracts with local
companies‘
?Utilise those companies
for their services‘
Local ICT
enterprises get
marginalised
Government suppliers ?Established
companies‘ on the
government supplier
database are not
getting business‘
Requests for
quotations
From local market Unable to
markdown
Do not have
government
connections
Economic
marginalisation
367
Ontological
Category
Properties What When Where Why How Consequence
?Black SMMEs‘,
new entrants are
getting business
Requests for
quotations
From local market ?Mark down prices
against a standard
market margin‘,
?they are the ones
who get the work‘,
uncompetitive
pricing
Have government
connections
?Getting inside tender
information from
government‘
Do not last very long
in business when
relationships with
government officials
collapse
They are
?destabilising the
market‘, – they
undercut everyone
who has been
playing in that space
Requests for
quotations
From local market Government looks
at the cheapest
quotation
Respond competitively
to requests for
quotations compared to
established companies
Run out of business
when connections
collapse
Low innovation
levels
?ICT is not understood
well enough by small
business to trigger
innovation‘
Lack of SMME
innovation
Innovation
considered a
contributing factor to
successful
entrepreneurship
Employing ICT for
business purposes
Workplace Not understanding
?innovation is at the
heart of any ICT
business‘
?Owners are inclined to
be followers rather than
leaders‘
ICT technology not
optimised, not
aware of simplified
formats offered by
ICT, e.g. online
management of
business processes
Lack ability to
propose new ideas
and prospective or
beneficial changes
to the sector
Lag behind in
Technological
Development
Women-driven
innovation observed
in: ?systems
development‘, ?web
design, ?business
analyst‘,
?intelligence‘, and
?cabling‘
Occupation ICT sector Take assertive
action to penetrate
careers previously
dominated by men
Manufacture innovative
products and propose
innovative systems and
solutions
Compete favourably
in the ICT sector
Developing
apathy
Lack of interest in
accessing business
related opportunities /
information
Lack of initiative to
follow up on
information obtained
from secondary
sources
Look for business
opportunities
Government No information
research, that could
benefit the ICT
enterprise
Has not dedicated much
time to actually tap into
the opportunities that
are out there
Economic
marginalisation, Do
not benefit from
government
initiatives
368
Ontological
Category
Properties What When Where Why How Consequence
Quickly give up on
business
opportunities,
especially when
faced with
challenges
Globalisation Lack of local SMME
support
Big companies
?multi-vendors‘
favoured over local
SMMEs that are not
accommodated by
the ?procurers of
services‘
Tendering Eastern Cape ICT
market
SMMEs ?considered
to be a risk by multi-
nationals‘
SMMEs look at big
business for ?support‘ in
terms of getting
business opportunities
locally.
Economic
marginalisation of
SMMEs in the
province,
opportunities for
small business in
the province are
obscured
Develop staff
capacity
Prioritise the
development of young
graduates
Nurture the talent Mentor young
graduates
Workplace ?To become women
employers instead
of being employees‘
Demonstrate
instinctive mother[ly]
care
Looking opportunities to
develop them through
mentoring
Become leaders of
the next generation
in the ICT sector
Address the
shortage of women
in key positions
Develop staff
capacity
Lack business
knowledge and skills
?Unfamiliarity with
business operations‘
No workplace
experience,
?incompetent‘?
Operational
activities
Workplace Start-up business Lack skills in the area of
?finance‘, management‘,
and ?employment
regulations‘.
Underperformance
of the ICT enterprise
Lack human resource
capital
Inability to create
?sustainable‘
employment
Recruiting Local market ?People are
poached by other
companies‘
?Offered better salaries
and better opportunities‘
Low staff retention
levels, wasteful
expenditure, training
for other companies
Lack time to
assume the role of
mentor
Induction period Workplace Time management
issues
Understaffed
Mentoring ?takes about
two to three months
before they are ready to
understand your
business‘
Staff shortages,
one-man-show,
owner burdened
with responsibility
ICT enterprise not
able to hire people
Seek operating
capital
Government and
private sector
?enterprise not able
to pay ?people‘
salaries
Do not generate
sufficient income‘
High staff turnover
369
Ontological
Category
Properties What When Where Why How Consequence
Experience difficulty
in accessing funding
Motivation Develop people ?give them the
chances you did not
have‘
Employees
?lacking in
business and ICT
skills‘
Workplace ?To get everybody
on board‘ in relation
to the vision of the
ICT enterprise
Impart business and
ICT skills
Connect people with
ICT
Women who lack
motivation are
considered ?a big factor
when starting a business‘
Seek business
opportunities
Marketplace Lack ?sheer
determination‘ and
?belief‘ in the ?idea‘
Do not diversifying
product range
They ?start of big‘,
miscalculate
business decisions
Fail to market the
ideas
Fail to succeed
because ?it is tough to
do business in this
sector‘ if business skills
are lacking, poor profit
margins
Women who lack
motivation are
considered ?a big
factor when starting
a business‘
Lack business
knowledge
Start off with ambitious
goals
Women ?do not
know how to ?start a
business‘
Miscalculated
marketing decisions
result in low
customer market
share compared to
competitors
Establishing the
?business‘
ICT sector ?Women lack
motivation‘ because
it is tough to do
business in the ICT
sector‘
?Women lack business
knowledge‘
Businesses fail
because they start
off with ambitious
goals
Lack of
development
in ICT skills
Motivate candidates to
enrol for technical skills
?motivate… women
candidates to enrol
for technical support
skills‘
An emerging
demand for ?skills
in the technical‘
environment
ICT sector Women do not
penetrate the core
?technical
environments‘
Skills shortage in the
technical environment
An opportune gap
for women to curb
women‘s
marginalisation from
ICT
Underrepresentation
of women in the ICT
sector creates a
scarcity of role
models for other
women and
perpetuates male
dominance in the
sector
Inequalities affect
370
Ontological
Category
Properties What When Where Why How Consequence
women‘s ability to
access, use, and
master ICTs.
Lack of
computer
literacy lacking
Barriers Unable to afford
Internet service
Work
assignments
ICT sector Financial limitations Internet costs Marginalisation from
ICT
Lack of computer
literacy
No training in ICT
skills
Unable to use a
computer
Computer
literacy
Access to computer Able to operate a
computer
Work
assignments
Workplace Aware of computer
literacy benefits
Have a computer Optimise ICT usage
Cannot operate a
computer to solve a
network problems
Work
assignments
Workplace SMMEs don not
have the necessary
ICT background
Women have a poor
awareness of the career
possibilities in ICT
Career possibilities in
ICT do not have high
profile, due to
stereotype of ?men‘s
world‘
?SMMEs are
reluctant to embrace
change… new
technology… they
prefer the old‘
Inability to use new
technology
appropriately
Work
assignments
Workplace Lack of computer
literacy
Divulge information Compromise
security of the
protocols of the
enterprise
Technology
stereotypes
Assume that they do not
have to know about
technology
Ineffective
marketing
Promote services
and products
Local community ?Do not seem to
understand that
technology is vital
nowadays‘
?Educating community
about the use of tele-
centres‘
Multi-media centre
is a white elephant
Inability to use new
technology
appropriately
perceived as a
possible risk for the
enterprise
Community lags
behind in
technological
advancement
Technology
driven
changes
Avoid becoming obsolete Staying abreast of
technology
Upgrading Marketplace Rapid technological
changes
?Staff trained to keep up
with latest technology‘
The ICT enterprise
lags behind
competition and
closes down
371
Ontological
Category
Properties What When Where Why How Consequence
ICT enterprise
value chain
processes
Marketing Marketing activities
Aftersales
communication
activities (CRM)
Content
development
Financial processes
Marketing the ICT
enterprise
Marketplace Get new clients and
retain old clients
Marketing material
?distributed to existing
and potential clients‘
Use Customer
Relationship
Management (CRM)
processes
Return business,
customer retention
strategies
ICT enterprise
value chain
processes
Printing Laminating
Binding
Tendering
services
Government,
Local marketplace
Service offerings of
the ICT enterprise
Bulk printing Making profit
Concept development
Creative design
Internet , editing,
email, typing,
printing, outsourcing
Consulting Local Client Value-added service Provide one-stop
service
Customer retention
strategy
Outsourcing decisions Printing, creative
skills
Identify services
not available in-
house
Big business Lack in-house
capability
No capacity and lacking
skills
Hamper the growth
of the ICT enterprise
Communication service Internet, editing,
email, typing
Client and internal
communication
Marketplace
Workplace
Business
Internal messages
Internet, email, typing
and editing
Improved customer
service, quality
checking of the
services offered
Retail Marketing and
advertising
Image building
Promotion In-store promotions Get more customers Posters Improved sales
Advertising Word of mouth Promote products
and services
Local community Get community to
make use of the
centre
Provide a quality
product / service
Get more people to
use the multimedia
centre
Sales ICT computer
courses
Provide service At the multi-media
centre
Train local
community
ICT training solutions
and Internet café
service
Broadcasting Radio programing Provide service Radio station Community radio
mandate
Broadcast programmes Increase listenership
levels
Documentary production Drafting proposals
Preproduction
Production
Documentation Local and national Create awareness
of opportunities in
the ICT sector
through
Document stories Enable SMMEs to
regard
documentaries as a
career option
372
Ontological
Category
Properties What When Where Why How Consequence
documentary
Research and
development
?new ways of doing
things‘, new design
processes
Develop products Local market Gain competitive
advantage over
competition
Create innovative
products
Increase innovation
levels in the SMME
segment
373
Ontological Category Properties What
ICT usage as a core product Printing Bulk Printing
Internet café services Photo-coping, printing, laminating, faxing, and also phone calls
ICT training NQF Level 3 and 4 ICT courses
Retail ?I sell computer consumables, electronic equipment, printing equipment, software, and
hardware.
IT solutions, web-design, and web-hosting Consulting service
Administrative ICT enabled function ?Generating invoices, quotations‘ and ?payslips using software programmes‘, ?sales and
inventory management‘, and marketing (CRM)
Multi-media service ICT training and photo-coping, printing, laminating, email, faxing, and also phone calls.
PostNet Faxing, courier, document solution, mail boxes, office supplies, and digital solutions.
Network infrastructure and mobile solutions Systems development solutions and support services
Broadband, hosting mobile Internet, cabling infrastructure, desk top / server solutions, and
simplified school solutions
Sales: eBooks, software and hardware equipment, ICT security systems, and fixed line
solutions.
Retail Sales ICT hardware and software, IT equipment, and web-design / networking
Documentaries Film and television production, graphic design, and photography
Community radio programmes Broadcast
PostNet Information distribution, packaging, small business office documentation and management,
design, copy, and print, and a postal agency service
Ontological
Category
Properties What When Where Why How Consequence
Business owner A person who
has an ?idea‘.
Have ?a vision‘,
?innovative‘, high
levels of
motivation
Risk taker
Ability to organise
resources,
?creating
employment for
self and others‘,
passion for
developing self
and others, and
understanding
the needs of the
market
Turn an idea into a
big venture
Visualise the
new enterprise
Business
environment
Expand the business ?bigger‘ than than
?hand-to-mouth‘
venture
Grow the business
Women are not
recognised as
managers and
business owners
Interact with
customers
Business Gender stereotype
attitude
Gender biases
attitudes, not
recognising women
as equals
Increased gender
discrimination
374
Ontological
Category
Properties What When Where Why How Consequence
?Art of creating
business‘,
seeking new
market, limited
marketing budget
New entrant
Ineffective
marketing activities,
competition in
marketplace
Marketing the
ICT enterprise
Local market Limited operating
budget
Lack marketing
budget
Unproductive
Face local
competition
Women
entrepreneurs have
negative attitudes
towards competition
Risk aversion Unknown in the market
Marketing Product
diversification
decisions
Diversify into new
segments A and B
Compete in the
marketplace
Local market Pressure from
competition
Previous
miscalculated
marketing decisions
influence future
decisions
Competitive marketing
Finding ?niche market‘ Ability of SMMEs to
survive competition
?where similar
products are also
offered‘
Limited marketing skills
Risk aversion
Women entrepreneurs
have negative attitudes
towards competition
Shift in internal
strategy
Market
segmentation
strategy
Penetrate niché
market
Introduce
products and
services in the
market
Eastern Cape ICT
market
Offer niché solutions Product
diversification
Thrive in niché markets
and be competitive
Partner with
mobile network
provider
Partnership Introduce
products and
services in the
market
Eastern Cape ICT
market
Gain competitive
advantage
Cell phone contracts
Data encryption
solutions
Cell phone data
Fixed line solutions
Product diversification
gives a competitive
advantage
375
Ontological
Category
Properties What When Where Why How Consequence
SMMEs need
competitive
advantage over big
business
Employ latest
technology
?Being at the fore
front of innovation‘
Tendering Government Government is
looking for
progressive SMMEs
that are at the
forefront of innovation
Support SMMEs that
offer latest
technology solutions
Arrange partnership
between big
businesses and
SMMEs to enhance
SMMEs‘ research
and development
capabilities in order
to launch their
products
SMMEs do not stand a
chance to compete with big
business if they lack
research and development
capabilities
Government takes
action
Provide support to
women in
government
ICT award
programme
Development ICT environments in
government
Ensure that
government has
trained women in ICT
ICT award
programme
Raise the profile of women
in ICT
Management and
executive
programme
Development Senior management
level
Accelerate the
development of
women in ICTs
Executive
development support
for women in ICT
environments
Visibility of women in
leadership positions
Provide support to
women
entrepreneurs
Empowerment
interventions for
women
Access to
tenders
ICT sector Afford women-owned
business an equal
opportunity to access
government tenders
by awarding extra
points
BEE scoring point
system
Access to tender
opportunities
Implement
centralised
electronic database
Manage
procurement in
conjunction with
SMMEs
Supply chain Enable SMMEs to
access tender
opportunities
Register SMMEs on
centralised electronic
database
SMMEs able to tender,
limited SMME support
Honour a thirty day
turnaround payment
Pay SMMEs Supply chain Enable SMMEs to
tender sustainably
Improve turnaround
payment period
SMMEs can improve cash
flow management
Facilitate
partnership
ventures
Tendering ICT industry Must be enabled to
access tenders
Facilitate partnership
ventures between
small and big
business
Big businesses assist
SMMEs by carrying the
financial costs, providing
human resources, and
providing surety
Facilitate skills
transfer
SMMEs can enhance their
research and development
technological capabilities
376
Concept What When Where Why How Consequence
Women entrepreneurs
need
action from government
Women entrepreneurs
need marketing support
?You never hear of
business women in this
province being part of
these delegations‘
Create business linkages
with other companies
?Marketing the
province abroad‘
?Ensure representation of
women in business
delegations‘ overseas
Government needs
to include women
entrepreneurs in
overseas delegations
Decrease inequalities
between provinces to
access business
networking
opportunities outside
the country that
government facilitates
?Linking women with
relevant companies‘, local
business linkages
Source partnerships Government
contracts
Enable SMMEs to
access big tenders
Facilitate partnership
between small and
big companies, skills
transfer
Make ICT sector
attractive; not currently
attractive to women
entrepreneurs
?Help grow these
women-owned
companies‘
Government monitors
partnership projects
from adjudication to
completion to guard
against the abuse of
small companies by
big companies
Big companies abusing
or using small
companies, especially
women-owned
companies
Lack of transparency in
payment terms
Women need to know what
it is that they can offer in
terms of products and
services when entering the
sector
Tender their products
and services
ICT sector Women are
uncompetitive and not
innovative
?Making women well
aware and prepared
in knowing what one
can offer to benefit
the client‘
Result in low levels of
innovation
Low market share
Government should play a
mentorship role
Development initiatives SMME segment Encourage women to
pursue ICT related
careers
Guide women
entrepreneurs who
aspire to get into the
sector
Increase women
participation in the
economic mainstream
of the ICT sector
Government provide ?rental
subsidy‘ for office space
occupied by small
businesses
SMMEs look for sources
of funding
Government SMME development
support
Establish throughout
the province ?a place
that will incubate
start-up small
business‘
Monitor the
development of these
SMMEs over a period
of two to three years
to get value for
money
Support SMMEs to
promote the growth of
their enterprises
377
Concept What When Where Why How Consequence
Provide ?seminars‘ Induct women
entrepreneurs
Eastern Cape
Province
Women need to know
what it is that they can
offer in terms of products
and services when
entering the sector
Raise women‘s
awareness of
business
opportunities
available to them
?Making women well
aware and prepared in
knowing what one can
offer to benefit the
client‘
Provide ?road shows‘ Getting feedback Eastern Cape
Province
?So that SMMEs can
contribute to the growth
of the economy‘
Government is aware
of the challenges that
SMMEs face
Close the disconnect
between government
and SMMEs
Women entrepreneurs
need action from
government
Provide ICT skills Induct women
entrepreneurs
?Penetrate rural
areas‘
Know the benefits of ICT Government informs
and educates
entrepreneurs about
ICT
More women participate
in the ICT
The importance of ICT Promote gender
equality in ICT access
and usage
How to introduce ICT in
their businesses
?Departments
responsible for
facilitating national
communication like
GCIS, must know
what ICT is about‘
Business owners
employ ICT in their
operating systems and
produce ICT products
and services
Establish sustainable ICT
centres
Look at promoting
entrepreneurship
development
Rural areas ?Create lots of
opportunities for the
youth living in remote
areas and they will
contribute to the
economy.?
Infrastructure that will
support local SMMEs
Increased
entrepreneurial activity
?Upgrading the
telecommunications
infrastructure‘
Service delivery Underserviced
areas, particularly
in rural areas
Frequent technological
changes necessitate
frequent upgrades in
technology
Flexibility in
integrating
technology
Access to infrastructure
enabled by
convergence
of technologies
Stop the ?corrupt‘
behaviour of officials
Procure services SMMEs Government officials ask
for money and sexual
favours in exchange for
awarding tenders
Look into its supply
chain administrative
procedures, monitor
and evaluate the
procurement
processes in order to
curb corruption
Equal access to tenders
End gender-based
sexual harassment
Relaxation of restrictive
tender requirements
Due diligence Site inspection Start-up businesses
don‘t have the assets
stipulated in the tender
Start-up businesses
need to produce
evidence of assets
Start-up businesses
would not be able to get
access to tenders
378
Concept What When Where Why How Consequence
requirements. These
requirements most of the
time are not relevant
(don‘t speak to the type
of tender advertised
Women entrepreneur seek
financial assistance
Tender is awarded Government Remove restrictive
qualifying tender
requirements, loan
?Should provide…
like… in the
construction
environment session
agreements on
obtaining a tender‘
Ability to tender
sustainably
Women entrepreneurs
seek to attain financial
independence
To circumvent the
current practice that
by default
encourages joint
partnerships between
big business and
small business
confronted with
funding limitations
Benefit minimally from
partnership, ?and do
you know how they kill
us‘
Private sector needed
action
Sponsor networking
platforms
Procurement service Business
community
So Business-to-Business
(B2B) can ?grow each
other‘,
?mentorship‘,
?support each other‘
Initiate such
platforms
Market business
linkages
Make business
opportunities available on
their websites
Request quotations from
SMMEs
SMMEs Encourage the
participation of SMMEs
Enable access to
?webpages‘ for
available business
opportunities
Promote increased
participation of SMMEs
?Financially assist start-up
businesses‘
Loan application SMMEs Need operating capital Need operating
capital
Promote increased
participation from
women
Support SMMEs by
developing their
knowledge and skills in
ICT and fund the training.
Development initiatives SMME segment Advance women in the
ICT sector
Fund training Narrow the technology
gap
Increase participation of
women in the ICT
sector
Must be encouraged to
use women-owned
companies
Procure services Business
environment
Promote women-driven
entrepreneurship in the
ICT sector
Look at the service
track record and
ability to deliver of a
company
Promote increased
participation of women
in the economic
mainstream of the ICT
379
Concept What When Where Why How Consequence
sector
Provide a mentorship role
for emerging women
entrepreneurs
Basic knowledge or
information about the
functionality of the sector
SMME segment Skills transfer ?Private companies
can serve as a
source of reference
for women‘
Active participation of
women entrepreneurs
in the ICT sector
Assist women in business Empowerment initiatives SMME segment Produce innovative
products
Financial assistance Increase innovation
levels enabled through
R & D
Information on business
opportunities available in
private sector
Investors in search of
ICT businesses to
provide support
SMME segment Advance SMMEs in the
ICT sector
Give exposure to the
incubation
programme
Increase business
development and
growth
Low motivation Ineffective marketing
strategies
Marketing Marketplace Local competition
pressure
Limited marketing
budget
Competitor has
bigger customer
market share
Loose walk-in
customers
Self-motivation Developing learners ICT sector Give them exposure to
opportunities that were
previously denied to
women entrepreneurs
Pursuing the vision to
?motivate women
candidates to enrol
for technical support
skills
Enabling women to get
into the ICT sector
Staff Impart skills to prepare
them to grab better
opportunities
Develop
young graduates
Profile of women in the
ICT sector is raised
Development Development of SMME
women-owned enterprises
Look for business
opportunities and
information
ICT sector Enable access to ICT
business opportunities
Transfer of ICT
knowledge, skills,
and business related
information
Increase growth and
development of SMMEs
in the ICT sector
Staff Career path
development
Government and
private sector
Get more women into the
ICT sector
Mentor young
graduates
More women occupy
senior management
and core ICT
environments
More jobs in the ICT
training that enable
people to make a living
from increased local
entrepreneurial activity
Community members Community development ICT training
providers
Improving ICT skills More people trained
in ICT
Economic development Community development Local communities Uplift standard of living local economic
activity by SMMEs
380
Concept What When Where Why How Consequence
Empowerment BEE scoring point system Women seek business
opportunities and
information
Government
Private sector
Need to be economically
empowered through BEE
scoring
Access to business
opportunities and
information
Economic inclusion
and growth of ICT
enterprise
Narrow the gender-
based inequality to
accessing business
opportunities and
resources
SMME women (Self-
empowerment)
Professional
development
Workplace Equal recognition status
to men
Training and
mentorship
Women‘s
empowerment in ICT
business knowledge
skills career
advancement in
the ICT sector
Increase the number of
women who occupy
senior positions
Encourage women to
eventually become
employers ?self
employment‘ rather
than employees
Rural ?development‘ /
?empowerment‘
Poverty alleviation and job
creation
Community development Local communities Provide progressive
women with skills to
create ICT training jobs
Train people Increase the number of
women in ICT sector
Inequities between rural
and urban ICT
environments
Community development Urban and rural
SMMEs
Inequalities in accessing
information
Urban people have
access to
computers to
search via the
Internet available
government
opportunities and
rural people don‘t
Women
entrepreneurs in
rural communities
have the potential
to create jobs
Widen gap between
rural and urban
SMMEs in terms of
marginalisation in
respect of ICT
Increase rate of rural
entrepreneurship
development
381
Concept What When Where Why How Consequence
Lack of rural
empowerment in ICT
Training Urban areas, rural
communities
ICT programmes target
urban higher learning
institutions and
marginalise rural
higher learning
institutions
Career advancement
into ICT core positions
?station manager‘
Incompatibility issues
Inequities between
rural and urban
ICT environments
to access training
programmes as
rural areas don‘t
have access to
telecommunication
s infrastructure
Don‘t have
qualification in ICT
Rural areas lag behind
urban areas
Low levels of
penetration into
management positions
Women do not empower
themselves
Look for career
opportunities
ICT industries
Lack of access to
telecommunications
infrastructure
Broadcasting Community radio
station
Telecommunications
infrastructure not
upgraded
e-Commerce Conduct business on e-
commerce websites
Trading Globally Open 24/7 ?around the
clock‘, ?easier and
convenient‘
?making purchases
from different
countries‘
Competitiveness in the
global market
ICT significance for the
ICT enterprise
Reduced travel Travelling Workplace Cost saving Hold office meeting
via video
conferencing
Improved productivity
levels
Improved quality of work
life
Operational activities Operating systems ?Efficiency‘,
?effectiveness‘, faster
turnaround time, and
productivity
?Backbone‘ that
?assists in improving
business processes‘
Financial gain
Information research tool Research information Search the Internet Generate and store
information
Use the computer Increase productivity
levels
Communication tool Communicate messages People in different
places
Saving on travel costs Communicate via
email
Effective conveyance of
message levels
Electronic document
storage tool
Store of documents Computer Keep a document as
proof
Filing of documents Increase efficiency
Acknowledge gender
equity
?We are equal to men‘ Access business
opportunities
Government ?We are running our
business on the same
BEE rules level the
playing field
BEE rules a catalyst in
promoting gender
382
Concept What When Where Why How Consequence
level that men do‘ equity
Corruption Bribing tendencies of
government officials
Awarding of funds SMMEs Get money in exchange
for granting funds
Ask for money Women subjected to
sexual harassment
Women economically
marginalised
Irregular tender practices
SMMEs have government
connections
Loose ?trust‘ and ?faith‘ in
government
SMMEs
Inaccessible tenders Corrupt tendencies of
government officials
?White‘ women do not
have trust government
?I have lost faith,
especially as a white
woman‘
Funding processes not fair
to SMMEs
Adjudication of tenders Government Officials ask for money in
exchange for awarding
tenders
?To get funding,
SMMEs must know
someone from inside
or belong to a ?certain
network group‘
SMMEs are
marginalised
?Dole out a percentage of
your money‘
Seek funding Government
procurement
officers
Stop the ?corruption‘ Monitor and evaluate
procurement
Exhaust SMMEs
?financially‘
Business is awarded on a
friend-to-friend basis
Private sector
procurement
officers
National companies
engage local
companies that they
have longstanding
contracts with
Local enterprises miss
out on business
opportunities
Men ask for sexual favours
Sexual innuendos
Adjudication of tenders Government Officials ask for sexual
favours in exchange for
awarding tenders
Business proposals
that have a
precondition that
business will be
awarded in exchange
for a personal
relationships
SMMEs are
marginalised
Enterprise owner Characteristics associated
with the entrepreneur and
entrepreneurial activities
linked to the description of
the concept
entrepreneurship
Define term Entrepreneurship
context
Differences in
interpretation
Characteristics of
entrepreneur
associated with:
?develops an idea‘,
?guts to establish new
venture‘, ?risk taker‘,
?creating something
extra-ordinary, ?non-
conventional
thinking‘,
Ability to identify
market opportunities
Lack marketing skills
Lack access to
markets
Low innovative
capacity
Lack access to funding
Lack access to
business related
383
Concept What When Where Why How Consequence
‘understanding the
needs of the market‘,
acumen to organise
resources, passion
for the development
of people.
Characteristics of
entrepreneurial
activity
information
Lack access to
resources
Lack initiative to follow
up on business
related information
Lack motivation
Risk aversion
Have a passion to
develop
Self and others
Advocate for change in
government and
private sector
Quickly giving up
New women-owned
businesses
mushroom
Limited entrepreneurial
activity in rural areas
Lack knowledge about
ICT sector
Skills limitation in
business
management and
ICT skills
Developing apathy
384
Appendix P: First illustration of building categorical structures
Category Conditions Action / strategies Consequence (outcome)
1. Women experience forms of
discrimination
What gives rise to discrimination?
Circumstance / situation
Actions that allow it to occur
Strategic response to issue / problem
Outcome of actions / interaction
Socio-cultural gender role expectations
conflict with women‘s entrepreneurial role
Occupational differences
ICT sector predominantly a male career
environment
Society judges women holding business
meetings after hours
Men orchestrate women from networking
platforms
Limit women‘s career advancement
Women take action through self-
empowerment
Women do not have decision-making
power
ICT understood as a combination of
network, computers (hardware) used
for ?relaying‘, ?communicating‘
information, storage of documents,
retrieving information easily
Understand the significant role of ICT in
business
Enforce gender stereotypes
Women are economically marginalised
Increase levels of underrepresentation of
women in key ICT positions
Increase over-representation of women in
non-professional ICT occupations
Penetrate ?technical‘ careers previously
dominated by men
Inability to contribute to decisions that
concern operations of the organisation
Become more assertive in stamping out
gender-based stereotyping ?it‘s a men‘s
club‘, ?boys club‘, ?men‘s game‘
Not recognised in the industry as ?business
owners‘ and equals to male entrepreneurs
Men undermine women‘s ability to run
ICT enterprises
The EC Province lacks sex
disaggregated statistics of the ICT sector
Marginalise women in the ICT sector
Women‘s contribution in the ICT sector
goes unrecognised despite weathering the
challenges
Experience gender-based inequality in the
workplace
Women identify the lack of knowledge
about the ICT sector
Gender differentials in earnings
Inequalities in accessing career
advancement opportunities
Gender differentials in earnings
Take assertive action in upgrading their
ICT knowledge and skills
Unacceptability of women as equal
working partners and their abilities are
questioned
Women educationally under qualified in
comparison with men, hence their
earnings are less.
Economic marginalisation.
Women entrepreneurs shy away from
pursuing tender opportunities
Widening inequalities in accessing
information that could enable women to
benefit from available resources and
economic opportunities
Experience educational differences Government officials ask for money and
sexual favours in exchange for
awarding tenders
Are exposed to gender-based sexual
harassment
Subjected to unwelcoming ?sexual
innuendos‘ from men in networking
platforms
385
Category Conditions Action / strategies Consequence (outcome)
2. Women entrepreneurs lack access
to resources
Lack market intelligence Inaccessible sources of information
Lack information about other women-
owned ICT enterprises
Do not have information about
government initiatives
Supply chain is not doing enough to
promote B-BBEE
ICT cost (online) is a barrier to accessing
information from websites of relevant
local offices
Significance of the role of ICTs
acknowledged
Experience difficulties in marketing the
ICT enterprises
Women‘s lack of mobilisation and self-
empowerment
Women entrepreneurs ask for guidance
from government
Women develop apathy
Women do not benefit from BEE scoring
point system
Miss out on business opportunities
Experience difficulties to access funding Inequalities to access funding between
men and women, funding processes
are not fair
Inability to access funding to cover
equipment costs, telecommunications,
infrastructure set-up costs,
maintenance costs, licensing fees ,
upgrading software, and hardware
costs
Inability to access operating capital, to
manage cash flow in order to pay staff
salaries, marketing, and training budget
Are economically marginalised
ICT enterprises experience cash flow
problems
3. Developing apathy Lack initiative in following up on business
related information
Quickly give up on business opportunities,
especially when faced with challenges
Experience low motivation
Have not researched information that
could benefit the ICT enterprises
Have not dedicated much time to tap into
the opportunities that are out there
Do not know where or how to get funding
Do not benefit from government initiatives
Women lack motivation and are faced by
Challenges
4. Eastern Cape ICT market Private company preferred suppliers Big companies ?multi-vendors‘ favoured
over local SMMEs that are not
accommodated by the ?procurers of
services‘
Local ICT enterprises are marginalised
Government suppliers ?Established‘ SMME ?companies‘ on
government‘s supplier data base not
getting requests for quotations.
Denying women access to business
opportunities and active participation in
economic mainstream of the ICT sector
?Black SMMEs‘, – new entrants practise
uncompetitive pricing
?Black SMMEs‘ are ?destabilising the
market‘, they are ?under-cutting
established SMME ?companies‘
Government is looking at the cheapest
quotation and not the quality and track
record
Respond competitively to requests for
quotations compared to established
companies
?Established‘ SMME ?companies‘ are
marginalised
386
Category Conditions Action / strategies Consequence (outcome)
Government regulations hamper women to
access tenders
Stringent procurement systems hamper
women form meeting strict qualifying
criteria
Inflexible administrative requirements and
procedures
Stringent compliance requirements,
documentation too complex
Restrictive application requirements, e.g.
loans
Deny women access to business
opportunities and active participation in
economic mainstream of the ICT sector
Late turnaround payment processes of
government
Long waiting period for payment
Careless supply chain administration
processes
Experience problems in relation to
tendering sustainably
Bad reputation of ICT enterprises for
paying their suppliers late
5. ICT enterprises produce low
innovation levels
?ICT is not understood well enough by small
business to trigger innovation‘
SMMEs are found lacking in innovative
product development
Do not understand ?innovation as being at
the heart of the ICT enterprise‘
Lack knowledge about the strategic use
of ICT
Do not optimise technology
Lag behind in technological development
Not aware of simplified formats offered by
ICT, e.g. online to manage business
processes
Propose new ideas and prospective or
beneficial changes to the ICT sector
Lag behind in technological development
Innovation is limited in ?systems
development‘, ?web design, ?business
analyst‘, ?intelligence‘, and ?cabling‘
6. Developing ICT skills base within
and outside the ICT enterprise
Prioritising the development of young
graduates
Motivating young women to enrol for
technical skills
Nurturing talent through mentoring
Addressing the shortage of women
representation in key positions within the
ICT sector
Encouraging women to eventually become
employers ?self employment‘ rather than
employees
Taking action by promoting self-
empowerment
Empowering self in technical skills and
business management skills
Seeking career advancement opportunities
within the ICT sector
Empowering rural communities Women entrepreneurs are involved in
social responsibility programmes aimed
at empowering rural communities
through ICT skills training
Rural areas lagging behind in terms of
accessing ICT for development
Addressing the inequities between rural
and urban in accessing ICT training
programmes
Creating more jobs in the ICT training to
enable people to make a living from
Increased local entrepreneurial activity
Lacking human resource capital Inability to hire qualified ?graduates‘ staff
Lacking time to play the role of mentor
when inducting new staff
Lacking training budget to train staff to
keep up with latest technology
Experiencing staff shortages in the
High staff turn over
Preparing more women to penetrate
senior management in core ICT
environments
387
Category Conditions Action / strategies Consequence (outcome)
workplace
Lacking business management knowledge
and skills
lacking computer literacy skills
Inability to use new technology optimally
lacking start up business skills
lacking skill in the area of, ?finance‘,
management‘ and ?employment
regulations‘
No workplace experience – ?incompetent‘
and ?lacking orientation of ICT sector‘
Women‘s empowerment in ICT and
business knowledge and skills
7. Experiencing difficulty in marketing
the ICT enterprise
Ineffective marketing strategies Limited product diversification ?niche
solutions‘
Having negative attitudes towards local
competition
Difficulty in finding ?niche market‘ in order
to survive competition
Having limited marketing skill
Having limited marketing budget
Being risk-averse
Being open to partnership marketing
Low motivation
Ineffective marketing limiting the ICT‘s
ability to gain customer market share
Women entrepreneurs having negative
attitudes towards competition
Women lacking motivation when faced
with challenges
8. Government taking action Giving support to women in government ICT award programme aimed at raising
the profile of women in ICT
Management and executive programme
aimed at developing women in senior
management positions
Executive development support for
women in ICT aimed at enhancing the
visibility of women in leadership positions
Raising the profile of women in ICT
Giving support to women entrepreneurs Affording women-owned businesses an
equal opportunity to access
government tenders by awarding extra
points – BEE scoring point system
Registering SMMEs on centralised
electronic database
Enforcing a thirty day turnaround
payment period
Facilitating partnership ventures between
small and big business
Increasing women‘s access to tendering
opportunities
SMMEs can improved cash flow
management
Big business assisting SMMEs by carrying
the financial costs, providing human
resources and standing as surety
Enabling SMMEs to enhance their
research and development technological
capabilities
9. Women entrepreneurs needing
action from government
Women entrepreneurs needing action from
government
Marketing support from government
through business delegations
?marketing the province abroad‘
?linking women with relevant companies‘
Decreasing inequalities between
provinces in accessing business
networking opportunities facilitated by
government outside the country
388
Category Conditions Action / strategies Consequence (outcome)
–
local business linkages
For government to play a mentorship role
for women entrepreneurs aspiring to
get into the sector
Government providing, ?rental subsidy‘ for
office space occupied by small
business
Providing ?seminars‘ especially in rural
areas – inducting new and old ICT
enterprises about the ICT sector
Facilitating ?road shows‘ where
government can get direct feedback from
women entrepreneurs
Providing ICT Skills training targeting
women and that is paid for by
government
Establishing sustainable ICT centres in
rural areas –
?Upgrading the telecommunications
infrastructure‘ to accommodate the
convergence of technological changes
Bringing to an end the ?corrupt‘ behaviour
by officials
Relaxation of restrictive tender
requirements
Women entrepreneur seeking financial
assistance when tender is awarded e.g.
session agreement
Enabling ICT enterprises to gain
marketing intelligence
Enabling ICT enterprises to access big
tenders
Making the ICT sector attractive for
women aspiring to enter the sector
Enhancing SMME development through
incubation hubs
Effective induction of new ICT enterprises
about ICT sector and doing business
within the sector
Government improving its processes by
getting feedback from women
entrepreneurs
Increasing access to telecommunications
infrastructure in rural areas that will
support local SMME ICT enterprises
10. Private sector needed action Private sector needed action Sponsored training in ICT skills
Sponsored networking platforms
Make avail business opportunities
?tenders' on their website
Requesting quotations from SMMEs to
train their staff
Giving business to women-owned
?companies‘ with ?track record‘
?Financially assist start up businesses‘ in
terms of operating capital
Playing a mentorship role for emerging
women entrepreneurs
Banks relaxing restricting application
Promoting economic participation of
women in mainstream economy of the ICT
sector
389
Category Conditions Action / strategies Consequence (outcome)
requirements i.e. loan, credit and
collateral
11. Private sector taking action
towards women entrepreneurship
development
Providing support Financial assistance for R & D projects
producing innovative products
Giving exposure from the incubation
programme
Promoting innovation
12. ICT significance for the ICT
enterprise
Significant role of ICT in business Cost saving
Reduced travel
Improved quality of work life
Information research tool
Communication tool
Electronic document storage tool
Electronic document storage tool
Promoting improved productivity and
growth of ICT enterprises
13. Corruption Bribing tendencies by government officials Women entrepreneurs subjected to
sexual harassment from officials
Women ?Giving out a percentage of
[their] money‘
Women entrepreneurs shying away from
pursuing tender opportunities
Irregular tender practices Women entrepreneurs ?white‘ losing
?trust‘ and ?faith‘ ?especially as a white
woman‘ in government
Some SMMEs accessing tenders through
government connections
White women economically marginalised
Inequality in accessing tenders
Funding processes not fair for SMMEs Officials asking for money in exchange
for awarding tender
?To get funding SMMEs must know
someone from inside or belong to a
?certain network group‘
Women economically marginalised
Inequality in accessing tenders
Business is awarded on a friend basis Tender opportunities inaccessible
National companies engaging local
companies that they have standing
contracts with
Being economically marginalised
Denying local ICT enterprises access to
business opportunities and active
participation in economic mainstream of
the ICT sector
Men asking for sexual favours Men (networking platforms) who propose
personal relationships ?sexual innuendos‘
and government officials who are
abusing their power by asking for sexual
favours in exchange for awarding tender‘.
Women entrepreneurs shying away from
pursuing tender opportunities
14. Enterprise owner Characteristics of enterprise owner
associated with the entrepreneur and
entrepreneurial activities linked to the
description of the concept entrepreneurship
Characteristics of entrepreneur
associated with:
?develops an idea‘, ?guts to establish new
venture‘, ?risk taker‘, ?creating something
extra-ordinary, ?non-conventional
Ability to identify market opportunities
Lacking marketing skills
Lacking access to markets
Low innovative capacity
Lacking access to funding
390
Category Conditions Action / strategies Consequence (outcome)
thinking‘, ‘understanding the needs of the
market‘, acumen to organise resources,
passion for the development of people.
Characteristics of entrepreneurial activity:
?art of creating business‘, turning
business venture into big business‘,
Lacking access to business related
information
Lacking access to resources
Lacking initiative to follow up on business
related information
Lacking motivation
Characteristics of enterprise owner
associated with the entrepreneur and
entrepreneurial activities linked to the
description of the concept entrepreneurship
?expansion of venture‘, seeking ?new‘
market trends and ?opportunities‘,
?creating employment for self and others‘,
?creating new products and services‘,
?increasing productivity levels of the
enterprise, ?doing things differently‘
Risk averse
Having passion to develop self and others
Advocating for change from government
and private sector
Quickly giving up
New women-owned business
mushrooming
Limited entrepreneurial activity in rural
areas
Lacking knowledge about ICT sector
Skills limitation in business management
and ICT skills
Developing apathy
doc_301982076.pdf
Women Driven Entrepreneurship Within The Information And Communication Technology Sector
WOMEN-DRIVEN ENTREPRENEURSHIP WITHIN THE INFORMATION AND
COMMUNICATION TECHNOLOGY SECTOR: A GROUNDED ANALYSIS OF
SMALL, MICRO, AND MEDIUM ENTERPRISES IN THE EASTERN CAPE
PROVINCE
by
NALEDI SEKELENI
submitted in accordance with requirements for the
degree of
DOCTOR OF LITERATURE AND PHILOSOPHY
In the subject of
COMMUNICATION SCIENCE
at the
UNIVERSITY OF SOUTH AFRICA
PROMOTER: Dr N. C. Lesame
June 2014
ii
DECLARATION
Student number: 07383312
I declare that WOMEN-DRIVEN ENTREPRENEURSHIP WITHIN THE INFORMATION
AND COMMUNICATION TECHNOLOGY SECTOR: A GROUNDED ANALYSIS OF
SMALL, MICRO AND MEDIUM ENTERPRISES IN THE EASTERN CAPE PROVINCE
is my own work and that all sources that I have used or quoted have been indicated and
acknowledged by means of complete references.
Signature Date: June 2014
(Miss N. Sekeleni)
iii
DEDICATION
I dedicate this thesis to my mother, who has given me unwavering support and for all
her sacrifices while making every effort that enables me constantly to accomplish my
academic success.
?Diba, Ngqolomsila, Yemyem! ...nangamso nkosazana?.
iv
ACKNOWLEDGEMENTS
I wish to thank the following people who assisted and supported me with the completion
of this thesis.
1. My supervisor, Dr N. C. Lesame, my sincere gratitude for your endless
patience, motivation, support, and academic guidance during my candidature.
Thank you for keeping me going through this process. Lastly, thank you for
your extensive investment in my professional development during of my
academic career.
2. Quantitative data and statistical specialist, Dr M. Pohl, who provided
professional expertise on quantitative data analysis.
3. Mr André Hills for editing the thesis.
4. Mr David Wigston who assisted with the graphic illustrations.
5. I wish to thank the University of South Africa (UNISA) for funding my studies.
6. The women entrepreneurs who participated in this research study and who
assisted me towards completing this project. I am extremely grateful to you all
for your time.
7. The business community – Nelson Mandela Bay Business Chamber, Business
Women‘s Association (BWA), Eastern Cape Development Corporation (ECDC),
Small Enterprise Development Agency (SEDA), Eastern Cape Information
Technology Initiative (ECITI), and provincial government departments – that
afforded me access to their databases and private ICT enterprises that referred
me to the right people to participate.
8. The Media, Information, and Communication Technologies Sector Education
and Training Authority (MICTSETA) for granting me permission to use their
figures and tables.
v
9. Provincial government departments who assisted with providing documents and
information about the Eastern Cape Province ICT sector.
10. Dr N. P. Mpako, for the motivation that inspired me to aim for the stars even
when it was inconceivable in my mind. I am forever indebted to you.
11. Ms Linda Koni, thank you for your spiritually words of encouragement and
random conversations that invigorated me to finish this project.
12. Special thanks to my family, particularly my son, Wam, also an entrepreneur
who was there to support my business when I had to dedicate time to this
project. Yoleka, you have been a continual source of support. Vuyo, you
believed in me and assisted me to the finish line and for that I am forever
grateful. Last but not least, to my grandchildren Liyana, Libulele, and Alizwa
who could not enjoy having a grandmother around. I apologise and give you my
word that I will be at the next picnic you arrange. I love you all.
13. Finally, thank you to my friends and colleagues who expressed interest in the
research and provided encouragement during its completion.
vi
ABSTRACT
The thesis is a grounded analysis that seeks to understand small, micro, and medium
enterprises (SMME) in the ICT sector that are particularly driven by women
entrepreneurs in the Buffalo City and Nelson Mandela metropolitan municipalities of the
Eastern Cape Province. Small businesses in the ICT sector owned and driven by
women are still an understudied topic in South Africa, since there is not much literature
that covers the topic from either a quantitative, or a qualitative perspective. The Eastern
Cape Province is not an exception to the dearth of literature that focuses on SMME
women-driven entrepreneurship in the ICT sector.
The research interest of this research project emphasises the gap pertaining to the
unavailability of gender-disaggregated data that indicates, for example: i) The number
of women-owned ICT enterprises; ii) The nature of women-driven entrepreneurial
activity in the ICT sector; iii) Evidence of how competitive women-owned ICT
enterprises are; iv) Sustainable job creation by these ICT enterprises; iv) Availability of
women with ICT skills; and v) Women who are occupying ICT core positions.
These factors strengthen the case for employing a grounded approach to explore this
substantive area of investigation.
The researcher has no doubt that this study is one of the first studies to examine
women-driven entrepreneurship of SMMEs in the ICT sector of the Eastern Cape
Province, hence the adoption of a Multi-Grounded Theory (MGT) approach. This
methodology is anchored in a qualitative approach that explores this phenomenon
about which little is known. A moderate constructivist and interpretive approach guided
by the voices of women entrepreneurs was employed to provide a meaningful account
that added depth and breadth to the description and explanation of the status quo in
relation to women-driven entrepreneurship in SMMEs.
Emerging data from in-depth interviews conducted with 12 SMME women
entrepreneurs and two experts from the ICT industry was matched with the two theories
of entrepreneurship and cyberfeminism. These theories provided a theoretical lens
vii
through which data could be analysed and interpreted. This empirical and theory driven
approach assisted in grounding the substantive theory.
The research objectives provided answers to the empirical research questions that
sought to gain an in-depth understanding of women entrepreneurs‘ perspective about: i)
Conceptualisation of entrepreneurship and ICT technology as a concept; ii)
Conceptualisation of the ICT sector; iii) The perceived importance of the ICT sector as
an enabler in promoting SMME women-driven entrepreneurship; iv) How SMME women
entrepreneurs use ICT as a core product and service; and v) The role played by
government and the private sector in promoting SMME women-driven entrepreneurship
in the ICT sector of the Eastern Cape Province.
The findings uncovered concerns that women entrepreneurs perceived as having an
influence on women-driven entrepreneurship. The findings included the manner in
which women entrepreneurs responded to these issues.
The findings for example, highlighted gender sensitivity issues which were of great
concern to women entrepreneurs. Gender discrimination was amongst the key issues
identified that lead to women‘s marginalisation inside the ICT sector, this entailing: i)
ICT underrepresentation in core ICT environments; ii) Inaccessible tender opportunities;
iii) Inaccessible funding; iv) Limited ICT knowledge and skills; and v) Lack of technical
support.
Considering the fact that SMME women-driven entrepreneurship within the ICT sector
is on the radar screen of both government and the private sector‘s developmental
agenda, the gap in research and literature presented a case that the study intended to
address by developing a substantive theory which could contribute toward the
transformative change in SMME women-driven entrepreneurship in the ICT sector of
the province.
viii
KEY TERMS
Information and Communication Technology; Small, Micro, and Medium Enterprises;
Entrepreneurship; Cyberfeminism; Multi-Grounded Theory.
ix
LIST OF ABBREVIATIONS
ASGISA : Accelerated and Shared Growth Initiative for South Africa
ADSL : Asymmetric Digital Subscriber Line
BCG : Boston Consulting Group
B-BBEE : Broad-based Black Economic Empowerment
BEE : Black Economic Empowerment
B2B : Business to Business
CAGR : Compounded Annual Growth Rate
COSATU : Congress of South African Trade Unions
DBSA : Development Bank of South Africa
DDMA : Digital Media and Marketing Association
DoC : Department of Communications
DSL : Digital Subscriber Line
DTI : Department of Trade and Industry
ECDC : Eastern Cape Development Corporation
ECITI : Eastern Cape Information Technology Initiative
E-commerce : Electronic commerce
GEM : Global Entrepreneurship Monitor
GEMS : Global Entrepreneurship Monitor Survey
GCIS : Government Communications and Information Services
x
GDP : Gross Domestic Product
GT : Grounded Theory
GSM : Group Spécial Mobile or Global System for
Mobile Communications
ICASA : Independent Communications Authority of South Africa
ICT : Information and Communication Technology
ICTs : Information Communication Technologies
IP : Internet Protocol
JIPSA : Joint Initiative on Priority Skills Acquisition
KIS : Knowledge intensive services
LED : Local Economic Development
LLU : Local Loop Unbundling
LTE Long-Term Evolution
MGT : Multi-Grounded Theory
MICTSETA : Media, Information, and Communication Technologies
Sector Education and Training Authority
MTN : Mobile Telephone Networks
NQF : National Qualifications Framework
OECD : Organisation of Economic Cooperation and Development
SAEEC : South African Electro-technical Export Council
xi
SAITIS : South African Information Technology Industry Strategy
SAP : Systems Application Protocol
SETA : Sectoral Education and Training Authority
SEDA : Small Enterprise Development Agency
SARS : South African Revenue Services
SMME : Small, Medium, and Micro Enterprise
StatsSA : Statistics South Africa
UN : United Nations
UNISA : University of South Africa
VANS : Value-added Network Service Providers
WEF : World Economic Forum
WiFi : Wireless Fidelity
VNI : Virtual Networking Index
VoIP : Voice over Internet Protocol
xii
TABLE OF CONTENTS
DECLARATION ...................................................................................... ii
DEDICATION ..................................................................................... iii
ACKNOWLEDGEMENTS ..................................................................................... iv
ABSTRACT ..................................................................................... vi
CHAPTER 1
OVERVIEW OF THE STUDY ...................................................................................... 1
1.1 INTRODUCTION ...................................................................................... 1
1.2 THEORETICAL BACKGROUND OF THE STUDY ........................................ 2
1.2.1 South Africa‘s ICT sector ................................................................... 5
1.2.2 The Eastern Cape Province ICT sector ........................................... 30
1.3 AIM OF THE STUDY .................................................................................... 31
1.4 RESEARCH OBJECTIVES .......................................................................... 32
1.5 RESEARCH INTEREST ............................................................................... 33
1.6 THE RESEARCH QUESTIONS ................................................................... 34
1.7 PHILOSOPHICAL POSITION ...................................................................... 34
1.8 EPISTEMOLOGICAL ORIENTATION ......................................................... 35
1.9 METHODOLOGICAL ASSUMPTIONS ........................................................ 38
1.10 SUMMARY .................................................................................... 41
1.11 OUTLINE OF CHAPTERS ........................................................................... 41
CHAPTER 2
CONCEPTUAL AND OPERATIONAL DEFINITIONS .............................................. 44
2.1 INTRODUCTION .................................................................................... 44
2.2 ICT SECTOR .................................................................................... 44
2.3 INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) ................ 45
2.4 SMALL, MICRO, AND MEDIUM ENTERPRISES (SMMEs) ........................ 46
2.5 SMME WOMAN ENTREPRENEUR ............................................................. 47
2.6 ICT ENTERPRISE .................................................................................... 47
2.7 ENTREPRENEURSHIP ............................................................................... 48
2.8 CYBERFEMINISM .................................................................................... 49
xiii
2.9 THE INFORMATION AND COMMUNICATIONS TECHNOLOGY SECTOR
INDUSTRIAL DEVELOPMENT FRAMEWORK (SAITIS) ............................ 50
2.10 THE EASTERN CAPE ICT STRATEGY ...................................................... 51
2.11 THE ICT CHARTER .................................................................................... 51
2.12 SUMMARY .................................................................................... 53
CHAPTER 3
LITERATURE REVIEW ............................................................................................ 54
3.1 INTRODUCTION .................................................................................... 54
3.2 THEORETICAL FOUNDATION OF THE STUDY ........................................ 55
3.2.1 Cyberfeminism ................................................................................. 56
3.2.2 Entrepreneurship ............................................................................. 63
3.3 SKILLS SHORTAGE AND IMPACT ON THE ICT ENTERPRISE ............... 81
3.4 SMME WOMEN-DRIVEN ENTREPRENEURSHIP AND ITS
SIGNIFICANCE IN THE ICT SECTOR ........................................................ 85
3.4.1 Why women empowerment in the ICT sector is important ............... 85
3.5 THE IMPACT OF CORRUPTION IN RELATION TO WOMEN-DRIVEN
ENTREPRENEURSHIP ............................................................................... 93
3.6 SUMMARY .................................................................................... 97
CHAPTER 4
RESEARCH METHODOLOGY ................................................................................. 98
4.1 INTRODUCTION .................................................................................... 98
4.2 RESEARCH AIMS .................................................................................... 99
4.3 RESEARCH QUESTIONS ........................................................................... 99
4.4 RESEARCH DESIGN ................................................................................. 100
4.5 SECTION A: DATA COLLECTION ............................................................ 104
4.5.1 Selection of participants ................................................................. 104
4.5.2 Sampling procedures ..................................................................... 108
4.6 SECTION B: DATA COLLECTION PROCEDURES ................................. 112
4.6.1 Interview guide ............................................................................... 112
4.6.2 Interview Instruments ..................................................................... 115
4.6.3 Procedure for conducting interviews .............................................. 118
xiv
4.7 SUMMARY……………………………………………………………………….. 120
CHAPTER 5
DATA ANALYSIS PROCEDURE ........................................................................... 121
5.1 INTRODUCTION .................................................................................. 121
SECTION A:
5.2 PHASE ONE: THEORY GENERATION- EMPIRICALLY DRIVEN
ANALYSIS (INDUCTIVE) - EXPLAINED ................................................... 123
5.2.1 Inductive coding ............................................................................. 122
5.2.2 Conceptual refinement ................................................................ 130
5.2.3 Pattern coding .............................................................................. 131
5.3 PHASE TWO: EXPLICIT GROUNDING - THEORY DRIVEN
ANALYSIS (DEDUCTIVE) - EXPLAINED .................................................. 132
5.3.1 Explicit grounding ....................................................................... 132
5.3.1.1 Theoretical matching ...................................................................... 132
5.3.2 Explicit empirical validation ............................................................ 133
5.3.3 Evaluation of theoretical cohesion ................................................. 133
5.3.4 Theory condensation…………………………………………………..133
5.4 PHASE THREE: RESEARCH QUESTION, REFLECTION,
AND REVISION - EXPLAINED ................................................................. 134
5.4.1 Research question ...................................................................... 134
5.4.2 Reflection and revision .......................................... 134
SECTION B:
5.5 APPLICATION: PHASE ONE - THEORY GENERATION
EMPIRICAL (INDUCTIVE) ............................................................. 136
5.5.1 Analysis of closed-ended questions and open-ended questions ... 135
5.5.2 Conceptual refinement ................................................................... 188
5.5.3 Patten coding ................................................................................. 194
5.6 APPLICATION: PHASE TWO - EXPLICIT GROUNDING (DEDUCTIVE) 200
5.6.1 Theoretical matching ..................................................................... 200
5.6.1.1 Cyberfeminism .............................................................................. 200
5.6.1.2 Entrepreneurship ........................................................................... 213
xv
5.6.2 Document Analysis ........................................................................ 216
5.6.2.1 The Eastern Cape ICT Strategy (2009-2014) ................................. 216
5.6.2.2 The ICT sector code for BEE score card point system ................... 218
5.7 THEORY CONDENSATION ....................................................................... 222
5.8 LIMITATIONS OF THE RESEARCH DESIGN ........................................... 226
5.9 CRITICAL EVALUATION OF RESEARCH METHODOLOGY .................. 227
5.10 SUMMARY .................................................................................. 230
CHAPTER 6
RESEARCH FINDINGS, ANALYSIS OF FINDINGS, AND
RECOMMENDATIONS .......................................................................................... 231
6.1 INTRODUCTION .................................................................................. 231
6.2 ANALYSIS OF FINDINGS ......................................................................... 231
6.2.1 Recognising gender-based discrimination ..................................... 231
6.2.2 Responding to gender-based discrimination .................................. 241
6.3 STUDY RECOMMENDATIONS ................................................................. 245
6.4 CONTRIBUTION OF THE STUDY TO THE FIELD OF
COMMUNICATION SCIENCE ................................................................... 248
6.5 CONCLUSIONS .................................................................................. 249
SOURCES CONSULTED .................................................................................. 251
APPENDIX A: CONSENT FORM .......................................................................... 287
APPENDIX B: REQUEST TO THE ORGANISATION TO
ACCESS DATABASE ................................................................................ 290
APPENDIX C: INVITATION: PARTICIPATION IN RESEARCH STUDY .............. 292
APPENDIX D: EMAIL APPROVAL FROM MICTSETA TO USE
ITS GRAPHICAL USER INTERFACE (GUI) INFORMATION ................... 294
APPENDIX E: INTERVIEW GUIDE FOR INDIVIDUAL INTERVIEWS ................. 295
APPENDIX F: INTERVIEW GUIDE FOR PRIVATE SECTOR EXPERT .............. 301
APPENDIX G: INTERVIEW GUIDE FOR GOVERNMENT SECTOR EXPERT .... 307
APPENDIX H: APPROVAL BY THE ETHICS REVIEW COMMITTEE OF
THE COLLEGE OF HUMAN SCIENCES AT
THE UNIVERSITY OF SOUTH AFRICA .................................................... 313
xvi
APPENDIX I: SAMPLE INTERVIEW 1 TRANSCRIPT – EARLY
CODING LINE-BY-LINE............................................................................. 314
APPENDIX J TABLE 1: SAMPLE – INTERVIEW PERSONAL NOTES ......... 323
APPENDIX J TABLE 2: SAMPLE PRE-DATA COLLECTION ....................... 323
APPENDIX K TABLE 1: SAMPLE METHODOLOGICAL MEMO –
PRE-DATA COLLECTION ......................................................................... 324
APPENDIX K TABLE 2: METHODOLOGICAL MEMO –
INTERVIEW – BEFORE AND AFTER.........................................................325
APPENDIX K TABLE 3: SAMPLE MEMO – EARLY OPEN CODING ............ 326
APPENDIX L: THE EMERGING CORE CATEGORIES ....................................... 327
APPENDIX M: THE MICTSETA SIC CODE LIST ................................................. 334
APPENDIX N: ANALYSED OPEN-ENDED QUESTIONS ............................335-356
APPENDIX O: CONCEPTUAL REFINEMENT – DEPICTING THE
REFINEMENT OF CATEGORIES AND CONCEPTS GENERATED
FROM OPEN-ENDED QUESTIONS........................................................................357
APPENDIX P: FIRST ILLUSTRATION OF BUILDING CATEGORICAL
STRUCTURES..............................................................................................384
xvii
LIST OF FIGURES
Figure 3.1: Types of different technical skills required in the ICT sector ................... .82
Figure 3.2: National ICT priority skills 2009 – 2011 .................................................... 83
Figure 3.3: Types of different skills required by small business in
the ICT sector ........................................................................................... 84
Figure 3.4: Number of employees in the MICT sector segmented
by gender (2012) ...................................................................................... 89
Figure 3.5: Gender distribution of employees (2012) ................................................. 92
Figure 4.1: Core tenants of an MGT research design – SMME Women-Driven
Entrepreneurship Substantive Theory: data collection and analysis
(empirically-driven and theory-driven) .................................................... 103
Figure 4.2: Theoretical sampling from Interview 1 to 14 ........................................... 110
Figure 5.1: Iterative process of data collection and analysis
to produce substantive theory ................................................................ 121
Figure 5.2: Iterative process of transcribing ............................................................. 123
Figure 5.3: Interview 1: Q 14 – Relationships between selected
statements defining entrepreneurship .................................................... 127
Figure 5.4: Demonstration of iterative process of giving meaning to concepts.........129
Figure 5.5: Ages of the participants .......................................................................... 136
Figure 5.6: Participants‘ race groups ........................................................................ 137
Figure 5.7: Position of the women in the ICT business.............................................139
Figure 5.8: The SMMEs‘ business models................................................................140
Figure 5.9: The SMMEs‘ market segments...............................................................142
Figure 5.10: Number of years the SMMEs had been in business...............................142
Figure 5.11: Number of employees at the businesses................................................143
Figure 5.12: Interview 1: Q14 relationship between selected statements...................146
Figure 5.13: Second illustration of building categorical structure................................199
Figure 5.14: A graphic representation of theoretical model: Business Gender-
Based Discrimination in the ICT SMME sector.......................................225
xviii
LIST OF TABLES
Table 1.1: Contribution of the Internet to GDP growth.................................................8
Table 1.2: Subscribers (millions) and market share...................................................12
Table 1.3: Key performance indicators as of September 2012 for the
South African telecommunications industry..............................................13
Table 1.4: Internet access in South Africa at the end of 2010...................................15
Table 1.5: Demand for the top twelve scarce skills
(potential vacancies – occupations) in the electronic media
and film sub-sector....................................................................................19
Table 1.6: Demand for the top twelve scarce skills
(potential vacancies – occupations) in the electronics sub-sector............20
Table 1.7: Demand for the top twelve scarce skills
(potential vacancies – occupations) in the information
technology sub-sector...............................................................................21
Table 1.8: Demand for the top twelve scarce skills
(potential vacancies – occupations) in the in the
telecommunications sub-sector.................................................................21
Table 5.1: Early open codes – Definition of entrepreneurship provided
in Interview 8: Q14..................................................................................125
Table 5.2: Q 14 Constant comparison between statements –
Definition of entrepreneurship.................................................................127
Table 5.3: Conceptual ordering of statements – entrepreneurship
development from the interview with a government expert.....................128
Table 5.4: Education qualifications of participants...................................................138
Table 5.5: SMME ownership status of the participant..............................................138
Table 5.6: Types of SMMEs owned by participants.................................................139
Table 5.7: Services offered by SMMEs....................................................................141
Table 5.8: Size categories of enterprises.................................................................143
Table 5.9: Education qualifications of the SMME employees..................................144
Table 5.10: The SMME annual turnover (in millions).................................................144
Table 5.11: Illustration of constant comparison between concepts............................146
xix
Table 5.12: Interview 1: Q14 conceptual ordering of substantive statements...........148
Table 5.13: Abstract A – Conceptual refinement:gender sensitivity..........................190
Table 5.14: Abstract B – Conceptual refinement: corruption.....................................193
Table 5.15: First illustration of building categorical structures...................................197
Table 5.16: Category: women experiencing gender-based discrimination................201
1
CHAPTER 1
OVERVIEW OF THE STUDY
?South Africa is an inclusive information society where ICT-based innovation
flourishes. Entrepreneurs from historically disadvantaged population groups,
rural communities, and the knowledge-intensive industry benefit and
contribute to the well-being and quality of life of our citizens. South Africa has
a strong national ICT brand that captures the vibrancy of an industry and
research community striving for excellence, characterised by innovative
approaches to local and global challenges, and recognised for its
contribution to the economic growth and well-being of our people and
region?.(South African ICT R & D and Innovation Strategy: 2015 ICT Vision
Page 21)
1.1 INTRODUCTION
Notably, the discourse about information communication technology (ICT) inter alia
includes the enabling of access for previously disenfranchised Small, Micro and
Medium Enterprises (SMMEs). particularly Women entrepreneurs, who are the
particular focus of this study, are high on the developmental agenda of both
government (Accelerated and Shared Growth Initiative for South Africa (AsgiSA)
2007:34; Provincial Growth and Development Plan (PGDP) 2004-2014:88; Eastern
Cape ICT Strategy 2009-2014: Programme 2, Strategy 1; South African Information
Technology Industry Strategy (SAITIS) 2000 Chapter 2; Department of Trade and
Industry (DTI); National Industry Policy Framework (NIPF) 2007:33-35; South
Africa1996; Section 2) and the business community (Broad-Based Black Economic
Empowerment [B-BBEE] 2005).
There also appears to be general consensus that greater awareness of
entrepreneurship development in the SMME segment of the information and
communication technologies (ICT) sector needs to be created with the purpose of
encouraging increased participation of SMMEs in the economic mainstream (South
2
Africa1996 Section 2; Media, Information and Communication Technologies Sector
Education and Training Authority (MICTSETA 2012). Such increased participation
should take into consideration the various opportunities for new business innovations
(Eastern Cape ICT Strategy 2009-2014; Department of Communications (DoC)
Strategic Plan 2006:5; Department of Science and Technology 2002) and the
mushrooming of new business innovations that results from the unbundling of services,
which encourages participation at a small scale in the telecommunications industry
(DoC Report 2007). This economic environment inevitably increases job creation
opportunities (Eastern Cape ICT Strategy 2009-2014; Research ICT Africa 2005:51) in
this sector.
This commitment is expressed in various government policy documents and in
partnership with the private sector (Eastern Cape ICT Strategy 2009-2014: Programme
2; Joint Initiative on Priority Skills Acquisition (JIPSA) Annual Report 2008, 2010). The
commitment is supported by the Human Resources Development Council (HRDC), the
World Summit on the Information Society Commitments (2003), and the ISETT SETA
(2007) that proclaim entrepreneurial development gains in the ICT sector through the
effective involvement of sectors and organisations in fast tracking SMME enterprise
development by implementing prioritised skills interventions (Eastern Cape ICT
Strategy 2009-2014) in order to build a substantial base of knowledge workers in the
ICT sector.
1.2 THEORETICAL BACKGROUND OF THE STUDY
In view of the topic, the researcher had regarded it fitting to conduct a preliminary
literature control (Strauss & Corbin 1998:48; Goldkuhl & Cronin 2010) before the
commencement of the data collection process with the view of assisting the researcher
with the development of theoretical sensitivity while contextualising the research topic.
For the reader who is not that familiar with the ICT sector, this preliminary literature
control facilitates an understanding of the technological context. In accordance to
Heeks, Arun and Morgan (2004), this context is influenced by the ?political (government
policy) and economic (markets and suppliers)? structures that impact on the context of
3
ICT enterprises and ?value chain relations? (Porter 1985:34-45) in relation to the
entrepreneurship processes of these enterprises.
"All kinds of literature can be used before a research study is begun? (Strauss & Corbin
1990:56) as long as this is done in a manner that does not allow ?technical literature?
(Strauss & Corbin 1998:35) to block the researcher‘s creativity by getting in the way
of discovery?. This implies selectively choosing relevant literature that enhances
theoretical sensitivity. Strauss and Corbin (ibid) maintain there is no need to review all
of the literature before entering the field (hence the preliminary literature control), since
it is impossible for the researcher to know prior to the investigation what theoretical
concepts would emerge.
A researcher should be mindful not to enter a research field with preconceived thoughts
and should acknowledge that entering a field with a ?tabular rasa" (Glaser & Strauss
1967) is impossible, since any potential researcher is neither an empty vessel, nor a
person with no history or background (cf. Cutcliffe in Dunne 2011). Therefore, the
serious researcher understands that valuable insights and innovative
conceptualisations could only come about following an engagement with the literature
(Bryant 2009). Besides, a researcher cannot pretend to be without preconceptions that
have been forming since the development of the initial research proposal. A researcher
should be ?responsible? (Bruce 2007) enough to acknowledge the impact of theoretical
influences that inform the development of the research questions. Preconceptions are
inevitable but need to be managed (Goldkuhl 2004; Goldkuhl & Cronholm 2010). The
human sciences, the field of this research study, have preconceptions but these
preconceptions should not interfere with the scientific research processes and
procedures.
The preliminary literature control is, therefore, viewed as building ?theoretical sensitivity?
(Strauss 1987:300) and guiding the formulation of the research interest and questions.
It is also conducted to avoid ignorance about the existing body of knowledge, to avoid
the assumption that research with the same focus has not been conducted before in
this substantive area of investigation, and to avoid ?reinventing the wheel? (Goldkuhl &
4
Cronin 2010:191). The researcher sampled related literature about how SMME
women-driven entrepreneurship had been studied before in South Africa and
internationally with the aim of promoting clarity in thinking about key concepts and
central issues, identifying the area of focus previously omitted, and justifying the
research methodology.
This open-minded (Strauss & Corbin 1998:48) approach differs from traditionalist
grounded theorists thinking that advocates the researcher should not investigate the
existing work and research literature most closely related to the research topic (Bryant
2009). For example, Glaser and Strauss (1967:37) in their early writings reject the
imposition of any theoretical framework at the outset. Glaser (1992:31; 1998:67)
considers conducting an early literature review as a ?waste of time? (Glaser & Holton
2007), insisting that a researcher‘s effort to generate categories might get contaminated
and that the literature review should be conducted during the sorting and recording
when it could be woven into the theory for constant data comparison; thus the need for
the ?delay? Charmaz (2006:165). The version of Strauss and Corbin and Corbin (1998;
2008) suited this study better, since the less rigid approach allows the notion of
consulting ?technical literature? (Strauss & Corbin 1990:48-56) prior to gathering
empirical data. The researcher was satisfied that the preliminary literature review did
not influence the inductive process of data collection.
To conclude, a preliminary literature control essentially constitutes the
?contextualisation‘ of the research interest and questions, and a detailed literature
review is conducted at a later stage during the analysis (deductive) process. This is
congruent to Goldkuhl and Cronholm‘s (2010) proposition that an early literature review
should be conducted before collecting empirical data as long as it is done in an
inductive manner that is applicable to grounded theory procedures. This phasing-in
approach is in agreement with Martin‘s (2006) articulated interpretations of the
?noncommittal? phase, during which a researcher develops theoretical sensitivity (pre-
data collection), and the ?integrative? phase, during which a researcher integrates the
emergent theory (inductivism) with pre-existing theories (deductivism) to position the
5
new theory in the context of existing knowledge in order to ground the theory
convincingly.
Dunne (2011) and Bryant (2009) provide a detailed account – that is not discussed in
this study – on the different views held by grounded theorists for or against the use of a
literature review either prior to a study, or later towards its completion. The controlled
literature review examines South Africa‘s ICT sector which includes the
telecommunications industry, the mobile sector, information technology industry,
electronics industry and the Eastern Cape Province ICT sector.
1.2.1 South Africa’s information and communication technology (ICT) sector
The combined value of the ICT sector in South Africa is estimated to be in the region of
R 60 billion. According to a report by Business Monitor International, published by
Frontier Marketing Network (2012), spending on ICT is predicted to rise to R 120 billion
by 2016 and increasing 13 per cent above real GDP growth over the same period.
The sector has been regarded as an ICT Gateway to Africa as far back as 2003
(Goldstuck 2003) based on the increasing number of South African companies
expanding to the continent and the influx of multinationals choosing Africa as a
destination to set up their operations. According to global rankings, however, South
Africa is slipping as an ICT leader. This is affirmed by the 2013 Global Information
Technology Report of the World Economic Forum (WEF). South Africa ranked 70th out
of 144 economies surveyed. The decrease is measured against the Network Readiness
Index (2012) that reports South Africa moving down from position 61 to 72 in
international rankings. These rankings include 142 countries in terms of network
readiness, skills development, access costs, and infrastructure development.
According to a global audit, the other Sub-Saharan regions of Africa are not performing
much better either, as the WEF report suggests that a number of countries in that
region lack ICT connectivity. However, African countries realise that ?ICT is an enabler
of future economic growth? (MTN 2012) and they are rapidly taking advantage of ICT to
transform their economies (Global Information Technology Report 2012).
6
Needless to say, these reports are perturbing news for South Africa, since it
emphasises the absence of a cohesive overarching ICT policy (at the time of
conducting this study) that, according to Chulani (2012), is likely to impact negatively on
the South African ICT sector development strategies in the near term. It is likely that
government departments are going to continue with the establishment of disconnected
projects in this kind of environment. Chulani (2012) reiterates that South Africa has
drastically dropped in comparison with its earlier ranking position in 2002 which was in
the mid-30s and associates the drop to 72 in 2012 to the absence of a policy that
outlines how technology is deployed congruent to the developmental goals of the
country. Contrary to these remarks, there are pockets of significant ICT gains as
demonstrated by specific sub-sectors such as the electronics industries that are doing
reasonably well regardless of the absence of a policy. According to the South African
Electrotechnical Export Council (SAEEC) (2013), the electronics industries are reported
as having a competitive advantage in the local and global markets and are lauded for
their innovativeness in software development that accrues gains from the ICT sector.
1.2.1.1 The telecommunications industry
The total South African telecommunications market grew from R 131 billion in 2007 to R
179 billion in 2010 (DoC 2010:18) and contributes more than 7 per cent to the gross
domestic product (GDP) of the country with approximately 5.5 million installed landline
telephones. Landline operators are Telkom – with a market capitalisation of R 14.7
billion – and the second network operator Neotel that have access to a network of
6 900km of cable across the country and a 500km fibre-optic cable network links 14
central business districts in South Africa and access to all five undersea network cables
that link the continent to West Africa and Europe (Speckman 2012). The latest figures
by SAEEC (2013) report an estimated US$ 42 billion in 2013, with communications
accounting for US$ 27.18 billion while the sector contributes about 8.2 per cent to the
GDP.
South Africa has the most sophisticated telecommunications network that is reported to
be about 99.9 per cent digital with the latest state of the art fixed line, wireless, and
7
satellite communication systems (SAEEC 2013). South Africa has two fixed line
operators namely, Telkom and Neotel. According to the Millennium Development Goals
Report (2010), South Africa is ranked 23rd in telecommunications development in the
world, representing more than 30 per cent of the total lines installed in South Africa and
ranked 34th in the world in terms of fixed line telephony with over 4.3 million fixed line
connections.
The telecommunications industry is rated as one of fastest growing industries and is
characterised by a rapid growth in broadband and mobile telephony with about 46.4
million mobile users registered in 2009. However, the ICT Sector Performance Review
2009 / 2010 reports high prices still plague the industry across a range of services from
mobile voice services to leased lines and broadband, citing the competition amongst
DSL, cable, mobile with DSL, and 3G mobile (Esselaar et al. 2010).
Linked to the high prices is competition which, Goldstuck (2012) states, is lacking in
fixed line broadband (ADSL providers) and is stifling the growth of fixed line broadband
users despite a dramatic rise in fixed-line broadband users in South Africa, from 15 700 in
2003 to 875 000 in 2012. It is expected that improvements will be noticeable in the
reduction of price as broadband becomes more accessible and penetration levels increase
as a result of the passing of Broadband Policy, Strategy, and Plan in parliament and the
ICASA dropping of termination rates.
The Global Information Technology Report (2013) ranks South Africa, using criteria that
examine how importantly a government regards ICT policy:
?The perception of a lack of clear government vision (105th) to orchestrate
and implement a holistic ICT strategy for the country, plays negatively and
outweighs a rather positive political and regulatory framework for ICT
development (21th) and [the] pro-business environment (55th)? (WEF 2013:
page 27)
8
1.2.1.2 Mobile sector
The mobile segment dominates the South African Internet market (Table 1.1) due to
increased investment in cellular coverage by mobile operators and decreasing tariffs.
There are ?ve mobile operators; namely Vodacom, MTN, Cell C, Telkom Mobile, and
mobile virtual network operator (MVNO) Virgin Mobile, and hundreds of Internet service
providers (ISPs) and value-added network service providers (VANS).
A 2012 study – the Internet Economic Impact Study –happens to be the first in terms of
quantifying the impact of the Internet and its contribution to the economy of South
Africa. The Internet economy contributes up to R 59 billion (or 2 per cent) to the South
African GDP. The forecast claims that this figure would rise by about 0.1 per cent a
year, reaching R 79 billion by 2016 and contributing up to 2.5 per cent to the GDP of
South Africa.
Table 1.1: Contribution of the Internet to GDP growth
Year Internet
economy
(R bn)
Growth rate of
Internet
economy
GDP
(R bn)
Internet as % of
GDP
Contribution of
Internet sector
to GDP growth
2011 59 2 964 1.98%
2012 63 8.2% 3 053 2.08% 5.41%
2013 68 7.96% 3 145 2.18% 5.51%
2014 74 7.73% 3 239 2.28% 5.61%
2015 79 7.53% 3 336 2.38% 5.71%
Source: World Wide Worx (2012)
According to research conducted in 2012 by the Boston Consulting Group (BCG)
across the G20 countries, the South African Internet economy as a proportion of GDP
ranks very low when compared to both industrialised and other developing countries.
The G20 Internet economy is set to increase from $ 2.3 trillion in 2010 to $ 4.2 trillion by
2016 while nearly half of the world population would be becoming web users. The BCG
report also states that the global increase of users from 1.9 billion users in 2010 to a
projected figure of 3 billion in 2016 could be attributed to a number of things; including
the rise of the emerging markets (growing from less than one quarter in 2010 to more
than one third in 2016), the popularity of mobile devices – especially smart phones –
9
(accounting for about 80 per cent of all broadband connections by 2016), and the
compounding impact of the Internet. The Research ICT Africa (2012) reports that
South Africans are increasingly accessing the Internet via mobile phones. This
observation is based on the findings that in South Africa mobile broadband is cheaper
and faster than fixed broadband and that wireless is inherently less stable than fixed
broadband technologies, such as fibre. Not having ubiquitous, reliable high speed
connectivity have dire implications for the economy and global competitiveness.
In the Digital Manifesto Report launched at the WEF (2013)Dean from the Boston
Consulting Group (BCG) acknowledges the benefits of Internet connectivity and
reiterates that every business should go digital in order to capitalise on the dramatic
transformation of the Internet over the next five years in all the biggest economies of the
world:
?No company or country can afford to ignore this development. Every
business needs to go digital. The new Internet is no longer largely western,
accessed from your PC. It is now global, ubiquitous and participator? (The
Digital Manifesto 2013: Page 3).
The WEF report (2012) claims companies that make extensive use of the Internet –
including social media – to sell, market, or interact with their customers and suppliers
would grow faster than those that do not. Mckend, Google South Africa country
manager shares the views of Dean with reference to the findings of an Internet
Economic Impact Study (2012) conducted by World Wide Worx for Google South Africa
and remarks:
?No business, industry or government can ignore the scale of the Internet
and the impact it is having. It presents a host of opportunities. Small and
medium enterprises (SMEs) have been uneven in their uptake, but they are
moving online in increasing numbers and are committed to doing so.? (World
Wide Worx 2012)
10
The findings of the Internet Economic Impact Study also reveal the growing importance
of the Internet as an enabling tool for business communications, collaboration, and
transactions. Goldstuck Managing Director for World Wide Worx remarks:
?The study indicates that ecommerce is growing at a rate of around 30 per
cent a year, and is showing no signs of slowing down. In fact, taking into
account the fact that a number of major consumer brands and chains have
not yet devised comprehensive online retail strategies, the scope for future
growth is even greater.? (World Wide Worx 2012)
The impact of the Internet on the SME segment also appears in the findings of the SME
Survey (2012) conducted by the World Wide Worx that highlights:
?About 410 000 SMEs in South Africa representing 63 per cent of active,
formal SMEs have a web site. Sectors cited with a particularly high prospect
of SMEs having a web site include Information Technology (89 per cent),
communications (76 per cent) and tourism (77 per cent). Notably, the survey
shows that SMEs with a web site are far more likely to be highly profitable
than those without. Of those with a web site, 27 per cent are strongly
profitable, while only 11 per cent of those without can claim the same. Only 5
per cent of those with a web site are running at a loss, while 16 per cent of
those without a web site are in the red.? (Internet Economic Impact Study
2012).
Another report published in 2013 by the Cisco Visual Networking Index (VNI) analyses
the impact of the Internet and includes forecasts for the period 2012 – 2017. The
forecasts claim that the South African Internet Protocol (IP) traffic would quadruple
between 2012 and 2017 at a compound annual growth rate of 31 per cent. The
motivating factors of increased IP traffic include:
i. more devices and / or connections, estimating 133 million network connections by
2017 from either fixed, or mobile personal devices up from 94 million connections
in 2012;
11
ii. faster fixed broadband network speeds; the average fixed broadband speed would
increase 2.3-fold, from 2.5 Mbps to 6 Mbps for the period 2012 – 2017 compared
to the average fixed broadband speed that grew by 28 per cent from 2011 – 2012
and from 2.0 Mbps to 2.5 Mbps; and
iii. increased use of video services and / or applications; 38 billion minutes (72 436
years) of video content would cross the Internet each month in 2017, translating to
14 487 minutes of video streamed or downloaded every second compared to 4 per
cent of the South African Internet traffic originated from non-PC devices in 2012.
However, by 2017 the non-PC share of Internet traffic would grow to 20 per cent. On
average, a global Internet household is estimated to generate 74.5 gigabytes per month
compared to the average Internet household that generated 31.6 gigabytes of traffic per
month in 2012. Ookla Net Index (2013) statistics also confirm the rapid increased
broadband download (from 3.86Mbps to 4.03Mbps) and upload speed (from 3.86Mbps
to 1.74Mbps). The organisation also confirms that the speed rates are far lower
compared to global standards that on average are a download speed of 13.64Mbps and
an upload speed of 5.41Mbps.
This information clearly suggests the demand for faster broadband speeds and the
importance of broadband to the future optimisation and impact of advanced ICT.
Findings from a research study conducted in 2012 by the Development Bank of South
Africa (DBSA) attest to claiming that mobile operators are unable to keep up with the
explosive demand for their broadband supported services based on an increasing
demand on wireless spectrum and pressure for greater broadband access. This
increased uptake and usage are attributed to the flood of mobile devices in the market
that are currently connecting to the Internet anywhere via mobile broadband enabled
platforms. According to the 2013 Digital Media and Marketing Association (DMMA)
Report, the Wi-Fi platform supports an estimated 12 million smartphones, two million
tablets and 4.5 million laptops in the South African market.
Business Tech My Broadband (2013) assesses the market share of mobile subscribers
and reports that during 2011 and 2012 mobile operator MTN and Vodacom dominated
12
the mobile service market. It is also reported that while Cell C and Telkom Mobile are
continuing to accrue customers, their gain appears to be the big players‘ loss. MTN‘s
subscriber rate reduced by half a million from 24.5 million subscribers in 2012.
Vodacom, on the other hand, in 2011, had a subscriber base of 32 million customers
but witnessed a decline in 2012 to 29 million. On the contrary, Cell C increased it
subscribers from 8.2 million users in 2011 to 9.4 million in 2012 and to 11.7 million by
2013. Similarly, Telkom Mobile had 1.1 million subscribers in 2011 who increased to
1.54 million the following year. Virgin Mobile has 500 000 subscribers, up from 300 000
subscribers in 2011. In terms of market share, Table 1.2 shows subscribers (Millions)
and percentage of market share.
Table 1.2: Subscribers (millions) and market share
Operator 2011 Market Share 2012 Market Share 2013 Market Share
MTN 20.9 33.6% 24.5 37.3% 25.0 36.8%
Vodacom 31.7 50.9% 29.97 45.6% 29.28 43.0%
Cell C 8.2 13.2% 9.4 14.3% 11.7 17.2%
Telkom Mobile / 8ta 1.14 1.8% 1.48 2.2% 1.54 2.3%
Virgin Mobile 0.3 0.5% 0.4 06% 0.5 0.7%
Total* 62.24 100% 65.75 100% 68.02 100%
Source: Deloitte Digital South Africa (2013 forecast – South African Telecoms market)
*Based on tabulated numbers (2013)
Market share calculations in Table 1.2 are based on available user number information
from operators that release reports and presentations at different times. Table 1.2
indicates the latest known data reported between June 2013 and September 2013,
where applicable, and does not include the 120 000 Red Bull Mobile subscribers.
Subscriber totals are greater than the total population of South Africa, since mobile
phone users may have simultaneous, multiple accounts on various networks.
Deloitte forecasts (2013) predict a slowdown in connections with mobile operators that
is attributed to price wars seen across segments and product lines. Another factor
identified as being a challenge for mobile operators concerns spectrum allocation
limitations that face all mobile operators. According to Deloitte, positive spinoffs are
witnessed in data mobile usage owing to the boom of smartphone and tablet adoption,
13
especially in the business environment where enterprise-based mobile applications
would be increasingly employed.
Based on an analysis of the financial reports of Vodacom, MTN, and Telkom and
certain key press releases by Cell C, Deloitte Digital has identified key performance
indicators for the South African telecommunications industry (Table 1.3).
Table 1.3: Key performance indicators as of September 2012 for the South
African telecommunications industry
South African population 51.8 million
Total mobile connections (active sim cards) 66.1 million
Total unique subscribers (people) 40.7 million
Mobile penetration (active connections to population) 128%
Estimated active smartphones in South Africa 11 million
Estimated mobile data penetration (data mobile connections) 39%
Weighted blended average revenue per user per month (ARPU) R 119
Prepaid subscriber base 83%
Post-paid (contract) subscriber base 17%
Source: Deloitte Digital South Africa (2013 forecast – South African Telecoms market) Based on a snapshot of the
South African market
The access to broadband is in demand due to instant connectivity. However, compared
to fixed-line services, mobile broadband is not as reliable and price competitive as a
moderately fast fixed-line service powered by an ADSL backbone that is only available
from one provider and the is supply often limited (DBSA 2012). On the question of
price, according to the World Economic Forum Report (2013), South Africa ranks at 117
out of 114 economies assessed. This survey emphasises that the country is one of the
most expensive countries. South Africa keeps the company of Switzerland and Australia at
120 and 121 respectively. The South African Internet Economic Impact Report (2013)
also acknowledges concerns about affordability and remarks:
?The key message for SA, in terms of growing the Internet economy, is to
loosen the logjams constraining this economy, to promote ubiquitous and
affordable [universal access to ICT services], and to take a more active
14
embrace of open competition. This will, in turn, ensure that the economic
benefits of the Internet are enjoyed sooner rather than later, and by the many
rather than the few.? (World Economic Forum Economic Impact Report
2012).
The African Prepaid Mobile Price Index (2012) also reveals the problem of high prices.
South Africa, among 46 African countries studied, ranks poorly in terms of prepaid
mobile telephony affordability. Ranked 30th out of 46 African countries, South Africa is
far behind countries where the regulator is actively promoting competition by enforcing
cost-based mobile termination rates that have driven down the costs for consumers.
This report confirms (Esselaar, Gillwald, Moyo & Naidoo 2010; Angel 2010) that
whether it is either mobile or fixed line connectivity, communication costs in South
Africa are still high compared to 30 other African countries and this points to the South
African ?managed liberalisation of the market that has been far too restrictive for the
benefits of competition to be realised? (Esselaar et al. 2010:42).
This huge difference between emerging and mature markets, Angel (2010) observes, is
indicative of a slow uptake in ICT services but is quick to point out that the situation is
reversible with an increase in supply (sufficient bandwidth) and competition (reduced
costs). The current regulatory and policy environment, however, influences the modest
and almost non-existent in remote rural and urban areas. In the context of the Eastern
Cape Province (the locus of this research project), the SMMEs that operate in remote
areas are less likely to derive benefits and to encourage demand for ICT services
particularly advanced services due to limited infrastructure. Galloway and Mochrie
(2005), in their study on ICT use by rural SMMEs, makes a similar observation and
cites supply and demand failure as a contributing factor to a lag in ICT uptake in rural
areas. In the South Africa context, it defeats the objectives of the Electronic
Communications Act of 2005 that seeks to support market entry especially for SMMEs,
in particular those of women ICT entrepreneurs (the population of this research project).
For example, the stalling of policy directives – by government that are intended to
create an opportunity for small scale new entrants (licensing of the SMMEs to provide
telecommunications service in underserviced areas) – has been a disappointment for
15
hopeful South African SMMEs. It is however, encouraging to note that there is a rise in
the number of people who use broadband connections in South Africa. A study by the
Groupe Speciale Mobile (GSM) Association published in the Business Tech my
Broadband (2012) emphasises that more than 70 per cent of people in emerging
economies – including Brazil, South Africa, and Russia – are leading in the adoption of
mobile devices to access the Internet.
A recent report published by the South African entertainment and media outlook (2013)
indicates ADSL as the dominant technology due to the demand for higher speeds and
its relatively wide coverage in the home broadband market, which is forecast to grow its
subscriber base by a compound annual growth rate (CAGR) of 8.6 per cent over the
next five years. On the contrary, the DBSA (2012) reports a different outlook of ADSL
growth as relatively stagnant and experiencing a reduction in subscriber numbers
compared to mobile broadband that has consistently increased its total subscriber base
(DBSA 2012). Table 1.4 summarises the number of users at the end of 2010 and
considers the fact that there is high cross-usage of ADSL and mobile broadband.
However, ADSL is the primary form of access (DBSA 2012).
Table 1.4: Internet access in South Africa at the end of 2010
Unique
primary
wireless
broadband
users
Primary
ADSL
Users
Cellular
only
Dial-up
Internet
users
Corporate
users
(adjusted for
mobile
broadband
users)
SME users
(through
of?ce
ADSL)
Academic
users
Total users
2 100 000 700 000 1 000 000 250 000 1 550 000 600 000 600 000 6 800 000
Source: World Wide Worx (2010)
Table 1.4 portrays that the increased broadband subscriber numbers point to a shift
towards broadband services. The shift toward mobile broadband has also been
influenced by a reluctance of the government to liberalise the market. Forecasts
indicate that economic conditions would favour and level the playing field for the SMME
ICT enterprises. ICT SMME entrepreneurs stand to benefit from the local loop
unbundling (LLU) project (draft regulations have been postponed to 2014) that would
give ICT enterprises the right to access the exchange infrastructure – including the
16
copper infrastructure owned by Telkom – to provide fixed line services to consumers.
This would enable SMMEs to potentially drive growth in the economy and in job
creation. Since the aim of LLU is to create more competition in the fixed-line market,
the result of competition would be improved coverage that extends to rural areas and
reduces fixed-line broadband prices for consumers. Entry barriers to broadband access
would be reduced because SMMEs would be able to introduce innovative products into
the market. This implying, SMME ICT enterprises would have a license as dictated by
the provisions of the Amended Telecommunications Act, No 103 of 1996 (amended in
2001) and the Independent Communications Authority of South Africa (ICASA 2006:2)
to provide services such as Voice over Internet Protocol (VoIP), fixed mobile services,
public payphones, and long distance transported through networks of any operators
licensed to carry international traffic. The Congress of South African Trade Unions
(COSATU), however, in a public hearing opposed the unbundling project, arguing it
would only create further inequity between urban and rural areas in accessing digital
platforms. Barendse (2011) who holds the same view concurs that the unbundling
would only benefit the 8 per cent of the population who have fixed line access.
COSATU also argues that a 60 per cent penetration of fixed lines is required before
introducing unbundling in order for the majority of South Africans to benefit in an
attempt to explain that neither small business, or the labour market would benefit from
unbundling.
Against this background, Telkom contests the unbundling (ICASA Draft Regulations)
and threatens to raise its prices that are currently kept low because the company is
absorbing cable maintenance and infrastructure upgrade costs. With the introduction of
competition, these prices would increase. Telkom argues that it would not benefit the
majority of South Africans, especially the ones who have limited or no access to a fixed
landline (TechCentral 2013). The DBSA (2012) identifies a challenge that SMMEs
might be confronted with in terms of the optimal use of LLU, since penetration levels
might be affected by initial expensive costs of investing in the technology. However,
once the technology is installed, marginal costs are lowered by employing fibre optic
cables. Fibre optic technology is the future backbone of present mobile broadband
17
networks, as well as future connections to core networks that provide opportunities for
carriers, equipment manufacturers, and device providers (DBSA 2012).
Evidently, broadband is considered a key enabler not only for consumers but for
SMMEs if it would like to remain competitive. The SMMEs have to leapfrog onto the
broadband wagon where the demand is for innovative broadband enabled solutions that
would attract consumers. These market studies leave a distinct impression that for an
increasing number of people a mobile phone is no longer nice-to-have technology,
since consumers are starting to see beyond the monthly bill while acquiring more value
from the features, functionality, and applications that are integral elements of their
mobile devices. From a business point of view, convenience overtakes the price factor
as shown in the DMMA and Effective Measure Report (2013). This report commends on
the escalation of digital content users who are optimising online access enabled by
mobile broadband, exercising choice to access any webpage from mailboxes, webmail,
news pages, and using their own websites to actively take part in business to business
(B2B) e-commerce.
Another forecast, the South African entertainment and media outlook (2013 – 2017)
published in 2013, claims online display advertising is driven by an increasing number
of Internet users, in particular on Facebook that remains the second-largest Internet
advertising segment throughout the forecast period. Internet users are expected to
increase by a CAGR of 22.6 per cent, reaching R 1 billion in 2017. Search engine use
would grow at a CAGR of 23.9 per cent over the forecast period, driven by an increase
in Internet penetration. With the addition of Long Term Evolution (LTE) technology to
the market, compatible smartphones and more affordable feature phones providing
access to mobile Internet would see mobile advertising grow at a notable CAGR of 37.8
per cent over the forecast period. That would translate to growth from R189 million in
2012 to R938 million in 2017. The South African Internet advertising market is forecast
to generate revenues of up to R 3.7 billion in 2017 compared to R 1.2 billion in 2012; a
CAGR of 25.4 per cent.
18
With the continual shift toward online and mobile distribution of content, it is expected to
become one of the biggest evolutions in the ICT sector. With the advent of fourth
generation (4G) technology, other technologies that enhance broadband access, and
new devices and services that use these technologies, data usage would continue to
expand exponentially.
According to World Wide Worx (2012) estimates, Internet growth in South Africa is
expected to rapidly increase, spurred by the anticipated falling wholesale bandwidth
costs and the emergence of a new generation of Internet Service Providers (ISPs).
World Wide Worx estimates true individual mobile penetration to be about 80 per cent,
with 40 million South Africans using smartphones. Goldstuck (2012), however, cautions
that although the impact of the Internet may increase significantly with the number of
Internet users that have started to accelerate in 2008, it could take up to five years
(according to Goldstuck‘s Digital Participation Curve Model) before new Internet users
gain the confidence and experience to become active participants in the Internet
economy. The number of experienced users has begun accelerating in 2013, and the
acceleration is anticipated to continue during the 2014 – 2019 period.
The low levels of broadband penetration represent a major barrier for access to online
services by small businesses and consumers. Yet, despite these limitations, in South
Africa close to two-thirds of active small and medium enterprises have established a
presence on the Internet that is a critical factor in the survival and growth of SMMEs.
The Internet debate provides evidence from numerous sources that acknowledge the
rapid growth of the Internet, however, South Africa still lags significantly behind the
biggest Internet user bases in Africa. Figures released cite Nigeria in the lead with 45
million users and a 29 per cent penetration rate, while the 21.6 million users in Egypt
represent a 26 per cent penetration and the 15.6 million users in Morocco with a market
penetration of 49 per cent. Kenya claims 10.4 million Internet users with a 25 per cent
penetration rate. The lagging behind of South Africa is mainly attributed to high Internet
cost, and the fact that infrastructure development mainly happens in urban areas. The
almost non-existent rural infrastructure hampers SMME driven entrepreneurial activity.
19
The discussions at the ICT Indaba (2012) confirm these concerns, since broadband
was cited as one of the obstacles that are preventing the creation of a knowledge-
based economy. A knowledge-based economy is deemed to be essential in the current
climate because the implementation of this objective would allow for the production of
multiple economic benefits and job creation in society. In this regard, South Africa is
falling behind global ratings in terms of broadband connectivity and pricing because the
technology penetration in rural communities remains limited. With the uptake of mobile
data in rural areas (Goldstuck 2012), entrepreneurial activity in rural areas can be
expected to increase.
? ICT skills shortage
Human capital development in the ICT sector was a central theme of an international
ICT Indaba (2012) hosted in South Africa where discussions about sourcing, building,
and retaining the necessary skills force for a robust ICT industry in Africa were
deliberated. Tables 1.5 – 1.8 produced by the Media, Information, and Communication
Technologies Sector Education and Training Authority (MICTSETA) attest to the
shortage of critical and scarce skills in the ICT sector.
Table 1.5: Demand for the top twelve scarce skills (potential vacancies –
occupations) in the electronic media and film sub-sector
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
264101 Author 31
264204 Radio journalist 24
265401 Director (film, television, radio or stage) 14
343101 Photographer 13
343907 Continuity person 10
352103 Sound technician 6
352105 Radio station operator 6
241107 Financial accountant 5
352102 Camera operator (film, television or video) 5
352101 Broadcast transmitter operator 4
265403 Film and video editor 4
121101 Finance manager 4
Source MICTSETA (2012: Page 8)
20
Radio journalist vacancies is depicted in Table 1.5 as an area that has the highest
demand for potential potential careers that women could pursue, especially in
photography. The huge demand in these career categories is indicative of what this
study seeks to investigate in terms of why women are absent in these areas of technical
expertise. The absence of women in these environments is concomitant with the
literature review in this study that has identified an education gap, particularly at tertiary
level where these ICT skills are acquired. The table further correlates with the
arguments raised in the literature review about the education sector that fails to turn
around the situation in relation to the ICT sector.
Table1.6: Demand for the top twelve scarce skills (potential vacancies –
occupations) in the electronics sub-sector
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
311301 Electrical engineering technician 92
252301 Computer network and systems engineer 65
251201 Software developer 48
251201 Software developer 48
214401 Mechanical engineer 45
352201 Telecommunications technical officer or technologist 45
215101 Electrical engineer 42
214201 Civil engineer 38
251401 Applications programmer 34
122101 Sales and marketing manager 31
215201 Electronics engineer 26
351201 ICT communications assistant 26
215103 Energy engineer 26
Source MICTSETA (2012: Page 8)
Table 1.6 supports the arguments observed during the literature review of this study in
respect of the dire need for such critical skills in the ICT sector and the lack of core ICT
education (e.g. vacancies 42 to 90). Perhaps it also confirms the point of view that
students, particularly women, are shying from the ICT sector due to the lack of
orientation in science and technology.
21
Table 1.7: Demand for the top twelve scarce skills (potential vacancies –
occupations) in the information technology sub-sector
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
251201 Software developer 493
251203 Developer programmer 451
252301 Computer network and systems engineer 402
251101 ICT systems analyst 351
351301 Computer network technician 220
422206 Call or contact centre agent 220
351201 ICT communications assistant 186
251901 Quality assurance analyst (computers) 152
252101 Database designer and administrator 76
251202 Programmer analyst 72
242101 Management consultant 67
133102 ICT project manager 63
Source MICTSETA (2012: Page 9)
Table 1.7 provides information that is also linked to the low levels of ICT orientation.
Some of these vacancies, such as call or contact centre agent, already have an
environment that could easily absorb women. With reference to the research questions
of this study, it is evident that women-driven entrepreneurship in the ICT sector is an
evident challenge, since research suggests that women shy away from technically and
scientifically orientated career options.
Table1.8: Demand for the top twelve scarce skills (potential vacancies –
occupations) in the in the telecommunications sub-sector
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
243402 ICT business development manager 116
522304 ICT sales assistant 69
252301 Computer network and systems engineer 52
133102 ICT project manager 39
235601 ICT trainer 37
252901 ICT security specialist 33
241204 Financial markets practitioner 32
251203 Developer programmer 29
352201 Telecommunications technical officer or technologist 26
242401 Training and development professional 17
22
OFO Code Occupation Description Total Scarce Skills, 2012 - 2015
422206 Call or contact centre agent 14
672205 Telecommunications technician 11
Source MICTSETA (2012: Page 9)
Table 1.8 confirms the dire need for ICT skills training in the ICT sector for
development, especially from an entrepreneurial point of view that government and the
private sector seek to promote women-driven entrepreneurship.
The issue of women empowerment remains high on most ICT developmental agendas,
such as the ICT Indaba held in 2011. Discussion topics at the ICT Indaba revolved
around women entrepreneurs who were depicted as change agents. These topics were
based on the empowerment of understanding the role ICT plays, on the importance of
women entrepreneurs gaining access to ICT in terms of affordability, and on outreach
with the aim of advocating development in rural areas. Related to this are the findings
of the WEF Report (2012) that highlights a shortage of human capital in the ICT sector
which requires increased access to ICT infrastructure in the South African context.
According to the report, South Africa fails to advance the affordability and skills of the
ICT sector, where it ranks disappointingly at 104 and 102 respectively.
The CEO of the Computer Society of South Africa, Dagada (2012) also acknowledges
the skills limitations in the ICT sector in an analysis of the South African industry over
50 years. The analysis raises critical issues with regard to the status quo of the
shortage of ICT skills training in the country:
?While, globally, there is a lack of ICT capacity, SA, like many other African
nations, is experiencing a stunning shortage of skills. This will dearly cost
the economies of the country, should the situation remain unimproved. ICT
skills are so important to the economy because, in effect, they produce ICT
goods and services, which are applied in myriad business and social
environments. The contribution that ICT skills makes to countries?
development, as well as that of the individual citizens? is very well
documented in various research studies. While it may not be disputed that
ICTs are vital in today?s industrial production, the effective use of the
23
technologies is what is more important for productivity and economic
growth. Hence, the lack of the ICT skills, if not addressed swiftly, is likely to
erode the potential economic development of this country. The question is,
what causes the shortage of ICT skills and how can this be addressed in
SA? Concerns have been raised that SA?s institutions of higher learning are
not producing sufficient numbers of graduates with the required levels of
ICT skills to boost productivity and competitive products, in keeping with
international trends. ICT-trained employees are more efficient; they work
quicker and make fewer mistakes, hence they are more productive. The
lack of ICT skills in the country has been exacerbated by the fact that
between 1994 and 2009, the ANC government neglected the technical
colleges, which could equip the masses with ICT skills? (ITWEB: 2012).
In this context, the issue of skills shortage is also identified in a national expert‘s survey
conducted in 2008 by the Global Entrepreneurship Monitor (GEM) Women‘s Report
South Africa. Of all 30 countries sampled, South Africa had the highest percentage of
experts identifying education and training as a major limiting factor. The WEF (2013)
highlights issues of concern pertaining to education inefficiencies:
i. South African ICT skills ranking are found to be among the lowest in the world with
a ranking of 102 out of 144 economies in terms of the necessary skills to boost the
performance of the country;
ii. Quality of educational system – 140th out of 144 economies;
iii. Quality of mathematics and science education – 143rd out of 144 economies;
iv. Secondary education gross enrolment rate – 56th out of 144 economies;
v. Adult literacy rate, defined as a percentage of the population aged 15 years and
older who can read and write with an understanding of a short, simple statement
on his / her everyday life – 93rd out of 144 economies;
24
vi. Raising educational standards and making the labour market more efficient are
considered as a critical factors in view of the high unemployment rate in the
country of more than 20 per cent a youth unemployment rate of close to 50 per
cent; and
vii. That these statistics are an indication for South Africa to drastically improve its ICT
education if it plans to be competitive in a fast changing economy that increasingly
relies on ICT skills.
The WEF (2013) reiterates the importance of skills in the economic and ICT growth of a
country:
?Among the expressions of transformation is the development of new skills
that are important in knowledge-based, information-rich societies and that
are crucial for employment. Building a skilled labour force and creating
sufficient employment present considerable challenges for South Africa?
(WEF: 2013).
The WEF also emphasises the need for government and the private sector to
collaborate in building the skills base:
?Government and the private sector need to join hands once and for all to
properly address the education issues and specifically to deal with the issue
of poor maths and science in South Africa. Only then will we start to see true
benefits flowing through in order for us to truly grow our economy? (WEF
2013).
Attempts by the private sector to improve the reading literacy levels are shown in the
findings of research conducted by the South African Entertainment and Media Outlook
(2013 – 2017). The report anticipates that the interest shown by new multinational
entrants, such as Apple with subsidiary distributers in South Africa, that have found
their way into the education e-book segment since February 2013 with an anticipated
increase in book sales after their launch of a full store in 2014. Apple is presently
servicing about 180 schools that are using iPads in their classrooms. Electronic books
25
are forecast to account for 8 per cent of the consumer market in 2007, up from 1.5 per
cent in 2012 but the rollout impact will remain limited during the next five years based
on the print version being favoured to the electronic version. The majority of schools, in
particular those based in underserved and rural areas, have limited and poor
telecommunications infrastructure to access broadband enabled services.
According to the Department of Communications; GovTech (2012) is a world class
platform for collaborations, capacity building, and information sharing between the
government and ICT sectors. During the 2012 SITA annual conference, GovTech
affirmed its position as a strategic ICT resource for the public and private sectors to
advance the ICT agenda of government with a shift towards greater collaboration on
key strategies and priorities. The GovTech conference has become a valuable platform
for learning and information sharing by government decision makers and ICT industry
representatives with the purpose of enabling the planning of effective ICT
implementation by government. Parallel to issues raised under the education pillar
were the limitations of government to harness innovation levels in order to increase
competitiveness and productivity levels in entrepreneurship. The South African
government seeks to address slow decision-making processes in the entrepreneurship
sector through its National Development Plan that contains the blueprint for economic
and social development of the country until 2030. According to the WEF economist,
Thierry Geiger, competitiveness rankings are important, since they are among factors
considered by investors before they decide to invest in a country.
Against the backdrop of South Africa being regarded as an important role player in the
global economy and a future driver of global growth, the South African government
maintains that improved innovation levels are necessary and critical for the country.
1.2.1.3 The information technology (IT) industry
In an Africa Attractiveness Survey (2011), South Africa ranked 47th out of 66 countries
measured in the IT industry competitiveness index, with a score of 35 out of a possible
100 (Ernst & Young 2013). However, the South African IT infrastructure, with a low
score of 17.5, is a key area in need of improvement, primarily through the provision of
26
high-quality networks and greater liberalisation of telecommunications. In a report by
SAEEC (2013), the industry contributed US$ 15.08 billion to the South African economy
in 2013. As reported by Engineering News (2012), South Africa is the 20th largest
consumer of IT products and services in the world. The South African IT industry is
characterised by technology leadership, particularly in the field of electronic banking
services. South African IT companies are world leaders in prepayment revenue
management, fraud prevention systems, and manufacturing of set top boxes; all
products and services that are exported successfully to the rest of the world.
There are several international IT corporations that are recognised as leaders in the ICT
operating subsidiaries from South Africa; such as IBM, UNISYS, MICROSOFT, Intel,
Systems Application Protocol (SAP), Dell, Novel, and Compaq (SAEEC 2013).
Gartner, the international research group, rates South Africa as one of its top 30
software development outsourcing destinations (2007) on par with Israel from the
Europe, Middle East and Africa region and next to Australia and India globally.
In another forecast provided by the Industrial Development Corporation (IDC) of South
Africa, it appears that the industry is weathering the storm. The IDC reports a healthy
uptake in IT services, growing from 8 per cent year-on-year in 2010 to contributing more
than a third of total IT spending in the country. The forecasts that the IT services
market to exceed R 40 billion in 2012 were confirmed. The IDC forecasts that the total
South African IT services market would expand at a compound annual growth rate of
8.7 per cent to exceed US$ 17 billion, about R 136 billion, in 2015. The growth is
attributed to a number of factors including a recovering economy, increased business
confidence, expanding bandwidth availability, and various infrastructure investments
made in the country during 2010 (Nolan 2012).
Outsourcing constitutes 40 per cent of the South African IT services market, which
represents the largest market share of all IT services foundation markets, followed by
systems integration, and installation and support services. The healthy growth in
outsourcing services signifies a level of sophisticated and maturity in the IT services
segment. Services such as networking and desktop outsourcing, as well as
27
infrastructure hosting saw an increased uptake in 2010 fuelled by the incremental
supply of datacentre space and increased customer awareness of the managed
services model.
1.2.1.4 The electronics industry
The electronics industry is performing well at present and is expected to do so in the
next number of years based on competitive advantages specific to the local and
international market. The industry is known as a leader in world-class innovations,
production, and cost efficiencies with capabilities in professional electronics, testing and
piloting systems, automotive electronic subsystems, and access control systems. Small
to medium companies also specialise in security and electricity pre-payment metres.
On the contrary to this, albeit South Africa‘s recognised status in the areas mentioned,
according to a recent studies (GEM 2014 and Global competitiveness report 2014),
South Africa does not feature among the top rated innovation-driven economies
(international level) but counter parts such as, Asian Taiwan, and Singapore do. This
being an indication that although there are pockets of innovation comparing to global
rankings South Africa has got to have a balance across its sectors in order to graduate
to towards an economy driven by innovation. The South African automotive industry is
regarded as an engine of growth in the manufacturing and export of vehicles and
components. The sector accounts for about 10 per cent of the South African
manufacturing exports. The South African leadership in software development and
capacity to deliver quality world-class software have contributed to high regard of the
African and international markets. International companies are increasingly outsourcing
software development to emerging countries and South Africa appears on that list.
Software development companies have made remarkable inroads (software and
peripherals) in the marketplace and are competing favourably despite the global
recession.
Although there is room for SMMEs to compete in the industry, the industry remains
unable to attract high-tech knowledge and skilled engineers. These SMMEs specifically
include women entrepreneurs who are the focus of the investigation in this study. This
28
phenomenon is not unique to the electronics industry, since it exists in all industries of
the ICT sector. However, there is commitment from multinational companies, such as
IBM, that are willing to support the industry by building IT business skills in the small
business sector. The IBM has a well-established innovation hub that continually hosts
emerging software companies. A substantial number of innovative hubs have been
established in all nine provinces in South Africa. This is only one of many positive
responses to the call by government for increased private sector involvement.
South Africa has a vibrant, growing film industry that is becoming increasingly
competitive internationally. Local and foreign filmmakers are not only taking advantage
of the diverse, unique locations of the country but also of the low production costs and
favourable exchange rate. It is up to 40 per cent cheaper to make a movie here than in
Europe or the United States and up to 20 per cent cheaper than in Australia. According
to the Department of Trade and Industry, the South African entertainment industry is
valued at around R 7.4 billion, with film and television generating more than R 5.8 billion
in economic activity each year. According to a recent economic impact assessment
study commissioned by the Cape Film Commission, the industry has a direct annual
turnover of more than R 2.65 billion and contributes an indirect annual turnover of more
than R 3.5 billion to the South African GDP.
There is also a range of general and specialised news websites that, in terms of the
speed and scope of their coverage, are on par with the best in the world. The South
African Broadcasting Corporation (SABC) television broadcasting monopoly ended in
1986 when the subscription-based M-Net was launched. Nowadays, Digital Satellite
Television (DSTV) carries more than 50 channels, ranging from South African produced
content to international content, sports, and news. The ICT sector is regarded as an
engine for economic growth based on its significant contribution to GDP growth. Wolf
(2001:9) argues that the relation between GDP per capita and ICT run parallel; ICT as a
production input and a consumption commodity makes it difficult to separate the impact
of ICT investment from its determinants. This, according to Wolf (2001:9), could be a
possible explanation for the ?productivity paradox? between developed and developing
economies. Developed economies have better established infrastructure than
29
developing economies. This is likely to impact positively on high growth rates in the ICT
sector as a result of heavy investment in ICT infrastructure.
The electronics industry revenues in South Africa are growing at levels well above the
general GDP growth rate. Key players include Siemens, Alcatel, Ericsson, Altech,
Grintek, Spescom, Tellumat and Marconi. The South African electronics industry has
repeatedly proved itself in terms of world-class innovation and production. The industry
is characterised by a handful of generalist companies with strong capabilities in
professional electronics, while small to medium companies specialise in security
systems and electricity prepayment meters. Investment opportunities exist in the
development of access control systems and security equipment, automotive electronic
subsystems, systems and software development in the banking and financial services
sector, silicon processing for fibre optics, integrated circuits, and solar cells. There are
also significant opportunities for the export of hardware and associated services, as well
as software and peripherals. The common denominator of these claims is the
economic construct of SMME ICT-based enterprises that are still facing challenges
(Berry, Von Blottnitz, Cassim, Kesper, Rajaratnam & Van Seventer 2002) brought about
by many inhibiting structural developmental factors that have yet to be addressed
through political influence, since the ICT sector in the Eastern Cape Province still lacks
access to infrastructure. In this regard, an assumption that ICT would solve economic
challenges faced by SMMEs operating in the ICT sector of the province might be a
misnomer.
However, the idea of leapfrogging fixed line broadband technology to overcome some
of the structural constraints. At the same time, mobile broadband offers new or
advanced technologies; such as wireless, 3G, satellite, and voice recognition software.
By bridging the technological divide, a substantial part of landline infrastructure might
no longer be needed. It may well be an option for SMMEs operating in rural areas of
the province. According to the SME Survey (2008) findings, SMEs perceive broadband
as leading critical infrastructure expenditure. This perception suggests a prevailing
demand for existing and future use of basic ICT infrastructure (Internet services), as
well as advanced (broadband services) infrastructure to meet the growing demand in
30
the marketplace. However, the question of accessing such infrastructure by SMMEs in
terms of cost disadvantages discussed elsewhere in this study.
1.2.2 The Eastern Cape Province ICT sector
At present, the Eastern Cape has an underdeveloped ICT sector. The ICT sector is
regarded as an engine for economic growth based on its significant contribution to GDP
growth (Wolf 2001:9), since the relation between GDP per capita and ICT runs parallel.
However, ICT as a production input and a consumption commodity makes it difficult to
separate the impact from the determinants of ICT investment. Wolf maintains that this
could be a possible explanation for the ?productivity paradox? between developed and
developing economies. Developed economies have well established infrastructures –
owing to substantial investment in ICT infrastructure – that are likely to impact positively
on high growth rates in the ICT sector. At the core of these claims is the economic
construct of SMME ICT enterprises in the Eastern Cape Province that are still facing
challenges brought about by many inhibiting structural development factors. These
factors have yet to be addressed through political influence (Berry et al. 2002), since
the ICT sector in this province still lacks acceptable access to infrastructure. In this
regard, it might be assumed that ICT would solve economic challenges faced by
SMMEs operating in the provincial ICT sector.
However, in terms of the growth of the province by way of commercial and
manufacturing operations, the Eastern Cape Development Corporation (ECDC), on
their website, reports that there are significant development potential and opportunity in
the provincial ICT sector to attract investment and business operations. Specific
opportunities have been identified in the electronics software sector:
? Software research and development: With its strong tertiary education institutions,
the province provides a solid foundation for investment in research and
development of niche software for global markets.
? Technology Park: Opportunities exist for the investment in, and development of, a
technology park that would act as a technology incubator for the Eastern Cape. It
31
is envisaged that this initiative could form part of a private and public sector
partnership, offering intensive support to SMMEs and entrepreneurs who wish to
enter the ICT sector. At least two of the five universities in the province have
expressed an interest in being part of such an initiative.
? Telecommunications: Opportunities exist for the supply and maintenance of
telecommunication systems in support of call centres and business process
outsourcing and offshoring BPO&O operations in the province.
At present, the Eastern Cape ICT sector is supported by incubation hubs that are
making a contribution in terms of GDP growth in the province. The two main hubs are
the Eastern Cape Information Technology Initiative (ECITI) situated in East London and
the Nelson Mandela Bay Technology Hub situated in Port Elizabeth. The ECITI is a
multi-faceted programme that focuses on providing support to SMMEs in ICT and
related industries and is supported by provincial government in line with provincial
growth and development strategies (ECITI website). The Nelson Mandela Bay
Technology Hub, initiated and championed by the ECDC in conjunction with the ECITI,
is the implementation arm of the provincial ICT strategy in terms of providing incubation,
growth, and development opportunities for SMMEs in the ICT sector. The hub
comprises representatives from all the major commercial and manufacturing sectors in
the province.
Although entrepreneurial activity and new enterprise formation are considered engines
of economic growth and innovation (SME Survey 2010), realising this in the context of
ICT SMMEs in the Eastern Cape Province remains to be empirically proved. The
establishment of these activities and enterprises are analysed in this study.
1.3 AIM OF THE STUDY
The aim of this study is to provide a grounded analysis of women-driven
entrepreneurship in the SMME segment of the ICT sector in the Eastern Cape
Province. Two cities, East London and Port Elizabeth are sampled to achieve this aim.
32
The view is to develop an in-depth understanding that is grounded in the experiences of
SMME women entrepreneurs enterprising within this sector.
The voices of women entrepreneurs are used to describe what is happening in their
practical contexts and why it is happening. In the process, the researcher uncovers a
fundamental pattern of factors emerging from gathered data that influences women-
driven entrepreneurship processes and emphasises issues or restrictive conditions
which contribute to the status quo. These processes and issues have an impact on
women entrepreneurs, therefore, the necessary changes need to be identified for the
growth and development of SMME women-driven entrepreneurship in the ICT sector of
the Eastern Cape Province.
1.4 RESEARCH OBJECTIVES
The objectives of the research are to:
? describe SMME women entrepreneurs‘ conceptualisation of entrepreneurship, ICT
as a technology and as a sector;
? explore the importance of ICT as an enabler in advancing SMME women-driven
entrepreneurship;
? describe ways in which women entrepreneurs use ICT as a core product and
service of the enterprise; and
? describe how SMME women entrepreneurs perceive the role of government and
the private sector in supporting the advancement of SMME women-driven
entrepreneurship in the ICT sector of the Eastern Cape Province.
These objectives indicate the scope of exploring the substantive area under
investigation and confirm what the researcher expects to achieve.
33
1.5 RESEARCH INTEREST
The motivation behind the study focuses on SMME women-driven entrepreneurship in
the ICT sector of the Eastern Cape Province, since women economic empowerment
has appeared on the radar screen as a result of the governmental ICT millennium
development agenda as reflected in passages from policy frameworks: i) the
Information and Communications Technology Sector Industrial Development
Framework (SAITIS) ICT Charter; ii) ICT codes of BEE and Eastern Cape ICT Strategy
2009 – 2014: Programme 2, Strategy 1; and iii) department of Science and Technology.
Arguably, while there is a general consensus on the importance of promoting the
participation by SMME women entrepreneurs in the economic mainstream of the ICT
sector of the country, it would appear their economic rationale has not been rigorously
investigated, since there is little evidence of women in ICT research (Women in ICT in
South Africa 2006) conducted in the Eastern Cape Province.
In light of the Eastern Cape ICT Strategy (2010 – 2014), there appears to be a gap in
research in relation to SMME women-driven entrepreneurship and general SMME
driven entrepreneurship in the Eastern Cape ICT sector. The unavailability of gender-
disaggregated data emphasises:
i. The number of women-owned ICT enterprises;
ii. The nature of entrepreneurial economic activity within these ICT enterprises;
iii. Evidence about their degree of competitiveness;
iv. Their ability to adapt quickly to changing market conditions and restructuring of
business operating processes; and
v. Sustainable job creation and data defining available skills and occupations.
The unavailability of such data is indicative of an existing research problem that is
presented in the form of broad research questions to be explored and refined during the
process of analysis to accommodate evolving empirical and theoretical themes.
34
Hutchinson (2001:11) claims that ?a precise research question is not possible to pose
before beginning any grounded theory? and ?it is fully acceptable to let the research
questions develop through the empirical and theoretical work? (Goldkuhl & Cronholm
2003; 2010).
1.6 THE RESEARCH QUESTIONS
Based on the research interest, the following research questions were investigated:
i. How do the selected SMME women entrepreneurs conceptualise the concept ICT
as a technology and a sector?
ii. How do SMME women entrepreneurs conceptualise the concept of
entrepreneurship?
iii. Why is the ICT sector regarded as a critical enabler in advancing SMME women-
driven entrepreneurship?
iv. In what way do SMME women entrepreneurs employ ICT as a core product and
service of the ICT enterprise?
v. How do SMME women entrepreneurs perceive the role of government in
supporting the advancement of SMME women-driven entrepreneurship in the ICT
sector of the Eastern Cape Province?
vi. How do SMME women entrepreneurs perceive the role of the private sector in
supporting the advancement of SMME women-driven entrepreneurship in the ICT
sector of the Eastern Cape Province?
1.7 PHILOSOPHICAL POSITION
Creswell and Plano Clark (2007:20) infer that no research is value free, since ?all
studies include assumptions about the world and knowledge that informs [sic] the
inquiries?. The researcher‘s paradigm or ?worldview? influences this research enquiry
(Creswell & Plano Clark 2007:21), therefore, it is characterised by a feminist approach
35
to promote women‘s active engagement in changing their lives [entrepreneurially]
(Stanley & Wise 1990:21). The researcher, a women entrepreneur consulting in the
SMME segment, has an interest in better understanding women-driven
entrepreneurship in the SMME segment of the ICT sector of the Eastern Cape Province
and in knowing why there seems to be limited representation of women entrepreneurs
in this sector.
Firstly, numerous calls from the investment community (business chambers) during
SMME workshops trigger this interest that encourages the participation of women
entrepreneurs in the economic mainstream of the ICT sector. Secondly, the concerns
echoed in surveys and research reports spur on a similar curiosity (ISETT & DTI Skills
Audit Survey 2005; James, Leinonen, Smith & Haataja 2006; Research ICT Africa
2006:49; Paterson 2007). In relation to the particular focus of this research project,
these calls and concerns include low levels of active participation of women in the
economic mainstream of the sector and in high-level ICTs, low equity ownership, the
shortage of suitably skilled people, and the lack of a strong R & D capacity in ICT
innovation.
1.8 EPISTEMOLOGICAL ORIENTATION
An epistemological orientation refers to the philosophical inquiry of the nature and
scope of knowledge that is concerned with developing an acceptable understanding of
what a researcher may identify as a paradigm of positivism, constructivism, and
interpretivism which guides research and provides justification for the methodology
used in an inquiry.
The SMME women-driven entrepreneurship in the ICT sector of the Eastern Cape
Province represented a substantive area of social investigation that motivated the
researcher to adopt a moderate constructivism (Butler 1998; Charmaz 2011; Creswell
1994) and interpretivism (Denzil & Lincoln 2005; Goldkuhl 2012; Guba & Lincoln 1994;
Saunders, Lewis & Thournhill 2007; Orlikowski & Baroudi 1991) epistemological
position on building knowledge.
36
1.8.1 Constructivism and Interpretivism
Constructivism asserts that reality is constructed by individuals, since they assign
meaning to the world around them (Appleton & King 2002; Charmaz 2000:521; Guba &
Lincoln1989:43). Equally, generating and analysing data are not neutral acts because
these processes are imbued with subjectivity. The moderate constructivist stance is
taken in acknowledgement that reality is generated jointly by the participants and the
researcher, and that ?a real world exists but is never separate from the viewer who may
see it from multiple standpoints? (Charmaz 2009). Constructivism:
i. scrutinises the process of interaction – reciprocal shaping – (Strauss & Corbin‘s
1994:280) among participants who emphasise the subjective interrelationship
(Hayes & Oppenheim, 1997; Pidgeon & Henwood 1997) between the researcher
and participants (Charmaz 2006:130);
ii. emphasises the ?co-construction? of meaning (Charmaz 2003:250) and knowledge
(Watling & Lingard 2012) by both parties who seek understanding of the real world
in which they operate that shapes the researcher‘s approach to data collection and
analysis;
iii. involves an iterative process of constant comparison made of interpretations
(Charmaz 2011) and the inclusion of the perspectives of voices of the people
studied (Strauss & Corbin 1998:160); and
iv. grounds the emerging substantive theory through ?interplay? (Strauss & Corbin
1984) between the women entrepreneurs‘ interpretation of their experiences, how
they construct their worlds, what meaning they attribute to their experiences
(Merriam 2009:5), and the researcher‘s background and assumptions in relation to
the analytical process (Walting & Lingard 2012). The researcher ?actively? reacts
to and works with data while co-constructing meaning (Strauss & Corbin 1998:
58).
Guba and Lincoln (1989:88) concur with the above claims and contend that it is
?impossible to separate the inquirer from the inquired into?, since ?it is precisely their
37
interaction that creates the data that will emerge from the inquiry?. Charmaz (2009)
cautions there is a need for the researcher, in grounding the emerging substantive
theory, to be mindful of keeping the voice of women entrepreneurs visible in the
interpretation of meaning by learning from the multiple perspectives they present when
describing their experiences as entrepreneurs in the ICT sector. These multiple
perspectives depict the current reality and substantiate the trustworthiness of the
substantive theory.
This substantive theory has the potential to address identified problems, to suggest
improvement of practices, and to provide theoretical warrants that are limited to SMME
women-driven entrepreneurship operating in the ICT sector (Charmaz 2006:8; Glaser
1967). In other words, SMME women-driven entrepreneurship could only be
understood in the context of the ICT sector of the Eastern Cape Province and the
findings cannot be generalised to the ICT sector in other provinces.
From an interpretivist perspective, the researcher attempts to understand SMME
women-driven entrepreneurship (contextual and socially constructed phenomena) from
meaning assigned by women entrepreneurs (Bryman 2001:265; Deetz 1996; Myers &
Walsham 1998) through a process of interpretative ?creativity?, with reference to open
coding (Orlikowski 1993; Strauss & Corbin 1998). During this process, the researcher
?actively? (Sideman 1998) constructs concepts and theories from an account that is
constructed by women entrepreneurs and the researcher who attempt to explain and
make sense of their lived experiences. From these multiple constructions of interpreted
reality, the women entrepreneurs and the researcher collaboratively produce
?knowledge? (Corbin & Strauss 2008; Charmaz 2003; Glaser 1978; Hand 2003).
This interpretivist position assumes the researcher needs to ?adopt an empathetic
position when entering the social world of [women entrepreneurs] and to understand
their world from their view point? (Saunders et al. 2007) in order to form an
interpretation that describes the way that their ?subjective meanings... are created and
sustained in a particular context? (Putnam 1983:41). Understanding these dynamics
enables the researcher to better grasp SMME women-driven entrepreneurship
38
processes, issues, and concerns grounded in their everyday experiences in the
technological environment of their ICT enterprises. The researcher understands that
little is known about the ?substantive area? (Charmaz: 2006) of entrepreneurship in the
sense of a social process of entrepreneurial activity driven by women entrepreneurs in
the ICT sector, therefore:
The researcher as such, is keen on ?discovering? entrepreneurship processes indicating
?reciprocal changes in patterns of action [and] interaction? indicative of ?changes of
conditions that are either internal or external? to women-driven entrepreneurship
processes (Strauss & Corbin 1998:169).
In the pursuit of building knowledge that culminated in a substantive theory to
comprehensively provide a meaningful interpretive account of the experiences of those
SMME women entrepreneurs. Adopting a single, empirically driven approach to explore
the research topic would have been too restrictive. Hence, the researcher decided to
employ the Multi-Grounded Theory (MGT) methodology that potentially provided an
interpretive account. Such a methodology was not only grounded in the experiences of
women entrepreneurs‘ but was also deductively driven by employing theoretical
frameworks to develop a substantive theory. Combining the two approaches in the
context of this study enhanced methodological rigor.
1.9 METHODOLOGICAL ASSUMPTIONS
Research methodology is the procedure of considering and explaining the logic of
research methods and techniques that provides the means to explore a phenomenon
(Weman, Kruger & Mitchel 2005:2).
1.9.1 Multi-grounded theory
The Multi-Grounded Theory (MGT) research methodology guided the research interest
to explore and describe the phenomenon of SMME women-driven entrepreneurship in
the ICT sector of the Eastern Cape Province. The MGT research method developed by
39
Goldkuhl and Cronholm (2003; 2010), is an extension and modification of the Grounded
Theory (GT) that forms the basis of this study.
The MGT approach has been applied in various studies that are relevant to the context
of this study; such as the studies about ICTs and business by Goulding (2002), Rittgen
(2007), and Kazaka (2013). However, studies with an entrepreneurial focus by Skild et
al. (2005) and Harris (2012) and other studies by researchers; such as Douglas (2005),
Orlikowski and Baroudi (1991), and Goldkuhl (2004) use the grounded approach. The
researcher, therefore, decided that the MGT was best suited to explore the research
questions, since it had been flexible enough to accommodate the review of literature,
i.e. a ?non-committal literature review? (Urqhart & Fernandez 2006), before the
researcher collected empirical data.
Although GT is rooted in a qualitative approach to theory and method, it differs from
traditional qualitative methods of collecting, analysing, and interpreting data that do not
necessarily follow a chronological, step-by-step procedure. Grounded Theory explicitly
employs a structured and ?systematic set of procedures? in its analytical processes
(Strauss & Corbin 1998:24). Whilst qualitative investigation focuses on producing thick
descriptions of data (Eisner 1991; Polit & Beck 2010), GT facilitates the shift from a
description of what is happening to a conceptual level of ?creating new and theoretically
expressed understandings? of the process that makes it happen (Strauss & Corbin
1998:8). This process facilitates the building of ?systematic checks and refinements of
the researcher‘s major theoretical interpretation of data? (Charmaz 2012).
In MGT (Goldkhul & Lind 2006), GT procedures are complemented by grounding the
evolving theory by explicitly using pre-existing theoretical frameworks in a systematic
manner to inform theory development. However, different to GT, MGT adds two explicit
grounding processes (theoretical and internal) not found in GT. Theoretical grounding
prevents the ?risk for noncumulative theory development? (Goldkuhl & Cronholm
2010:191). Internal grounding, on the other hand, seeks to validate the consistency
and congruency (Goldkuhl & Lind 2006:4) of the emerging substantive theory in order to
ensure that the conceptual structure is clear and sound.
40
Grounded theory gives one tools to answer ?why? questions from an interpretive stance.
By interrogating data – and emerging ideas – with analytic questions throughout the
research process, the level of conceptualising data can be raised to a point of analysing
theoretically (Wertz et al. 2011).
One of the MGT features is the research interest that is operationalised in questions.
The research question is reflected upon continually, since it might change during the
stages of theory development due to influences that emerge from ?empirical
observations and theoretical insights? (Goldkhul & Cronholm 2010:193). On the
contrary, in GT the research questions could be vague and unfocused during the
empirical and theoretical phases of theory development (Goldkhul & Cronholm
2010:192).
One finds another difference between the two research approaches in the sense that
GT employs a purely emergent inductive approach in working with data while the MGT
advocates for the use of pre-existing theories to either confirm or discard the empirically
generated findings (Goldkhul & Cronholm 2010). The reluctance of GT to explicitly
incorporate existing theories, according to Goldkhul and Cronholm (2010:188),
encourages the risk of ?knowledge isolation and theory development? rather than aiming
at knowledge ?integration and synthesis? that existing theories facilitate.
41
1.10 SUMMARY
The focus in this chapter offers an overview of what this research study is about. The
aim and objectives are intended to provide an in-depth exploration and description of
the substantive social area of investigation. To this end, the researcher employed the
MGT working structure of Goldkuhl and Cronholm (2010) to address the research
interest and questions. The methodological assumptions included a validation for using
the MGT approach and its processes and how MGT incorporated grounded theory
methods that it borrowed from.
A preliminary literature review (Strauss & Corbin 1998:12) was conducted to build
theoretical sensitivity while contextualising the research interest and questions. The
researcher took into consideration counter arguments advanced (Glaser 1992:31)
against conducting a prior literature review before data collection and analysis. It cannot
be expected of researchers to enter the field with a blank theoretical slate; therefore, it
is not scientifically sound to only conduct a literary review while writing the research
report (Dunne 2011).
The researcher believed the epistemological framework was linked to the philosophical
assumption of a feminist worldview, since the researcher had used the voices of SMME
women entrepreneurs to interpret the findings that informed the status quo based on
the lived experiences of women entrepreneurs.
1.11 OUTLINE OF CHAPTERS
Chapter 2: Conceptual and operational definitions
This chapter provides concepts and operational definitions to guide the scope of the
study. An early identification of concepts prior to data collection, as opposed to
constructing these definitions from raw data, is indicative of grounded analysis practices
that aim at constraining irrelevant variations and sharpening external validity.
42
Chapter 3: Literature review
This chapter covers a full literature review that is intended to lay the foundation on
which the study of women-driven entrepreneurship is built. This process included
examining past research about women-driven entrepreneurship and its significance in
the ICT sector. The chapter also includes women empowerment and efforts made by
government and the private sector at provincial and national level. In addition, it
examines the question of a skills shortage and the impact it has on the women-owned
enterprises, as well as the impact of corruption in relation to women-driven
entrepreneurship. Given the enormous amount of work done in some of these areas,
this review is in no way meant to be exhaustive, but rather to emphasise some of the
main literature streams.
Chapter 4: Research methodology
Chapter 4 discusses the research methodology and design, including an explanation of
the different MGT phases of generating inductive and deductive theory. The chapter
also provides a detailed discussion of data collection and analysis methods, as well as
an explanation of MGT procedures that are employed in order to generate the theory on
women-driven entrepreneurship.
Chapter 5: Analysis and interpretation of interview questions
Section A provides an explanation of the various levels of MGT procedures involved in
the analysis and Section B the application of the MGT procedures in the analysis and
interpretation that provides traceable evidence about the relation between interview
statements and categories generated that led to the generation of the substantive
theory. The analysis and interpretation of interview questions is also illustrated in
graphic format. The structure and sequence of the analysed data depict how
statements were arranged into categories cumulatively gathered through theoretical
sampling from Interview 1 to Interview 14. The section also depicts a summary of the
conceptual refinement process depicting the refinement of concepts generated from
open-ended questions. A critical category determination that illustrates the building of
43
the categorical structures is demonstrated. The section also demonstrates the
deductive analysis procedure and lastly, the section concludes by solidifying the
substantive theory – theory condensation.
Chapter 6: Research findings, analysis of findings, and recommendations
Chapter 6 presents research findings, analysis of findings, and recommendations. This
chapter also summarises the empirically and deductively generated findings of the
substantive theory. According to the MGT procedures, the empirical findings had to
correspond with existing theories – namely cyberfeminism and entrepreneurship – to
validate the emerging substantive theory. The findings highlight factors that are
influencing women-driven entrepreneurship processes in a broader gender context and
inform the recommendations.
44
CHAPTER 2
CONCEPTUAL AND OPERATIONAL DEFINITIONS
2.1 INTRODUCTION
Since the researcher was aware that an established body of knowledge supported the
ICT phenomenon, including formulated definitions gleaned from existing literature,
important concepts and operational definitions were identified.
Goldkuhl (2004) does not refute the view of performing a ?provisional concept
determination? before collecting empirical data, especially where theoretical definitions
already exist. This process assists to focus the research questions and guide the data
collection. Initially, the conceptual definitions are broadly defined in order to create
space for further exploration and refinement with the purpose of accommodating
evolving empirical and theoretical ideas.
2.2 ICT SECTOR
For the purpose of this study, the ICT sector definitions and classifications are those
employed by Statistics South Africa (2013):
i. For the ICT sector, the production (goods and services) of a candidate industry
must primarily be intended to fulfil or enable the function of information processing
and communication by electronic means, including transmission and display.
ii. ICT products must primarily be intended to fulfil or enable the function of
information processing and communication by electronic means, including
transmission and display.
iii. For the 'content and media' sector, the production (goods and services) of a
candidate industry must primarily be intended to inform, educate, and entertain
human beings through mass communication media. These industries are engaged
in the production, publishing, and / or the distribution of content (information,
45
cultural, and entertainment products) in such a way that content corresponds with
an organised message intended for human beings.
iv. 'Content' corresponds with an organised message intended for human beings
published in mass communication media and related media activities. The value of
such a product to the consumer does not lie in its tangible qualities but in its
information, educational, cultural, or entertainment content.
2.3 INFORMATION AND COMMUNICATION TECHNOLOGY (ICT)
ICT is a generic term used to express the convergence of telecommunications,
computing, broadcasting, and communications. On its website, the World Bank defines
the acronym ICT as consisting of hardware, software, networks, and media. These
elements are used to collect, store, process, transmit, and present information (voice,
data, text, and images). According to the World Bank, ICT could be split into:
i. Information and Communication Infrastructure (ICI) that refers to physical
telecommunications systems and networks (broadcast, cable, satellite, postal) and
the services that utilise them (Internet, voice, mail, radio, and television); and
ii. Information Technology (IT) that refers to the hardware and software of
information collection, storage, processing, and presentation.
The ICTs represent a cluster of associated technologies defined by their functional
usage in information access and communication (Appendix M: MICTSETA SIC code
list):
i. Office, accounting, and computing machinery;
ii. radio, television, and communication equipment;
iii. miscellaneous ICT components and goods;
iv. leasing or rental services without operator;
v. professional, technical, and business services;
46
vi. telecommunications and broadcasting information supply services; and
vii. content and media (Statistics South Africa 2013).
2.4 SMALL, MICRO, AND MEDIUM ENTERPRISES (SMMES)
The definition of an SMME is broad and defined differently in certain regions of country
and across sectors. For example, SMMEs for funding purposes is defined by the South
African Department of Trade and Industry (DTI) as small enterprises that employ less
than fifty, but more than five workers and fewer than 100, which utilise capital assets
(excluding fixed property) valued at less than two million rand. In addition, they should
have an annual turnover of less than six million rand.
The South African National Small Business Act of 1996 defines a ?small business‘ as:
?A separate and distinct business entity, including co-operative enterprises
and nongovernmental organisations, managed by one owner or more which,
including its branches or subsidiaries if any, is predominantly carried on in
any sector or subsector of the economy.
The South African National Small Business Act (1996), however, also provides a
broader definition of SMME that is premised on three categories and their variations
according to particular industries with reference to the number of employees, turnover
bands, and variations of segments in relation to the different sectors:
i. Survivalist enterprises (informal): Operating out of necessity to secure a minimal
income with little capital and skills and with scant prospect for upward growth;
ii. Micro enterprises: A growth potential that involves the owner and family members
or at the most four employees; and
iii. Formal small and medium-sized enterprises: These businesses have five to one
hundred and one hundred to two hundred employees respectively; they are still
owner-managed and fulfil all the trappings associated with formality.
47
For the purpose of this research project, the definition adopted is the DTI classification.
The SMMEs concerned are those businesses operating in the formal sector in the ambit
of the ICT sector with the core business of manufacturing, producing, or processing ICT
related products or services (SAITIS 2000).
2.5 SMME WOMAN ENTREPRENEUR
Appropriate for this study, an SMME woman entrepreneur is an employer, owner,
cooperative (registered owner), part owner (51 per cent shareholding or 25.1 per cent
equity), or principal manager who is responsible for the expansion and strategic
development of the ICT enterprise.
A woman entrepreneur, by definition, refers to a woman who exercises initiative in
setting up a new ICT enterprise, as well as organises and competitively operates the
ICT enterprise independently. This involves taking on risk, as well as an opportunity to
make a profit. In general, an entrepreneur is defined as either ?a person who either
creates new combinations of production factors; such as new methods of production,
new products, new markets, finds new sources of supply, and new organisational forms
or a person who is willing to take risks, or a person who by exploiting market
opportunities, eliminates the disequilibrium between aggregate supply 0and aggregate
demand, or as [sic] one who owns and operates a business? (Tyson, Petrin & Rodgers
1994:2-3).
2.6 ICT ENTERPRISE
For the purpose of this study, an ICT enterprise refers to an entity with the core
business processes of production, manufacturing, and processing to generate ICT
related products and / or services.
The Woman‘s ICT-based Enterprise for Development Project (2005), in defining an ICT
enterprise, points out three main categories in qualifying their definition, namely:
i. ICT as an enterprise output refers to a business that produces hardware, software,
and telecommunications products;
48
ii. ICT – as a primary, processing technology – refers to an enterprise that provides
data entry services, ICT-based business services, software customisation, ICT-
based distance learning, etc.; and
iii. Other ICT related support activities that refer to enterprises which provide
computer training, consultancy, and other services.
It is important to clearly define the ICT enterprise right from the start, since
understanding the context in which the ICT enterprises operate is critical for this study.
The researcher‘s interest was to conduct an analysis that provided an in-depth
understanding interpreted from the perspective of women on how those enterprises
used ICT as a core product and / or service. This distinction is made because
references in most literature focusing on women refer to ICTs as an enabling tool (Kelly
2013; Huyer & Sikoska & Women in ICT in South Africa 2006).
2.7 ENTREPRENEURSHIP
Entrepreneurship by inference is a process by which entrepreneurs are in a constant
search to exploit new (ICT-based) technologies (Hawthorne & Klien 1999) and
alertness of new types of economic opportunities (Gaglio 2004; Galio & Katz 2001) in
the mainstream of the ICT sector (in local and global markets) to create new means
(novel ICT products or services) that yield new economic ends (profit or wealth) made
possible through innovation (Bruyat & Julien 2000; Drucker; Schumpeter 1934;
Timmons & Spinelli 2008) which plays a significant role in shaping the ICT enterprise‘s
entrepreneurial processes, and in changing – creative destruction (Schumpeter:1942)
the technological environment – technical innovation (Chiware 2007) in methods of
production and organisation. Bapat and Harkal (1989) add the dimension risk-taking to
the definition conceived as a central characteristic of entrepreneurship.
In general terms, entrepreneurship encapsulates the ability of an enterprise to expand
market access opportunities. This includes the entrepreneurs‘ ability to initiate and drive
the business vision, goals, and strategic objectives of an enterprise in order to gain a
competitive edge in the marketplace to ensure the success of the enterprise.
49
Nadim and Seymour (2008:14) define three entrepreneurial components; namely
entrepreneurs, entrepreneurial activity, and entrepreneurship. They associate
entrepreneurship with the critical stages of creation and development of new economic
activity. However, their definition focuses more on action rather than on intentions or
supply and demand conditions. Entrepreneurs, according to them, are persons who
seek to generate value by the creation or expansion of economic activity, as well as by
the identification and exploitation of new products, processes, or markets. Equally,
entrepreneurial activity is an enterprising human action in pursuit of the generation of
value by the same means.
As an entrepreneurial activity, the entrepreneurship phenomenon has a number of
individual definitions according to other theorists:
i. A relentless pursuit of opportunity without regard to resources currently controlled
(Stevenson & Salman 1989:104; Stevenson & Jarillo 1990:230);
ii. The process of individuals who pursue opportunities without regard to alienable
resources they currently control with the view of valuing creation (Hart, Stevenson
& Dial 1995; Chell 2007:18); and
iii. Doing things differently or in a non-routine manner with a typical aim of developing
a venture (Gartner 1988:24).
2.8 CYBERFEMINISM
In Paasonen‘s view (2005), the concept cyberfeminism dispersed definitions that
depend on the school of feminist thought applied, e.g. definitions with a political,
economic, or social focus. Paasonen claims, despite the variations in defining the
concept, in broad terms the concept refers to feminist supposition of ?critical analysis
and rethinking of gendered power relations related to technology?. The context of the
ICT sector is generally perceived as a male-dominated environment, hence the call for
women entrepreneurs to empower themselves in ICT with the purpose of ?provid[ing]
the technological basis for a new form of society that is potentially liberating for women?
(Wajcman 2010:148). Women have the ability to end the male-domination in the ICT
sector on to balance the perceived ?gender digital divide? (Huyer & Sikoska 2003:2).
50
This perspective equates to what Pierce (1999:10) regards as a movement driven from
a feminist standpoint that advocates women‘s participation in creating and defining the
present and future technological space. While feminist contributions to literature about
technology are increasing, women also use new media as a liberating tool.
In this study, the concept cyberfeminism is used explicitly to refer to a woman‘s
perspective that synthesises gender concerns and ICT (Huyer & Sikoska 2003:19). The
concept also emphasises women‘s advocacy to use new ICT products and / or services
for economic empowerment (Wajcman 1991:32, Wajcman 2004:45-46, Hawthorne &
Klien 1999:2). The researcher, however, was mindful of this school of thought and
subsequently used the voice of women entrepreneurs under investigation on the basis
of the methodology adopted in analysing women-driven entrepreneurship in the
technological context.
2.9 THE INFORMATION AND COMMUNICATIONS TECHNOLOGY SECTOR
INDUSTRIAL DEVELOPMENT FRAMEWORK (SAITIS)
This policy framework – initiated by the DTI (1995), funded (over a three year period) by
the Canadian International Development Agency (CIDA), and launched in 2000 –
provides the closest semblance to a national policy for the ICT sector. The SAITIS
framework identifies specific goals and supportive actions for government and the
private sector to implement in order to grow the South African ICT sector. The
framework (SAITIS 2000) identifies four key goals to facilitate this process:
i. Goal 1: The ICT sector (Robust, growing and sustainable ICT sector with equity);
ii. Goal 2: ICT usage in other economic sectors (Increased use of ICT as an enabler
for social-economic development with equity);
iii. Goal 3: ICT innovation (Knowledgeable and growing ICT with a skilled workforce);
and
iv. Goal 4: ICT human resources (World class ICT culture).
51
The SAITIS baseline studies (1999) also contributed to the development of the policy
framework.
2.10 THE EASTERN CAPE ICT STRATEGY
The Eastern Cape ICT Strategy (2009 – 2014) outlines the strategic direction for ICT in
the Eastern Cape Province. The strategy aims at enabling and improving service
delivery, especially to rural communities. The transformation of the Eastern Cape ICT
capabilities focuses on eight building blocks:
i. ICT sector development and innovation;
ii. ICT adoption and usage in the public sector;
iii. Human Resource Development: R & D by academia and advancing the skills of
citizens with a particular focus on SMMEs, youth, and graduates;
iv. ICT Governance: Improve ICT governance, transparency, and accountability;
v. ICT Infrastructure Development: Incorporate broadband connectivity for business
and citizens;
vi. ICT Enterprise Architecture; and
vii. Shared Services and business process outsourcing.
2.11 THE ICT CHARTER
The empowerment charter for the ICT sector is an industry-driven document designed
to support the B-BBEE imperatives by:
i. supporting the objectives of the B-BBEE Act and promoting its effective
implementation in the ICT Sector;
ii. bridging the ?digital divide? by actively promoting access to ICTs;
iii. stimulating and supporting growth in the ICT Sector;
52
iv. advancing economic and social transformation in the ICT Sector;
v. contributing to the reduction of unemployment and poverty alleviation;
vi. supporting skills development and training initiatives;
vii. kindling equity and addressing the legitimate economic aspiration of all South
Africans; and
viii. providing an enabling environment conducive to transparency, fairness, and
consistency when adjudicating matters related to B-BBEE in the ICT sector.
The ICT charter covers a range of areas of transformation that include skills
development, employment equity, procurement, ownership, enterprise development,
socio-economic development, and the development of a framework for cooperate with
multinational companies. The charter serves as a code of good practice for the ICT
sector in South Africa.
53
2.12 SUMMARY
Chapter 2 articulates key concepts and provides operational definitions that are
applicable to the context of the research interest and research questions. The
controlled literature review serves as a useful lens for contextualising the research
interest and questions. Chapter 3 contains a comprehensive literature review.
54
CHAPTER 3
LITERATURE REVIEW
?While changing the way individuals live, interact, and work, ICT has also
proven to be a key precondition for enhanced competitiveness and economic
and societal modernisation, as well as an important instrument for bridging
economic and social divides and reducing poverty.? (Greenhill – 10th
anniversary edition of the annual Global Information Technology Report
(2010 / 2011).
3.1 INTRODUCTION
In Chapter 1, a controlled literature review was recorded (Strass & Corbin 1998) and
this chapter contains a full literature review of theme categories based on the empirical
data analysis and comparison with existing theories (Chapter 5). The literature review
comprehensively describes the central importance of these categories to this study. In
accordance to the MGT (Goldkhul & Cronholm 2010), relevant literature was examined
initially and accessing additional literature for the review was left for later as the
emerging categories become relevant.
The role of the ICT sector as evidenced in the regulatory and policy framework of South
Africa (National Development Plan; DoC 2013) has been widely acknowledged by
government (Eastern Cape ICT Strategy 2009) and the private sector (Media,
Information, and Communication Technologies Sector and Education Training Authority
2012) as an enabler of economic growth and development. Concomitantly, government
(NDP; DTI 2013, USAASA 2013:23, SME Growth Index 2013) and the private sector
(Ntshona 2012) have a role to play in supporting SMME development, in particular
women entrepreneurs in the sector. As reflected in the empirical findings of this study,
gender imbalance is still an issue that needs to be addressed, since it is hampering
women‘s needed contribution in the economic mainstream of the ICT sector. Kelley,
Brush, Greene, and Litovsky (2013) also recognise the role that the government should
play in terms of actively acknowledging women entrepreneurs‘ role in the mainstream
55
economy of the ICT sector and supporting women-owned ICT enterprises. Government
should enable them to be productively innovative and to grow their enterprises while
understanding the importance of realising their full contribution measures in order to
address gender-based inequalities in the sector. Government in this regard aims at
enforcing gender transformation compliance as early as 2015 through the new Women
Empowerment and Gender Equality Bill (2013) that would apply to private and public
sectors alike. This empowerment legislation includes women in rural areas.
3.2 THEORETICAL FOUNDATION OF THE STUDY
Theories provide a sound foundation for explaining viewpoints and related socio-
economic challenges. The next section of this chapter explores theories that laid this
foundation for the study.
Despite a plethora of literature and countless research studies emanating from a
feminist perspective raising awareness on gender inequalities in accessing ICT and
gender insensitive ICT policies in an attempt to draw attention from policy makers, the
gender gap appears to be widening particularly for developing countries. This literature
review discusses and analyses various feminist viewpoints at great length both from a
South African and international perspective especially in the context of the ICT sector
in developing countries.
Although ICT is at the top of the agenda of most developing countries for economic
development and human development, and policy in place covering SMME
entrepreneurship development, there appears to be a void when it comes to women
entrepreneurship development. This is evidenced by the absence of gender
disaggregated data, gender mainstreaming interventions and indicators measuring
gender empowerment which could assist in raising greater awareness on women‘s
involvement in the mainstream economy of the ICT sector. Empirical studies, such as
this study could provide a starting point in closing this information gap as qualitative
research has depth and breadth in investigating phenomena that has not been
examined before.
56
The dearth of women‘s representation in policy decision-making core environments of
the ICT sector and low levels of active participation in the mainstream economy of the
sector are an indication of existing gender inequalities manifested in discriminatory
views. This global phenomenon bares evidence suggesting the contrary to utopian
political and economic agendas of different countries in particular developing countries
fetishizing women‘s economic and development benefits through the ICT sector. South
Africa is no exception as its ICT SMME development policy framework (fragmented)
continues to gloss over women empowerment (Green paper) issues and thus further
marginalising women from ICT.
The following theories articulate the digital discourse to analyse gender sensitivity and
insensitivity in the context of the ICT sector.
3.2.1 Cyberfeminism
Essentially, cyberfeminism in broad terms refers to feminist supposition of ?critical
analysis and rethinking of gendered power relations related to technology? Paasonen
(2005). Cyberfeminism borrows qualities from other feminist theories focusing on the
socio-cultural (Plant 1996; Wilding 1998) and economic (Haraway 1997; Wajcman
2004) relations of power in the ICT sector and the application of these theories to
gender in the ICT discourse of both developed and developing (Gajjala 1999) countries
(South Asia). Cyberfeminism as a movement increasingly raises awareness of the
digital divide in understanding women‘s use of new technologies (ICT) profitably in the
fight against patriarchy which manifests itself in the form of gender-based
discrimination. Cyberfeminism arose in contestation to the ?pessimism of the 1980s
feminist approaches that stressed the inherently masculine nature of techno-science?
(Wajcman 2004) and third world perspectives of women‘s marginalisation from ICT
(Gajjala 2003; 2004). Recent cyberfeminist thinking (Paasonen 2010: 349) suggests
activists should engage more critically with ?contemporary technocultures in order to
map out [new forms of politics] solutions for current social and economic inequalities?.
This signifies the relevance that the theory has in the present day.
57
Haraway (1997:127), who advocates against historically established male domination in
the fields of science and technology, encourages women to engage in politics ?…the
meaning-making processes of technoscientific world-building? that goes beyond
naturalism and essentialism fostering stereotypes that come with women‘s
marginalisation from ICTs. Haraway‘s sentiments of bridging the digital gender divide
based on a postmodernism perspective, acknowledge variables marginalising women
from new technologies relating to issues of connectivity to the Internet and the effective
use of ICT for economic gains which are factors highlighted in the findings of this study.
Women‘s marginalisation from ICTs on the basis of discrimination is a perpetuating
condition which defeats the purported utopian view of the ICT sector being an enabling
environment (GEM 2012) to spur women-driven entrepreneurship.
Haraway‘s gender sensitivity activism approach in raising awareness on the need for
women‘s active involvement in the politics of technology in order to influence change is
recognised by Hawthorne and Klien (1999) who also advocates for women‘s solidarity,
that is, coalitions based on affinity rather than on identity. Solidarity, according to
Haraway is a means to women empowerment fostered by political bargaining power
which is informed by the critical analyses and evaluation of gender power relations
concerning ICT political agendas.
Activism efforts then centred mostly on political strategies addressing key concerns
regarding the marginalisation of women from new technologies on the grounds of
discrimination. This activism campaign attracted global attention that drew feminist
activists into the movement from theorists across disciplines, technocrats including
artists who got together as a collective that saw the early establishment (90s) of a
number of international collaborative virtual information networks such as, ?VNX Matrix‘,
?The Old Boys Network‘ which were used as a platform for ?participatory democracy?
(Wajcman 2004:3).
Plant‘s (2000) perspective on activism rests on the premise that women are the future
in the digital space as women and new technologies are inseparable. This assumption
is based on women‘s self empowered position to manipulate the Internet (at the time)
58
and therefore in a position to weaken patriarchal power. Plant in this regard, veers
support for a radical transformative political activism approach that, ?…women can
either accept, adapt or refuse altogether?. Plant is of the view the effect of change can
be realised when contemporary discourses are relevant to women‘s current concerns.
Similar to Plant‘s essentialist views, Millar (1998:2000) contends women‘s
empowerment ?…will lead to an end to male superiority because women are uniquely
suited to life in the digital age?. However, such postmodernist thinking is a fallacy,
particularly in the context of developing countries challenged by inhibiting socio-
economic and political structural issues revealing disparities in women‘s engagement
with new technology (ICT). ?Although utopian thinking is indispensible to feminist
politics, there ought to be a clear distinction between description and imagination
[hyper-realism]? Nowotny (2006:109).
Wilding (1998:50) also counteracts utopian views based on an argument that,
?technological processes are gendered in a manner that excludes women from access
to the empowering points of techno-culture?. This view is in line with colonialist thinking
interpreting technology in the context of sexism and racism ?Cyberfeminism Racism,
Embodiment? (Fernandez 2003) entrenched in the politics of technological resistant to
reform (male dominance). Daniels (2009) in support to such views, argues that gender
inequalities are the cause of women lagging behind and women‘s limited participation
(activism) in the global digital economy.
Wajcman (2004:6) in agreement to this attributes the problem to scientific and
technological fields being historically dominated by men and argues the envisaged
emancipatory role of new technologies in bridging the gender divide is nothing but a
fallacy as technology is used by men as a ?key source of power? which limits women's
prospects in the ?digital economy [ICT sector]? (2004:6). This thinking in the context of
the ICT sector is evidenced by women‘s underrepresentation in the digital space.
Braidotti Rosi (1996), also a sceptic of postmodern ideology ?hyper-reality‘, on the basis
that it disregards postcolonial discourses which directly impacts on the sociology of
ICTs, advocates for a different activism agenda which takes into account the socio-
59
political dynamics associated with postmodern ideology. Rosi draws attention to the
realty that the nature and the depth of socio-political dynamics of a society are
challenging to address as they are rooted in the fabric of the society‘s system. For
example, assuming that discrimination (social dynamic manifested in a business
environment) levelled against women entrepreneurs within the ICT sector can
disappear, is a misnomer. Evidence suggesting women‘s underrepresentation as
articulated in the literature review including findings in this study is evidence of
discrimination encountered by women within the sector. Discrimination, it could be
argued in this context, is deliberate (women denied access – influenced by colonialist
ICT policy regimes) and subtle (women‘s economic marginalisation despite their entitled
right to benefit from affirmative procurement policy – ICT BEE scoring card) based on
authoritarian (coalition of role players in the ICT marketplace – men using dominant
might to dictate the rules of the game) and capitalist market ideologies (women‘s
subordinate economic participation – boxed in low-tech instead of hi-tech environments)
that drive the politics of the ICT sector. Economic discrimination in this regard is a
multi-faceted system of oppression that legitimates the practice of male dominance.
Braidotti Rosi (1996) holds the view that new solutions are required to solve
postmodern thinking in relation to discourses hypothesizing women‘s emancipation in
the digital space enabled through new technologies. Technology however, cannot
balance (bridging the digital divide) what cannot be balanced (based on gender
inequities) not even in the near future for developing economies like Africa in view of
the gap between demographics and regions characterised by structural disparities in
the social (low technology adoption levels), technological (low innovation levels to
leapfrog technology) cultural (ICT men‘s environment) , economic (high infrastructure
costs, low SMME penetration levels into ICT sector), political (ICT policies) realms.
The 2012 Global Information Technology Report released by the World Economic
Forum reviewed in this study attests to this. The report ranks 142 countries (worldwide)
in using ICT to boost economic competitiveness and reports South Africa‘s ICT state of
readiness (72nd from 61st in 2009) to be on the decline (70th in 2013: WEF 2014).
Indicators pointing to this include: ICT not leveraged to accrue potential benefits
associated with ICT; insufficiently developed ICT infrastructure (82nd) ; ICT usage
60
(76th) and enterprise based innovation system (34th); economic impacts accruing from
ICT (59th); social impacts (98th). The overall picture painted by the report casts doubts
on the capability of developing countries and emerging economies to leverage the full
potential benefits associated with ICT. This based on the figures indicating stagnant
growth despite improvements in infrastructure across nations to signify efforts in
bridging the digital divide (WEF 2014). These facts should be a concern for activist
ascribing to counter suppositions idealising women‘s role in the ICT sector based on the
reality that economic inequalities in the ICT still exist. However, concerning women‘s
visibility, there are pockets of evidence in some industries of the ICT sector of the
country suggesting evidence of gender transformation (MICTSETA 2012).
Wakunuma (2013:186) in illustrating gender inequalities, in the context of gender and
ICT policy reform, refutes claims made by government idealising women‘s possibilities
of making a contribution towards economic activities in the sector based on a number of
structural issues inhibiting women-driven entrepreneurial development indicated in the
SANEF (2013) and MICTSETA (2012) reports, which are one of the few reports
providing comprehensive data on the industries of the ICT sector. The SANEF report
reveals slow transformation in some various industries such as, the print and media
industries concerning women‘s ownership, management control, skills development and
employment equity. The MICTSETA report reveals a huge gender divide in terms of
occupational levels by industry. Women as the report indicates are underrepresented
in all industries except in service and sales positions where they outnumber men and
elementary occupations equalising with men. The gap is more evident at management
and professional level (this analysis is provided in subsequent the heading). A host of
structural factors which include low education attainment and skills levels are
highlighted in the report as factors contributing to the digital gender divide. In this study
one of the gaps identified was the lack of disaggregated data which would have given
concrete evidence to support findings that women‘s active participation is far from the
idealised statements from governments where the Eastern Cape Province is
concerned. Counter to the utopian view articulated in the above discussions, clearly,
women‘s relationship with ICT for underdeveloped countries and economies (Gajjala
2004) has an opposite effect of creating ?social disparities and social dislocations for
61
women in Africa? (Adomi 2011:217). In closing, Adomi argues that all ICT policies of
developing nations should be gender mainstreamed on the backdrop that national ICT
policies in Africa have yet to actually address inequalities with respect to making
provisions for gender matters and issues of inequalities in the sector.
Women‘s economic marginalisation however, cannot be left to the powers of the market
to resolve. Women entrepreneurs need to take a stand to advocate for transformation.
Collective activism has been and can be a powerful force of women‘s empowerment in
addressing gender oppressive regimes. In recent writings from proponents of the
school of cyberfeminism there appears to be a growing interest in appealing for activists
in the ICT space to revive cyberfeminism activism but with a shift in paradigm (Daniels
2009; Paasonen 2010).
Although cyberfeminism may appear to have faded, in academia the discourse
continues and carried outside on new media platforms such as Facebook and Twitter
(social media). This form of online activism however, is criticised by some feminist
activists (Simone 2010; Evans 2014) who believe the discourses on gender inequality
are fragmented and do not necessarily have a clear agenda as opposed to
cyberfeminism (politically motivated). Another criticism concerns the absence of
structure in terms of formation which lacks that element of a radical community which
cyberfeminism was built on. Indeed it can be argued that online activism is more
individualistic than collective. This observed from the frequency at which blogs attract
and loose audiences. A number of reasons can be attributed to this; one being,
individualistic activists tend to use online platforms as an escapism to experiences of
gender oppression and therefore the intent is often not necessarily a call to action as
the contributions to the conversation are often not impactful. Whereas, collective
activism seeks a call to action ranging from online to offline collective action that has an
approach to shared problem solving and intent to influence decision makers. Group
formations ?networking platforms, in the context of this study are platforms that women
entrepreneurs could take advantage of to launch activism campaigns to counteract
gender insensitive agendas. From the findings of this study, women entrepreneurs
were found lacking in networking skills. This finding associated with a confirmation that
62
women entrepreneurs did not know of other ICT enterprises within the market place.
The same observations were made from another study (Eagly & Carli 2007:68) which
claims women, different to men, are likely to under invest in ?social capital? (networking
platforms). The lack of networking skills in this study was attributed to a number of
factors associated with socio-cultural barriers related to stereotypes domesticating
women‘s role which results in women juggling ?multi-tasking‘ domestic and business
responsibilities.
The findings also revealed that women entrepreneurs were, on discriminatory grounds,
economically marginalised as the agenda in meetings did not accommodate women
issues. Linked to this finding were claims that women were subjected to sexual
innuendos intended to reduce their self-confidence and self-esteem and thus a
confirmation of an attitude indicative of discrimination manifest in the form of
insecurities entertained by men relating to gender inequalities in the work environment
associated with men‘s fear of being in competition with women. These factors correlate
to Reeves (2010:225) who attests to men‘s behaviour that does not recognise women
as business owners and therefore resisting to deal with women in this capacity.
From an entrepreneurship perspective, as attested by literature, gender-based
discrimination is characteristic of women-driven entrepreneurship thus the need for a
collectivist approach in challenging gender oppressive regimes. This based on the
?intrinsic value? of collectivism that draws strength from within the group that builds an
individual‘s ?self-esteem and self-confidence in accessing ICT networks that go beyond
local boundaries (Evans & Nambiar 2012:4).
Notably, the above discussion invariably justifies the theoretical cyberfeminism lens
used to in this study to examine the research questions seeking to understand women‘s
perspective concerning women-driven entrepreneurship in the context of the ICT sector
of the Eastern Cape Province which is an underdeveloped economy characterised by
structural problems entrenched in a post-colonial regime.
Although the prioritisation of gender equality continues to be treated as a core
developmental objective in its own right (Washington: World Bank 2012; South Africa:
63
Women Empowerment and Gender Equality Bill 2013) and women entrepreneurs
viewed as an integral part of growing and developing the economy of a country, in
particular the ICT sector which is under review, the digital era, however, has not
changed, as women are still digitally and economically marginalised from the economic
mainstream in the ICT sector. Gathering from the from literature reviewed, women‘s
inactive role in activism in the ICT sector of the country particularly in the context of the
Easter Cape Province, will continue to perpetuate gender inequalities unless action is
taken. Collective activism as such, can be a powerful force of women‘s empowerment
in addressing gender oppressive regimes.
3.2.2 Entrepreneurship
3.2.2.1 Gender-based discrimination in the context of entrepreneurship
Gender, which is ?patterned, socially produced distinctions between female and male,
feminine and masculine? (Acker 1992:250) is a central concept in this study for
contextualising prevailing gender inequalities concerning women-driven
entrepreneurship in the ICT sector which is dominantly perceived as a men‘s
environment. In this study, discrimination on the basis of gender takes many forms;
including inequalities in education, workplace, career; stereotypes; sexual harassment
and socio-cultural role expectations. These facets of gender-based discrimination point
to the findings of this study which highlighted socio-economic structural barriers that
perpetuate gender inequalities in entrepreneurship processes such as men‘s behaviour
that does not recognise women as business owners. This includes resistance to deal
with women in their capacity (Reeves 2010:225) as entrepreneurs and thus resulting in
discrimination that economically deprives women from accessing business opportunities
(tenders) otherwise available to men. This form of discrimination according to the
findings, has been linked to gender based sexual harassment associated with
corruption (officials asking for bribes) including women‘s deliberate exclusion from
networking agendas as attendance is dominated by men.
Women‘s constant subjection to economic marginalisation on the basis of
discrimination, the findings reveal, has resulted in them developing apathy emanating
64
from an absence of ICT policies favouring the promotion of women-driven
entrepreneurship. According to Paludi, Paludi, Jr. and DeSouza (2011:205), in the
context of women-driven entrepreneurship, women entrepreneurs face three types of
discrimination namely: i) occurring in customer or product markets; ii) lowered earnings
for women than men and ii) discrimination levelled against them by financial support
systems.
In this study, findings also reveal that women entrepreneurs (both start-up and
established) fell short in the area of marketing their enterprises. Factors contributing to
this were, local competition associated with ineffective marketing by new entrants linked
to customer brand loyalty favouring established enterprise and the economic
marginalisation of established ICT enterprises vs new entrants who were getting more
business (tenders) through internal connections (corrupt government officials). The
economic marginalisation of women entrepreneurs also related to irregular tender
adjudication processes that officials override such as BEE affirmative policies that are
usually in place, and women‘s inability to access financial assistance on the basis of
gender. These factors were related to low motivation levels which consequently lead to
them closing down their enterprises. This consequence was linked to government and
private sector‘s apathy influenced by the absence of an ICT development policy
framework policy.
Parallel to these findings the OECD in 2012, published a report ?Closing the gender
gap: Act now?, which broadly focused on four categories namely: i) gender equality,
social norms and public policy and gender equality in ii) education; iii) employment and
iv) entrepreneurship from which indicators (2005-2009) were drawn to measure the
performance of women-owned enterprises and the findings according to these
indicators suggest women lag behind men-owned enterprises in all four areas.
Relevant to the context of this review, findings in terms of gender equality in
entrepreneurship indicate amongst a host of factors the following: i) fewer women-
owned enterprises than men-owned enterprises; ii) on average women-owned
enterprises have lower profits; iii) women-owned enterprises lag behind in average
productivity, profits and generation of new jobs; and iv) differences in credit use and
65
access by women entrepreneurs. These findings are an indication that gender
inequality is a global phenomenon across industry sectors in terms of women‘s
economic marginalisation.
3.2.2.2 SMMEs contribution to economic growth and job creation
Economic outlook
Looking at the current outlook of the of the South African economy in the context
of the relationship between economic growth (when slowing down) and
unemployment growth (then rises), and in relation to SMMEs postulated impact in
contributing towards the two; and in view of current structural barriers influencing
SMME driven entrepreneurship highlighted in the literature review, the future of
women driven entrepreneurship within the ICT sector of the country depends on
the economic and entrepreneurship lens used to justify their active participation.
The following theories and research findings put perspective to the discourse.
The economic outlook in terms of GDP, South Africa‘s economy is projected to grow
with 2.7% in 2014 and 3.2 % in 2015. South Africa is hovering a 1.4 per cent far below
the minimum of 5.4 per cent that NDP projects over the next 15 years (SME index
2013). South Africa experienced an average growth rate of 1.8 per cent (2013)
registering a decline affected by labour market disruptions whilst in 2012 the growth rate
was 2.5 per cent. South Africa‘s economic recovery since 2009 has not been robust.
The previous years between 2008 and 2012 an average growth of about 2 per cent was
registered against a 7 per cent the previous years 2004 and 2007 obviously affected by
the global recession period. Although the manufacturing sector occupies the significant
share of the country‘s economy, a decline (17%) was registered in 2012 in 2013 its
contribution was recorded at 15.2 per cent. The ICT sector‘s contribution in 2013 was 7
per cent. The Eastern Cape provinces figures are not so promising either as growth
has been sluggish affected by the national economy‘s receding growth from 3.5 per cent
in 2011, to 2.5 per cent in 2012 and 1.8 per cent in 2013 (DEDEA 2014). The two
industrialised areas that the province‘s economy hinges on (DEDEA 2014), namely the
Nelson Mandela Metro (NMM) and Buffalo City Metro (BCM) which contribute largely to
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the growth of the province‘s economy (GVA 59.9% & 25.1% respectively). There is
political will in terms of the prioritisation of rural development through upgrades and the
installation of new infrastructure. This includes the creation of new jobs generated from
these projects (State of the Province Address 2014).
Notably, in the address pertaining to sector priorities, no reference is made to the ICT
sector. This correlates to the DEDEA report (2014) where the ICT sector is not
amongst the sectors prioritised. Against this background and micro investment
platforms including mainstream media statements proclaiming economic gains and
employment growth accrued from SMME entrepreneurs, it can be argued SMMEs
across sectors are unlikely to make a significant impact. The situation is not so
promising either where women-driven entrepreneurship is concerned.
The utopian view
SMME driven entrepreneurship is considered to be one of the drivers for economic
growth and job growth in both developed (GEM 2013) and developing economies
(Tambunan 2009), because of their ?key role in processes of creative destruction
[Schumpeter 1994] knowledge exploitation [Drucker 2008] breakthrough and
incremental innovation [Dunlap-Hinkler 2010]? (OECD 2010).
In South Africa, SMMEs development and job creation is prioritised (NDP 2012). This
post to the advent of democracy in 1994 where every growth strategy document is
placing emphasis on SMME development on the precursor of poverty eradication and
women‘s economic empowerment (ICT sector code for BEE 2013).
In light of the views basing the contribution of SMMEs as being more pronounced in
developing economies than developed and therefore viewed as catalysts in growing the
economy, the Eastern Cape Province has also prioritised SMME development however,
the economic growth figures are not so promising although SMME development is
regarded as one of the growth strategies to boost the economy (PGDP 2004-2014; EC
ICT Strategy 2009-2014). However, growth and increases in productivity will require
policy to focus on the potential obstacles mentioned above.
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Tambunan (2009:2) in justifying the contribution of SMMEs towards the growth of an
economy in particular developing economies akin to the one under review in this study,
singles out the following characteristics: i) SMMEs have the potential to create
employment because they are big in numbers and scattered widely; ii) are government‘s
political agenda based on their potential for employment growth; iii) use appropriate
technologies to factor local conditions in developing economies; iv) have the potential to
expand; v) have the ability to develop entrepreneurs from local talent; vi) the primary
market for SMMEs uses simple production methods and produces simple products that
can be consumed readily by locals; and vii) as part of their dynamism SMMEs achieve
increased levels of productivity over time through investment and technological
changes.
In addition, Fischer and Reuber (2000:2) in the context of job creation claims SMMEs
have the potential for increasing rural based entrepreneurship ?telecommuting‘ whereby
SMMEs operate from home. These entrepreneurs are usually in the ?knowledge
economy? (Drucker 2008:269) for example, in the context of the ICT sector, training
providers, research and development practitioners employ few assistants on a contract
basis (temporal employment).
In light of the above, the contribution of SMME women enterprises in accordance to the
findings of this study is more visible in capital intense environments where few jobs are
created as opposed to labour intense environments which are mainly in manufacturing
most where jobs are generated. Jobs generated in the capital intensive would be few
as highly skilled and skilled labour is required as opposed to labour intensive
environments requiring mostly unskilled labour.
Looking at SMME employment creation in the context of global statistics (GEM 2012;
2013; 2014 and SME Index 2013) compared to the South Africa, the country lags
behind its peers (Sub-Saharan countries) in terms of entrepreneurial uptake in 2013
registered a figure of 10.6% against an average of 26,6% (GEM 2013). According to
the SME Growth Index (2013) a normal uptake is usually in the region of 10% (25-34
year). In 2012 South Africa dropped to 7.3% from 9.1% in 2011 below an average of
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14% (GEM 2012). These figures signify a drop in entrepreneurial activity in South
Africa can be linked to fewer opportunities for growth in jobs generated by SMMEs.
In the context of the Eastern Cape Province, unemployment rates are high and
possibilities of new job creation are deem based on the low uptake levels of early
entrepreneurship in the formal sector (2%) discussed elsewhere in this document and
indicated in the findings of this study where women entrepreneurs affirmed they were
unable to contribute meaningfully to permanent employment as the following statement
suggests.
“We cannot commit to quality job creation…people are poached by other
companies or go after better opportunities. You train them and they
leave…you cannot employ graduates…they are expensive. You struggle to
generate income to sustain the business…and without cash flow where are
you going to get money to pay people [salaries]?”
Structural barriers the findings suggest were also at play in influencing possibilities of
sustainable employment generated by SMMEs.
The pragmatic view
Against the background of economic growth correlating with unemployment and the
offset of imbalances, Dagada (2012) predicts South Africa in the next 15 years is
unlikely to significantly increase job creation levels despite the economy demonstrating
growth in GDP terms, unless there are direct flows of investment into Africa.
Booyens (2011) in line with research findings (SME Index 2013) questions the
associated impact and benefits articulated from a utopian perspective arguing that
statements are exaggerated regarding the sustainable viability of SMMEs. This
argument is based against the background that SMMEs operate in a highly
concentrated economy dominated by large enterprises; that they have the lowest
education attainment levels in the world (Global competitive index report 2014/15); and
that entrepreneurship processes are impacted by inefficiencies in SA Revenue Services
(SARS) including Broad Based Black Economic empowerment stringent codes. Other
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impeding factors are structural municipality blockages, labour laws and regulations
(SME Index 2013) including low start-up entrepreneurial rates, and the lack of an
entrepreneurial culture (GEM 2014).
Concerning the ICT sector and taking into consideration that it is highly technical and
therefore requiring technically oriented labour, and against the reported ICT skills
shortage in South Africa, it is no wonder that government‘s claims are exaggerated
especially where the ICT sector of the Eastern Cape Province is concerned.
Looking at the postulations that women-owned ICT enterprises can contribute to
employment growth in the ICT sector; grow their enterprises (migrating from small or
medium to the next level); engage in processes of creative destruction (innovative
solutions); raising their own start-up capital; ?propensity to acquire technological
capabilities and develop new products and processes and thus contributing to national
technological development and competitiveness? (Fischer and Reuber 2000:4) is
currently unachievable in the current future where women-driven entrepreneurship in
the ICT sector of the Eastern Cape province is concerned. The following reasons
qualify this claim.
With regard to specific statistics that reveal the status of SMMEs enterprising in the ICT
sector in South Africa, not much literature is available as the sector is under-explored.
Often data is included under general statistics reporting on manufacturing output (dead
in terms of ICT sector of Eastern Cape Province) or export output (growth in Eastern
Cape Province is stimulated by domestic consumption) affected by exchange rates
making it expensive to trade in international markets and from a domestic point of view
the regulatory compliance issues (duty and taxes) that are weighing on SMMEs. The
ability to export is a sign of the SMMEs competitiveness.
However, although e-commerce trading is an open opportunity for SMMEs to divert
trade restrictions as confirmed by Maier and Nair-Reichert (2007) study analysing the
benefits of e-commerce and e-retailing in the context of SMMEs in developing countries
where SMMEs have accrued benefits in terms of greater ease concerning efficiency in
administrative and financial processes when linking up with regional, national and global
70
economies. The findings of this study attest to this as one of the women entrepreneurs
whose core business was e-commerce based had this to say:
“It [e-commerce] has also made it possible for business to open 24/7 all
over the globe. Business with ecommerce websites is open anytime and
anywhere, making purchases from different countries easier and
convenient”.
Notably, there was a dearth of literature covering gender disaggregated indicators to
prove evidence of women‘s potential to contribute sustainably towards economic growth
and job growth. The absence of ICT indicators is another missed opportunity to
stimulate local economic development within the sector as other aspiring entrepreneurs
(unemployed but with ICT skills) would be absorbed in women-owned ICT enterprises
or get inspired to start their own ICT enterprises based on case studies of performing
and successful ICT enterprises. In sum the ICT sector of the Eastern Cape Province
critically analysing the utopian view of SMMEs contribution in the ICT sector of the
Eastern Cape province poses challenges to the sustainable viability of SMME women-
driven entrepreneurship based on the province‘s socio-cultural, economic, technological
and political structural barriers influencing women-driven entrepreneurship
development.
Early stage entrepreneurship
Tambunan (2009) holds the view that SMMEs women entrepreneurs based in
developing economies (rural areas) have the tenacity to survive albeit structural
limitations and suggests telecommuting as a viable option. Telecommuting is common
nowadays especially in the small business segment where most start-up ventures are
launched from home. One of the reasons for this, viewed with gender lenses, can be
associated with gender-based discrimination in the form of gender inequalities reflecting
start-ups (women‘s) inability to secure finance confronted with rejection from financial
institutions based on a number of reasons articulated elsewhere in the literature review.
Start-up capital for all new ventures is determines continuity or discontinuity of the start-
up enterprise. Capital is often needed for renting out office space, office furniture and
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buying equipment. Telecommuting in this regard may be a viable option for women
entrepreneurs escaping business related gender biases. However, the downside of
telecentres as an entrepreneurship models in the context of encouraging
entrepreneurial uptake (drawn from local talent) in semi-urban and rural areas
especially from the youth segment is that, youth may not be inspired to venture in the
direction of telecentres, particularly if the intention is to start a business for purposes of
earning an income ?necessity driven entrepreneurship? (GEM 20140) particularly when
faced with no other option for work). On the other hand, those who want to start a
business with the intent to exploit an opportunity in the marketplace may venture in the
direction of a private telecentre entrepreneurship model. However, based on the failure
rate of private telecentres in rural areas they may not be a viable option for start-ups
based on the fact that these centres require heavy investment in terms of financial and
human resources as opposed to community based telecentres. Community based
telecentres provide advantageous benefit such as, business mentorship to build
members capacity in business skills and financial management including financial
stability in the form of donor support. However, in terms of employment growth,
telecentres have limited potential for growth in new job creation faced with the limitation
of financial constraints linked to inability to hire qualified staff as they have to be paid
more than what low skilled labour requires.
Another finding relating to telecommuting, concerns women entrepreneurs not being
counted in official statistics (Haffkin & Hyer 2006; Heeks 2010); including their needs
which are not taken into consideration in the design of SMME support programmes
(Maier & Nair-Reichert 2007). This appears to be a common phenomenon in
underdeveloped countries. The findings of this study also reveal the absence of sex
disaggregated data, underrepresentation of women entrepreneurs in core ICT
environments where decisions regarding women‘s engagement with ICT are made on
the behalf as women are underrepresented at management level including their
exclusion from ICT policy making processes and programme design holds clues of
gender inequalities which are well document in literature and research studies
articulated in the literature review. These issues are compounded by governments‘
apathy in promoting rural based SMME entrepreneurship. This influences gender
72
inequality in rural driven entrepreneurship development. The findings of this study
reveal a huge digital gender divide between urban, semi-urban and rural SMME
observed in terms of the limited availability of women-owned ICT enterprises especially
in rural areas where ICT women-driven entrepreneurship does not exist. Even men-
owned ICT enterprises which are few offer ICT training (not accredited) including their
dominance (management structure) in community run telecentres ?technology access
centres?(Lesame & Seti 2014). Men mostly own internet cafes and women own
payphone businesses (Buskens & Webb. 2009). Statistics in the Easter Cape Province
attest to infrastructural disparities which influence ICT driven entrepreneurship in rural
areas. In relation to connectivity, about 75.9 per cent of households have access to a
cellphone and 81.2 per cent do not have access to the Internet (Stats SA 2014). Albeit
increased mobile penetration levels in rural areas the use of computers and access to
the internet is still limited (SAnews 2014).
Some of the factors influencing the slow uptake of start-up business are motivational
reasons which determine the whether there is appetite for starting a new venture or not.
In this regard findings from a study conducted by GEM (2014) reveal Sub-Saharan
countries excluding South Africa see good opportunities on the basis that they have the
necessary business skills and knowledge to start a new business compared to South
Africa.
Concerning the Eastern Cape Province and according to the findings of this study,
women entrepreneurs were found lacking in business skills and knowledge of the
industry (market intelligence). This kind of behaviour would be according to Bapat and
Harkal (1989:244) associated with ?know how risk? which concerns entering the
business without an adequate preparation in terms of knowledge and skill (technical).
The following statement from the finding of this study confirms this.
“They do want to get into the sector but lack business knowledge. For
example, some have tried but have failed because they start
big…[pause]…which is a challenge. Instead of starting small then building
up their business like, start out with an internet café to get the ropes. Doing
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training [as a training provider] for starters may be sustainable as over-head
costs are more manageable”.
Although the lack of such skills was an issue, it did not deter some start-up
entrepreneurs who willingly took a ?personal risk? described by Bapat and Harkal
(1989:244) as risk associated with a willingness or preparedness to survive under
extraordinary hardships ?sink or swim? which involves heavy opportunity costs. The
findings of this study revealed when women were faced with such adversities, tend to
close business as the following statement confirms.
“Women quickly give up on business especially faced with the challenges I
have just mentioned…[pause]…they rather opt for employment yet men
are more dedicated and will take the risk”.
The levels of discontinuity (GEM 2014) generally in the start-up segment throughout
developing countries are higher than men. This associated with gender factors manifest
in gender-based discrimination. The spirit of determination and zeal is a positive
attribute of an opportunity-driven entrepreneur who is constantly alert (perceiving the
market environment correctly) of new types of economic opportunities regardless of
resource limitations (human capital) which are garnished along the way. Not every
entrepreneur (opportunity-driven) aspiring to get into the ICT sector is going to first
study towards an ICT qualification but may draw on previously acquired qualifications in
business management or may have a business acumen based on years of business
experience (acquired from another sector). The following statements from the findings
of this study support this view. The first one relates to the ICT enterprise owner who
ventured into the ICT sector with no prior technical skills and runs an established
business:
“Coming into the ICT environment…understanding the link between my
computer and the shared network was just completely new. So I had to
undergo training…sometimes you get service providers that give you the
tools that you need but you do not get the right training for you to be able
to utilise them [ICT] to their fullest potential.”
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The second one relates to the ICT enterprise owner who had an IT qualification (start-
up):
“Well I am running this business that deals with IT (Information
Technology) and communications [laughs] but I am really not an IT expert
I just know the basics”.
Such entrepreneurs surround themselves with technically oriented staff and seek
support in the form of business mentoring and coaching to empower themselves in
technical skills. As much as one of the barriers to entry is associated with low education
and skills attainment in ICT, the fact is structural issues that can neither be wished away
nor addressed in the long term because they are embedded in the social fabric of
society. In this regard, SMME demographics and psychographics (where radical change
can happen) have to be critically analysed based on the unique characteristics of the
province as each province differs.
For example, findings from the study reveal women entrepreneurs (successful in
another sector before joining the ICT sector) initially had reservations in joining the ICT
sector based on the fear factor of business failure where they were anticipating lack of
government or private sector support or peers (men) to mentor and coach the them.
This correlates with the findings of this study where gender-based discrimination played
a role in economically marginalising women as they could not access business related
information from networking platforms which were dominated by men. Parallel to this,
one of the research questions of this study sought women‘s understanding of the ICT
sector and their understanding of the ICT sector and what ICT meant to them in terms
of their engagement with ICT. The findings suggested women entrepreneurs developed
an attitude of failing before they had even failed influenced by gender insecurities.
Because entrepreneurial activity is gender sensitive including the ICT sector, socio-
cultural, economic and structural barriers will continue to influence entrepreneurship
processes irrespective.
South Africa is ranked on par with European countries in terms of having gender
balanced rates of start-up business that are started ?out of necessity? GEM 2014).
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Measuring perceptions of social values towards entrepreneurship in South Africa about
69.6% (Botswana 69.9%) of people see entrepreneurship as a good choice and in
terms of the rate of successful entrepreneurs 72.9% (Botswana 78.1%) faring better to
Asian developing countries.
The fear of failure factor, where women are concerned was a finding that correlated with
this study revealing women entrepreneurs concerning ?risk-taking? (Bapat & Harkal
1989:244) being averse and keen at the same time to embark on business venture
risks. Financial risk was associated with the risk of business failure and personal risk
taking associated with their determination to succeed despite socio-cultural, economic
and technological structural barriers encountered that were manifest in gender-based
discrimination resulting in being economically marginalisation in the mainstream
economy of the ICT sector.
Innovation in entrepreneurship
From a South African perspective, Booyens (2011) claims innovation levels are unlikely
to increase remarkably for ?dynamic? enterprises including start-up enterprises and that
if it does happen it will be in the very early stages of product life cycle. This confirmed
in the SME Index (2013) attesting low levels of innovation in SMMEs arguing although
early stage enterprises ?born digitals‘ contribute towards innovation the low levels of
innovation will not enable them to stand a chance over competition as they tend to offer
the same product (in demand) instead of offering new products (not in supply).
Booyens in agreement argues innovation is stifled by SMMEs failing to form strong
upward linkages with larger enterprises which would assist them in technology diffusion
this affirmed by (Magubane & Goko 2013). In this study, the findings revealed SMMEs
relied on large enterprises for support in terms of research and development (R&D) to
launch their products.
Although the creation of new enterprises is associated with innovation, not all
enterprises are equally innovative. The findings in this study attest to this. The
question of innovation was explored through the study‘s research questions seeking to
understand how women-owned ICT enterprises put to use ICT as a core product. This
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was against the background of women and their engagement with technology being
researched from a usage point of view. The findings from the analysis of their
product(s) and service(s) value chain revealed most ICT enterprises lacked the element
of innovative. This is supported by the following statements.
In statement was in relation to the woman‘s conceptualisation of the concept
entrepreneurship which was one of the study‘s research questions. The response was:
“…it is so hard to find someone like that [innovative] really…someone taking
something ordinary and realising that you can actually do something more
by making it extraordinary.”
The following statement sought to ascertain the level of innovation in women-owned ICT
enterprises. This statement was an affirmation on an earlier view claiming the element
of innovation from their entrepreneurship was lacking.
“Now what government and everybody [private sector] is looking for is
progressive SMMEs who are constantly at the fore front [of innovation].
Also, for me, I see them as part of a research and development sector.
Because they should be looking at a problem and coming up with a
solution, you know! That is the value that they are supposed to bring.”
In this regard the findings pointed to a gap in research from both the academic and
industry community in the province concerning critical assessment studies analysing
how SMME women-owned ICT enterprises factor innovation ?creative destruction?
(Schumpeter 1994:83) into their value chain of entrepreneurial processes. Other
findings revealed that some enterprises were moderately innovative except for one
manufacturing whose entire value chain had factored innovation. The following
statement supports this finding.
“Innovation is at the heart of any ICT business and women come through
with innovative ideas that improve the growth of the business. For
example, we have come up with and innovative product which is a tablet
PC powered by solar”.
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Other findings revealed women entrepreneurs were lacking research and development
(R&D) capability and wanted government to support them by imparting information
(market intelligence on ICT sector) that would assist their enterprises to offer ?relevant‘
products but ?different‘ (innovative) to what competition was offering so as to remain
competitive in the ICT sector. This finding is linked to Drucker‘s viewpoint that ?what
matters in the knowledge economy is whether knowledge, old or new is applicable?
(2008:269) implying new information will not be utilised unless ICT applications are
rooted in the realities of local circumstance and diversity. Heeks (2010) on the other
hand in regard to the design of innovative yet ?relevant‘ products for the marketplace
(developing economies) suggests three types to innovation approaches that can be
employed namely: i) laboratory (pro-poor) i.e. innovation done on behalf of community
e.g. Internet cafes; ii) collaborative (para-poor) i.e. innovation done working alongside
communities e.g. telecentres; and grassroots (para-poor) i.e. innovation by and within
community i.e. ICT training. To go by Drucker‘s concept of ?knowledge economy?, the
examples given (Internet café, Telecentre and ICT research) are not labour intensive
activities that require heavy investment but have room for innovation in terms of content
development that could be exported i.e. development platforms to share experiences
with counterparts in developing countries. Also on the basis of inclusion no level of hi-
tech skills are required but innovative intellectual capital that can revolutionise
acceptable forms of technology ?creative destruction? (Schumpeter 1994:83) in the
advent of mobile applications and based on their uptake in rural communities (Gillwald
2013). Booyens (2011) in this regard made recommendations advocating for
government to encourage ?knowledge networks? to enable the exchange of information
(market intelligence) between SMMEs and counterparts (large enterprises) in domestic
and global markets. Similarly, the findings of this study, a need for networking platforms
akin to ?knowledge networks? to cross pollinate information with counterparts through
outbound missions facilitated by government was identified by women entrepreneurs.
Against this background a clear understanding of the SMME environment within the
context of the ICT sector and an understanding of SMME women demographic and
psychographic dynamics is imperative. A research of this similar nature ?Understanding
women entrepreneurs in South Africa? was conducted on women in the SMME segment
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(formal sector) and not related to a specific industry (SME Growth Index 2013). The
report examines characteristics of their enterprises; their motivations for entering
business; their growth orientations and how different they are to their male counterparts.
Therefore more research needs to be conducted to get the entrepreneurial culture right
on SMMEs in general and women exclusively in the ICT sector of the Eastern Cape
Province.
Another possible option that SMMEs could take advantage given an enabling policy
environment to build innovative capacity is through the unbundling of services.
However, there are pessimistic views held by critics regarding the ICT sector as a
nurturing ground for SMMEs concerning the postulated benefits accrued from the
unbundling of services (economies of scales reaped through small scale production –
increasing competitive advantage through innovation), which could enable SMMEs to
leapfrog stages of technological development to achieve economic growth resulting in
more job creation opportunities.
In this regard, positive gains in terms of leapfrogging technological development are
reported in Africa which is progressively closing the gap with the rest of the world
showing positively performance in every environment of ICT sector – mobile; 11
broadband; international bandwidth; and PC penetration (eTransform Africa 2012). The
majority of these countries however, are factor-driven (high rates of early stage
entrepreneurial activity that is opportunity driven) whilst South Africa draws advantages
from efficiencies but needs to graduate towards an economy driven by innovation to
foster economic growth through job creation and technical innovation (GEM 2014; SME
Index 2013). Although within the broad ICT sector, SMME entrepreneurs account for
the majority of enterprises in terms of numbers and across industries of the sector, they
account for a relative small share of total employment (SEDA 2012:36).
Findings from this study are in tangent with all of the above findings sharing the same
structural barriers that inhibit economic growth and jobs generated by SMMEs, in
particular where women-owned ICT enterprises are concerned. Other factors that can
be mentioned applicable to the Easter Cape ICT sector concern: high ICT costs; low
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innovation levels; low export potential; the lack of entrepreneurship models to drive
employment; the lack of ICT innovation hubs or clusters to support ICT driven
entrepreneurship in semi-urban and rural areas; including government‘s apathy in
supporting SMMEs. All of these factors impact on the SMMEs potential to generate
new jobs on a sustainable basis. In this regard Drucker‘s (2008) theory on
?discontinuity? of underlying contemporary socio-cultural, economic, technological and
political realities that pose challenges necessitating the enforcement of change to shape
the future that is already here with us, is more relevant than yester. Drucker delineates
four areas of discontinuity namely: i) the explosion of new technologies resulting in
major new industries; ii) the change from an international to a world economy that
presently lacks policy, theory and institutions; iii) a new socio-political reality of
pluralistic institutions that poses drastic, political, philosophical challenges; and iv) the
new universe of knowledge based on mass education and its implications in work and
leadership. The advancement of women-driven entrepreneurship in the ICT sector of
South Africa and the Eastern Cape Province can only happen when there is recognition
from both policy makers and women entrepreneurs that women‘s active involvement
can happen only if ICT policy and programmes are gender mainstreamed and address
current structural issues.
Conclusion
From a research perspective, qualitative women-driven entrepreneurship studies across
industries conducted on developing countries, Africa in particular, is hard to come by.
Often women entrepreneurs are included under the umbrella of small medium
enterprises and it is rare to find disaggregated data including specific sector indicators
to measure their performance not withstanding policy that is gender sensitive. The ICT
sector is the most challenged.
The ICT sector of the Eastern Cape Province that is under investigation is no exception
as there is a void in research focusing on women-driven entrepreneurship which was
motivation for conducting this study which adopts a bottom up approach that seeks to
address the digital gender divide. The findings highlighted gender-based discrimination
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as an inhibiting factor which perpetuates the divide manifested in many forms of gender-
based discriminatory behaviour embedded in post colonialist socio-economic and
political structural issues of the ICT sector such as: inaccessible finance; business
related information; inequalities in workplace; career differences; and gender based
sexual harassment. The differences were evident between urban, semi-urban and rural
areas as attested to by many cyberfeminists authors and researchers in literature
reviewed which is not conclusive but selected on the basis of being relevant to
categories that emerging from the findings.
The job creation function of SMMEs is of great relevance to the recovery of the global
recession since it is clear that policies enabling innovation in new and small firms will
have benefits not just for improving products and services and increasing efficiencies
but also for meeting job creation challenge of high unemployment. This correlates to
government‘s agenda for promoting SMME driven entrepreneurship policies and
innovation to meet productivity and job creation objectives (NDP 2012). What is still
lacking though is a solid and comprehensive understanding of what policies need to do
to release the innovation capacity of start-ups and established ICT enterprises.
The following in the context of the findings from Tambunan (2009), Fischer and Reuber
(2000) compared to the findings of this study suggest the following characteristics as
being workable in the context of the women-driven entrepreneurship in the ICT sector of
the Eastern Cape: i) industrial clusters (ICT Hubs) to foster innovation nurtured through
mentorship programmes as suggested by women entrepreneurs interviewed; ii) SMMEs
using E-enabled but appropriate technologies to factor local conditions in developing
economies. This correlates with Heeks (2010) idea of inclusivity (disadvantaged
communities) to enable them to use co-design products; iii) developing
entrepreneurship indicators on economic growth generated by women entrepreneurs;
iv) export growth (small scale) of manufactured products and services and development
of entrepreneurship, manufacturing industries in the rural areas.
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3.3 SKILLS SHORTAGE AND IMPACT ON THE ICT ENTERPRISE
Despite the important role SMMEs have to play in the economic mainstream of the
sector, there are still expressed concerns that there is a shortage of ICT skills in South
Africa (SEDA 2012, MEG 2012, WEF 2013). Reports from government, training
providers, industry, and academia are vocal about this skills gap. These reports
emphasise the two extreme polarities between a concentration of non-ICT professionals
and a few high-tech professionals. According to a report published by SEDA (2012:8),
the education department has an important role to play in terms of aligning its
curriculum to incorporate the business element to ICT training. Seegers (PwC 2013), in
this regard, states: "Businesses are struggling with a widening mismatch between the
skills of their workforce and the skills required"; especially for high-end solutions. This
aspect is also observed by Tshabalala (2012) and Harris (2012) and noted in the JIPSA
report (2010:46). Seegers (2013) recommends a joint partnership approach between
businesses and governments as a solution. It includes collaboration to prioritise
investment in employee training and development, as well as higher learning institutions
that increase the pool of ICT skills output. These remarks are based on the findings of
the PwC 16th Annual Global CEO Survey (2013). In this worldwide survey, the CEO
interviews highlight the global predicament of a critical skills shortage; particularly in
technology and engineering that are relevant fields to this study. This shortage appears
highest on the list of the most serious threats to business growth. ICT Academy head
Van der Westhuizen (Vermeulen 2013) also acknowledges the lack of ICT skills in the
country: ?There is a definite gap in the market, and we are working towards closing that
gap?.
The lack of entrepreneurial training (Penfold 2012:41) has been identified as one of the
factors contributing to business failure (Harris 2012), especially at start-up businesses
that often lack business management skills. Numerous reports (e.g. the Global
Competitiveness Report 2008 – 2009; 2014-2015) are echoing the same concerns in
terms of the education system in South Africa and the crucial reform that could benefit
sectors, such as ICT, where there is a dire need for innovative solutions. Figure 3.1
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depicts the findings of a survey conducted in 2012 in relation to the different technical
skills in the ICT sector.
Figure 3.1: Types of different technical skills required in the ICT sector
Source: The MICTSETA (2012)
The Global CEO Survey (2013) further emphasises concerns about the limited culture
of innovation that is cited in the Global Entrepreneurship Monitor Report (GEM
2012:37). The breakthrough in R & D output, according to a sector report (EY G20
Entrepreneurship Barometer 2013), includes technological advances that are
recognised as the principal catalyst in continually accelerating business transformation.
The report states CEOs are dissatisfied with the speed at which companies are
adapting to technological change, since they view new products and services as the
primary driver of growth in their companies.
The joint partnership issue (GEM 2012:79) compliments the key outputs of the JIPSA of
government. These mandated outputs include the: i) prioritisation of key skills and
implementation of appropriate human resources development strategies to address
these issues in the short to medium term; and ii) mobilisation of senior leadership in
business, government, organised labour, institutions concerned with education and
training, science, and technology to address national priorities in a more co-ordinated
and targeted way (2010).
The report confirms that JIPSA managed to deliver on its mandate at the close of its
term by increasing the number of students graduating in the field of engineering (14.11
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per cent), technicians (3.63 per cent), and technologists (15.79 per cent). The
MICTSETA properly articulates the need to address the ICT skills shortage. The
MICTSETA in its Skills Sector Plan (2013 – 2018) identifies a skills gap at national level
(Figure 3.4) of different scarce and critical technical skills (Figure 3.2) required in the
ICT sector and in many industries. In relation to the fluctuating figures, it is reported
that while application development skills were an important priority during 2009 and
2010, it declined in 2011. On the other hand, the importance of business intelligence /
knowledge management (BI / KM) skills showed an increase in 2011 and software as a
service had significantly grown over the three-year period. With regard to database
development and information security, in 2011 the figure had declined from the high
figure recorded 2010 back to the figure reported in 2009.
Figure 3.2: National ICT priority skills 2009 – 2011
Source: The MICTSETA (2012)
A SEDA study (2012:136) assesses the performance of the services sector and
describes the challenges businesses are facing. The main challenges specifically
encountered by businesses in the ICT sector include the lack of relevant business
management skills, training in technical ICT skills, financial skills, and marketing
knowledge. The lack of these skills negatively affects the operations of ICT enterprises
and their growth. Access to ICT and skills remains an issue (James et al. 2006;
Valenduc, Vendramin & Guffens 2004) that is closely associated with women
entrepreneurs‘ inability to competitively participate in the market place. A lack of
literacy constrains women‘s entrepreneurship, since it is higher for women than it is for
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men (United Nations 2013) and restricts access to business information that is critical
for increasing and sustaining their competitiveness in the marketplace (Chiware 2007).
The role of education is highlighted as an important element of encouraging
entrepreneurship. Fanaroff (2013:5) remarks:
?Education is another priority issue in South Africa. Skilled employees are
necessary for the development of high-growth businesses. We need a much
more focused effort on education at every level in South Africa: junior
education, tertiary education, university education as well as developing
general high-level skills. I think there is great potential for online training,
which could be boosted with more connectivity to schools in rural areas? (EY
G20 2013:5).
According to Niethammer (2013:34), international research evidence reveals that
women have weaker business backgrounds than men. The lack of relevant (technical)
education and limited access to skills training affect the growth of women enterprises.
Especially in the underdeveloped areas (both urban and rural) of South Africa, for
example, females are given fewer educational opportunities, particularly at the higher
education levels (Kelley 2013:19). Figure 3.3 depicts the different types of skills that
are in demand in the SMME segment of the ICT sector as identified in the 2012 survey
of the MICTSETA.
Figure 3.3: Types of different skills required by small business in the ICT sector
Source: The MICTSETA (2012)
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At an international level, particularly in economies that are part of the Organisation of
Economic Development, Niethammer (2013:31) mentions comparable data about
women-owned enterprises that provide evidence of an increasing number of start-up
women-owned enterprises which are mushrooming at a higher rate than men-owned
enterprises. This evidence advances the assumption that ?the poorer the country, the
more likely women‘s entrepreneurship is driven by necessity? (Niethammer 2013:32).
The increasing number of women-owned ICT enterprises has also been reported.
3.4 SMME WOMEN-DRIVEN ENTREPRENEURSHIP AND ITS SIGNIFICANCE IN
THE ICT SECTOR
3.4.1 Why women empowerment in the ICT sector is important
Women empowerment in the South African Constitution (1996, Section 9[2]) advocates
for the advancement of women. According to the Broadband Commission Working
Group report (2013:8) on broadband and gender, while the concept of empowerment is
related to gender equality, it also differs from it in some aspects. The commission
maintains: i) the core of empowerment is embedded in the ability of women to control
their own destiny; ii) empowered women should not only have equal capabilities (such
as education); and iii) equal access to resources and opportunities, such as
employment, but the right to use those capabilities, resources, and opportunities to
make decisions in the context of leadership opportunities and participation in the ICT
sector.
Women empowerment should be viewed as:
?Opening up access to decision making, but also must include processes that
lead people to perceive themselves as able and entitled to occupy that
decision-making space (Rowlands, 1995). Empowerment is sometimes
described as being about the ability to make choices, but it must also involve
being able to shape what choices are on offer. Empowerment corresponds to
women challenging existing power structures which subordinate women?
(Oxaal & Baden 1997:3).
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Narayan (2002:45-49) provides a succinct definition relevant to entrepreneurship which
covers i) accesses to information; ii) inclusion and participation; iii) accountability; and
iv) local organisational capacity.
Access to information considers levels of transparency and accountability that are
exercised to facilitate communication (clear messages) that is two-way (between the
provider and receiver) and that is able to enhance one‘s knowledge (informative). In
the context of SMME entrepreneurship accessing information that is business related
from both government and private sector programmes designed for SMME
development is key (SEDA 2012). Often as the findings of this study revealed,
information is not readily accessible due to the medium (online) used which may not be
accessible for entrepreneurs who do not have access to the Internet or landline.
Although mobile phones can be used in accessing the Internet, affordability (airtime or
data bundles) can be a barrier for most SMMEs. For those who can afford access,
information often is not easily retrievable as webpages are often not user-friendly or
information required relating to SMME business opportunities is not included.
Affordability (telephone costs) can become an issue again when responsible officers
are not accessible through direct contact (service centres). Unnecessary telephone
costs are usually incurred when holding on for long before establishing contact this
includes rental and connection costs (ADSL Internet service provider). As attested in
the literature review and findings of this study, SMMEs due to problems in accessing
finance, find it these costs an unnecessary expenditure.
Secondly, the face-to-face medium is ideally preferred by most entrepreneurs as they
are able to visit local, regional and provincial offices. However, information at local level
may not be readily available due to a disconnect between the local and provincial office.
In instances where information is available at local level, officers are not empowered
enough (too junior or unknowledgeable) to address SMME information needs. The
findings of this study attest to inefficiencies and incapacitation of government officials.
Getting access to information is a constitutional right that is institutionalised through
Access to Information policies of companies enforced by law. In the context of
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decision-making, it is crucial for SMMEs access business related information timeously
as this may impact on their bottom line. For example, getting information on tenders on
time (before a few hours) before the tender closes impacts on planning decisions that
go with considerations for resources that is, financial and human capital. For example,
SMMEs have to ensure that monies are available (backup) in case the tender is
awarded. This consideration is usually taken on the backdrop of governments slow
turnaround payment cycle which maybe anything from 30 days to 90 days even more
and at times the consequence is business discontinuity. The findings from this study
concerning decision-making, revealed women entrepreneurs were not included in
micro-economic decision-making ICT platforms (formal and informal) to make their
contribution (as co-producers) on the grounds of gender-based discrimination. Another
issue that findings report is the lack of transparency in information regarding getting
access to tenders as they were often not advertised especially in instances when they
were reserved for particular entrepreneurs. This behaviour was associated with corrupt
tendencies by government officials who deliberately marginalised others to manipulate
those chosen by extorting bribes or to ask for sexual favours in exchange for the
awarded tender. Having a collective voice (entrepreneurial advocacy) as women,
promotes gender sensitivity into processes driving entrepreneurship. Besides, it would
be motivation to break the stereotypes associated with women-driven entrepreneurship.
In the context of inclusion and participation, literature review and the findings of this
study attest to the fact that women are not involved in decision-making platforms where
women could be in a position to advocate for gender sensitive ICT policy and
programme implementation. Accessing such platforms will be in their ?power‘ in
enhancing transparency by challenging officers who deliberately violate procedures and
holding them accountable for service delivery entrusted in their power. In this regard,
women entrepreneurs‘ working together with government and private sector officials to
solve blockages influencing women-driven entrepreneurship would be an affirming local
organisation capacity. The findings of this study affirm women‘s assertive decisions on
taking action to address gender sensitivity issues. Women‘s self-empowerment was
perceived along the lines of getting access to business related information, improving
education and skills training in ICT, participating in decision-making platforms to
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mention a few. Empowerment in this regard meant being visible in environments
dominated by men and having a voice in raising awareness on matters concerning
women-driven entrepreneurship within the ICT sector. This type of leadership thinking
is characteristic of Eagly and Carli‘s (2007) description of women‘s leadership qualities
which entail being an inspiration for others (women aspiring to enterprise in the ICT
sector). Eagly and Carli contend women tend to have a maternal concern for treating
others (employees) compassionately and transferring skills. These views correlate with
the findings of this study were women entrepreneurs (employers) demonstrated a
passion for empowering others (employees, learners and community members). This
kind of empowerment can be linked to role modelling. This also correlates with the
findings which highlighted there need for role models especially in rural areas to
encourage more women entrepreneurs to join the ICT sector.
In the context of this study, women empowerment is viewed as a process that leads to
women entrepreneurs‘ understanding of their assertive role in challenging and forming
part of the decision-making processes where they could advocate for issues in relation
to the development and implementation of ICT policies. For example, influencing
change in the ICT education and training environment is critical.
The Women Empowerment and Gender Equality Bill (2013) endeavour to mainstream
women empowerment and refers in Section 9 (3) to designated public and private
bodies, as well as the ambit of their responsibilities. These responsibilities include the
development and implementation of plans and strategies that would assist women to
gain power and control over decisions and resources that determine the quality of their
lives with the view of achieving the progressive fulfilment of women empowerment and
gender equality. Section 5 of the Bill (2013) refers to the development and
implementation of policies and programmes that, according to Section 6, should include
economic initiatives (cf. Section 10 [3]) that benefit women and their rights to access
such initiatives. This is congruent to the joint partnership approach discussed
previously.
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3.4.2 The relationship between ICT and business
Evidence of the role of ICTs in business has been well documented in literature and
there is no doubt about the cost effective gains that accompany ICTs and the ability to
accelerate several stages of technological development. However, little attention is
paid to researching women-owned ICT enterprises in the ICT sector of the Eastern
Cape Province, since there is no evidence of disaggregated data to identify and
document differential access between men and women in order to inform provincial
policy decision-makers and programme implementers. This study seeks to fill that gap.
The disaggregated data in Table 3.4 should be readily available in the ICT sector of this
province because it clearly indicates the disparity in favour of males at the managerial,
professional, and technical occupational levels.
Figure 3.4: Number of employees in the MICT sector segmented by gender
(2012)
Source: The MICTSETA (2012)
Lack of such data is contributing to diverting attention away from women economic
marginalisation while the opposite should take place. According to Wood in Valenduc
et al. (2004), ICTs that are sufficiently gender-sensitive have the potential to be
inclusive rather than marginalising. Increasing women entrepreneurs‘ participation in
the ?T‘ of the ICT sector is important as opposed to their evidential contribution to the
?IC‘ of the sector (Monyooe & Ledwaba 2004). This could be associated with claims
made by Bibby in Valenduc et al. (2004:11) who suggest, in mapping ICT professions,
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that ICT enterprises should focus on creating more value in the area of ICT knowledge
(core ICT work, e.g. ICT producers) and less on ICT-enabled areas (business domain
knowledge, e.g. ICT users).
It could be argued that the impact of women-driven entrepreneurship in the ICT sector
is minimal, since the ICT sector of the province is still considered to be in its embryonic
stages (ECDC website). The empirical findings of this study attest to this assertion as
women entrepreneurs are faced with numerous challenges that obstruct them from
contributing actively to the mainstream economy of this sector. Women
entrepreneurship is regarded as the key to ?unlocking economic growth for South
Africa? (Global Entrepreneurship Monitoring 2008) and the barriers to this process are
well documented in research studies (Small Enterprise Development Agency 2012).
However, there is minimal impact on narrowing the digital divide between women and
men entrepreneurs in the ICT sector, since no imminent support exists for these
women-owned ICT enterprises, including those in rural areas, that are economically
marginalised in comparison with men-owned ICT enterprises.
The SEDA Survey (2012:136) identifies specific challenges of businesses in the ICT
sector that include:
i. Access to finance is a serious challenge for ICT businesses as it hampers every
aspect of the business from operations and management of cash flow to
purchasing equipment and paying for running costs.
ii. Working capital is another big issue that businesses face, particularly for a start-up
ICT business. Accessing working capital could be difficult for SMMEs.
iii. Lack of infrastructure is a serious concern, since the ICT industry is based on
infrastructure. Therefore, having the necessary existing infrastructure, as well as
having access to infrastructure are critical to developing a sustainable business.
iv. The high cost of imported components and products for resale affects the cash
flow and profit margins as price fluctuations cannot be mitigated. Yet, the price of
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services and products need to remain relatively unchanged in order to retain
existing client bases.
v. The biggest effects of the obstacles and challenges on businesses in the ICT
sector recorded in 2012 are:
? Decline in business (25 per cent);
? Slow business growth (20 per cent); and
? Increased operational costs (19 per cent).
However, there is a widely held consensus (American Express Open 2013, Herrington
& Kelly 2012; Niethammer 2013:31-39) about the significant role that women
entrepreneurs play in the economic growth and development of a country, especially in
developing economies. Their impact is evident in the area of job creation.
Maria Pinelli, Global Vice Chair, Strategic Growth Markets, (EY G20 Entrepreneurship
Barometer 2013) with regard to these issues observe:
?The need to act is clear. Entrepreneurs have the power to create jobs and
drive growth – but first we need to give them the tools and the environment
that will enable them to succeed.?
On the same note, Fanaroff (EY G20 2013) remarks:
?It?s no secret that unemployment is a huge problem in South Africa. And one
of the keys to dealing with this is to increase the number of entrepreneurs
who can create new jobs. I think the Government needs to focus more
attention on increasing the number of entrepreneurs and the numbers of new
businesses? (EY G20 2013:5).
The MICTSETA shows evidence that SMMEs are making inroads into the ICT sector;
between 2011 and 2012 there was an increase of seven significant enterprises in the
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Electronic Media and Film, Electronics, and Information Technology sub-sectors These
are areas where women are mostly concentrated.
Figure 3.5 shows it would appear that women are attracted to the advertising sub-sector
in particular but they also favour the electronic media and film sub-sector.
Figure 3.5: Gender distribution of employees (2012)
Source: The MICTSETA (2012)
According to the MICTSETA, the number of small enterprises increased due to new
start-up enterprises across all sub-sectors while the same trend does not appear in the
large enterprises.
The innovation metrics of the EY G20 Entrepreneurship Barometer (2013:7), recorded
low performance scores for the country in terms of spending on R & D and the number
of registered researchers in this environment while ?patent applications fell by 24 per
cent between the year 2008-2011, an indication that the country‘s research institutions
are unlikely to produce a large number of innovations with a commercial application in
the near future thus undermining prospects for the country‘s innovation-led start-ups?.
Challenges in education (poor or lack of orientation in science and technology) are
contributing to these low levels of innovation by women entrepreneurs.
According to the Global Entrepreneurship Monitor Report (2012), elements that drive
innovation and entrepreneurship are: i) R & D transfer; ii) Entrepreneurial finance; iii)
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Government policies; iv) Government entrepreneurship programmes; v)
Entrepreneurship education; vi) Commercial and legal infrastructure for
entrepreneurship; vii) Internal market openness; viii) Physical infrastructure for
entrepreneurship including culture and social norms.
3.5 THE IMPACT OF CORRUPTION IN RELATION TO WOMEN-DRIVEN
ENTREPRENEURSHIP
Corruption is a common phenomenon in both developed and developing countries both
in government and private sector. Corruption is commonly viewed as ?acts in which
public power is [abused] for personal gains in a manner that contravenes the rules of
the game? (Jain 2001:73; Treisman 1998:1). In South Africa, the term ?tenderpreneur?
is commonly used to describe government officials who enrich themselves by awarding
government tender contracts in a corrupt way. A survey conducted by the United
Nations (2012) findings revealed SMEs resorted to corrupt tendencies to survive as
they had to compete with large enterprises. The findings also reveal that corruption is
tolerated by SMEs who have a ?short-term vision and perspective since they tend to
think only about the present or the very near future as they often see only the short-
term benefits of corruption and don‘t think about the hidden costs that will accumulate in
the long run? (2012:2).
Jain (2011), in addition, explains how corruption occurs at many levels on a continuum
of benign to extreme corrupt activities. Jain provides this example:
?Most people are exposed to corruption in its benign form when they have to
pay a bribe to receive a service from a government official. Quite often, the
service would have been a right of the citizen; the bureaucrat may merely
have discretion over imposing some costs… on the citizen before granting
the service? (Jain 2011:3).
This is akin to corruption activities that women entrepreneurs interviewed in this study
levelled at government officials. These women claimed that they were expected to pay
a bribe (percentage of the tender) in exchange for tenders awarded by government
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officials. Another finding revealed fierce competition for government tenders between
women and men-owned enterprises that were start-ups and established enterprises.
Established enterprises were economically marginalised whilst start-up enterprises who
had connections with government officials to by-pass bureaucracy. The term
?destabilising the market? was used by one of the women entrepreneurs in articulating
the radical change that was associated with unfair competition. They also claimed
sexual favours were expected of women when awarded a tender. The findings also
report no action was taken in reporting corruption as no action would be taken against
these officials and women were not sure about the procedure to follow if they were to
report them. Corruption in this context was a result of gender inequalities manifested in
economic inequalities. In a study conducted in South Africa by the Institute for Security
Studies in 2004, findings reveal, corruption was not reported based on a view that it
would not change anything and the fear of being victimised was a contributing factor in
covering up corruption including the lack of knowledge about where and how to report
it. The United Nations report (2012) in this regard provides a guideline on how to curb
corruption such as, making use of business networking forums to raise awareness and
including corruption related issues in the curricular of entrepreneurship training.
In the context of the Easter Cape Province, corruption is bound to be rampant as
confirmed by this study as there are stark inequalities between urban, semi-urban and
rural areas where poverty levels are high, unemployment figures are high, the economy
is slow and a majority of SMME activity is in urban areas. This is not surprising as the
ICT sector is still in its embryonic stages of development and no legislative framework is
in place to deal with matters of corruption as other countries are doing. Unless women
entrepreneurs take action, corruption will continue to influence women-driven
entrepreneurship processes to their marginalisation in the ICT sector.
In conclusion, whilst it is corruption is a common practice in many African countries
(Global Entrepreneurship Monitoring Report 2012; 2013 PwC Annual Global Economic
Crime Report), the effect that corruption has on entrepreneurship development is
growing concern as it is creating entrepreneurial apathy and increasing further
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economic marginalisation of those SMMEs that are not fortunate enough to have inside
connections to influence tender processes to their advantage.
Trentini and Koparanova (2013) state that women entrepreneurs are less likely to
engage in corrupt behaviour than men entrepreneurs. They further claim that women
starting small businesses or expanding established activities are particularly affected
and note that corruption in the public sphere limits the effects of special support
programmes for women entrepreneurship. MEG (2012:79-80) also illustrates the
magnitude of this corrupt culture that is increasing countrywide and affecting the ability
of businesses to survive and grow in South Africa. MEG remarks:
?Government must enable market access for legitimate small companies by
putting an end to „fronting? and „tenderpreneurship?. Corruption must be
eradicated completely, at all levels of society, to allow legitimate new and
growing businesses a fair chance. Furthermore, not only does corruption
have a negative impact on existing businesses, it could also lead to a
decrease in both perceived opportunities and the desirability of
entrepreneurship, thereby affecting our already small pool of potential and
intentional entrepreneurs? (MEG 2012:80).
Trentini and Koparanova (2013:8) acknowledge the practice of corruption as a common
behaviour, especially among new entrants who engage in corrupt behaviour that they
term ?administrative corruption?. It refers to illicit and non-transparent provision of
payment to public officials in exchange for preferential treatment in procurement
processes. In this study, women entrepreneurs alleged that new entrants were
?destabilising the market?, since they had inside information to tender specifications,
therefore, they were able to undercut the price of traditional suppliers (women-owned
enterprises). Subsequently, those traditional suppliers hardly benefitted from the BEE
scorecard system which government intended as an added advantage (extra points
awarded) for women-owned ICT enterprises. In this regard, it could be argued that
these perceptions confirm the close link between corruption and gender-based
discrimination. The deductive section of Chapter 5 provides an extensive comparison
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between empirical data and the theories of cyberfeminism and entrepreneurship that
reveal the magnitude of the problem.
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3.6 SUMMARY
This chapter provides a theoretical account of the insights extrapolated from existing
theoretical frameworks that could broaden the understanding of the categories identified
by the researcher that were central in the empirical findings. Discrimination levelled
against women entrepreneurs appearing in different facets including corruption, as
confirmed by literature, is an issue that women entrepreneurs from other business
sectors and across the country are experiencing. Although legislation embraces
women empowerment, in practice women remain marginalised in the ICT sector, since
support from government remains illusive. Other studies also emphasise the
insufficient capacity building of women entrepreneurs, especially, their lack of access to
business related information. This includes their inactive role in activism for active
participation in the mainstream economy of the sector. Despite the fact that
government and the private sector recognise the significant economic role of women
playoff in the ICT sector, no effective coordinated action programme addresses the
needs of these women. The following chapter maps out the research methodology
followed in the MGT design and ends with the data collection and analysis procedures.
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CHAPTER 4
RESEARCH METHODOLOGY
?Qualitative research is like peeling away the onion, until one gets closer to
the essence of the phenomenon.? (Sprenkle & Piercy 2005:69)
4.1 INTRODUCTION
This chapter offers a description of the MGT research design (Goldkhul & Cronholm
2010), a summary of the research aims, the research questions addressed in the study,
and illustrates how the MGT method was systematically applied to generate the
substantive theory with the purpose of exploring and explaining SMME women-driven
entrepreneurship in the ICT sector of the Eastern Cape Province.
The research design emphasises an iterative analytical approach to data collection and
analysis in developing the substantive theory. Data was analysed inductively and
deductively. The inductive driven analysis was conducted following a sequence of
procedures that included: i) full transcription, familiarisation and initial interpretation
including member check procedure; ii) identifying early codes and conceptual labelling;
iii) generating and relating substantive categories, properties and dimensions; iv)
constant comparison (Glaser & Strauss 1967:115, Strauss & Corbin 1998: 223) within
the first interview and between subsequent interviews; v) saturation of categories; vi)
systematic and cumulative theoretical sampling (Strauss & Corbin 1998:210) and vii)
theory condensation. Data was deductively analysed employing MGT analytical
procedures not found in GT namely, explicit grounding, comprising of theoretical
matching, explicit empirical validation and evaluation of theoretical cohesion. The
chapter also highlights the limitations of the research design and describes the ethical
considerations.
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4.2 RESEARCH AIMS
The research study aimed at providing a grounded analysis of women-driven
entrepreneurship in the SMME segment of the ICT sector in the Eastern Cape
Province.
The researcher needed to develop an in-depth understanding that was grounded in the
experiences of SMME women entrepreneurs who conducted enterprising business
activities in this sector. The voices of women entrepreneurs were used to describe
what happened contextually in practice in their enterprises and why it happened. In the
process, the researcher sought to identify fundamental factors from emerging data that
influenced women-driven entrepreneurship processes and exposed issues or restrictive
conditions about the status quo that women entrepreneurs were concerned about. The
was analysed data enabled the researcher to substantiate a change orientated support
programme with the view of continued growth and development of SMME women-
driven entrepreneurship in the ICT sector of the Eastern Cape Province.
4.3 RESEARCH QUESTIONS
Based on the research interest, the following research questions were investigated:
i. How do the selected SMME women entrepreneurs conceptualise the ICT concept
as a technology and a sector?
ii. How do SMME women entrepreneurs conceptualise the concept of
entrepreneurship?
iii. Why is the ICT sector regarded as a critical enabler in advancing SMME women-
driven entrepreneurship?
iv. In what way do SMME women entrepreneurs employ ICT as a core product
and service of their ICT enterprises?
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v. How do SMME women entrepreneurs perceive the role of government in
supporting the advancement of SMME women-driven entrepreneurship in the ICT
sector of the Eastern Cape?
vi. How do SMME women entrepreneurs perceive the role of the private sector in
supporting the advancement of SMME women-driven entrepreneurship in the ICT
sector of the Eastern Cape?
4.4 RESEARCH DESIGN
The research design of this study was the MGT (Goldkhul & Cronholm 2003, 2010) that
was anchored in a GT design, described by Strauss and Corbin (1998:24) as ?a
qualitative research method that uses a systematic set of procedures to develop an
inductively derived grounded theory about a phenomenon?.
Wertz, Charmaz, McMullen, Josselson, Anderson, and McSpadden (2011) in Charmaz
(2012) point out the features that distinguish a GT from other forms of qualitative
analysis. GT guidelines advise that each phase of inquiry should raise the analytic level
of the work. Developing theoretical categories is a central part of the analytic process.
We grounded theorists record, check, and presumably saturate the properties (i.e.
characteristics) of our theoretical categories with data. In addition, we look for variation
in these categories and relationships between them. Most qualitative studies address
?what? and ?how? questions (Wertz et al. 2011).
As a novice in grounded theory methods, the researcher guarded against methods that
bordered on pure qualitative and GT analysis that required different coding processes
(Charmaz 2012). The researcher employed Strauss and Corbin‘s (1998) GT approach
as a foundation for this study. Strauss and Corbin‘s methodology was chosen based on
their flexible methods (Glaser & Strauss 1967).
Guided by the research interest and research questions, the study aimed at exploring
and describing SMME women-driven entrepreneurship in the ICT sector of the Eastern
Cape Province. Since little was known about the phenomenon, the researcher was
motivated to contribute towards literature where this ?topic of interest has been
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relatively ignored in literature or has been given only superficial attention? (Goulding
2002:55). In view of the fact that the development strategies of government and the
private sector put SMME women-driven entrepreneurship in the ICT sector of the
province on the radar screen, this gap in empirical research had to be addressed.
The MGT research design was, therefore, an appropriate choice for the researcher who
needed a research methodology that would be flexible in facilitating the development of
conceptual categories and their relationships that were grounded in the experiences of
participants. The researcher was keen to discover entrepreneurship processes that
indicated ?reciprocal changes in patterns of action, interaction? indicative of ?changes of
conditions that are either internal or external? (Strauss & Corbin 1998:169) to women-
driven entrepreneurship processes and and to understand these processes from the
perspective of the women entrepreneurs themselves.
The interchange between an empirically driven and a theoretically driven approach
(Goldkhul & Cronholm 2010) enabled the researcher to apply a bottom up method for
grounding the evolving theory from an inductive iterative process of data collection,
coding, data analysis, and interpretation. The method of constant comparison,
theoretical sampling, and matching the inductively generated data with theoretical
frameworks grounded the theory. The theoretical frameworks of entrepreneurship and
cyberfeminism were considered because their inclusion was relevant for adequately
addressing the research questions.
Given those research conditions, choosing the GT method (inductive approach) instead
of the MGT method (inductive and deductive combined) was not an option in view of the
fact that there were different versions of the same method (cf. Dunne 2011) that were
not explicit about the use of pre-existing theories during theory development.
Employing a GT framework, therefore, would not have sustained the researcher‘s
confidence in demonstrating procedural adherence to GT methodology that
compromised methodological rigor. Finally, MGT (Goldkuhl 2004; Goldkuhl & Cronholm
2003; Goldkuhl & Cronholm 2010) was employed to provide contextual depth and detail
to exploring this substantive area about the socially centred phenomenon of ?SMME
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women-driven entrepreneurship‘ that had not been well researched. In essence, the
whole aim of employing the MGT methodology was based on it being an emerging
design that could be employed to explore and ?discover what is going on, rather than
assuming what should go on? (Glaser 1978:159) in terms of SMME women-driven
entrepreneurship in the ICT sector.
As a result of the epistemological underpinnings of this study, the researcher played an
active role in co-constructing the substantive theory (Chamaz 2006) that was evident in
this study because the researcher kept the voices of SMME women entrepreneurs
audible in the meaningful interpretation of the in-depth interviews.
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Figure 4.1: Core tenants of an MGT research design – SMME Women-Driven Entrepreneurship Substantive Theory: data
collection and analysis (empirically-driven and theory-driven)
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4.5 SECTION A: DATA COLLECTION
4.5.1 Selection of participants
Having conducted a controlled literature review earlier, the researcher had an indication
of where to start looking for the sample. There were a number of factors incorporated
in the inclusion and exclusion criteria that the researcher had to take into consideration
that were likely to influence the process of purposive sampling such as, the geographic
location (urban or rural) and the verification of the value chain of products and services
offered by ICT enterprises to maintain data integrity. Some enterprises for example,
although registered as an enterprise in the ICT sector, had since changed their primary
focus from ICT products and services to general trading.
The researcher decided to focus on the Buffalo City Metropolitan (BCM) area – East
London, King Williams Town and Bisho and the Nelson Mandela Metropolitan (NMM)
area – Port Elizabeth, Uitenhage and Despatch. The two metropolitan municipalities
were suitable locations because:
i. Both metropolitan municipalities were urbanised with well-developed integrated
economic development networks, developed infrastructure, full representation of
industries across all sectors of the economy and an economically active
contingence of enterprises. Statistically, 45 per cent of the province‘s GDP comes
from the NMM area followed by BCM (21%) with the remaining shared among the
remaining six district municipalities.
ii. The contact register initially obtained from the MICTSETA before the researcher
conducted the study indicated that a majority of ICT enterprises were situated in
the two metropolitan areas. This confirming the findings from an earlier scoping
exercise conducted to identify women-owned ICT enterprises from the six district
municipalities. With the exception of one ICT enterprise based in Mthatha that
was included in the interviews, other enterprises did not meet the inclusion criteria.
The first interview conducted was selected on purposeful sampling grounds with the
purpose of pilot testing the interview guide. This interview was included in the sample
as no significant changes were made to the interview.
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4.5.1.1 Background on the Eastern Cape Province
The Eastern Cape Province is frequently measured as one of the poorest provinces of
the country after Limpopo and KwaZulu-Natal. The province comprises of a large
proportion of the population living in the rural areas. The province is characterised by
spatial inequality of both infrastructure and economic development between urban and
rural areas. According the Department of Economic Development, Environmental
Affairs and Tourism (DEDEA) statistics (2014), the Nelson Mandela Metro (NMM) and
Buffalo City Metro (BCM) are the two industrialised areas that contribute largely to the
growth of the province‘s economy (GVA 59.9% & 25.1% respectively) although growth
has been sluggish affected by the national economy‘s receding growth from 3.5 per
cent in 2011, to 2.5 per cent in 2012 and 1.8 per cent in 2013 (StatsSA 2014). The
province has the highest rate of unemployment compared to other provinces.
According to the National and Provincial labour Market 2008-2014 report, the
unemployment rate between 2008 and 2014 rose from 37.2 per cent to 39.4 per cent for
males and from 38.1 per cent to 42.4 per cent for females over this same period.
The province comprises of a young working population between ages 15-34 with young
women affected the most by unemployment (10% higher than males). Although the
level of education attainment during the same period is reported to have improved, the
skills shortage across industries, particularly where women are concerned remains a
going concern for the province. Parallel to this is the mismatch between available skills
and those required by industry against a backdrop of rapid technological change and
the demands of modern manufacturing. According to stats issued by DEDEA in 2013,
private sector contributes about 56 per cent to 61 per cent towards employment and the
manufacturing sector relevant to this study in the context of the ICT sector, is counted
among the top three sectors that provide the bulk of employment in the province, and
government services being the largest (35.2%) employer.
Notably, in the DEDEA (2013) report, activities of the ICT sector do not feature among
the listed four namely utilities, (electricity and water), construction, transport and finance
which are measured based on strong forward and backward linkages created with other
activities in the economy of the province. The manufacturing sector, regarded as an
engine for growth (17% GVA), comprises of manufacturing ICT industries largely the
automotive industry which also contributes to a fair share of employment. Not much is
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reported on the other industries making up the ICT sector which could suggest the ICT
sector is not prioritised in the development agenda although much noise is made about
it in the media and investment platforms.
According to a DEDEA‘s (2014) presentation on the business environment in the
Eastern Cape the following statistics were presented: the two metros, NMM and BCM
contribute 84.6% of provincial manufacturing output; the export contributions are
remarkably low and only 2 per cent of SMMEs are export oriented; the province has
261 000 SMMEs (StatsSA 2007) and the province is considered the third largest SMME
market after Gauteng and KwaZulu Natal; the informal segment accounts for 13 per
cent against a 5 per cent figure of formal SMME activity in South Africa and the
provincial share of the SMME market is about 7 per cent; about 51 per cent of the small
enterprises (micro and survivalist) are located in rural areas; the SMME bands are
brokendown as follows – survivalist (17% of national market) and largest, micro (10%)
fourth largest; very small – relatively small compared to Gauteng (42%), Western Cape
(16%), KwaZulu Natal (12%).
The ICT sector which is still in its embryonic stages of development is not immune to
the socio-economic and technological structural imbalances articulated above
especially in the context of their impact concerning SMME driven entrepreneurship in
both semi-urban and rural areas where the bulk of small enterprises are concentrated.
Issues of access to ICT infrastructure matched with the unavailability of ICT skills in
these areas is a foreseeable challenge concerning bridging the entrepreneurial divide
between these areas and urban areas. Inhibiting factors amongst many characteristic of
the Eastern Cape Province that have a bearing on SMME driven-entrepreneurship in
the ICT sector include, gender inequality, inequalities in education, economic inequality,
and low rate of growth in job creation. In relation to connectivity, about 75.9 per cent of
households have access to a cellphone and 81.2 per cent do not have access to the
Internet (Stats SA 2014). Albeit increased mobile penetration levels in rural areas the
use of computers and access to the internet is limited (SAnews 2014).
These factors have a bearing in harnessing SMME women-driven driven
entrepreneurial activity as women are commonly more disadvantaged concerning ICT
education attainment levels which are essential in a highly technical environment such
as the ICT sector which is innovation-driven and thus requiring high qualifications that
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are rare to find (MICTSETA 2012). However, as education attainment is an important
determinant of an economy‘s capacity to compete successfully, the ICT sector of the
province with the right skills mix SMMEs may well stand a chance to leapfrog the
stages of technological development through the ICT sector. Although DEDEA attests
to government rendering support in the form of incubation programmes for SMMEs,
Notably, the statistics are not gender disaggregated to give an indication where their
focus lies in concerning women. The focus appears to be on the automotive sector and
the value chain ICT based activities that feed into this sector are not explicitly
mentioned in the DEDEA report (2012).
The postulated utopian view relating to the ICT sector as being a springboard for
SMMEs to accrue economic wealth and contribute to job creation where the Eastern
Cape‘s ICT sector is concerned appears to be an exaggeration based on this review.
Which correlates to the controlled literature review suggesting utopian views held
worldwide (SEDA 2012) and the perceived importance of women‘s role in driving
economic growth (Herrington & Kelly 2012; Niethammer 2013 & Women‘s Net South
Africa) based on the premise that women-owned enterprises grow faster than those
owned by men (Ernest & Young 2013) this against the backdrop of an environment that
is not enabling (EC ICT strategy 2009-2014). These claims are yet to be proven where
the Eastern Cape Province is concerned as there are no guarantors of success of
SMME ICT enterprises in particular women-owned ICT enterprises.
Of significance to this study according to the census report (Stats SA 2014) is that, not
only do women have high unemployment levels suggesting room for possible start-up
business but that females according to the composition of the population of the Eastern
Cape Province outnumber males (4.5%) suggesting a niche market that can be taken
advantage in promoting entrepreneurship development. Evidently, drawing from the
above findings, it would appear there is dislocation between existing literature and
empirical grounded findings, which calls for a thorough analysis of the ICT sector at
provincial level which this study seeks to do. Another study by Kent (2013) conducted
on issues of ICT development in the three provinces of the country including the
Eastern Cape, highlights disparities between urban and rural economies, and criticises
the utopian ideology arguing development cannot be leapfrogged by technology based
on the inherent structural imbalances facing underdeveloped areas.
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4.5.2 Sampling procedures
4.5.2.1 Sample
The sample (Pilot & Beck 2010) for this study was defined as SMME women
entrepreneurs trading in the ICT sector in the two major cities in the Eastern Cape
Province, namely the Nelson Mandela Metropolitan Municipality (Port Elizabeth,
Uitenhage, and Despatch) and the Buffalo City Metropolitan Municipality (East London,
King Williams Town, and Bisho).
These SMME women entrepreneurs were either registered owners of an ICT
enterprise, cooperative, part owner (51 per cent shareholding), or manager in charge
who were responsible for the expansion and strategic development of the ICT
enterprise.
4.5.2.2 Sample size
The sample was not fixed and relied on theoretical sampling. The ?size? of the sample
in grounded methods cannot be decided before the study commences (Strauss &
Corbin 1998:214) but only when ?theoretical saturation? has occurred. In essence, it
means that no further information (concepts) or variation (theoretical) can be obtained
from analysing data any further (Glaser & Strauss 1967:61). In this study, for example,
theoretical saturation was attained at the end of the 14th interview. Although the
sample was small it represented a wholesome account of all substantial experiences.
According to Creswell (2002), a sample size could be about 15 to 20 interviews.
Maxwell (1998) and Strauss and Corbin (1998:281) suggest a figure between 10 and 12
is acceptable in a qualitative research study based on the fact that qualitative research
is rigorous and detailed in its coding processes.
According to Charmaz (2006:114), the sample size could be small with ?modest claims?
and saturation is achieved quicker. This suggests that the quality of collected data
?supersedes the sample size?.
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4.5.2.3 Sampling criteria
? Purposeful sampling
Purposeful sampling is the process of selecting information rich cases for a study
(Patton 2002: 230) based on the researcher‘s personal judgement (Polit et al. 2001).
Purposive sampling – according to Omen, Krugman and Fink (2003) – can be used at
the beginning of a qualitative study. For the purpose of this study, the research
questions guided the purposeful sampling and were specifically used to pilot the
interview guide (Jeon 2004). The subsequent interviews were conducted by means of
?theoretical sampling? (Corbin & Strauss 1998:210). That meant the categories and
concepts emerging from data collected from previous interviews guided the researcher
where next to collect data. Hood, in Charmaz (2006:101), explains the difference
between theoretical sampling and purposeful sampling asserting that theoretical
sampling is ?purposeful sampling according to categories that are developed from one‘s
analysis and not based on quotas but theoretical concerns?.
? The pilot interview
The pilot interview was conducted at the premises of a participant in the Buffalo City
Metropolitan Municipality. The researcher identified the participant from a pre-drawn list
obtained from the MICTSETA.
Nune, Alajamy, Al-Mamari, Martins and Zhou (2010) advocate for pilot studies to be
conducted in a grounded theory approach and state that:
?Pilot studies can… provide the researcher with the necessary reflexivity and
awareness of having the human ecology that Strauss and Corbin (1990:42)
define as 'the attribute of having insight, the ability to give meaning to data,
the capacity to understand, and the capability to separate the pertinent from
that which isn?t'?
The pilot interview aimed at evaluating the clarity and appropriateness of the semi-
structured interview guide questions and gaining insight to changes that subsequently
informed theoretical sampled interviews (Nune et al. 2010). Feedback from the pilot
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interview informed changes made to the interview guide in terms of rephrasing some of
the questions.
? Theoretical sampling
Figure 4.2: Theoretical sampling from Interview 1 to 14
Theoretical sampling (Glaser 1978:36, Glaser & Strauss 1967:45) in a GT research
design happens by selecting subsequent interviewees based on information emerging
from data that has been already coded. This implies that a researcher samples for the
purpose of developing and refining identified tentative categories, their properties,
dimensions, and variations as they emerge from data (Strauss & Corbin 2008:143).
This sampling method is different to sampling applied in a conventional qualitative
design that samples for population representation (Corbin & Strauss 1990:8, Strauss &
Corbin 2008, Charmaz 2006:101; 2012:11). As such, in a quantitative approach
?researchers want to use their data to make statistical inferences about their target
Interview 11
SMME
Interview 1
(Pilot –
purposeful
sampling)
Expert:
Government
sector interview
10
Interview 2
SMME
Interview 3
SMME
Expert: private
sector
interview 4
Interview 5
SMME
Interview 6
SMME
Interview 7
SMME
Interview 8
SMME
Interview 9
SMME
Interview 12
SMME
Interview 13
SMME
Interview 14
SMME
Theoretical
sampling
Emerging empirical
substantive theory
Theoretical
grounding of
substantive
theory
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population? (ibid.). In a grounded approach, however, the aim is to fit emerging theories
with data. Charmaz (2012) asserts:
?Theoretical sampling is predicated on fresh analytic categories and thus
occurs later. Gathering data to fill out the properties of a tentative category is
theoretical sampling. You keep gathering data until no new properties of
your categories emerge. This strategy means that you saturate [theoretical
saturation] the properties of your category, not the data? (Charmaz 2012:11).
The theoretically sampled women entrepreneurs were initially selected from the
provincial database of the MICTSETA and subsequently through referrals from
previously interviewed women entrepreneurs. The contact register, the researcher
discovered, did not reveal whether the enterprises where women owned or not and that
necessitated the researcher to proceed with a process of verifying ownership by
telephoning every ICT enterprise on the list to ensure that every enterprise met the
selection criteria. A number of ICT enterprises on the list, as it turned out, were owned
by men. The verification process also confirmed a substantial number of ICT
enterprises on the contact register that had either closed down or changed their primary
focus of product offering. That could not have been coincidence. The researcher
reflected on the research interest and speculated why these SMMEs were abandoning
the ICT sector when there was so much emphasis on the promotion of SMME driven
entrepreneurship in the ICT sector, in particular women-driven entrepreneurship.
? Restrictive inclusion and exclusion criteria
The restrictive inclusion and exclusion criteria (Polit & Beck 2010) were employed to
control as many extraneous factors as possible to maintain trustworthiness in the
sampling criteria. The inclusion criteria refer to specific characteristics or criteria that
participants were expected to meet in order to be included in the study. These criteria
included finding eligible participants who were SMME (as defined in the National Small
Business Act 1996) women entrepreneurs from both metropolitan municipalities of
Buffalo City and Nelson Mandela and whose core business, in accordance with the ICT
sector definition (Stats SA 2012), corresponded with any one of the ICT industry
categories; such as manufacturing, producing, or processing ICT related products or
services.
112
The researcher also decided that industry experts would be considered for theoretical
sampling to bridge any gap in information which participants provided. This would
apply in instances where information that participants shared was insufficient due to a
lack of adequate technical knowledge or orientation on a matter.
The exclusion criteria referred to participants whose characteristics or attributes,
according to the sampling criteria, were found not suitable for inclusion. A number of
ICT enterprises registered on the MICTSETA list had to be excluded, since they did not
fit the selection criteria. Some enterprises, for example, had since changed their
primary business focus from ICT to general trading.
4.5.2.4 Profile of participants
A total number of 14 participants from the different ICT enterprises were interviewed.
Chapter 5 contains a detailed profile of participants. The interviews were conducted
between April and September 2013.
4.6 SECTION B: DATA COLLECTION PROCEDURES
4.6.1 Interview guide
An interview guide ?serves as a framework for the main body of a semi-structured
interview and is based on the key questions that the study is addressing? (Arksey &
Knight 1999:97). Different interview guides were developed for SMME women
entrepreneurs, a government sector expert, and a private sector expert. The interview
guides comprised a number of thematic questions that the researcher wanted to
explore during the interview (Patton 2002:341). The interview guide assisted the
researcher in structuring the interview by asking SMME women entrepreneurs the same
questions while providing flexibility in pursuing certain questions in greater depth and
modifying the questions for the industry experts (government and private sector) – as
the MGT theoretical sampling procedures describe – in order to focus attention on
areas of particular importance to the research questions (Lofland & Lofland 1984).
The interview guide contained both closed-ended questions (Part I, Section A and B)
and open-ended questions (Arksey & Knight 1999:97) that were used in Part II,
Sections C, D, and E. Part I was a short section and covered closed-ended questions
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primarily designed to provide demographic and contextual information about the ICT
enterprise while the more extensive Part II contained open-ended thematic questions
designed to solicit business knowledge information and the role of the government and
private sectors in SMME development.
The structure of the interview guide was:
Part I: Closed-ended questions
Section A: Demographic details of the woman entrepreneur
Section B: ICT enterprise related information (ICT enterprise development and
operations)
Part II: Open-ended questions
Section C: Business knowledge information
Section D: Role of government in SMME development
Section E: Role of the private sector in SMME development
Appendix E contains the interview guides.
4.6.1.1 Semi-structured in-depth interviews
? Interview
An interview is defined as ?a process in which a researcher and participant engage in a
conversation focused on questions related to a research study? (deMarrias 2004:55).
? In-depth interview
An in-depth interview is ?a qualitative research technique that involves conducting
intensive individual interviews with a small number of participants to explore their
perspectives on a particular situation? (Boyce 2006:3). Those individual interviews were
suitable for extensively exploring specific situations in the context of guided
conversations that allowed the researcher to gain insight into issues that were of
?concern to particular segments [SMME] of the population [women entrepreneurs] that
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had not [been given] an opportunity to be interviewed? (Laforest 2009:1) in the ICT
sector. In this study, the researcher was more interested in listening to the point of
view of the SMME women entrepreneurs than using a quantitative data collection
instrument that would have limited the information to what the researcher wanted to
know.
? Semi-structured interview
Saunders et al. (2009), Bogdan and Biklen (2007:103), Jimenz (1985) describe a semi-
structured interview as comprising a combination of structured and unstructured
elements in the format of open-ended and closed-ended questions (Iqbal, Gencel &
Abbas 2012:19). Although ?semi-structured interviews are characterised by an
emphasis on relatively open questions? the researcher may include ?certain closed
questions (Wengraf 2001:162).
? Closed-ended questions
Although closed-ended questions, or ?highly structured questions?, are commonly used
in a quantitative interview design, they could also be included in a qualitative interview
design (Merriam 2009:89). According to Berg (2007:94), closed-ended questions could
also be used in a qualitative interview design especially when the purpose is to obtain
demographic information that describes the sample. Berg advises the questions should
be asked at the beginning of the interview preceding the open-ended questions. The
structure of closed questions comprises ?a pre-determined set of possible answers
derived from the logic of the question? and the questions have a note explaining to the
participant the options of answers to choose from (Bernsen & Dybkjaer 2009:163).
? Open-ended questions
?Open-ended questions yield in-depth responses about people?s
experiences, perceptions, opinions, feelings, and knowledge. Data consists
of verbatim quotations and sufficient content to be interpretable? (Patton
2002:339).
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4.6.2 Interview Instruments
4.6.2.1 SMME women entrepreneurs – individual interviews
? Face-to-face interviews
Theoretical sampled face-to-face interviews comprised 11 participants. Theoretical
sampling was conducted in manner that ensured each woman entrepreneur met the
accepted definition of a member of an ICT enterprise and the ICT sector. That required
the researcher to do a background check on every ICT enterprise before conducting the
interview to maintain consistency in the application of MGT procedures and to avoid
compromising the research findings from a credibility point of view.
The face-to-face interview technique supported the building of rapport with the
participants. The level of enthusiasm and cooperation of participants was clear
evidence of the importance of building rapport , for example, although there were too
many questions available in the interview guide, participants enthusiastically
volunteered information to to the extent that they willingly exceeded the scheduled
interview time. Another contributing factor to the cooperation was the encouragement of
the researcher who egged the participants on to be candid about issues they felt would
augment the improvement of ICT policy and programme implementation in relation to
SMME women-driven entrepreneurship in the ICT sector of the province.
The face-to-face interviews also enabled the researcher to observe the nonverbal
messages that the behaviour of the participants communicated. For example, the
researcher‘s ability to detect when participants experienced difficulty in understanding a
question by interpreting their facial expressions. Another advantage of choosing face-
to-face interviews was the elimination of biases from the interpretation of verbal
responses, since the researcher was able to notice incongruence between verbal and
nonverbal responses. Non-verbal communication, in this study, contributed significantly
to the interpretation of verbal responses and added richness to statements.
? Telephonic interview
The researcher conducted one telephonic interview in this study. Telephonic interviews
were not chosen as an interview technique; however, the researcher had to
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accommodate the participant who was not available for a face-to-face interview. One of
the main disadvantages of a telephonic interview is the inability to observe nonverbal
communication. Different to face-to-face interviews, during a telephonic interview it
could be challenging to detect nonverbal subtleties without applying active listening
skills. Applying active listening skills could eliminate bias in interpreting participant‘s
responses (Creswell 1998). To eliminate bias in interpretation, the researcher applied
?active listening skills? and ?interpretive listening? to seek clarification (Ritchie, Burns &
Palmer 2005:105) from participants during the interview. For example, for clarification
purposes, the researcher confirmed messages by paraphrasing verbal responses
(Beebe, Beebe & Richmond 2005), e.g. ?Am I detecting from your voice a sense of…??,
or ?How does this make you feel??
4.6.2.2 Industry expert interview
? Private sector expert
An interview was conducted with a seasoned SMME woman entrepreneur who owned
an ICT enterprise. The interview was conducted on the grounds of theoretical sampling
to bridge the gaps in information that had emerged from previous interviews that
required input from an expert in the industry. Subsequently, changes were made to the
interview guide to accommodate additional questions in accordance with the MGT
model.
? Government sector expert
The researcher theoretically sampled an expert from provincial government who was
responsible for ICT policy development. The expert was sampled to provide a
perspective from a policy point of view to bridge the gap in information pertaining to
policy matters.
4.6.2.3 Document analysis
According to Bowen (2009), document analysis is a systematic procedure for reviewing
or evaluating documents both in print and electronic format. In this study, the
researcher conducted a document analysis of two significant government policy
documents (Eastern Cape ICT Strategy and ICT Sector Code for BEE) for comparison
117
purposes with empirical statements from the prior interviews. Document analysis was
conducted during the deductive phase of theory generation, which is theoretical
matching (Goldkhul & Cronholm 2010). Categories and their properties, including
dimensions, were compared and contrasted with those identified from the specific policy
and strategy documents.
The first advantage of using documents was that the documents were in the public
domain and, therefore, accessible and secondly, it was far less time consuming to
conduct the analysis, since the researcher did not analyse the entire policy document
but only applicable passages that referred to promoting SMME women entrepreneurs in
the ICT sector. The comparison of findings amongst data sets assisted with reducing
biases in the study. The researcher identified a disadvantage, since the policy
document reviewed was scheduled for review subject to ICT policy changes influenced
by national government.
4.6.2.4 Role of the researcher
In accordance with the epistemological orientation of this study, the researcher was
?actively? (Strauss & Corbin 2008) involved in the ?co-construction? (Charmaz 2003:250)
of the emerging substantive theory and, as a primary instrument, was responsible for
collecting, interpreting, and analysing data (Fink 2000).
? Memo recording: Personal notes, methodological memos, and theoretical
memos
The researcher in this study made use of different types of memos (Charmaz 2006;
Groenewald 2008, Strauss & Corbin 2008) fittingly throughout the evolving stages of
data collection and analysis and until the time of writing this research report. The
memos comprised short passages of personal, methodological, and theoretical text that
the researcher could manage and easily refer to.
? Personal notes
The researcher used personal notes to capture personal analytical thoughts on
particular aspects, such as coding a process or noting observable non-verbal behaviour
that could not be digitally recorded during the interview. These notes also enabled the
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researcher to trace (audit trail) an idea initially conceived in relation to concepts and
categories, as well as establishing the connection between the two. These personal
notes were initially hand written and later typed into text format and filed.
Methodological memos kept the researcher immersed in the procedural methodological
processes of identifying emerging substantive categories and developing their
properties. Also, they were used to guide subsequent data collection, coding, and
analysis and to assist the researcher with keeping an audit trail of decisions that
informed the methodological approach and the critiquing of emerging categories.
Theoretical memos assisted with ?the theorising, write-up of ideas about substantive
codes and their theoretically coded relationships as they emerge[d] during coding,
collecting and analysing data, and during memo [recording]" (Glaser 1998:177). The
researcher derived meaning from theoretical concepts of descriptive data and
?raising that description to a theoretical level through the conceptual rendering of the
material? (Glaser 1978:84) in an attempt to point out connections between empirically
generated data and deductively generated data.
4.6.3 Procedure for conducting interviews
4.6.3.1 Contacting interviewees
The initial interviewee was selected from a contact list obtained from the MICTSETA
that the researcher verified in terms of identifying participants who met the sampling
criteria. An interview invitation was issued to each participant and on acceptance the
researcher secured an appointment that was confirmed either in writing, or
telephonically. The invitation provided a brief explanation of the research topic in order
to familiarise participants with the aims of the study and a consent form (Appendix A)
that included a protocol procedure which was to be followed when conducting the
interview, including permission to digitally record interviews.
Building ?rapport? (DiCicco-Bloom & Crabtree 2006; Odendahl & Shaw 2001) and
credibility of the study before the interview were necessary in order to: i) make each
participant understand how invaluable their contributions would be in facilitating change;
ii) let them understand that the study was confined to fulfilling the researcher‘s
academic obligations; and iii) get an indication of their possible interest in participating.
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To minimise the level of disturbance, all the face-to-face interviews were conducted in
seclusion at the premises of the respective ICT enterprises and lasted between 45 and
90 minutes.
Interviews were mainly conducted in English but also allowed for the use of vernacular
(isiXhosa in this case) with the aim of encouraging each participant to articulate points
of view clearly. All vernacular passages were translated into English, except in
instances were actual word(s) uttered by participant ?in vivo code? (Strauss 1987:33)
had to be reserved.
4.6.3.2 Data management strategy
? Data capturing
The researcher developed a filing system for electronic and hard copy documents. File
folders were opened for every document or record generated and an index file was
used to facilitate ease of access to documents or records. The stored documents and
records included: standard template for invitations, interview guide, transcripts, consent
forms, participant contact register, backup digitally recorded interview CDs, memos,
personal notes, as well as correspondence between participants and the researcher,
e.g. member check requests.
? Document tracking procedure
All data collected was anonymously recorded and stored by replacing the participants'
names with ascending code numbers (1 – 14) in the order of the initial interviews. Data
was organised into different files in a chronological index file, that is all data was
organised in the order of the date on which data was collected. This system made it
possible to keep track of participants interviewed and enabled the researcher to access
files easily, especially for the purpose of establishing when data saturation was reached
in order to terminate further theoretical sampling.
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4.7 SUMMARY
This chapter explains why the use of a multi-grounded research design is important.
The aim of the design was to develop a substantive theory about SMME women-driven
entrepreneurship in the ICT sector. This chapter presents an overview of the design of
the study that provided its structure by using the guiding principles of an MGT method.
The systematic procedures followed in the MGT approach included clearly identified
phases.
Section A comprised data collection procedures, that is the selection of participants and
sampling procedures that included choosing the sample, determining the sample size,
and sampling criteria which were initially purposeful sampling used for piloting the
interview guide from which categories were drawn to sample theoretically in subsequent
interviews.
Section B covered data collection procedures that included the preparation of the
interview guide that comprised closed-ended and open-ended questions as part of a
semi-structured approach that facilitated in-depth questioning that was favourable for
the face-to-face approach. Theoretical sampling guided by emerging categories led the
researcher in the direction of interviewing industry experts whose statements were
compared and contrasted to previous ones to enhance credibility.
In chapter 5 data was analysed and interpreted at various levels of generating the
empirically-driven and deductively driven substantive theory.
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CHAPTER 5
DATA ANALYSIS AND INTERPRETATION
?Any researcher who wishes to become proficient at doing qualitative
analysis must learn to code well and easily. The excellence of the research
rests in large part on the excellence of the coding? (Strauss 1987:27)
5.1 INTRODUCTION
According to MGT procedures, data analysis is empirically-driven ?inductivism? and
theory-driven ?deductivism? (Goldkhul & Cronholm 2010:192). The balance between
data and theory solidifies the construction of theory. Goldkhul and Cronholm
(2010:192) maintain this approach builds on the strengths of both GT and MGT.
The process of data analysis in both MGT and GT methods does not occur in isolation
from data collection and ?data analysis is not a routine-like process. It is a creative and
iterative process including both categorization and validation? (Goldkhul & Cronholm
2010:190). While a researcher is collecting and analysing data, theory is also
?generated? (Goldkhul & Conholm 2010). In the process of collecting and analysing
data, theoretical sampling provides an opportunity to enrich emerging categories that
are constantly compared with previous concepts to validate or to achieve an improved
and deepened understanding that leads to theory generation.
Figure 5.1: Iterative process of data collection and analysis to produce
substantive theory
Concurrent data
generation and
analysis
Constant
comparison
analysis
between
interviews
1 & 2
Analyse data
Theoretical
sampling
Constant
comparison
analysis between
statements
Theoretical saturation
Interview 1
Data saturation
Interview 2
Analyse data
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The interpretation of data in accordance with MGT procedures occurs at the level of
pattern coding, as well as during explicit grounding and theory condensation.
Interpretations, Strauss and Corbin (1998:160) maintain, ?Must include the perspectives
and voices of the people whom we study?. In view of the epistemology orientation of
this study, the researcher had the responsibility to ensure that the voices of participants
were kept audible and that interpretation reflected an ?interplay? (Strauss & Corbin
1990:19) between a participant‘s account of experiences (Bryman 2001: 265), and the
researcher‘s interpretive processes of analysis during which both co-construct a
meaningful account that better described the state and action taken as a result of the
condition(s) at that time.
In MGT, specific analytical procedures akin to GT are employed to facilitate the process
of generating the substantive empirical theory. The analytical levels comprise inductive
coding (open coding), conceptual refinement (not found in GT), and pattern (axial
coding) to generate the empirical substantive theory. These analytical process levels in
summary can be explained in the following logical sequence: i) full transcription,
familiarisation, and initial interpretation including member check procedure (Strauss &
Corbin 1998:48); ii) identification of early codes and conceptual labelling (Strauss &
Corbin 1998:123); iii) generating and relating substantive categories, properties –
characteristics or attributes and dimensions – and the location of a property along the
continuum or range (Strauss & Corbin 2008: 159-160); iv) constant comparison
(Strauss & Corbin 1998: 223) between the first interview and the subsequent interviews;
v) saturation of categories (Bowen 2008; Charmaz 2012:11); vi) systematic and
cumulative theoretical sampling (Strauss & Corbin 1998:210), the demonstration of an
iterative process of data collection and analysis (Strauss & Corbin 1998:58) that
promote greater ?sensitivity? (Corbin & Strauss 2008:32) to data, thus enabling the
researcher to revise interview questions as the analysis progresses; and vii) theory
condensation where more than one category is identified (Goldkhul 2010:196).
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SECTION A
5.2 PHASE ONE: THEORY GENERATION – EMPIRICALLY DRIVEN ANALYSIS
(INDUCTIVE) - EXPLAINED
5.2.1 Inductive coding
The MGT processes followed at each level of data analysis are explained.
5.2.1.1 Full transcripts of recorded interviews
The following processes are undertaken to analyse data: first the researcher listens to
the recording to check whether raw data (transcript) has been transcribed correctly by
comparing the script to the recorded interview. In this study, this was an important
verification process that was grounded in the epistemology orientation of this study
where the voices of the participants were kept audible in the interpretation of meaning.
Figure 5.2: Iterative process of transcribing
In this study, on average it took about 48 hours to 60 hours to transcribe the recording
of one interview. A sample of a full transcript of one of the interviews is available in
Appendix I. The transcribing procedure followed an iterative process that involved
listening to the recordings again and revisiting personal notes in an attempt to: i)
interpret the mood of the conversation and observe the rules of grammar without
altering statements in a manner that distorted intended meaning; ii) incorporate ?in vivo
codes? when necessary and ensuring that the transcript matched the recorded interview
closely to ensure unbiased interpretation; iii) connect interpreted statements
characterised by change in the thought process of the participant and capture the tone
Meaning in
statements
Verify
transcribed
text Interview 1
Check
Personal notes
Replay recorded
tape
Member checking
Transcribed text
124
whether flat or rising; and iv) capture from recording, the idiosyncratic elements of
speech; such as stuttering, pause, sighs, short laughs, and emotional expressions that
played their role in interpreting meaning in context.
5.2.1.2 Member checking procedure
?Member checks? (Creswell 2007:208) are conducted immediately after transcribing an
interview by subsequently sending the transcript to the participant to confirm the
accuracy of the interpretation of points of view and quoted statements (Lincoln 1995).
In MGT procedures, inductive analysis involves an iterative process of cross checking
interpretation and seeking clarity on unclear expressions from participants, a process
Strauss and Corbin (2008:48) refer to as ?validating?. ?Respondent validation?, Creswell
(1998:211) also affirms, is determined by the parties concerned recognising the validity
of their documented experiences and as such, the participant potentially plays a
participatory role in cross checking the transcript. Where errors are found, the
researcher corrects them and sends it the transcript to the participant once again to be
checked. This collaborative procedure of seeking and confirming clarification is a
necessary component of MGT procedures to ensure that meaning is understood from
the participant‘s point of view to increase the ?validity? (Creswell 2007:134-135) and
?credibility? (Guba & Lincoln 1989:239) of the interpretation.
In this study, most responses to member checking were provided telephonically. The
validation process of ?member checks? (Creswell 2007:208) was an important quality
control element in the epistemology orientation of this study, since the participants were
also actively verifying the transcript to validate the researcher‘s interpretation.
5.2.1.3 Early coding of script
This process is an open-minded analytical process (Goldkhul 2010:94). The analysis
according to Strauss and Corbin (1998:121) involves developing a category (cf. Birks &
Mills 2011:98) by identifying, naming, comparing and categorising concepts into
?properties‘ (a cluster that defines and gives it meaning) and ?dimensions‘ (range of
variance the property demonstrates to provide further clarity) to assist with the
discovery of the relationships that form the basis of developing tentative
conceptualisations that have explanatory power.
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? Transcribing
The typed transcript is read and reread line-by-line (labelling each line of data) to record
analytical thinking in coded sentences as some concepts emerged repeatedly.
Throughout the coding process, memos are used to record some thoughts on emerging
relationships between statements (concepts) and evolving groups of related statements
(categories).
In this study, all transcripts were transcribed following the logical sequence of topic
questions appearing in the interview guide (e.g. questions 14 to 28 see Appendix I).
Tables (exemplified in Table 4.1) were used to identify early open codes. The first
column of the table depicted the question code (e.g. Q14); the following column a line
number corresponding to each sentence (e.g. L1, L2 etc.) appearing in the subsequent
column (transcript reflecting responses to question) showing underlined words or
phrases described as early open codes (last column).
Table 5.1: Early open codes – Definition of entrepreneurship provided in
Interview 9: Q14
Question
Code
Line
#
Transcript of Interview 8 Descriptive early codes
Q14 1
2
3
4
5
6
7
8
9
10
11
12
What is entrepreneurship? Please elaborate.
?Eh! Well for me, entrepreneurship is eh! Being
able to uh! Understand the needs of the market and
come up with ideas on how to address those needs.
Eh! Also understanding the need to develop people
who form part of that organisation that serve the
community needs.
?Also for me, although I know that there are profits
that have to be made, entrepreneurship for me is
where the focus is more on making the difference for
the people and than profits coming afterwards.
I know I might differ with other people?.
Understanding ?market‘ needs
Taking assertive action
Developing ?people‘ * staff
Mission * serving ?community
needs‘
Acknowledging benefit
Taking action on decision
Affirming decision * prioritising
Affirming decision
? Labelling
After an idea is established, the researcher subsequently assigns ?…‘labels‘ by means
of descriptive words…? (early open codes) that were text bound in summarising the
sentence to generate substantive ?inferential or explanatory? statements (Miles &
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Hurberman 1994:56). These statements became units of analysis that laid the
foundation to theoretical conceptualisation based on emerging patterns in data.
The labelling procedure requires a researcher to first identify from the transcript (c.f.
Table 4.1) key statements that seem significant in providing possible meaning or ?fit in
data? (Strauss 1987: 28). These key statements are underlined. As the analysis
progresses any analytical thought around questions and ideas regarding statements are
recorded in methodological memos. The actual verbatim words used by the participant,
?in vivo codes? (Strauss & Corbin 1998:105) are included to enhance authenticity in
data. In line with MGT procedures, the same labelling procedure is applied consistently
throughout the analysis to ensure methodological rigor (Oman Oman, Krugman, & Fink
2003).
In this study, based on the study‘s research questions examining entrepreneurship
which has its processes of activities, statements were coded using ?gerunds? (verbs
ending ?ing‘) to focus the researcher‘s thinking around an emerging pattern of action or
process describing the participant‘s entrepreneurial experience (Charmaz 2012:5).
5.2.1.4 Developing substantive codes
Strauss and Corbin (2008:159-160) refer to ?lower-level? concepts and corresponding
?higher-level? concepts in their conceptualisation method. According to them, ?higher-
level statements [categories] which are more abstract than lower-level statements, tell
[the researcher] what a group of lower-level concepts are pointing to or are indicating?.
Corbin and Strauss (2008:143) assert the ability to see the difference (similarities and
differences are brought about through constant comparison) in levels of abstraction
between statements (lower- and higher-level). This ability enables the researcher to
build a web of evidence, based on an interpretive account grounded in empirical data
that facilitates a meaningful understanding of the process of interpretative creativity.
Constant comparison (exemplified in Figure 4.2) implies systematically examining and
refining variations in emergent and grounded concepts. Variations in the concepts need
to be compared and contrasted.
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Table 5.2: Interview 6: Q 14 – Constant comparison between statements –
Definition of entrepreneurship
Memo Notes
Discovered
concept
Comparison between statements of the same
interview
Theoretical
sampling (inductive
level)
Data
saturation
Yes No Yes No
Innovation Similarities Variances
Q 14 Personality characteristics Business characteristics X X
Comments:
Compared to interview 5 which focused on the business characteristics here the focus is on personality characteristics
and the word ?innovative‘ is identified for theoretical sampling to expand its meaning.
Statements (lower-level concepts) are subsequently clustered together to form a pattern
as exemplified in Figure 4.5.
Figure 5.3: Interview 1: Q 14 – Relationships between selected statements
defining entrepreneurship
The clustering results in the emergence of a list of categorised statements or ?theme
topics? (Tesch in Creswell 1994:154-155) which remain unverified and undeveloped;
however, they provided insightful descriptive meaning interpreted from the views that
the participants express. The conceptual ordering of substantive statements are
exemplified in Table 4.3 describing the concept ?entrepreneurship‘ derived from the
participant.
128
Table 5.3: Interview 10: Q 14 – Conceptual ordering of statements –
entrepreneurship development from the interview with a
government expert
Question
Code
Line # Descriptive codes : Entrepreneurship
Q14 2
3
4
5
8
9
10
14
15
28-29
31
?an entrepreneur‘
Taking something that is done normally
?different way of doing it‘
?Enhancing‘ ,‘making better‘ ?faster‘
?enhancing‘, ?bringing in different skill‘
Different skill
?looking outside the box‘
Doing something different, new
Not depending on conventional ways
Yong minds given opportunity to ?challenge the normal‘
Coming up with something different – new
Memo: Conceptual ordering of statements (underdeveloped)
? Concept: Entrepreneur – personal characteristics can be linked to – innovation: ability to do
?things in different ways‘, ?enhancing‘, ?looking outside the box ?, ?giving opportunity to
young minds to challenge the normal‘
? Concept: ?looking outside the box‘ can be linked to an attribute of an entrepreneur
? Concept: ?challenging the normal‘ can be linked to an attribute of an entrepreneur
? Concept: ?enhancing with different skill‘ can be linked to an attribute of an entrepreneur
? Concept: ?coming up with something different, new‘ can be linked to an attribute of an entrepreneur
? Concept: ?not depending on conventional way different ?set ways‘ can be linked to attributes of an
entrepreneur
?Coding?, Strauss and Corbin (1990:61) maintain, involves practising to think abstractly,
since ?the idea is not just to take a phrase from ?raw‘ data and use it as a label. Rather
searching for the right word or two that best describes conceptually what the researcher
believes is indicated by the data? (Corbin & Strauss, 2008:160). The researcher‘s
analytical intuition, at that stage, is kept as free as possible from imposing own
perspectives but equally important to understand the need to ?actively? react to and
work with the statements and to keep the voice of the woman entrepreneur audible in
the interpretation of co-constructed meaning (Strauss & Corbin 1998: 58,160) whilst
remaining open-minded in order to enhance theoretical sensitivity.
The sentence numbering system (cf. Table 4.3) enables the researcher to rearrange,
rename or refine concepts (Gibbs 2007:75-77) as the analysis progresses. This coding
process is applied consistently to all text generated throughout the analysis process
and the researcher is constantly aware of the need to engage in an iterative process
(cf. Figure 4.6 below) of reflecting on analysed interview transcripts. The researcher
129
critically evaluates, compares, and contrasts interpretations in the context of coded
statements (Leedy & Ormrod 2001; Corbin & Strauss 1990) using Corbin and Strauss‘s
(2008:71) questioning technique which entails asking simple questions while analysing
statements; such as, ?What is suggested by these sentences?‘, ?What is the
participant‘s‘ point of view?‘ and ?What is the situation subsequent to experience?‘
enabling the researcher to probe deeper into responses that facilitate a better
understanding of the world view of the participants (Patton 2002:372). Re-reading text
to look for variations from the grounded experiences articulated by participants assists
in validating interpretation. At this level, the analysis goes beyond the descriptive level
to one where the researcher begins to formulate tentative conceptualisations
(exemplified in Table 4.3) noted in memos to interpret the emerging patterns of
relationships between categories and providing an in-depth explanation that was fitting.
An advantage of MGT is its application of iterative and interactive procedures that ?blur
and intertwine continually? (Glaser & Strauss 1967:43) during various levels of analysis.
This implies that a researcher goes back and forth during the process of data collection,
coding, and analysis by revisiting some of the processes informed by theoretical
sampling.
Figure 5.4: Demonstration of iterative process of giving meaning to concepts
Following MGT theoretical sampling procedures, the researcher at this level of analysis
is mindful not to confuse theoretical sampling applied during the inductive phase when
the discovery of information emerges from interview statements. Rather, considers its
application during the deductive phase when established theories inform theoretical
sampling (Goldkhul & Cronholm 2010).
130
The researcher uses methodological memos (exemplified in Appendix K, Table 1, 2 & 3)
at this level of analysis to reflect on the meaning of statements emerging from ideas that
were sparked by in vivo codes.
5.2.2 Conceptual refinement
The notion of ?conceptual refinement? implies a level of analysis that a researcher
?actively? (Goldkuhl & Cronholm 2010:194) works on clarifying statements, including the
provision of a comprehensive interpreted descriptive meaning. This procedure requires
a researcher to critically and constructively reflect on the categories and subcategories
(statements and variations in statements) developed earlier that are conceptually
refined ontologically and linguistically challenged. As statements (concepts) keep
evolving during analysis, more focus is turned on refinement (using different questions
to interrogate statements) to enhance rigor in the build-up of distinct categories
generated from interview statements. This provides a ?valid? theory described by Green
and Thorogood (2004:192) as depending on the participants‘ interpretation of validity
constituted by socially situated truth that is contextually linked.
Goldkuhl and Cronholm (2010) suggest a ?critical category determination‘ procedure for
ontological determination of scientific categories to reflect on, namely:
i) Empirical statements: The conceptualisation of statements should not be taken for
granted but challenged. Charmaz (2006:33) suggests the researcher should be
aware and follow up on taken-for-granted responses so as to get the exact
meaning and context in which statements are made. Statements, therefore,
should be founded on a proper world view or social reality as articulated by
participants.
ii) Ontological statements: Here, six essential questions are considered in order to
achieve an in-depth understanding of the context of conceptualised statements (cf.
Goldkuhl & Cronholm 2010 for comprehensive description of a procedure for
ontological determination of scientific categories), such as:
? ?What is it??: Content determination – an attempt to grasp the essence of the
conceptualised phenomenon;
131
? ?Where does it exist??: Determination of ontological position;
? ?What is the context of it??: Determination of context and related phenomena;
? ?What is the function of it??: Determining the functions and purpose; and
? ?What is the origin of it??: Determination of origin and emergence.
iii) Linguistic statements: An understanding of how concepts are articulated and
given substantive form in describing specific categories (noun, verb, quality) as
construed in the ?real world‘ thereby validating the process of theory abstraction.
During the process of refinement some categories (statements) may be rejected whilst
some developed into broader categories.
Goldkuhl and Cronholm‘s questioning technique in this study is complemented with
Scott and Howell‘s (2008) questioning technique (c.f. appendix O) used in their
conditional relationship guide (facilitating the move from open coding to axial coding) to
link categories more clearly to data from which patterns of action and conditions
emerged.
5.2.3 Pattern Coding
Goldkuhl and Cronholm (2010:196) in their recent writings prefer using the term ?pattern
coding?. Building categorical structures, Goldkuhl and Cronholm (2003) explain, refer to
an interest toward conceptualising action patterns. Pattern coding is akin to axial
coding in GT (Strauss & Corbin 1998) and, therefore, it adopts GT procedures.
Axial coding is defined as ?a set of procedures whereby data are put together in new
ways after open coding by making connections between categories? (Strauss & Corbin
1990:96). Diagrams of theoretical patterns and graphical representation are used to
point out relationships between categories (Goldkuhl & Cronholm 2010:196). Strauss
and Corbin (1998:223) encourage researchers to demonstrate their own style of
creativity when developing or presenting the diagrams.
A ?paradigm? contains three aspects: The condition, the actions, and the
consequences. The conditions answer the questions: Why, where, how, and when the
phenomena occurred. The actions answer the ontological questions (social reality), that
132
are the strategic responses made by the individuals or groups to issues, problems,
happenings, or events that arose under those conditions. The consequences answer
the question what happened as a result of those actions – or the failure of individual(s)
to respond to arisen situations – and the consequential theoretical explanations that the
researcher provided.
A researcher explores the specific conditions and consequences in respect of each
category of statements and determines whether sufficient data ?saturation‘ (Bowen
2008, Strauss & Corbin 2008) exists to support these interpretations. At this stage, a
researcher records theoretical ideas emerging through the process of constant
comparison (Strauss & Corbin 1998:67) of incoming data (categories) to raise data to a
conceptual level (emerging theory). Following MGT procedures closely prevents a
researcher from building categories on the foundation of vague interpretations
(Goldkuhl & Cronholm 2010:194).
5.3 PHASE TWO: EXPLICIT GROUNDING – THEORY DRIVEN ANALYSIS
(DEDUCTIVE) - EXPLAINED
5.3.1 EXPLICIT GROUNDING
Explicit grounding (Goldkhul & Cronholm 2010:192) means the evolving empirically
grounded substantive theory is subjected to rigorous validation against three explicit
grounding processes namely theoretical matching, explicit empirical validation, and
evaluation of theoretical cohesion.
5.3.1.1 Theoretical matching
Theoretical matching (Goldkhul & Cronholm 2010:197) means that the evolving
empirical findings and abstractions are compared and constructed with other external
theories to ground the evolving theory as opposed to being a starting point that
governs analytical work (Cronholm 2005; Goldkuhl & Cronholm 2003).
The researcher in this deductive process verifies theoretical alignment by comparing
and contrasting the evolving theory (empirically derived) with the pre-existing theories,
namely cyberfeminism (feminism and technology) and entrepreneurship to establish
133
whether theory can match empirical statements of participants (SMME women
entrepreneurs) in conjunction with industry experts and other documents (policy)
5.3.2 Explicit empirical validation
Explicit empirical validity (Goldkuhl & Cronholm 2010:197) means that the theory is in
accordance with empirical observations of the world. Focus on theory generation
portrayed in the earlier phases of analysis shifts to the control of validity in the sense
that data is verified and compared to the claims of empirical data (Cronholm 2004).
Validating the emerging theory entails perusing identified categories and their
properties. To a great extent, revisiting the initial formation of these categories confirms
the interrelationships.
5.3.3 Evaluation of theoretical cohesion
Evaluation of theoretical cohesion (Goldkuhl & Cronholm 2010:198) is determined by: i)
the degree to which data accurately and clearly assists in providing insightful
understanding; ii) answers being provided to the research questions; iii) the researcher
addressing issues of fit between participants‘ views (reality); and iv) the researcher‘s
representation of these views (reality) includes determining whether the explanations fit
the descriptive account to determine credibility in data that is enhanced by ?constant
comparison‘ (Strauss & Corbin 2008).
In this study, this level of abstraction required a conceptual structure to systematically
analyse the evolving theory and to verify internal consistency and congruency within the
evolving substantive theory (Cronholm 2004). Emphasis was placed on applying
systematic evaluation processes to verify consistency and internal congruency of core
action categories and subsequent consequences evolving by using appropriate
descriptive graphic and textual presentations (Goldkuhl & Cronholm 2003) to describe
conceptual structures.
5.3.4 Theory condensation
This analysis concludes the processes of theory generation. Theory condensation
(Goldkhul & Cronholm 2010:196), that is akin to selective coding in GT, entails
condensing categories (higher-level concepts) that have been developed to form the
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initial theoretical framework which provides ?an explanatory scheme comprising a set of
concepts related to each other through logical patterns of connectivity? (Birks & Mills
2011). This process enhances the substantive theory. Unlike the recommended one
core category of a grounded theory (Strauss & Corbin 1998), a few core categories of
themes are developed in MGT that appear frequently in the data without artificially
inflating its importance (Glaser 1992).
In this study, the initial analyses of 33 categories from open coding were subsequently
reduced to eight during axial coding, and subsequently to two in this phase, namely:
recognising gender-based discrimination; and responding to gender-based
discrimination that related to other subcategories. The graphic representation of the
theoretical model that illustrates SMME women-driven entrepreneurship is portrayed in
Figure 4.7.
5.4 PHASE THREE: RESEARCH QUESTION, REFLECTION, AND REVISION –
EXPLAINED
5.4.1 Research question
According to Goldkuhl and Cronholm (2003, 2010), research questions should develop
over time for allowing empirical observations and theoretical insights to influence their
formulation. The researcher‘s understanding of the participants‘ account of reality
(SMME women-driven entrepreneurship in the ICT sector) progressively increased from
one level of data collection, analysis, and interpretation to another. That process
enabled the researcher to gain a comprehensive understanding of the conditions that
influenced the research issues, including proposed interventions aimed at mitigating the
situation. The questions were constantly reflected upon to direct the empirical and
theoretical orientation. The systematic application of MGT processes supported the
processes of good ?traceability between data, categorisation, and theory? (Goldkuhl &
Cronholm 2010:190).
5.4.2 Reflection and revision
This process heralds the last phase of the analytical procedure that enables the
researcher to conduct a self-critical account of the research methodology by reflecting
on the research interest and questions and by authenticating confirmability (Tobin &
135
Begley 2004). The research questions are also aligned to the substantive empirical
categories. That procedure also encompasses the verification of participants‘ responses
to establish whether they are interpreted accurately and whether theory is grounded in
the experiences and views of the participants.
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SECTION B
5.5 APPLICATION – PHASE ONE THEORY GENERATION EMPIRICAL
(NDUCTIVE ANALYSIS)
5.5.1 ANALYSIS OF CLOSED-ENDED AND OPEN-ENDED QUESTIONS
This section provides an analysis and interpretation of closed-ended questions and
open-ended questions accompanied. Closed-ended questions were analysed before
the open-ended questions. The structure and sequence of the interviews depict how
data was cumulatively gathered through theoretical sampling from Interview 1 to
Interview 14. Interviews were conducted on both SMME women entrepreneurs and
industry experts from government and the private sector. The subsequent stage of
analysis depicts a summary of the conceptual refinement process of concepts
generated from open-ended questions. The next stage depicts a critical category
determination procedure that illustrates the building of the categorical structures from
data analysed during pattern coding. The last stage of analysis culminates in a
substantive theory that comprehensively provides a meaningful interpreted account of
?SMME women-driven entrepreneurship within the ICT sector of the Eastern Cape
Province. This section provides good ?traceability between data, categorisation, and
theory? (Goldkuhl & Cronholm 2010:190).
5.5.1.1 ANALYSIS OF CLOSED-ENDED QUESTIONS
Question 1
0
20
40
60
80
100
25-
35
36-
45
46-
54
55
and
over
TOT
AL
Number of participants 4 9 0 1 14
Percentage of sample 28,60% 64,3 0 7,2 100
Total 28,6 64,3 0 7,2 100
Figure 5.5 : Ages of the participants
Number of participants
Percentage of sample
Total
137
0
2
4
6
8
10
Black Coloured Indian White
Race
1 to 12 Private and public expert
Twelve SMME women entrepreneurs and two industry experts were interviewed, one
from the private sector and the other from government. The ages of all participants
interviewed ranged between 25 and 55 years. Four SMME women entrepreneurs were
between 25 and 35 years old, seven between 36 and 45, and one person was older
than 55 years. The two industry experts were between 36 and 45 years old. The ages
had no relevance to the categories identified in the study, but useful for future research
analysing age groups in early stage entrepreneurship activity.
Question 2
This question inquired about the race group the respondents belonged to.
Figure 5.6: Participants’ race groups
Eight SMME women entrepreneurs interviewed were Black, two White, one Asian, and
one Coloured. The industry expert from the private sector was Black while the
government sector expert was Coloured. The results suggested that the majority of the
participants were Black. The sampling criterion was based on theoretical sampling,
meaning these participants were interviewed guided by the emerging categories rather
than on representative grounds. Therefore, the different racial groups had no relevance
to the categories identified in the study.
138
Question 3
Table 5.4: Educational qualifications of the participants
Part I: Closed-ended questions
Section A: Demographic information – Personal details of SMME women entrepreneurs and industry experts
Interview Interview ID Participant’s response
Q3 What is your highest educational qualification level in ICT?
Interview 1 Woman entrepreneur Bachelor‘s degree
Interview 2 Woman entrepreneur Diploma
Interview 3 Woman entrepreneur Grade 12
Interview 4 Private sector expert Bachelor‘s degree
Interview 5 Woman entrepreneur Certificate
Interview 6 Woman entrepreneur Certificate
Interview 7 Woman entrepreneur Grade 12
Interview 8 Woman entrepreneur Diploma
Interview 9 Woman entrepreneur Certificate
Interview 10 Government expert Bachelor‘s degree
Interview 11 Woman entrepreneur Certificate
Interview 12 Woman entrepreneur Bachelor‘s degree
Interview 13 Woman entrepreneur Bachelor‘s degree
Interview 14 Woman entrepreneur Bachelor‘s degree
The highest education qualifications of participants were: One completed grade twelve,
four completed a certificate course, two held diplomas, and three had bachelor‘s
degrees. Both industry experts held a bachelor degree. This demographic did not have
much relevance to the category gender inequalities as all the participants had some
form of orientation of ICT relevant to the skill needed by enterprise.
Question 4
Table 5.5: SMME ownership status of the participants
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Interview Participant’s ID Participant response
Q4 What is your role in the ICT enterprise?
Interview 1 Woman entrepreneur Sole owner, Manager in charge
Interview 2
Woman entrepreneur
Sole owner, Manager in charge
Interview 3
Woman entrepreneur
Sole owner
Interview 4 Private sector expert Sole owner
Interview 5
Woman entrepreneur
Part-owner
Interview 6
Woman entrepreneur
Part-owner
Interview 7
Woman entrepreneur
Part-owner; Manager in charge
Interview 8
Woman entrepreneur
Owner
Interview 9
Woman entrepreneur
Sole owner
Interview 10 Government expert Chief technical officer
Interview 11
Woman entrepreneur
Manager in charge
Interview 12
Woman entrepreneur
Manager in charge
Interview 13
Woman entrepreneur
Part-owner
Interview 14
Woman entrepreneur
Part-owner
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Owner &
manager
Owner
Part-
owner
Part-
owner &
Manager
Manager
Chief
Technica
l Officer
TOTAL 14,3 28,6 28,6 7,2 14,3 7,2
% of sample 14,3 28,6 28,6 7,2 14,3 7,2
Number of persons 2 4 4 1 2 1
2 4
4 1
2 1
0
10
20
30
40
50
60
70
Figure 5.7: Position of the women in the ICT business
Number of persons % of sample TOTAL
The roles of the participants were: Two sole owners were managers in charge. Sole
owner meant they owned the ICT enterprise a 100 per cent and manager in charge
meant the person was the responsible person for the day-to-day operations of the ICT
enterprise. This demographic had no relevance to the categories identified in the study,
but useful for future research analysing broad based black economic empowerment in
terms of ownership.
The research results indicated that the ownership status of the SMMEs involved one
woman part-owner and manager in charge, two were sole owners, and four were part-
owners. This demographic had no relevance to the categories identified in this study.
Question 5
Table 5.6: Types of SMMEs owned by the participants
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development & operations)
Interview Participant’s ID Participant Response
Q5 What type of ICT enterprise is your business?
Interview 1 Woman entrepreneur Closed Cooperation
Interview 2 Woman entrepreneur Closed Corporation
Interview 3 Woman entrepreneur Closed Cooperation
Interview 4 Private sector expert Closed Cooperation
Interview 5 Woman entrepreneur Closed Cooperation
Interview 6 Woman entrepreneur Profit Company
Interview 7 Woman entrepreneur Closed Cooperation
Interview 8 Woman entrepreneur Closed Cooperation
Interview 9 Woman entrepreneur Closed Cooperation
Interview 10 Government expert ICT Department
Interview 11 Woman entrepreneur Non-Profit Organisation
Interview 12 Woman entrepreneur Non-Profit Organisation
Interview 13 Woman entrepreneur Cooperative
Interview 14 Woman entrepreneur Closed Cooperation
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0 1 2 3 4 5 6
Services
Services; Retail
Retail
Multiple
Government Sector
Production Services
Manufacturing
SMME business models
Private and public expert 1 to 12
A majority (10) of these enterprises were closed corporations (including the private
sector expert), two were non-profit organisations (NPOs), and one was a profit
company. The government sector expert worked in an ICT department. This
demographic had no relevance to the categories identified in the study, but useful for
future research making comparisons between the formal and informal sectors.
Question 6
This question inquired about the industry type of the ICT enterprise.
Figure 5.8: The SMMEs’ business models
The breakdown of ICT enterprises according to the ICT sectors industries were: One
represented the manufacturing industry, one operated in the production services, two
were retail businesses, five represented the services industry while two operated in the
services, as well as in the retail space. A multiple business model refers to an ICT
enterprise that operates many industries; i.e. manufacturing, production, services, retail,
as well as importers and exporters. This demographic was of little relevance to the
categories identified except in giving an indication of possible sampling (i.e. random
sampling) strategies that can be used for future research besides theoretical sampling
which was used to explore a phenomenon that little was known about.
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Question 7
Table 5.7: Services offered by the SMMEs
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development & operations)
Q7 What ICT product(s) and / or service(s) are offered
by the enterprise?
Participant’s Response
Interview 1 Woman entrepreneur Bulk printing, photocopying, laminating, binding, faxing,
Interview 2 Woman entrepreneur Computer training and skills development, retail
(computer sales and repair)
Interview 3 Woman entrepreneur Retail (computers and laptops sales, electrical equipment,
printing equipment, and software
Interview 4 Private sector expert Computer training, IT solutions, web-design and hosting
Interview 5 Woman entrepreneur Computer training, national end-user computing, technical
support
Interview 6 Woman entrepreneur Retail (ICT hardware and software), ICT equipment,
maintenance and support service, design and networking
Interview 7 Woman entrepreneur PostNet service: Faxing, courier, document solutions, mail
boxes, manufacture, office supplies, digital solutions
Interview 8 Woman entrepreneur ICT training and skills development
Interview 9 Woman entrepreneur Retail (sales hardware and software), support service,
networking, cabling infrastructure, desktop / server
solutions, security systems solutions
Interview 10 Government expert Policy development, strategic operations
Interview 11 Woman entrepreneur ICT multi-purpose: ICT training and printing,
photocopying, laminating, binding, faxing, email
Interview 12 Woman entrepreneur Broadcasting: programming, advertising, and marketing
Interview 13 Woman entrepreneur Film and television production, graphic design, and
photography
Interview 14 Woman entrepreneur Manufacturing and web-hosting
Products / services offered by the ICT enterprises included: One provided bulk printing
and internet café services; one offered computer training and retail services; three
operated in the retail industry; one offered computer training and technical support; one
provided postal services; one conducted ICT training; one offered ICT training and
internet café services; one operated in the broadcasting space; one was in the
production industry; and one operated in the manufacturing industry. The government
expert had the line functions of policy development and strategic operations while the
private sector expert offered computer training, IT solutions, web-design, and web-
hosting. A majority of enterprises were ICT training providers and providers of retail
services. This demographic had relevance to the category analysing how ICT was
used as a core product linked to the category lacking innovation which depicted the
levels of innovation across a continuum between low-tech and high-tech.
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0 2 4 6 8 10
Local
Provincial
Local; National
Local; National;Regional
Market segment
Private and public expert
0
2
4
6
8
1 to 5 6 to 10 11 to 20 more than 20
Years in business
1 to 12 Private and public expert
Question 8
This question inquired about the market segment of the ICT enterprises.
Figure 5.9: The SMMEs’ market segments
One of the ICT enterprises targeted the local, national and regional markets, three
targeted the local and national markets, and eight focused on the local market only.
The public service expert targeted the provincial market while the private sector expert
concentrated on the local market. The demographic had no relevance to the category
identified but useful for future research analysing market segmentation trends.
Question 9
This question inquired about the number of years the ICT enterprise had been in
business.
Figure 5.10: Number of years the SMMEs had been in business
A majority of ICT enterprises were in business between one and five years, two
between six and 10 years, two between 11 and 20 years, and one for more than 20
years. Both the private sector and the public sector expert had between six and 10
143
0
2
4
6
8
10
1 to 5 6 to 10 11 to 100
Number of people employed
1 to 12 Private and public expert
years of experience. This demographic had no relevance to the categories identified in
the study.
Question 10
Table 5.8: Size categories of the enterprises
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Q10: What SMME category does the enterprise fall
under?
Participant’s response
Interview 1 Woman entrepreneur Micro
Interview 2 Woman entrepreneur Small
Interview 3 Woman entrepreneur Micro
Interview 4 Private sector expert Micro
Interview 5 Woman entrepreneur Small
Interview 6 Woman entrepreneur Small
Interview 7 Woman entrepreneur Micro
Interview 8 Woman entrepreneur Micro
Interview 9 Woman entrepreneur Micro
Interview 10 Government expert Question not asked
Interview 11 Woman entrepreneur Micro
Interview 12 Woman entrepreneur Very Small
Interview 13 Woman entrepreneur Micro
Interview 14 Woman entrepreneur Micro
A majority (8) of ICT SMMEs of the women entrepreneurs were reported to be micro
enterprises, three were small, and one was very small. The micro category represented
an enterprise that employed one to five employees. The very small category
represented an enterprise that employed five to 10 employees. The small category
represented an enterprise that employed 10 – 100 employees, and the medium
category had more than 100 employees. This demographic had no relevance to the
categories identified in the study, but would be relevant to research analysing the
number of enterprises in different categories.
Question 11
This question inquired about the number of people that every ICT enterprise employed.
Figure 5.11: Number of employees at the businesses
144
A majority ICT enterprises employed between one to five people; one employed
between six and ten people; three employed between eleven and one hundred people
and another enterprise employed three from 11 to 100 years. The private sector expert
employed between one and five people; and the public service expert between 11 and
100 people. This demographic had no relevance to the categories identified but would
be useful for research analysing employment patterns in women-owned enterprises.
Question 12
Table 5.9: Educational qualifications of the SMME employees
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Q12 What is the ICT education level of employees in
the enterprise?
Participant’s response
Interview 1 Woman entrepreneur Certificate, Bachelor‘s degree
Interview 2 Woman entrepreneur Grade 12, Certificate, Diploma, Bachelor‘s degree
Interview 3 Woman entrepreneur Grade 12
Interview 4 Private sector expert Bachelor‘s degree
Interview 5 Woman entrepreneur Diploma
Interview 6 Woman entrepreneur Grade 12, Diploma, Bachelor‘s degree
Interview 7 Woman entrepreneur Grade 12
Interview 8 Woman entrepreneur Certificate
Interview 9 Woman entrepreneur Grade 12, Certificate, Diploma
Interview 10 Government expert Bachelor‘s degree
Interview 11 Woman entrepreneur Certificate
Interview 12 Woman entrepreneur Certificate
Interview 13 Woman entrepreneur Diploma; Bachelor‘s degree
Interview 14 Woman entrepreneur Diploma; Bachelor‘s degree
In summary, seven were in possession with a bachelor degree qualification; five had a
national diploma; five had a national certificate/vocational qualification; and four had a
senior national certificate. This demographic had no relevance to the categories
identified in the study, but useful for future research looking at ICT education attainment
and skills levels in relation to employment.
Question 13
Table 5.10: The SMMEs’ total annual turnover (in millions)
Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Q13 Total annual turnover (million) of the ICT
enterprise?
Participant’s response
Interview 1 Woman entrepreneur 0 – 1
Interview 2 Woman entrepreneur 6 – 10
Interview 3 Woman entrepreneur 0 – 1
Interview 4 Private sector expert 0 – 1
Interview 5 Woman entrepreneur 0 – 1
Interview 6 Woman entrepreneur +10
Interview 7 Woman entrepreneur 2 – 5
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Part I: Closed-ended questions
Section B: ICT enterprise related information (ICT enterprise development and operations)
Q13 Total annual turnover (million) of the ICT
enterprise?
Participant’s response
Interview 8 Woman entrepreneur 0 – 1
Interview 9 Woman entrepreneur 6 – 10
Interview 10 Government expert Question not asked
Interview 11 Woman entrepreneur 0 – 1
Interview 12 Woman entrepreneur 0 – 1
Interview 13 Woman entrepreneur 0 – 1
Interview 14 Woman entrepreneur 2 – 5
The research results indicated that there was one ICT enterprise with an annual
turnover of more than R 10 million, two with an annual turnover between R 6 and 10
million, another two had an annual turnover between R 2 and 5 million, and seven of
the responding ICT enterprises had an annual turnover between R 0 and R 1 million.
The private sector expert had a turnover between R 0 and R 1 million. This category
had no relevance to the categories identified in the study, but useful for future research
analysing productivity levels in the enterprise.
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5.5.1.2 ANALYSIS OF OPEN-ENDED QUESTIONS
Q15: What problems in your view are encountered most by SMMEs? Please
elaborate
The description provided by the first participant (pilot interview) was narrow. The
statement, ?that‘s what I‘m living for‘ was scrutinised by asking the question, ?What does
the participant mean by this statement?? This was in relation to the in vivo codes
?running‘ ‘your‘ ?business‘. The researcher continued questioning statements and
making interpretations along the way, moving from formulating interpretations to
reading the entire interview transcript over again to get a broader understanding of how
the concept entrepreneurship was perceived by the participant. This approach was in
line with considerations from Miles and Hurberman (1994:57) who posit descriptive
words should attribute meaning to a segment of text and interpretive codes with
?reference to context [entrepreneurship] and other segments [entire transcript]?. The
researcher had to apply theoretical sensitivity by reflecting on vocabulary acquired from
professional literature on the concept, entrepreneurship and from experience as a
practicing entrepreneur to think through the in vivo codes in order to widen
interpretation (Strauss & Corbin 1990:62) fitting the participant‘s description.
Descriptive words generated were closely examined at this early stage of analysis
through ?constant comparison? (Strauss & Corbin 2008:143), a process which resulted
in the identification of similarities and variations among in vivo codes and
Memo Notes
Interview 1:
Discovered
concepts –
Definition of
entrepreneurship
Comparison Theoretical
sampling
(inductive level)
Data
Saturation
Yes No Yes No
Similarities Variances
Q14
?Business‘ owner
?Business‘ activity *
Work
Income * Profit X x
Comments:
?How is entrepreneurship described by others?? The category and its properties need to be further
explored as the description can not be validated and thus disconfirming data saturation as further
theoretical sampling was required.
Table 5.11: Illustration of constant comparison between concepts
147
the disconfirmation of data saturation (Creswell 1998) which lead to theoretical
sampling as exemplified in Table 5.11 above. The substantive descriptive words
(concepts) were subsequently grouped into a cluster comprising of a category, property
and dimension to demonstrate the interrelationships between the concepts (Corbin &
Strauss 2008:159) as exemplified in Figure 5.12 below.
Figure 5.12: Interview 1: Q14: Relationships between selected statements
The category, business owner was associated with the concepts, ?your‘ and ?business‘
which were linked to the property, trading ?that‘s what I‘m living for‘ which was linked to
day-to-day business activities (dimension). The researcher critically analysed the
concept, business owner, in the context of entrepreneurship and observed from
literature that there were distinct characteristics defining a business owner and an
entrepreneur. A comparison between statements from other questions (16 and 17) in
the interview guide associated with the description of the concept, entrepreneurship
corresponded with the characteristics of a ?business owner‘. For example, statements
associated with the description of business owner included I) participant‘s concern
about close by competition rather than appreciating competition as an opportunity to
test their product as an entrepreneur would do; II) expecting business to come to them
?we thought we would have more walk-in customers‘ rather than going out to get
customers as an entrepreneur does and the focus on making profit were linked to the
statement ?have more walk-in-customers‘ and IV) lacking motivation which was
uncharacteristic of an entrepreneur who normally has a high level of motivation.
Theoretical sensitivity in this regard went beyond the descriptive level (cf. Figure 5.12)
to one where the researcher began to formulate substantive conceptualisations (cf.
Figure 5.12) to interpret the emerging definition of ?business owner‘ in terms of its
148
properties and providing an in-depth dimension of explanations to demonstrate the
interrelationship between the concepts. The researcher went back to a recorded memo
on the various definitions of entrepreneurship and realised that Schumpeter (1942:78)
in articulating the concept makes a distinction between an owner of a business and the
entrepreneur. Constant comparison enabled the researcher to ensure that related
concepts ?earned? their relevance by accurately reflecting and including statements
which the category was generated from (Corbin & Strauss 1998:292). Some descriptive
words and statements were dropped on refinement (e.g. income and profit) and some
exemplified in Table 5.12 below ?were sharpened through theoretical sensitivity (Corbin
& Strauss 2008:32). For example, the statement ?that‘s what I‘m living for‘ was replaced
with occupation and ?running‘ replaced with operating activities. The sentence
numbering facilitated ease in reshuffling and ordering concepts to a substantive
theoretical level.
Codes line Substantive descriptive codes : entrepreneurship
Q14 2
4
?business‘ * work-?living‘
?running‘- in charge of action- business activities * ?your‘- owner
Memo: Conceptual ordering of statements (underdeveloped)
? Category: Business owner – associated with in vivo codes ?your‘ and ?business‘ can be linked
to the business owner
? Properties: Occupation – associated with the statement ?that‘s what I‘m living for‘ – can be
associated with work – an occupation
? Dimensions: Operating activities – associated with concept ?running‘ suggesting the
management of day-to-day business activities - operating activities
Table 5.12: Interview 1: Q14 Conceptual ordering of substantive statements
The above analytical process provided basis for sampling on theoretical grounds to
compare how the next participant would describe the concept entrepreneurship by
expanding on the current interpretation of the concept. The researcher recorded a note
to observe whether in subsequent interviews there would be a distinction made by
participants between the characteristics of a business owner and entrepreneur. Doing
so enabled the researcher to break through subjectivity and bias in interpretation of the
concepts as the researcher understood that some concepts might have been unfittingly
placed in the category and thus not belonging. According to Grounded Theory (GT)
procedures, the researcher should keep looking and stop only when the concept was
sufficiently described ?saturated? (Corbin & Strauss 2008). Saturation of data –
according to Morse, Barnett, Mayan, Olson, and Spiers (2002) in Bowen (2008:140) –
149
?ensures replication in categories; replication verifies and ensures comprehension and
completeness?.
In the second interview, which when compared with the previous, expanded on the
definition revealing characteristics fitting the description of the concept ?business
owner‘, and thus yielding additional possible meaning. The in vivo code, ?somebody‘
was identified and interpreted similar to interview 1 implying a ?business‘ owner
(category) as described by the participant was a person having an ?idea‘ (property) that
could ?turn‘ (evolve an idea). The concept was interpreted as suggesting a
transformation pattern associated with the in vivo code, ?into a big venture‘ (dimension)
?bigger than one from hand-to-mouth‘, implying expansion or growth of the ?business‘
which would become a source of employment (sub-dimension). This interpretation was
drawn from the statement suggesting describing the business as being ?sustainable for
?self (business owner) and others‘ (employees). The sub-dimension, source of
employment compared to the previous interview was viewed by the researcher as a
variance to the property, ?that‘s what I‘m living for‘ which after conceptual ordering was
interpreted as suggesting the ?business‘ owner understood the ?business‘ to be an
occupation to earn a salary from. The participant‘s use of the in vivo code, ?venture‘,
interpreted in the context of entrepreneurship was linked to risk involved when
launching a venture and combined with the statement, ?taking the business from nothing
to a ?desired state‘, suggested a goal oriented action. Theoretical sampling continued
with the view of expanding the description of the concept. In interview 3 the participant
similar to interview 1 described the concept entrepreneurship as an act of ?trading‘
associated with ?selling products to people‘. This description, the researcher observed
was focused on entrepreneurial activity ?action‘ and not on the ?business‘ owner or
entrepreneur. Interview 4 (industry expert) was theoretically sampled with the view of
getting insights that would expand on the definition. The participant articulated
entrepreneurship as an ?employer‘ (category) who was a driver in creating ?employment
for self and others‘ (property) similar to interview 2 where the ?business owner‘
perceived the ?business‘ as a ?source of employment‘ linked to the notion of
employment creation suggested in interview 2 related to the in vivo code ?job creation‘
in interview 5.
150
The iterative process of collecting and analysing data, that is, moving from the current
to the previous assisted the researcher in building theoretical sensitivity around
statements in order to enhance meaning. In interview 1 for example, the back and forth
analysis whereby the entire transcript was read again, enabled the researcher to
discovered a relationship between statements relating to the notion of ?job creation‘
drawn from the in vivo codes ?paying salaries‘ for ?people‘ (staff) appearing in the
subsequent question (Q15). The description of entrepreneurship provided in interview
5 had both characteristics of an entrepreneur and entrepreneurial activities. These
similarities were drawn from the in vivo codes, ?vision‘ and ?goal‘ (interview 2) described
by the participant as having an influential role in decision-making. The concepts, ?goal‘
and ?vision‘ were interpreted in association with the statement, ?build a professional
entity with sound monitory value‘. A variance noted between both interviews were
concepts used in describing factors determining the success of a ?business‘ such as,
?expansion‘ used in interview 2 and in interview 5, building a ?sustainable professional
entity‘ (property). This suggesting evidence of a transformation pattern linked to the in
vivo code, ?from nothing‘ interpreted as a starting point associated with an action to
?build it [business] up to a sustainable professional entity. This property was further
described using a dimension of concepts such as, offering training (Dimension 1)
having sound financial planning (dimension 2) and quality assurance standards
(dimension 3) further explained as entailing research (sub-dimension 1) and risk
management internal processes. Another similarity observed was between interviews 4
and 5 in the use of the concept, ?research‘ which was explained as being characteristic
of entrepreneurship processes. In interview 5 ?research‘ was described as a tool to
evaluate internal systems and in interview 4 a tool in ?identifying a need in the market‘
(dimension). This statement was interpreted by the researcher in relation to
entrepreneurial processes of starting a venture which involve planning. A variation was
also identified between interviews 2, 4 and 5.
In interview 5 the statement ?rural development‘ empowerment (aimed at poverty
alleviation and job creation) was related to the statement, ?creating employment for self
and others‘ (interview 4) and ?job creation‘ (interview 2). Another variation noticed
related to the scope of operation of the ?business‘, in interview 2 the in vivo codes, ?big
business‘, ?bigger venture‘ and ?expand‘ were interpreted to denote a wider scope of
operation were the focus would be on benefiting its internal audience denoted by the in
151
vivo code, ?others‘ interpreted as employees. In interview 5 the scope although wider,
extended outside of the organisation to benefit ?rural‘ ?community‘ members. The in
vivo code, ?rural‘ was linked to the in vivo codes ?mission‘ and ?vision‘ (identified as a
category) taking from the participant‘s explanation that rural development was on the
ICT enterprises agenda. The description of entrepreneurship similar to the previous
interviews (2 and 3) depicted characteristics associated with entrepreneurial activity
rather than the ?business owner‘ (interview 1) or the entrepreneur (interview 4). In
interview 6, where entrepreneurial characteristics emerged from a number of related
concepts did not earn their way to making a category, but were identified and compared
for similarities and variances from previous interviews. For example, the relationship
between in vivo codes, ?vision‘ appearing in interview 5, and ?somebody‘ a variation to
?business owner‘ also appearing in interviews 1 and 2 including ?enterprise owner‘ and
?employer‘ in interview 4.
Additional descriptions appearing for the first time in this interview, linked to
characteristics of the entrepreneur which were drawn from in vivo codes such as, ?being
innovative‘, ?looking out for the environment‘, ?seeing opportunities in the market place‘,
?creating something extraordinary‘, ?having the drive and passion‘. The concept,
?looking out for the environment‘ was interpreted by the researcher as relating to
conducting a SWOT analysis and thus considering the interpretation to be similar to the
concept, market ?research‘ appearing in interview 4. The concept, ?creating something
extra ordinary‘ interpreted by the researcher as implying innovation, was perceived by
the participant to be a rare characteristic found in entrepreneurs. This
acknowledgement also related to one made by the participant in interview 4 (industry
expert) where the concept innovation was first theoretically sampled (Q23 was added to
the interview guide cf. Appendix F). The industry expert also affirmed the ?low
innovation levels‘ (category) claiming there was little room for innovation as ?ICT [was]
not understood well enough by small businesses‘ to trigger innovation‘ (property) and
made further claims that ?owners tend to be followers rather than leaders‘ (dimension).
Other characteristics describing the concept entrepreneurship in interview 6 included,
statements such as ?having the drive and passion‘ which were related to the in vivo
code ?motivation‘.
152
The description of the concept entrepreneurship was expanded in interview 7 where the
concept, gender stereotyping (category) appeared for the first time. This category
described a woman ?business owner‘ (property) who from the point of view of the
participant was ?not recognised in the industry‘ (dimension). A similar claim was made
in a previous interview (5) which related closely with the assertion that ?women‘s
capability‘ was ?still questioned‘ in the industry. Other gender stereotypes were
associated with the perceptions held by the public of the ?business owner‘ described in
association with masculine descriptors such as, ?someone who dominates‘, affirmed by
the participant ?people always look surprised when they see me‘ (feminine features).
The in vivo code, ?surprise‘ was linked to ?astonished‘ used in interview 5 describing
men‘s stereotype attitude that seeks to undermine a woman entrepreneur‘s ability to
acquire ICT ?knowledge and skill‘. The researcher at this juncture of analysis decided to
consult dictionaries to draw ?literature derived concepts? (Strauss & Corbin 1990:68)
articulating gender as a number of concepts interpreted in relation to gender issues
emerging from previous interviews (other questions in the interview guide e.g. Q17,
Q20) were suggestive of an evolving theme. Consulting literature sources was a
quality measure to ensure rigor in the build-up of distinct categories generated from
correct interpretations.
Similarities were drawn between interviews 8 and 3 where entrepreneurship was
described from a position of entrepreneurial activities relating to the ?business‘
generating profit (interview 3) and having financial sustainability (interview 5).
Similarities and variances also emerged between interview 9, 4 and 5. In interview 9
the category, understanding the needs of the market was similarly interpreted in
association with conducting ?market research‘ (interview 4). The category was
subsequently linked to the property coming up with ideas on how to address these
needs such as, developing people (similar to interview 5), focusing on making a
difference for the people (dimension 1) and generating profit (dimension 2). Both
participants (interviews 9 and 5) exhibited a passion to develop people in order for them
to serve back in their communities.
The researcher made a note to reflect on the concepts, development and self-
empowerment and to seek a clear definition with the view of guarding against
interpreting both concepts narrowly in the context of the ICT environment. The
153
researcher, deducing from the experiences (interview 5 and 9) described by participants
realised that the interpretations had thus far been narrowly articulated as the described
experiences appeared to be heavily laden with meaning. This assumption was made
taking into consideration that achieving the status of empowerment or development
entails undergoing a process of on-going action. This subsequently prompted the
question, ?What action were these women entrepreneurs taking in addressing the
identified obstacles hindering them from empowering themselves??
In interview 10 the concept, ?business owner‘ was associated with the concept ?risk‘
which interpreted through theoretical sensitivity and in the context of literature on
entrepreneurship was interpreted as implying a willingness to take risk, a characteristic
expected of entrepreneurs. A variance was noted in the interpretation of the concept,
?risk‘ drawn from participant‘s explanation in interview 5 where ?risk‘ was associated with
quality assurance (risk management) that the ICT enterprise had to manage. The
concept risk was further theoretically samples to get an expanded meaning as the
concept had not rendered a variation of explanations. Another concept identified was
?funding limitations‘, associated with covering ?operational costs‘. In interview 11 a
broadened meaning rendering the saturation of the concept innovation, came from a
comparison of statement analysed that formed a close correlation between concepts
such as, ?challenging the normal‘, ?doing things differently‘, ?create new ways‘, ?looking
outside the box‘, and ?not depending on conventional‘ thinking. The definition of
entrepreneurship both from the previous interview and interview 11 leaned more on the
characteristics of an entrepreneur. A combination of entrepreneurial and entrepreneurial
activities in the definition emerged in interview 12 where the concept entrepreneurship
was saturated as sufficient explanations both depicting characteristics and
entrepreneurship activities were rendered. The researcher identified similarities
between previous interviews and interview 12 from concepts such as, the ?art of
creating a business‘, ?having business acumen‘ which were all interpreted applying
theoretical sensitivity from the in vivo code, ?read‘ as implying self empowerment
referenced in interview 5. A variance in the use of the concept, ?human resource‘
(interview 12) and ?empowerment‘ (appearing in interview 5 and 9) was noted.
In interview 5 the emphasis was placed on self empowerment and the empowerment of
community members and in interview 9, on ?developing staff capacity‘ and the concept
154
empowerment was subsequently saturated. In interview 12, the participant‘s definition
of entrepreneurship leaned more towards describing the characteristics of the
entrepreneur in relation to the importance of having employees ?human capital‘ that took
the effort to empower themselves. In interview 11 ?human resources‘ were considered
a driving force of entrepreneurship, this associated with concepts such as, ?young
minds given opportunity‘ and to ?bring in different skills‘ to create ?new ways of doing
things‘. Other concepts interpreted by the researcher through further questioning and
theoretical sensitivity with the view of understanding in depth the meaning of the
concept empowerment from interview 12 included, business acumen, ?read[ing]‘,
business management skills, ?communication‘, ?marketing skills‘ and problem solving
skills. All of these descriptors suggested the significance of human capital in the
context of entrepreneurship. Linked to this interpretation were current problems facing
ICT enterprises brought about by disempowerment such as, increased ?incompetency‘
levels linked to the lack of ?workplace experience‘. In an interview (11) with the
government expert, ?human resources‘ were also described as a driving force of
entrepreneurship, this interpretation was associated with concepts used by the
participant such as, ?young minds given opportunity‘ and to ?bring in different skills‘ to
create ?new ways of doing things‘.
In interview 13 the concept, ?guts was identified and subsequently linked to the concept
?risk‘ appearing in interview 11 implying the entrepreneur‘s ?willingness to take risk‘.
The in vivo code, ?venture‘ (interview 2) interpreted in association with the concept, ?risk‘
was also linked to the interpretation of the concept, ?guts‘. A variation in the
interpretation of the concept, ?willingness to take risk‘ was noted from interview 8 where
the concept, ?risk aversion‘ was perceived as a lost opportunity linked to fear. The
researcher reflected on the definition of entrepreneurship and made a connection
between failure and success. The interpretation of failure in entrepreneurship terms
tends to be associated with success. The concept, ?risk‘ was considered saturated as
its meaning was sufficiently articulated. In the last interview (14), entrepreneurial
characteristics same as the ones emerging from the previous relating to the concept
business ?business owner‘ was interpreted from the perspective of the participant as a
skilled person with the ?capacity‘ to ?manage a business‘ and having a sharp ?business
acumen‘. This statement also related to interview 12 where the property ?business
acumen‘ emerged.
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With reference to the research question of this study, the researcher was able to
identify emerging themes from the responses of participants that provided sufficient
evidence in answering to the research question pertaining to the conceptualisation of
the concept ?entrepreneurship‘. Various themes that emerged evolved from a pattern
depicting entrepreneurial process and action that emerged from a range of categories,
and properties that were compared, and critically examined from other questions of the
same transcript and between interviews looking for similarities and variances that would
provide a clear understanding of how the participant understood the meaning of
entrepreneurship as a concept. This back and forth critical analysis of categories and
their properties culminated into a theme of characteristics identified from data that was
either associated with the ?business owner‘, entrepreneur or entrepreneurial activities.
Characteristics associated with the ?business owner‘ or entrepreneur that were
highlighted included: ?guts to establish business venture‘, ?initiate‘, ‘develop idea‘ and
drive an enterprise‘s ?vision‘, and ?goals‘; ?turns idea into big venture‘, ?ensuring its
[enterprise‘s] success through ?sheer determination and belief in one‘s concept‘, and
?creating value‘; ?looking outside the box‘, and ?non-conventional‘ thinking; ?acumen‘ to
?organise resources‘, and ?risk‘ taker creative; and ?understanding the needs of the
market‘ and coming ?up with ideas on how to address those needs‘, and passion for the
?development and empowerment of people‘.
Other descriptive concepts associated with entrepreneurial activity included ?Art of
creating business‘, ?turn business venture into big venture‘, ?expansion‘ of ?venture‘,
seeking ?new‘ market trends, ?business opportunities‘, ?tenders‘, ?creating employment
for self and others‘, ?creating new products and services‘, increasing ?productivity levels
of the enterprise‘, ?doing things differently‘, and creating something extraordinary‘.
The repetition of these concepts including the context in which concepts were
interpreted, provided depth and breadth in understanding the concept from the point of
view of the participants and the researcher‘s interpretation which corresponded to
literature. This analytical process confirmed data saturation. The chronological order
in which categories, their properties and dimensions were identified including stand
alone concepts appear in Appendix N Table 1
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In sum, in the context of marrying the theoretical definitions provided by participants
from different perspectives and the researcher‘s observations of the real situation,
highlighted similarities and differences between the participants and researcher in
conceptualising the concept entrepreneurship and the actual modelling of what an
entrepreneur does. For example, the articulation of the concept in relation to the in vivo
codes ?expansion‘, innovation‘ and ?seeking new business opportunities‘ was well
understood theoretically but in practice there appeared to be no workplace evidence in
most enterprises. For example, the lack of evidence was observable in terms of the
growth of the enterprise i.e. ventures into new markets, producing new products,
acquiring new customers, or active involvement in research and development linked to
new technological improvement. One of the advantages of conducting interviews in the
workplace was that, the researcher could make such observations.
Another analysis made by the researcher on the backdrop of participants‘ understood
meaning of entrepreneurship as being a dynamic process that needs entrepreneurs
who can actively and consistently identify and pursue economic opportunities, was that
in practice there seemed to be a disconnect suggesting these ICT enterprises were
rather on the supply and demand side. This analysis highlighted the importance of
definitions (the words used) in shaping the entrepreneur‘s frame of thinking and the
strategy entrepreneurs adopted in influencing their entrepreneurial processes.
Q15 What problems in your view are encountered most by SMMEs? Please
elaborate.
In this question (Q15), the participants were asked to share their understanding of
problems encountered by SMME entrepreneurs within the ICT sector. The following
question (Q16) asked participants to share their opinion on challenges that were
specific to women entrepreneurs. Asking these two questions the researcher hoped,
would provide a balanced understanding of problems generic to the ICT sector that
would delineate parallels or differences between SMMEs in general and women
entrepreneurs. In addition, the researcher (a practicing woman entrepreneur) would be
able to see how different the problems experienced by SMMEs enterprising in the ICT
sector were to other SMMEs enterprising in other sectors. This interest, prompted by
the research interest of the study, was proof demonstrating how impossible it is for
researchers to separate who they are as individuals, that is, their ?background and prior
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understandings? from the research and analysis they do (Creswell 2007:39). The coding
of both questions (Q15 and Q16) required of the researcher to bracket out any
preconceived notions held that would influence interpretation by letting interpretation
guide the analysis. The researcher however, consistently made use of in ?vivo codes?
(Strauss & Corbin 1990:69) to allow participant‘s own phrases to come through thus
enhancing integrity in interpretation by keeping the data grounded in the participant‘s
voice.
In the first interview the category, experiencing difficulty in accessing capital was
associated with the problem of entrepreneurs having a ?limited operating budget‘
(property) which influenced the purchasing of ?stock/material‘ (dimension 1) and inability
to pay ?staff salaries‘ (dimension 2). The second category, local competition was a
perceived threat to the new entrant (property 1) who was struggling to penetrate the
local competitive market because of the ?limited marketing budget‘ (dimension) hence
the ineffective marketing activities (sub-dimension 1) associated with the statement
?unable to convince people‘ suggesting low brand recognition linked to limited customer
market share (sub-dimension 2) associated with the in vivo codes, ?just come in‘
implying ?new entrant‘ and therefore ?unknown‘ interpreted as suggesting low brand
recognition. The established ICT enterprise (property 2) was identified from an
association of concepts such as, ?always been there‘, ?in existence‘. This established
ICT enterprise was linked to customer market share (dimension), which was interpreted
by the researcher through theoretical sensitivity as suggesting the established ICT
enterprise had a fair share of customers in the market. This interpretation was
prompted by the participant‘s statement suggesting that the established ICT enterprise
had gained competitive advantage (sub-dimension) over ?new entrant‘ hence their
increased customer market share.
The researcher made an observation from the analytical process that all identified
categories had ?conceptual power? hence the various layers of properties, dimensions
and sub-dimensions were able to render an in-depth explanation deduced from
interrelated statements (Strauss & Corbin 1990:65). In interview 2 the problem was
that SMMEs were experiencing difficulty in accessing funding (category) due to barriers
(property) such as, poor credit rating (dimension 1) associated with in vivo codes ?credit
rating and not having ?collateral‘ (dimension 2). The cause of this situation was
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interpreted from a combination of in vivo codes that rendered an explanation that,
monies ?owing‘ towards ?study loans‘ made it difficult to obtain a ?financial record‘
needed by funders. Similarly, interview 1 and 2 experienced the same problem
pertaining to the limited ?operating budget.
The second category, developing staff capacity, was associated with barriers linked to
lack of business knowledge and skills (property 1), and the lack of human resource
capital (property 2). Property 1 was linked to the statement, lack of business
knowledge and skill which was interpreted in relation to a range of concepts rendering
explanations such as, unfamiliarity with business operations in the area of ?finance‘
(dimension 1), management‘ and ?employment regulations‘ (dimension 2). Human
resource capital (property 2) problems were associated with concepts relating to
?mentor[ing]‘ of staff which was lacking‘ and linked to ?workplace experience‘ which too
was lacking. This associated with the use of the in vivo codes, ?incompetent‘. The
inability to create ?sustainable employment‘ (dimension 1), was associated with the
statement, ?people are poached by other companies or go for better opportunities‘ (sub-
dimension). Property 2 was also linked to statements highlighting high staff turnover
(dimension 2) associated with the statements, ?you train them and they leave‘ and
inability to create ?sustainable employment‘ (dimension 3) linked to ?cash flow‘ related
problems associated with the statements, ?you cannot employ graduates because they
are expensive‘ (sub-dimension 1) implying ICT enterprise was unable to pay salaries
interpreted from the participants explanation that ICT enterprise was ?struggling to
generate income‘ (sub-dimension 2). Interview 3 compared to interview (1) drew a
similarity associated with the concept operating budget which was mutually perceived
as a barrier. In interview 1 the association was linked to ?limited operating budget‘ and
in interview 3 with ?high overhead costs‘.
Similar to previous interviews, the problem of experiencing difficulty in accessing
funding was also identified in interview 4 as a category and associated with concepts
such as, ?capital‘ and ?start up finance‘ and similar to the previous interview (2)
explained that ?qualified‘ people with ?experience‘ were ?expensive to hire‘. The
category experiencing difficulty in accessing funding was saturated but the researcher
was open in accommodating other explanations. SMMEs were found to be lacking in
marketing skills (property) also identified in interview 1. This property was associated
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with the in vivo code, ?sales‘ which was perceived by the participant as an area
?overlooked [by SMMEs] to the detriment of the business‘ including a combination of
statements such as, the need for SMMEs to ?create their own space‘ and ?finding a
niche market‘ where similar products were offered. All of these statements were
interpreted by the researcher as suggesting competitive marketing in the context of
SMMEs inability to survive competition (dimension). Interview 5, similar to the previous
interviews, the problem of experiencing difficulty in accessing funding (category) was
linked to the statement, ?not understanding documentation requirements‘ (property)
suggesting vagueness of information presented in documents (dimension) as ?there is
always some loop hole that is used by officials as an excuse for you not to get funding‘
and ?there is always some fine print‘. These perceptions were interpreted by the
researcher through theoretical sensitivity as implying SMMEs do not fully understand
the stipulated documentation requirements which were often too technical to
understand and overlooked restrictions, implied by the in vivo code, ?in fine print‘.
However, reflecting on the interpretation, the researcher detected subtle connotations
by linking these statements and body language communicated by participant such as,
?sighing‘ suggesting a ?sense of defeat‘ observed. This tentative interpreted was made
in association with gender inequalities inhibiting women from accessing to business
opportunities. These tentative interpretations were recorded in a memo to analyse at a
later stage.
Another perceived problem was that women entrepreneurs were seen to be ?lacking self
motivation‘ (category 2) linked to participant‘s (interview 2) perceived notion that
motivation was a ?big factor when starting a business‘. This statement was also linked
to one made in interview 3 suggesting women have to ?think positively to stay in
business‘ based on the challenges encountered. The lack of self motivation‘ was linked
to the following statements, taking action in ?developing staff‘ (property 1), getting staff
into the ICT sector (dimension) and developing learners (property 2) in order to ?give
them the chances they did not have‘ (dimension). The concept, ?motivation‘ emerged
as an evolving concept that was interrogated in subsequent interviews.
In interview 6 the concept, globalisation (category) was identified as a problem and
linked to the property, SMME support lacking locally, perceived by the participant as a
consequence of ?globalisation‘ linked to the in vivo code, ?multi-vendors‘ who were
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perceived as creating a system favouring big companies over local SMMEs who were
not considered by ?procurers of services‘ implying ?multi-vendors‘. This treatment,
explained from the participant‘s point of view was linked to the statement, SMMEs not
trusted (dimension) drawn from the statement, ?they are not trusted until they have
proved themselves‘ in the marketplace.The researcher‘s interpretation, confirmed
through member checks, the lack of trust in SMMEs was based on limited service track
records. This based on the grounds of limited business opportunities coming their way
in terms of getting sufficient contracts. In interview 7 similar to previous interviews the
concept, ?finance‘ emerged and was associated with inability to access finance related
to the in vivo code, ?equipment‘. The statement, ?banks will not fund you unless you
present financials‘ was a problem mentioned from previous interviews (1, 2 and 5) and
associated with women‘s poor credit rating. The researcher revisited thoughts recorded
on the category ?experiencing difficulty in accessing funding‘ in a memo where gender
inequalities were tentatively implied in association with the statement ?there is always
some loop hole that is used by officials as an excuse for you not to get funding‘. This
also suggesting discrimination levelled by bank against women.
The problem with women entrepreneurs experiencing difficulty in accessing finance was
a theme cutting across from all previous interviews and barriers encountered were
sufficiently described for the researcher to consider the theme saturated as additional
explanations did not add any new insights. In interview 8 the concept ?risk‘ was
explained differently in that a distinction was made between men and women
entrepreneurs who were perceived as being cautious in taking risk than men. The
concept, ?risk‘ also reached a state of saturation at this point in the analysis and was
considered saturated. However, gender comparisons were noted and at this juncture in
the analysis of the theme gender sensitivity in the form of structural inequalities in the
processes of women-driven entrepreneurial activities. Another problem identified was
that, SMMEs tended to offer a limited range of ICT products or services and thus not
competing favourably in the marketplace. This observation was made in interview 4
where the concept, competitive marketing was identified as a challenge facing SMMEs.
In interview 9 the category, Eastern Cape market was perceived as a market where big
businesses were thriving and SMMEs getting limited business opportunities as there
was an existing private company preferred supplier list (property 1) that business was
given to. This claim was linked to the statement, ?private sector already has its own
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suppliers‘ (dimension 1) and that ?national companies already [had] contracts with local
companies‘ (dimension 2). The researcher identified similarities between these claims
and those made in interview 6 where globalisation was perceived as creating a system
favouring big companies ?multi-vendors‘ over local SMMEs. The participant also
identified problems faced by government suppliers (property 2) categorising suppliers
as established companies (dimension 1) described as having high overhead costs (sub-
category), standard market ?mark up rates‘ on products (sub-category 2), having a
service ?track record‘ (sub-category 3). New entrants, ?black SMMEs‘ (dimension 2)
were described in association with descriptive concepts such as, ?having government
connections‘ (sub-dimension), ?getting inside information from government? (dimension
2), ?responding competitively to requests for quotations compared to established
?existing‘ company ‘ (dimension 3), were ?marking down the price against a set standard
market margin‘ (dimension 4) and were the ones ?getting work‘ and thus ?destabilising
the market‘ (dimension 5). The researcher identified similarities and variances when
comparing and contrasting these statements to previous interviews concerning
uncompetitive pricing mentioned in interview 3 associated with small business lowering
their price resulting in reduced profit margins and also in interview 1 where the problem
was associated with black SMMEs not accessing tenders from government due to entry
requirements for tendering being extremely high. The researcher recorded tentative
thoughts from the comparison that were tentatively suggesting subtle corruption
practices.
A variance to the above explanations was identified in interview 10 in relation to
uncompetitive ?pricing‘. There was an acknowledgement by the government expert that
government was doing something to address the inequality between big and small
business by allowing small business to inflate their price (preferential procurement
rating system) in order for them to remain competitive. Another variance was noted
between statements from interview 10 and 6 suggesting government had confidence in
SMMEs (interview 10) as opposed to private sector were trust in SMMEs was lacking
(interview 6). In interview 11, the category, technology stereotypes emerged for the first
time. The reasons given for stereotypes attitudes were associated with the statement,
?people do not seem to understand that technology is vital nowadays‘ (property) and the
researcher wondered why marketing was ineffective (dimension) asking the question,
?Why would people not be interested in the media centre given the fact that the role of
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telecentres‘ were seen as adding value in the development of underserviced and rural
communities in many ways for example, in the sphere of education and socio-economic
(cf. Schreiner 1998; Lesame 2008) development. In interview 12 similar, to the problem
cited in interview 2 regarding SMMEs lacking business skills, in this interview the
concept, ?not knowing how to start a business‘ was interpreted by the researcher as
implying SMMEs were lacking business skills. Similarly, in interview 2 the concept,
?incompetency‘ was linked to an explanation that people lacked business management
skills. This problem similar to previous interview (2) was attributed to employers not
affording qualified professionals working for them.
In interview 13 the concept, managing ?finance‘ was identified and related to the in vivo
code, ?misused money‘ linked to the statement, ?the management of income and
expenditure‘ and the consequences of mismanagement of finances. This statement was
compared to a similar statement appearing in interview 5, making reference to ?women
lacking financial skills‘ whilst men as ?accountants‘ were financially astute. Another
problem identified linked to skills incapacity linked to the property, ?lacking decision-
making power‘ associated with the statement ?oppression of women‘ in relation to
gender-based discrimination (category). Other statements linking to this interpretation
were, that, women lacked independent decision-making ability (interview 8) and ?women
not hav[ing]‘ no power to ?challenge or change the situation‘ (interview 12). This linked
to the issue of women‘s underrepresentation in decision-making positions. The skills
gap was also identified in interview 14 linked to a statement explaining that
entrepreneurs were lacking ?business mentors for guidance‘. These statements
confirmed prevailing gender inequalities suggesting implying women‘s economic
marginalisation. The chronological order in which categories, their properties and
dimensions were identified including stand alone concepts appear in Appendix N Table
2: Problems encountered by SMMEs.
By the end of the interviews, the researcher identified the following themes which
emerged from this question (Q15) in relation to: Experiencing difficulty in accessing
funding; local competition; developing staff capacity; lacking self-motivation;
globalisation; Eastern Cape ICT market; technology stereotypes. Related concepts
included: inability to manage finances; lacking business mentors; women cautious in
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taking risk; managing finance; offering a limited range of products or services; lacking
independent decision-making; and lacking business mentors for guidance.
In sum, one of the inhibitory factors that were interpreted by the researcher using
theoretical sensitivity in relation to failed attempts in penetrating the market were linked
to structural issues of local economic development (LED) priorities. In most of the
underserviced and rural areas, local economic development (LED) priorities are placed
on other services such as, access to water, electricity and roads rather than on
telecommunications. Therefore, the role of telecentres and their impact on socio-
economic development may not be appreciated by the community. The lack of adoption
and use of ICT services offered by the centre, albeit the purported claims of
establishing the telecentre for purposes of resuscitating economic activity, promoting
digital literacy and creating jobs within the local community, was interpreted by the
researcher as a possible result of historically embedded structural factors emanating
from previous colonialist perceptions regarding ICT manifested in socio-cultural and
economic norms that continue to perpetuate the digital divide. This interpretation was
linked to perceptions articulated by participants affirming colonialist thinking manifested
in gender-based discrimination inhibiting previously disadvantaged communities from
accessing and/or taking full advantage of ICT in leapfrogging the stages of development
rather than perpetuating the existing digital divide. The researcher made a note to
explore further reasons from the literature review that might explain factors influencing
the disinterest in making use of the telecentre. The lack of investment and involvement
by private sector in the promotion of women-driven entrepreneurship within the sector
was interpreted by the researcher as confirmation of the absence of gender
mainstreaming policies (interview 10) that could enforce investment in women
programmes.
Q16: What in your opinion are the challenges faced by women as
entrepreneurs? Please elaborate.
In interview 1, ineffective marketing (category) was linked to product diversification
decisions (property) influenced by miscalculated marketing decisions which were
associated with local competition (concept) interpreted in the context of a local
competitive marketplace. Product diversification decisions were linked to decisions to
diversify into new segments A and B (dimensions) which explained decisions for
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product diversification. The competitor (category 2) was considered eminent
competition for the new entrant because of the perceived product diversification
advantage (property) associated with having a fair customer share (dimension).
Gender sensitivity (category 3) interpreted and understood in the context of the woman
entrepreneur being aware of existing gender biases, was linked to socio-cultural gender
role expectations (property 1) associated with gender role stereotyping (dimension)
attitudes linked to a perceived value standard regarding it unacceptable for women to
hold business ?meetings‘ with ?strangers‘ ?after hours‘. Gender-based discrimination
(property 2) was associated with ?women-owned businesses‘ not getting access to
business opportunities. This interpretation was associated with concepts suggesting
gender based economic marginalisation (dimension) and partially met SMME woman
entrepreneur‘s expectations (property 3) regarding government taking action
(dimension) in recognising women entrepreneurs as ?business women‘. The concept,
low motivation was identified and associated with verbal and non verbal expressions
interpreted in association to expectations that were partially met (business
opportunities). The concept, local competition was identified and associated with local
market forces influencing competition.
The category, gender sensitivity was theoretically sampled to explore in-depth some of
the categories and properties of statements relating to gender sensitivity to prevent the
researcher from building categories on vague interpretations (Goldkuhl & Cronholm
2003) influenced by own gender biases (feminism orientation). In interview 2 gender
sensitivity was identified as a category and linked to gender stereotyping (property 1)
associated with perceptions held of men as being ?better employers compared to
women‘ (dimension 1); the perception that women were not given the ?credit they
deserve‘ (dimension 2) and were still questioned (sub-dimension) in terms of their ability
to operate at a level same as their counterparts (men). The third dimension linked to
gender stereotypes was apathy. The concept, women developing apathy (dimension 3)
was associated with the statement explaining they ?quickly give up‘ when faced with
challenges. Gender role differences (property 2) were drawn from statements based on
gender stereotypical sex role constraints such as, ?time‘ restrictions (discouraging
women from attending meetings after work) and women ?multi-tasking‘ (balancing work
and family responsibilities). Multi-tasking was associated with societal expectations that
women were better skilled to care of domestic obligations. In interview 3 the concept
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competition was identified as a challenge for the enterprise and was associated with a
combination of statements describing uncompetitive circumstances whereby the
enterprise had to lower their prices in order to be competitive.
In interview 4 gender-based discrimination (category) portrayed by men was identified
as a concern as it resulted in women‘s economic marginalisation (property). Women
were also subjected to men‘s patriarchal attitude linked to the in vivo code, ?males only
club‘ (dimension1) referred to in interview 1 using terms such as ?it‘s a men‘s world‘ and
term ?sexual innuendos (dimension 2) interpreted by the researcher as suggesting
gender based sexual harassment behaviour linked to the statement that men had
?differing moral scales‘ (dimension 3) to women. This explained from the participant‘s
perspective implied immorality in business ethics (sub-dimension) linked to other
descriptive words such as, ?doggy and illegal‘ deals men engage in. The explication of
gender comparisons suggested men were more prone than women to such deals. In
interview 4 gender sensitivity (category) issues emerged again and gender stereotypes
(property) similar to the previous interview (2) were identified. Additional concepts were
added to describe gender stereotypes such as, gender based educational differences
(dimension 1), gender based career choices (dimension 2), socio-cultural gender role
expectations (dimension 3), workplace gender inequalities (dimension 4) linked to
inequalities in earnings between women and men (sub-dimension 1) and maternal
obligations (sub-dimension 2). The researcher determined whether sufficient data
(saturation) supported these interpretations through constant comparison to facilitate an
improved conceptual understanding of the gender sensitivity issues and decided to
explore in-depth some of the categories and properties of statements relating to gender
sensitivity.
In interview 5 a new category, lack of women representation was introduced and was
linked to gender-based career differences brought about by women not taking ICT as a
career choice (dimension). In interview 6 the acknowledgement of women lacking
recognition (category). This acknowledgement linked to the suggestion that gender
disaggregated data (property) needed to be generated through surveys within the ICT
sector. The lack in ?effort‘ by the Women Business Associations in directing attention to
the entrepreneur behind the ICT enterprise (dimension) was raised as a concern. This
concern was linked to a statement suggesting the need to develop a profile of women
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entrepreneurs in the sector (dimension). In interview 7 the concept, women lacking
recognition was raised again but in the context of family and relatives not taking women
entrepreneurs seriously. This statement was considered a variance to previous
interviews (1, 5 and 6) where government and the ICT industry were blamed. Another
perception held by the participant was for women to start recognising and praising
themselves (dimension). This statement was made in acknowledgement of women‘s
ability to balance ?family life‘ and ?business life‘. Barriers confronting women similar to
those expressed in interview 1 and 2 (agenda for ?meetings‘ perceived to be gender
biased) affirmed the concern that networking platforms, were not accommodating
women and the perception that these platforms were a place where doggy business
deals were made and that women were subjected to sexual harassment behaviour.
Similarities were drawn between this interview and interview 1 were concerning
networking platforms not embracing women who needed business-to—business (B2B)
platforms which were perceived as a source of support. The researcher analysed the
concept ?networking‘ in the context of the interpreted meaning and asked the question,
?What action are women taking to have their input or views considered as equals at
such platforms?? The concept, sexual harassment which was kept active an earlier
memo (interview 4) emerged again in interview 8. The notion of men asking for ?sexual
favours‘ in exchange for tenders awarded was linked to an action statement from
previous interview (7) linking ?sexual favours‘ to an action statement, ?It must stop, this
thing of having to give out a percentage of your money to procurement officers in order
to obtain a contract‘. Additional insights on factors influencing the behaviour linked to
gender-based discrimination which guided interpretation in identifying the concept,
?gender based sexual harassment‘ which was subsequently considered saturated.
Other concepts identified demonstrating forms of gender-based discrimination
confronting women were: the exploitation of women through partnership ventures
organised by government; women not benefiting from the BEE score card;
uncompetitive tendering between traditional and new entrants who get inside
information from government officials which results in the economic marginalisation of
women and late payment turnaround which affects their cash flow. In interview 9 the
concept women entrepreneurs taking assertive action (category) was identified and
associated with the statement, women successfully operating their own business
(dimension 1) despite gender stereotypes (dimension 2) that women were not feeling
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intimidated by young men. Similarly, in interview 10, the category gender based
stereotyping emerged and was linked to a stereotypical attitude demonstrated by men
confirming men do expect women to own ICT enterprise (property) and to be in
managerial positions (dimension). This perception was similar to interview 12 and was
linked with the statement, ?women are usually boxed into secretarial responsibilities‘
(sub-dimension) and thus affirming women‘s underrepresentation in decision-making
positions.
Another similarity identified between this interview and interview 8 was the
interpretation of the in vivo code ?bribe‘. The interpretation revealed a pattern
suggesting irregularities in government‘s procumbent processes linked to the
statement, ?If I need funding I have to bribe‘ suggesting a common practice however,
condoned by others as affirmed by the statement, ?it must stop…this thing of having to
give out a percentage of your money to procurement officers in order to obtain a
contract‘. The concept ?bribe‘ was interpreted with the same understanding associated
with the in vivo code, ?corruption‘. The statement, ?it‘s the main problem‘ referring to
corruption witnessed was repeated several times suggesting the magnitude of the
problem.
The challenges in balancing family and work life also emerged as a theme linked to
previous interviews (1, 2, 7 and 9) with in vivo code ?multi-tasking‘, ?mothers‘ ?nurturers‘.
A variance was identified in the interpretation of the in vivo code ?mother‘ associated
with the participants maternal responsibility towards staff (interview 9) and ?colleges‘
(interview 12). In interview 13 the concept, gender stereotyping emerged again
rendering sufficient evidence of examples of stereotype behaviour demonstrated such
as, differences in educational and career occupations based on perceptions about the
ICT environment being a male dominated career path and industry; socio-cultural
gender role expectations that enforce judgemental stereotypes including perpetuating
inequalities based on perceptions that men were better performers, employers than
women. Another emerging theme was ?networking‘ identified in interview 14 but treated
as an evolving concept as it had not reached a point of saturation. The chronological
order in which categories, their properties and dimensions were identified including
stand alone concepts appear in Appendix N Table 3.
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The by the end of the interviews, the researcher identified the following theme of
categories which emerged from this question (Q16): Ineffective marketing; competitor;
women needing action from government; gender sensitivity (women aware of existing
gender biases); gender-based discrimination; women lacking recognition; women
lacking representation; women experiencing difficulty in accessing funding. Concepts
included: competition; women exploited through partnership ventures; late payment
turnaround time; women not benefiting from BEE score card; condemning of bribing by
officials; men asking for sexual favours.
In sum, an observation made was that women-driven entrepreneurial activities were
characterised by socio-cultural, economic, and technological structural barriers that
women entrepreneurs were aware of. However the question remaining in the
researcher‘s was ?Why were these women not taking action? especially being aware of
gender sensitive issues impacting on their enterprises. Another observation was that
women-driven entrepreneurship in the ICT sector was a competitive environment
suggesting women-owned enterprises needed some form buffer in the form of policy or
programme support in order to survive.
Q17: What is your understanding of the term ICT? Please elaborate
This question was asked to interpret an understood meaning from the perspective of
women entrepreneurs on how the concept is defined and understood in the context of
their operating environment. The researcher considered it important for entrepreneurs
to understand definitions (knowing what business the ICT enterprise is in) which are at
the core of business strategies directed by the primary focus of the ICT enterprise‘s
products and services.
In Interview 1 The concept, technology gap was identified that suggested participant‘s
limited understanding of the concept ICT. Skyping was, identified as a concepts from a
combination of related descriptive in vivo codes, describing its functional usage
(electronic means), technology features (voice, text, images), linked to in vivo codes,
?communicate‘, ?overseas‘ and ?instantly‘ which were described in association with
electronically conveyed messages perceived as a convenience by the participant.
Skyping was associated with the C of the acronym ICT. In interview 2 different to
interview 1, the term ICT was interpreted as referring to ?information in the form of raw
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or processed data‘ and communication in new ways using ?gadgets‘. In interview 2 the
concept, ?processed‘ was associated with the IT of the acronym and communication
?gadgets‘ with the C (same as in interview 1) of the acronym ICT. In interview 3 The
participant understood the concept ICT as referring to a means of communication
where communication is used as a tool to ?link up with clients and suppliers‘ and
associated with the C of the acronym ICT. The interpreted description of technology
was insufficient and needed to be explored further. In interview 4 The concept, ICT was
described as having the components communication comprising ?computers‘
(hardware) and radio and cell phones (networks) including the function of processing,
managing, and communicating information. In interview 5, the concept, ICT was
described as comprising of a ?computer infrastructure‘; ?communication networks‘ and
human ?communicating. The elements of the description were associated with the I and
C of the acronym ICT. In interview 6 Similar to the previous interviews, the participant
described the concept ICT as ?a bridge‘ (network) used to communicate within the
business world using ?technology‘. The elements of the description were associated
with the I and C of the acronym ICT. In interview 7 the participant understood the
concept ICT as technology that uses computers (hardware) and the description was
associated with the IT of the acronym ICT. In interview 8 Similar to interview 4 the
participant described the term ICT as a ?combination of computers‘ (networks) used for
?document storage and retrieval of that information‘ interpreted as referring to hardware.
The elements of the description were associated with the IT? and C of the acronym
ICT. In interview 9 the concept was the described similar to the previous interview
associated with the I, T, and C of the acronym ICT. Although the concept ICT had a
variation of descriptions, it was described sufficiently and considered saturated. The
chronological order in which categories, their properties and dimensions were identified
including stand alone concepts appear in Appendix N Table 4
The by the end of the interviews, the researcher identified the following concepts that
emerged from question (Q17) where ICT was perceived in association with: the I and C
of the acronym ICT; the IT and C of the acronym ICT and the C of the acronym ICT.
Descriptions falling under the I and C included: relaying and production of information
through the use of telecommunications. Descriptions falling under the IT and C
included: computers‘ (hardware), used to store and retrieve information facilitated
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through satellite technology. Descriptions falling under the C included: platform that
facilitates the communication of information using the latest technology available.
This question related to the research questions seeking understanding of how women
entrepreneurs conceptualise ICT as a technology.
Q18: In your view what is the role of ICTs in business? Please elaborate.
In interview 1 a number of concepts were identified from statements that were
compared for similarities and variance. The first concept, reduced travel was
associated with in vivo code teleconferencing which was perceived as being a
convenient technology for office meetings. Similarly, the concept, ?improved quality of
work life‘ was linked with the in vivo code, ?making life easier‘ which implied
convenience interpreted from the statement, ?sitting around the table‘ associated with
long distance communication. Internet technology was perceived as a convenient
communication tool for researching information. From a filing point of view technology
was a convenience tool for electronic document storage associated with the statement,
?so that you have something that you can file on record as proof. In interview 2 the
concept, communication tool was interpreted from the perspective of human
communication drawn from in vivo code, ?face-to-face communication‘. In interview 3
similarities were drawn from this interview and previous interviews (1) ICTs were
perceived as a communication tool. This interpretation was associated with the
following in vivo codes ?computer‘, ?fax line‘ and ?telephone‘ used by the participant.
The participant‘s description in interview 4 was more elaborate compared to the
previous interviews adding more functional aspects related to ICTs being the ?back-
bone‘ that ?assists in improving business processes‘, enhancing ?efficiency‘ and
?effectiveness‘ in performance levels. All subsequent interviews had some of the
concepts mentioned in interview 4 except for two additional concepts describing ICTs
as an ?enabler for innovative business processes‘ (interview 14) and ?financial gain‘
(interview 8). The concept of innovative business processes was interpreted in
associated with the idea of one developing innovative products. This was linked to the
in vivo codes, ?hardware‘ and ?software developers‘. The concept, financial gain was
interpreted in the same context of getting better paying jobs. The chronological order
in which categories, their properties and dimensions were identified including stand
alone concepts appear in Appendix N Table 5
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The by the end of the interviews, the researcher identified the following theme of
concepts emerging from this question (Q18): Benefit associated: reduced travel;
improved quality of business life; facilitates improved business processes; increased
productivity; functionality: communication tool; storage tool; research tool; efficiency in
business processes; enabling innovative business processes.
This question related to the research question seeking to understand how women
conceptualise ICT as a technology.
Q19: What problems do SMMEs have with ICTs? Please elaborate.
In interview 1 the category, ?lacking computer literacy‘ was interpreted from an
association of problems associated with barriers (property) linked a dimension of
problems linked to unaffordability linked to entrepreneurs not affording internet
connectivity (associated with financial limitations), lacking computer literacy skills
(associated with the following statements, ?unable to use the tool‘, and the concept,
?access to a computer‘ associated with computer literacy benefits, ?easy‘ work life and
?smooth‘ ?running‘ of operations. The researcher made a note to explore the concept
?access‘. The researcher wanted to understand the context in which the concept
?access‘ was understood. On further probing the concept ?access‘ was linked to
unaffordability and interpreted in association to costly ICT infrastructure. In interview 2
the category, infrastructure costs were linked to property, costly ?software and
infrastructure‘ which required frequent updates (dimension). Similarly, in interview 3
costs related to ?frequent changes in technology‘ linked to statement, ?keeping up with
trends of latest technology‘ and ?inability to train people on a regular basis‘. The lack of
computer literacy skills was a problem identified that related to gender sensitivity issues
raised in interview 5 linked to gender stereotypes (property) associated with women
being ?judged as being incompetent and lacking technical knowledge‘.
The assertive action taken by women in dispelling these stereotypes was confirmed in
this interview. The researcher noted the evolving theme of women taking assertive
action in correcting the stereotypes in subsequent interviews. In interview 6 the
participant acknowledged SMMEs lacked knowledge and training on retail products and
services of the ICT enterprise. Lack of skills was also an evolving theme but the
explanation of the causes of the lack of skills in this environment was not yet sufficiently
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explained to render an in-depth understanding. In interview 7 the lack of training
problems were related back to previous interviews to compare differences but only
similarities were identified linked to the concept, ?self empowerment‘ appearing in
interviews 1, 2, 5 and 12 where the need for entrepreneurs to empower themselves is
expressed. The lack of business skills was also identified as a concern in interview 8
and linked to a claims in interview 13 ?SMMEs are ill-informed about the benefits of
utilising ICT in their enterprises‘ and ?this has kept them in the dark as they are not
aware of the simplified formats offered by ICT to manage some of the sections in the
ICT enterprises‘. The chronological order in which categories, their properties and
dimensions were identified including stand alone concepts appears in Appendix N
Table 6.
The by the end of the interviews, the researcher identified the following themes which
emerged from this question (Q19) which included: Computer literacy lacking;
unaffordability of ICT infrastructure; awareness of gender sensitivity issues; SMMEs
needing competitive advantage over big business and internal barriers (expensive
equipment costs, expensive maintenance costs, licensing of software and external
barriers (stringent government regulations).
This question related to the research question seeking to understand how women
conceptualise ICT as a technology.
Q20: In your own words can you please describe your understanding of the ICT
sector? e.g. how the sector is structured, applicable legislation and policy.
Please elaborate.
This question required of the participant to describe an understood meaning of the ICT
sector. The participant was not clear on the question requiring the researcher to
explain the question further by giving an example of explanatory terms which were
added to the interview guide. This question was one of the questions identified during
the pilot that the researcher made changes to. This question, the researcher hoped,
would shed an interpreted insight from the perspective of women entrepreneurs on how
they understood the technological environment from a business perspective, influenced
by ?broader structural factors? Strauss and Corbin (1990:11) within the ICT sector
having a bearing on the ICT enterprise such as, economic, cultural, social and political
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issues to enhance the researcher‘s theoretical sensitivity in exploring evolving patterns
and variations during interpretation.
In interview 1 the concepts, ?acknowledging an information gap‘ emerged from a close
examination of similarities and differences in statements that revealed an information
gap associated with statements making reference to women lacking information about
the ICT sector. In interview 2 different to interview 1, where an interpreted gap in
information was perceived, this participant had an understanding of the ICT sector in
the terms of the role players, applicable sector policies and those that have a direct
impact on the ICT enterprise. In interview 3, 4, 7 the concept, acknowledging an
information gap was identified as they had no knowledge of about the sector. This left a
question in the researcher‘s mind that was noted to reflect on asking the question, ?Why
do these women entrepreneurs not know anything about the sector? In interview 4 the
participant, similar to interview 2 had an understanding of the ICT sector in relation to
applicable policies within the ICT enterprise‘s industry governing its operational
environment. In interview 8 and 9 participants expressed their limited understanding
about the sector. In interview 6 the participant‘s understanding of the legislative
environment was limited to Black Economic Empowerment (BEE). The descriptions
provided thus far were not sufficient and prompted the researcher to ask the questions,
?What motivated these women entrepreneurs to join the sector?? and ?What distinct
incentives were set aside for women entrepreneurs especially start-up enterprises to
lure women entrepreneurs into the ICT sector?? The researcher made a note to follow
up on these questions with an expert theoretically sampled from the public sector. The
participant (government expert) in interview 10 had extensive knowledge about the ICT
legislative framework and applicable SMME policies. For example, the Eastern Cape
ICT strategy 2014 (property) was described as a policy making provision for SMME but
with limited emphasis on SMMEs women entrepreneurs. This linked to an explanation
that a great deal of the strategy was focused on government mobility in ICTs to
enhance service delivery by automating government systems. The researcher
recorded a note to examine the Eastern Cape ICT strategy 2014 document later
(document analysis phase) to compare statements. The chronological order in which
categories, their properties and dimensions were identified including stand alone
concepts appears in Appendix N Table 7.
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The by the end of the interviews, the researcher identified the following theme emerged
from this question (Q20). Legislative environment: applicable legislation, policies and
the structuring of the ICT sector. The concept: ?information gap‘ was a dominant theme.
This question also related to the research question seeking understanding on how
women entrepreneurs conceptualise the concept ICT as a sector.
Notably the absence of a policy framework contributed in a way in terms of women
entrepreneurs lacking information about the sector. Equally so, the lack of government
support programme in the form of briefing sessions left a gap in information.
Q21: How are women stimulating entrepreneurship in the ICT sector? Please
elaborate.
In interview 1, gender sensitivity (category) was identified from an association of
statements validating women‘s awareness of existing gender biases influencing
women‘s lack of participation within the ICT sector. Gender sensitivity was linked to
gender based career differences (property 1) which were delineated into women careers
(dimension 1) interpreted from an association of in vivo codes explaining careers that
women are penetrating within the ICT sector such as, ?IT technicians‘, ?web design‘ and
?motor mechanics‘ which were interpreted by participants as suggesting women‘s
assertive action in taking up careers in environments previously defined as ?men‘s
world‘. Men careers (dimension 2) were interpreted from an association of in vivo codes
shedding light on their involvement in careers qualifying them to become ?engineers‘ and
?ICT technicians‘. In vivo codes repeatedly used in describing these career
environments included ?it‘s a men‘s world‘ affirming the lack of visibility of women in
such careers. Gender sensitivity also linked to the statement making reference to more
women-owned enterprises mushrooming in the sector implying women were making in-
roads into a ?men‘s world‘. Gender sensitivity was also linked to gender-based
educational differences (property 3) related to an affirmation that women were taking up
science and engineering careers especially in IT. In interview 2 the category, lacking
business knowledge was identified and linked to a statement explaining women‘s failed
attempts and sustainably enterprising in the sector. The claim made by the participant
was that entrepreneurs tended to start off with ambitious business goals (property 1).
This statement drawn from a combination of in vivo codes implying start-up
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entrepreneurs ?start big‘ with ?limited financial resources‘, ?instead of starting of small‘.
These statements were linked to an assertion made about the ICT sector being a ?tough‘
environment to do business in (dimension) and the suggestion that SMMEs need to start
off small projects and then build up as they grow business confidence. This assertion
was linked to a perception that ?women lack motivation to face challenges‘ and in the
event fail. Failure was also linked to a claim that entrepreneurs lack business
knowledge. This statement was interpreted through theoretical sensitivity which implied
the lack of planning skills interpreted from in vivo codes, ?ambitious‘ and ?eager to enter
the sector but failing as they ?lack business skills‘ and market intelligence.
In interview 3 the concept, limited knowledge was identified and associated with the
notion that the ICT sector was perceived to be a ?tough‘ environment to trade in linked
to similar opinion expressed in the previous interview. The statement acknowledging
that other women trading in the ICT sector were unknown to the participant was
affirmation that the sector was still male dominated. This interpretation was linked to
other statements compared such as, ?I only know of a few women trading in the retail
sector‘ linked to ?it‘s a few of us who have been in retail this long as we have been‘ and
?I just know of one business that is the same as mine‘ (interview 7) that were interpreted
by the researcher as suggesting low representation of women in the ICT sector. Linked
to this interpretation was the notion of survival in the sector which linked back to other
statements (interviews 1, 2 and 6) implying women ?do not last very long‘ as ?most of
the black businesses open and do not even last for a year‘.
In interview 4, the concept, women making inroads into a male dominated ICT industry‘
was compared to the statement, ?women do things differently‘ implying being innovative.
The researcher compared the concepts ?male dominated‘ and male‘s only club‘
(mentioned in a response to the previous question) and ?men‘s world‘ mentioned in
interview 1 and identified a relationship suggesting male dominance (property). The
concept ?male dominated‘ also appeared in the previous interview 1, where the concept
was used by participants within a context of networking platforms where it was
explained males dominate these platforms linked to assertions that women were
voiceless. The researcher noticed a theme depicting gender sensitivity issues emerging
from all interviews. In interview 5 planned actions such as, identifying the need for ICT
training and development, motivating candidates to enrol for technical skills and
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awareness about women not being visible in technical environment. These actions
were interpreted as an assertive action taken by the ICT enterprise to address the
shortage of skills in the ICT sector, especially women who were not visible in ?technical‘
environments where the gap was huge. In interview 6 the statement, ?I personally do
not find many women participating in ICTs‘ was linked to statements from previous
interviews (3 and 5). In this interview, the participant shed more insight on areas within
the ICT sector where women were needed most but not visible. This interpretation was
linked to the statement that women need to penetrate areas in ?policy-making‘ where
they can ?recommend and implement solutions to solve [ICT] problems‘. The participant
made a comparison linked to ?sales positions‘ and ?accounts positions‘ where women
were mostly represented as positions lacking influence in decision-making processes.
In interview 7 the notion of self empowerment in relation to the ICT sector was
perceived as a necessary obligation considering that the sector was a difficult
environment to enterprise in. This interpretation was linked and compared to previous
statements affirming existing gender sensitivity issues such as, gender stereotypes,
gender equality and skills development gap. The statement making reference to self
empowerment was supported by the statement ?good knowledge of business orientation
in information technology‘ linked to in vivo codes, ?knowledge of the business‘, ?keep on
upgrading your skill‘, ?equipping yourself with knowledge‘ were used in interview 3, 5
and 6 in associated with the statement, ?not every woman can run a business in this
environment‘. In interview 8 gender stereotypes influencing women‘s participation were
articulated and supported by in vivo codes such as, ?women boxed under
administration‘ positions, ?limited creativity‘ interpreted as implying innovation and lack
of visibility in management‘ decision platforms.
In interview 9 the concept, skills development was highlighted and similarities
(interviews 2, 4, 7 and 8) were identified between statements affirming assertive action
in addressing the issue of skills development. The researcher reflected on a previous
memo asking the question, ?What action are these women entrepreneurs taking in
addressing the identified obstacles hindering them from empowering themselves?? The
concept self empowerment was sufficiently explained as the researcher could make an
interpreted correlation through theoretical sensitivity of a process leading to women
entrepreneurs‘ understanding of their assertive role in taking action to change the
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situation. In interview 10 and 12 the assertive action taken by women in addressing
gender stereotypes and inequalities were also demonstrated in interview 13 where
assertive action was associated with statements suggesting the need to ?exploit talent
and passion as a source of business‘ and in interview 14 where the concept, motivation
was linked to a statement advocating for women to start their own business linked to
the concept, ?self employment‘ (interview 4). A variance was noted from previous
interviews where motivation was directed at motivating people to acquire skill through
education and becoming an employee rather than becoming an entrepreneur ?self
employed‘. At this junction in the analysis, gender based related concepts were all
saturated as all possible explanations rendered an in-depth understanding of the
experiences of women entrepreneurs in relation to gender issues impacting on their ICT
enterprises. The chronological order in which categories, their properties and
dimensions were identified including stand alone concepts that appears in Appendix N
Table 8.
The by the end of the interviews, the researcher identified the following theme of
categories emerging from question (Q21): gender sensitivity; women attempting to
make inroads into sector; developing staff in ICT; women attempting to make inroads
into the sector; gender stereotypes and women taking assertive action.
This question related to the research question seeking an understanding on how
women entrepreneurs conceptualise the ICT sector.
In sum, if the perceived notion of the ICT sector is to promote the participation of women
entrepreneurs in the mainstream economy of the ICT sectors particularly marginalised
areas (underserviced and rural), than the sector should be one in which women
entrepreneurs enterprising in both urban and rural areas, are not barely surviving but
rather building upon a policy foundation that takes gender mainstreaming into account.
Q22: Describe ways in which SMME women entrepreneurs use ICTs as a core
product or service of the ICT enterprise. Please elaborate
In interview 1 ICT usage was identified as a category linked to printing service (property
1) and Internet café services (property 2) which had a variety of services such as, email
service, photocopying, binding, Internet and telephone service used by clients and for
internal administrative purposes. The value chain of services offered indicated the ICT
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enterprise was operating on the low-tech end of the continuum as opposed to the high-
tech end of the continuum in terms of engaging with ICT. Although interview 2, different
to the previous interview offered ICT training, the level of engagement with ICT was still
not considered on the high end. Equally so, interview 3 (retail industry) did not sell
products that were state of the art. The researcher decided to theoretically sample an
ICT enterprise (interview 4) with experience in the ICT sector. The ICT enterprise
operated at the high end of the continuum as it offered a wider scope of services that
were not limited to conventional ICT training (same as in interview 2) but included
engagement with technology on the high-end of the continuum as new training methods
manipulated via new forms of technology.
Similarly, interview 6 was categorised on the high-tech end of the continuum as the ICT
enterprise sold a range of primary sophisticated products in the range of ICT
consumables, pastel software, networking equipment, digital printing, web design
solutions, innovative technical advice and support on office and home office. Another
ICT enterprise that was interfacing with technology on the high-tech end of the
continuum was interview 9 offering a primary service comprising of network
infrastructure solutions, mobile solutions, systems development solutions, a technical
support service, eBook solutions, software and hardware equipment including high-tech
ICT security systems.
The researcher subsequently theoretically sampled an expert (interview 10) in ICT
policy to explore further insights. The participant (government expert) who intimately
knew entrepreneurship developmental issues within the ICT sector affirmed women
entrepreneurs were engaging in high-tech technology in the areas of software
development, systems development, web design, business analyst, intelligence, and
cabling which were described as environments where a lot of innovation was initiated
by women. Research and development and innovative manufacturing of ICT products
were identified from interview 14 as another area where women were engaging with
high-tech manufacturing. In interview 13 the concept, innovation was associated with
innovative ways of doing business using ?online‘ platforms that is, e-commerce.
The researcher reflected on questions raised earlier in a recorded memo from interview
1 to reflect on the concept innovation where the questions, ?How are women
entrepreneurs being innovative in their business world?? and if they were, ?What
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inventions had they produced?? This iterative process of constant comparison to seek
understanding in the construction of interrelationships was typical of Grounded Theory
analytical procedures (Strauss & Corbin 1998:123). Answers to these questions were
answered in interview 14 and thus confirming saturation of the concept innovation
derived from further evidence deduced from the statement, ?we have produced a tablet
and PC powered by solar‘ which was marketed globally.
The need for women to engage at a higher level with ICTs was articulated in interview
12 where gender-based career differences were identified as a contributor in slowing
down the advancement of women in the technical, engineering and decision-making
positions within the sector. These actions taken by women were affirmed by participants
in interviews 4, 5, 8 and 10 who were taking assertive action in addressing gender
stereotypical orientations influencing the progression of women within the sector. The
chronological order in which categories, their properties and dimensions were identified
including stand alone concepts appears in Appendix N Table 9.
The by the end of the interviews, the researcher identified the following themes which
emerged from question (Q22) which included services and products. Services: printing,
ICT training, Internet café, administration, consulting, postal service, and systems
development solutions. Products: retail products such as ICT consumables, brochures,
electronic equipment, eBooks, and ICT security systems; as well as manufacturing of
ICT products such as film production, network infrastructure, mobile solutions, and
engineering.
This question related to the research question seeking understanding on how women
entrepreneurs employ ICT as a core product and service of the ICT enterprise. In sum,
what was encouraging to note was that these enterprises were surviving in the sector
and willing to effect change to improve the women-driven entrepreneurial processes.
The absence of a policy framework is the missing element to offset some of the
structural barriers i.e. advocacy interventions addressing the unavailability of ICT
infrastructure especially in semi-urban and rural areas.
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Q23:
Describe the enterprise’s value chain of business processes? e.g. which relate
directly to the delivery of the enterprise’s core products or service? Please
elaborate.
In interview 1 the ICT enterprise‘s value chain processes (category) were linked to
printing processes (property 1) linked to the following sub processes, laminating
(dimension 1) and binding (dimension 2). Another process identified was concept
development (property 2) and the Internet (dimension) which was a sub process; the
third process creative design (property 3) linked to the following sub processes, editing
(dimension 1) email (dimension 2) and outsourcing (dimension 4). Outsourcing
decision processes linked to the sub processes, printing (dimension 1) and creative
skills (dimension 2). The last process communication service (property 5) linked to the
following sub processes, internet (dimension 1), editing (dimension 1), email (dimension
2), typing (dimension 3). Interview 2 processes included marketing (property 1) the
following sub processes, design (dimension 1), developing posters (dimension 2) and
distributing posters to existing and potential clients (dimension 3). The second process
aftersales (property 2) linked to the following sub processes, database management
(dimension 1), sending email and SMS (sub dimension 1), telephoning clients (sub-
dimension 2). The third process content development (property 3) linked to the
following sub processes, training manuals (dimension 1) and printing manuals
(dimension 2). The last process, financial management (property 4) liked to the
following sub processes, purchasing equipment (dimension 1), software and hardware
(sub-dimension 1), invoicing (dimension 2) and generating and printing certificates
(dimension 3).
In interview 3, processes comprised of, retail processes (property 1) linked to sales
(dimension) and marketing and advertising (property 2) linked to advertising through
posters (dimension). In interview 5, the processes comprised of, administration
processes (property 1) linked to sub processes, registering the businesses (dimension
1) linked to compliance issues (sub-dimension), procedures for developing content for
the curriculum (dimension 2) and submitting documentation for accreditation (dimension
3). The second process was marketing linked to word of mouth advertising (dimension
1) linked to brochures, banners, and pamphlets (dimension 2) and newspaper adverts
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(dimension 3). In interview 6 the processes comprised of, market research (property)
linked to sub processes, word of mouth (dimension 1), radio advertising (dimension 2),
mail marketing (dimension 3) Internet (dimension 4), building up a customer base
(dimension 5). The second process, maintenance (property 2) linked to sub processes,
ICT equipment and tools (dimension 1), staff training (dimension 2). The third process
procurement (property 3) linked to the following sub process, stores (dimension).
Interview 7 had postal services (property) linked to sub process, information distribution
and packaging (dimension). Interview 8 had the same processes as those described in
interview 2 because both ICT enterprises were training providers. However, the
variance was with the scope of services offered that did not include retail services.
Similarities were identified between interviews 2, 3, 6, and interview 9 where a retail
service was offered (sales) including marketing research mentioned which was not
mentioned in interview 9 where processes were focused internally (inward-out
approach) in building the capabilities and strengths of the ICT enterprise compared to
the others whose processes were more focused externally (outward-in approach)
focused on providing high calibre customer value associated with the notion of
marketing research.
A similarity was also drawn between interview 11 and the previous interview that had
internally focused processes. For example, there was reliance on walk-in (inward-out
approach) clients suggesting reliance on the strengths of the product sold and reliance
on word-of-mouth advertising (similar to interview 1) albeit knowing about the stiff
competition facing them, advertising remained their weakest point. Interview 12 had
process that included radio programming (property 1) linked to sub processes, informed
by customer feedback (dimension 1), informed by the mandate of the board and
committees (dimension 2). The second process, committee functions (property 2) was
linked to the following sub processes, market our programmes (dimension 1) address
technical issues that have to do with signal distribution (dimension 2), develop program
content (dimension3) linked to disability issues (sub-dimension), advertising (dimension
4) linked to media buying (sub dimension) and issuing of quotations and invoices
(dimension 5). Interview 13 different to the previous interviews had processes which
included, documentary production (property 1) linked to sub processes, drafting of
proposals (dimension 1), and pre-production (dimension 2), linked to planning (sub-
dimension 1), researching (sub-dimension2) and drafting of the script (sub-dimension
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3). The second process was production (property 2) linked to sub processes, film or re-
enact scenes (dimension 1), editing of raw footage (dimension 2) and producing the
final product (dimension 3). The third process, web designing and hosting (property 3)
was linked to sub processes, generating the content (dimension 1) and creating and
activating pages (dimension 2). Interview 14 was an affirmation to a statement made
in interview 10 that SMMEs needed to develop research and development capacity
linked to the inability to produce innovative products. The processes of the ICT
enterprises included, research and development (property) linked to sub processes,
new design processes, (dimension 1), production (dimension 2), manufacturing quality
control (dimension 3) and packaging (dimension 4). The second process was
marketing and promotion (property 2) which was linked to the sub process, distribution
of the product (dimension).
The researcher observed from the participant‘s explanations that marketing was a
critical aspect of their end-value chain which determined their competitiveness in the
global market. This interpretation was deduced from the statement, ?we have to get the
product out there before competition does‘. The chronological order in which
categories, their properties and dimensions were identified including standalone
concepts appear in Appendix N Table 10.
The by the end of the interviews, the researcher identified the following theme of
concepts which emerged from question (Q23): ICT enterprise value chain processes
which included administrative functionalities, resource management systems,
communication functionality, database management functionality, sourcing systems to
mention a few. The value chain of processes were all ICT enabled and thus meeting
the definition of an ICT enterprise.
Q24: How often does the enterprise introduce new products or services and what
informs the decision to do so? Please elaborate
In interview 1, the category, market driven decision-making was identified informed by
the emergence of an opportune gap in the market (property 1). Funding limitations
(dimension) were identified as a barrier impeding women from taking full advantage of
arising opportunities. Market driven decision-making was also interpreted in the context
of addressing clientele needs (property 2) in terms of product line diversification
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(dimension). The concept, yearly upgrades was linked to funding limitations,
determining purchasing decisions. Similarly, in interview 2, decision making was driven
by the market. However, different to the previous interview (relying on walk-in
customers), these decisions were informed by market research (property) conducted by
way of reading industry ?magazines‘ (dimension 1), conducting ?competitor benchmarks
(dimension2) and through customer feedback (dimension 3). Similarly, upgrades on
products were done yearly. The in vivo code, ?trends‘ used in interview 3, was
interpreted in the same context whereby market research (interview 2) informs these
decisions. This interpretation was linked to the statements making reference to getting
latest trends from ?suppliers‘, ?customers‘ and ?students‘. Subsequent interviews (4, 5, 6,
7 and 8) also made decisions informed by the market. The motivation for yearly
upgrades were linked to in vivo codes such as, ?obsolete‘, ?keeping abreast with
technology‘, ?technology changes quickly‘ and ?frequent technology changes‘.
Obtaining feedback from ?customers‘ or ?listeners‘ emerged from all interviews as a
common factor in ensuring customer needs were met. These interpretations suggested
customers were involved in informing decision-making. Interview 9 was an exception in
that decision making was informed by a shift in [ICT enterprise‘s] internal strategic focus
(category). The internal strategic focus was influenced by the market segmentation
strategy (property) which focused on particular segments to introduce products
(dimension). Another aim of the internal strategic focus was explained as a strategy to
create strategic partnership ventures (property 2) within the mobile industry. The
concept, innovation appearing from previous interviews was interpreted in relation to
the concept ?market segmentation strategy‘ where different products where targeted for
different markets by the enterprise. This strategy was linked to in vivo codes suggesting
a focused plan of action aimed at being ?competitive‘ and offering ?something different‘
but ?relevant‘ to customers. The chronological order in which categories, their properties
and dimensions were identified including stand alone concepts appears in Appendix N
Table 11.
The by the end of the interviews, the researcher identified the following theme of
categories which emerged from question (Q24) describing factors influencing decision-
making concerning the introduction of new products in the marketplace: market driven
decision-making; technology driven changes; shift in internal strategic focus; and
market research decision-making.
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Q25: What is government currently doing to promote ICT women-driven
entrepreneurship development? e.g. structured and unstructured support
programmes and initiatives. Please elaborate.
In interview 1 the participant acknowledged an information gap (category) which was
associated with barriers limiting access to formal channels of communication usually
used as a source for business related information. Access to information was limited to,
secondary sources of information (property). The property was associated with the
statement made by the participant affirming not having ?full information‘ about
government programmes. The researcher reflected on responses (notable the reasons
for the information gap on the ICT sector) from previous interviews which also affirmed
an existing gap in information and suggested action that participants expected
government to take such as, providing information sharing platforms where the agenda
of the session would centre on women issues only).
The consequences of an absence of readily accessible information was a contributing
factor in women developing entrepreneurial apathy causing them to be despondent in
following up on information and subsequently missing out on business opportunities
that men were taking advantage of and using B2B networking platforms to disseminate
business related information. The concept apathy was derived from a combination of
statements compared and contrasted implying reduced levels of trust between SMMEs
and government. For example, the statement (interview 7) ?I have lost trust and faith
[government]. Especially as a white woman‘ was interpreted with clarification from the
participant through member checking as implying economic marginalisation. This
interpretation was further associated with the statement ?rather than using money that
we give each other‘ uttered in interview 1, was interpreted from the perspective of the
participant as implying unethical business conduct and an affirmation of women‘s desire
to have inclusive B2B platforms where they too can get access to business related
information. The researcher applied theoretical sensitivity in further interpreting the use
of the in vivo codes, losing ?trust‘ and ?faith‘ in government, ?especially as a white
woman‘, was linked to the participant‘s affirmation statement that ?there is so much
corruption in government‘.
A variance ?clean money‘ (interview 1) was also identified in relation to the in vivo code
?corruption‘. ?Clean money‘ was used with reference to B2B networking platforms which
185
the participant envisaged should be a platform where businesses give each other
?support‘ and ?clean money‘, insinuating ethical business conduct. On the contrary, in
relation to a perceived claim that networking platforms marginalised women
entrepreneurs, on the contrary, in interview 9 there was confirmation of the inclusion of
women in business networking platforms such as the ICT provincial networking council
(comprising of captains from different industries within the ICT sector) where women
entrepreneurs‘ input was recognised. The researcher conducted an analytical
comparison between this interview and interview 1 and 2 in terms of the participants
levels of business confidence at networking platforms and discovered interpreting from
a combination of statement that other women did not feel intimidated by men at such
platforms. The following statement was but one that affirmed this ?I deal a lot with these
ICT heads‘ which was different to a statement from the previous interview (2) asserting
women entrepreneurs were voiceless in networking platforms. This raised questions
from the researcher who sought to understand the kind of demographics or
psychographics that should be reflective of women entrepreneurs trading in the ICT
sector. These questions confirmed the research gap that linked to the previous
interview where the need for sex disaggregated data was identified. The researcher
was of the view that these women should have certain characteristics unique to the ICT
sector empowering them to deal with gender sensitive issues as gender insensitivity
practices were identified in association with concepts implying information was readily
accessible to men than to women. This interpretation was derived from the following in
vivo codes, ?benefiting males‘ and ?attendance dominantly male‘ at ?networking‘
platforms. The acknowledgment of an information gap was also affirmed in subsequent
interviews (3, 4, 5, 6, 7, 8 and 9) supported by gender stereotype statements such as,
?networking platforms inaccessible to women‘, ?limited formal sources of information‘. At
this juncture in the analysis, the concept networking was sufficiently articulated by
participants rendering an in-depth understanding on how it happens and why including
proposed action that has to be taken. Interviews 10, 13 and 14 were the only
exceptions affirming support given to women. This affirmation was linked to the BEE
preferential procurement scoring point system (interview 10) considered as an
intervention giving women an advantage over men. In interview 13 and 14 participants
acknowledged support that women were getting in terms of accessing through ICT hubs
that were providing support such as, mentorship programmes, coaching, financial
assistance and access to ICT infrastructure. The researcher noted a memo to reflect
186
on the statements suggesting expectations from government wondering ?What
expectations were created by government with regard to Black Economic
Empowerment?? and ?Why it was difficult to access tenders when there is legislation in
place favouring women, whose development is prioritised on the development agenda
of government?? The chronological order in which categories, their properties and
dimensions were identified including stand alone concepts appears in Appendix N
Table 12.
Q26: What more should government do? Please elaborate.
There were expectations from participants (interview 1, 8, 9, 10 and 11) for government
to take action by paying attention to women issues. Statements relating to this
included, creating venture partnerships ?linking women with relevant companies‘,
government playing a mentorship role in the sector, ?making available funding‘,
?addressing gender based inequalities in the sector, ?providing training‘, ?funding the
established of ICT centres in rural areas‘, resuscitating economic activity in rural areas,
providing ?rental subsidy for office space occupied by small business‘. The concept
mentorship was saturated in this interview as the concept rendered a sufficient
understanding in terms of what mentorship programmes were that were envisaged for
the empowerment of women. The chronological order in which categories, their
properties and dimensions were identified including standalone concepts appear in
Appendix N Table 13.
The by the end of the interviews, the researcher identified the following themes
emerging from question (Q26) which highlighted the following action categories:
organise road shows; funding processes not fair to SMMEs; women entrepreneurs
needing action from government and addressing gender-based inequalities.
187
Q27: What is the private sector doing to promote ICT women-driven
entrepreneurship development? For example, structured and unstructured
support programmes and initiatives implemented?
All participants acknowledged an information gap that was identified as a concept which
providing limited insight. For example, there was only one participant (interview 5)
acknowledged getting a grant from a private company as start-up capital. The
participant from interview 10 acknowledged private sector‘s involvement in sponsoring
only ICT sector recognition awards for ?women in ICT and ?women of the year award‘,
an indication that not much was known in terms of private sectors involvement and
initiatives supporting entrepreneurship development especially that directed at women.
The researcher at this juncture of analysis decided to reflect back on the research
interest where women entrepreneurs are encouraged to penetrate the sector but no
information and support is forth coming in especially in view of commitments made in
policy documents. This research question seeking to understand how women
entrepreneurs perceived the role of private sector in supporting the advancement of
SMME women-driven entrepreneurship in the ICT sector of the Eastern Cape Province
could not be saturated as gaps of information were still missing. The researcher made
a note and left this question for interpretation later (document analysis phase where
existing literature would be perused). The chronological order in which categories, their
properties and dimensions were identified including standalone concepts appear in
Appendix N Table 14.
The by the end of the interviews, the researcher had identified only one theme:
Acknowledging an information gap.
In sum, the lack of private sector‘s involvement in the province‘s development agenda
of the ICT sector of the province can be regarded as a missed opportunity. This is in
the light of the much talked about media and policy statements referring to joint
partnership collaborations as a workable solution in promoting SMME driven
entrepreneurship in the province.
Q28: What more should the private sector do?
In interview 1 the concept, give support by sponsoring ?networking platforms‘ was
interpreted in association with an identified need for businesses to give support to each
188
other. This interpretation was drawn from the in vivo codes, ?give‘, ?grow‘ and ?support‘.
Another suggestion from interview 2 and 9 was that private sector should be
encouraged to ?support local companies‘. This suggestion was associated with the
expectation that private companies ?avail business opportunities‘ and access to their
?webpages‘ advertising available business opportunities. Interviews 4, 5, 10 and 12
wanted support in the form of ICT training (formal and informal). The chronological
order in which categories, their properties and dimensions were identified including
standalone concepts appear in Appendix N Table 15.
The by the end of the interviews, the researcher identified the following theme of
concepts which emerged from question (Q27): Private sector should be encouraged to
use women-owned enterprises; conduct ICT road shows; conduct training for SMMEs
and being a source of mentorship for start-up women entrepreneurs.
5.5.2 CONCEPTUAL REFINEMENT
In this study, the researcher ?actively? (Goldkuhl & Cronholm 2010) worked with and
clarified statements by applying different questions to derive meaning from the
categories and concepts identified. The researcher critically and constructively
reflected on seven categories and subcategories (empirical statements and variations in
statements) developed, including six concepts identified earlier that were conceptually
refined ontologically and linguistically challenged.
The researcher decided to complement Goldkuhl and Cronholm‘s questioning
technique with Scott and Howell‘s (2008) questioning technique (cf. .Appendix O) used
in their conditional relationship guide (facilitating the move from open coding to axial
coding) to link categories more clearly to data from which patterns of action and
conditions emerged.
The advantage in combining the two techniques was that Goldkuhl and Cronholm
(2010) place emphasis on the critical analysis of emergent concepts as they usually
carry depth in meaning. On the other hand, Scott and Howell (2008:6) use questions
such as: What is the category, when does the category occur, where does the category
occur, why does the category occur, how does the category occur, and what
consequence does the category represent? Akin to Strauss and Corbin‘s (1998:127),
189
the investigative questions of who, when, where, why, how, and with what
consequences relate structure to process.
Answering these questions assembled the loose array of concepts and categories
labelled and sorted in the inductive coding stage into a coherent pattern that enabled
the researcher to stay close to participant‘s meanings of articulating factors that
influenced the processes of women-driven entrepreneurship, including understanding
how women entrepreneurs were ?making sense? (Weick 1995) of this ?constructed
reality? (Walsham 1993; Guba & Lincoln, 1994).
The researcher observed from employing Scott and Howell‘s (2008) conditional
relationship guide that during the transition towards axial coding, the coding boundaries
were ?artificial? as Corbin and Strauss‘s (2008:198) attest. There was no distinction
between inductive coding and pattern coding. The researcher had to revert to inductive
coding to expand the codes and had to return to rework the categories with the purpose
of renaming them. For illustrative purposes, the following primary ontological category
of the 33 identified categories were analysed and one of the 11 concepts. The rest of
the categories are reflected in Appendix 0)
Gender sensitivity
According to the conditional relationship guide, the ?What is it?? question, for example,
was asked for the category gender sensitivity (Table 5.13 Abstract A). In answering this
question, the researcher paraphrased the participants‘ collective descriptive phrases
(derived from properties) that seemed to capture the collective intent of what all
participants were saying. In some instances, in vivo codes used by specific participants
were included in order to avoid researcher bias. The other reason was to
accommodate the blending of researcher‘s meaning with that of the participants.
Gender sensitivity was interpreted from the perspective of the SMME women
entrepreneurs‘ as an acknowledgment of gender biases and problems interpreted from
the following properties: i) socio-cultural gender role expectations; ii) gender-based
career differences; iii) gender stereotyping; iv) gender-based discrimination; gender
based inequality in the workplace; v) gender-based educational differences; partially
met SMME woman entrepreneurs‘ expectations; vi) women‘s management style; vii)
women have no decision-making power; and viii) women entrepreneurs taking assertive
action.
190
Table 5.13 Abstract A: Conceptual refinement: gender sensitivity
Ontological
Category
Properties What When Where Why How Consequence
Gender sensitivity Socio-cultural gender
role expectations
Societal expectations
that view women
entrepreneurs different
to their male
counterparts
Women
entrepreneurs have to
market the ICT
enterprise
Restaurants after
hours
? Women not expected to
hold business meetings
after hours (night)
? Women‘s role viewed to
be more domesticated,
attending to family after
hours
Women being judged
against cultural norms,
?improper‘ behaviour
Women entrepreneurs
are balancing work and
domestic
responsibilities, men
have fewer domestic
responsibilities
Experiencing challenges in
marketing and growing the
business
Women unable to market
their businesses after
hours through business
relationships
Networking
platforms
Networking platforms
friendlier to men than to
women
If you are a women,
sexual favours would
likely be expected
Experiencing challenges in
building business
relationships, ?networking‘,
perceptions that it‘s a
?men‘s world‘
Gender-based
discrimination
Gender-based
economic
marginalisation
Seeking financial
assistance ?loans‘
?Banks‘ Discriminated against by
virtue of being a woman
Denied access to
finance
? Have limited operating
capital – low profits
? ?black businesses‘
struggle and close down
? Cash flow problems
seen as a risk by banks
No ?collateral‘ security SMMEs in urban
and rural areas
Poor credit history or no
?financial record‘,
Do not earn a regular salary
Loans inaccessible
SMMEs neither know where,
nor how to access funding.
Information not readily
available
Develop apathy
Access business
opportunities
Government and
private sector
Bias in tender adjudication
processes
BEE scoring point
system is not benefiting
women as it intends to
(due to lack of
transparency)
? Women entrepreneurs
shy away from pursuing
tender opportunities
? Playing field is not level
191
i. The ?What? reflected in the third column of the table above sought an answer to
the question, ?What is [the category]?? meaning ?what is gender sensitivity?? was
responded to by first understanding the property, ?socio-cultural gender role
expectations? that provided context in defining the ?What?, i.e. societal
expectations that view women entrepreneurs different to men.
ii. The ?When? sought an answer to the question, ?When does [the category] occur??
meaning ?When do these societal expectation occur?? The answer was facilitated
by using the word ?during? when ?marketing the ICT enterprise?.
iii. The ?Where? sought an answer to the question, ?Where does [the category]
occur?? The answer was facilitated by using the word ?in?. For example, the
participant‘s response to the first ?where? was in restaurants after hours. In the
second ?where?, on networking platforms.
iv. The ?Why? sought an answer to the question, ?Why does [the category] occur??
The answer was facilitated by using the word ?because?. For example, the
participant‘s response in explaining societal expectations with regard to marketing
in restaurants was women were not expected to hold business meetings after
hours (at night) in restaurants. In the second instance, the explanation in relation
to marketing on networking platforms was that women‘s role was viewed to be
more domesticated and, therefore, they were expected to attend to family after
hours. In the third instance, networking platforms were perceived to be friendlier
to men than to women.
v. The ?How? sought an answer to the question, ?How does [the category] occur??
The answer was facilitated by using the word ?by?. This question identified actions
and interactions between the category and property by providing insight in terms
of understanding the consequences. The participant, for example, explained that
women were being judged according to cultural norms that regarded it ?improper‘
for them to hold business meetings after hours. Secondly, women were balancing
work and domestic responsibilities, since men had less domestic responsibilities
and lastly, ?if you are a woman sexual favours [were] expected‘.
vi. The consequence sought an answer to the sixth question, ?With what
consequences does [the category] occur?? or how it was understood. The
consequence of being judged according cultural norms resulted in women
experiencing challenges in respect of marketing the business and growing the
business. Secondly, the consequence of women balancing work and domestic
192
responsibilities resulted in women being unable to market their businesses after
hours through business networking relationships and lastly, the consequence of
sexual favours resulted in women experiencing challenges in building business
relationships by ?networking‘ with peers.
Corruption
The following Table 5.14 Abstract B exemplifies the conceptual refinement of one of the
11 concepts ?corruption‘ reflected in the same procedure of questioning was applied as
in the above example.
193
Table 5.14 Abstract B: Conceptual refinement: corruption
Concept
What When Where Why How Consequence
Corruption Bribing tendencies of
government officials
Awarding of funds SMMEs Get money in exchange
for granting funds
Ask for money Women subjected to
sexual harassment
Women economically
marginalised
Irregular tender
practices
SMMEs have
government connections
Loose ?trust‘ and ?faith‘ in
government
SMMEs
Inaccessible tenders Corrupt tendencies of
government officials
Women do not have
trust government
?I have lost faith,
especially as a white
woman‘
Funding processes not fair
to SMMEs
Adjudication of tenders Government Officials ask for money in
exchange for awarding
tenders
?To get funding,
SMMEs must know
someone from inside
or belong to a ?certain
network group‘
SMMEs are
marginalised
?Dole out a percentage of
your money‘
Seek funding Government
procurement
officers
Stop the ?corruption‘ Monitor and evaluate
procurement
Exhaust SMMEs
?financially‘
Business is awarded on a
friend-to-friend basis
Private sector
procurement
officers
National companies
engage local
companies that they
have longstanding
contracts with
Local companies miss
out on business
opportunities
Men ask for sexual favours
Sexual innuendos
Adjudication of tenders Government Officials ask for sexual
favours in exchange for
awarding tenders
Business proposals
that have a
precondition that
business will be
awarded in exchange
for a personal
relationships
SMMEs are
marginalised
Bribing tendencies by
government officials
Awarding of funds SMMEs To get money in
exchange for granting
funds
?Asking for money‘
Women
subjected to
sexual
harassment
Women
economically
marginalised
194
During the process of refinement, some categories (statements) the researcher
observed appeared a few times in response to the ?consequence‘ questions and
provided substance to explaining interrelationships with other categories. During
refinement, some categories were rejected whilst some developed into broader
themes and during the subsequent stages of analysis. The elimination was aided by
the coding hierarchy that necessitated the renaming of some concepts (words) into
more analytical substantive concepts to ensure congruence in the analysis.
This critical reflection on statements underpinned quality assurance in order to start
building categories on explicit rather than vague formulations (Goldkhul & Cronholm
2012:194).
5.5.3 PATTERN CODING
In this study, the researcher‘s interest, at that level of analysis, focused more on
conceptualising the emerging pattern of statements by participants who explained
their perceptions and experiences of SMME women-driven entrepreneurship
processes. Statements were reformulated. Gender sensitivity for example, was
changed to women experiencing forms of gender-based discrimination subsequent
to the inductive coding (open coding) analytical phase. Meaningful connections
between the categories of statements were – through constant comparisons (Strauss
& Corbin, 1998: 67) – formed to build categorical structures (Axelsson & Goldkuhl
2004), i.e. critical category determination (Appendix P). During the process, the
researcher recorded theoretical propositions in memos that diagrammatically
illustrated how the substantive statements were associated whilst critically reflecting
on previous notes made to obtain multiple points of view with the aim of comparing
emerging interpretations.
The question: ?Under what conditions are women experiencing forms of
discrimination?? for example, was asked when the conditions were considered and in
relation to consequences, the question: ?What happens as a result of such
discriminatory behaviour?? was asked. The coding paradigm stimulated thinking
about how women entrepreneurs conceptualised discrimination. The conditions and
context of discriminatory situations and strategies that women entrepreneurs
195
experienced included consequences of discrimination. These consequences were
taken into consideration irrespective of whether they were positive or negative.
The coding paradigm was used as a guide to integrate structure (conditional context
of discrimination) with process (sequences of response action / interaction over a
period time). Integrating structure with process was a necessary procedure, since
that contributed towards developing the substantive theory (Strauss & Corbin, 1998).
Theoretically defining each category and making theoretical statements facilitated
the identification of relationships among categories, as well as relating structure with
its corresponding process. Strauss and Corbin (1998:168) outline types of questions
to ask while analysing data for process, such as: ?What conditions combine to create
the context in which the action or interaction is located??
Paying attention to participants‘ use of language was also a valuable analytical tool
employed during inductive and pattern coding to develop categories. For example,
the metaphor ?destabilising the market‘ was used to describe the participants‘
experience in relation to ?black SMMEs within the context of the category the
?Eastern Cape Market‘ that practised uncompetitive pricing which was a condition for
the marginalisation of women entrepreneurs in the awarding of tenders. The
metaphor ?destabilising the market‘ depicted how the women entrepreneurs
organised and conveyed meaning from own experience of submitting tenders for
government work (Coffey & Atkinson 1996). The metaphor also stimulated
theoretical ideas and analytical thinking that the researcher related to the category
experiencing gender-based discrimination. The metaphor was subsequently linked
to a variation of the subcategory ?acknowledging gender equity‘ referring to the BEE
scorecard point system which was developed to enable women entrepreneurs to
access government tenders and also linked to the subcategory ?irregularities in
tender practices‘. The consequence of this described the nature of ?corruption‘ in the
awarding of tenders by government procurement officers. Other metaphors
repeatedly used were ?it‘s a men‘s club‘, ?boys club‘ and ?men‘s game‘ which
stimulated analytical thinking that the researcher related to a range of statements
explaining how women were facing economic marginalisation on the basis of gender
discrimination.
196
The use of diagrams (cf. Figure 5.9) facilitated theoretical conceptualisation around
an emerging pattern of actions that revealed a deeper understanding of the different
forms of gender-based discrimination that women entrepreneurs were experiencing
and how they were responding to it.
In accordance with the epistemology underpinning the study, women entrepreneurs‘
worldview of the ICT sector and their lived entrepreneurial experiences and
consequent action taken by them as a result of the prevailing conditions were
interpreted by the researcher through a symbolic interactionism lens (Chenitz &
Swanson 1986) that facilitated a co-constructed meaningful account. The researcher
had the ?opportunity to examine continuous processes [entrepreneurial activity] in
context [socio-economic and political] in order to draw out the significance of various
levels of analysis and thereby revealing the multiple sources of loops of causation
and connectivity so crucial to identifying and explaining patterns [gender-based
discrimination] in the process of change? (Pettigrew 1989:14). In the case of SMME
women-driven entrepreneurship, those processes were transformative.
The researcher determined whether sufficient data existed (theoretical saturation) to
support those interpretations and by so doing provided an improved holistic
conceptual understanding constructed from several perspectives that represented
different points of view which the women entrepreneurs expressed. That
understanding clarified the concerns and factors in terms of their experience of
gender-based discrimination. Furthermore, the alignment of research questions with
empirical substantive categories enhanced the rigor of the analytical process. The
analytical process of comparing different snippets of data for similarities and
differences confirmed to a large degree that open (inductive) and axial coding
(pattern) were not discrete phases (Corbin & Strauss 1990:81).
The following table (5.16) exemplifies the conceptualisation of action patterns of
statements in terms of the conditions, enablers, obstacles, actions, strategies, as
well as consequences. Detailed lists of categories are listed in Appendix P). A
graphical conceptualisation is depicted in Figure 5.13 below.
197
Table 5.15: First illustration of building categorical structures
Category Conditions Action / strategies Consequence (outcome)
1. Women experience forms of
discrimination
What gives rise to discrimination?
Circumstance / situation
? Actions that allow it to occur
? Strategic response to issue / problem
Outcome of actions / interaction
? Socio-cultural gender role expectations
conflict with women‘s entrepreneurial role
? Occupational differences
? ICT sector predominantly a male career
environment
? Society judges women holding
business meetings after hours
? Men orchestrate women from
networking platforms
? Limit women‘s career advancement
? Women take action through self-
empowerment
? Women do not have decision-making
power
? ICT understood as a combination of
network, computers (hardware) used
for ?relaying‘, ?communicating‘
information, storage of documents,
retrieving information easily
? Understand the significant role of ICT in
business
? Enforce gender stereotypes
? Women are economically marginalised
? Increase levels of underrepresentation
of women in key ICT positions
? Increase over-representation of women
in non-professional ICT occupations
? Penetrate ?technical‘ careers previously
dominated by men
? Inability to contribute to decisions that
concern operations of the organisation
? Become more assertive in stamping out
gender-based stereotyping ?it‘s a men‘s
club‘, ?boys club‘, ?men‘s game‘
? Not recognised in the industry as
?business owners‘ and equals to male
entrepreneurs
? Men undermine women‘s ability to run
ICT enterprises
? The EC Province lacks sex-
disaggregated statistics of the ICT
sector
? Marginalise women in the ICT sector
? Women‘s contribution in the ICT sector
goes unrecognised despite weathering
the challenges
? Experience gender-based inequality in the
workplace
? Women identify the lack of knowledge
about the ICT sector
? Gender differentials in earnings
? Inequalities in accessing career
advancement opportunities
? Gender differentials in earnings
? Take assertive action in upgrading their
ICT knowledge and skills
? Unacceptability of women as equal
working partners and their abilities are
questioned
? Women educationally underqualified in
comparison with men, hence their
earnings are less.
? Economic marginalisation.
? Women entrepreneurs shy away from
pursuing tender opportunities
? Experience educational differences ? Government officials ask for money and
sexual favours in exchange for
awarding tenders
198
Category Conditions Action / strategies Consequence (outcome)
? Are exposed to gender-based sexual
harassment
? Subjected to unwelcoming ?sexual
innuendos‘ from men in networking
platforms
? Widening inequalities in accessing
information that could enable women to
benefit from available resources and
economic opportunities
Figure 5.13: Depiction of the graphical conceptualisation of action patterns of statements in terms of the conditions, enablers,
obstacles, actions, strategies, as well as consequences.
199
Figure 5.13: Second illustration of building categorical structure
200
5.6 APPLICATION: PHASE TWO: EXPLICIT GROUNDING – DEDUCTIVE DRIVEN
ANALYSIS
5.6.1 Theoretical matching
The evolving theory was further integrated by contrasting it with the Eastern Cape ICT
strategy and the ICT Sector Code for BEE while looking for statements / provisions
referred to women entrepreneurs and the promotion of women-driven entrepreneurship
in the ICT sector. The researcher also checked for coherence between the policy, the
interview statements, and existing theories by establishing how similar or different
policy statements were in order to achieve addressing comprehensive grasp of the
responses to the research questions. The same coding procedures were followed
during the inductive phase. Theoretical sampling continued and only stopped when
data could no longer reveal new categories and theoretical insights.
The convergence of multiple perspectives and realities derived from the comparison of
documents and empirical data gave the researcher greater confidence in terms of
offering a comprehensive picture founded on evidence that was empirically grounded
and deductively grounded. That approach enabled the researcher to avoid isolated
knowledge generation (Bowen 2009:110). Theoretical memos (Glaser 2004:61; Strauss
& Corbin 1990:10) were used at this stage to document written records of conceptual
rather than descriptive analysis (Strauss & Corbin 2008). The empirically generated
substantive categories were compared and contrasted with the entrepreneurship and
cyberfeminism theories to ascertain whether they confirm theoretical interpretations.
The outcome of theoretical validation provided insightful information that enhanced the
evolving substantive theory.
The empirical substantive categories were compared to the following theories:
5.6.1.1 Cyberfeminism
Literature reviewed from the cyberfeminism school of thought was found to be
synchronised with the categories developed from the empirical phase.
201
Table 5.16: Category: Women experiencing gender-based discrimination
Sub-category Explanation
Socio-cultural gender role expectations Women entrepreneurs shying away from technical
environments discouraged by gender based
stereotyping promoting a culture of masculinity –
perceptions of ICT being a ?men‘s game‘, ?men‘s club‘ –
which strengthens the gender gap.
Inaccessible sources of information Limiting women entrepreneurs from accessing business
related information, e.g. SMME technical support,
funding, tenders, lacking access to government offices
to obtain business related information, etc.
Networking platforms Women being discriminated against by men who make
networking platforms inaccessible for women
entrepreneurs.
The voice of women entrepreneurs not heard, that is
women issues are not included in the agenda.
Exposure to intimidating behaviour such as, sexual
harassment.
Gender-based inequities Inequity in accessing tender opportunities; the ?BEE
scorecard point system? is not effective.
The playing field is not level and due to irregular
procurement processes, women entrepreneurs by
default are economically marginalised from the
mainstream economy of the ICT sector.
Inequalities in the workplace concerning women getting
paid less and men more as they are highly qualified
than women.
Inequalities in accessing ICT infrastructure and
resources between rural and urban areas.
Gender-based educational differences (structurally
induced)
Differences are distancing women from actively
participating in the development of ICT due to lack of
educational orientation in ICT.
Increased over-representation of women in non-
professional ICT occupations.
Underrepresentation in high level decision-making
structures, limiting women‘s ability to make an input into
ICT decision-making processes.
Discrimination manifests in the absence of
empowerment interventions directed at women
empowerment in ICT skills development, e.g. in high
level policy platforms to stimulate women careers and
progression in ICT careers.
Gender-based career differences Inducing inequalities in career advancement
opportunities for women who are aspiring to climb up
the ladder into core ICT environments.
The ICT sector is predominantly a male-dominated
202
Sub-category Explanation
career environment.
Inequalities in accessing funding Inaccessible funding is a barrier for women
entrepreneurs who cannot afford technology, i.e. capital
to upgrade ICT systems and equipment to keep up with
technological developments.
Restrictive administrative requirements prevent access
to loans.
These empirical categories were matched with cyberfeminism theory (Daniels 2009,
Fernandez & Wilding 2003; Haraway 1991; Hawthorne & Klien 1999) that ?refers to a
range of theories, debates and practices about the relationship between gender and
digital culture? (Flanagan & Booth 2002:12) and the investigation of gender power
relations linked to technology (Wajcman 2004) where the conceptualisations of
technology are inherently ?masculine? (Kendal 2000; Adam 2004) or where ?women
have always been the machine parts for a very much male culture? (cf. Plant 1996:
interview with geekgirl).
Women entrepreneurs, in this study, were of the view that government was not doing
enough in terms of promoting gender equity in its BEE scorecard rating system by
levelling the competitive playing field between women-owned and men-owned ICT
enterprises.
Underrepresentation of women in the technology field (Hewlett 2008, Kitetu 2008),
particularly in management positions, is acknowledged in numerous literature sources
and identified as a global phenomenon. In this study, participants affirmed the
underrepresentation of women entrepreneurs in the ICT sector:
?I think there are just as many technical women that are competent in this
field like men but maybe not as many to pursue this sort of career direction. I
think that it is probably because it is not seen as a woman oriented career
choice as it is primarily dominated by men. Women more interested in other
types of industries either [sic] than this industry [ICT].?
Another statement acknowledged women‘s underrepresentation at managerial level
and in the sector compared to men:
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?Most women are presenters, few are station managers. About 80 per cent
employed are men and 20 per cent women [sigh]. This shows
“ukucinezelwa” [oppression] or the powerless position of women who do not
have a chance to participate in decisions concerning the operations of the
organisation.?
According to Kelan‘s (2007) observations, women are still a minority in the ICT sector,
especially in leadership positions. Participants in this study affirmed the low numbers of
women in the ICT environment:
?At this point, women are not visible. If you look at employment there are
about ten men versus one woman that have been employed.?
Vehviläinen (2009:6) concurs with this observation, ?The nerd culture has often been
seen exclusionary for women.? A recent study conducted by the European Commission
(2012) also identifies that women are underrepresented in the technical environment. It
is specifically true at decision-making levels where the number of women managers in
the ICT sector is lesser than in other sectors. The gap in the technical environment was
affirmed by participants in this study:
?Generally, [seeing] women in ICT is not common at all. I have personally
come across very few women in the technical environment. You will find
them in the sales environment but not really on the technical side.?
Pertaining to women entrepreneurs‘ participation in decision-making platforms, a
participant remarked:
?There is a provincial networking committee which was male-dominated in
2002 but now it is equally represented by a fifty-fifty split. This is an
indication that women have the ability and capability to make decisions,
deliver on them and are [becoming] more vocal.?
Decision-making, according to Leske (2010:370), is an important competency that
every entrepreneur should have, since such a skill determines the survival of an ICT
enterprise.
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In line with the empirical findings of this study, Humbert, Drew and Kelan (2010:128)
acknowledge the value added by women in respect of soft skills and they claim that
these skills are essential in ?modern? ICT operations, arguing women augment of the
social skills capacity. One participant remarked:
?Women bring in the other element, which is soft skills [emotional
intelligence]. Women look at all the elements [soft skills] that we men often
forget. For example, the way we looked at one of our anti-corrupt campaigns
[explains the campaign] certain parts of the system like reporting we [men]
could not think from a mother?s perspective.?
Findings of the European Commission study (2012) also identify a gap in ICT education
between men and women who are less qualified than men. Only 29 women hold a
degree in ICT (compared to 95 per cent of men) and out of about 1 000 women holding
a bachelor degree, only four eventually work in the ICT sector. About 19.2 per cent of
ICT sector workers compared to 45.2 per cent of non-ICT sector workers have female
managers.
The European Commission study (2012) also acknowledges the essential role of
women‘s active participation in the ICT sector and their contribution that directly impacts
positively on the GDP of a country. Although the empirical findings of this study
recognise the participation of women in the ICT sector of the Easter Cape Province,
due to the lack of disaggregated data, women‘s contribution could not be expressed in
GDP terms.
In another international survey (Aymerich 2012), the comparison is historically drawn.
The survey reports that men in the field of new technologies in developed and
developing economies has a bigger presence than women who account for 51 per cent
of the world population. Additional findings emphasised that:
i. Worldwide, the usual 20 per cent of women with a computer science degree could
possibly drop to under 10 per cent.
? Considering the favourable labour market situation since 2005, 25 per cent of
all European employees worked in high-tech knowledge intensive services
(KIS).
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? Only 2.4 per cent – around 160 000 people – were women, and this figure
had dropped as low as 1.1 per cent – less than 18 000 people – in the high-
tech manufacturing sector. These gender differences did not apply to certain
Asian countries, such as Malaysia, but were found in advanced Western
industrial countries.
ii. Women lagged behind in terms of incorporating new technologies compared to
other parts of the world. This key factor hampered progress:
? Some studies suggested the differences between men and women reflected
women's supposed aversion to science and technology.
? Other studies, however, suggest the differences are due to discrimination
issues that underpin unequal pay for men and women.
In this study, in relation to the level of innovation found in the ICT enterprises, a majority
of women are concentrated in the low-tech activities; such as retail and services, and a
few in manufacturing that provides high-tech products. The lack of product innovation
is influenced by a number of conditions that include the lack of Research and
Development (R & D) capacity. Some ICT enterprises were making a breakthrough in
innovation as acknowledged in a statement by one of the participants:
?Innovation is at the heart of any ICT business and women have to come
through with innovative ideas that will improve the growth of the business.
For example, we have come up with an innovative product which is a tablet
PC powered by solar which is a first.?
The European Commission‘s study (2012) refers to women‘s working conditions in
respect of balancing professional and personal life by recommending that corporations
need to ?speak [the] female language? in order to retain women in the ICT sector.
Women‘s retention in the ICT sector is very low Hewlett (2008). In this study, the
concept ?multi-tasking‘ was used by participants to describe why they found it
challenging to balance work and family responsibilities. Multi-tasking was an activity
also linked to women‘s inability to market an ICT enterprise that impacted negatively on
achieving its growth targets:
?Men are more at an advantage than women because they have time on
their hands to market the business and do not have to multi-task like us
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women who, by day are business owners and after hours burdened with
domestic responsibilities.?
Other findings suggested that women lacked confidence in their ability to run an ICT
enterprise and the lack of ?role models? exacerbated the situation (Bygrave & Minniti
2000). Disaggregated data for start-up ICT enterprises can boost women‘s confidence
levels as learning experiences can be drawn from other women (James, Leinonen,
Smith & Haataja 2006:45; GEM South African Report 2008:21).
Participants, in this study, raised these issues that are related to gender-based
discrimination. They also raised a concern about lack of mentorship and guidance for
start-up ICT enterprises and emphasised that other SMMEs, government, and the
private sector in general should assume the mentorship responsibility for women.
A participant who was playing the role of a mentor said:
“Most SMMEs do not have mentors for guidance. I feel it is my responsibility
to nurture this talent and show them that there is a space for women in this
sector. Make them realise that it is possible to get into this sector and
become a women employers instead of being employees.?
Another participant suggested:
?The private sector can be a source of mentorship for up and coming women
entrepreneurs. They [private company] can serve as a source of reference
providing them [women entrepreneurs] with the basic knowledge or
information on how the sector functions.?
In terms of mentorship guidance from government, the participant remarked:
?I think more should be done in encouraging women to get into this sector. I
do not think government is doing enough. Women should be made aware of
what is available for them [business opportunities], what women can offer
[products and services] when getting into the sector, how women can be
assisted [technical support] and to put it in isiXhosa, „Ungabhudi (okanye,
ungaphazami)?. Meaning, getting the proper advice to enable you to avoid a
situation where you offer something that is not relevant for the market.?
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Vehviläinen (2009:6) refers to the conceptualisations of the ICT sectors as ?men‘s
hobby clubs? and ?male worlds?. These metaphors used by participants in this study
when they described their marginalisation from business networking platforms were
akin to a men‘s world and men‘s club. These masculine stereotypes, participants
explained, reinforced public perceptions that owners of ICT enterprises were men.
Participants related their perceptions of masculine stereotypes:
?When they come into the shop asking for the owner, you see a look of
surprise when they see me. I do not know why. Probably they expect to
see someone dominating and I am a quiet person. This attitude just goes to
show how much women are not recognised as being capable of running a
business in this environment.?
Another participant said:
?There is this stereotype attitude… when people come here… looking for the
manager, they expect to see a man. For example, [smiles] they ask to speak
to a Mr…“utata lo ndizakuthetha naye ngu Mr Bani kanene? [What is the
gentleman‘s name by the way? Mr whom?], and when the receptionist tells
the person it?s actually a Miss or Mrs they seem amazed. It is this stereotype
attitude I am talking about… they don?t expect it to be a women instead of a
man… why must we be judged??
James et al. (2006:45) also report on the ?masculine culture? (cf. Wajcman 2004) of ICT
sector that causes women to perceive the ICT environment as a men‘s domain.
Symanowitz (2012), who analyses gender stereotyping from the perspective of a
management style in the corporate environment, remarks:
?While businesses [traditional culture] tend to follow methods focused on
mutual respect and understanding of western business practices expect[ing]
business leaders to be more ruthless, headstrong and less sensitive or
respectful [which are] all primarily male traits, [however, when] a woman
shows this behaviour, she is often considered aggressive, which has a
negative connotation.?
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A participant in this study emphasised the concern about women‘s management style in
relation to gender stereotyping:
?An idea made by a woman maybe very clear but ignored because it?s
coming from a woman. I do not know why this happens. One can only
attribute this tradition to a gender mentality thing coming from men who
consider themselves as being in charge and being the only one entitled to
make a decision on a matter.?
Gender stereotyping was also emphasised when the participant described the manner
in which women were undermined by the traditional attitude of men in an
overwhelmingly male-dominated environment:
?Men are always astonished to see what women have achieved with regard
to the skill and knowledge in ICT. This including women?s ability to obtain a
degree in ICT which surprises men who tend to question women?s ability in
becoming a graduate in this field which is regarded to be very scientific.
Especially in technical support [A+, N+] environment where you need to be
very scientific as it has to do with science and maths.?
Participants in this study identified the almost non-existing promotion of rural-driven
SMME entrepreneurship, especially in the case of women-driven entrepreneurship.
Women entrepreneurs claimed they were marginalised from ICT due to a number of
structural conditions, such as the lack of access to ICT infrastructure, that were linked
to inequalities in educational development between rural and urban areas:
?People in rural areas do not… have access to the Internet to learn about
available career opportunities in the ICT sector. For example, I can search
the internet to learn more about ICTs. This I?m doing to upgrade my skills for
better positions in this field [ICT].?
Wamala (2012:13) also attests to the glaring ?gender digital divide? at community level
that includes women‘s marginalisation from technology and influences women‘s
relationship with technology. This disparity is evident in ?cultural structures? that
marginalise women into ?domesticity? that limits their mobility and exposure to ICTs.
Socio-cultural influences that portray inequalities between women and men are linked
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to barriers in educational development influenced by gender role expectations. One of
the participants affirmed this observation:
?Coming from a rural background and being forced to assist [family]
financially left me with no option but to go and find work. Although I knew I
wanted to study further, the immediate financial circumstances did not permit
me to do so. After grade twelve, I had to go into the corporate world to find a
job. Men, on the other hand, are always encouraged to further their studies.?
According to Wamala, women‘s marginalisation is induced by a lack of education in
ICTs. Participants in this study also identified this issue, since they viewed women‘s
marginalisation from ICT as one of the limitations causing gender-based educational
differences and the subsequent inequalities in earnings between women and men in the
sector. Jacobsen (2011), who advocates for gender equity, examines how technology
affects gender and the value technological change adds. For example, ?productivity
gains? in economic terms emphasise the importance of educational attainment of
entrepreneurs. Chandler and Hanks (1994) agree that entrepreneurs should have a
learning culture. Women entrepreneurs in this study also expressed the same
sentiments:
?SMMEs lack of [sic] knowledge and education on how to run a business.
For some start-up, businesses it is not easy as they are not familiar with
business operations such as, financial management, employment
regulations.?
Another participant expressed a concern about educational inequalities between female
entrepreneurs and male entrepreneurs:
?From a financial point of view and my experience as a woman, we are
suppressed by our own ignorance... allowing our accountants to take
advantage of our lack in financial skills. One of the business registration
requirements according to SARS [South African Revenue Services]
stipulations, you must have an accountant. For example, women struggle
with book keeping and accountants who are usually men, abuse our
dependence on them.?
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Some participants who were aware of the existing inequalities in the sector appreciated
the effort of government by introducing ICT in education:
?The ICT sector is no longer a boys club. Government has introduced ICT for
education in many schools in South Africa, and hence we see women in the
ICT sector.?
Cyberfeminists, in this regard, believe such patriarchal stereotypes could be weakened
by women developing a close alliance with new technology that has the potential of
facilitating gender equality in the ICT sector (Plant 1996). From a cyberfeminist
perspective, women could only resist repressive gender regimes by being actively
involved in the mainstream economy of the ICT sector.
Vehviläinen (2009:6) acknowledges the efforts that women entrepreneurs made by
upgrading their knowledge and skills in the ICT environment despite their exclusion
from ICT professions based on the grounds of cultural and socialisation influences:
?Women today are increasingly taking up ICT professions and holding high
qualifications equal to men.?
A participant in this study also affirmed this assertive trend:
?I know historically women have been undermined but now I see that we
[women] are proving to ourselves that there is so much we can do. Before,
you would not find women in this industry but the gap is closing.?
Gathering from the empirical findings of this study, women entrepreneurs in the ICT
sector of the Eastern Cape Province were steadily becoming visible in the engineering
environment, traditionally known to be a male field (SME Growth Index 2013). In the
context of a broadcasting environment, one of the participants remarked:
?If you look at their [women] positions they are administrators doing office
related work and not involved in sound engineering… it is „rare? to find them
in this environment. Look at my position, few of us [women] are station
managers…I know there are some people who aspire to become a station
manager like me but do not have the qualifications [engineering] that I have.?
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Participants also acknowledged the assertive action taken by women in upgrading their
qualifications in the technical environment and skills in ICT:
?You are not going to get far if you are selling a commodity that anybody can
sell without studying… technology changes all the time… it is changing so
fast… every three months… you have to keep on upgrading your skill.?
Plant (1997), who advocates for gender inequality, states that power structures should
be made more equal through a process of revealing and addressing overlooked female
elements. This transformative approach is associated with assumptions about
possibilities for freedom that are related to the expectations of new media ICTs as a
means of socio-cultural transformation.
?With ICT, you are now able to sit around a table and be able to see another
person in another place… you save your money… instead of flying to
Johannesburg, you can actually have a meeting with the person sitting in the
office [teleconferencing] without spending too much money travelling
around.?
Wamala (2012) emphasises the necessity of a continued effort in initiating women-
centred empowerment interventions that are not only directed at addressing the digital
divide but at empowering women through ICTs in order to unlock opportunities for them.
In this study, participants expressed their point of view with regard to skills development
of women entrepreneurs:
?By giving skills to people in rural areas… women entrepreneurs will be able
to create jobs like, computer training skills. Women are progressive. They
should be given a chance.?
Another suggestion focused on rural educational empowerment initiatives:
?Government should penetrate the most rural areas informing and educating
entrepreneurs about the benefits of ICT either through workshops or
roadshows where presentations and information packs would be given to
SMMEs on how to introduce ICT in their businesses.?
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The following suggestion called on government to facilitate community-driven economic
activity in rural areas by providing seed funding for infrastructure development:
?Government should assist by providing funding for the establishment of
sustainable ICT centres in rural areas as well. This will create lots of
business opportunities for the country?s youth living in remote areas and they
will contribute to the economy [resuscitating economic activity].?
Wajcman (2004), who also advocates for women empowerment, expresses a concern
about the ways in which technologies are often designed to either marginalise or
subordinate women. In this study, women entrepreneurs also raised a concern about
the frequent changes in technology (determined by big role-players who were in control
of the market) that made it impossible for them to keep up with the training required to
use newly introduced technologies. One of the participants shared this experience:
?For me, coming into the ICT environment… understanding the link between
my computer and the shared network was just completely new. So, I had to
undergo training… sometimes you get service providers that give you the
tools [technology] that you need but you do not get the right training to
enable you to utilise them to their fullest potential.?
James et al. (2006:46) and Kelan (2007) emphasise the workplace inequalities in
earnings, arguing that women in the sector still earn less because they remain boxed in
particular jobs which discourage career advancement. In this study, workplace gender
inequalities were identified and associated with statements such as: i) women lacking
work experience compared to men entrepreneurs who had work experience; ii) women
not being competitive enough to earn a high salary; and iii) women starting off with a
small salary compared to men who started with a higher salary.
Concerning career stereotypes, Vehviläinen (2009) observes that young women and
men make their career choices based on the notion of hegemonic masculinity rather
than on the job description. Participants in this study echoed similar sentiments,
arguing the men‘s club culture held by family (socio-cultural gender role expectations)
contributed to influencing career choice:
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?Women do not generally show interest in pursuing this direction [technical].
It could perhaps have something to do with family upbringing values, where
men are pushed into technical oriented [sic] careers, whilst women are
discouraged in pursuing this industry [ICT].?
In relation to women‘s inability to access funding, Lester (2013) reports women face
economic marginalisation based gender stereotypes induced by investors that
encourage gender inequalities manifest in investment preferences for young, male,
technocrats who have experience in well recognised corporations such as Google or
Facebook. In this study, a participant stated:
?I think another problem for SMMEs, to a degree, concerns funding. They
are not trusted until they have proven themselves. But how can they prove
themselves if they do not get the support right from the beginning??
5.6.1.2 Entrepreneurship
Entrepreneurship theorists attest, is about seeking market opportunities with the view of
expanding the enterprise in terms of either new products for a new market, or new
products introduced into an old market (Gaglio 2004; Schumpter 1934; Timmons 1989).
Participants in this study seemed aware of the need to introduce new products and to
diversify their product range with the aim of accommodating the needs of their market
segments.
Entrepreneurship could also be considered as a combination of managerial practices
and acts of innovation (Drucker 1985) where the entrepreneur displays characteristics,
(Brockhaus 1982) such as a ?readiness to take risks with new or innovative ideas to
generate new products or services? (Calcagnini & Favaretto 2011:55). Participants in
this study acknowledged the importance of upgrading their skills in business
management and the need for diversifying their product range to meet the needs of the
market. Most ICT enterprises recognised the lack of innovation and product
development as a challenge. A number of conditions influencing this challenge included
the lack of R & D capacity.
The SME Growth Index (2013) survey reports women entrepreneurs are risk adverse
(Still & Timms 2000). This characteristic was also described by participants in this
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study. The survey also discovered that, in every region surveyed, women reported
being more afraid of failure [risk averse] on average than their male counterparts with a
majority showing reluctance to enter new and less tested markets.
Participants in this study expressed their concern about tough local competition (big
business vs small business), as well as their reluctance to venture into new markets.
They articulated their reservations about diversifying their product range based on
financial constraints and the lack of confidence in gaining market share that was a
result of lacking market intelligence. The empirical findings also revealed that only a
few women entrepreneurs embraced competition. According, to literature
entrepreneurs in the ICT sector require market intelligence in order to competitively
position them in the marketplace. In other words, having an understanding of existing
competition is a necessary component of ICT-driven entrepreneurship. One of the
participants explained:
“Competition is good as it helps you to be on your toes but it can also shut
down your business. In the ICT environment you have to make sure that
you are on top of things. Job seekers know they [employers] are looking for
qualified people who have done Windows 7 and Office 10. Now here you
[training provider] are, teaching your students XP and Office 2003 whilst
your competition is offering Windows 7 and Office 10. Your business will
suffer as students will go to competition. So you have to be on top of
things.”
Competition determines the success of ICT enterprise while entrepreneurs are scouting
for opportunities in niche markets that are likely to enable an ICT enterprise to gain
competitive advantage. Humbert, Drew, and Kelan (123-141) claim that competitive
advantage and product innovation go hand-in-hand. This implies that ?entrepreneurs‘
use of technology to create innovation will either be rewarded within the marketplace or
find failure primarily due to competition? (2010:372). One of the participants in this
study stated:
?We are trying to be competitive in the marketplace by offering something different
[innovation] and relevant. We identified gaps that were overlooked concerning the
needs of government. I had to look for niche solutions to offer the market because I got
215
tired of doing what everybody else was doing. To avoid becoming obsolete, I need to
be relevant to my market as its needs change, just as ICT changes.?
Another factor associated with risk aversion was provided in response to a question
relating to underrepresentation of women entrepreneurs in the ICT sector.
Underrepresentation, participants stated, was linked to fear of joining the ICT sector
because it was perceived to be a tough environment in which only men could survive.
Participants claimed that being risk averse, especially when faced with challenges,
resulted in women abandoning business and opting for employment. Other studies on
entrepreneurship that cite women entrepreneurs as being more risk averse than men in
the context of the ICT sector include the European Commission study (2012).
The SME Growth Index survey (2013) reports that innovation lacks in women-driven
entrepreneurship. The empirical findings in this study also raised the issue of women
entrepreneurs lacking innovation and this relates to the lack of R & D capacity in their
ICT enterprises. From an entrepreneurship perspective, the creation of a new idea
(innovation) is an important pre-cursor to the sustainability of an ICT enterprise that has
to ?offer products or services that are new to some or all customers, with additional
consideration that no or few other businesses offer that same product? (GEM 2013:32).
Empirical findings in this regard have highlighted the low levels of innovation that
correlated closely with the gap in entrepreneurial education. The lack of innovation was
associated with ICT enterprises that offered products which were more on the low-tech
side of the technology continuum.
Chell (2007) emphasises the social construct of entrepreneurship, arguing an
entrepreneur by nature should invest in ?social capital? that requires ?networking‘. Chell
claims entrepreneurs characteristically are known networkers who have the ability to
draw upon extant social and personal ties when necessary. In this study, participants
described how they felt marginalised in accessing business related information shared
or disseminated through business networking platforms. Networking platforms were
perceived by participants to be an important platform for discussing business
opportunities. A study by Vehviläinen, Vuolanto, and Ylijoki (2010:69-70) describes
how women entrepreneurs in science innovation parks value networking platforms by
initiating women networks where they could share issues relevant to women as
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experienced in their business environments. In this study, participants identified the
need for the creation of B2B network platforms that could focus on women issues.
Voesmek (2013), CEO of a global non-profit organisation called Astia that supports
women entrepreneurs in obtaining funding, acknowledges the value of business
networks:
?High-growth entrepreneurship is a part of the economy where women don‘t really
participate. Entrepreneurship is a deeply male place. Men and women exist in separate
business networks and we look at this as an opportunity to build trusted business
networks between men and women so it results not only in venture investment, but all
subsequent business relationships that lead to big success.?
Davies, Minister of Department of Trade and Industry, affirms the value of business
networking platforms with a remark in an article titled ?Stronger symbiotic ties needed
between big business and small SME? (Magubane & Goko 2013):
?We don‘t have a strong culture of symbiotic relations between big business and small
business... we have too much of the big businesses relating to the same old suppliers,
and we need to create opportunities for small business and especially black business to
relate to big business?.
This remark correlates with the category ?Eastern Cape market‘ that describes and
explains the reason why networking is important for women entrepreneurs in the ICT
sector if their enterprises were to survive. A chronic problem in the Eastern Cape ICT
sector is the shortage of skills to operate or function in an information and digital
environment.
5.6.2 Document analysis
5.6.2.1 The Eastern Cape ICT strategy (2009 – 2014, Section 39) states:
SMMEs play a crucial role in the provincial economy. Special measures that will
accelerate participation of SMMEs, especially women-owned enterprises in the ICT
sector, must be developed. This will include deliberate preferential procurement by
government to stimulate participation of these enterprises. The aim is to specifically
217
address equity issues with regard to gender, disadvantaged groups, and those in rural
and under-served communities.
The following passages in the ICT strategy document were identified to either compare,
or contrast with empirical statements with regard to the category ?women experiencing
gender-based discrimination‘:
Strategy 1: Accelerate SMME development and participation in the ICT sector
Initiative 1: Develop targeted procurement framework to grow ICT SMME supply.
This statement matched a statement that the government sector expert made by
claiming women-owned ICT enterprises had the advantage over men-owned ICT
enterprises due to the ICT BEE scorecard point system of through government which
allocated women-owned enterprises extra points. Also, all women entrepreneurs
interviewed were aware of this advantage, however, some confirmed not benefiting
from the BEE scorecard due to the lack of access to tender opportunities (influenced by
irregular tender processes).
The statement indicates how women are economically marginalised by being denied
access to tenders even though legislation enabled access to tender opportunities.
Initiative 2: Establish framework to communicate ICT opportunities for SMMEs.
This initiative focuses on activities that assist SMMEs with developing sustainable
business skills and facilitates collaboration between large enterprises and SMMEs for
subcontracting opportunities.
A majority of participants confirmed not receiving any kind of assistance from
government in terms of skills training.
Strategy 2: Bridging the digital divide
Initiative 1: A strategy to support women ICT companies.
Although the Eastern Cape ICT Strategy (2009 – 2014) aimed at supporting women,
the participants had this to say:
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?I do not think women entrepreneurs are getting the advantage that they
should be getting as women. In most cases I have not been advantaged
[BEE scorecard].?
A number of participants shared the view that procurement officers were not doing
much in promoting the ICT sector scorecard, since women often were not benefiting
from the policy. In terms of validating the empirically generated categories against
existing theories, the researcher could claim that the emerging theory was in
accordance with other theoretical abstractions.
5.6.2.2 ICT sector code for BEE
The BEE scorecard point system was developed in response to the inequalities that
resulted from systemic exclusion of black people, women in particular, from
participating in the ICT sector of the economy. Elements of the scorecard include:
ownership, management control, employment equity, skills development, preferential
procurement, enterprise development, as well as a ?socio-economic development and
sector-specific contributions element?. The following passage makes reference to
women:
Section 9: Enhance recognition of certain categories of black people
9.1) Black women should form between 40 and 50 per cent of the beneficiaries of all
elements of the generic scorecard
The passage makes reference to an element of the BEE score card which is ownership.
In terms of ownership, a majority of the women entrepreneurs interviewed in this study
either had full or part ownership over their ICT enterprise. Their enterprises were closed
corporations and non-governmental organisations (i.e. telecentre, community radio
station and postal service franchises). In terms of management control all women were
practically involved with the operations of the enterprise.
A rigorous inclusion and exclusion vetting procedures employed in preparation for
sampling purposes confirmed that women-owned enterprises in ICT were very few
across the province in semi-urban and rural areas in particular.
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Related to the aspect of low levels of ownership, is women‘s limited visibility in the
entrepreneurial space iin the ICT sector which literature review (SANEF 2013;
MICTSETA 2012) attests to. In the context of the ICT sector of the Eastern Cape
Province, the number of women enterprising in the sector as suggested by empirical
findings was considerably small. Another industry news report (Getnews 2011)
supporting these findings carried an article, ?More Eastern Cape women leaders
needed in ICT? ahead of the Eastern Cape Women in ICT awards raising awareness on
the need for women to be encouraged to join the ICT sector of the province.
Another element of the BEE score card in this regard, which discourages women‘s
economic participation as articulated by women entrepreneurs in this study, is the
aspect of preferential procurement. The following statement confirms economic
marginalisation.
“I do not think women entrepreneurs are getting the advantage that they
should be getting [entitled to] as women. In most cases I have not been
afforded the advantaged [BEE score card].”
This statement was made on the backdrop of the lack of alignment between BBBEE
codes and ICT sector codes in terms of the scoring point system which by default is not
enabling SMME women (who fall short of points as they make little business) to qualify
for level 1 and 2 status in order to get big contracts. Another possible reason in the
context of this study could be associated with the limited options for women in terms of
set asides (projects reserved for women) where they could compete favourably.
However, despite the enabling scoring card system women are still economically
marginalised by corrupt officials who manipulate procurement systems as attested by
participants.
9.2) Black people with disabilities, black youth, black people living in rural, areas and
black unemployed people must form between 2 and 3 per cent of the beneficiaries of all
elements of the generic scorecard.
The analysis from this policy statement points to the structural disparities between rural
and urban areas which discourage aspiring entrepreneurs from joining the ICT sector.
In relation to women, socio-cultural structural imbalances may discourage them from
entering the ICT sector as the empirical findings suggest it to be an environment
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dominated by men. Also, in the advent of the notable gap concerning an ICT policy
framework to gender mainstream, women‘s participation including youth-driven
entrepreneurship in rural areas might remain limited and thus further the digital divide.
5.6.3 Explicit empirical validation
In this study, the analysis indicated that what was voiced by participants pertaining to
their experiences of gender-based discrimination and responses to gender-based
discrimination were in accordance with ?reality‘. Validating the emerging theory meant
perusing the categories and their properties. To a great extent, revisiting the initial
formation of those categories confirmed the interrelationships. The graphic
presentation portrays in Figure 4.7 the theoretical model that illustrates women-driven
entrepreneurship.
In this study, the initial analyses of 33 categories from open coding were subsequently
reduced to eight during axial coding, and subsequently to two in this phase, namely:
recognising gender-based discrimination; and responding to gender-based
discrimination that related to other subcategories.
The selection of the core categories was based on six criteria outlined by Strauss
(1987), cited in Strauss and Corbin (1998): i) all other major categories can be related
to it; ii) it must appear frequently in the data; iii) the explanation that evolves by relating
the categories is logical and consistent; iv) the phrase or concept used to describe the
central category should be sufficiently abstract; iv) as the concept is refined analytically
through integration with other concepts, the theory grows in depth and explanatory
power; and v) the concept is able to explain variation, as well as the central idea of the
data. That implies whether the conditions vary or not, the explanation still holds,
although the way in which the phenomenon is expressed might look somewhat
different.
Recognising and responding to gender-based discrimination were two concepts that
consistently emerged from the data and interrelated to explain women entrepreneurs‘
awareness and experience of, as well as response to gender-based discrimination
while enterprising in the ICT sector. For example, an issue that participants repeatedly
explained and related was socio-cultural gender role expectations that also appeared in
other categories; such as educational differences, career differences, and workplace
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inequalities. Those categories influenced participants‘ interpretation and understanding
of conditions and consequences that impacted on SMME women-driven entrepreneurial
processes.
Following the emergence of those core categories, the researcher moved from
descriptive to concept modification, integration, and eventually to a theoretical level by
continually asking questions like, ?What is the main analytical idea presented?? (Strauss
& Corbin 1990:14). Categories from empirical data were subsequently combined into
theoretical statements that provided a holistic explanation of issues, concerns, and
challenges raised by participants in terms of SMME women-driven entrepreneurial
processes. The researcher did not find a link from the empirical demographic data that
could be associated with the categories identified in the analysis.
The iterative process of data collection and analysis continued until a point of
theoretical saturation was reached. Charmaz defines theoretical saturation as the point
?when gathering fresh data no longer sparks new theoretical insights, nor reveals new
5.6.4 Evaluation of theoretical cohesion
In this study, this level of abstraction required a conceptual structure to systematically
analyse the evolving theory and to verify internal consistency and congruency within the
evolving substantive theory (Cronholm 2004). Emphasis was placed on applying
systematic evaluation processes to verify consistency and internal congruency of core
action categories and subsequent consequences evolving by using appropriate
descriptive graphic and textual presentations (Goldkuhl & Cronholm 2003) to describe
conceptual structures
5.6.5 Phase Three: Research Interest, Reflection, and Revision
5.6.5.1 Research interest
According to MGT (Goldkuhl and Cronholm 2003, 2010), it is important for a researcher
to continually reflect on the research interest (operationalised in research questions) of
the study and that the questions should develop over time for allowing empirical
observations and theoretical insights to influence their formulation.
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The questions were constantly reflected upon to direct the empirical and theoretical
orientation. The research questions were also aligned to the substantive empirical
categories. That procedure also encompassed the verification of participants‘
responses to establish whether they were interpreted accurately and whether theory
was grounded in the experiences and views of the participants.
5.6.5.2 Research reflection and revision
That process heralded the last phase of the analytical procedure that enabled the
researcher to conduct a self-critical account of the research methodology by reflecting
on the research questions and by authenticating confirmability (Tobin & Begley 2004).
The researcher‘s understanding of what was happening at the time of the research
project in terms of SMME women-driven entrepreneurship in the ICT sector
progressively increased from one level of data collection, analysis, and interpretation to
another. That process enabled the researcher to gain a comprehensive understanding
of the conditions that influenced the research issues, including proposed interventions
aimed at mitigating the situation. The systematic application of MGT processes
supported the processes of good ?traceability between data, categorisation, and theory?
(Goldkuhl & Cronholm 2010:190).
5.7 THEORY CONDENSATION
In this study, the initial analyses of 33 categories (cf. Appendix O) from open coding
were subsequently reduced to eight during axial coding and subsequently to two in this
phase (cf. Figure 5.14 below) namely:
Recognising gender-based discrimination
This core category related to other subcategories namely: i) Socio-cultural gender role
expectations – economic marginalisation, stereotypes based on socio-cultural norms; ii)
Gender based educational differences – gender based digital divide; iii) Finance
inaccessible – cash flow problems, difficulty in accessing finance, late payment; iv)
Opting out of business when faced with challenges – inequalities in access to ICT,
lacking access to funding; v) Gender based inequalities in the workplace – women‘s
underrepresentation in key ICT positions, digital divide between urban and rural driven
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entrepreneurship; vi) Exposed to gender based sexual harassment – subjected to
bribes, subjected to sexual harassment, lacking access to business related information;
vii) Developing apathy – lack of recognition in the industry, government slow pace of
change; viii) Low motivation – supply chain is not doing enough to promote BBBEE,
limited access to finance, not benefitting from government and private sector initiatives;
xi) lacking resources to ICT infrastructure.
Responding to gender-based discrimination
This core category related to other subcategories suggesting assertive action taken by
women entrepreneurs in the following context:
i) Socio-cultural gender role expectations – taking assertive action through self-
empowerment; ii) Gender based educational differences – taking assertive action by
demystifying gender stereotypes; iii) Finance inaccessible – taking advocacy action in
seeking transparency in procurement processes, seeking relaxation in restrictive loan
application requirements; iv) Opting out of business when faced with challenges –
developing apathy: lacking initiative in following up on business related information,
experiencing low motivation, taking assertive action in developing self; v) Exposed to
gender based sexual harassment – assertive action: self-initiated empowerment,
gender sensitive entrepreneurship advocacy; vi) Developing apathy – experiencing low
motivation; vii) Low motivation – developing apathy, not benefiting from government
and private sector initiatives, advocating for change in government and private sector
supply chain processes; and viii) Lacking resources to ICT infrastructure.
These two categories influenced participants‘ interpretation and understanding of
conditions and consequences that impacted on SMME women-driven entrepreneurial
processes.
The selection of the two core categories was based on six criteria outlined by Strauss
(1987), cited in Strauss and Corbin (1998): i) All other major categories can be related
to it; ii) it must appear frequently in the data; iii) The explanation that evolves by relating
the categories is logical and consistent; iv) The phrase or concept used to describe the
central category should be sufficiently abstract; v) As the concept is refined analytically
through integration with other concepts, the theory grows in depth and explanatory
224
power; and vi) The concept is able to explain variation as well as the central idea of the
data.
The researcher moved from descriptive to concept modification, integration, and
eventually to a theoretical level by continually asking questions like, ?What is the main
analytical idea presented?? (Strauss & Corbin 1990:14). The MGT iterative analytical
procedures facilitated the process of combining categories from empirical data into
theoretical statements refined into two core categories, recognising and responding to
gender-based discrimination (cf. Appendix L) emerging from the analytical processes of
theory generation (cf. inductive coding – table 1 to 15 in appendix N; conceptual
refinement in appendix O; Pattern coding in appendix P and Figure 5.13; including the
deductive analysis comprising of explicit grounding processes – theoretical matching,
explicit empirical validation and evaluation of theoretical cohesion), which rendered
traceable evidence that provided a holistic understanding of issues, concerns, and
challenges raised by participants relating to women‘s experience of the various forms of
discrimination they were subjected to whilst enterprising in the ICT sector of the Eastern
Cape Province.
The various forms of discrimination (related subcategories mentioned above) which
consistently reappeared from interview statements that were compared and contrasted
within a single interview and with other interviews confirmed women entrepreneurs
were experiencing different forms of gender-based discrimination influenced by socio-
cultural, economic or political structural issues (cf. Figure 5.14) and that they were
responding to it. This confirmation was solidified by empirical statements which when
compared and contrasted with existing theories (cyberfeminism and entrepreneurship),
matched the experience of other women entrepreneurs enterprising in the ICT sector of
developing countries and thus confirming the substantive theory of this study that
gender-based discrimination (induced by socio-cultural, economic and political
structural factures) does influence women-driven entrepreneurship processes.
A graphic representation of the theoretical model illustrating gender-based
discrimination in the ICT SMME Sector of the Eastern Cape Province is provided in
Figure 5.14 below.
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Figure 5.14: A graphic representation of theoretical model:Business Gender-Based Discrimination in the ICT SMME Sector
226
5.8 LIMITATIONS OF THE RESEARCH DESIGN
A major limitation was the fact that the interview questions were too many. Although
the questions were many, the researcher was satisfied with the theme topics covered
to address the scope of the research questions of the study. Unfortunately, that
resulted in the questions accumulating heaps of data that made the coding
processes tedious and time consuming, since the researcher had to religiously follow
rigorous MGT processes; that limited the researcher‘s creativity to an extent. The
unavailability of other high profile industry experts who were scheduled for
interviewing limited the diversity of views as their input would have given a wider
perspective about the status quo of women-driven entrepreneurship.
5.8.1 Ethical considerations
In line with Gibbs‘ (2007) recommendations (cf. Amdur, 2002: Belmont Report:
Evaluating ethics in qualitative research), the researcher took into consideration the
aspects of informed consent, anonymity of transcripts, confidentiality, and feedback.
Observing ethical considerations for this study was important, especially viewed from
the perspective of the epistemology underpinning the study that necessitated the
researcher to produce proof of identification, including the contact details of the
supervisor, in order to confirm to participants that the research was indeed for
academic purposes. The nature and purpose of the research study were clearly
explained for them to make an informed decision whether to participate or not.
Ethical aspects observed included:
Informed consent: The researcher had an obligation to protect participant‘s rights;
the right to refuse participation or to withdraw from the interviews at any time for any
reason and consent before commencement of the interview.
Anonymity of transcripts: The researcher ensured that confidentiality was
preserved by making use of a coding procedure to obscure the identity of participants
and their ICT enterprises, as well as identifying their ICT enterprises according to
industry type. The researcher also ensured limited access to transcripts and
committed to destroy recordings upon acceptance of dissertation.
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Transcription: The researcher ensured that the transcription of interviews remained
faithful and original representations of the views of the participants; when necessary,
words were highlighted, i.e. ?in vivo codes? (Strauss & Corbin 1998:105) included in
the text. The researcher also made sure that the findings of the research study were
true to its aims and objectives.
Confidentiality: Due to the sensitivity of some issues raised during the interviews,
the researcher had to verify with participants their level of comfort with evidenced
business or industry information during the interviews and member checking while
reassuring participants that access to information would only be allowed to those
identified persons directly involved with research.
Feedback: The researcher created participant awareness that the summary of
findings would be available or might invite them to a meeting where the researcher
anticipated discussing the findings. Participants were also made aware that their
participation would not only give them an opportunity to share their experiences but
would also contribute to the improved implementation of policies aimed at promoting
women-driven entrepreneurship in the ICT sector of the Eastern Cape Province.
5.9 CRITICAL EVALUATION OF RESEARCH METHODOLOGY
Researcher trustworthiness
According to Lincoln and Guba (1985:290), trustworthiness results from asking the
question, "How can an inquirer persuade his or her audiences that the research
findings of an inquiry are worth paying attention to?" and the evaluation of the rigor of
MGT analytical procedures (Aroni 1991:1).
Rigor
It was imperative for the researcher to demonstrate rigor throughout the levels of
data collection and analysis procedures, according to MGT. Rigor was regarded as
the means by which the researcher could ?demonstrate integrity, competence, and
legitimacy in the research process? (Aroni 1991:1), including demonstrating discipline
and accurately representing the views and experiences of SMME women
entrepreneurs.
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Trustworthiness determines the credibility of a research project. To this end, the
researcher observed relevant criteria and appropriate strategies to augment the MGT
design of this study.
Credibility of the researcher and the research participants
Credibility addresses the issue of ?congruency between the participants‘ views and
the researcher‘s representation thereof (Schwandt 2001). The researcher
acknowledges that:
i. There could have been biases in the interpretation of statements that were
clarified during member checking. Statements also reflected logical connection
and definitive explanations;
ii. Consistency was maintained at all the levels of analysis – between research
questions and the methods, asking the same questions of all SMME women
entrepreneurs and gathering similar data that allowed for constant comparisons
between statements and reflecting on formulated statements from the point of
view of SMME women entrepreneurs;
iii. Transparent application of the MGT methods to data generation, recorded
memos of decisions, and the provision of evidence for conclusions in such a
way that other researchers could arrive at the same conclusions (Oman et al.
2003:218);
iv. Providing an ?audit trail? (Bowen 2009, Creswell & Miller 2000; Schwandt 2001)
and ensuring that decisions were sequentially recorded in memos and linked to
the interview transcripts and analysis. That epistemological process embedded
the confirmability of MGT methodological processes;
v. Research conclusions were grounded in the real-world patterns that emerged
from the evolving substantive theory; and
vi. Establishing credibility confirmed through ?member checks? during transcribing
and interpretation (Lincoln 1995; Strauss & Corbin 1998). Credibility was also
confirmed by the quality of comprehensive information received from
participants rather than the quantity and, in such instance, the researcher used
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constant comparison (industry experts and participants) techniques to enhance
the fullness of information gathered during interviews.
Confirmability of data
The researcher conducted a ?confirmability audit? of data by giving participants an
opportunity to study and comment (member checks) on transcribed interviews to
verify whether views had been accurately interpreted and whether findings
conformed to SMME women entrepreneurs‘ experiences clearly derived from the
data (Lincoln & Guba 1985: 290-327) and not to the researcher‘s imagination(Tobin
& Begley, 2004). That required an audit trail that consisted of raw data, transcripts,
analysis of personal notes, and memos to enhance the trustworthiness of the data.
Authenticity of research findings
The researcher evaluated authenticity (cf. Christians 2000 in Denzin & Lincoln 2005)
by ensuring that research findings represented a fairly balanced in-depth analysis
and understanding of SMME women-driven entrepreneurship to stakeholders with a
particular interest in promoting women-driven entrepreneurship in the ICT sector of
the Eastern Cape Province.
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5.10 SUMMARY
In the introduction an explanation is provided of the first phase of generating
empirically-driven theory that proceed inductive coding of data followed by
conceptual refinement of statements before building categorical structures by means
of pattern coding.
Section A, explains the deductively driven procedures namely, explicit grounding that
includes procedures, such as theoretical matching of empirical statements with
existing theories (cyberfeminism and entrepreneurship). The section also explained
the verification of categories in relation to ICT policies through a rigorous deductive
process that ensured that the categories were theoretically sound and explained the
procedure for theoretical condensation of data into two main categories. The section
also provided a review of MGT procedures.
Section B
In this section the application of empirically and deductively driven procedures of
generating theory are demonstrated. The section also provides an analysis and
interpretation of both closed and open-ended interview questions. The analysis,
supported by a graphical presentation of tables and figures attached in the appendix,
provides good ?traceability between data, categorisation, and theory? (Goldkuhl &
Cronholm 2010:190). The section also depicts a summary of conceptually refineded
concepts generated from open-ended questions. A critical category determination
illustrating the building of the categorical structures, deductive analysis procedures
followed by the theory condensation procedure which solidifies the substantive theory
that provided a comprehensive understanding of SMME women-driven
entrepreneurship in the ICT sector of the Eastern Cape Province.
The section also provided a review of MGT procedures limitations of the research
design and a critical evaluation of the research methodology.
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CHAPTER 6
RESEARCH FINDINGS, ANALYSIS OF FINDINGS, AND
RECOMMENDATIONS
6.1 INTRODUCTION
This chapter summarises the empirically and deductively generated findings of the
substantive theory of women-driven entrepreneurship in the ICT sector of the Eastern
Cape Province. According to the multi-grounded theory procedures, the empirical
findings had to be congruent to existing theories, namely cyberfeminism and
entrepreneurship, with the purpose of validating the emerging substantive theory.
The aim of the study was to develop a substantive theory that explained and
described SMME women-driven entrepreneurship in the ICT sector of the Eastern
Cape Province. Data was gathered during one-on-one interviews with SMME
women entrepreneurs who were taking part in the ICT sector of the two economic
nerve centres in the Eastern Cape Province, namely the Nelson Mandela and Buffalo
City Metropolitan Municipalities. The study identified two core categories, namely
recognising gender-based discrimination and responding to gender-based
discrimination. Both categories subsumed the majority of categorical data that
comprised the model which explained this particular substantive theory.
6.2 ANALYSIS OF FINDINGS
The findings were firmly embedded in the categories of the data analysis that elicited
some pertinent discussion points articulated in subsequent headings.
6.2.1 Recognising gender-based discrimination
It emerged from the findings that women entrepreneurs were acutely aware of the
gender sensitivity issues influencing entrepreneurship development in the ICT sector.
The empirical findings, when matched with existing literature of cyberfeminist and
entrepreneurship theorists, confirmed that around the world a majority of women
entrepreneurs were still faced with barriers influenced by socio-cultural, educational
differences, gender-based inequalities at the workplace, gender-based occupational
differences, and low motivation. Those barriers contributed towards women
developing apathy because they became inactive in the mainstream economy of the
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sector. A thread off evidence is built in the analysis between the core category and
sub categories comprising the foundation of building theoretical statements.
6.2.1.1 Gender- based discrimination
Literature review attest to the difficulty in stamping out gender-based discrimination
as it is embedded in society‘s historic fabric of remnants of a post-colonial regime
permeating across corporate and business institutions, where social, economic and
technological divides manifest as barriers in women‘s empowerment aspirations.
The findings from this study articulate the push effects of discrimination on women‘s
aspirations to climb up the ladder into leadership positions to influence decisions on
the design and implementation of ICT programmes. The findings also reveal that
women entrepreneurs were taking assertive action in empowering (ICT training and
business skills) themselves and others that is, mentoring and training staff and
community members in ICT in an attempt to bridge the digital divide. This assertive
action was based on the background that men were not taking them (women
entrepreneurs) seriously as equals by not giving recognition where deserved in terms
of wins accomplished especially in male dominated environments. The following
statement affirms this:
“We empower them; develop them with the skills and the knowledge to
make a difference to their homes and the whole community; and to
contribute to the economy of the country. We are focused on rural
development it is our mission and vision to alleviate poverty and also
create jobs for better life support in the social environment.”
The findings in this study concerning discrimination experienced by women
entrepreneurs, on the grounds of economic marginalisation associated with women‘s
non-representation at management level (Hewlett 2008), including advocacy action
taken, corresponds to the literature review articulating gender-based discrimination in
many facets also revealed in this study, for example:
i) Career differences:
233
Findings revealed inequalities in career advancement opportunities for women
aspiring to climb up the ladder into core ICT environments as the sector was
predominantly a male dominated career option.
ii) Educational differences:
Findings revealed an inadequate access to human resources. However, according
to the findings women were developing their skills (empowering self and others) in
ICT training others through mentoring and venturing into technical environment
(where women‘s representation was evident). This finding is suggested by the
following statement.
“I feel it is my responsibility to nurture this talent and show them that
there is a space for women in this sector. Make them realise that it is
possible to get into this sector and become women employers instead of
being employees.”
However, findings also revealed that women were dominantly visible in
administration careers on the low end of the continuum rather then in core line
functions, such as policy making. This finding linked to sex stereotyping where
women are pulled towards female occupations (Paludi et al. 2011:216) instead of
leadership positions. The following statement supports this finding.
“They [men] do not expect us to do the job and responsibilities of a
manager…the responsibilities that we do are those of taking minutes or
being a secretary.”
This linked to an assertion that, women lacked decision-making power to challenge
ICT decisions taken on their behalf that have implications on their engagement with
ICTs. These findings were indicative of the void in advocacy activism suggested in
the literature review which could otherwise discourage the current situation of
women‘s absence in decision-making platforms. The above correlates with
international best practice ?team driven participation decision-making approach
employed in the ICT environment to boost the confidence levels of women in ICT.
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Besides Literature sources acknowledge the importance of decision-making as a skill
that entrepreneurs ought to have, since ?accurate and timely decisions? were crucial
for the success and survival of small enterprises, including ?competency in
recognising, evaluating, and responding to potential possibilities? (Leske 2010:370).
iii) Occupational differences:
The findings suggested a notable over-representation of women in non-professional
ICT occupations and stereotypes held about women‘s ability to run an ICT enterprise
undermined. This affirming opinions voiced by women entrepreneurs concerning
them not being recognised in the industry as equals to men. The following statement
suggests this finding is based against the background of women affirming gender
divides in regard to equal treatment regardless of women being in management
positions.
“We are equal to men. We are running our business on the same level
that men do”
iv) Inequalities in the workplace:
The findings revealed inequalities between women and men in terms of
accessing tender opportunities associated with the perception that the ?BEE
score card point system? was not effective as women were denied an
entitlement that was designed for them to gain competitive advantage over
men. The findings also revealed women entrepreneurs were experiencing low
motivation levels as a result and consequently developing apathy. This form of
economic marginalisation manifested in discrimination linked to corruption
claims of detected irregularities in government‘s procumbent processes
articulated above. Economic marginalisation was also linked to women‘s
disapproval of stereotype perceptions questioning their ability as seasoned
entrepreneurs. The following statement, on the backdrop of men perceived as
being better employees than women, supports this finding.
“Women, you know, are not given the credit they deserve…they are
better employers. I go around…ask how black males are paying and
found I pay better and look after my employees. I suppose that is why
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my business is successful. But I am still questioned [success]…like there
is a man behind me”.
Inequalities in earnings and maternal obligations (Paludi 2010:209-212) were
linked as factors influencing women‘s inability to secure financial assistant
linked to financial history and collateral surety discussed above. The above
forms of discrimination bear evidence of embedded economic structural issues
that continue to impact negatively on women-driven entrepreneurship and how
difficult it will be to eradicate them.
v) Gender based sexual harassment;:
Gender-based sexual harassment (sexual innuendos) emerged as a common
theme in women-driven entrepreneurship, since women did not usually have
bargaining power. This finding correlated to literature reviewed in this study.
Sexual innuendos were linked to networking platforms where women were
marginalised from by men and this was associated with the void in women‘s
organisation as a collective to advocate against corruption. Interesting to note,
women in this regard were not taking action in terms of reporting this behaviour.
This may be tracked back in history to social upbringing where women are
treated as sex symbols and therefore subservient to men‘s behaviour carried
into the corporate environment. This can be construed as a compromise of
women entrepreneurs‘ dignity and a violation of their rights. This finding can be
linked to the following statement.
“If you are a female sexual favours can be expected. Another problem
although I have not personally experienced this is that men ask for sexual
favours from women, as you will find in government it is mostly men that
we deal with especially in the ICT sector. There is an expectation from
men for women to give themselves to men in order to get work. I have
heard of instances where people got contracts because of that. This I
think is a big disadvantage for women because if you are not prepared to
go that route then the chances of you getting the work are limited”.
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The following statement drawn from a study conducted on ?women, business
and human right? (2014:6) revealing discrimination levelling against women,
attests to the above.
“The prevalence of sex discrimination is an indicator that women?s
human rights continue to be regularly undermined whether it is equal
access to business and leadership opportunities or the extent to which
the practices of businesses at various points in the value chain have an
impact on female workers and women in surrounding communities”.
vi) Stereotyping; and socio-cultural role expectation:
The findings show that gender stereotypes enforced through language such
as, ?men‘s world‘ and ?boy‘s club‘ used within the ICT sector continue to
undermine women‘s contribution in the mainstream economy of the sector.
This language discourages other women entrepreneurs aspiring to join the
sector and thus defeating the political agenda of growing women-owned
businesses to balance the gender divide.
Despite the political agenda veering for increased absorption of women
entrepreneurs into the ICT sector, there are no provisions in ICT policy
passages supporting such. This however, is characteristic of developing
economies worldwide where policies do not encompass gender sensitive
strategies to ensure high uptake levels of women-driven entrepreneurship in the
SMME segment, especially in light of postulations considering SMMEs as
having potential to create the much needed jobs wanted by government (NDP
2013). In this regard, findings reveal anticipations suggesting it may be unlikely
for women entrepreneurs to create these jobs based on the high unemployment
rate, low education and skill attainment levels linked to the assertion that highly
qualified professional may contribute to unemployment figures in the SMME
segment. These findings are supported by the following statements.
Pertaining to education attainment and skill acquisition:
“You have to train employees to use the technology. For me coming into
the ICT environment…understanding the link between my computer and
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the shared network was just completely new. So I had to undergo
training…sometimes you get service providers that give you the tools that
you need but you do not get the right training for you to be able to utilise
them [ICT] to their fullest potential.”
Pertaining to employment:
“Another challenge is not having skilled people…like you [SMME] cannot
afford to hire highly skilled people for example, qualified
engineers…ha![short laugh] where would you get the money to pay
them…you just do not have that kind of money! not when you don?t even
know where you are going to get seed money to grow the business.”
6.2.1.2 Acknowledging information gap
This category was identified in relation to business information concerning:
i) Tenders not advertised. Findings suggest the lack of transparency in
government‘s procurement processes where information on available tender
opportunities were withheld to benefit preferred suppliers. This resulting in the
economic marginalisation of women entrepreneurs who although on
government‘s preferred supplier list, were denied the opportunity to tender for
work. Another finding was the claim that tender information was not obtainable
from some websites of private companies.
ii) Limited information about available SMME support interventions (structured and
unstructured). The findings revealed a majority of women entrepreneurs did not
know where to look for information concerning financial assistance as financial
institutions had turned them down on the grounds of not having a good credit
record and collateral. The following statement supports this finding:
“You know, as a person coming straight from varsity…still owing on study
loans, it is difficult to get a loan. You do not even have a salary. You
cannot be given funding because you do not have a financial record to
secure funding from the bank.”
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The inequality gap correlates with affirmations that women were far
inexperienced than men in the ICT field. The following statement supports this
finding:
“I think another problem for SMMEs to a degree concerns funding. They
are not trusted until they have proven themselves. But how can they prove
themselves if they do not get the support right from the beginning?”
This statement also correlates to the researcher‘s personal experience where
banks, before granting the loan go through a vetting (on paper) process which
involves evaluating the business plan to ascertain whether the enterprise is
financially viable, has accounting, management and marketing systems in
place including surety. The question of access to finance has been well
documented in entrepreneurship literature. Survey results attest to the high
discontinuity rate of start-up enterprises which are the most affected. In a
recent study (GEM 2013), findings reveal high discontinuity of start-up
businesses in South Africa compared to counterparts (Ghana, Zambia).
The findings discovered women entrepreneurs had developed a lack in initiative
to follow up on available sources of information. This finding was linked to an
affirmation that they did not know what kind of information to look for as they did
not know what was being offered by both government and the private sector. In
this regard, findings revealed a gap between urban, semi-urban rural
communities in terms of an information gap.
iii) Limited understanding of market related information: The findings revealed
women entrepreneurs did not know other women-owned ICT enterprises in the
local market and lacked an understanding of the ICT sector in terms of roles
players and regulatory framework.
6.2.1.3 Lacking access to resources
This category was identified in relation to barriers confronted by women
entrepreneurs in accessing funding concerning the following:
239
i) Experiencing difficulty in accessing funding for operating capital: Findings
revealed inequities in accessing funding due to restrictive loan application
qualifying criteria that was associated with poor credit rating and the
unavailability of collateral surety, this affected by one‘s employment record.
Women were disadvantaged over men who had been in employment longer
(more experience than women) and earning higher than women, although
having the same qualifications. This indicated gender disparity in earnings
which was a common factor in the workplace across countries worldwide (Acker
1992:250; StatsSA 2011). Concerning the ICT sector in Africa women earn less
than men in terms of average income figures from a survey conducted by
Research ICT Africa (2012) across 12 African countries.
ii) Lacking financial skills. Findings were that men had better financial
management skills than women.
“Women lack knowledge and education on how to run a business. For
some start-up businesses it is not easy as they are not familiar with
business operations such as, financial management.”
Findings also revealed that start-up entrepreneurs were likely to mismanage
finances due to lacking financial skills. The following statement suggested this
finding:
“A number of SMME?s struggle to stay afloat as they have either misused
money or cannot account for any of their income and in the process do not
make any profit.”
Either way, the consequences of not having financial skills, may drive
enterprises out of business. Findings also revealed that most women
entrepreneurs had to raise money from their own coffers to cover equipment
costs, telecommunications infrastructure set up costs, maintenance costs,
licensing fees, upgrading software and hardware costs. Consequences to this
were cash flow problems impacting on staff salaries, marketing and training
budget.
240
iii) Inequalities in accessing funding. The findings were linked to instances of
irregular adjudication processes which were not transparent enough hence the
economic marginalisation of women on the basis of not having inside
connections with officials disbursing grants. This was common where non-
governmental enterprises depended on government grants. The following
statement suggested this.
„To get funding SMMEs must know someone from inside or belong to a
„certain network group?
This finding corresponds to statements supporting corruption claims that women
entrepreneurs had to pay a percentage of the tender awarded as a trade-off.
These officials can be referred to as Ono 10% (fee charged on total amount of
tender awarded). The ?Ono‘ (plural) is a Xhosa translation referring to more
than one individual (officials extorting bribes from entrepreneurs). As attested
elsewhere in the literature review, corruption is viewed by some SMMEs as a
way of doing business and therefore one has the option to either join the
bandwagon (corruption) or ship out of business. These findings can be
summed up as an indication of loose internal intelligence systems on the side of
government.
Corruption in the context of women-driven entrepreneurship defeats the utopian
views anticipating women‘s meaningful contribution in the mainstream economy
of the ICT sector in the Eastern Cape Province in terms of job growth and
creation. The Easter Cape Women in ICT Awards mentioned in this study is
evidence of government‘s efforts in recognising women‘s role in the ICT sector.
One of the aims of this event is to counter the digital gender divide in the sector
through role modelling.
6.2.1.4 Disaggregated data
The unavailability of disaggregated statistics to demonstrate inequalities between
men‘s and women‘s access to ICT is a common finding across developing countries
worldwide (Research ICT Africa 2012).
241
In sum, theoretical sampling, prompted the researcher to get a thorough
understanding of thought processes underpinning women-driven entrepreneurship in
the context of socio-cultural, economic and political structural barriers embedded in
historical post-apartheid regime. These findings suggest a call for an activists
approach in raising awareness on women issues and concerns which although not
unique to other sectors, are unique viewed in the context of a sector perceived to be
difficult for both men and women to enterprise in based on the structural dynamics
articulated in the literature review. This compounded by the absence of a regulatory
framework. Although (at the time of writing) the ICT sector of Eastern Cape Province
had an ICT Strategy, the strategy did not cater for women entrepreneurs but was
gender sensitively biased to women in government. This gap defeats the realisation
of women‘s potential role in contributing to ICT driven-entrepreneurship especially in
rural areas where the gender divide is huge.
From a programme design and implantation point of view, a thorough review is
needed of ICT policy and ICT development programmes promoting women-driven
entrepreneurship. Based on the findings emerging from the constant comparison of
empirical statements and document analysis, very little was being done to empower
women in this provincial sector. From the perspective of women entrepreneurs,
policy makers and programme developers need to design specific interventions for
these women.
6.2.2 Responding to gender-based discrimination
This category subsumed the majority of categorical data. The analysis of statements
revealed that women were ready to take assertive action in changing their situation in
terms of meaningful engagement with technology for economic gain. The
suggestions about what government and the private sector should be doing were
clear messages that women entrepreneurs were very aware about the level of
gender mainstreaming in entrepreneurship needed. It was also interesting to note
from the findings that women were aware of the kind of changes expected of
government and the private sector to bridge the gender digital divide some of which
were short-to-medium and long term.
242
Despite strong evidence about the importance of the inclusion of women
entrepreneurs in the ICT sector, a gender gap still persists in the Eastern Cape
Province. Women remain underrepresented in the sector, particularly in technically
orientated and decision-making positions. Women‘s active participation in the ICT
sector is essential for the long-term growth and economic sustainability of the
Eastern Cape Province. What remains worrisome, however, emanates from the lack
of women entrepreneurs‘ understanding of the ICT sector which, affirmed from
findings, is impacting on the productivity and innovative output levels and
consequently causing the slow growth of women-owned enterprises in this sector
which. The lack of disaggregated data also compounds the problem. The availability
of disaggregated statistics and indicators are imperative in evaluating performance,
would encourage the rapid growth of women-owned enterprises including the
success stories of other women-driven entrepreneurial activities would accelerate
women‘s desire to enter the sector.
6.2.2.1 Acknowledging information gap
This category subsumed the majority of subcategories providing an expanded holistic
understanding of the reasons causing the information gap and women‘s intent to
advocate for change.
Based on the following background, women entrepreneurs are assertively intending
to advocate for an enabling environment (gender mainstreaming
policies/programmes) facilitated through government and private sector intervention.
Findings revealed the information gap was a result of information being inaccessible
from government offices especially at regional level. Affordability (telephone costs)
was a common theme identified as a barrier for women in accessing ICT services
and infrastructure and this was interpreted as a form of discrimination. This implied
to the ?slow‘ changes made by government in terms of addressing gender inequities
in rural entrepreneurship which according to the findings, was non-existing due to
inherent structural barriers perceived to be widening the gender digital divide attested
in the literature review. Findings also reveal that ICT training was a serious
limitation. This linked to low education (science and technology) attainment levels
and technical skills acquisition which were a consequence of historical structural
barriers influencing the digital gap. Another finding that was identified concerned the
243
need for government and private sector to support women entrepreneurs in terms of
up-skilling them (interventions targeting women specifically) in ICT skills; providing
information sharing workshops and road shows; and funding business-to-business
(B2B) networking events. This included the upgrading of infrastructure (access to
telecommunications and electricity) in rural areas where telecentres could be
established. Government was also expected to provide rental subsidies for office
space and to provide support for the establishment of ICT hubs to nurture innovation
levels through mentorship programmes.
Regarding marketing, the findings revealed women were lacking marketing skills and
market intelligence support (trading platforms) facilitated through government
outbound missions. These factors were linked back to economic structural barriers
linked to women‘s marginalisation from networking platforms. This correlated to
literature review affirming women‘s marginalisation from such platforms which were
considered an important source for information sharing especially for start-up
business. Another suggestion related to curbing irregular business deals in terms of
government monitoring and evaluating joint venture projects as women were taken
advantage of by established enterprises concerning unequal remuneration although
the scope of work done was equal to that done by established enterprises.
Concerning specific interventions aimed at promoting women-driven
entrepreneurship, suggestions were that private companies should afford women
offering ICT training, an opportunity to train their employees. This included an
expectation that private companies‘ develop mentorship programmes specifically
targeting women-owned ICT enterprises. Although there was an acknowledgement
regarding action taken by government in terms of the ICT BEE scoring card, which
gives women additional points over men to enable them to compete favourably, the
findings revealed women entrepreneurs were not benefiting from the scoring point
system. Women entrepreneurs interpreted this as discrimination levelled against
them as they had an entitlement to such but were denied tender opportunities due to
irregular tender adjudication procedures that were perpetuating corruption.
In conclusion, these findings, viewed through a cyberfeminism lens, suggested
women entrepreneurs were acutely aware of how gender insensitive the sector was
244
and the need for assertive action to change the situation although not knowing how
to go about with it.
The barriers and constraints identified from the findings are similarly observed from
well researched studies that have paid particular attention to research, on the status
of women in ICT in developing countries in Africa, South Africa and in particular in the
Eastern Cape Province conducted by Adomi (2011), Buskens & Webb (2009),
Chisango and Lesame (2014), Lesame and Seti (2014), Elnaggar (2007), Heeks
(2010), Hafkin (2002), Hafkin and Heyer (2006), James et al. (2006), Kelley (2013),
Lesame (2008), Maier and Nair-Reichert (2007), Obayelu and Ogunlade (2006) who
identified the following aspects that were congruent to the findings of this study: i)
The economic marginalisation of women entrepreneurs in the ICT sector; ii) The
underrepresentation of women entrepreneurs in core ICT positions; iii) Insecurities
held by women induced by gender stereotypes; iv) Lack of access to ICT
infrastructure – physical access; v) Lack of local ICT content; vi) Gender
empowerment lacking; vii) The focus on professional development rather than
entrepreneurial development in ICT; viii) Lack of attention to rural areas where
economic activity could be resuscitated by SMMEs; ix) Low levels of innovation; x)
Lack of awareness on policy advocacy; xi) Women lacking networking skills; xii) ICT
usage – dominantly confined to application rather than for economic gain; xiii)
Women subjected to sexual harassment; and xi) The lack of women role models in
the ICT sector.
The researcher‘s interpretations of the findings were confirmed through member
checks with participants (Strauss & Corbin 1998:157; 2008:115). The researcher
conducted that research process via email to communicate a summary of findings to
the participants, since it was practically too difficult and time consuming to schedule
member checking meetings to confirm the research findings. According to the
participants, the findings were a true reflection of the prevailing state of affairs in
respect to women-driven entrepreneurship characterised by gender-based
discrimination and them responding to gender-based discrimination.
The researcher‘s interpretation of the findings confirmed the answers to the research
questions seeking to understand how women entrepreneurs: i) conceptualised
entrepreneurship and ICT as a technology and sector; ii) why the ICT sector is
245
regarded as a critical enabler in advancing women driven entrepreneurship; iv) in
what ways ICT was employed as an offering to gain financial gain; and v) their
understanding of the role played by both government and the private sector in
promoting SMME women driven entrepreneurship within the sector of the province.
6.3 STUDY RECOMMENDATIONS
Based on the in-depth insights that emanated from the interviews, several
recommendations are proposed.
6.3.1 Addressing economic stumbling blocks
A stakeholders‘ forum needs to be established as a platform for dealing with
strategies that enable women entrepreneurs in the ICT sector to access financial
support. Collaboratively, the business community, investment community,
government agencies responsible for the support of small businesses, and policy
makers of the ICT Sector Code for BEE (scorecard) have to be active contributors at
such a platform. This is one of the issues women entrepreneurs identify as a critical
success factor for their sustainability in the sector.
6.3.2 Government enforcing sunset clauses
Government needs to enforce sunset clauses in their procurement policies that
specifically apply to women entrepreneurs in the ICT sector of the Eastern Cape
Province in order to address the unique challenges in this sector.
6.3.3 Start-up funding
A special start-up fund needs to be provided by existing agencies for women in the
ICT sector. This aspect can be a short to medium intervention whilst strategies are
developed for long-term interventions (Section 7.3.1).
6.3.4 Capacity building and training
Women ICT enterprise owners lack knowledge about the ICT sector, including
business and management skills. Training interventions (based on a skills audit)
need to be designed. Having a leadership programme for entrepreneurs would
effectively address continued learning, since short-term interventions do not factor in
246
progress evaluation over a longer period. One of the participants suggested that up-
skilling should be extended over a long period because entrepreneurs (especially
one-man driven enterprises) could not afford to leave their business for a protracted
period of time. This disconnect could contribute to low levels of attendance. Other
participants suggested mentorship programmes to create a level of comfort that there
would be a person holding their hand and guiding them to develop core skills that an
ICT entrepreneur required. Addressing the aspect of capacity building would assist
with increasing the representation of women in core technical environments.
6.3.5 Government and private sector collaboration
Collaboration in the form of having leadership institutions with the mandate of
facilitating the convergence of ICT organisations with mutual interests, including
academia that deal with female orientated entrepreneurship and innovation. Such
leadership institutions would raise the awareness of different women issues and
needs. This would assist with addressing gender sensitivity in entrepreneurship.
6.3.6 Raising the visibility of women entrepreneurs in the ICT sector of the
Eastern Cape Province
This is an important aspect as there is great potential to have many women joining
the sector by learning from successful case studies. This would be an open
opportunity for government and the private sector to include networking platforms
into their social responsibility projects. Such a project would include a database of
successful women from the Eastern Cape Province with the view of hosting host ICT
workshops for a network of women entrepreneurs in the sector. Such a project
would support a process for successful women to formally mentor emerging ICT
enterprises. The findings did state that when women entrepreneurs are faced with
difficulties, they are inclined to close business and return to full employment. The
literature review attests to the fact that motivation plays an important role in
entrepreneurship.
6.3.7 Establishing a business networking forum for women in ICT
This platform could be used by government and the private sector to disseminate
information about business opportunities for women in the ICT sector and to get
247
feedback in the form of business surveys to improve their programmes. One of the
participants claimed surveys that interrogated the main motivating factors of an ICT
enterprise would benefit women entrepreneurs who aspired to join the sector by
highlighting lessons about successes and challenges. This statement emphasised
that existing surveys were too superficial to really discover the state of women-driven
entrepreneurship in the sector.
6.3.8 Academia encouraging (funding) research studies
Academia should focus on women-driven entrepreneurship and government should
commission research that specifically takes care of the circumstances of women
entrepreneurs in the ICT sector of the Eastern Cape Province. This would increase
the number of women in the Eastern Cape Province with the potential to create
business consulting opportunities in the field of research.
6.3.9 Government improving its payment turn-around time
On paper, the turn-around time for payment is 30 days. However, in principle
payment is often done after the stipulated 30-day period. If government enforces
strict measures in its procurement processes and procedures, the payment period
could be reduced to less than 30 days.
6.3.10 Private sector and academia (career search campaigns) should target
women in rural areas
Learnership programmes (rural out-reach programmes) in ICT could be offered.
These programmes would include internships memorandums of understanding
(MOUs) between private companies and academia to arrange the allocation of
students to ICT enterprises.
6.3.11 Ethics workshops for all government employees in the supply chain
environment
These workshops need to be conducted in order to eradicate corrupt behaviour by
officials. B-BBEE workshops would also assist them to understanding the value that
SMMEs add to the marketplace. Participants were very vocal about government
officials who did not understand the value that these ICT enterprises were adding.
248
6.3.12 Partnerships with academic institutions
Academic entities could design programmes for women entrepreneurs in ICT. The
EC ICT Strategy cites the intent do establish an academy, however, at the time of
submitting this thesis, no evidence was available that suggested measures to
establish such an institution.
6.3.13 Private sector providing opportunities that promote diversity in their
supply chain systems
Accredited ICT training providers should be given an opportunity by private
companies to train their staff.
6.3.14 Private sector to conduct market research
Research in the ICT sector of the Eastern Cape should build a business case for
interventions that target women.
6.3.15 The development of a comprehensive Eastern Cape ICT directory
Such a directory would enable ICT enterprises to access finance and opportunities,
such as organisations that support women-owned ICT enterprises.
6.3.16 Government and the private sector joining hands
Together, the public and private sectors should design strategies to reach the women
entrepreneurial market in rural areas and to identify support programme mechanisms
in areas where there are many women entrepreneurs.
6.4 CONTRIBUTION OF THE STUDY TO THE FIELD OF COMMUNICATION
SCIENCE
It is the researcher‘s hope that this research makes a contribution that is appreciated
by government, the private sector, the ICT research community, and the women
entrepreneurs in the ICT sector. These stakeholders stand to benefit from this
research study in terms of gaining a deeper understanding of the status quo of
women-driven entrepreneurship in the ICT sector of the Eastern Cape Province.
249
The findings, the researcher envisages, might inform the improvement of the ICT
sector in the Eastern Cape in terms of policy guidelines, effective programme
implementation, and the research community to become more interested in women-
driven entrepreneurship to encourage increased participation by women
entrepreneurs in the sector.
Findings from this study may be used by government policy makers to adapt their
initiatives and programmes by assessing the status quo. The focus should be
providing education and training programmes to women entrepreneurs that go
beyond business start-ups. Those training programmes need to include growth and
targeted initiatives with the purpose of providing women entrepreneurs with equal
access and opportunity – as for their male counterparts – to the mainstream
economy of the Eastern Cape ICT sector.
Disaggregated sex statistics should include the gender of those entrepreneurs who
start and run ICT enterprises, the variety of industries in which women entrepreneurs
participate, and the contribution of women-owned ICT enterprises to job creation.
These statistics would assist with focusing attention on women-driven
entrepreneurship. Then, researchers could hone in on specific areas of the ICT
industries to investigate issues of concern in relation to women entrepreneurs. This
would broaden the availability of reliable literature specific to the Eastern Cape
Province.
The findings suggest the research can be generalised to other women entrepreneurs
in the other provinces of South Africa, since gender-based discrimination appears to
be a common phenomenon influencing women-driven entrepreneurship.
6.5 CONCLUSIONS
The rationale for prioritising SMME women is premised on their potential ability to
contribute to the alleviation of the socio-economic challenges, especially in rural
areas, facing most developing economies; such as unemployment, poverty, and low
levels of economic development.
From a South African perspective, SMME development is viewed as an appropriate
strategy that could assist government with its endeavours of bridging the gap that
250
exists between the formal and informal sectors of the economy (first and second
economy). Since the Eastern Cape Province has a large informal economy, it is not
immune to the divide between the formal and informal sectors. To date, the Small
Enterprise Development Agency (SEDA) of government has utilised various
approaches to facilitate the entry, development, and integration of small enterprises
into the mainstream economy of other sectors but has not been successful in the ICT
sector as the perceived impact seems to be minimal. The SMME women
entrepreneurs interviewed in this study confirmed this perception.
The empirical findings suggest there are fundamental structural issues that need to
be addressed in order to unlock the economic blockages that obstruct women-driven
entrepreneurship in the ICT sector. The researcher confirms that findings are an
authentic reflection of what is happening in reality. Although the Eastern Cape ICT
Strategy provides for a governmental programme of action to support women
entrepreneurs in the ICT sector, very little is done to assist SMME women
entrepreneurs who remain economically marginalised on the basis of gender.
Surprisingly, albeit women entrepreneurs face challenges, these women appear to
have the vigour to survive. This is demonstrable in the assertive action that women
take in advocating for change in the public and private sectors to provide proper
support to women-driven entrepreneurship. Constant comparison augments the
process of confirming and validating the findings. The promotion of women-driven
entrepreneurship can only be successful when government and the private sector
embark upon joint partnerships.
251
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MMUNICATIONANDTECHNOLOGIES/0,,contentMDK:21035032~menuPK:282850~
pagePK:210058~piPK:210062~theSitePK:282823~isCURL:Y,00.html Accessed on
2011/03/4
World Economic Forum. The Global Competitiveness Report 2008-2009. [O].
Available:
www.weforum.org/en/initiatives/gcp/Global%20Competitiveness%20Report/index.ht
m Accessed on 2011-06-22
World Economic Forum. The Global Competitiveness Report 2012. [O]. Available:
http://www3.weforum.org/docs/WEF_GlobalCompetitivenessReport_2012-13.pdf
Accessed on 2012/12/14
World Economic Forum. The Global Competitiveness Report 2013. [O]. Available:
http://www3.weforum.org/docs/WEF_GlobalCompetitivenessReport_2012-13.pdf
Accessed on 2013/10/23
World Economic Forum. The Global Information Technology Report 2010-2011.
Transformations 2.0 10
th
Anniversary edition. [O]. Available:
http://www3.weforum.org/docs/WEF_GITR_Report_2011.pdf Accessed 2011/06/23
World Economic Forum. The Global Information Technology Report 2012. [O]
available: http://www3.weforum.org/docs/Global_IT_Report_2012.pdf Accessed on
2012/08/15
World Economic Forum. The Global Information Technology Report 2013. [O]
available: http://www3.weforum.org/docs/WEF_GITR_Report_2013.pdf Accessed on
2013/12/11
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Young, J. South Africa plans for an expanded ICT sector Mon, 05 Aug 2013 14:19.
[O]. Available: http://www.frontiermarketnetwork.com/article/2369-south-africa-plans-
for-an-expanded-ict-sector#.Uu47_D2Szzw Accessed on 2013/12/10
287
APPENDIX A: CONSENT FORM
TITLE: Women-driven entrepreneurship in the information and communication
technology sector: A grounded analysis of small, micro, and medium
enterprises of the Eastern Cape Province
Date ......../........./.........
Dear prospective research participant.
1. INTRODUCTION
You are invited to participate in this research study undertaken for a Doctoral Study
at the University of South Africa (UNISA).
Before you agree to take part in this study, you should fully understand what is
involved.
If you have any questions that are not fully explained in this leaflet do not hesitate to
ask the researcher.
If you agree to volunteer to participate, you will be asked to sign the consent letter.
2. THE NATURE AND PURPOSE OF THIS STUDY
The aim of this research study is to provide a grounded analysis of women-driven
entrepreneurship in the Small, Micro, and Medium Enterprises (SMMEs) segment of
the information communication technology (ICT) sector of the Eastern Cape
Province. You have specifically been selected for participation in this research study
based on your experience as an entrepreneur currently enterprising in this sector.
3. EXPLANATION OF PROCEDURES TO BE FOLLOWED
A theme of questions will be asked by the researcher and the interview will last for
approximately 30 to 45 minutes. Please be advised the researcher will be recording
the interview. Although the researcher will be taking some notes during the session,
it may not be possible to write fast enough to record everything. Because the
interview is recorded, please be sure to speak up so that we don‘t miss your
comments.
288
4. RISK AND DISCOMFORT INVOLVED
The research will not involve any physical, emotional, and psychological discomfort.
5. POSSIBLE BENEFITS OF THIS STUDY
Participation in this study will give you the opportunity to share your experiences that
will contribute to improvements in the implementation of policies aimed at promoting
women-driven entrepreneurship within the ICT sector of this province.
I understand that if I do not want to participate in this study, it will not be held against
me.
I may at any time withdraw from this study.
6. ETHICAL APPROVAL
The study adheres to the guidelines of the ethical committee of The University of
South Africa (UNISA). You are free to discuss your participation in this study with the
researcher contactable on [email protected]. If you would like to speak to a
representative of the university, you may contact Dr N. C. Lesame in the Department
of Communication Science via email: [email protected].
7. INFORMATION
I have read the information contained in the consent form and any questions I have
asked have been answered to my satisfaction and any further questions will be
addressed to:
Name of candidate: Miss Naledi Sekeleni
Contact details of researcher: email:[email protected]
8. CONFIDENTIALITY
All records obtained during this study will be regarded as confidential. Results will be
published or presented in such a fashion that you remain unidentifiable.
289
Feedback
If you would like to be invited to a meeting where the findings will be presented or if
you are interested in obtaining a summary of the findings, please write your e-mail
address below or indicate how you would like to be contacted to receive a summary.
9. CONSENT TO PARTICIPATE IN THIS STUDY
I hereby wish to take part in this study.
I have received a signed copy of this informed consent agreement.
............................................................... ……………………………………
Person obtaining informed consent Date
(Full name)
............................................................. …………………………………….
Researcher: Date
(Full name)
290
APPENDIX B: REQUEST TO THE ORGANISATION TO ACCESS DATABASE
8 Mgwali Crescent
Sunnyridge
East London
5201
5 December 2012
Dear Mr Louw
REQUEST: ICT SMME DATABASE
Could you kindly assist me with regard to the following matter?
I am conducting research in fulfilment of my PhD studies at UNISA (approval by the
ethics review committee is attached) and my sample is CIPRO registered SMMEs ()
trading in the ICT (Information, Communication, Technology) sector of the Eastern
Cape Province. I am specifically researching women-owned companies.
However, I‘m currently struggling to find ICT companies let alone women-owned
based on the following:
? A majority is not listed in the telephone directory, i.e. yellow pages;
? A majority is not listed in the register of business chambers / associations /
ISETT-SETA; and
? A majority work from home, therefore, they are not easily identifiable.
I had placed advertisements in local newspapers in the past two months but it was a
fruitless exercise, hence I am appealing for your assistance to kindly assist in
providing me with a database of SMME companies trading in the ICT sector. All I
need from you would be the contact details of the company and I will contact the
company to identify whether the company is women-owned or not.
291
I do realise that you may not have a segregated database which would categorise
companies according to either gender, ICT ventures but I am convinced that these
companies might be identified by a commodity type index / code search.
Your assistance in this regard would be highly appreciated and I confirm that this
information is going to be used solely for purposes of facilitating my studies and
would not be divulged to any persons.
Regards
Naledi Sekeleni
PhD Candidate
University of South Africa (UNISA)
Tel: 078 302 2959
Fax: 086 510 9563
Email: [email protected]
292
APPENDIX C: INVITATION: PARTICIPATION IN RESEARCH STUDY
8 Mgwali Crescent
Sunnyridge
East London
5201
20 August 2013
The Executive Manager
East London IDZ, Zone 1C
eMonti Science and Technology Park, Block B
Off Lower Chester Road
Dear Ms Patricia Dlamini
REQUEST: PARTICIPATION IN RESEARCH STUDY
You are invited to participate as a businesswoman in the ICT sector in this research
study undertaken for a doctoral study at the University of South Africa (UNISA) by
Naledi Sekeleni in the Department of Communication Sciences under the supervision
of Dr N. C. Lesame who is contactable via email: [email protected].
The study adheres to the guidelines of the ethical committee of the University of
South Africa (UNISA).
The aim of this research study is to provide a grounded analysis of women-driven
entrepreneurship in the Small, Micro, and Medium Enterprises (SMMEs) segment of
the information communication technology (ICT) sector of the Eastern Cape
Province.
You have specifically been selected for participation in this research study based on
your experience and involvement in the ICT sector of the province. Your invaluable
input will contribute towards the objectives of the study that seek to introduce
293
improvements in the implementation of policies aimed at promoting women-driven
entrepreneurship in the ICT sector of this province.
A theme of questions will be asked and the interview will last approximately 30 to 45
minutes.
All records obtained whilst in this study will be treated confidentially. Results will be
published or presented in such a fashion that you remain unidentifiable.
I, therefore, seek permission to arrange an appointment through your secretary at a
suitable time for us to conduct the interview.
Regards
Naledi Sekeleni
PhD Candidate (07383312)
University of South Africa (UNISA)
Tel: 078 302 2959
Fax: 086 510 9563
Email: [email protected]
294
APPENDIX D: EMAIL APPROVAL FROM MICTSETA TO USE ITS
GRAPHICAL USER INTERFACE (GUI) INFORMATION
Naledi Sekeleni <[email protected]>
Request for information
Sekgana Makhoba <[email protected]> Tue, May 13, 2014 at
12:08 PM
To: Naledi Sekeleni <[email protected]>
Cc: Oupa Mopaki <[email protected]>, Tia Maloka
<[email protected]>
Good Morning Naledi
Thank you for your request.
I hereby grant the permission to use the information from the MICTSETA Sector
Skills Plan 2013-2018 as per your request below.
Please make sure that the source is properly referenced.
Regards
295
APPENDIX E: INTERVIEW GUIDE FOR INDIVIDUAL INTERVIEWS
Date of interview: …/…./….
INTERVIEW GUIDE FOR INDIVIDUAL INTERVIEWS
PART I: CLOSED-ENDED QUESTIONS
SECTION A: DEMOGRAPHIC INFORMATION – PERSONAL DETAILS OF
WOMAN ENTREPRENEUR
Please provide me with the following information by selecting the correct answer and
indicating it with a tick (?) in the applicable box.
FOR OFFICIAL USE / RECORD NUMBER
Participant number (e.g. 1, 2, 3): …………………………….
Question 1
Please indicate
your age group.
Question 2
What is your race
group?
Question 3
What is
your
highest
educational qualification
in ICT?
SECTION B: ICT ENTERPRISE RELATED INFORMATION (ICT Enterprise
Development and Operations)
1
25 - 35 36 - 45 46 - 55 +55
2-5
6-9
Black White Asian Coloured
Grade 12 Certificate
course
Diploma Bachelors Degree MA Degree
10-14
296
Question 4
What is your role in
the ICT enterprise?
Question 5
What type of
ICT enterprise is
your business?
Question 6
What
industry
type is your
ICT
Enterprise?
Question 7
What ICT product(s) or service(s) are offered by the enterprise?
Question 8
What is the ICT
enterprise‘s market
segment, e.g. where are your clients located?
Question 9
How many years has the ICT
enterprise been in business?
Question 10
What SMME
category
does the
enterprise fall
under?
15-17
Sole owner Part owner Manager in charge
Sole Proprietor Closed
Corporation
Cooperation Cooperative
18-21
Manufacturing Production Services Retail Importer Exporter
22-27
28
Local National Regional International
29-32
1-5 6-10 11 -20 + 20
33-36
Micro
e.g. 1-5
employees
Very small
e.g. 5-10
employees
Small
e.g. 10-100
employees
Medium
e.g. +100
employees
37-40
297
Question 11
How many people are
employed by the ICT
enterprise?
Question 12
What is the
ICT education
level of
employees in the enterprise?
Question 13
What is the total annual
turnover (in millions) of the ICT
enterprise?
PART II: OPEN-ENDED QUESTIONS
SECTION C: BUSINESS KNOWLEDGE INFORMATION
Question 14
In your own understanding, how would you define the term entrepreneurship? Please
elaborate.
……………………………………………………………………………………………………
…………………………………………………………………………………………………..
Question 15
What problems, in your view, are encountered most by SMMEs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
What, in your, opinion are the challenges faced by women entrepreneurs? Please
1-5 6-10 11 -100 + 100
41-44
45-49
Grade 12 Certificate
Course
Diploma Bachelors Degree MA Degree
0-1 2-5 6-10 + 10
50-53
298
elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 17
What is your understanding of the term ICT? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 18
In your view, what is the role of ICTs in business? Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 19
What problems do SMMEs have with ICTs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 20
In your own words, can you please describe your understanding of the ICT sector,
e.g. how the sector is structured, applicable legislation, and policy? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 21
How are women stimulating entrepreneurship in the ICT sector? Please elaborate.
299
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 22
Describe ways in which SMME women entrepreneurs use ICTs as a core product or
service of the ICT enterprise. Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 23
Describe the enterprise‘s value chain of business processes, e.g. that relate directly
to the delivery of the enterprise‘s core products or service. Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 24
How often does the enterprise introduce new products or services and what informs
the decision to do so? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION D: ROLE OF GOVERNMENT IN SMME DEVELOPMENT
Question 25
What is government currently doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 26
300
What more should government do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION E: ROLE OF PRIVATE SECTOR IN SMME DEVELOPMENT
Question 27
What is private sector doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 28
What more should the private sector do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
The end
Thank you for time.
301
APPENDIX F: INTERVIEW GUIDE FOR PRIVATE SECTOR EXPERT
Date of interview: …/…./….
INTERVIEW GUIDE FOR PRIVATE SECTOR EXPERT
PART I: CLOSED-ENDED QUESTIONS
SECTION A: DEMOGRAPHIC INFORMATION – PERSONAL DETAILS OF
WOMAN ENTREPRENEUR
Please provide me with the following information by selecting the correct answer and
indicating it with a tick (?) in the applicable box.
FOR OFFICIAL USE /
RECORD NUMBER
Participant number (e.g. 1, 2, 3): …………………………….
Question 1
Please state your age.
Question 2
What is your race group?
Question 3
What is
your
highest
educational qualification in ICT?
1
25 - 35 36 - 45 46 - 55 +55
2-5
6-9
Black White Indian Coloured
Grade 12 Certificate
course
Diploma Bachelors
Degree
MA Degree
10-14
302
SECTION B: ICT ENTERPRISE RELATED INFORMATION (ICT Enterprise
Development and Operations)
Question 4
What is your role in
the ICT enterprise?
Question 5
What type of
ICT
enterprise is your business?
Question 6
What
industry
type is your ICT Enterprise?
Question 7
What ICT product(s) or service(s) are offered by the enterprise?
……………………………………………………..
Question 8
What is the ICT enterprise‘s
market segment, e.g. where
your clients are located?
Question 9
How many years has the ICT
enterprise been in business?
15-17
Sole owner Part owner Manager in charge
Sole Proprietor Closed corporation Cooperation Cooperative
18-21
Manufacturing Production Services Retail Importer Exporter
22-27
28
Local National Regional International
29-32
1-5 6-10 11 -20 + 20
33-36
303
Question 10
What SMME
category
does the
enterprise fall
under?
Question 11
How many people are
employed by the ICT
enterprise?
Question 12
What is the ICT
education level
of employees in
the enterprise?
Question 13
What is the total annual turnover
(in millions) of the ICT
enterprise?
PART II: OPEN-ENDED QUESTIONS
SECTION C: BUSINESS KNOWLEDGE INFORMATION
Question 14
In your own understanding, how would you define the term entrepreneurship? Please
elaborate.
……………………………………………………………………………………………………
…………………………………………………………………………………………………..
Micro
e.g. 1-5
employees
Very small
e.g. 5-10
employees
Small
e.g. 10-100
employees
Medium
e.g. +100
employees
37-40
1-5 6-10 11 -100 + 100
41-44
45-49
Grade 12 Certificate
Course
Diploma Bachelors
Degree
MA Degree
50-53
0-1 2-5 6-10 + 10
304
Question 15
What problems, in your view, are encountered most by SMMEs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 16
What, in your opinion, are the challenges faced by women entrepreneurs? Please
elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 17
What is your understanding of the term ICT? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 18
In your view, what is the role of ICTs in business? Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 19
What problems do SMMEs have with ICTs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
305
Question 20
In your own words, can you please describe your understanding of the ICT sector,
e.g. how the sector is structured, applicable legislation, and policy? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 21
How are women stimulating entrepreneurship in the ICT sector? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 22
Describe ways in which SMME women entrepreneurs use ICTs as a core product or
service of the ICT enterprise. Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 23
How do you regard the level of innovation in these ICT enterprises? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION D: ROLE OF GOVERNMENT IN SMME DEVELOPMENT
Question 25
What is government currently doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
306
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 26
What more should government do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 27
What is the private sector doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 28
What more should the private sector do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
The end
Thank you for time.
307
APPENDIX G: INTERVIEW GUIDE FOR GOVERNMENT SECTOR EXPERT
Date of interview: …/…./….
INTERVIEW GUIDE FOR GOVERNMENT SECTOR EXPERT
PART I: CLOSED-ENDED QUESTIONS
SECTION A: DEMOGRAPHIC INFORMATION – PERSONAL DETAILS
Please provide me with the following information by selecting the correct answer and
indicating it with a tick (?) in the applicable box.
FOR OFFICIAL USE /
RECORD NUMBER
Participant number (e.g. 1, 2, 3): …………………………….
Question 1
Please state your age:
Question 2
What is your race group?
Question 3
What is your
highest
educational
qualification in ICT?
SECTION B: ICT ENTERPRISE RELATED INFORMATION (ICT Enterprise
Development and Operations)
Question 4
1
25 - 35 36 - 45 46 - 55 +55
2-5
6-9
Black White Indian Coloured
Grade 12 Certificate
course
Diploma Bachelors
Degree
MA Degree
10-14
15-17
Sole owner Part owner Manager in charge
308
What is your role in the
organisation?
Question 5
What
department
do you work in?
Question 6
What
industry
type is your
department?
Question 7
What ICT product(s) or service(s) are offered by the enterprise?
……………………………………………………..
Question 8
What is the ICT enterprise‘s
market segment, e.g.
where your clients are located?
Question 9
How many years has the ICT
enterprise been in business?
Question 10
What SMME
category
does the
enterprise fall
under?
18-21
Manufacturing Production Services Retail Importer Exporter
22-27
28
Local National Regional International
29-32
1-5 6-10 11 -20 + 20
33-36
Micro
e.g. 1-5
employees
Very small
e.g. 5-10
employees
Small
e.g. 10-100
employees
Medium
e.g. +100
employees
37-40
309
Question 11
How many people
are employed by
the ICT enterprise?
Question 12
What is the
ICT education
level of
employees in the enterprise?
Question 13
What is the total
annual turnover (in
millions) of the ICT
enterprise?
PART II: OPEN-ENDED QUESTIONS
SECTION C: BUSINESS KNOWLEDGE INFORMATION
Question 14
In your own understanding, how would you define the term entrepreneurship? Please
elaborate.
……………………………………………………………………………………………………
…………………………………………………………………………………………………..
Question 15
What problems, in your view, are encountered most by SMMEs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
1-5 6-10 11 -100 + 100
41-44
45-49
Grade 12 Certificate
Course
Diploma Bachelors
Degree
MA Degree
0-1 2-5 6-10 + 10
50-53
310
Question 16
What, in your opinion, are the challenges faced by women as entrepreneurs? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 17
What is your understanding of the term ICT? Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
Question 18
In your view, what is the role of ICTs in business? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 19
What problems do SMMEs have with ICTs? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 20
In your own words, can you please describe your understanding of the ICT sector,
e.g. how the sector is structured, applicable legislation, and policy. Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 21
How are women stimulating entrepreneurship in the ICT sector? Please elaborate.
311
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 22
Describe ways in which SMME women entrepreneurs use ICTs as a core product or
service of the ICT enterprise. Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 23
How do you regard the level of innovation in these ICT enterprises? Please
elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION D: ROLE OF GOVERNMENT IN SMME DEVELOPMENT
Question 25
What is government currently doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 26
What more should government do? Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
SECTION E: ROLE OF THE PRIVATE SECTOR IN SMME DEVELOPMENT
Question 27
312
What is the private sector doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and initiatives?
Please elaborate.
…………………………………………………………………………………………………
…………………………………………………………………………………………………
Question 28
What more should the private sector do? Please elaborate.
…………………………………………………………………………………………………
………………………………………………………………………………………………..
The end
Thank you for time.
313
APPENDIX H: APPROVAL BY THE ETHICS REVIEW COMMITTEE OF THE
COLLEGE OF HUMAN SCIENCES AT THE UNIVERSITY OF
SOUTH AFRICA
College of Human Sciences
Department of Communication Studies
08 April 2014
Reference number: 2014_CHS_Student_CommSt_001
Proposed title: Women-driven entrepreneurship in the ICT sector in the Buffalo City
and Nelson Mandela metropolitan areas of the Eastern Cape Province: A Grounded Analysis
Principal investigator: Department of Communication Science
Approval status recommended by reviewers: Approved
The Ethics Review Committee of the College of Human Sciences at the University of South
Africa has reviewed the proposal and considers the methodological, technical and ethical
aspects of the proposal to be appropriate to the tasks proposed.
Ms Naledi Sekeleni is requested to maintain the confidentiality of all data collected from or
about research participants, and maintain security procedures for the protection of privacy.
The committee needs to be informed should any part of the research methodology as
outlined in the Ethics application (Ref. Nr.2014_CHS_Student_CommSt_001) change in any
way.
It is the responsibility of the principal investigator to ensure that the research project adheres
to the values and principles expressed in the UNISA Research Ethics Policy, which can be
found at the following website:
http://www.unisa.ac.za/cmsys/staff/contents/departments/res_policies/docs/Policy_Research
%20Ethics_rev%20app%20Council_22.06.2012.pdf
This certificate is valid for two years.
Sincerely
Mr D Wigston
Departmental ERC of Communication Science
College of Human Sciences
314
APPENDIX I: SAMPLE INTERVIEW 1 TRANSCRIPT – EARLY CODING LINE-BY-LINE
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
Q14 1
2
3
4
5
What is entrepreneurship? Please elaborate.
?That‘s what I‘m living for.
Entrepreneurship in my view is really about
running your business.
I cannot think of anything else… more than that?.
The ?business‘ * income*profit*
Explaining
Operating*in charge business activities*‘your‘- owner
Affirming
Q15 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
Generally what problems are faced by SMMEs? Please elaborate.
I think the first one is… eh! ?Pause]… funding, or capital rather.
And again it‘s the market.
Like you are ?competing? with people who have been in existence and you have
just come in.
And than on the other side you have the limitation of finances.
So, you are unknown, you do not have money, resources and…
Ha! soft ?laugh]... so you are unable to convince people why they
should stop going to the people they trust, people who have always been there and
come to you when you are going to give them a half-cooked service.
So I think those are the major things, obviously with the limitations of
funding…
Err! ?pause]… you have office running costs, you have people that need to be
paid you know,
You have to buy material like stationery and all what you call stock in
manufacturing terms… and… [sigh]
So, yea! It is those challenges that kind of make it difficult?
Accessing funding * capital
Operating environment * customers
New enterprise competing with established business
new enterprise * low motivation
Financial constraints * limited marketing activity
New enterprise* financial and resource constraints
emotional expression * ineffective marketing
Stopping customers*trusting established enterprise
Customers not coming *service planning problems
Affirming * limited funding
Office running costs*paying people
Affirming ?you know‘
Buying material
Affirming ?yea‘
Q16 1
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What in your opinion are the challenges faced by women as entrepreneurs?
?I guess again, obviously taking the second challenge I was talking about which is
marketing… if I could pass through that… at first I was thinking that we would have
more of walk-in clients… ?sigh]… but as we started the business we realised that we
do not have much of walk-in clients because there is… [Company] around the
corner… ?sigh]… which is well known, so people would rather go there although
you still have the same machine, they know… [Mentions company] more.
So, this means you cannot rely on walk-in clients,
you have to go out there and market to bigger businesses like… ?mentions name]
and the training providers.
Err! ?Pause]… I suppose that things in the [country] are slowly changing as women
are a bit ?shrugging] recognised these days [meaning as business women] than
before.
You will find that sometimes people [women entrepreneurs] are busy. Like now, we
Reflecting *referring
Marketing*taking action * miscalculated decision
Despair
Limitation *‘walk-in clients‘ * close by competitor
Despair*affirming competition*preferring
Comparing service offering ?same machine‘
Acknowledging competitor‘s service diversification
Confirmation of decision taken ?cannot rely‘
Taking action *taking action, making choices
Decision-making on choice of clientele segment
Change in talk* Assuming* acknowledging change
Slow*despondent *noticing action
Comparing
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are having a meeting after hours to do the interview taking a risk to meet with a
stranger.
We women are both mothers and nurtures of our families.
As you saw this afternoon I had to pick up my kids first, drop them off at home
before coming to the office.
But with men you will find that they do not have some of the responsibilities that
we have so they do have time to go out there and market themselves [business].
Again they do not have time limits where you would as a women feel like it is
improper to meet [business meeting] with a man in some restaurant at night.
I think opportunities [business] are there, because discrimination no longer exists
[sarcastic smile], unlike before where I would go to the bank and be told because
you are a woman you cannot get this [previously denied on the grounds of being a
woman].
As you may know… I think the government is opening up opportunities for women-
owned businesses?.
Offering evidence*offering evidence ?busy‘
Specifying time * personal judgement on action
Generalisation* clarifying dual domestic roles offering
evidence* prioritising ?kids first‘
Prioritising ?before coming to the office‘
Comparing gender roles
Affirming action taken by men ?market themselves‘
Affirming gender role differences
Socio cultural moral judging
Affirming improvement in accessing bank loans
Giving evidence
Giving evidence *gender-based discrimination
Verifying evidence *opportunities for ?women owned
businesses‘
Q16 1
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What is your understanding of the term ICT? Please elaborate.
?Well I am running this business that has IT (Information Technology) and
communication and what, what [laughs] but I am really not an IT expert
I just know the basics that it is a means of communication, it makes people‘s
lives easier…
I mean it has kind of …err! ...moved things from what they were before…
were people would have to wait for letters to reach them after a month or
so, now you can even communicate with somebody from overseas and they
get the message instantly. I mean, you can skype, I just know it is some form
of information sharing that has made life a lot easier for everybody?.
Action
Acknowledging limited technology knowledge
Affirming limited knowledge
Acknowledging benefit
Comparing pervious
confirming waiting period
?communicating overseas‘
Instant communication
Information sharing
Q17 1
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In your view what is the role of ICTs in business? Please elaborate
?Well... err... I do not think I will be talking more about my business in this
instance.
I think…eh! What can I say…I think communication is a significant part of
every business, like you find that there are people who have offices in
different cities and with ICT you are now able to sit around a table and be able to
see another person in another place all together. So firstly, I think that you
would save you money instead of maybe having to fly to Johannesburg, you
can actually have a meeting with the person sitting in the office and I think it
… [pause]… eases…
Like we with emails you are able to share emails. Which means that, instead of
having to spend travel money you can easily communicate with that person
and you have something that you can file on record as proof
Err! What else? …Internet… [laughs] what would we be without it? You are
able to use it to google research topics… mean it is just something that makes
business easier and I think largely it is a form of communication that makes life
Pronoun shifting
Uncertainty *affirming value ?significant‘
Providing evidence
Communicating long distance ?sit around table‘
Communicating long distance
Affirming saving ?money‘ and time ?fly‘
Affirming convenience ?sitting in office‘
Affirming ?easier‘
Affirming benefit ?sharing emails‘
Affirming cost saving and convenience
Affirming usage * function
Affirming dependence on ?internet‘
Affirming usage ?google‘ information
Affirming convenience and usage
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What problems do SMMEs have with ICT? Please elaborate
?Err! You see the only problem from my experience is that when you are
unable to use… [laughs] the tool that you have. Like if you have got your staff
component that is not that computer literate or unable to use any other forms
of communication that you [company] are using, I think that would only be a
barrier.
Otherwise really it is something that makes life easy… [smiles]… it‘s supposed
to make thinks go smoothly.
If you are able to use it and you have access, the only barrier would be
finances, if you cannot pay for your Internet but you cannot say it is an ICT
problem but largely the part of the person wanting to use the service.
The major one really, would be you having the computers but
not knowing how to use them?.
Staff lacking ICT skill
Lacking computer literacy skills, inability to use other
?communication‘ tools used by ?company‘
Acknowledging ?barrier‘
Acknowledging benefit * emotional expression
Acknowledging benefit
Affirming ?If you are able to use‘ technology and have
access to it *affirms only barrier would be ?finances‘
technology is not the ?problem‘ but with end-user
?major problem‘ user ?having the computer but‘
Lacking knowledge on ?how to use computer.
Q19 1
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In your own words can you please describe your understanding of the ICT sector?
For example, how the sector is structured, applicable legislation and policy. Please
elaborate.
?As I said earlier, I‘m running this business but I am not that into… [hand with two
fingers signalling inverted commas]… [pause]… like I remember last week we
were experiencing some problems with the Internet, it was slow and it was
said some ship had hit something in Egypt and I was like [amazed look] how
does that affect us we are so far away [smiling]. So really I don‘t know
much about it [ICT sector], I am kind of an end user if I may put it that way.
I have been an end user, even at school I did end user computing. So, as to
what happens beyond that I do not know. When the computer stops
working I have to get somebody else to come fix it?.
So there is nothing that you have heard being spoken about the ICT Sector? At any
platform that you have been?
No!
Affirming information gap
Non verbal expression *providing evidence
Providing evidence ?internet problems‘
Providing evidence on information gap
?technology‘
Affirming information gap
„telecommunications‘
Affirming information gap ‘ICT sector‘
Providing evidence *affirming ?end-user‘ skills
Affirming lack of interest *providing evidence
Providing evidence ?somebody else to fix technical
problem
Confirming ?no‘
Q20 1
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How are women stimulating entrepreneurship in the ICT sector? Please
elaborate.
Women like you, your counterparts? [Question repeated – confused look].
About their involvement?
?Well I think these days as you may know, back then certain things especially
related to engineering were kind of like [throws both hands up]…
this is a men‘s world… you know… because if you think about ICT now when you
move from the end-user point of view, it is those guys who go to work in jeans
because they have to sometimes go under the desk, but now women own IT
Questioning
Making assumption * affirming * comparing
Providing evidence relating to ?engineering‘ field
Affirming gender imbalance and current state ?ICT‘
Comparing process*describing ?guys‘ occupation
Gender-based comparison * ?woman owning IT…
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companies…
I know of one down the road [mentions the name] largely owned by woman.
The way I see it things have changed.
Women are no longer shy to be motor mechanics [laughs] I mean in the IT environment there
has been a change from when I was growing up women are
kind of into everything they can get into.
I think I know a number of women who are IT technicians, are into web
designing. I also remember from my school days there were actually few guys
than women doing IT?.
companies‘
Providing evidence on companies owned by women
Affirming change
Affirming ?women no longer shy‘ *occupation
Acknowledging change*comparing evidence
Affirming assertive evidence * occupations
Affirming women‘s occupational and skill
Providing evidence * comparing process ?schooling‘
women orientation ?IT‘
Q21 1
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Describe ways in which SMME women entrepreneurs put ICT to use as a core
product or service. Please elaborate.
?I think that is an easy one [laughs].
First, we provide a printing service, at the same time we also use this for our own
business purpose like, we generate our own paperwork that is, and we print invoices.
We provide an email service at the same time use email to communicate with
clients.
What about the services displayed over there?
We provide an internet café [service, email service, photocopying, binding, Internet, telephone]
Printing
Internal use
Communication * tool
External
Internet café
Q22 1
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Describe the enterprise’s value chain of business processes, e.g. which relate
directly to the delivery of the enterprise’s core products or services?
Please elaborate?
?How do I answer that one? [pause further explanation given by interviewer as
question is not too clear]
Look at the inputs that generate the outputs of the enterprise’s processes that
enable the enterprise to deliver its services or products for examples. [Question
repeated]
Ok lets take printing as an example, we have a person coming with their idea,
we develop the concept, e.g. kwaito festival, identify singers get pictures from their USBs or if
they don‘t have, we surf and download pictures
develop creative design, sometimes do research via Internet.
Currently, we are freelancing our graphic design because at times people look for
certain design elements that we do not have in-house expertise.
We then design the poster, communicate with the client to get approval and sign
off. This can be done via email when unable to come in.
Then print the poster. Again coming to the limitations I referred to earlier,
depending on the size of the poster …we have A3Z… and we had to outsource to
the bigger guys… we outsource what we cannot print in house to the bigger guys
[printers].
In instances were a client especially those in the training business.
We sometimes have to type, proof read copy with client and get signoff, before
printing and binding and manuals.
questioning * not clear
printing process
developing ?concept‘ process
communication service process ?download pictures‘
creative design process* researching information
free lancing process ?graphic design
providing evidence ?in-house expertise‘
design process *communication process
communication processes
printing process
taking decision to ?outsource‘
outsourcing decisions ?bigger guys‘
providing evidence on ?training business‘
typing and editing process
?printing and binding‘ process
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Depending on the project, lamination is a service we offer
So basically your service is printing and design? What about those services you
mentioned earlier?
Not really, it depends… like one of our clients do training in computers… sometimes
they type for themselves… we do typing for them and
binding of manuals…you undergo the same steps mentioned where you type check
with the client before printing and binding the document
So it depends on the client some may want printing and or binding some laminating
which has its own processes… so not all in the same chain …differs on what the
client wants?.
?lamination‘ service
?typing‘ service
Binding service
Printing and binding service
Printing and binding or laminating service
service
Q23 1
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How often does the enterprise introduce new products or services and what
informs the decision to do so? Please elaborate
?Ok, it‘s the market that informs the decisions we take. For example, if we talking
about printing, as you may well know, printing does not involve printing on paper
only, it may be printing on T-shirt or sling bag and pens that we had to do for a
client but ended up outsource our printing because we could not in house… we have
an [sic] ZA size. But now we are thinking that this something we can do in house because
we are seeing there is a market for this service and based on the opportune gap
identified from our outsourced print jobs.
It took our printers three weeks to finish the job because they had a load of projects
inline. But now there comes the limitation of funds. Would we be able to secure
funds to buy equipment?
But again when you think about it, instead of you continuing to outsourced services,
you could save the money to invest in your own equipment.
So I would say it is the market that dictates. If there is a need for it we will do it?.
?Market informs the decision‘* clients*competition
Explaining of ?printing‘ product line ?paper‘
Explaining of ?printing‘ product line ?T-shirts, pens‘
Providing evidence of decision to outsource
Taking decision ?in-house‘ production
Opportunity identified in the market
Providing evidence ?identified from outsourcing jobs‘
Affirming impact of outsourcing on enterprise
Funding limitation identified
Funding to ?buy equipment‘
Deciding on action to take ?outsourcing‘
Deciding on action ?save the money, invest in own
equipment
Affirming what influences decision ?market‘
Q24 1
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What is government currently doing to promote ICT women-driven
entrepreneurship development, e.g. legislation, policy, development programmes, etc.?
Please elaborate.
? I think there is a lot though one has not really gone into reading about them
[initiatives].
You know how rushed our life is today you learn about things from the television
and you go oh! That is nice, thinking you are going to research this information but
you never get to it. I am aware of SEDA [a funding agency which provides financial
support to small business] but I have not followed up.
I think there is a lot government is doing though there is room for improvement.
Like even the Black Economic Empowerment scorecard you will find that there are
more points when you are a woman entrepreneur… err!
I think there is a lot that government is doing to make sure that women are
given preference to most of the businesses. So I am aware though I have not gone
Assuming * information gap *lack of initiative
Time management issue* secondary source of secondary
source of information
No follow up initiative *Aware of ?funding agency‘
No follow up initiative
Acknowledging room for improvement on action
taken by ?government‘
Affirming improvement -BEE scores
Giving more points to ?women entrepreneurs‘
Explaining process ?more points‘
Developing apathy *no follow up Initiative ?not gone
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to research.
You see in this instance in terms of me benefiting from government support, I would
not blame the government for not affording me opportunities [tenders] as I have
not dedicated much time to actually tap into the opportunities that are out there.
So I would not say government is not doing something, it is me not making use of
the opportunities out there at hand?.
to research‘
Not benefiting from government initiatives
Affirming lack of initiative* accessing tenders
?time‘ management *lack of initiative to find out
Information gap*Affirming lack of initiative in
following up ?making use‘ of ?opportunities* No
action taken
Q25 1
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What should government do? Please elaborate
What would you like to see government doing? [repeating question]
Well, I think for example, um! I know the… [Sighs! Hesitant pause and sigh]…
You see, one of the things that has been holding me back in terms of trying to
go to places like [mentions agency that gives support and technical assistance to
SMMEs] is because I do not have time for doing a business plan you see.
So, if they [agency] could… [Pause]… but then again I have not been to their offices…
You see, [voice tone picks up] I do not even know if they do business plans free of
charge… [soft laugh] you see what I mean. So, it is a bit difficult for me to say
government is not doing this, where as, I do not have full information because
somebody might be reading this and thinking and… where does she live… you
know… [laugh]… this is South Africa.
Something that has been holding me back is finances which I do not have and this is
kind of limiting me.
But again I have not been to these respective places to see what they can do for me.
But again when I look around… I do not see everybody as busy as I am… so
I ask myself a question and think to myself [smiling] ?OK, if it was so easy why are
people struggling so much [laugh] in business?? because I see most of the black
businesses open and do not even last for a year they kind of close down.
Let me make an example, although I am not offering the travel service now, there
was a tender that came out, advertising for travel agencies to be used by
government. Now the first thing they asked for was that the service provider should
have a net worth of about a million [soft sarcastic laugh] Secondly, be registered
with an international travel agency [mentions the name] that does ticketing and the
service provider has to have about two hundred and something thousand rand as a
deposit for membership fees. Traveling has its own professional body that you must
be a member of.
But now if you look at it, how many black people, just on the three things I have
spoke about will even be able to submit that tender…a net worth of a million
[laugh] … who has that? ... an organisation that wants you to subscribe to asks you to
put down two hundred and something thousand. What black person without even
going out to women, what black person has that kind of money. So, I think those
are the kind of things that our own government… this is our own black government
[laugh] that I am talking about… putting [terms and conditions]. Obviously without
mentioning names, those [submitting tender] will be big giants that have long been
Uncertain* verbal expressions
Affirming non-assertive action ?holding me back‘
going to ?places‘
Affirming lack of time to do ?business plan‘
Expressing expectation ?if‘ * no follow up action
lacking information
affirming ?not able to say‘
?government is not doing this‘ *affirming lack of information
that others might have
affirming financial limitations ?finance‘
affirming lack of initiative to find information
comparing self to others ?busy‘
Rhetoric question - introspection
Generalised perception that
Black businesses unsustainable
Offering evidence on previous experience
Offering evidence ?tender‘ advert
travel agent services *tendering requirement
Qualifying criteria
Accreditation criteria
Qualifying requirement
standard procedures ?membership‘ requirement
identifying limiting conditions for ?black people‘
affirming inability to submit tender ?million‘ rand
questioning restricting qualifying criteria
Rhetoric question affirming restriction for ?black
person‘*making gender based and racial comparison
Expressing opinion on ?black‘ government action
Affirming restrictive tender requirements set
Affirming unequal access to tenders ?big giants‘
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in the travel business.
So, I am making this example which I think is a general problem that the black
businesses have. Now that is just black business and not even without getting to
women who have even more challenges than men.
Even when you ask them [officials issuing tender] what this [travel professional body]
they [government] do not even know a thing about this professional body but have
put it there on tender [sarcastic laugh] and it has restricted people from doing
business [tendering] and
Again as a black person I believe that most people of the… government, are black
people. As they are busy drafting these tender specifications… which are clearly
saying that this is going to white people [sarcastic laugh] because [sighs heavily –
sarcastic laugh] how many black people have a million in the bank? [sarcastic laugh]
Even with us [business owners] in the travel industry… what assets would you have
really, except for a computer because the nature of the business does not require
you to have big machines or anything that would be worth a million
So, they are practically saying you should have one million in the bank!
So, these are the things that I think government should look at.
Like the things that are kind of restricting. You know how… [big sigh – pause –
sarcastic laugh]… Do you [referring to researcher] know how you are free, but there
are still things that are chains [sarcastic laugh]…you are free but not free
[voice louder and shaking head].
So these are the things government should look into. We see printing tenders every
week but they have these requirements that you must have this… we will come for a
site inspection to see if your office has this and that… where do they think we [the
enterprise] take that from? Because they should provide… like… in the construction
environment… access to funding on obtaining a tender. Because if I could get a
tender then I can go to [mentions big printing company] get a bigger printer but
right now I cannot… I have to pay about six thousand rand a month [rental]. So, I
think they [government] should start creating funding opportunities sometimes
people have to partner with white people [companies] because the requirements of
the very same government in their tendering qualification process is kind of too
high [restrictive] for us.
And do you know how they [big printing company] kill us as well?
You do a job for them [government] and you have to borrow money everywhere
because you do not have it… then they take for ever to pay you, then they lose your
invoice [high pitched laugh] and you have to print, they lose this [invoice]… and
then tell you at the end of the day that black businesses do not provide a good
service.
But even if I had twenty thousand rand only and had to use it for printing, I still
would have to pay for this machine [hired printer] and return it… whilst you
[government] sit with my invoice for the next three months… and then you come
back you [government] wanting me to spend another forty thousand rand for
favouring big business
generalising problem experienced by black business
affirming problem experienced by ?black business‘
making gender based comparison ?women‘, ‘men‘
Officials not clear on set tender terms and references
officials lack of information about accreditation body
Tender specifications not researched* consequence
business unable to tender
Expressing expectation as a ?black person‘ of ?black‘
officials drafting tender specifications
Tender specifications restrictive * favouring ?whites‘
emotional expression*affirming restrictive ?million‘ tender
requirement not matching ?assets‘ required or ?nature of
business‘
Affirming ?million‘ rand restrictive
Rhetoric question affirming restrictive requirement
Suggesting action that government should take on
restricting tender requirements*emotion expression
Expressing emotions * affirming expectation ?free‘
Affirming unmet expectation ?chains‘
Expressing emotions ?rising ?shaking head‘
Expressing expectation of government enabling access to
?printing tenders‘*loosening restrictions
Affirming restrictive requirements
Expressing expectation* like in ?construction‘ which
provides access to funding *expectation ?get tender‘
expressing decision to get ?bigger printer‘
Affirming inability to afford equipment
Suggestion ?creating funding opportunities‘
Stringent qualifying criteria result in partnerships with ?white
people‘*affirming tendering restrictions
?too high‘
Affirming hiring equipment consequences
Slow turnaround payment consequences
Implications of late payment*affirming careless supply chain
administration processes ?invoice‘
disagreeing on assertion made by officials ?black business
do not provide a good service‘
Affirming inability to tender sustainably *delayed
invoicing
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another job... where will I get this money?
So I think the government should improve on this aspect. The very same
black people [government officials] are the ones killing black people [businesses]
and Unfortunately in most of these offices you will find that there are ladies… I do
not know [heavy sigh]… but that is the reality?.
Expectation ?improve‘ payment turnaround
Affirming situation lack of support from government
Expressing expectation not met
Expressing emotions, affirming current status ?reality‘
Q26 1
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What is private sector doing to promote ICT women-driven entrepreneurship
development, e.g. structured and unstructured support programmes and
initiatives? Please elaborate.
?Actually I have worked for NGOs.
I know that some of them are private entities that are currently trying to assist the
government in terms of service delivery.
Other than NGOs I do not know of any private sector assistance offered. I am not
saying there is no assistance but really [sigh] You see us black people [private
businesses] we do not know how to help each other.
You se [sic], what white people do that I have observed…like if you are running a bed and
breakfast business…I am your friend and I have a shuttle service…and another friend
has a travel agency…white people give business to one another.
They look at the clients needs like flight, accommodation and airport shuttle service
and each friend services the same client.
Confirming NGO sector experience
Acknowledging private sector assistance with
government ?service delivery‘
Confirming unaware of private sector assistance
Expressed emotion*opinion about ?black‘ business
Expectations of B2B – ?black‘ business
Offering evidence ?white‘ business practice
Affirming B2B ‘white‘ businesses practice
Explaining service value chain ?client needs‘
Affirming B2B practice
Q27 1
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What more should the private sector do? Please elaborate.
Let me paint you a picture,
I think when white people [business owners] meet, like going out on Friday night, it
is not all about soccer …maybe partly…but they look at how they can give each other
business may be grow each other, support each other.
This support is lacking among blacks.
Look at [mentions a suburb previously strictly a residential area, turning into
business are] how people [blacks] are converting their houses into bed and
breakfast businesses and the mushrooming of small business.
…I am not saying blacks should trade with blacks but the very same black person will
leave your company and go elsewhere…wasting their fuel to print what I can print.
Well, it could be they do not know me or the services that I offer or perhaps see this
tiny shop and probably think it‘s a waste of time coming in, I do not know.
But if we [business –to-business] were creating networks you know, whether they
be women forums where people get to know each other, grow each other, knowing
what our businesses offer and even supporting each other in business. I think that is the only
way our business can grow.
Just to give an example, one of the offices of an organisation I once worked for, we
moved into new offices, a converted house, and discovered that the company that
did the construction belonged to the son of the owner our company. Shortly after
moving into the new offices a decision was taken that we have a teambuilding
session. Whilst we were thinking of whom to facilitate the session the owner told us
Providing evidence
Affirming networking business platforms
Affirming B2B activity
Affirming B2B support
Affirming ?support‘ lacking in black business
Providing evidence acknowledging the black business
?mushrooming‘
Affirming expectation of black B2B
Affirming lack of black B2B activity
Assuming the cause of action
Assuming the cause of action
Expressed expectation of B2B networking platforms
?women‘ B2B networking platforms
Affirming need for B2B support
Affirming benefits of proposed activity
Providing evidence of learning experience from B2B
Explaining value chain processes moving into office
Value chain activity * B2B
Decision making
Value chain activity
322
Codes Line Transcript: Interview 1 Early open codes | Descriptive code
23
24
25
26
27
28
29
30
31
32
33
34
35
one of his sons was doing a teambuilding session at [mentions the area].
We sourced his services and started thinking about who would do the catering
and it turned out the wife does catering. You see [broad smile] the money did not
go out of the family.
I think this is how we [private business], should grow each other as businesses.
If we can network more like, at another breakfast meeting that I went to [mentions
the name of a business association] which is kind of like a forum were business
people in the area [mentions the local municipal area] could meet and talk about
things and sometimes invite the municipality.
I think the private sector needs to encourage these platforms so people [business]
know each other, know where to get services, know emerging businesses, see how
to grow each other do meetings, socialise and give each other clean money rather
the other money that we give each other?.
B2B
B2B
Affirming need for private business to support ?grow‘
Providing evidence of ?breakfast meeting‘ platform
Suggesting proposed activity ?meet and talk‘
?invite local municipality‘
Recommending private needs to take initiate Explaining
network benefits
Explaining network purpose and B2B moral values ?clean
money‘
The end
Thank you for time.
323
APPENDIX J TABLE 1: SAMPLE – INTERVIEW PERSONAL NOTES
Date: 8/04
Code: Interview 1
Location:
Personal notes: Interview
Ice breaker:
Weather
News article
Referrals
Thank participant for seeing you this late
Daily Dispatch article
Observations:
Venue
Time
Verbal
Non-verbal
Attitude: positive / negative /
assertive non-assertive
In town
Late rescheduling 17:30
Emotions displayed involuntarily constant sighing, short laughs – sarcastic?
Despondent? Where is this attitude coming from? Expectations not met? What has
she done? Follow up, end of interview.
Despondent? Lots of non-verbal gestures? What is going on here? What is the
meaning communicated here?
Reflections:
What to improve
Transcript
Ideas
Next on list
Timing – took too long: need to control pace next Time.
Transcribe immediately.
Bribe? What‘s going on here, gender differentials? Demographics?
Theoretical sampling ICT training provider.
Action:
Immediate
Later
Alter 22, 23, and 24
APPENDIX J TABLE 2: SAMPLE PRE-DATA COLLECTION
Date: 20/11
Code: ADM-3
Location: EL
Personal notes
Action: Make sure interview contact register is verified – need to stay a day or two in PE to
talk to the chambers, ECDC, SEDA and go from street-to-street to identify ICT
enterprises to add to the contact list.
Admin:
Filing
Appointments
Correspondence
Send letters of request for access to ICT SMME database.
Reflections:
Day-to-day
Weekly
Visit to OR Tambo district municipality not worth it. I could only find 2 ICT
enterprises owned by women entrepreneurs, lots of enterprises are owned by
men? What‘s going on here?
Personal development: Identify research workshops, conferences to attend.
Supervisor has suggested UNISA research workshops– need to attend.
324
APPENDIX K TABLE 1: METHODOLOGICAL MEMO – PRE-DATA
COLLECTION
Date: 26/11
Code: PDC-26
Location: EL
Memo: Pre data collection
Literature:
Research Question
Methodology
Objectivism vs. subjectivism
Refine definitions
Reflect on research interest and questions and decide which method to adopt,
(e.g.Glaser & Strauss & Corbin) suitable and in line with MGT including the
epistemology of the study.
Pre-literature control, confine within context of research interest and questions.
Identify types of data sources to consult, e.g. researched studies. Theoretical
framework?
Need for balancing tension between objectivity and subjectivity meaning I have to
?bracket? my thoughts based on being an SMME
Refine the ICT vs ICTs definitions.
Interview guide:
Structure
Types of questions
Length
Questioning technique:
How, what, why, where, who,
when
Decision taken to conduct semi-structured in-depth interviews
Are questions addressing research questions? Yes!
A bit long but short questions flow, just concerned about being too broad. I need to
zoom into key questions, need to consult an academic to look at the interview
guide.
Reflections:
Sample
Decision taken to conduct interviews in BCM and NMM metropolitan municipalities.
Need to consult government department, business chambers, or maybe send out
an advert, or go from street to street as I can‘t find participants.
Action:
Immediate
Later
Follow-up on request for database of ICT enterprises by setting up meetings with
officials as the email system is not effective.
Database of stakeholders e.g. ISETT SETA, SEDA, ECDC has a limited list of
enterprises available, most not fitting inclusion criteria.
Put a request for referrals as a standard item on personal notes.
325
APPENDIX K TABLE 2: METHODOLOGICAL MEMO – INTERVIEW – BEFORE
AND AFTER
Date: 8/04
Code: Interview 1
Location:
Memo: Interview – before and after
Ice breaker:
Weather
News article
Referrals
Thank participant for seeing you this late
Make reference to the Daily Dispatch article (BBBEE and SMMEs)
Observations:
Venue
Time
Verbal
Non-verbal
Attitude:
positive/negative/assertive
non-assertive
In town
Late rescheduling 17H30
Emotions displayed include involuntarily constant sighing, short laughs – sarcastic?
Despondent? Lots of non-verbal gestures? What is going on here? What is the
meaning communicated here?
Where is this despondent attitude coming from? Expectations not met? What has
she done in response to them not being met?
Follow up end of interview to get an understanding.
Reflections:
What to improve
Transcript
Ideas
Next on list
Timing – took too long: need to control pace next time
Transcribe immediately – whilst memory is fresh
The word bribe is repeated? What‘s going on here? Are there gender differentials?
Look at the demographics to see if anything relates to bribing.
Theoretical sampling of an ICT training provider
Action:
Immediate
Later
Alter 22 & 23 & 24
326
APPENDIX K TABLE 3: SAMPLE METHODOLOGICAL MEMOS – EARLY OPEN
CODING
Date: 8/04
Code: Interview 1
Location:
Memo – early open coding
Transcription:
Interview guide
Interpretation
Member checking
Transcript of pilot interview 001: Few questions to alter, taking too long to finish –
was taxing (24hrs)
Challenging – not too sure whether others will interpret the same.
Script emailed for verification on 10/05
Coding:
In vivo codes
Emerging concepts
Comparisons
Categories / properties
Depending a bit on in vivo codes. Concerned about overly describing. Line-by-line
is taxing but I have to immerse myself in the data. Will perfect coding with time.
Can improve on coding procedure, code Interview 2 using gerund – Charmaz?
Similarities and variations: develop template to illustrate differences.
The concepts funding, marketing, gender sensitivity, competition are emerging.
There is an information gap re participant‘s knowledge about the ICT sector –
surfacing in a couple of questions asked.
Reflections:
Conceptualisation
Relationships
Method / procedures
Saturation
Theoretical sampling
Need to improve on this. Consult Strauss and Corbin (1998)?
Identified with ease.
Convert pilot interview into actual sample. Make changes to Q23, 24, and 25.
A number of gaps in information surfacing. Need for theoretical sampling.
Theoretical sampling – maybe in different industry and SMMEs in business for 3 –
5 years. Do a background check on the ICT enterprise before conducting the
interview to maintain consistency in the application of inclusion and exclusion
criteria to avoid compromising the research findings from a credibility point of view.
Action:
Immediate
Later
Review contact register and check out referrals.
327
APPENDIX L: THE EMERGING CORE CATEGORIES
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
Women experience gender-
based discrimination
Recognise gender-based
discrimination
Socio-cultural gender role expectations
Conditions:
? Women judged when conducting business
meetings after hours and as being incompetent
? Domesticated role of female entrepreneurs
? Men orchestrate women away from networking
platforms
? Women entrepreneurs are not recognised by
industry
? Gender segregation; women are discouraged
from pursuing career aspirations
Consequences:
? Experience difficulties in marketing businesses
after hours through business relationships
? Multi-tasking, work and family responsibilities
? Advocate for inclusion in networking platforms
? Penetrate environments traditionally perceived
as men‘s world
? Limited career advancement opportunities
Respond to gender-based
discrimination
Conditions:
? Women multi-task, work and family
responsibilities
? Women empower themselves and others, e.g.
?staff‘, ?community‘
? Women-owned ICT enterprises mushroom
Consequences:
? Women entrepreneurs are balancing work and
domestic responsibilities
? Women upgrade ICT skills and business skills
? Venture into technical environments
? Economic activity
Women experience gender-
based discrimination
Recognise gender-based
discrimination
Gender-based career differences
Conditions:
? Delineate women-orientated skills and men-
orientated skills
? ICT sector is predominantly male-dominated
? Underrepresentation of women in key ICT
positions
? Increasing overrepresentation of women in non-
professional ICT occupations
? Stereotypes held about women‘s ability to run an
ICT enterprise is undermined
? Women do not have decision-making power
? Becoming more assertive in stamping out
gender-based stereotyping
Consequences:
328
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
? Enforce gender stereotypes, ?men‘s‘
environment
? Penetrate technical environment predominantly
occupied by men
? Self-empowerment in ICT skills and mentorship
through incubation programme
? Take assertive action in making their voice
heard
? Young graduates become leaders of the next
generation in the ICT sector
? Increase number of women who occupy senior
management and core ICT positions
? Women entrepreneurs nurture the talent
? ?Staff‘ through mentoring
? Women have to prove their capacity
? More women-owned businesses mushroom
Women experience gender-
based discrimination
Respond to gender-based
discrimination
Conditions:
Increase overrepresentation of women in non-ICT
occupations
Consequences:
? Forced to find employment in ?corporate world‘
as opposed to ?men‘ who have the opportunity to
?study further‘
? Women occupations are increasingly associated
with ?administrative creativity and men with
technical orientation
? Inability to contribute to decisions in terms of
operations of the organisation
? Decrease underrepresentation
? Become more assertive in stamping out gender-
based stereotyping, ?it‘s a men‘s club‘, ?boys
club‘, ?men‘s game‘
? Women‘s marginalisation from ICTs
? Women empower themselves
Recognising gender-based
discrimination
Experience gender-based inequalities in the
workplace
Conditions:
? Inequality in working conditions
? Underrepresentation of women in key positions
? Women lack workplace experience compared to
men
? Unacceptability of women as equal working
partners
? Women‘s ability is questioned
? Women do not have decision making power in
ICT
? Widen the gap between rural and urban access
to ICT
? Innovation levels are low
329
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
Consequences
? Not competitive enough like men to earn high
salaries
? Women‘s voices are not heard
? Inequalities in accessing funding
? Marginalise women from economic mainstream
of the ICT sector
? Understand significant role of ICT in business
? Low levels of innovation
? Women-owned ICT enterprise lack R & D and
not standing a chance to compete with big
business
Women experience gender-
based discrimination
Respond to gender-based
discrimination
Conditions:
? Take assertive action in self-development by
upgrading skills
? Take initiative in empowering rural communities
in ICT skills
? Women entrepreneurs demonstrate assertive
action in penetrating core technical
environments
? Women work twice as hard
? Advocate for change by government and the
private sector to recognise them as business
owners
Consequences
? Experience low motivation
? Flexibility in stringent administrative
requirements
? Possibilities of opportunities for career
advancement through ICT skills upgrade
? Rural community create employment
opportunities
? Increased entrepreneurial activity in rural areas
? Widen gap between rural and urban SMMEs in
terms of marginalisation from ICT
Recognise gender-based
discrimination
Experiencing educational differences
Conditions:
? Inequalities in accessing career advancement
opportunities
? Underrepresentation of women in key positions
? Women lack workplace experience compared to
men
? Unacceptability of women as equal working
partners
? Women‘s ability is questioned
? Create mentors in ICT sector
? Women do not have decision making power in
ICT
Consequences:
330
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
? Take assertive action to upgrade ICT and
business management skills
? Penetrate core technical environments
? Work twice as hard as men
? Advocate for change by government and the
private sector
Women experience gender-
based discrimination
Respond to gender-based
discrimination
Conditions:
? Take assertive action in self-development by
upgrading ICT skills
? Women entrepreneurs demonstrate assertive
action in penetrating core technical
environments
Consequences:
? Women infiltrate ICT space
Recognise gender-based
discrimination
Exposed to gender-based sexual harassment
Conditions:
? Women are subjected to ?sexual innuendos‘ in
exchange for tender awarded
? Subjected to unwelcoming ?sexual innuendos‘
from men in networking platforms
? Bribing tendencies by government officials
Consequences:
? Women shy away from pursuing tender
opportunities
? Widen inequalities to access information that
could enable women to benefit from available
resources and economic opportunities
? Economic marginalisation
? Bias in tender adjudication processes
? Not doing anything about ?sexual innuendos‘
Respond to gender-based
discrimination
Experience difficulty in accessing funding
Conditions:
? Women advocate for transparency in
procurement processes
? Relaxation of restrictive loan application
requirements
? Late turn around payment period
Consequence:
? Bring to an end the ?corrupt‘ behaviour by
officials
? Relaxation of restrictive tender requirements
? Relaxation of restrictive loan requirements
Women experience gender-
based discrimination
Recognise gender-based
discrimination
Lack initiative in following up on business related
information
Conditions:
? Do not know where or how to get funding
? Government does not recognise women as
?business owners‘
? Slow change in government action
331
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
? Lack of initiative in following up on information
obtained from secondary sources
Consequences:
? Lack access to resources
? Advocate for change by government
? Low motivation
Respond to gender-based
discrimination
Conditions:
? Develop apathy
? Experience low motivation
Consequences:
? Lack access to resources
Develop apathy Recognise gender-based
discrimination
Quickly give up on business opportunities,
especially when faced with challenges
Conditions:
? Lack access to resources, information is not
readily available
? ICT cost (online) a barrier to accessing
government offices
? Women entrepreneurs have limited scope in ICT
skills
? Lack orientation of ICT sector
? Lack access to funding
Consequences:
? Low motivation, no role models
? Lack initiative to following up on business-
related information
Respond to gender-based
discrimination
Conditions:
? Lack initiative to following up on business related
information
? Experience low motivation
? Take assertive action to develop self
Consequences
? Advocate for government and the private sector
to sponsor training, workshops, seminars
Recognise gender-based
discrimination
Low motivation
Conditions:
? Supply chain is not doing enough to promote B-
BBEE
? ICT enterprises face financial constraints
? Women do not benefit from government and
private sector initiatives
Consequences:
? Women do not benefit from BEE scoring point
system
? Supply chain is not doing enough to promote B-
BBEE
? Women miss out on business opportunities
? Economic marginalisation
332
Categories generated
during
Pattern coding (axial
coding)
Theory condensation
(selective coding):
Core categories
Theme
? Develop apathy
Respond to gender-based
discrimination
Conditions:
? Develop apathy
? Do not benefit from government and private
sector initiatives
? Advocate for change by government and the
private sector
Consequence:
? Lack initiative to follow up on business related
information
? Experience gender-based economic
marginalisation
? Advocate for availability of tender opportunities
333
APPENDIX M: THE MICTSETA SIC CODE LIST
SIC Description Sub-sector
5791 Manufacture of Alarm Systems Electronics
75200 Telecommunication Telecommunications
75201 Wired Telecommunication Carriers Telegraph Telecommunications
75202 Television Broadcasting, Television and Radio Signal Distribution
Television and Radio Signal Distribution
Telecommunications
75203 Cable Networks and Programme Distribution Cable TV Services Telecommunications
75204 Telephone Telecommunications
75205 Wireless Telecommunication Carriers except Satellite
Radiotelephone
Telecommunications
75209 Television Broadcasting Telecommunications
75211 Telecommunications and Wired Telecommunication Carriers Telecommunications
75212 Paging Telecommunications
75213 Cellular and Other Wireless Telecommunications Telecommunications
75214 Satellite Telecommunications Telecommunications
75215 Other Telecommunications Telecommunications
75216 Security Systems Services except Locksmiths Electronics
75217 Office Automation, Office Machinery and Equipment Rental
Leasing including Installation and Maintenance
Electronics
86001 Software Publishers Pre-packed Software Information Technology
86002 Computer Systems Design and Related Services Computer
Integrated Design
Information Technology
86003 Computer Facilities Management Services Information Technology
86004 Electronic and Precision Equipment Repair and Maintenance
Computer Maintenance and Repairs
Electronics
86005 Computer Rental and Leasing Information Technology
86006 Computer Programming Services Information Technology
86007 Other Computer Related Activities Information Technology
86008 Call Centre Systems Development and Installations Activities Call
Centre and Customer Relationship Management System
Development
Information Technology
86009 Computer System Design Services and Integrated Solutions Information Technology
86010 Consumer Electronics Repair and Maintenance Electronics
86011 Computer and Office Machine Repair, Maintenance and Support
Services
Information Technology
86012 Communication Equipment Repair and Maintenance Telecommunications
86013 Other Electronic and Precision Equipment Repair and Maintenance Electronics
86014 Repair and Maintenance of Electronic Marine Equipment Electronics
87142 Research and Development of Electronic Equipment and Systems Electronics
87143 Import and Product Integration of Pre-Manufactured Electronic It
and Telecommunications Equipment
Electronics
87146 Research and Development In The Physical and Engineering
Sciences
Electronics
87147 Electronics Importation and Product Integration of Pre-
Manufactured Electronics It and Telecommunications Equipment
Electronics
87148 Telecommunications Importation and Product Integration of Pre-
Manufactured Electronics It and Telecommunications Equipment
Telecommunications
96131 Providing Radio and Television Transmission Signals Telecommunications
334
SIC Description Sub-sector
96133 Installation, Maintenance and Repair of Tracking Devices For Cars Electronics
96110 Motion Picture and Video Production and Distribution Electronic Media and Film
96112 Related Activities - Film and Tape Renting To Other Industries,
Booking, Delivery and Storage
Electronic Media and Film
96113 Film and Video Reproduction Electronic Media and Film
96123 Bioscope Cafes Electronic Media and Film
96132 Production and Broadcast of Radio and Television Broadcast
Content
Electronic Media and Film
96200 News Agency Activities Electronic Media and Film
88310 Advertising Advertising
88311 Activities of Advertising Agents Advertising
88313 Commercial Design Advertising
88940 Photographic Activities Electronic Media and Film
Source: Government Notice, No. 33756, Government Gazette, 11 November 2010
335
APPENDIX N:
Analysed open-ended questions
Table 1: Participants’ understanding of entrepreneurship
Table 2: Problems encountered by SMMEs
Table 3: Challenges faced by women entrepreneurs
Table 4: Participants’ understanding of the term ICT
Table 5: Role of ICT in business
Table 6: Problems SMMEs have in relation to ICT application in their
businesses
Table 7: Participants’ understanding of ICT legislation and policy
Table 8: How women are stimulating or advancing the ICT sector
Table 9: How the ICT entrepreneurs use ICT as a core product or service in
SMMEs
Table 10: Enterprises’ value chain of business processes
Table 11: The frequency of introducing new products or services by the
SMMEs
Table 12: Role of government in promoting ICT women-driven
entrepreneurship
Table 13: Additional requirements of the women entrepreneurs from
government to promote women participation in the ICT sector
Table 14: Role of the private sector to promote ICT women-driven
entrepreneurship
Table 15: Role of the private sector to further develop women in the ICT
sector
336
Table 1: Participants’ understanding of entrepreneurship
Part II: Open-ended questions
Section C: Business knowledge information
Q14 In your own understanding, how would
you define the term entrepreneurship? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: Business owner
Property: Occupation
Dimension: Operating activities
Interview 2 Woman entrepreneur Category: Business owner
Property: Having an idea
Dimension: A big venture
Sub-dimension: Source of employment
Interview 3 Woman entrepreneur Concepts: Trading; selling products to people
Interview 4
Private sector expert
Category: Employer
Property: Creating employment for self and others
Dimension: Identifying a need in the market
Interview 5 Woman entrepreneur Category: Driven by a vision and mission
Property 1: Sustainable professional entity
Dimension 1: Offering training
Dimension 2: Sound financial planning
Dimension 3: Quality assurance standards
Sub-dimension 1: Research
Sub-dimension 2: Risk management
Property 2: Rural development empowerment
Dimension: Poverty alleviation and job creation
Interview 6 Woman entrepreneur Concepts: Entrepreneurial person, being innovative, somebody
looking out for the environment, seeing opportunities in the
market place, creating something extraordinary, having the
drive and passion
Interview 7 Woman entrepreneur Category: Gender stereotyping
Property: Business owner
Dimension: Not recognised in the industry
Interview 8 Woman entrepreneur Concepts: Generating profit, having financial sustainability to
run business
Interview 9 Woman entrepreneur Category: Understanding the needs of the market
Property: Coming up with ideas on how to address the needs
Dimensions 1: Developing people, focusing on making a
difference for the people
Dimension 2: generating profit
Interview 10
Government expert
Concepts: Entrepreneurial person, creating something
extraordinary, challenging the normal, doing things differently,
creating new ways, looking outside the box, not depending on
conventional thinking, introducing different skills
Interview 11 Woman entrepreneur Concepts: Business owner, risk taker
Interview 12 Woman entrepreneur Concepts: Art of creating a business, having business acumen,
must have human and capital resources to run the business
Interview 13 Woman entrepreneur Concepts:Someone who develops ideas, has the guts to
establish idea as a business venture
Interview 14 Woman entrepreneur Concept: Someone with capacity to manage business
337
Table 2: Problems encountered by SMMEs
Part II: Open-ended questions
Section C: Business knowledge information
Q15 What problems in your view are
encountered most by SMMEs? Please
elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category 1: Experiencing difficulty in accessing capital
Property1: Limited operating budget
Dimension 1: Stock material
Dimension 2: Staff salaries
Category 2: Local competition
Property 1: New entrant
Dimension: Limited marketing budget
Sub-dimension 1: Ineffective marketing activities
Sub-dimension 2: Limited customer market
Property 2: Established ICT enterprise
Dimension: Customer market share
Sub-dimension: Competitive advantage
Interview 2 Woman entrepreneur Category 1: Difficulty in accessing funding
Property: Barriers
Dimension 1: Poor credit rating
Dimension 2: Lacking collateral
Category 2: Developing staff capacity
Property 1: Lacking business knowledge and skills
Dimension: Not familiar with business operations in the area of
?finance‘, management‘, and ?employment regulations
Property 2: Lacking human resource capital
Dimension 1: Lacking workplace experience
Dimension 2: Inability to create sustainable employment,
not familiar with financial
Interview 3 Woman entrepreneur Concept: High overhead costs
Interview 4
Private sector expert
Category: Difficulty in accessing funding
Property: Lacking marketing skills
Dimension: Inability to survive competition
Interview 5 Woman entrepreneur Category 1: Experiencing difficulty in accessing funding
Property : Not understanding documentation requirements
Dimension: Vagueness of information presented in documents
Category 2: Lacking self-motivation
Property 1: Developing staff
Dimension: Getting staff into the ICT sector
Property 2: Developing learners
Dimension : Giving staff chances you did not get
Interview 6 Woman entrepreneur Category: Globalisation
Property: SMME support lacking locally
Dimension: SMME not trusted
Interview 7 Woman entrepreneur Concepts: Finance for equipment inaccessible, no financials to
present to banks
Interview 8 Woman entrepreneur Concepts: Financial struggles, women are cautious in taking
risk, offering a limited range of products or services, lacking
independent decision-making capacity
Interview 9 Woman entrepreneur Category: The Eastern Cape ICT market
Property 1: Private company preferred supplier list
Dimension 1: Private sector already has its own suppliers
Dimension 2: National companies already have contracts with
local companies
Property 2: Government suppliers
Dimension 1: Established companies having:
Sub-category 1: High overhead costs
sub-category 2: Standard market mark-up rate on products
Sub-category 3: Track record
Dimension 1: New entrant ?black SMMEs‘
Sub-dimension : Having government connections
Dimension 2: Getting inside information from government
Dimension 3: Responding competitively to requests for
338
Part II: Open-ended questions
Section C: Business knowledge information
Q15 What problems in your view are
encountered most by SMMEs? Please
elaborate.
Participant’s Response
(category / property / dimension / concept generated)
quotations compared to established ?existing‘ company
Dimension 4: Mark down the price against a standard market
margin
Dimension 5: ?Are the ones who get the work‘ and ?destabilising
the market‘.
Interview 10
Government expert
Category: Cash flow problems
Property: SMME prices not competitive
Dimension: Have to inflate their prices in order to remain
competitive
Sub-dimension: Government taking action to address
inequalities between small and big business
Concepts: SMMEs providing quality jobs, lacking human
resource capacity
Interview 11 Woman entrepreneur Category: Technology stereotypes
Property: Do not seem to understand that technology is vital
nowadays
Dimension: Ineffective marketing
Sub-dimension: Need to ?educate our community‘
Interview 12 Woman entrepreneur Concepts: Not knowing how to start a business, know benefits
accrued from registering a business as an NPO, not affording
to employ qualified professionals, not knowing where to get
money like seed money
Interview 13 Woman entrepreneur Inability to manage finances
Interview 14 Woman entrepreneur Lacking business mentors for guidance
339
Table 3: Challenges faced by women entrepreneurs
Part II: Open-ended questions
Section C: Business knowledge information
Q16 What in your opinion are the challenges
faced by women as entrepreneurs? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category 1: Ineffective marketing
Property: Product diversification decisions influenced by
miscalculated marketing decisions
Dimension: Considering diversifying into new segments A and
B
Sub-dimension: Competitor eminent competition for the new
entrant
Concept : Local competition
Category 2: Competitor
Property: Product diversification advantage
Dimension: Fair customer market share
Category 3: Gender sensitivity
(women aware of existing gender biases)
Property 1: Socio-cultural gender role expectations
Dimension: Gender role stereotyping
Property 2: Gender-based discrimination
Dimension: Gender-based economic marginalisation
Property 3: Partially met SMME woman entrepreneurs
expectations
Dimension: Government taking action
Concept : Low motivation
Concept: Local competition
Interview 2 Woman entrepreneur Category: Gender sensitivity
(women aware of existing gender biases)
Property 1: Gender stereotyping
Dimension 1: ?Better employers compared to women‘
Dimension 2: Women were not given the ?credit they deserve‘
Sub-dimension: Still questioned
Dimension 3: Women developing apathy
Property 2: Gender role differences
Dimension 1: Time restrictions
Dimension 2: Women multi-tasking
Interview 3
Private sector expert
Concept: Competition
Interview 4 Woman entrepreneur Category: Gender-based discrimination
Property: Women‘s economic marginalisation
Dimension 1: ?Patriarchy‘ and ?males only club‘ attitude from
men
Dimension 2: Sexual innuendos
Dimension 3: Men having differing moral scales
Sub-dimensions: Immorality in business ethics
Interview 5 Woman entrepreneur Category: Gender sensitivity
(women aware of existing gender biases)
Property: Gender stereotypes
Dimension 1: Gender-based career choices
Dimension 2: Socio-cultural gender role expectations
Dimension 3: Gender-based education differences
Dimension 4: Workplace gender inequalities
Sub-dimension 1: Inequalities in earnings between women and
men
Sub-dimension 2: Maternal obligations
Interview 6 Woman entrepreneur Category: Lack of women representation
Property: Gender-based career differences
Dimension: ICT not a career choice
Interview 7 Woman entrepreneur Category: Women lacking recognition
Property: Needing gender disaggregated ICT sector data
Dimension: Lack of ?effort‘ made by the women business
associations in directing attention to the entrepreneur behind
the ICT enterprise
Sub-dimension: Need to develop profile of women
340
Part II: Open-ended questions
Section C: Business knowledge information
Q16 What in your opinion are the challenges
faced by women as entrepreneurs? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
entrepreneurs in sector
Interview 8 Woman entrepreneur Category: Women lacking recognition
Property: Not being taken seriously by family and colleagues
Dimension: Women not recognising and praising themselves
Concepts: Women balancing family life and business
Concept: Networking friendlier for males than for women who
are subjected to sexual harassment behaviour
Interview 9
Government expert
Concept: Women exploited through partnership ventures
Concept: Late payment turnaround time
Concept: Women not benefiting from BEE scorecard
Concept: Condemning of bribing by officials
Concept: Getting inside information from government
Concept: Request for quotation procedures marginalising
women
Concept: Men asking for sexual favours
Interview 10 Woman entrepreneur Concept: Women looked down upon and undermined
Interview 11 Woman entrepreneur Category: Gender sensitivity
(women aware of existing gender biases)
Property: Women entrepreneurs taking assertive action
Dimension 1: Women are successfully operating their own
businesses
Dimension 2: Gender stereotypes
Sub-dimension: Women ICT enterprises surviving in a sector
dominantly pursued by young men doing IT
Interview 12 Woman entrepreneur Category 1: Gender-based stereotyping
Property: Men not expecting women to own ICT enterprise
Dimension: Women not expected be in managerial positions
Sub-dimension: Women boxed into secretarial responsibilities
Category 2: Women experiencing difficulty in accessing funding
Property: No financial support given to women
Dimension: Women are expected to bribe officials to get
funding
Concept: Balancing family and work obligations
Interview 13 Woman entrepreneur Category: Gender stereotyping
Property: Predominantly male-dominated career path
Dimension: Women forced to work twice as hard to prove
themselves
Interview14
Woman entrepreneur
Concept: Women lacking networking skills
341
Table 4: Participants’ understanding of the term ICT
Part II: Open-ended questions
Section C: Business knowledge information
Q17 What is your understanding of the term
ICT? Please elaborate
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Technology awareness gap
Concept: Skyping
Interview 2 Woman entrepreneur Concept: Information in the form of raw or processed data
Concept: Communication in new ways using gadgets.
Interview 3 Woman entrepreneur Concept: A means of communication
Concept: Communication tool
Interview 4
Private sector expert
Concept: Communication comprising ?computers‘ (hardware)
Concept: Radio and cell phones (networks)
Concept: Processing, managing, and communicating
information
Interview 5 Woman entrepreneur Concept: Computer infrastructure
Concept: Communication networks
Concept: Human communication
Interview 6 Woman entrepreneur Concept: ?A bridge‘ used to communicate within the business
world using ?technology‘.
Interview 7 Woman entrepreneur Concept: A technology that uses computers (hardware)
Interview 8 Woman entrepreneur Concept: A ?combination of computers‘ (networks)
Concept: Document storage and retrieval of information
(hardware)
Interview 9 Woman entrepreneur Concept: Combination of computers (networks)
Concept: Storage and retrieval of information
Interview 10
Government expert
Concept: Computers (hardware) for communicating information
Interview 11 Woman entrepreneur Concept: Computers (hardware)
Concept: Store and retrieve information
Concept: Satellite technology
Interview 12 Woman entrepreneur Concept: Computers (hardware)
Concept: Store and retrieve information
Concept: Satellite technology
Interview 13 Woman entrepreneur Concept: Relaying and production of information
Interview 14 Woman entrepreneur Concept: Communication technologies
Concept: Access to information through telecommunications
342
Table 5: Role of ICT in business
Part II: Open-ended questions
Section C: Business knowledge information
Q18 In your view, what is the role of ICTs in
business? Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Reduced travel
Concept: Improved quality of work life
Concept: Information research tool
Concept: Communication tool
Concept: Electronic document storage tool
Interview 2 Woman entrepreneur Concept: Communication tool
Interview 3 Woman entrepreneur Concept: Communication tool
Interview 4
Private sector expert
Concept: ?Backbone‘ that ?assists in improving business
processes‘ ?efficiency‘ and ?effectiveness‘.
Interview 5 Woman entrepreneur Concept: Efficiency
Interview 6 Woman entrepreneur Concept: ?Everything is basically worked on the backbone of
ICT‘.
Interview 7 Woman entrepreneur Concept: Lifeblood of the ICT enterprise
Interview 8 Woman entrepreneur Concepts: ?Efficiency‘, ?faster‘, ?productivity‘, and ?financial gain‘
Interview 9 Woman entrepreneur Concept: Benefit value
Interview 10
Government expert
Concept: An ?enabler‘ for business processes
Interview 11 Woman entrepreneur Concept: Efficiency
Interview 12 Woman entrepreneur Concept: Convenience
Interview 13 Woman entrepreneur Concept: Efficiency
Interview 14 Woman entrepreneur Concept: Enabling innovative business processes
343
Table 6: Problems SMMEs have in relation to ICT application in their
businesses
Part II: Open-ended questions
Section C: Business knowledge information
Q19 What problems do SMMEs have with
ICTs? Please elaborate.
Participant’s Response
(category/property/dimension/concept generated)
Interview 1
Woman entrepreneur
Category: Computer literacy lacking
Property 1: Barriers
Dimension 1: Internet unaffordability
Dimension 2: Lacking computer skills
Property 2: Access to computer
Dimension: Computer literacy benefits
Interview 2 Woman entrepreneur Category: Unaffordability
Property 1: Infrastructure costs
Dimension: Software and infrastructure updates
Property 2: Inability to train people on a regular basis
Interview 3 Woman entrepreneur Concept: Frequent changes in technology
Interview 4
Private sector expert
Concept: Security risks
Interview 5 Woman entrepreneur Category: Gender sensitivity
(women aware of existing gender biases)
Property: Gender stereotypes
Dimension 1: Women are judged as being incompetent and
lacking technical knowledge
Dimension 2: ICT is a men‘s game
Dimension 3: Assertive action taken by women to in dispelling
these stereotypes
Interview 6 Woman entrepreneur Concept: Limited knowledge and training on ICT products
Interview 7 Woman entrepreneur Concept: Scarce resources to train staff
Interview 8 Woman entrepreneur Concepts: Unaffordable upgrades and maintenance costs
Interview 9 Woman entrepreneur Concept: Infrastructure security
Concept: Inadequate information protection systems
Concept: Computer literacy lacking
Concept: Frequency at which technology is changing
Concept: Good and bad competition
Interview 10
Government expert
Category: SMMEs needing competitive advantage over big
business
Property: Employing the latest technology
Dimension: Research and development capacity lacking
Sub-dimension: Government support to SMMEs through
arranged partnerships between big businesses and SMMEs
Interview 11 Woman entrepreneur Concepts: Inadequate security for ICT systems
Interview 12 Woman entrepreneur Concept: Business and ICT skills lacking
Interview 13 Woman entrepreneur Concept: SMMEs uninformed about the benefits of utilising ICT
Interview 14 Woman entrepreneur Category: Internal and external barriers
Property: Unaffordability
Dimension 1: Infrastructure equipment
Dimension 2: Software and hardware devices
Dimension 3: Expensive maintenance costs
Dimension 4: Inability to license software
344
Table 7: Participants’ understanding of ICT legislation and policy
Part II: Open-ended questions
Section C: Business knowledge information
Q20 In your own words, can you please
describe your understanding of the ICT
sector, e.g. how the sector is structured,
applicable legislation and policy? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Acknowledging information gap
Concept: Limited scope in ICT
Concept: Lacking information of the ICT sector
Interview 2 Woman entrepreneur Concept: Understanding of ICT sector
Interview 3 Woman entrepreneur Concept: Acknowledging an information gap
Interview 4
Private sector expert
Concept: Understanding the ICT sector in relation to applicable
policies
Interview 5 Woman entrepreneur Concept: Awareness of legislation policies
Interview 6 Woman entrepreneur Concept: Awareness of legislation policies
Interview 7 Woman entrepreneur Concept: Acknowledging an information gap
Interview 8 Woman entrepreneur Concept: Limited understanding about the sector
Interview 9 Woman entrepreneur Concept: Limited understanding about the sector
Interview 10
Government expert
Category: Legislative environment
Property: Eastern Cape ICT Strategy 2014
Dimension: SMME policies
Interview 11 Woman entrepreneur Concept: Information gap
Interview 12 Woman entrepreneur Concept: Limited understanding about the sector
Interview 13 Woman entrepreneur Concept: Information gap
Interview 14 Woman entrepreneur Concept: Information gap
345
Table 8: How women are stimulating or advancing the ICT sector
Part II: Open-ended questions
Section C: Section C: Business knowledge information
Q21 How are women stimulating
entrepreneurship in the ICT sector? Please
elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: Gender sensitivity – women aware of existing gender
biases influencing women‘s lack of participation
Property 1: Gender-based career differences
Dimension 1: Women careers
Dimension 2: Men careers
Property 2: More women-owned companies
Property 3: Gender-based educational differences
Interview 2 Woman entrepreneur Category: Women attempting to make inroads into sector
Property 1: Starting off with ambitious business goals
Dimension: Businesses failing, tough to do business in the ICT
sector
Dimension: Women lack motivation to face challenges
Interview 3 Woman entrepreneur Concept: Limited knowledge of existing women-owned
enterprises
Interview 4
Private sector expert
Concept: Women making inroads into a male-dominated ICT
industry
Interview 5 Woman entrepreneur Concept: ICT training and development
Concept: Motivating candidates to enrol for technical skills
Concept: Women not visible in technical environment
Interview 6 Woman entrepreneur Concept: Limited knowledge of existing women-owned
enterprises
Interview 7 Woman entrepreneur Concept: ICT sector challenging environment for women to
enterprise in
Interview 8 Woman entrepreneur Concept: Gender stereotypes influencing women‘s participation
Concept: Women boxed under administration, creativity, and
management
Interview 9 Woman entrepreneur Category: Developing staff in ICT
Property1: Prioritising the development of young graduates
Property 2: Nurturing talent
Dimension 1: Encouraging women to become women
employers instead of being employees
Dimension 2: Becoming leaders of the next generation
Interview 10
Government expert
Concept: Women making positive strides in taking up positions
previously dominated by men
Interview 11 Woman entrepreneur Concept: Limited knowledge of existing women-owned
enterprises
Interview 12 Woman entrepreneur Category: Gender stereotypes, women aware of existing
gender biases influencing women‘s lack of participation
Property: Most women are presenters
Dimension 1: Few station managers
Dimension 2: Influences of career differences
Interview 13 Woman entrepreneur Concept: Women entrepreneurs making inroads into the ICT
sector to overcome gender stereotyped assumptions
Interview 14 Woman entrepreneur Category: Women taking assertive action
Property: Self-employment creation
Dimension: Unemployment a motivation for women to start
their own business
346
Table 9: How the ICT entrepreneurs use ICT as a core product or service in
SMMEs
Part II: Open-ended questions
Section C: Business knowledge information
Q22 Describe ways in which SMME women
entrepreneurs use ICTs as a core product or
service of ICT enterprises. Please elaborate
Participant’s response
(category/property/dimension/concept generated)
Interview 1
Woman entrepreneur
Category: Service
Property 1: Printing service
Dimensions: Internal purposes
Dimension 2: Primary service
Property 2: Internet café services
Dimension 1: Internal communication tool
Dimension 2: Primary service
Interview 2 Woman entrepreneur Category 1: Service
Property 1: ICT training
Property 2: Computer used to market services via email
Category 2: Product
Property 1: Develop brochures
Product 2: Sales and repairs
Interview 3 Woman entrepreneur Category: Product
Property 1: Sell computer consumables
Property 2: Electronic equipment
Property 3: Printing equipment
Property 4: Software and hardware
Interview 4
Private sector expert
Category: Service, administrative function
Property 1: Generating invoices and quotations
Property 2: Generating payslips using software programmes
Property 3: Sales and inventory management
Interview 5 Woman entrepreneur Category: Service
Property: ICT training
Interview 6 Woman entrepreneur Category: Product
Property: Selling ICT consumables
Dimension 1: Pastel software
Dimension 2: Printing entities
Dimension 3: Networking equipment
Category 2: Service
Property 1: Consulting service
Dimension 1: Web design
Dimension 2: Advice support service on office and home office,
ICT products
Interview 7 Woman entrepreneur Category: Service
Property: Postal service
Dimension 1: Courier
Dimension 2: Mailbox
Property 2: Small office support
Dimension 1: Document solution
Dimension 2: Office supplies
Dimension 3: Digital solutions
Interview 8 Woman entrepreneur Category: Product
Property 1: ICT courses
Category: Service
Property : IT used for internal communication tool
Property 2: Marketing tool
Property 3: Externally for networking purposes
Interview 9 Woman entrepreneur Category: Service
Property 1: Network infrastructure, mobile solutions offered in
partnership with a mobile network operator
Property 2: Systems development solutions
Property 3: Support services
Category: Product
Property 1: eBooks sales
Property 2: Software and hardware equipment
347
Part II: Open-ended questions
Section C: Business knowledge information
Q22 Describe ways in which SMME women
entrepreneurs use ICTs as a core product or
service of ICT enterprises. Please elaborate
Participant’s response
(category/property/dimension/concept generated)
Property 3: ICT security systems
Property 4: Fixed line solutions
Interview 10
Government expert
Concept: Software development, systems development, web
design, business analyst, intelligence, and cabling
Interview 11 Woman entrepreneur Category: Service
Property 1: ICT training
Property 2: Internet café service
Interview 12 Woman entrepreneur Category: Gender-based career differences
influencing use of ICTs
Property 1: Women opting for occupations in the ICT
environment
Dimension 1: ICT training
Dimension 2: Secretarial positions
Dimension 3: Few in technical environment ?technicians‘
Interview 13 Woman entrepreneur Category: Product
Property 1: Engineering
Property 2: IT
Category: Service
Property: Film-making
Interview 14 Woman entrepreneur Category: Product
Property: Innovative manufacturing of ICT products
Dimension: Solar tablet PC
348
Table 10: Enterprises’ value chain of business processes
Part II: Open-ended questions
Section C: Business knowledge information
Q23 Describe the enterprise’s value chain of
business processes, e.g. which relate directly
to the delivery of enterprises’ core products
or services? Please elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: ICT enterprise value chain processes
Property 1: Printing processes
Dimension 1: Printing
Dimension 2: Laminating
Dimension 3: Binding
Property 2: Concept Development processes
Dimension: Internet
Property 3: Creative design processes
Dimension 1: Editing
Dimension 2: Email
Dimension 3: Typing
Dimension 4: Outsourcing
Property 4: Outsourcing decision processes
Dimension 1: Printing
Dimension 2: Creative skills
Property 5: Communication service processes
Dimension 1: Internet
Dimension 2: Editing
Dimension 3: Email
Dimension 4: Typing
Interview 2 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Marketing
Dimension 1: ?Design‘
Dimension 2: Develop posters
Dimension 3: Distributing posters to existing and potential
clients
Property 2: After sales marketing
Dimension 1: Database management
Sub-dimension 1: Sending email and SMS
Sub-dimension 2: Telephoning clients
Property 3: Content development
Dimension 1: Training manuals
Dimension 2: Printing manuals
Property 4: Financial management
Dimension 1: Purchasing equipment
Sub-dimension: Software and hardware
Dimension 2: Invoicing
Dimension 3: Generating and printing certificates
Interview 3 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Retail processes
Dimension: Sales
Property 2: Marketing and advertising
Dimension: Advertised through poster
Interview 4
Private sector expert
Category: Low innovation levels
Property: ICT is not understood well enough by small business
to trigger innovation
Dimension: Owners are inclined to be followers rather than
leaders
Interview 5 Woman entrepreneur Category : ICT enterprise value chain processes
Property 1: Administration processes
Dimension 1: Registering the businesses
Sub-dimension: Compliance issues
Dimension 2: Procedures for developing content for the
curriculum
Dimension 3: Submitting documentation for accreditation
Property 2: Marketing
349
Part II: Open-ended questions
Section C: Business knowledge information
Q23 Describe the enterprise’s value chain of
business processes, e.g. which relate directly
to the delivery of enterprises’ core products
or services? Please elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Dimensions 1: Word of mouth advertising
Dimension 2: Brochures, banners, and pamphlets
Dimension 3: Newspaper adverts
Interview 6 Woman entrepreneur Category: ICT enterprise value chain processes
Property: Market research
Dimension 1: Word of mouth
Dimension 2: Radio advertising
Dimension 3: Mail marketing
Dimension 4: Internet
Dimension 5: Building up customer base
Property 2: Maintenance
Dimension 1: ICT equipment and tools
Dimension 2: Staff training
Property 3: Procurement
Dimension: Stores
Interview 7 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Postal services
Dimension: Information distribution and packaging
Interview 8 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Marketing
Dimension 1: Products and service brochures
Property 2: Administration
Dimension 1: Invoicing
Sub-dimension: Registration payments and submission
procedures
Interview 9 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Retail
Dimension: Sales processes
Property 2: Administration
Dimension: Billing procedures and accounting work
Property 3: Technical department processes
Dimension: Project management
Sub-dimension 1: Overseeing the delivery
Sub-dimension 2: Implementation processes of internal
projects and outsourced projects
Interview 10
Government expert
Concept: Low levels of innovation
Concept: Innovation demonstrated in systems development,
web design, business analyst, intelligence, and cabling
Interview 11 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Advertising strategies
Dimension 1: Posters
Sub-dimension: Outsourcing work for design
Dimension 2: Doing a quality job for return business
Dimension 3: Word-of-mouth
Property 2: Administration
Property 3: Human resources
Interview 12 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Radio programming
Dimension 1: Informed by customer feedback
Dimension 2: Informed by the mandate of the board and
committees
Property 1: Committee functions
Dimensions 1: Market our programmes
Dimension 2: Address technical issues that have to do with
signal distribution
Dimension 3: Develop program content
Sub-dimension: disability issues
Dimension 4: Advertising
Sub-dimension: Media buying
Dimension 5: Issuing of quotations and invoices
350
Part II: Open-ended questions
Section C: Business knowledge information
Q23 Describe the enterprise’s value chain of
business processes, e.g. which relate directly
to the delivery of enterprises’ core products
or services? Please elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Interview 13 Woman entrepreneur Category: ICT enterprise value chain processes
Property 1: Documentary production
Dimension 1: Drafting of proposals
Dimension 2: Pre-production
Sub-dimension 1: Planning
Sub-dimension 2: Researching
Sub-dimension 3: Drafting of the script
Property 2: Production
Dimension 1: Film or re-enact scenes
Dimension 2: Editing of raw footage
Dimension 3: Producing the final product
Property 3: Web designing and hosting
Dimension 1: Generating the content
Dimension 2: Creating and activating pages
Interview 14 Woman entrepreneur Category: ICT enterprise value chain processes
Property : Research and development
Dimension 1: New design processes
Dimension 2: Production
Dimension 3: Manufacturing quality control
Dimension 4: Packaging
Property 2: Marketing and promotion
Dimension: Distribution of the product
351
Table 11: The frequency of introducing new products or services by the
SMMEs
Part II: Open-ended questions
Section C: Business knowledge information
Q24 How often does the enterprise introduce
new products or services and what informs
the decision to do so? Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: Market driven decision-making
Property 1: Opportune gap in the market
Dimension : Funding limitations
Property 2: Addressing clientele needs
Dimension : Product line diversification
Concept: Yearly upgrades on products
Interview 2 Woman entrepreneur Category: Market driven decision-making
Property: Market research
Dimension 1: Reading ?magazines‘
Dimension 2: Competitor benchmarking
Dimension 3: Customer feedback
Concept: Yearly upgrades on products
Interview 3 Woman entrepreneur Concept: Market trends drive decision-making
Concept: Yearly upgrades on products
Interview 4
Private sector expert
Concept: Market trends drive decision-making
Interview 5 Woman entrepreneur Category: Market research driven decision-making
Property 1: Constant competitor research
Dimension 1: Being on par with latest technology for ICT
training
Dimension 2: Attract customers
Concept: Yearly upgrades on products
Interview 6 Woman entrepreneur Category: Technology driven changes
Property 1: Avoiding becoming obsolete
Dimension: Staying abreast of technology concept, product
changes on a yearly basis
Interview 7 Woman entrepreneur Category: Product change decision-making decided by head
office
Property : Sale promotions determined at branch level
Concept: Equipment is replaced based on ware and tear
Interview 8 Woman entrepreneur Concept: Market trends determine decision-making
Concept: Introduction of products happens yearly and is
informed by SETA policy requirements
Interview 9 Woman entrepreneur Category: Decision-making driven by the shift in internal
strategic focus
Property: Market segmentation strategy
Dimension: Focusing on particular segment to introduce
products
Property 2 : Strategic partnership ventures
Concept: Changes in technology upgrades occurred on a
yearly basis
Interview 10
Government expert
N / A
Interview 11 Woman entrepreneur Concept: Market driven decision-making
Concept: Upgrades occurred on a yearly basis
Interview 12 Woman entrepreneur Category: Market driven decision-making
Property 1: Listenership ratings
Property 2: Feedback through surveys
Concept: Product changes on a yearly basis
Interview 13 Woman entrepreneur Concept: Market trends
Concept: Product changes done yearly
Interview 14 Woman entrepreneur Concept: Market trends
Concept: Product changes done yearly
352
Table 12: Role of government in promoting ICT women-driven
entrepreneurship
Part II: Open-ended questions
Section D: Role of government in SMME development
Q25 What is government currently doing to
promote ICT women-driven entrepreneurship
development, e.g. structured and
unstructured support programmes and
initiatives? Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Category: Acknowledging an information gap
Property 1: Limited to secondary sources of information
Concept: Lacking follow-up initiative
Category: Developing apathy
Property 2: Lack of initiative in accessing business related
information
Dimension: Time management issue
Interview 2 Woman entrepreneur Category: Acknowledging an information gap
Property : Inaccessible information sources
Dimension 1: Networking sources of information inaccessible
Dimension 2: Government sources of information limited
Interview 3 Woman entrepreneur Concept: Acknowledging an information gap
Concept: Unaware of specific projects benefiting women in ICT
sector
Interview 4
Private sector expert
Concept: Lack of government intervention
Interview 5 Woman entrepreneur Category: Gender sensitivity
Property: Gender stereotypes
Dimension: Males benefiting from sector
Sub-dimension: Male-dominated environment
Interview 6 Woman entrepreneur Concept: Not aware of projects implemented by government for
women in ICT sector
Concept: More women should penetrate ICT sector in technical
environments
Interview 7 Woman entrepreneur Concept: Gap in information about initiatives promoting
women-driven entrepreneurship development in the ICT sector
Concept: Losing ?trust‘ and ?faith‘ in government
Concept: Especially as a ?white woman‘
Concept: There is so much corruption
Concepts: Not into politics
Interview 8 Woman entrepreneur Concept: Gap in information about initiatives promoting
women-driven entrepreneurship development in the ICT
Interview 9 Woman entrepreneur Concept: Gap in information about initiatives promoting
women-driven entrepreneurship development in the ICT
Interview 10
Government expert
Category: Government taking action
Property 1: Limited SMME support
Dimension: Managing procurement from SMMEs through
centralised electronic database
Dimension 2: Thirty day turnaround payment
Property 2: Giving support to women entrepreneurs
Dimension: BEE scoring point system
Interview 11 Woman entrepreneur Concept: Gap in information about initiatives promoting
women-driven entrepreneurship development in the ICT
Interview 12 Woman entrepreneur Category: Information gap
Property: Inequality in accessing ICT programmes
Dimension: digital divide between ?big cities‘ and rural areas
Dimension 2; Programmes targeting people who are already
aware
Interview 13 Woman entrepreneur Category: Government providing support
Property: Support through ICT hubs
Dimension 1: Mentorship programmes
Dimension 2: Coaching
Dimension 3: Financial assistance
Dimension 4: Access to infrastructure
Interview 14 Woman entrepreneur Category: Government providing support
353
Part II: Open-ended questions
Section D: Role of government in SMME development
Q25 What is government currently doing to
promote ICT women-driven entrepreneurship
development, e.g. structured and
unstructured support programmes and
initiatives? Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Property: Support through ICT hubs
Dimension 1: Mentorship programmes
Dimension 2: Coaching
Dimension 3: Financial assistance
Dimension 4: Access to infrastructure
354
Table 13: Additional requirements of the women entrepreneurs from
government to promote women participation in the ICT sector
Part II: Open-ended questions
Section D: Role of government in SMME development
Q26 What more should government do?
Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Women entrepreneurs needing action from
government
Concept: Up-skilling for SMMEs
Interview 2 Woman entrepreneur Category: Difficulty in accessing funding
Property: Provide rental subsidy for office space occupied by
small business
Interview 3 Woman entrepreneur Concept: Unaware
Interview 4
Private sector expert
Concept: Upselling for SMMEs
Interview 5 Woman entrepreneur category: Organise road shows on the ground
property : Get input from small businesses‘ perspective
dimension: Awareness of SMME challenges
Interview 6 Woman entrepreneur Concept: Government not taking SMME women seriously
Interview 7 Woman entrepreneur Concept: Government assistance lacking
Interview 8 Woman entrepreneur Category: Funding processes not fair for SMMEs
Property 1: Accessible when having inside connection
Property 2: Monitoring and evaluation of procurement
processes by government
Property 3: SMMEs giving out a percentage of their money
Property 4: Corruption must be stopped
Interview 9 Woman entrepreneur Category: Women entrepreneurs needing action from
government
Property 1: Linking women with relevant companies
Dimension: Monitor that these companies are not abused or
used by bigger companies
Property 2: Women entrepreneurs needing marketing support
Dimension: Marketing the province abroad
Property 3: Encouraging women to get into this sector
Dimension 1: Women made aware of available business
opportunities
Dimension 2: Made aware what they should offer
Dimension 3: Made aware of technical assistance that is
available for women
Dimension 4: Government to play mentorship role
Interview 10
Government expert
Concept: Procurement spend on SMMEs in ICT sector
Concept: SMMEs should be given preferential treatment to
favourably compete with big business
Interview 11 Woman entrepreneur Concept: Government taking action
Concept: Implanting procurement policy (BEE scorecard)
Category: Addressing gender-based inequities
Property: Historically women have been undermined
Dimension: Women not receiving equal benefits to men
property: Women taking assertive action
Dimension: Making in roads into the ?industry‘
Interview 12 Woman entrepreneur Concept: Women entrepreneurs needing action from
government
Concept: Government taking action
Concept: Providing training in the form of ?seminars‘
Concept: Funding training
Concept: More technicians who are women and station
managers
Interview 13 Woman entrepreneur Concept: Information gap not aware of government intervention
Interview 14 Woman entrepreneur Concept: Funding the establishment of sustainable ICT centres
in rural areas
Concept: Creating business opportunities for youth in rural
areas
Concept: Resuscitation of economic activity in rural areas
355
Table 14: Role of the private sector to promote ICT women-driven
entrepreneurship
Part II: Open-ended questions
Section E: Role of private sector in SMME development
Q27 What is private sector doing to promote
ICT women-driven entrepreneurship
development, e.g. structured and
unstructured support programmes and
initiatives? Please elaborate.
Participant’s Response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Acknowledging an information gap
Interview 2 Woman entrepreneur Concept: Acknowledging an information gap
Interview 3 Woman entrepreneur Concept: Acknowledging an information gap
Interview 4
Private sector expert
Concept: Limited but given through ICT innovation hubs
Interview 5 Woman entrepreneur Concept: Limited support in the form of financial assistance
Interview 6 Woman entrepreneur Concept: Acknowledging an information gap
Interview 7 Woman entrepreneur Concept: Acknowledging an information gap
Interview 8 Woman entrepreneur Concept: Acknowledging an information gap
Interview 9 Woman entrepreneur Concept: Acknowledging an information gap
Interview 10
Government expert
Concept: Limited support given in terms of recognition awards
Interview 11 Woman entrepreneur Concept: Acknowledging an information gap
Interview 12 Woman entrepreneur Concept: Acknowledging an information gap
Interview 13 Woman entrepreneur Concept: Limited to support through ICT hub
Interview 14 Woman entrepreneur Concept: Acknowledging an information gap
356
Table 15: Role of the private sector to further develop women in the ICT
sector
Part II: Open-ended questions
Section E: Role of private sector in SMME development
Q28 What more should the private sector do?
Please elaborate.
Participant’s response
(category / property / dimension / concept generated)
Interview 1
Woman entrepreneur
Concept: Not aware of private sector initiatives
Concept: Give B2B support
Concept: Support networking forums
Interview 2 Woman entrepreneur Concept: Private sector needed action
Concept: Support local companies
Concept: Avail business opportunities
Concept: Avail access to business information via webpage
Interview 3 Woman entrepreneur Concept: Unaware
Interview 4
Private sector expert
Concept: Support through ICT training
Interview 5 Woman entrepreneur Concept: Support through training skills
Interview 6 Woman entrepreneur Concept: Support SMMEs by developing their knowledge and
skills in ICT and funding the training
Interview 7 Woman entrepreneur Concept: Unaware
Interview 8 Woman entrepreneur Concept: Unable to suggest
Interview 9 Woman entrepreneur Concept: Use private companies based on their service track
record
Concept: Engage the services of women-owned companies
Concept : National companies engaging local companies
known by a friend
Interview 10
Government expert
Concept: Support through ICT training
Interview 11 Woman entrepreneur Concept: Conduct ICT road shows to create awareness on the
importance of ICT
Concept: Afford SMMEs opportunity to train their staff
Interview 12 Woman entrepreneur Concept: Empower rural people with ICT training
Interview 13 Woman entrepreneur Concept: Playing a mentorship role for emerging women
entrepreneurs.
Interview 14 Woman entrepreneur Concept: Supporting SMME women entrepreneurs
357
Appendix O: Conceptual refinement – depicting the refinement of categories and concepts generated from open-ended questions
Ontological
Category
Properties What When Where Why How Consequence
Gender
sensitivity
Socio-cultural gender
role expectations
Societal
expectations that
view women
entrepreneurs
different to their
male counterparts
Women
entrepreneurs
have to market
the ICT enterprise
Restaurants after
hours
Women not
expected to hold
business meetings
after hours (night)
Women‘s role
viewed to be more
domesticated,
attending to family
after hours
Women being judged
against cultural norms,
?improper‘ behaviour
Women entrepreneurs
are balancing work and
domestic
responsibilities, men
have fewer domestic
responsibilities
Experiencing
challenges in
marketing and
growing the
business
Women unable to
market their
businesses after
hours through
business
relationships
Networking
platforms
Networking
platforms friendlier
to men than to
women
If you are a women,
sexual favours would
likely be expected
Experiencing
challenges in
building business
relationships,
?networking‘,
perceptions that it‘s
a ?men‘s world‘
Gender stereotyping Men are better
employers than
women
Employees
compare
employment
conditions
Local market Men are treated
more respectfully,
they pay good
salaries, and they
are more productive
?Women not given the
credit they deserve‘
Women
entrepreneurs
developing
insecurities
?Women quickly give
up‘ on business
Gender-based
discrimination
Gender-based
economic
marginalisation
Seeking financial
assistance ?loans‘
?Banks‘ Discriminated
against by virtue of
being a woman
Denied access to
finance
Have limited
operating capital –
low profits
?black businesses‘
struggle and close
down
Cash flow problems
seen as a risk by
banks
358
Ontological
Category
Properties What When Where Why How Consequence
No ?collateral‘
security
SMMEs in urban and
rural areas
Poor credit history
or no ?financial
record‘,
Do not earn a
regular salary
Loans inaccessible
SMMEs neither
know where, nor
how to access
funding.
Information not readily
available
Develop apathy
Access business
opportunities
Government and
private sector
Bias in tender
adjudication
processes
BEE scoring point
system is not benefiting
women as it intends to
(due to lack of
transparency)
Women
entrepreneurs shy
away from pursuing
tender opportunities
Playing field is not
Level
Gender
sensitivity
Gender-based inequality
in the workplace
Underrepresentation
of women in key
positions
Career
advancement
Senior positions Men still question
women‘s abilities.
Perceptions of ?men‘s
world‘
Women‘s voice not
heard, no input in
the decision-making
platforms
Inequality in working
conditions
Workplace Women and men
not treated as
equals, differences
in remuneration,
maternity leave
(long absence from
work ) that affect
women‘s financial
standing
Credit rating affects loan
application
Inaccessible
funding affects
cash flow
Women lack work
experience in
comparison to their
male counterparts
and are not
competitive enough
to earn a higher
income
Limited career
advancement
opportunities
359
Ontological
Category
Properties What When Where Why How Consequence
Women lacking ICT
knowledge
Women lacking
knowledge about
ICT sector
Role of ICT in
business
acknowledged
Marginalisation from
ICT
Gender-based
educational differences
Unequal educational
qualifications
Compare women
to men
Workplace Inequalities in
earnings between
women and men
Women underqualified
than men
Women‘s
professional
advancement limited
Women have less
work experience
than men
Women occupy
subordinate positions
Inability to advance
to senior level
positions where
decision-making in
ICT happens
Women lack
financial confidence
Bookkeeping Enterprise Bookkeeping
purposes
Unable to compile
financial documents
In debt at the
receiver of revenue
owing to outstanding
information required
on submission
Gender stereotypes ?It is difficult in
today‘s environment
to be able to get a
tender although you
submit all required
information for
tendering‘
Accessing tenders Government Women
entrepreneurs are
?side-lined‘
?The panel looking
into these tenders
are male-dominated‘
Tender irregularities,
giving preference to
men get preferential
treatment
Women‘s economic
marginalisation in
the ICT sector
Gender
sensitivity
Gender stereotypes Women are ?judged‘
as being
?incompetent‘ and
lacking in technical
knowledge
Meetings and
workshops
Business Women are always
looked at as not
being
knowledgeable [in
ICTs]
Men perceived as
being
Underrepresentation in
technical environment
Women reverse
these perceptions in
taking assertive
action enrolling for
technical courses
360
Ontological
Category
Properties What When Where Why How Consequence
?the technical
experts in
computers‘, Men‘s
game
Partially met SMME
woman entrepreneurs‘
expectations
Government do not
recognise women as
?business owners‘
Seeking business
opportunities
Government Unequal access to
business
opportunities
Lack access to tender
information
Lack access to funding
Develop apathy and
eventually close
down business
Slow change in
government action
Women-owned
business
marginally
recognised
Government not
availing business
opportunities for
women-owned
BEE scoring point
system
Tender opportunities
are limited
Women‘s management
style
?sensitive
personality‘
Making their
voices heard
Board meetings Have a ?sensitive‘
and ?soft side‘
Make their views heard
using soft skills –
emotional intelligence
Diffuse intimidating
attitude from men
Women are
?emotional‘ by
nature
Lack emotional
intelligence, have
personal issues
Clouded judgement
and decision-making
?Women have no
decision-making power‘
?Women have no
power to challenge
or change the
situation‘
They are not
involved in decision-
making in
environments, e.g.
?engineering‘
Women‘s voice missing
to advocate for issues
affecting women
ICT decisions made
on their behalf
Gender-based
occupational
differences
Women distant to ICT –
socialisation
Women are
marginalised from
ICT
Women entrepreneurs
taking assertive action
Reverse gender
stereotypes
Professional and
economic
development
ICT sector Operate their own
businesses
?Pursue career options
in IT historically pursued
by young men‘
Reverse gender
stereotypes
Gender-based
discrimination
Women have no
decision-making power
Women are
oppressed and in a
powerless position
Decision-making Workplace Gender-based
occupational
differences, men in
positions of power
Have no power to
challenge or change the
situation
Inability to contribute
to decisions
concerning
operations of the
organisation
Gender-based sexual
harassment
Women subjected to
?sexual innuendos‘
Seek tender
opportunities
Government Government officials
seek sexual favours
in return for
awarding tenders
Immorality in business
ethics, ?differing moral
scales‘
Women are
economically
marginalised
361
Ontological
Category
Properties What When Where Why How Consequence
Gender-based
career
differences
?Predominantly male-
dominated career path‘
Stereotypical
notions of perceived
different career
paths for women
and men
Pursue career
choices
ICT sector Underrepresentation
of women in key
positions in the ICT
sector
Influenced by socio-
cultural gender role
stereotypes, men‘s
world / males only club /
men‘s club / boys club /
men‘s game
Lack career
orientation to and
understanding of
career possibilities
in the ICT sector.
Women career paths:
Training providers
Administrative workers
Technicians
Women ?not seeing
the value of ICTs?
Men not expecting
women
entrepreneurs to
take up senior
management
positions
Inequalities in the
workplace – women
not having decision-
making power in
ICT
?In the past, all technical
positions have been
held by men and it is
like an issue to have
women in [the] technical
[environment] ICT‘.
Marginalisation from
ICTs
Women empower
themselves in ICTs
Few women role
models in senior ICT
positions
Increasing
stereotypes in
?women‘s jobs
and ?men‘s jobs‘
Women
entrepreneurs
demonstrate
assertive action in
penetrating core
technical
environments
Gender
stereotyping
Gender-based career
differences
Gender segregation
influenced by socio-
cultural gender role
expectations
Delineating female
orientated skills
and male
orientated skills
Career development
planning at
workplace
Women
discouraged from
pursuing career
aspirations
Forced to find
employment in the
?corporate world‘ as
opposed to ?men‘ who
have the opportunity to
?study further‘
Increases the
underrepresentati
on of women in
the ICT sector,
especially in top
management
positions
Increases
overrepresentatio
n of women in
non-professional
ICT occupations
ICT sector
predominantly a
male-dominated
career environment
Women occupations
associated with
?administrative creativity‘
Marginalises female
participation in ICTs
362
Ontological
Category
Properties What When Where Why How Consequence
Gender
stereotyping
Public‘s stereotypical
perception of the
business owner
Stereotypes held
about women‘s
ability to run an ICT
enterprise
undermined
Women
entrepreneurs not
recognised in the
industry
Business
environment
?Women not given
the ?credit they
deserve‘
Men‘s technical
orientation better than
women
Have to prove their
capacity
Women
lacking
recognition
Needing gender
disaggregated ICT data
Sex disaggregated
statistics of the ICT
sector in the
Eastern Cape are
not available
Business women‘s
achievement
awards
Business
environment
To establish how
many businesses
are owned by
women
To look at the
nature of the
business [industry]
women are
enterprising in to
appreciate the
challenges they
encounter
Sex disaggregated
statistics of women
owned businesses in
the ICT sector should
be available
Understand women-
driven
entrepreneurship in
the province
Women‘s
contribution in the
ICT sector goes
unrecognised –
despite weathering
the challenges
Acknowledging
an information
gap
Limited to secondary
sources of information
Limited to television,
peers in business,
hear say
Look for business
opportunities
Small business
support agencies
Challenges with
time management
No follow-up with SEDA
on advertised
information
Miss out on
business
opportunities
Seek funding Non-assertive action No follow-up initiative
No research conducted
about the market
Develop apathy, low
motivation
Not optimising
available sources of
SMME support
Accessing support
initiatives
Networking sources
of information
Look for business
information
Business networking
platforms and
meetings
Attendance is
predominantly male
Agenda gender-biased,
issues discussed do not
speak to women issues
Widen inequalities in
accessing
information that
could enable women
to benefit from
available resources
and economic
opportunities made
available to
business networking
platforms
363
Ontological
Category
Properties What When Where Why How Consequence
Networking among
women
entrepreneurs is
lacking.
They do not know
one another and do
not know how other
women
entrepreneurs are
progressing
Lack of access to
information that
women are
supposed to benefit
from
Government
tenders
Government sources
of information
?Difficult to access
business
opportunities for
women-owned ICT
enterprises‘
?Supply chain is not
doing enough to
promote Broad-based
Black Economic
Empowerment‘
Women do not
benefit from BEE
scoring point system
Widening gap
between women
and men in
accessing
economic
opportunities
Acknowledging
an information
gap
Inaccessible government
offices
ICT cost (online)a
barrier in accessing
government offices
Business
opportunities
Government
departments
No national offices
at local level
Learn more about
assistance DTI provides
to women
Difficulty to access
information from
relevant local
departments
Access SMME
support
programmes
Access through the
local agency
Often referred to consult
the national office,
information gap at the
agency
Lack of access to
information limits
women‘s
development
business
opportunities
Lack access to local
branches, loss of
training, learning,
development and
career opportunities
Private companies No national offices
at local level
Cannot afford
telephony cost as
entrepreneurs are
operating from
home- teleworking
Information not readily
available
364
Ontological
Category
Properties What When Where Why How Consequence
Woman
entrepreneur has
limited scope in ICT
skills, lacks ICT
orientation in the
ICT sector
Computer
applications
Workplace Familiar with end-
user applications
ICT skills not upgraded,
limited to end-user
computing qualification
Limited knowledge
and skills in ICT
ICT enterprise
experience
technical
problems, network
infrastructure
Server network
unavailable
Lack of in-house
technical skills
Sourcing services of a
technician to detect
problem
Impact decisions
pertaining to
infrastructure
upgrades,
inflexibility to
consider changes
Women
entrepreneurs lack
information about
the ICT sector
Accessing
information
ICT sector Limited exposure to
information sources
Information not readily
available
Inflexibility to
changes in the ICT
sector that may
directly or indirectly
impact the ICT
enterprise
Women not
recognised as
?business women‘
Do not know what
information to look
for
Limited communication
between SMMEs and
government / private
sector
Lack of access to
information limits
women‘s
contribution to the
sector
Accessing
business related
information
ICT sector ?I do not know what
is available for
women out there‘
Information not readily
available
Missing business
opportunities
Internal and
external
barriers
Unaffordability ?Expensive
equipment costs‘
?Expensive
maintenance costs‘
Licensing of
software
Upgrading Workplace Financial limitations Access funding Obsolete technology
365
Ontological
Category
Properties What When Where Why How Consequence
Access Internet Look for business
opportunities
Government and
private sector
Financial limitations Access online
information
Missed business
opportunities
Unaffordability Cannot afford salary
of qualified staff
Hiring staff ICT Market Limited operating
budget
Recruiting people with
ICT qualification
Staff shortages
?one-man-show‘
Inability to conduct
continual training
Upgrade systems Workplace Limited operating
budget
Funding inaccessible Marginalisation from
ICT
Government regulations Stringent
procurement
systems
Tendering Government Women do not meet
strict qualifying
criteria
Denied access to
finance
Could exclude the
SMME from
business
Affect performance
of the enterprise
Inflexible
administrative
requirements and
procedures
Access finance Government Restricting
application
requirements, i.e.
loan, credit, and
collateral surety
Compliance
requirements
Documentation too
complex
Inability to access
operating capital
Access business
information
Do not having ?full
information‘ about
government
initiatives
Access business
information
Government Lack initiative Self-imposed barrier Get empowered
?Most SMMEs do
not have mentors to
provide guidance‘
Need exposure to
information,
networking
opportunities
Government and
private support
initiatives
Women
entrepreneurs need
guidance through
mentorship
programmes
Government and private
sector must establish
SMME business
incubators throughout
the province
Decrease their
visibility as
entrepreneurs in
the ICT sector
Government should
facilitate open dialogue
sessions with women
entrepreneurs
Under performance
of ICT enterprises
366
Ontological
Category
Properties What When Where Why How Consequence
Internal and
external
barriers
Access business
information
Late turnaround
payment processes
of Government
Wait for payment Procurement officers Careless supply
chain administration
processes
?no accountability‘ Unable to tender
sustainably
Cost implications
for the ICT
enterprise
Cash flow problems
Poor customer
service
Bad reputation for
ICT enterprises, pay
their suppliers late
Experience
difficulties to
access funding
Inequalities in accessing
funding
?To get funding, you
must know someone
from inside or be
part of a network
group‘
Allocation of funds Government Funding processes
are not fair
A lot of corruption
happens through
government
connections
Government must
?monitor and evaluate
procurement processes‘
Inequality in
accessing funding
?Operational costs‘ ?Although we get
funding for
infrastructure,
equipment from an
agency, we still
need funding to
cover operational
costs‘ for the multi-
media centre
Look for sources
of funding
Private donor
funding agencies
Government
Limited operating
budget
Generate funding for
sustainability
Community media
centre is a white
elephant, inability to
raise additional
finance
Lack of start-up
capital, loans
Look for sources
of funding
Government and
private sector
For equipment and
marketing costs
Not taking initiative to
approach sources that
provide funding
Lack of access to
finance affects
business
performance
Eastern Cape
ICT Market
Private company
preferred suppliers
Local companies
identified by
?National companies
to do business with
are getting business‘
Requests for
tendering services
From local market ?Already have
contracts with local
companies‘
?Utilise those companies
for their services‘
Local ICT
enterprises get
marginalised
Government suppliers ?Established
companies‘ on the
government supplier
database are not
getting business‘
Requests for
quotations
From local market Unable to
markdown
Do not have
government
connections
Economic
marginalisation
367
Ontological
Category
Properties What When Where Why How Consequence
?Black SMMEs‘,
new entrants are
getting business
Requests for
quotations
From local market ?Mark down prices
against a standard
market margin‘,
?they are the ones
who get the work‘,
uncompetitive
pricing
Have government
connections
?Getting inside tender
information from
government‘
Do not last very long
in business when
relationships with
government officials
collapse
They are
?destabilising the
market‘, – they
undercut everyone
who has been
playing in that space
Requests for
quotations
From local market Government looks
at the cheapest
quotation
Respond competitively
to requests for
quotations compared to
established companies
Run out of business
when connections
collapse
Low innovation
levels
?ICT is not understood
well enough by small
business to trigger
innovation‘
Lack of SMME
innovation
Innovation
considered a
contributing factor to
successful
entrepreneurship
Employing ICT for
business purposes
Workplace Not understanding
?innovation is at the
heart of any ICT
business‘
?Owners are inclined to
be followers rather than
leaders‘
ICT technology not
optimised, not
aware of simplified
formats offered by
ICT, e.g. online
management of
business processes
Lack ability to
propose new ideas
and prospective or
beneficial changes
to the sector
Lag behind in
Technological
Development
Women-driven
innovation observed
in: ?systems
development‘, ?web
design, ?business
analyst‘,
?intelligence‘, and
?cabling‘
Occupation ICT sector Take assertive
action to penetrate
careers previously
dominated by men
Manufacture innovative
products and propose
innovative systems and
solutions
Compete favourably
in the ICT sector
Developing
apathy
Lack of interest in
accessing business
related opportunities /
information
Lack of initiative to
follow up on
information obtained
from secondary
sources
Look for business
opportunities
Government No information
research, that could
benefit the ICT
enterprise
Has not dedicated much
time to actually tap into
the opportunities that
are out there
Economic
marginalisation, Do
not benefit from
government
initiatives
368
Ontological
Category
Properties What When Where Why How Consequence
Quickly give up on
business
opportunities,
especially when
faced with
challenges
Globalisation Lack of local SMME
support
Big companies
?multi-vendors‘
favoured over local
SMMEs that are not
accommodated by
the ?procurers of
services‘
Tendering Eastern Cape ICT
market
SMMEs ?considered
to be a risk by multi-
nationals‘
SMMEs look at big
business for ?support‘ in
terms of getting
business opportunities
locally.
Economic
marginalisation of
SMMEs in the
province,
opportunities for
small business in
the province are
obscured
Develop staff
capacity
Prioritise the
development of young
graduates
Nurture the talent Mentor young
graduates
Workplace ?To become women
employers instead
of being employees‘
Demonstrate
instinctive mother[ly]
care
Looking opportunities to
develop them through
mentoring
Become leaders of
the next generation
in the ICT sector
Address the
shortage of women
in key positions
Develop staff
capacity
Lack business
knowledge and skills
?Unfamiliarity with
business operations‘
No workplace
experience,
?incompetent‘?
Operational
activities
Workplace Start-up business Lack skills in the area of
?finance‘, management‘,
and ?employment
regulations‘.
Underperformance
of the ICT enterprise
Lack human resource
capital
Inability to create
?sustainable‘
employment
Recruiting Local market ?People are
poached by other
companies‘
?Offered better salaries
and better opportunities‘
Low staff retention
levels, wasteful
expenditure, training
for other companies
Lack time to
assume the role of
mentor
Induction period Workplace Time management
issues
Understaffed
Mentoring ?takes about
two to three months
before they are ready to
understand your
business‘
Staff shortages,
one-man-show,
owner burdened
with responsibility
ICT enterprise not
able to hire people
Seek operating
capital
Government and
private sector
?enterprise not able
to pay ?people‘
salaries
Do not generate
sufficient income‘
High staff turnover
369
Ontological
Category
Properties What When Where Why How Consequence
Experience difficulty
in accessing funding
Motivation Develop people ?give them the
chances you did not
have‘
Employees
?lacking in
business and ICT
skills‘
Workplace ?To get everybody
on board‘ in relation
to the vision of the
ICT enterprise
Impart business and
ICT skills
Connect people with
ICT
Women who lack
motivation are
considered ?a big factor
when starting a business‘
Seek business
opportunities
Marketplace Lack ?sheer
determination‘ and
?belief‘ in the ?idea‘
Do not diversifying
product range
They ?start of big‘,
miscalculate
business decisions
Fail to market the
ideas
Fail to succeed
because ?it is tough to
do business in this
sector‘ if business skills
are lacking, poor profit
margins
Women who lack
motivation are
considered ?a big
factor when starting
a business‘
Lack business
knowledge
Start off with ambitious
goals
Women ?do not
know how to ?start a
business‘
Miscalculated
marketing decisions
result in low
customer market
share compared to
competitors
Establishing the
?business‘
ICT sector ?Women lack
motivation‘ because
it is tough to do
business in the ICT
sector‘
?Women lack business
knowledge‘
Businesses fail
because they start
off with ambitious
goals
Lack of
development
in ICT skills
Motivate candidates to
enrol for technical skills
?motivate… women
candidates to enrol
for technical support
skills‘
An emerging
demand for ?skills
in the technical‘
environment
ICT sector Women do not
penetrate the core
?technical
environments‘
Skills shortage in the
technical environment
An opportune gap
for women to curb
women‘s
marginalisation from
ICT
Underrepresentation
of women in the ICT
sector creates a
scarcity of role
models for other
women and
perpetuates male
dominance in the
sector
Inequalities affect
370
Ontological
Category
Properties What When Where Why How Consequence
women‘s ability to
access, use, and
master ICTs.
Lack of
computer
literacy lacking
Barriers Unable to afford
Internet service
Work
assignments
ICT sector Financial limitations Internet costs Marginalisation from
ICT
Lack of computer
literacy
No training in ICT
skills
Unable to use a
computer
Computer
literacy
Access to computer Able to operate a
computer
Work
assignments
Workplace Aware of computer
literacy benefits
Have a computer Optimise ICT usage
Cannot operate a
computer to solve a
network problems
Work
assignments
Workplace SMMEs don not
have the necessary
ICT background
Women have a poor
awareness of the career
possibilities in ICT
Career possibilities in
ICT do not have high
profile, due to
stereotype of ?men‘s
world‘
?SMMEs are
reluctant to embrace
change… new
technology… they
prefer the old‘
Inability to use new
technology
appropriately
Work
assignments
Workplace Lack of computer
literacy
Divulge information Compromise
security of the
protocols of the
enterprise
Technology
stereotypes
Assume that they do not
have to know about
technology
Ineffective
marketing
Promote services
and products
Local community ?Do not seem to
understand that
technology is vital
nowadays‘
?Educating community
about the use of tele-
centres‘
Multi-media centre
is a white elephant
Inability to use new
technology
appropriately
perceived as a
possible risk for the
enterprise
Community lags
behind in
technological
advancement
Technology
driven
changes
Avoid becoming obsolete Staying abreast of
technology
Upgrading Marketplace Rapid technological
changes
?Staff trained to keep up
with latest technology‘
The ICT enterprise
lags behind
competition and
closes down
371
Ontological
Category
Properties What When Where Why How Consequence
ICT enterprise
value chain
processes
Marketing Marketing activities
Aftersales
communication
activities (CRM)
Content
development
Financial processes
Marketing the ICT
enterprise
Marketplace Get new clients and
retain old clients
Marketing material
?distributed to existing
and potential clients‘
Use Customer
Relationship
Management (CRM)
processes
Return business,
customer retention
strategies
ICT enterprise
value chain
processes
Printing Laminating
Binding
Tendering
services
Government,
Local marketplace
Service offerings of
the ICT enterprise
Bulk printing Making profit
Concept development
Creative design
Internet , editing,
email, typing,
printing, outsourcing
Consulting Local Client Value-added service Provide one-stop
service
Customer retention
strategy
Outsourcing decisions Printing, creative
skills
Identify services
not available in-
house
Big business Lack in-house
capability
No capacity and lacking
skills
Hamper the growth
of the ICT enterprise
Communication service Internet, editing,
email, typing
Client and internal
communication
Marketplace
Workplace
Business
Internal messages
Internet, email, typing
and editing
Improved customer
service, quality
checking of the
services offered
Retail Marketing and
advertising
Image building
Promotion In-store promotions Get more customers Posters Improved sales
Advertising Word of mouth Promote products
and services
Local community Get community to
make use of the
centre
Provide a quality
product / service
Get more people to
use the multimedia
centre
Sales ICT computer
courses
Provide service At the multi-media
centre
Train local
community
ICT training solutions
and Internet café
service
Broadcasting Radio programing Provide service Radio station Community radio
mandate
Broadcast programmes Increase listenership
levels
Documentary production Drafting proposals
Preproduction
Production
Documentation Local and national Create awareness
of opportunities in
the ICT sector
through
Document stories Enable SMMEs to
regard
documentaries as a
career option
372
Ontological
Category
Properties What When Where Why How Consequence
documentary
Research and
development
?new ways of doing
things‘, new design
processes
Develop products Local market Gain competitive
advantage over
competition
Create innovative
products
Increase innovation
levels in the SMME
segment
373
Ontological Category Properties What
ICT usage as a core product Printing Bulk Printing
Internet café services Photo-coping, printing, laminating, faxing, and also phone calls
ICT training NQF Level 3 and 4 ICT courses
Retail ?I sell computer consumables, electronic equipment, printing equipment, software, and
hardware.
IT solutions, web-design, and web-hosting Consulting service
Administrative ICT enabled function ?Generating invoices, quotations‘ and ?payslips using software programmes‘, ?sales and
inventory management‘, and marketing (CRM)
Multi-media service ICT training and photo-coping, printing, laminating, email, faxing, and also phone calls.
PostNet Faxing, courier, document solution, mail boxes, office supplies, and digital solutions.
Network infrastructure and mobile solutions Systems development solutions and support services
Broadband, hosting mobile Internet, cabling infrastructure, desk top / server solutions, and
simplified school solutions
Sales: eBooks, software and hardware equipment, ICT security systems, and fixed line
solutions.
Retail Sales ICT hardware and software, IT equipment, and web-design / networking
Documentaries Film and television production, graphic design, and photography
Community radio programmes Broadcast
PostNet Information distribution, packaging, small business office documentation and management,
design, copy, and print, and a postal agency service
Ontological
Category
Properties What When Where Why How Consequence
Business owner A person who
has an ?idea‘.
Have ?a vision‘,
?innovative‘, high
levels of
motivation
Risk taker
Ability to organise
resources,
?creating
employment for
self and others‘,
passion for
developing self
and others, and
understanding
the needs of the
market
Turn an idea into a
big venture
Visualise the
new enterprise
Business
environment
Expand the business ?bigger‘ than than
?hand-to-mouth‘
venture
Grow the business
Women are not
recognised as
managers and
business owners
Interact with
customers
Business Gender stereotype
attitude
Gender biases
attitudes, not
recognising women
as equals
Increased gender
discrimination
374
Ontological
Category
Properties What When Where Why How Consequence
?Art of creating
business‘,
seeking new
market, limited
marketing budget
New entrant
Ineffective
marketing activities,
competition in
marketplace
Marketing the
ICT enterprise
Local market Limited operating
budget
Lack marketing
budget
Unproductive
Face local
competition
Women
entrepreneurs have
negative attitudes
towards competition
Risk aversion Unknown in the market
Marketing Product
diversification
decisions
Diversify into new
segments A and B
Compete in the
marketplace
Local market Pressure from
competition
Previous
miscalculated
marketing decisions
influence future
decisions
Competitive marketing
Finding ?niche market‘ Ability of SMMEs to
survive competition
?where similar
products are also
offered‘
Limited marketing skills
Risk aversion
Women entrepreneurs
have negative attitudes
towards competition
Shift in internal
strategy
Market
segmentation
strategy
Penetrate niché
market
Introduce
products and
services in the
market
Eastern Cape ICT
market
Offer niché solutions Product
diversification
Thrive in niché markets
and be competitive
Partner with
mobile network
provider
Partnership Introduce
products and
services in the
market
Eastern Cape ICT
market
Gain competitive
advantage
Cell phone contracts
Data encryption
solutions
Cell phone data
Fixed line solutions
Product diversification
gives a competitive
advantage
375
Ontological
Category
Properties What When Where Why How Consequence
SMMEs need
competitive
advantage over big
business
Employ latest
technology
?Being at the fore
front of innovation‘
Tendering Government Government is
looking for
progressive SMMEs
that are at the
forefront of innovation
Support SMMEs that
offer latest
technology solutions
Arrange partnership
between big
businesses and
SMMEs to enhance
SMMEs‘ research
and development
capabilities in order
to launch their
products
SMMEs do not stand a
chance to compete with big
business if they lack
research and development
capabilities
Government takes
action
Provide support to
women in
government
ICT award
programme
Development ICT environments in
government
Ensure that
government has
trained women in ICT
ICT award
programme
Raise the profile of women
in ICT
Management and
executive
programme
Development Senior management
level
Accelerate the
development of
women in ICTs
Executive
development support
for women in ICT
environments
Visibility of women in
leadership positions
Provide support to
women
entrepreneurs
Empowerment
interventions for
women
Access to
tenders
ICT sector Afford women-owned
business an equal
opportunity to access
government tenders
by awarding extra
points
BEE scoring point
system
Access to tender
opportunities
Implement
centralised
electronic database
Manage
procurement in
conjunction with
SMMEs
Supply chain Enable SMMEs to
access tender
opportunities
Register SMMEs on
centralised electronic
database
SMMEs able to tender,
limited SMME support
Honour a thirty day
turnaround payment
Pay SMMEs Supply chain Enable SMMEs to
tender sustainably
Improve turnaround
payment period
SMMEs can improve cash
flow management
Facilitate
partnership
ventures
Tendering ICT industry Must be enabled to
access tenders
Facilitate partnership
ventures between
small and big
business
Big businesses assist
SMMEs by carrying the
financial costs, providing
human resources, and
providing surety
Facilitate skills
transfer
SMMEs can enhance their
research and development
technological capabilities
376
Concept What When Where Why How Consequence
Women entrepreneurs
need
action from government
Women entrepreneurs
need marketing support
?You never hear of
business women in this
province being part of
these delegations‘
Create business linkages
with other companies
?Marketing the
province abroad‘
?Ensure representation of
women in business
delegations‘ overseas
Government needs
to include women
entrepreneurs in
overseas delegations
Decrease inequalities
between provinces to
access business
networking
opportunities outside
the country that
government facilitates
?Linking women with
relevant companies‘, local
business linkages
Source partnerships Government
contracts
Enable SMMEs to
access big tenders
Facilitate partnership
between small and
big companies, skills
transfer
Make ICT sector
attractive; not currently
attractive to women
entrepreneurs
?Help grow these
women-owned
companies‘
Government monitors
partnership projects
from adjudication to
completion to guard
against the abuse of
small companies by
big companies
Big companies abusing
or using small
companies, especially
women-owned
companies
Lack of transparency in
payment terms
Women need to know what
it is that they can offer in
terms of products and
services when entering the
sector
Tender their products
and services
ICT sector Women are
uncompetitive and not
innovative
?Making women well
aware and prepared
in knowing what one
can offer to benefit
the client‘
Result in low levels of
innovation
Low market share
Government should play a
mentorship role
Development initiatives SMME segment Encourage women to
pursue ICT related
careers
Guide women
entrepreneurs who
aspire to get into the
sector
Increase women
participation in the
economic mainstream
of the ICT sector
Government provide ?rental
subsidy‘ for office space
occupied by small
businesses
SMMEs look for sources
of funding
Government SMME development
support
Establish throughout
the province ?a place
that will incubate
start-up small
business‘
Monitor the
development of these
SMMEs over a period
of two to three years
to get value for
money
Support SMMEs to
promote the growth of
their enterprises
377
Concept What When Where Why How Consequence
Provide ?seminars‘ Induct women
entrepreneurs
Eastern Cape
Province
Women need to know
what it is that they can
offer in terms of products
and services when
entering the sector
Raise women‘s
awareness of
business
opportunities
available to them
?Making women well
aware and prepared in
knowing what one can
offer to benefit the
client‘
Provide ?road shows‘ Getting feedback Eastern Cape
Province
?So that SMMEs can
contribute to the growth
of the economy‘
Government is aware
of the challenges that
SMMEs face
Close the disconnect
between government
and SMMEs
Women entrepreneurs
need action from
government
Provide ICT skills Induct women
entrepreneurs
?Penetrate rural
areas‘
Know the benefits of ICT Government informs
and educates
entrepreneurs about
ICT
More women participate
in the ICT
The importance of ICT Promote gender
equality in ICT access
and usage
How to introduce ICT in
their businesses
?Departments
responsible for
facilitating national
communication like
GCIS, must know
what ICT is about‘
Business owners
employ ICT in their
operating systems and
produce ICT products
and services
Establish sustainable ICT
centres
Look at promoting
entrepreneurship
development
Rural areas ?Create lots of
opportunities for the
youth living in remote
areas and they will
contribute to the
economy.?
Infrastructure that will
support local SMMEs
Increased
entrepreneurial activity
?Upgrading the
telecommunications
infrastructure‘
Service delivery Underserviced
areas, particularly
in rural areas
Frequent technological
changes necessitate
frequent upgrades in
technology
Flexibility in
integrating
technology
Access to infrastructure
enabled by
convergence
of technologies
Stop the ?corrupt‘
behaviour of officials
Procure services SMMEs Government officials ask
for money and sexual
favours in exchange for
awarding tenders
Look into its supply
chain administrative
procedures, monitor
and evaluate the
procurement
processes in order to
curb corruption
Equal access to tenders
End gender-based
sexual harassment
Relaxation of restrictive
tender requirements
Due diligence Site inspection Start-up businesses
don‘t have the assets
stipulated in the tender
Start-up businesses
need to produce
evidence of assets
Start-up businesses
would not be able to get
access to tenders
378
Concept What When Where Why How Consequence
requirements. These
requirements most of the
time are not relevant
(don‘t speak to the type
of tender advertised
Women entrepreneur seek
financial assistance
Tender is awarded Government Remove restrictive
qualifying tender
requirements, loan
?Should provide…
like… in the
construction
environment session
agreements on
obtaining a tender‘
Ability to tender
sustainably
Women entrepreneurs
seek to attain financial
independence
To circumvent the
current practice that
by default
encourages joint
partnerships between
big business and
small business
confronted with
funding limitations
Benefit minimally from
partnership, ?and do
you know how they kill
us‘
Private sector needed
action
Sponsor networking
platforms
Procurement service Business
community
So Business-to-Business
(B2B) can ?grow each
other‘,
?mentorship‘,
?support each other‘
Initiate such
platforms
Market business
linkages
Make business
opportunities available on
their websites
Request quotations from
SMMEs
SMMEs Encourage the
participation of SMMEs
Enable access to
?webpages‘ for
available business
opportunities
Promote increased
participation of SMMEs
?Financially assist start-up
businesses‘
Loan application SMMEs Need operating capital Need operating
capital
Promote increased
participation from
women
Support SMMEs by
developing their
knowledge and skills in
ICT and fund the training.
Development initiatives SMME segment Advance women in the
ICT sector
Fund training Narrow the technology
gap
Increase participation of
women in the ICT
sector
Must be encouraged to
use women-owned
companies
Procure services Business
environment
Promote women-driven
entrepreneurship in the
ICT sector
Look at the service
track record and
ability to deliver of a
company
Promote increased
participation of women
in the economic
mainstream of the ICT
379
Concept What When Where Why How Consequence
sector
Provide a mentorship role
for emerging women
entrepreneurs
Basic knowledge or
information about the
functionality of the sector
SMME segment Skills transfer ?Private companies
can serve as a
source of reference
for women‘
Active participation of
women entrepreneurs
in the ICT sector
Assist women in business Empowerment initiatives SMME segment Produce innovative
products
Financial assistance Increase innovation
levels enabled through
R & D
Information on business
opportunities available in
private sector
Investors in search of
ICT businesses to
provide support
SMME segment Advance SMMEs in the
ICT sector
Give exposure to the
incubation
programme
Increase business
development and
growth
Low motivation Ineffective marketing
strategies
Marketing Marketplace Local competition
pressure
Limited marketing
budget
Competitor has
bigger customer
market share
Loose walk-in
customers
Self-motivation Developing learners ICT sector Give them exposure to
opportunities that were
previously denied to
women entrepreneurs
Pursuing the vision to
?motivate women
candidates to enrol
for technical support
skills
Enabling women to get
into the ICT sector
Staff Impart skills to prepare
them to grab better
opportunities
Develop
young graduates
Profile of women in the
ICT sector is raised
Development Development of SMME
women-owned enterprises
Look for business
opportunities and
information
ICT sector Enable access to ICT
business opportunities
Transfer of ICT
knowledge, skills,
and business related
information
Increase growth and
development of SMMEs
in the ICT sector
Staff Career path
development
Government and
private sector
Get more women into the
ICT sector
Mentor young
graduates
More women occupy
senior management
and core ICT
environments
More jobs in the ICT
training that enable
people to make a living
from increased local
entrepreneurial activity
Community members Community development ICT training
providers
Improving ICT skills More people trained
in ICT
Economic development Community development Local communities Uplift standard of living local economic
activity by SMMEs
380
Concept What When Where Why How Consequence
Empowerment BEE scoring point system Women seek business
opportunities and
information
Government
Private sector
Need to be economically
empowered through BEE
scoring
Access to business
opportunities and
information
Economic inclusion
and growth of ICT
enterprise
Narrow the gender-
based inequality to
accessing business
opportunities and
resources
SMME women (Self-
empowerment)
Professional
development
Workplace Equal recognition status
to men
Training and
mentorship
Women‘s
empowerment in ICT
business knowledge
skills career
advancement in
the ICT sector
Increase the number of
women who occupy
senior positions
Encourage women to
eventually become
employers ?self
employment‘ rather
than employees
Rural ?development‘ /
?empowerment‘
Poverty alleviation and job
creation
Community development Local communities Provide progressive
women with skills to
create ICT training jobs
Train people Increase the number of
women in ICT sector
Inequities between rural
and urban ICT
environments
Community development Urban and rural
SMMEs
Inequalities in accessing
information
Urban people have
access to
computers to
search via the
Internet available
government
opportunities and
rural people don‘t
Women
entrepreneurs in
rural communities
have the potential
to create jobs
Widen gap between
rural and urban
SMMEs in terms of
marginalisation in
respect of ICT
Increase rate of rural
entrepreneurship
development
381
Concept What When Where Why How Consequence
Lack of rural
empowerment in ICT
Training Urban areas, rural
communities
ICT programmes target
urban higher learning
institutions and
marginalise rural
higher learning
institutions
Career advancement
into ICT core positions
?station manager‘
Incompatibility issues
Inequities between
rural and urban
ICT environments
to access training
programmes as
rural areas don‘t
have access to
telecommunication
s infrastructure
Don‘t have
qualification in ICT
Rural areas lag behind
urban areas
Low levels of
penetration into
management positions
Women do not empower
themselves
Look for career
opportunities
ICT industries
Lack of access to
telecommunications
infrastructure
Broadcasting Community radio
station
Telecommunications
infrastructure not
upgraded
e-Commerce Conduct business on e-
commerce websites
Trading Globally Open 24/7 ?around the
clock‘, ?easier and
convenient‘
?making purchases
from different
countries‘
Competitiveness in the
global market
ICT significance for the
ICT enterprise
Reduced travel Travelling Workplace Cost saving Hold office meeting
via video
conferencing
Improved productivity
levels
Improved quality of work
life
Operational activities Operating systems ?Efficiency‘,
?effectiveness‘, faster
turnaround time, and
productivity
?Backbone‘ that
?assists in improving
business processes‘
Financial gain
Information research tool Research information Search the Internet Generate and store
information
Use the computer Increase productivity
levels
Communication tool Communicate messages People in different
places
Saving on travel costs Communicate via
Effective conveyance of
message levels
Electronic document
storage tool
Store of documents Computer Keep a document as
proof
Filing of documents Increase efficiency
Acknowledge gender
equity
?We are equal to men‘ Access business
opportunities
Government ?We are running our
business on the same
BEE rules level the
playing field
BEE rules a catalyst in
promoting gender
382
Concept What When Where Why How Consequence
level that men do‘ equity
Corruption Bribing tendencies of
government officials
Awarding of funds SMMEs Get money in exchange
for granting funds
Ask for money Women subjected to
sexual harassment
Women economically
marginalised
Irregular tender practices
SMMEs have government
connections
Loose ?trust‘ and ?faith‘ in
government
SMMEs
Inaccessible tenders Corrupt tendencies of
government officials
?White‘ women do not
have trust government
?I have lost faith,
especially as a white
woman‘
Funding processes not fair
to SMMEs
Adjudication of tenders Government Officials ask for money in
exchange for awarding
tenders
?To get funding,
SMMEs must know
someone from inside
or belong to a ?certain
network group‘
SMMEs are
marginalised
?Dole out a percentage of
your money‘
Seek funding Government
procurement
officers
Stop the ?corruption‘ Monitor and evaluate
procurement
Exhaust SMMEs
?financially‘
Business is awarded on a
friend-to-friend basis
Private sector
procurement
officers
National companies
engage local
companies that they
have longstanding
contracts with
Local enterprises miss
out on business
opportunities
Men ask for sexual favours
Sexual innuendos
Adjudication of tenders Government Officials ask for sexual
favours in exchange for
awarding tenders
Business proposals
that have a
precondition that
business will be
awarded in exchange
for a personal
relationships
SMMEs are
marginalised
Enterprise owner Characteristics associated
with the entrepreneur and
entrepreneurial activities
linked to the description of
the concept
entrepreneurship
Define term Entrepreneurship
context
Differences in
interpretation
Characteristics of
entrepreneur
associated with:
?develops an idea‘,
?guts to establish new
venture‘, ?risk taker‘,
?creating something
extra-ordinary, ?non-
conventional
thinking‘,
Ability to identify
market opportunities
Lack marketing skills
Lack access to
markets
Low innovative
capacity
Lack access to funding
Lack access to
business related
383
Concept What When Where Why How Consequence
‘understanding the
needs of the market‘,
acumen to organise
resources, passion
for the development
of people.
Characteristics of
entrepreneurial
activity
information
Lack access to
resources
Lack initiative to follow
up on business
related information
Lack motivation
Risk aversion
Have a passion to
develop
Self and others
Advocate for change in
government and
private sector
Quickly giving up
New women-owned
businesses
mushroom
Limited entrepreneurial
activity in rural areas
Lack knowledge about
ICT sector
Skills limitation in
business
management and
ICT skills
Developing apathy
384
Appendix P: First illustration of building categorical structures
Category Conditions Action / strategies Consequence (outcome)
1. Women experience forms of
discrimination
What gives rise to discrimination?
Circumstance / situation
Actions that allow it to occur
Strategic response to issue / problem
Outcome of actions / interaction
Socio-cultural gender role expectations
conflict with women‘s entrepreneurial role
Occupational differences
ICT sector predominantly a male career
environment
Society judges women holding business
meetings after hours
Men orchestrate women from networking
platforms
Limit women‘s career advancement
Women take action through self-
empowerment
Women do not have decision-making
power
ICT understood as a combination of
network, computers (hardware) used
for ?relaying‘, ?communicating‘
information, storage of documents,
retrieving information easily
Understand the significant role of ICT in
business
Enforce gender stereotypes
Women are economically marginalised
Increase levels of underrepresentation of
women in key ICT positions
Increase over-representation of women in
non-professional ICT occupations
Penetrate ?technical‘ careers previously
dominated by men
Inability to contribute to decisions that
concern operations of the organisation
Become more assertive in stamping out
gender-based stereotyping ?it‘s a men‘s
club‘, ?boys club‘, ?men‘s game‘
Not recognised in the industry as ?business
owners‘ and equals to male entrepreneurs
Men undermine women‘s ability to run
ICT enterprises
The EC Province lacks sex
disaggregated statistics of the ICT sector
Marginalise women in the ICT sector
Women‘s contribution in the ICT sector
goes unrecognised despite weathering the
challenges
Experience gender-based inequality in the
workplace
Women identify the lack of knowledge
about the ICT sector
Gender differentials in earnings
Inequalities in accessing career
advancement opportunities
Gender differentials in earnings
Take assertive action in upgrading their
ICT knowledge and skills
Unacceptability of women as equal
working partners and their abilities are
questioned
Women educationally under qualified in
comparison with men, hence their
earnings are less.
Economic marginalisation.
Women entrepreneurs shy away from
pursuing tender opportunities
Widening inequalities in accessing
information that could enable women to
benefit from available resources and
economic opportunities
Experience educational differences Government officials ask for money and
sexual favours in exchange for
awarding tenders
Are exposed to gender-based sexual
harassment
Subjected to unwelcoming ?sexual
innuendos‘ from men in networking
platforms
385
Category Conditions Action / strategies Consequence (outcome)
2. Women entrepreneurs lack access
to resources
Lack market intelligence Inaccessible sources of information
Lack information about other women-
owned ICT enterprises
Do not have information about
government initiatives
Supply chain is not doing enough to
promote B-BBEE
ICT cost (online) is a barrier to accessing
information from websites of relevant
local offices
Significance of the role of ICTs
acknowledged
Experience difficulties in marketing the
ICT enterprises
Women‘s lack of mobilisation and self-
empowerment
Women entrepreneurs ask for guidance
from government
Women develop apathy
Women do not benefit from BEE scoring
point system
Miss out on business opportunities
Experience difficulties to access funding Inequalities to access funding between
men and women, funding processes
are not fair
Inability to access funding to cover
equipment costs, telecommunications,
infrastructure set-up costs,
maintenance costs, licensing fees ,
upgrading software, and hardware
costs
Inability to access operating capital, to
manage cash flow in order to pay staff
salaries, marketing, and training budget
Are economically marginalised
ICT enterprises experience cash flow
problems
3. Developing apathy Lack initiative in following up on business
related information
Quickly give up on business opportunities,
especially when faced with challenges
Experience low motivation
Have not researched information that
could benefit the ICT enterprises
Have not dedicated much time to tap into
the opportunities that are out there
Do not know where or how to get funding
Do not benefit from government initiatives
Women lack motivation and are faced by
Challenges
4. Eastern Cape ICT market Private company preferred suppliers Big companies ?multi-vendors‘ favoured
over local SMMEs that are not
accommodated by the ?procurers of
services‘
Local ICT enterprises are marginalised
Government suppliers ?Established‘ SMME ?companies‘ on
government‘s supplier data base not
getting requests for quotations.
Denying women access to business
opportunities and active participation in
economic mainstream of the ICT sector
?Black SMMEs‘, – new entrants practise
uncompetitive pricing
?Black SMMEs‘ are ?destabilising the
market‘, they are ?under-cutting
established SMME ?companies‘
Government is looking at the cheapest
quotation and not the quality and track
record
Respond competitively to requests for
quotations compared to established
companies
?Established‘ SMME ?companies‘ are
marginalised
386
Category Conditions Action / strategies Consequence (outcome)
Government regulations hamper women to
access tenders
Stringent procurement systems hamper
women form meeting strict qualifying
criteria
Inflexible administrative requirements and
procedures
Stringent compliance requirements,
documentation too complex
Restrictive application requirements, e.g.
loans
Deny women access to business
opportunities and active participation in
economic mainstream of the ICT sector
Late turnaround payment processes of
government
Long waiting period for payment
Careless supply chain administration
processes
Experience problems in relation to
tendering sustainably
Bad reputation of ICT enterprises for
paying their suppliers late
5. ICT enterprises produce low
innovation levels
?ICT is not understood well enough by small
business to trigger innovation‘
SMMEs are found lacking in innovative
product development
Do not understand ?innovation as being at
the heart of the ICT enterprise‘
Lack knowledge about the strategic use
of ICT
Do not optimise technology
Lag behind in technological development
Not aware of simplified formats offered by
ICT, e.g. online to manage business
processes
Propose new ideas and prospective or
beneficial changes to the ICT sector
Lag behind in technological development
Innovation is limited in ?systems
development‘, ?web design, ?business
analyst‘, ?intelligence‘, and ?cabling‘
6. Developing ICT skills base within
and outside the ICT enterprise
Prioritising the development of young
graduates
Motivating young women to enrol for
technical skills
Nurturing talent through mentoring
Addressing the shortage of women
representation in key positions within the
ICT sector
Encouraging women to eventually become
employers ?self employment‘ rather than
employees
Taking action by promoting self-
empowerment
Empowering self in technical skills and
business management skills
Seeking career advancement opportunities
within the ICT sector
Empowering rural communities Women entrepreneurs are involved in
social responsibility programmes aimed
at empowering rural communities
through ICT skills training
Rural areas lagging behind in terms of
accessing ICT for development
Addressing the inequities between rural
and urban in accessing ICT training
programmes
Creating more jobs in the ICT training to
enable people to make a living from
Increased local entrepreneurial activity
Lacking human resource capital Inability to hire qualified ?graduates‘ staff
Lacking time to play the role of mentor
when inducting new staff
Lacking training budget to train staff to
keep up with latest technology
Experiencing staff shortages in the
High staff turn over
Preparing more women to penetrate
senior management in core ICT
environments
387
Category Conditions Action / strategies Consequence (outcome)
workplace
Lacking business management knowledge
and skills
lacking computer literacy skills
Inability to use new technology optimally
lacking start up business skills
lacking skill in the area of, ?finance‘,
management‘ and ?employment
regulations‘
No workplace experience – ?incompetent‘
and ?lacking orientation of ICT sector‘
Women‘s empowerment in ICT and
business knowledge and skills
7. Experiencing difficulty in marketing
the ICT enterprise
Ineffective marketing strategies Limited product diversification ?niche
solutions‘
Having negative attitudes towards local
competition
Difficulty in finding ?niche market‘ in order
to survive competition
Having limited marketing skill
Having limited marketing budget
Being risk-averse
Being open to partnership marketing
Low motivation
Ineffective marketing limiting the ICT‘s
ability to gain customer market share
Women entrepreneurs having negative
attitudes towards competition
Women lacking motivation when faced
with challenges
8. Government taking action Giving support to women in government ICT award programme aimed at raising
the profile of women in ICT
Management and executive programme
aimed at developing women in senior
management positions
Executive development support for
women in ICT aimed at enhancing the
visibility of women in leadership positions
Raising the profile of women in ICT
Giving support to women entrepreneurs Affording women-owned businesses an
equal opportunity to access
government tenders by awarding extra
points – BEE scoring point system
Registering SMMEs on centralised
electronic database
Enforcing a thirty day turnaround
payment period
Facilitating partnership ventures between
small and big business
Increasing women‘s access to tendering
opportunities
SMMEs can improved cash flow
management
Big business assisting SMMEs by carrying
the financial costs, providing human
resources and standing as surety
Enabling SMMEs to enhance their
research and development technological
capabilities
9. Women entrepreneurs needing
action from government
Women entrepreneurs needing action from
government
Marketing support from government
through business delegations
?marketing the province abroad‘
?linking women with relevant companies‘
Decreasing inequalities between
provinces in accessing business
networking opportunities facilitated by
government outside the country
388
Category Conditions Action / strategies Consequence (outcome)
–
local business linkages
For government to play a mentorship role
for women entrepreneurs aspiring to
get into the sector
Government providing, ?rental subsidy‘ for
office space occupied by small
business
Providing ?seminars‘ especially in rural
areas – inducting new and old ICT
enterprises about the ICT sector
Facilitating ?road shows‘ where
government can get direct feedback from
women entrepreneurs
Providing ICT Skills training targeting
women and that is paid for by
government
Establishing sustainable ICT centres in
rural areas –
?Upgrading the telecommunications
infrastructure‘ to accommodate the
convergence of technological changes
Bringing to an end the ?corrupt‘ behaviour
by officials
Relaxation of restrictive tender
requirements
Women entrepreneur seeking financial
assistance when tender is awarded e.g.
session agreement
Enabling ICT enterprises to gain
marketing intelligence
Enabling ICT enterprises to access big
tenders
Making the ICT sector attractive for
women aspiring to enter the sector
Enhancing SMME development through
incubation hubs
Effective induction of new ICT enterprises
about ICT sector and doing business
within the sector
Government improving its processes by
getting feedback from women
entrepreneurs
Increasing access to telecommunications
infrastructure in rural areas that will
support local SMME ICT enterprises
10. Private sector needed action Private sector needed action Sponsored training in ICT skills
Sponsored networking platforms
Make avail business opportunities
?tenders' on their website
Requesting quotations from SMMEs to
train their staff
Giving business to women-owned
?companies‘ with ?track record‘
?Financially assist start up businesses‘ in
terms of operating capital
Playing a mentorship role for emerging
women entrepreneurs
Banks relaxing restricting application
Promoting economic participation of
women in mainstream economy of the ICT
sector
389
Category Conditions Action / strategies Consequence (outcome)
requirements i.e. loan, credit and
collateral
11. Private sector taking action
towards women entrepreneurship
development
Providing support Financial assistance for R & D projects
producing innovative products
Giving exposure from the incubation
programme
Promoting innovation
12. ICT significance for the ICT
enterprise
Significant role of ICT in business Cost saving
Reduced travel
Improved quality of work life
Information research tool
Communication tool
Electronic document storage tool
Electronic document storage tool
Promoting improved productivity and
growth of ICT enterprises
13. Corruption Bribing tendencies by government officials Women entrepreneurs subjected to
sexual harassment from officials
Women ?Giving out a percentage of
[their] money‘
Women entrepreneurs shying away from
pursuing tender opportunities
Irregular tender practices Women entrepreneurs ?white‘ losing
?trust‘ and ?faith‘ ?especially as a white
woman‘ in government
Some SMMEs accessing tenders through
government connections
White women economically marginalised
Inequality in accessing tenders
Funding processes not fair for SMMEs Officials asking for money in exchange
for awarding tender
?To get funding SMMEs must know
someone from inside or belong to a
?certain network group‘
Women economically marginalised
Inequality in accessing tenders
Business is awarded on a friend basis Tender opportunities inaccessible
National companies engaging local
companies that they have standing
contracts with
Being economically marginalised
Denying local ICT enterprises access to
business opportunities and active
participation in economic mainstream of
the ICT sector
Men asking for sexual favours Men (networking platforms) who propose
personal relationships ?sexual innuendos‘
and government officials who are
abusing their power by asking for sexual
favours in exchange for awarding tender‘.
Women entrepreneurs shying away from
pursuing tender opportunities
14. Enterprise owner Characteristics of enterprise owner
associated with the entrepreneur and
entrepreneurial activities linked to the
description of the concept entrepreneurship
Characteristics of entrepreneur
associated with:
?develops an idea‘, ?guts to establish new
venture‘, ?risk taker‘, ?creating something
extra-ordinary, ?non-conventional
Ability to identify market opportunities
Lacking marketing skills
Lacking access to markets
Low innovative capacity
Lacking access to funding
390
Category Conditions Action / strategies Consequence (outcome)
thinking‘, ‘understanding the needs of the
market‘, acumen to organise resources,
passion for the development of people.
Characteristics of entrepreneurial activity:
?art of creating business‘, turning
business venture into big business‘,
Lacking access to business related
information
Lacking access to resources
Lacking initiative to follow up on business
related information
Lacking motivation
Characteristics of enterprise owner
associated with the entrepreneur and
entrepreneurial activities linked to the
description of the concept entrepreneurship
?expansion of venture‘, seeking ?new‘
market trends and ?opportunities‘,
?creating employment for self and others‘,
?creating new products and services‘,
?increasing productivity levels of the
enterprise, ?doing things differently‘
Risk averse
Having passion to develop self and others
Advocating for change from government
and private sector
Quickly giving up
New women-owned business
mushrooming
Limited entrepreneurial activity in rural
areas
Lacking knowledge about ICT sector
Skills limitation in business management
and ICT skills
Developing apathy
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