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Qualitative study explores how sociocultural factors influence entrepreneurial success in township settings, highlighting implications for development.
Entrepreneurship in South Africa’s townships is frequently examined through deficit-based lenses that emphasize poverty and infrastructure constraints, with less attention given to the sociocultural factors that sustain entrepreneurial success. Addressing this gap, this study explores how sociocultural factors facilitate and constrain successful township entrepreneurs in Gauteng, South Africa. Drawing on social network theory and a qualitative multiple-case narrative design, life story interviews were conducted with six established township entrepreneurs. The findings develop a contextually grounded typology of five interrelated sociocultural factors shaping entrepreneurial success: family, friends and other reference groups, culture, religion and political history. These factors generate multiple forms of capital, including relational, symbolic, spiritual and institutional resources, which entrepreneurs mobilize to access opportunities, build legitimacy, sustain resilience and create community effect. However, the findings also reveal the ambivalent nature of embeddedness, as the same networks that provide support may impose obligations and dependence. The study contributes to entrepreneurship scholarship in two ways. First, it offers a typology of sociocultural capital relevant to township economies. Second, it extends social network theory by showing that entrepreneurial networks in historically marginalized contexts are shaped not only by economic exchange but by identity, meaning-making and transcendent relationships. The article advances context-sensitive theorizing and offers practical insights for entrepreneurship development in townships and other Global South settings.
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MATHEBULA et al. (2026) studied this question.
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