Importance of Culture

Entrepreneurship is a cultural phenomenon: it is a function of both the entrepreneur and the community they operate in.

Entrepreneurs are the products of their surroundings Communities are self-perpetuating; changing in response to external forces Culture can nurture, tolerate or discourage the creation of new enterprises. Entrepreneurial cultures value independence, innovation, diversity and wealth creation ome mindsets hamper the creation of new enterprises, including conformity, preference for certainty and insular attitudes Community attitudes shape public policy

Entrepreneurial Culture
Culture can be defined as the mix of norms, values and beliefs that are shared by a particular community "be it a business community, a cultural #or ethnic$ community, a country, or a geographical region%. Cultural Values &inton #!'()$ describes values as a predisposition to act in a certain way. *alues of entrepreneurs: +ccording to exton , -owman #!'./$, entrepreneurship is a value in itself for +mericans. 0ifferent authors suggest different values for entrepreneurs: 1ets de *ries #!'.2$: reputation, power, status and recognition 3ordon urvey of values #!'(/$: independence, efficacy and a negative reaction to affiliation. 4here is a general presumption that a society may have potential entrepreneurs, but only becomes entrepreneurial if it has a culture that supports innovation and initiative.

Cultural +ttitudes
+ccording to 5. 6. 4oulouse #!''7$, entrepreneurial culture is favoured by the following set of attitudes: !. -usiness activities are valued. 8. Individual and collective initiatives are highly rated. 9. 0etermination and perseverance are desirable :ualities. 2. +n e:uilibrium between security and ris; is accepted. ). 4he tension between stability and change is resolved. 4herefore, in a society favouring entrepreneurship, entrepreneurs are role models who are not only acceptable, but desirable. In such societies, challenges are regarded as opportunities #and not threats$. In societies where entrepreneurship is absent, business challenges are left to be ta;en care of by foreign investors. <n the other hand, within entrepreneurial cultures, people will find inspiration in challenges. 4hese will enable them to act and find ways to exploit existing opportunities. +n example of lac; of entrepreneurial culture in a given country is where the business community believes that government is going to ta;e charge of all their problems.

+n entrepreneurial culture is supported by people who have a strong belief in their pro=ects, who will invest their physical, psychological and other resources #also including those of others>$ in their venture with a view to succeed. 0ecision is ta;en out of reasonable certainty and out of a positive balance of probabilities based on available information. + community favouring experimentation, ? , 0 and innovation, has a culture associated with risk taking. Entrepreneurship reconciles ris; and security. tarting a small business entails ris;s, but is also a source of gratification for the successful entrepreneurs. Entrepreneurship has the potential to bring positive changes, both to the individual or collective entrepreneur and to society as a whole. Entrepreneurs are change agents who can alter a given situation and give society a product or service that can transform their behaviours and ways of living. @ence, a society that favours status-:uo and offers resistance to change does not display a culture conducive to entrepreneurship. imilarly, a business organisation that resists change will ultimately have to face its own obsolescence.

+ccording to Aortin #8779$, entrepreneurial culture can be rooted in a society through four main avenues: - the family; - education; - existing business organisations; and - local and national authorities and leaders.

The conditions required for establishing an Entrepreneurial Culture are:

Identification and promotion of Role Models : Bomen entrepreneurs, for example the ladies who lost their =obs in the textile sector and created CCharmin udD, a rural women entrepreneur partnership. 4hey came on television to explain how being laid off from an ailing textile industry was for them a blessing in disguise. It allowed them to unveil their entrepreneurial potential and leadership abilities. Role of media: Aor instance, in the promotion of Entrepreneurship as a business model. Entil recently, the local 4* ran a wee;ly documentary: CFortrait dDElleD, in which a local women entrepreneur was portrayed as to her new place in society as an economic #and social$ agent. imilarly, a few newspapers reserve a page regularly to promote entrepreneurial initiatives. The Education system: Entrepreneurship modules in the curriculum at different levels. Entrepreneurship education is now beginning to be anchored in tertiary education curricula. Be have now moved past the old paradigm whereby entrepreneurship was to be taught only in -usiness faculties. 4he present uper 3E6 is a living example of the new paradigm whereby the sub=ect is available to all undergraduates from all fields. +n I4 student, a Aashion , 0esign student and all the others in fact, need to ;now the basic business and entrepreneurship s;ills that are re:uired to start a business or to act entrepreneurially, to lead and innovate in their employer organisations.

Period of Incubation: Entrepreneurship development programmes spread over a period of time #and not one off initiatives$, but the enthusiasm soon dies away after the caravan has left. Bhat is truly beneficial for culture change is a planned process that uses all the avenues over a longer period with set ob=ectives and performance targets. In Ainland, entrepreneurship and entrepreneurial culture developed as a result of a planned CEntrepreneurship decadeD, that is, ten years of cultural change. 4his can ta;e the form of entrepreneurship education starting at primary or secondary education level, targeting rural women with a 6icrocredit scheme and so on. Participation of leaders political! business! opinion" : Folitical and religious leaders to promote entrepreneurship as a solution to current economic problems. +s mentioned earlier under CleadershipD, a strong, charismatic leadership is re:uired to transform a community. 4o change the mentality from C:ualifying to get a government =obD to Cta;ing charge of oneself by being self employedD re:uires psychological CpushD that can be facilitated by people who can influence the community. 4he first people to come to our mind are the political, social and religious leaders. Role of #tate: in supporting entrepreneurial ventures financially and non-financially. 4he tate can facilitate the above mentioned initiatives by providing the legal and institutional framewor;s re:uired to establish the entrepreneurial culture. In 6auritius, legislation pertaining to -usiness Aacilitation has been passed to ease registration and other procedures.

$ifficulties %aced in Establishing an Entrepreneurial Culture

Ignorance: Bhere people fail to capture the important role of entrepreneurship, for instance, in poverty alleviation. &a'iness: Aor example in communities who have got used to being assisted. %ear: ?is; aversion Religious(Cultural constraints: CommunitiesGsocieties where business and profit ma;ing are perceived as being against culturalGreligious values.