13th Annual International Management Conference Proceeding

2.0 THEORETICAL FRAMEWORK
At the root of enterprise culture (Figure I) is a set of core characteristics (Figure 1) that are collectively valued
by the community to meet its needs and interests in entrepreneurship idea generation. Enterprise culture exerts
major pressures on individuals and enterprises to think and act in ways consistent with the culture. To
positively influence entrepreneurial performance in a country, enterprise culture must be strong.
a. Abundant positive roles images of
successful independent businesses
b. Opportunity to practice
entrepreneurial attributes reinforced by
society culture during formative years.
Figure II: The Components of Enterprise Culture
Enterprise Culture
e. Provision formally and/or informally of
knowledge and insight into the process of
independent business management
Source: Gibb, Allan A. (1988). Stimulating Entrepreneurship and New Business Development. International labour
office INTERMAN Programme for promoting entrepreneurship and New Enterprise creation (UNDP (ILO
Project INT/87/029) Management development Branch Training Department, Geneva 2 nd Impression 1991.
This figure shows that motivation through “social engineering” (Gibb, 1988; Pareek and Rao, 1978) during formative
years is important in developing enterprise culture through: provision of role models and images, and practice of
entrepreneurial attributes reinforced during formative years. Those working in small businesses are more likely to
establish businesses than those working in large firms. Familiarity with entrepreneurial phenomenon destroys some
myths of unattainable business ownership (Khanka, 2004). Small businesses therefore, provide clear indicators in
generating further enterprise. They acquaint those exposed to the phenomenon with independence to massage
entrepreneurial attributes. Gibb contends that, those whose parents/relatives/friends own small business are more likely
to set-up businesses than those without similar acquaintances or experience. Such relations also provide a network of
acquaintances with market opportunities. Lastly, enterprise culture provides knowledge, and insight into independent
business processes (Gibb, 1988). Members of a culture that supports individual business ownership are more likely to
establish businesses. Therefore, the supportive ingredients in developing an enterprise culture are: strong social networks
e.g. with suppliers and customers; leading to trustworthiness, credit provision; family vision to make members more
business-focused; close knit families; ethnic entrepreneurship; no extravagance; political, and social good-will, and strong
SMEs policy to encourage investment. The role that KIA plays/would play developing each enterprise culture
component is italised in Figure IV:
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c. Ample opportunity for familiarization
with small businesses tasks especially
during youth
d. Network of independent
business/family contracts and
acquaintances reinforcing familiarity and
providing market entry opportunities.