An investigation to determine whether a potential relationship exists between the equity stake (risk capital) in their businesses and the identifiable accumulated wealth of the most affluent South African enterpreneurs

Abstract

Abstract provided by author:

Instead of a hypothesis, a research question is posed

Is there a potential relationship between the equity stake (risk capital) in their businesses and identifiable accumulated wealth of the most affluent South African entrepreneurs?

This question arises from the ongoing conflicting views as to whether an entrepreneur needs substantial start up capital, or not, to be successful and acquire wealth. An attempt is made to answer this question through the manipulation of descriptive statistics. The linear relationship between the risk capital (beneficial financial interest) and accumulated wealth in this instance, proved insignificant. The findings are inconclusive, and this implies that other factors could reasonably be inferred. A cause and effect relationship may well exist

This study also found that absolute wealth is indeed concentrated in the hands of the white minority section of the population. Accordingly, the current debate surrounding black economic advancement, is explored. Policies and outcomes in other emerging economies are examined to highlight valuable lessons that can be learned from their experiences

This study also examines the contemporary issues involved in entrepreneurship in general. An entrepreneurial perspective, with a finance focus, is applied throughout

These findings are tentative and should encourage further research and debate on this important aspect of the national economy