Australian Indigenous Entrepreneurship: Lessons for Success

Australian Indigenous Entrepreneurship: Lessons for Success

Objectives Indigenous Australian peoples suffer considerable and entrenched economic and social disadvantage. To overcome this, they are being encouraged to engage in the mainstream economy by becoming entrepreneurs. This paper reports on research which investigated characteristics of Indigenous entrepreneurs in Northern New South Wales, Australia; and identified factors which promoted, and those which hindered their entrepreneurial endeavours. Prior Work This research formed the basis of an honours thesis (first class) by Amanda Shoebridge, supervised by Associate Professor Jeremy Buultjens, who has authored research in this and related fields. Approach A qualitative research approach guided by a social constructivist paradigm was adopted in order to comprehend findings from the perspective of participants. In-depth interviews were conducted with four successful Indigenous entrepreneurs and case studies were built utilising secondary data to establish an understanding of the businesses, and the issues faced by the entrepreneurs. Results Participants were found to possess characteristics of confidence, strong self-determination and ambition, and a desire to achieve. The role and influence of family, spouses and other role models were important determinants of entrepreneurial success, as were access to financial capital and established business networks. Above average education levels, prior industry experience and the assistance of mentors were found to positively influence success. Lacking access to financial capital was a major hindrance. Participants found government assistance programs confusing, unwieldy and difficult to access. Other hindrances included the presence of racism and discrimination; and difficulties reconciling business needs with the requests and needs of family, culture and community. Implications These findings support existing literature and suggest that previous measures taken to assist entrepreneurial development amongst Indigenous Australians have largely been ineffective. There is a need, amongst other things, to simplify and effectively target assistance programs to ensure benefits are realised. Our results highlight the dire necessity to address the disadvantaged position of Indigenous Australians. While great discrepancies in health and education remain between Indigenous and non-Indigenous Australians, while racism and discrimination is prevalent, and while the majority of Indigenous Australians remain disempowered as a result of past injustices, this study suggests there will be limited successful Indigenous entrepreneurship in Australia. Value Firm understanding of the facilitators and hindrances to Indigenous entrepreneurial success should underpin the development of more effective strategies and assistance programs to cultivate successful Indigenous entrepreneurship