Let everyone into the game : A case study of entrepreneurs and the governmental support during 2010 FIFA World Cup in South Africa

Abstract: Background: In recent years, South Africa has, like many other developing countries, invested enormous sums in arranging mega-events.  One of the primary beliefs is that the events should benefit the local entrepreneurs, especially in the tourism industry, and result in economical growth.  The entrepreneurs have different needs and the national government can help satisfying these needs by offering different kinds of support. Purpose: The purpose of this paper is to describe and investigate the governmental support to local tourism entrepreneurs in the region of Cape Town, South Africa. The intention is to identify the entrepreneurs’ needs, the actual support the government provided, and how it can be improved, both in general and in connection to a mega-event. Definitions: SMMEs: Small, Micro and Medium enterprises, HDI: Historically Disadvantaged Individuals. Research procedure: This study has a qualitative approach with a case study design. The empirical findings are based on nine interviews which include five entrepreneurs and four managers from different governmental organisations. Results: The most important qualities among entrepreneurs are an entrepreneurial mindset and to have an understanding of the market. Entrepreneurs in developing countries often lack knowledge and experience and the government can help by offering education and accurate information. In connection with a mega-event, the entrepreneurs need help “becoming ready” which primarily involves supplying qualified products and services, and having an established network. It is highly important that the government acknowledges the different needs among the entrepreneurs and attempts to satisfy them. The government must also reduce ineffective bureaucracy and make it easier for entrepreneurs to receive financial support.