Towards a theory of indigenous entrepreneurship

Abstract

Indigenous populations throughout the world suffer from chronic poverty, lower education levels, and poor health. The 'second wave' of indigenous development, after direct economic assistance from outside, lies in indigenous efforts to rebuild their 'nations' and improve their lot through entrepreneurial enterprise. This paper suggests that there is a distinguishable kind of activity appropriately called 'indigenous entrepreneurship'.We begin by defining the indigenous population and noting some general facts about their numbers and distribution. In an effort to discern the potential for development on indigenous peoples' own terms, we then explore three frameworks for understanding efforts at development, including indigenous development: modernisation theory, dependency theory and (at somewhat greater length) regulation theory. After distinguishing 'indigenous' from 'ethnic' entrepreneurship, we conclude by identifying a number of lead questions that present themselves at the outset of an enquiry into the nature of indigenous entrepreneurship.

Social Entrepreneurship in Mexico

“…Moreover, social capital and social networks are important to understanding indigenous entrepreneurship. Contrary to the principles of the Entrepreneurship Theory, the incidence of the historical context, sources of capital, and the social network are key and the conceptualization of these can be very different from what is commonly known [38]. In the case of indigenous issues, it is important to stress the importance of what it is to be considered part of their people and their territory, and that "creation" is an element of identity, which is why the indigenous entrepreneurship is often associated with notions of economic development based on the community and "any indigenous community comprises the following elements: 1.…”

“…For example, Peredo [50] speaks of the Andean indigenous peoples who manage local development through community work, preservation of heritage, and common welfare balancing individual and collective sustainable benefits [38]. So also, we have found that there are differences in the Western venture [51].…”

“…While it is indeed true that the indigenous peoples have done everything possible to keep their traditions and life by fighting for their rights, aimed at achieving their own development objectives under their social, economic, and cultural patterns that characterize them as indigenous peoples [38], there are indigenous communities, where entrepreneurship and enterprise "are widely accepted as the key to building a more vibrant economy," as illustrated by Peredo et al [38] who cite and extend the works of Anderson and Giberson [39] in Peru.…”

“…In this regard, one of the main contributions which has identified indigenous entrepreneurship is Peredo et al [38], where they are characterized by their attachment to the heritage and culture of their ethnicity, their lands, and actively participate in the entrepreneurship and development. Moreover, social capital and social networks are important to understanding indigenous entrepreneurship.…”

“…Anderson and Giberson [52] consider it a challenge to build in the field of entrepreneurship literature, a theoretic paradigm ad hoc to the context of such peoples, especially since the difference is based on communal enterprise values, with a strong link between entrepreneurship and earth, nonprofit, and decisions based on the common good [38,51], among others, but one cannot ignore that it is an emergent investigation field for future projections [53].…”