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It is widely anticipated that the tourism sector will become one of the key drivers of economic expansion and employment creation in South Africa (SA) over the next decade. Against this background, the objectives of the study are threefold: to examine the role of SMTEs in the tourism sector of SA; to develop a comprehensive understanding of the challenges of the SMTEs and government policy frameworks and initiatives to develop and grow SMTEs.
In SA, SMTE development is looked upon as a low cost means of addressing the country's geographical inequalities and promoting entrepreneurial activities so as to harness the country's full potential. Tourism is vital to the development of SA and its people as it is currently the fastest growing industry, employing an estimated 600.000 people. This paper is a literature review of a Doctoral study whereby empirical research will be conducted on a sample of SMTEs in the Eastern Cape.
Keywords: tourism sector, SMTEs, South Africa, Eastern Cape, challenges, government policy
INTRODUCTION
It is widely anticipated that the tourism sector will become one of the key drivers of economic expansion and employment creation in South Africa (SA) over the next decade. In SA, it has been suggested that the economic objectives of increasing earnings, foreign exchange, investment and job opportunities, as well as minimising adverse social and cultural effects have not been promoted through large tourism enterprises sufficiently. Instead, the advantages of developing SMTEs are being emphasised (Erero, 2011: 5; Rogerson, 2005: 5).
Against this background, the objectives of the study are threefold: to examine the role of SMTEs in the tourism sector of SA; to develop a comprehensive understanding of the challenges of the SMTEs and government policy frameworks and initiatives to develop and grow SMTEs. The international tourism literature provides a useful foundation for examining the issue of tourism linkages and small enterprises development in SA. In particular, it highlights the many constraints on SMTE development in the tourism industry, due to the dominance of large enterprises in the mass tourism industry.
In SA, SMTE development is looked upon as a low cost means of addressing the country's geographical inequalities and promoting entrepreneurial activities so as to harness the country's full potential. Tourism is vital to the development of...