Carl Herman | Head | Impact Assurance | Allan Gray Orbis Foundation | mail me |
We have shared new research findings on how to achieve responsible entrepreneurship in South Africa. This work strengthens national conversations on achieving responsible entrepreneurship at a time when sustainability sits at the centre of global economic priorities.
In recognition of Global Entrepreneurship Month in November, we released research that reframes entrepreneurship in South Africa. The research positions entrepreneurship as a force for long-term social and environmental value creation. It moves away from narrow and short-term definitions of success and highlights the importance of achieving responsible entrepreneurship across the country.
The findings draw from a wide range of sources that explore the challenges and solutions required for building a responsible entrepreneurial ecosystem.
We remain a key advocate for a sustainable, inclusive and values-driven entrepreneurship landscape in South Africa. The new model aims to guide the achievement of responsible entrepreneurship in a way that is tailored to African markets.
Defining and promoting responsible entrepreneurship
Responsible Entrepreneurship Report of 2025 defines responsible entrepreneurship as a “sustainability-driven business approach that integrates financial profitability with ethical, social and environmental responsibility”.
Entrepreneurship supports the achievement of the 17 United Nations Sustainable Development Goals (SDGs). These goals include alleviating poverty, ending hunger, promoting human and environmental health and encouraging responsible production and consumption.
According to the research, responsible entrepreneurship has three core characteristics. First, it reflects the Triple Bottom Line of sustainable innovation. This approach addresses market failures by balancing economic growth, social wellbeing and environmental preservation. Second, it places sustainable practices at the centre of long-term value creation. In doing so, it ensures that businesses generate both financial and social value. These principles lie at the heart of achieving responsible entrepreneurship in South Africa.
In addition, the Final Literature Review on High-Growth and Small and Growing Businesses (SGBs), co-led by us and Entrepreneurship to the Point (eTTP), offers further insights. The review explores factors that enable or restrict entrepreneurial success.
The literature review provides practical guidance for entrepreneurs and policymakers to embed sustainability into growth strategies. Together with eTTP, our work reinforces our commitment to advancing a values-driven, evidence-based understanding of entrepreneurship. This understanding integrates academic rigour, policy relevance and practitioner insight.
– Maphefo Sipula, Head of Research and Impact at eTTP
Common hurdles to responsible entrepreneurship
The research highlights one of the biggest challenges small businesses face: administrative burden. Smaller enterprises carry heavier administrative loads than large corporations.
Although SMEs often demonstrate sincere commitment to community and social wellbeing, larger organisations find it easier to create positive environmental and social impacts. They also find reporting procedures more manageable.
Smaller entrepreneurs struggle to keep up with regulatory and environmental compliance without government incentives. A supportive ecosystem of regulators, investors, legal experts, and entrepreneurs could help solve this issue. This collaborative model will be crucial for achieving responsible entrepreneurship at scale.
A diverse African perspective
We believe the next step in responsible entrepreneurship research is expanding African perspectives. This expansion will strengthen the body of knowledge on how developing regions can achieve higher levels of responsible entrepreneurship.
Practical models and tools must be developed so that small businesses can evaluate their progress. These tools must also be adapted for relevance across all developing economies.
This responsible entrepreneurship model and instrument could be groundbreaking. It represents the potential first South African model or framework that is tested and validated in a Global South context. This instrument can measure entrepreneurs and organisations at various stages. It can also identify areas where support and development are needed.
With these contributions, we continue to guide South Africa toward achieving responsible entrepreneurship rooted in sustainability, equity and long-term impact.
