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Understanding how Indigenous community factors affect Indigenous entrepreneurial process


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By Bob Kayseas

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Understanding how Indigenous community factors affect Indigenous entrepreneurial process

  1. 1. Understanding how Indigenouscommunity factors affect Indigenousentrepreneurial processBob Kayseas, Ph.D.
  2. 2. Purpose of interest
  3. 3. Purpose of interest• My own heritage (community)• The situation that exists in many communities;
  5. 5. Purpose of interest• …Stimulation of Indigenous entrepreneurship has the potential to repair much of the damage through creation of an enterprise culture, which fully respects Indigenous traditions but empowers Indigenous people as economic agents in a globally competitive modern world• (Hindle and Lansdowne, 2005).
  6. 6. Research problem• A core question: – what makes for successful as distinct from unsuccessful entrepreneurship in the Canadian band community context?• To answer this I needed to understand how Indigenous context at the community level influences entrepreneurial process.• Intended outcome…
  7. 7. Entrepreneurial process• My core focus… – Involves all the functions, activities, and actions associated with the perceiving of opportunities – and the creation of value based on the perceived opportunities.• Within the context of Canadian First Nations…
  8. 8. Outcomes• To describe and explain the importance of and the relationships between key contextual factors that affect successful or unsuccessful entrepreneurship within the context of the Indigenous Canadian Band community• To assist prospective Indigenous entrepreneurs to negotiate the positive and negative influences of these factors in order to develop entrepreneurial initiatives that are likely to succeed for the benefit of both the entrepreneur and the community at large.
  9. 9. Entrepreneurial environment• Considerable variation of people who choose self-employment by starting new firms across communities, regions, nations. – Causal factors? – Environmental factors?• The ‘entrepreneurial environment’ is the combination of factors that play a role in entrepreneurship developing in a country or region
  10. 10. Entrepreneurial environment• (1) Venture capital availability• (2) Presence of experienced entrepreneurs• (3) Technically skilled labour force Suggests that these affect both the• (4) Accessibility of suppliers entrepreneurial process• (5) Accessibility of customers or new markets and the outcomes• (6) Governmental influences• (7) Proximity of universities• (8) Availability of land or facilities• (9) Accessibility of transportation• (10) Attitude of the area population• (11) Availability of supporting services• (12) Living conditions
  11. 11. Case Studies Membertou First Nation, NSNeskonlith FirstNationOsoyoos Indian Shubenacadie FirstBand Nation Lac La Ronge Indian Band Onion Lake First Nation
  12. 12. How and what affect theentrepreneurial process?
  13. 13. YY First Nation• 80%to 90% reliance on social assistance• 128 jobs – all in band government positions – and another 1,000 unemployed• Failed ventures• Social environment is ‘harsh’
  14. 14. XY First Nation• The chief and council operated almost all business affairs. – The Xx Mall had a debt load of approximately three quarters of a million dollars. – The Ranch was on the verge of shutting down.• The band is now in the process of delegating the authority for all of its business operations to the newly created Nation Development Corporation.
  15. 15. Xx First Nation• Seventy percent of the band membership is ‘on social assistance’ (Interviewee, 2009).• When asked why there was such a high dependency on social assistance payments, ‘lack of jobs, lack of skills, lack of commitment sometimes’ was offered as reasons• One Participant attributes the reliance on social assistance as being related to, ‘anything from fear of success to or just a bad habit’ (Manuel, Martha, 2006).
  16. 16. Dependency For thousands of years Native people were a part of the local and regional economy. Yet over the last 100 years Natives have been marginalized and denied their right to provide for themselves and their families. If you go back 100 years in our territory you find a sustainable economy, a trading people who did business with people to the north and to the south. But the conditions after contact and the takeover of our affairs by the Indian Agent soon led to complete dependence on the Indian Agent office in nearby Vernon… Our major weakness…is all the leftover dysfunction from our colonial past – the control exerted over us by the Indian Act, the administration of our affairs by the D.I.A., family breakdown, the cycle of welfare, the victimization syndrome, the dependency syndrome are still with us today. We are like a Third World country trying to emerge from a colonial past (Chief Louis).
  17. 17. Land So it is really more a matter of making sure that you release the capital that has been for so long, what is the terminology? Trapped capital. You know the fact that it is capital for First Nations (the land) is basically burdened with DIA…Nobody goes by without talking about the escalating real estate values in this country and how land prices have been going up 20, 25, 35% or more annually. And here (on-reserve) real estate gets locked and its not allowed to have the same leveraging effect or the same opportunities for being able to enjoy that elevation in value (Chris Scott, 2005).
  18. 18. Culture…when people come here (Inkameep Canyon Golf Course) they are going to know that they are on a First Nations golf course. And, yeah, we may lose some customers over it but I would rather have a company that breaks even and showcases First Nation heritage… you know you are in a First Nations business, than have a business that says you have a lot of money but you have sold out and you have nothing there to identify that you are in a First Nations business (Louis 2005).
  19. 19. Culture…I would rather have a company that loses money but still has the ability to stay open but has the majority or all First Nation employment, than have a company that makes a lot of money yet has very little or no First Nation employment…To me I would put a company at the bottom of the list that doesn’t have the majority or all First Nation employment as opposed to one that is making money with no native employment (Louis 2005).
  20. 20. Findings
  21. 21. The intersection of First Nations systems andthe western world Western world Western world First Nations First Nations economic, legal, social economic, legal, social Systems Systems political systems political systems
  22. 22. The Indigenous Community Venturing Model
  23. 23. Projects that my researchled me to…
  24. 24. Business ReadinessInvestment Gateway
  25. 25. Business Readiness 26
  26. 26. Investment Development 27
  27. 27. Saskatoon Tribal Council
  28. 28. Saskatoon Tribal Council * STC * STCInvestments Ltd Political & Corporate Structure Investments Ltd Partnership as Partnership as represented by Treaty Assembly Treaty Assembly represented bySTC Investments STC Investments Corporation Corporation Saskatoon Tribal Council Saskatoon Tribal Council *First Alliance Elders Elders Is the 77 STC FN Chiefs who also are the *First Alliance Is the STC FN Chiefs who also are the Construction Board of Directors for each Corporation Construction Board of Directors for each Corporation Solutions Ltd Solutions Ltd Partnership as Partnership as represented by Senators Senators represented by First Alliance Tribal Chief Tribal Chief First Alliance Construction Construction Solutions Corp Solutions CorpSTC Investments Vice Chief Vice Chief STC Investments LP owns 30% LP owns 30% *STC Casino SDC Development SDC Development Saskatoon Saskatoon Cress Housing Cress Housing STC Urban STC Urban STC STC *STC Casino Holdings Ltd Corporation Corporation Tribal Council Tribal Council Corporation Corporation First First Health & Health & Holdings LtdPartnership as Inc. Inc. Nations Nations Family Family Partnership asrepresented by Services Inc. Services Inc. Services Services represented by Cattail Holdings Ltd. STC Casino Cattail Holdings Ltd. Inc. Inc. STC Casino (Partnership withHoldings Corp. (Partnership with Holdings Corp. Muskeg Lake) Muskeg Lake)* Dakota Dunes SDCDC owns 40% SDCDC owns 40% * Dakota Dunes Community Community Development Development Corporation Corporation*Affiliated with STC First Nations – *Affiliated with STC First Nations –separate Board of Directors separate Board of Directors
  29. 29. Kinistin First Kinistin First Nation Nation Whitecap Whitecap Dakota First One Arrow One Arrow Dakota First Nation First Nation First Nation Nation Assembly of Nations Assembly of Nations Government Government House HouseMistawasis First Mistawasis First Nation Muskeg Lake Muskeg Lake Nation CC & C, Elders, Senators, & C, Elders, Senators, Cree Nation Cree Nation TC, TVC TC, TVC Muskoday Muskoday First Nation Yellow Quill Yellow Quill First Nation First Nation First Nation
  30. 30. Membership of the seven Membership of the seven STC First Nations STC First Nations Senators, Elders, Veterans Senators, Elders, Veterans Assembly of Nations Assembly of Nations Legislative Authority Lead Political Body representing SevenVice Chief Tribal Chief Chief’s Council Nations AND Vice Chief Tribal Chief Chief’s Council Lead Governance Body – oversees all STC Holding operations at a strategic level Co. Board of Directors of Board of Directors of STC Entities Operations STC Entities (structure yet to be determined) (structure yet to be determined)
  31. 31. Organizational Values• Cree; – Askeew Pim Atchi howin (make a living in a good way); – Wah kooh toowin (laws of familial relationships and the respective duties and responsibilities); – Meyo Weecheh towin (principles of good relations); – Wi Taski Win (living together on the land in harmony)
  32. 32. Institute for Tribal Energy Asset Management, and Mining (ITEAM2)33
  33. 33. • Questions