Understanding local entrepreneurship and small enterprises in the tourism–development nexus: The case of western Uganda

Abstract

Most studies of the tourism–development nexus in developing countries tend to focus on short-term and monetary tourism effects, while understating non-monetary and longer-term effects of tourism on local and regional development. Although less tangible and weakly understood, non-monetary and/or long-term tourism effects can both reinforce and undermine short-term and monetary tourism effects. This article analyses how tourism stimulates local entrepreneurship and small enterprise development, and to what extent these small enterprises fuel non-monetary aspects of regional development. Evidence from career pathways of different types of local entrepreneurs in western Uganda suggests that tourism can enlarge peoples’ capabilities, awareness and assets to control their own well-being. This study indicates that tourism can act as a catalyst for small enterprise development in the local economy without inducing major skills’ leakages.