Indigenous Handcraft Entrepreneurship in Ethiopia: Practices, Challenges, and Opportunities

In Ethiopia, where multiple ethnic groups integrate and live together, there are several material traditions, arts, and handcrafts to facilitate the day-to-day activities of the people. Besides reflecting culture, handicrafts are important sources of income and livelihood for the local community, particularly in rural areas. Based on a mixed research approach that employed document reviews, key informant interviews, focus group discussions, and a structured survey, this chapter analyzes the practices, challenges, and prospects of the indigenous handicraft and artwork enterprise sector in Ethiopia by taking the case of potters and weavers. The findings reveal that handcraft enterprises in Ethiopia are micro-scale, individual, and family-based units with limited or no partnerships or joint ventures. The study identified many challenges that constrain the performance of indigenous handcraft entrepreneurship, such as the influx of imported, cheaply manufactured products, poor access to finance, a lack of working space, a lack of interest among the youth, and a lack of institutional support. The study identified the tourism sector as having a good prospect for the growth of indigenous entrepreneurship and highlights the need to formulate policies and programs that aim at improving the performance of indigenous handicraft entrepreneurship by both state and non-state actors.