Return to search

Retirement planning practices among black small business owners

The Strumpel Behavioral Economic Model (1976) provided the conceptual framework for this study, along with the use of qualitative methodology proposed by McCracken (1988). Qualitative interviews were conducted with nine black small business owners in non-metropolitan central and southwestern Virginia.

Analysis of the data revealed a common definition among the respondents. Retirement was viewed as a time when one could no longer work due to physical or mental impairments--not a time of voluntary removal from the workforce.

Few formal arrangements had been made to provide for income during the period when these business owners could no longer work, while all had made plans for the disposition of the business upon their deaths. Social and cultural factors might have contributed to these small business owners’ failures to adequately plan for retirement. These factors were expressed in four themes which emerged from the interviews: a definition of retirement, interracial prejudice, intra-racial prejudice, and mentors.

Prejudice by both whites and blacks within their communities had a negative effect on business earning. Mentors had an indirect relationship on retirement planning for these respondents. Contrary to the literature on minority small business owners, these respondents discussed the positive influence of mentors on their individual business practices and ethics -- if not retirement planning.

The need exists for financial planning educators and practitioners to assist this population in accepting retirement planning as a future goal, in view of their self-definition of retirement. Planning is necessary to ensure accumulation of wealth and a means for that wealth to become retirement. income. By recognizing the definition of retirement as stated by the respondents, financial planning educators have a unique opportunity to educate this population as to the need for retirement planning. Lastly, financial counseling and planning practitioners have a opportunity to enter a truly untapped market for their expertise by serving the black community, in general, and small business owners, in particular. / Master of Science

Identiferoai:union.ndltd.org:VTETD/oai:vtechworks.lib.vt.edu:10919/46282
Date17 December 2008
CreatorsSpecial, Lori S.
ContributorsHousing, Interior Design, and Resource Management
PublisherVirginia Tech
Source SetsVirginia Tech Theses and Dissertation
LanguageEnglish
Detected LanguageEnglish
TypeThesis, Text
Formatviii, 128 leaves, BTD, application/pdf, application/pdf
RightsIn Copyright, http://rightsstatements.org/vocab/InC/1.0/
RelationOCLC# 34783712, LD5655.V855_1995.S6745.pdf

Page generated in 0.0025 seconds