In a comparative light there seems to be significant problems, or obstacles, for African-American entrepreneurs. These problems are categorized by environmental factors, opportunity factors, and issues related to capital. The purpose of this paper is to provide sociological, and economical insight to the plight of African-American entrepreneurs. There is an effort to trace the development of African-American entrepreneurship throughout American history, in the post-reconstruction era to the present, in relationship to social conditions of discrimination. Uniquely, African-American entrepreneurs are involved in the affirmation of a paradox of American ideology. African-American entrepreneurs, in pursuit of the American dream, have been taught to stress individual success where what is needed is communal solidarity to foster access to the things that they have been categorically denied.A high concentration of African-American entrepreneurs are focused in the service economy. Although these jobs provide viable services and profit for many individuals they are not high profit occupations. This accounts for an African-American presence in entrepreneurship without a high market share. The reasoning for this can partially explained by the Great Migration, a period lasting from 1900-1930 in which millions of African-Americans migrated from the South to Northern cities.1 Upon arrival in the North African-Americans faced entrepreneurial opportunity and already established European communities. With the arrival of these masses of African-Americans came radical changes in the moderate status of race relations in the North. In Cleveland, the influx of African Americans prompted white fears over residential encroachment and occupational competition, resulting in `a sharp rise in racial tensions and an increase in institutional discrimination.2 This cause a transformation of the services that already existing African-American entrepreneu...
