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Article
Publication date: 1 March 2008

GiSeung Kim

This survey overviews the literature on entrepreneurship and self-employment. The author catalogs the main contributions of this body of research and makes a distinction between…

1972

Abstract

This survey overviews the literature on entrepreneurship and self-employment. The author catalogs the main contributions of this body of research and makes a distinction between issues on which there is now widespread agreement and those for which no consensus has yet emerged. This latter set of issues provides fertile ground for further research.

Details

New England Journal of Entrepreneurship, vol. 11 no. 1
Type: Research Article
ISSN: 2574-8904

Book part
Publication date: 7 December 2021

Mirjam van Praag and Arvid Raknerud

Empirical studies show low pecuniary returns as a result of switching from wage employment to entrepreneurship. We reconsider the pecuniary gains attributable to this switching by…

Abstract

Empirical studies show low pecuniary returns as a result of switching from wage employment to entrepreneurship. We reconsider the pecuniary gains attributable to this switching by using an event study design and a variety of identifying assumptions aimed at obtaining robust estimates of causal effects. An earnings equation is estimated on data covering the whole Norwegian population of individuals matched to the entire population of firms established in the period 2002–2013. We find unambiguous evidence that the average returns to entrepreneurship are negative for individuals entering entrepreneurship through self-employment and positive, but modest for incorporated startups. The positive returns to incorporated entrepreneurship comes at the cost of much higher income risk: incorporated entrepreneurs experience an increase in the standard deviation of log earnings growth of almost 75% compared to remaining in wage employment. While there is a huge gender gap in entrepreneurship rates, we find no significant difference between men and women in the average returns to entrepreneurship.

Article
Publication date: 14 September 2015

Darren Lee-Ross

The purpose of this paper is to permit further understanding of entrepreneurial personality characteristics of need for achievement, locus of control, innovation, risk-taking and…

2118

Abstract

Purpose

The purpose of this paper is to permit further understanding of entrepreneurial personality characteristics of need for achievement, locus of control, innovation, risk-taking and competitive aggression by comparing the self-employed with waged and salaried workers and the general population.

Design/methodology/approach

A logistic regression equation was used on the “World Values Survey (WVS)” data set to test the relationship between entrepreneurship and personality characteristics by estimating the probability of an event occurring directly.

Findings

This research replicated and extended the earlier work of Beugelsdijk and Noorderhaven (2005). Using two reference groups for comparison, entrepreneurs are different in terms of their psychological characteristics. Specifically, these are need for achievement and locus of control; these were the strongest characteristics. Competitive aggression and risk-taking were moderate in this respect with innovation finding least support.

Research limitations/implications

In terms of limitations, the present study does not account for environmental enablers or mitigation of starting and sustaining businesses. Also how do the national media, society and culture regard entrepreneurship? Moreover, is there only one model of entrepreneurship or several? For example, amongst indigenous societies, entrepreneurship is more of a collective rather than an individual pursuit where culture and heritage preservation are more important than purely profit generation. Similarly, no account is taken of the differences (nuanced or otherwise) between entrepreneurial personality characteristics in factor vs opportunity/innovation-driven economies.

Practical implications

The self-employed in this study were different to both comparison groups which is important information for government policy formation at all levels in terms of targeted business/career education, infrastructure, funding, opportunity creation and incubator programmes. Furthermore, rudimentary community and university diagnostics could be formulated around these entrepreneurial characteristics to identify potential entrepreneurs for a “career” of self-employment or placement within large firms as “intrapreneurs” to improve productivity and economic growth.

Originality/value

This study is the first to use the WVS for scrutiny of entrepreneurial personality traits. It expands and augments earlier work in the field which used the smaller “European Values Survey” by including many more questions pertaining to entrepreneurial personality characteristics adding additional robustness to the outcomes.

Details

Journal of Management Development, vol. 34 no. 9
Type: Research Article
ISSN: 0262-1711

Keywords

Article
Publication date: 6 February 2024

Jing Song

This study aims to examine why women transition from wage work to self-employed entrepreneurship, the seemingly insecure and unruly economic sector compared with the stable iron…

Abstract

Purpose

This study aims to examine why women transition from wage work to self-employed entrepreneurship, the seemingly insecure and unruly economic sector compared with the stable iron rice bowl and the fancy spring rice jobs.

Design/methodology/approach

Based on in-depth interviews in Zhejiang, the entrepreneurial hotbed in coastal China, this study examines the experiences of self-employed female entrepreneurs who used to work in the iron rice bowl and the spring rice jobs and explores their nonconventional career transition and its gendered implications.

Findings

This study finds that these women quit their previous jobs to escape from gendered suppression in wage work where their femininity was stereotyped, devalued or disciplined. By working for themselves, these women embrace a rubber rice bowl that allows them to improvise different forms of femininity that are better rewarded and recognized.

Originality/value

The study contributes to studies on gender and work by framing femininity as a fluid rather than a fixed set of qualities and fills the research gap by illustrating women’s agency in reacting to gender expectations in certain workplaces. The study develops a new concept of rubber rice bowl to describe how entrepreneurship, a seemingly women-unfriendly sphere, attracts women by allowing them to comply with, resist, or improvise normative gender expectations.

Details

Gender in Management: An International Journal , vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1754-2413

Keywords

Article
Publication date: 8 August 2016

Jan Velvin, Kristian Bjørnstad and Erling Krogh

This study aims to explore the shift in social and cultural values in the wake of ongoing change; specifically, the degree of embeddedness of these values among farm-based…

1155

Abstract

Purpose

This study aims to explore the shift in social and cultural values in the wake of ongoing change; specifically, the degree of embeddedness of these values among farm-based entrepreneurs. The authors examine how this value-change-embeddedness continuum can further the development of theories in the field of social entrepreneurship.

Design/methodology/approach

The authors use an exploratory and a descriptive approach when interviewing eight farmers and members of their respective households. The sample encompasses almost all the providers of farm-based tourism in this particular area of rural Norway. The empirical materials form the basis for selecting our theoretical approach, one of which is a structural life-mode analysis.

Findings

The findings show that the social value of self-reliance, when taken to extremes, can hinder the growth of deeper commercial cooperation between farmers. This constitutes a challenge to efficiency and effectiveness on a larger scale, given a need for both independence and interdependence together with flexible entrepreneurial network cooperation in social entrepreneurship. The findings also indicate that social entrepreneurship does not necessarily have to include a cognitive shift in values and roles for the exclusion of a productive entrepreneurial identity.

Originality/value

By focusing on value changes in social entrepreneurship, this paper addresses a significant gap in the entrepreneurship literature relating to the process of value creation. By using the structural life-mode analysis, this study identifies the underlying value changes that are fundamental to entrepreneurial processes, allowing that process to unfold and take hold to the betterment of affected farm-based communities.

Details

Journal of Enterprising Communities: People and Places in the Global Economy, vol. 10 no. 3
Type: Research Article
ISSN: 1750-6204

Keywords

Article
Publication date: 18 January 2023

José Fernando López-Muñoz, Josefina Novejarque-Civera and Mabel Pisá-Bó

This study investigates the personal factors influencing innovative entrepreneurship combined with additional contextual insights from high-income European countries…

Abstract

Purpose

This study investigates the personal factors influencing innovative entrepreneurship combined with additional contextual insights from high-income European countries. Specifically, this study has three main objectives: (i) to measure differences in the level of entrepreneurial innovativeness activity among high-income European regions; (ii) to uncover key factors leading to appropriate levels of entrepreneurial innovativeness and (iii) to suggest policies that may enhance the regional level of entrepreneurial innovation.

Design/methodology/approach

A sample of 4,430 nascent and new entrepreneurs from 16 different high-income European countries drawn from the Global Entrepreneurship Monitor (GEM) Adult Population Survey (APS) was used in conjunction with macroeconomic indicators. Data were analyzed using a logistic regression analysis.

Findings

There are significant differences in the conditions that influence entrepreneurial innovativeness in European regions. These variations in entrepreneurial activity can be explained using contextual factors and individual characteristics. Although technological novelty increases the probability of innovative entrepreneurship, the technology effect is significantly greater in Western Europe than other regions across Europe.

Originality/value

This study illustrates how a contextualized view of entrepreneurship enriches the knowledge of the human and dynamic socioeconomic drivers that motivate innovative entrepreneurial action in high-income European countries.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 29 no. 7
Type: Research Article
ISSN: 1355-2554

Keywords

Article
Publication date: 18 March 2020

Martin Mabunda Baluku, Richard Balikoowa, Edward Bantu and Kathleen Otto

Based on self-determination theory, this study aims to examine the impact of satisfaction of basic psychological needs (BPNs) on the commitment to stay self- or salary-employed…

Abstract

Purpose

Based on self-determination theory, this study aims to examine the impact of satisfaction of basic psychological needs (BPNs) on the commitment to stay self- or salary-employed. Not only the entry of individuals but also their commitment to remain self-employed is important. Enterprises established by the self-employed can only survive longer if the owners are willing to continue in self-employment.

Design/methodology/approach

The study was conducted among a cross-country sample drawn from Germany, Kenya and Uganda. An online survey was conducted among self- and salary-employed individuals in Germany. In Uganda and Kenya, cross-sectional samples were recruited through their workplaces and business forums. These processes yielded 869 responses (373 self-employed and 494 salary-employed). Differences in the impact of BPNs on the commitment to self-employed or salaried-employment across countries were examined using PROCESS macro 2.16.

Findings

The findings revealed that the self-employed exhibit higher commitment to their current form of employment than the salary-employed. The satisfaction of needs for autonomy and competence were associated with higher levels of commitment to self-employment than to salary-employment across the three countries. The need for relatedness was also strongly associated with commitment to self-employment much more than to salary-employment for Ugandan and Kenyan participants; but not for the German participants.

Originality/value

Persistence in self-employment is essential not only for individuals to remain employed but also as a pathway to achieving career success. However, research has paid limited attention to persistence in self-employment. This research contributes to the understanding of antecedents for commitment to self-employment across countries, and therefore what should be done to enable particularly young individuals to stay self-employed. Moreover, the study also examines whether these antecedents have similar effects among individuals in salaried-employment.

Details

Journal of Entrepreneurship in Emerging Economies, vol. 12 no. 5
Type: Research Article
ISSN: 2053-4604

Keywords

Article
Publication date: 8 August 2016

Lenita Nieminen and Ulla Hytti

The purpose of this paper is to explore how self-employed entrepreneurs commit themselves to an entrepreneurship training programme and how such commitment relates to their…

Abstract

Purpose

The purpose of this paper is to explore how self-employed entrepreneurs commit themselves to an entrepreneurship training programme and how such commitment relates to their perceptions of learning.

Design/methodology/approach

The data were collected through qualitative, inductive methods by interviewing and observing six entrepreneurs who took part in an entrepreneurship training programme.

Findings

The study reveals that entrepreneurial activities and a strong attachment to entrepreneurship may detach entrepreneurs from an entrepreneurship community. Generally, participants appreciated the social aspect of learning, peer support, and confidence-building provided by the programme and the learning community. Nevertheless, the participation was a double-edged sword: it allowed those who were not active in entrepreneurship to explore entrepreneurship, but for those who were active in entrepreneurship and in professional communities, their participation represented a potential liability and a threat to their image as a credible entrepreneur.

Research limitations/implications

More research is needed on the social aspect related to training programmes particularly focusing on potential adverse outcomes, such as over-embeddedness in the community.

Practical implications

Training programme organizers could benefit from understanding the social aspects of learning in emphasizing the role of peer support but also of the potential dark sides of socializing.

Originality/value

The study offers insight into the relationship between commitment and learning in micro firms, and it contributes to a deeper understanding of the way community and social relationships facilitate or impede learning by self-employed entrepreneurs. There is a risk that the social aspect of peer support and the community replaces entrepreneurs’ need to “go out there” and expose themselves to learning from experience.

Details

Education + Training, vol. 58 no. 7/8
Type: Research Article
ISSN: 0040-0912

Keywords

Open Access
Article
Publication date: 5 April 2024

Lidia Kritskaya Lindelid and Sujith Nair

Wage employees enter self-employment either directly or in a staged manner and may subsequently undertake multiple stints at self-employment. Extant research on the relationship…

Abstract

Purpose

Wage employees enter self-employment either directly or in a staged manner and may subsequently undertake multiple stints at self-employment. Extant research on the relationship between entry modes and the persistence and outcomes of self-employment is inconclusive. This study investigates the relationship between wage employees’ initial mode of entry into self-employment and the duration of the subsequent first two stints of self-employment.

Design/methodology/approach

This study used a matched longitudinal sample of 9,550 employees who became majority owners of incorporated firms from 2005 to 2016.

Findings

The findings demonstrate that the initial mode of entry into self-employment matters for the first two stints at self-employment. Staged entry into self-employment was associated with a shorter first stint and became insignificant for the second stint. Staged entry into self-employment was positively related to the odds of becoming self-employed for the second time in the same firm.

Originality/value

Using a comprehensive and reliable dataset, the paper shifts focus from the aggregated onward journey of novice entrepreneurs (survival as the outcome) to the duration of their self-employment stints. By doing so, the paper offers insights into the process of becoming self-employed and the patterns associated with success/failure in entrepreneurship associated with self-employment duration.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 30 no. 11
Type: Research Article
ISSN: 1355-2554

Keywords

Open Access
Article
Publication date: 7 February 2023

Ondřej Dvouletý and Dagmara Nikulin

This study focusses on dependent self-employment, which covers a situation where a person works for the same employer as a typical worker whilst on a self-employment contractual…

Abstract

Purpose

This study focusses on dependent self-employment, which covers a situation where a person works for the same employer as a typical worker whilst on a self-employment contractual basis, i.e. without a traditional employment contract and without certain rights granted to “regular” employees.

Design/methodology/approach

The research exploits the individual-level dataset of 35 European countries extracted from the 2017 edition of the European Labour Force Survey (EU LFS) and compares the characteristics of employees and dependent self-employed individuals. Methodologically, the study relies on the estimation of a multivariate logistic regression model.

Findings

The main hypothesis assuming that dependent self-employed work most often in low-skilled occupations was empirically supported. There was also a non-linear (u-shaped) relationship between the years of accumulated experience (with a turning point at 35 years) and the likelihood of being dependent self-employed. Other results showed that dependent self-employed are less likely to be women and the dependent self-employed are more likely born outside of the countries where the dependent self-employed participate in the labour markets.

Originality/value

The study contributes to the field by adopting a comparable definition of dependent self-employment and exploiting the recent theoretical support of The Work Precarity Framework. The phenomenon should still be addressed by policymakers and labour office representatives, aiming to protect, primarily, vulnerable lower-skilled workers. The ongoing research should study the longitudinal dimension of dependent self-employment with a focus on motivational aspects.

Details

Employee Relations: The International Journal, vol. 45 no. 3
Type: Research Article
ISSN: 0142-5455

Keywords

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