Crisis perceptions among Ukrainian refugee entrepreneurs: Psychological antecedents and venture progress

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ABSTRACT Refugees face challenging circumstances. We contend that facing extreme adversity, in addition to the uncertainty always associated with entrepreneurship, renders entrepreneurship particularly challenging. We propose that heightening perceptions of opportunities and dampening perceptions of constraints are critical for refugees to engage in entrepreneurial action – and that in turn psychological capital and personal initiative are important antecedents of these perceptions. In this study, we follow Ukrainian refugee entrepreneurs participating in entrepreneurship training programs in Denmark, Sweden and Norway (n = 179). We investigate the extent to which they perceive other ongoing, causally entangled crises as opportunities or constraints; how an individual’s psychological capital together with personal initiative shapes these crises perceptions; and the impact of these perceptions on entrepreneurial progress. We find that refugee entrepreneurs perceive crises as opportunities more than as constraints, that individual characteristics matter for crisis perception and that crisis opportunity perception positively influences progress. We discuss implications for government support programs.

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Objective: The objective of this article is to systematically analyse the current academic research on refugee entrepreneurship in Europe and beyond. Refugee entrepreneurship represents a burgeoning area of study that has become increasingly significant following the European migrant crisis in 2015 and the full-scale Russian invasion of Ukraine in 2022. We seek to determine how studies on refugee entrepreneurship differ in their theoretical approaches and methodologies from traditional research on immigrant and ethnic entrepreneurship. Research Design & Methods: The study adopts a systematic literature review method to identify and analyse key articles which discuss refugee entrepreneurship. We analysed the content of 75 academic publications to get a deeper understating of the research methods, and theoretical approaches, analysed ethnic groups, and destination countries and the key findings. Specifically, we explore how the current literature portrays the latest wave of Ukrainian refugees in the European Union. Findings: Our study reveals that research on refugee entrepreneurship is still in its early, predominantly exploratory stages. Most of the articles we reviewed were empirical, with a distinct preference for qualitative methods. A significant limitation of existing research is its static analysis; most studies were cross-sectional, which fails to capture the dynamic nature of entrepreneurial activities. Furthermore, our review highlights a clear dichotomy in the circumstances of refugees displaced within Europe – primarily Ukrainians and those from the Balkans – compared to those originating from the Middle East or African countries. Implications & Recommendations: We advocate for a more comprehensive approach to the study of refugee entrepreneurship, particularly through longitudinal analyses that can track changes within refugee-owned firms and the evolving attitudes of refugees towards entrepreneurship. We also recommend further investigation into the interactions between refugees and economic migrants, especially those from the same country or those who speak a similar language and share cultural ties. Such interactions could influence the evolution of opportunity structures in the destination countries, potentially leading to the creation of ethnic enclaves. Contribution & Value Added: We contribute to the existing literature on refugee entrepreneurship by identifying key researchers and most cited articles, and by discussing the evolution and adaptation of the most popular theoretical approaches used in these studies.

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  • Book Chapter
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Refugee Entrepreneurs Building and Displaying Resilience
  • Jan 1, 2022
  • Dean A Shepherd + 2 more

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