Ethnic-Minority Businesses in the UK: A Review of Research and Policy Developments

Abstract

In recent years there have been important academic and policy-related developments in the field of ethnic-minority entrepreneurship in the UK. It is a subject that is marked by increasing theoretical sophistication and activity on the part of policy makers and practitioners. We investigate the principal theoretical and policy developments in UK research, and identify issues for future investigation. In relation to theoretical developments, the contribution of a ‘mixed-embeddedness’ perspective is highlighted; this stresses the importance of social, economic, and institutional processes (rather than ‘ethnic culture’). Although the number of initiatives directed at ethnic-minority businesses is growing, their effectiveness in promoting ‘upward mobility’ is still open to question. Further attention needs to be accorded to the rationale and ultimate beneficiaries of such measures. Future research needs to locate ethnic-minority entrepreneurship in its political and economic contexts. Potential new topics for policy and research include: the social contribution of ethnic-minority entrepreneurship, ethnic-minority women in self-employment, and ‘new communities’.