Abstract
Entrepreneurial entry happens as a consequence of a general choice of an individual to become an entrepreneur. While most entrepreneurial entry studies rarely consider an industry choice to be an aspect of entrepreneurial decision making process, we address this issue taking into account individual, industrial, and country specific attributes. Using data from the Global University Entrepreneurial Spirit Students’ Survey (2013–2014) on young nascent entrepreneurs and extending it with objective indicators derived from World Bank, Global Entrepreneurship Monitor, and International Property Rights Index datasets, we investigate how various factors impact the choice between knowledge-intensive and capital-intensive industries. Drawing on the RBV and contingency approach, we link an industry choice to the level of human capital development and access to financial capital testing for possible country-specific moderation effects. Our study contributes to entrepreneurial entry research stream extending the understanding of entrepreneurial entry decision making nuances related to individual access to resources and both industryand country-level contingencies.
Highlights
Entrepreneurial entry happens as a consequence of a general choice of an individual to become an entrepreneur
Entrepreneurial entry research comprises a broad range of focus areas and usually explores various factors that drive individuals to participate in entrepreneurial process
Addressing the declared research gap, this study contributes to an emerging literature branch that reveals crucial differences in multi-industry decision settings driving young entrepreneurs to a certain industry choice
Summary
Entrepreneurial entry happens as a consequence of a general choice of an individual to become an entrepreneur. While most entrepreneurial entry studies rarely consider an industry choice to be an aspect of entrepreneurial decision making process, we address this issue taking into account individual, industrial, and country specific attributes. Our study contributes to entrepreneurial entry research stream extending the understanding of entrepreneurial entry decision making nuances related to individual access to resources and both industry- and country-level contingencies. While the triggers of the general decision to become an entrepreneur are well documented in the literature (McCann, Folta 2012; Nocke 2006; Santarelli, Vivarelli 2007), the majority of studies treat entrepreneurial entry as an industry-independent action with only a few pieces taking into account series of industrial effects (Bates 1995; Bayus, Agarwal 2007; Lofstrom et al 2014). It may be inferred that the same applies to specific country conditions
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