Overcoming Time Compression Diseconomies of Organizational Emergence through Family Business Work

Abstract

In this paper, we applied a life course perspective to self- employment and developed a theoretical framework of the time compression diseconomies of organizational emergence. We theorized that working in family business, as opposed to just growing up in a business family, during adolescence facilitates individuals overcoming the time compression diseconomies of organizational emergence. These individuals are more likely to develop self- employment intention and become self-employed later in life. When they choose self-employment, they also financially outperform their peers. We found support for our theory using eight years of longitudinal data from the Youth in Transition Survey (YITS).