Entrepreneurship Rates Research Articles

Green and digital entrepreneurship in smart cities

This paper investigates the relationship between the implementation of smart city initiatives and the number of new firms, paying special attention to the rates of green and digital entrepreneurship as smart cities tend to follow sustainable and/or digital orientations. We find evidence of a positive (causal) relation between smart city initiatives and entrepreneurship rates in a sample of Belgian municipalities, particularly when these initiatives follow a bottom-up approach and/or the level of implementation is high. In contrast, having sustainable and/or digital orientations in smart city initiatives does not generally make any difference in the rates of entrepreneurship, the exception being the digital rates in large municipalities. These results suggest that the smart city initiatives may be acting as a local entrepreneurship-supporting policy. They also support the view that smart cities are mainly (but not only) associated with technological developments (in large cities).

The economic effects of politically connected entrepreneurs on the quality and rate of regional entrepreneurship

ABSTRACT While research on institutional quality and entrepreneurship has consolidated over the last decade, the role that politically connected entrepreneurship (PE) plays in the perception of economic actors about the quality and a rate of entrepreneurial activity in their cities remains unanswered. The origin and nature of PE are heterogeneous, and it is associated with economic activity in a strong formal and informal cooperation with local and national governments to access resources in a privileged way. This study uses primary data from 1729 economics agents surveyed in 17 cities in East and Southeast Europe as well as Balkans and Central Asia. In order to better understand the consequences of PE, one should look at how it moderates the relationship between access to capital for entrepreneurs and the outcomes of entrepreneurial activity. We find that politically connected entrepreneurship may limit access to debt finance by other – non-politically economic actors, in particular in countries with a high level of corruption and market uncertainty. PE does not affect equity capital availability for entrepreneurship. Important policy implications are discussed for developing productive entrepreneurship in cities in emerging and developing economies.

Opportunity, necessity, and no one in the middle: A closer look at small, rural, and female‐led entrepreneurship in the United States

AbstractFemale entrepreneurs in rural America are rarely studied, despite local economic context likely shaping their (self‐) employment choices. Development literature suggests entrepreneurship is most prevalent at the lowest and highest income levels, creating a U‐shaped relationship between economic development measured with per capita income on the x‐axis and the entrepreneurship rate (startups) on the y‐axis. At the county level in the United States, we find that female‐led startup rates vary with per capita income in the predicted U‐shape. Results provide support for place‐based entrepreneurship policy and highlight challenges women face while trying to contribute to the rural economy.

Research on Integrated Innovation Design Education for Cultivating the Innovative and Entrepreneurial Ability of Industrial Design Professionals.

In the industrial design industry, innovation and entrepreneurship made by professional and technical talents will become an important trend in the future development of the economy and society. The great changes in the design industry, such as the diversification and complication of design objects, the relatively restricted knowledge structure of design talents, the lack of entrepreneurial experience, and other reasons, have led to the low success rate of industrial design talent entrepreneurship. The purpose of this research is to analyze and explore the effects of integrated innovation design teaching modes and methods of cultivating the innovative and entrepreneurial abilities of industrial design professionals to help industrial design professionals to improve their success rate of establishing new companies. This research also aims to improve the innovative and entrepreneurial ability of industrial design professionals in terms of integrated innovation and design teaching reform by integrating the theories and methods of industrial design professional training links such as the objectives, teaching contents, teaching modes and methods, performance evaluation of innovation, and design education, combining these with the requirements of the innovative and entrepreneurial ability training of industrial design professionals. In this study, the educational reform of integrated innovation design in a specific Chinese university is taken as an example to carry out theoretical research and practical application. The results of this research show that the theory and method of integrated innovation of design education have made significant contributions to the enhancement of the innovative and entrepreneurial ability of industrial design professionals. This research also reveals a feasible direction for constructing an industrial design innovative and entrepreneurial talent training system that adapts to the transformation and upgrading of the design industry. Meanwhile, methods and teaching modes applied in this research can be promoted in relevant or similar majors to make innovation and entrepreneurship education in colleges and universities more professional, stimulate students' entrepreneurial consciousness, and improve students' abilities of innovation and entrepreneurship.

Does international patent collaboration have an effect on entrepreneurship?

Entrepreneurship is one of the main pillars of growth in any economy. Achieving a high rate of entrepreneurship in a region has become the priority objective of governments and firms. However, in many cases, new firm creation is conditioned by relations or collaboration in innovation with agents from other countries. Previous literature has analyzed the mechanisms that foster entrepreneurship. This paper attempts to shed light on the influence of international patent collaboration (IPC) on entrepreneurial activity at country level taking into account the timing of this relationship. An empirical study is proposed to verify whether IPC leads to greater entrepreneurship and to analyze the gestation period between international patenting actions and firm creation. Using the Generalized Method of Moments, the two hypotheses proposed were tested in a data panel of 30 countries for the period 2005–2017. Results show the influence of IPC in promoting entrepreneurship in the same year, but especially in the following year. The study offers implications for entrepreneurs and public agents. IPC affects the integration and interaction of international agents in a country, favors the production of new knowledge, and increases positive externalities in a territory. All this facilitates the creation of new companies with a high innovative component.

CITY-LEVEL HUKOU-BASED LABOR MARKET DISCRIMINATION AND MIGRANT ENTREPRENEURSHIP IN CHINA

A previously undocumented association between city-level degree of hukou-based labor market discrimination and migrant’s individual entrepreneurship engagement is examined. Applying the Oaxaca–Blinder decomposition analysis on the micro data from the China Migrants Dynamic Survey (CMDS) suggests that hukou-based labor market discrimination can on average explain a 6.3% differential in personal income for rural migrants relative to otherwise identical urban migrants. A one standard deviation increase in a city’s average hukou-based labor market discrimination is associated with roughly 2.9 percentage point higher of entrepreneurship rate among rural migrants, holding other things equal. Furthermore, city-level hukou-based labor market discrimination is associated with much higher propensity for engagement in necessitybased entrepreneurship compared with opportunity-based entrepreneurship. Our empirical work also suggests that the association between city-level hukou discrimination and migrant entrepreneurship is more prominent for people with middle level of education, young people, married people, and renters. Policy implications of these findings are discussed.

The role of information availability: A longitudinal analysis of technology entrepreneurship

The rapid spread of digital technologies has fostered an assumption that all entrepreneurs have equal and easy access to knowledge stocks irrespective of their context. We challenge this assumption by examining the contextual influence of information availability and argue that technology entrepreneurship involves a search process reliant on timely access to ideational components. We hypothesize that in contexts where information is more readily available, potential technology entrepreneurs are at an advantage, resulting in higher rates of technology entrepreneurship. Even after controlling for other important factors, such as polity, educational attainment, research and development spending, foreign direct investment, and gross domestic product growth, our results show a positive relationship between information availability and the proportion of entrepreneurs who pursue technology-based ventures instead of low-tech ventures. We further find that the effect of information availability on technology entrepreneurship increases in the presence of stronger intellectual property rights, suggesting that information availability enhances technology entrepreneurship more readily in contexts with incentives for innovation disclosure.

Requirements for Third Generation University: A Conceptual Review of Iranian Studies

Introduction: For more than a decade, Iranian researchers have been concerned about the third- generation university and have conducted various studies in this field. Collecting and analyzing the ideas presented in these studies may pave the way for finding a path for transformation into third-generation university. This study tries to introduce the requirements of moving Iranian universities towards the third generation university by reviewing reliable articles. Methods: This study formed on the conceptual review method using the framework introduced by Arksey and O'Malley in eight steps. All original articles of the last three years (2017-2019) in journals with scientific-research index were extracted from the database for information of national publication and the database of the Scientific Information Center for education, culture and research. By considering the exclusion criteria, 12 articles remained in this study. Result: Conceptual review of articles, separation and recombination of components led to the formation of 9 intra-university requirements divided into: intermediate requirements (entrepreneurship culture and development), basic requirements (vision, mission, goals and strategy, and management and leadership), and providing platform and support (entrepreneurial policy-making, and university development). Conclusion: It appears that the proposed model in this study is suitable for starting to move towards university entrepreneurship and taking the first steps. Of course, depending on the growth rate of entrepreneurship in each university, intense studies of these requirements may be necessary.

Entrepreneurship in Scotland, 1851–1911

This article uses the British Business Census of Entrepreneurs (BBCE) to examine the history of entrepreneurship in nineteenth- and early twentieth-century Scotland. The BBCE identifies every business proprietor listed in the 1851–1901 Scottish censuses, correcting for non-response issues. The BBCE, therefore, allows the whole population of Scottish entrepreneurs to be examined for the first time. These data are combined with a reweighted version of the 1911 Scottish Census report to allow the trends in entrepreneurial numbers and rates to be examined as a whole and broken down by sector and gender. The article also shows how entrepreneurship varied by location. This article offers support for previous work on Scottish entrepreneurship, notably stressing the continued importance of small-scale businesses. It also reveals that female entrepreneurship rates were far higher than previously thought. This article lays the groundwork for future studies of Scottish entrepreneurship using the BBCE data.

The mediating role of values in the relationship between religion and entrepreneurship

An emerging stream of literature argues that values entail a prime channel through which belonging to a religion and entrepreneurship are related. In this study, we introduce Schwartz’s theory of basic human values to theorize on the role of values in the reciprocal relationship between belonging to a religion and entrepreneurship. Based on the motivational goal of each value, we argue that the value priorities of people belonging to a religion are opposite to these of entrepreneurs. We also go beyond earlier studies highlighting values as a prominent channel through which religion and entrepreneurship are connected by providing empirical evidence about the extent to which values mediate this relationship. By drawing on data from eight biennial survey waves (2002–2016) of the European Social Survey (32 countries), we show that individuals who belong to a religion prioritize values related to conservation higher than values related to openness to change, whereas the opposite is true for entrepreneurs. This contrast in value priorities cushions the relationship between belonging to a religion and entrepreneurship. However, both those belonging to a religion and entrepreneurs prioritize values related to self-transcendence over those related to self-enhancement. These relationships are fairly constant across the major religions in Europe, but do depend on how actively people engage in a religion and the type of entrepreneurship.Plain English Summary New evidence about how values can explain the relationship between belonging to a religion and being an entrepreneur. For many people, religion provides the moral codes by which they live and herewith it shapes individual decision-making including the choice for certain occupations. However, religions do not prescribe occupational choices directly but shape these choices indirectly. A prominent role for values in the relationship between belonging to a religion and entrepreneurship is widely acknowledged theoretically, but hardly tested empirically. In this study, we use Schwartz’ theory of basic human values to test this relationship and show that the value priorities of individuals belonging to a religion are opposite to those of entrepreneurs. Individuals who belong to a religion prioritize values related to conserving the social order higher than values related to openness to change and novelty, whereas the opposite is true for entrepreneurs. This contrast in value priorities weakens the relationship between belonging to a religion and entrepreneurship. Our findings are fairly constant across the major religions in Europe, but do depend on how actively people engage in a religion and the type of entrepreneurship. With a rapidly changing number of individuals adhering to a religion and increasing religious diversity in many European countries, our study is of practical importance by showing how these trends may have an impact on a country’s entrepreneurship rate.

Trademarks as an indicator of regional innovation: evidence from Japanese prefectures

ABSTRACT Regional science has long been concerned with measuring the spatial distribution of innovation activity. We introduce trademarks as a new indicator for regional innovation and argue that they are particularly useful to measure the ‘soft’ side of innovation that is difficult to capture with conventional indicators. We explore the spatial distribution of trademarks using a detailed and comprehensive dataset of 47 Japanese prefectures from 1999 to 2012. In addition to mapping differences in trademarking across regions, we identify correlates at the regional level that provide insights into determinants of regional innovation measured via trademarks. For example, regional trademark activity positively correlates with population density, income per capita, entrepreneurship rate, the number of universities, and strong private service and finance sectors. Overall, the results reveal associations unique to trademarks that other measures of innovation cannot uncover. Our findings contribute to research in regional science and the evolving literature on trademarks.

Changes in Victorian entrepreneurship in England and Wales 1851-1911: Methodology and business population estimates

The full population of England and Wales employers and own-account business proprietors is estimated using population censuses 1851–1911. The main contribution of the article is a method of mixed single imputation to overcome the challenge of non-responses to the census 1851–1881. This method is compared with alternatives. Downloads of all data allow replication. The method is used to track trends in proprietor numbers and entrepreneurship rates to reassess the ‘decline of Victorian entrepreneurship’, onset of the ‘U’-shaped trough of the twentieth century, the ‘climacteric’ of 1901, and compositional changes by sector and sex. There is strong sector and gender diversity, with changes in female participation major drivers of overall trends. Proprietor numbers show slow increases of employers, and rapid rise and then decline of own-account, with a turning point after 1901. The methodology and turning point is compared and confirmed against the 1921 census and national and local trade directories. Current affilition for Piero Montebruno: Geographical Research Economist at the Centre for Economic Performance, London School of Economics and Political ScienceSupplemental data for this article is available online at https://doi.org/10.1080/00076791.2021.1894134.

Entrepreneurship and the Racial Wealth Gap: The Impact of Entrepreneurial Success or Failure on the Wealth Mobility of Black and White\xa0Families

Research has repeatedly argued that increasing the rate at which Black people start businesses could reduce the racial wealth gap between Black and white families, but increasing the rate of Black entrepreneurship may actually exacerbate the racial wealth gap, due to the economic cost associated with business closure. Using longitudinal data from the Panel Study of Income Dynamics (PSID), we find that, as past work suggests, Black-owned businesses are less likely to remain open 4 years later, compared to white-owned businesses, and that, due to this disparity, Black business owners are more likely to experience downward economic mobility and less likely to experience upward mobility, compared to their white counterparts. These results suggest that improving the rate at which Black entrepreneurs succeed, rather than increasing the rate at which Black people become entrepreneurs, should be the target of efforts to leverage business ownership to reduce the racial wealth gap.

Understanding immigrant entrepreneurship: a home-country entrepreneurial ecosystem perspective

PurposeGiven the importance of immigration and immigrant entrepreneurs in advanced economies, the authors take an entrepreneurial ecosystem perspective to study the home-country benefits possessed by immigrant entrepreneurs and how home-country entrepreneurial ecosystem factors affect immigrant entrepreneurial motivations, activities and outcomes.Design/methodology/approachThis conceptual research paper follows McGaghie, Bordage and Shea's (2001) four-step new theory creation process, which suggests that new theories can be created through facts extraction from the extant literature.FindingsThe authors propose that although immigrant entrepreneurs are unable to take full benefit of the host-country entrepreneurial ecosystem due to blocked mobility, they do have capabilities to access and use their home-country entrepreneurial resources and opportunities. The authors further propose that home-country entrepreneurial capital can be systemically analyzed through the framework of the entrepreneurial ecosystem. The results imply that immigrant entrepreneurship as a social and economic phenomenon can be studied more holistically from both host- and home-country perspectives compared to the traditional research boundary of the host-country only.Research limitations/implicationsThe research focuses on the identification of home-country effects on immigrant entrepreneurship through the lens of the entrepreneurial ecosystem. Testable propositions provide directions for future empirical research on the field of immigrant entrepreneurship from a home-country perspective. The research concludes that a holistic immigrant entrepreneurship study should consider dual (host- and home-country) entrepreneurial ecosystems.Practical implicationsImmigrant entrepreneurs benefit from both host- and home-country entrepreneurial ecosystems. This paper suggests co-effects of dual entrepreneurial ecosystems lead to a high rate of entrepreneurship and business success within some immigrant groups. Policymakers can increase economic activities by developing and deploying programs to encourage immigrants to embed in host- and home-country entrepreneurial ecosystems.Originality/valueBased on the framework of the entrepreneurial ecosystem, this paper brings a novel perspective to examining home-country effects on immigrant entrepreneurship. It theoretically conceptualizes that immigrants have higher entrepreneurship rates than native-born populations because they have access to extra home-country entrepreneurial capital.

Does Student Loan Debt Hinder Community Well-Being?

How the growth in student debt is impacting the well-being of the larger community is explored using U.S. county level data. Using tax return data from the Internal Revenue Service (IRS) we find that higher levels of student debt tends to be associated with lower levels of community well-being. Specifically, lower rates of home ownership, higher rental market stress, lower rates of entrepreneurship and poorer health behaviors. While the decision to take on student debt is an individual decision, local communities are uniquely positioned to help students make decisions around taking on debt and repayment options.

Economic Freedom and Entrepreneurship Rate: Evidence from the U.S. States After the Great Recession

Our paper explores the ability of the state-level economic institutions, i.e., economic freedom and its components, to explain the movements of entrepreneurship rate after the Great Recession. We use panel date from 50 U.S. states during the period (2008–2017). This paper employs three estimators, fixed effect, panel-corrected standard errors method with states dummy variables, and generalized method of moments (GMM) to extract robust results. The results show that the effect of economic factors on the entrepreneurship rate persists more than that of the institutional and profit opportunity factors. Economic freedom, economic development, and firms’ death rate have a statistically positive effect on entrepreneurship activities. However, the unemployment rate and tax regulations have a statistically significant negative effect. This finding implies that in the state of a recession such as the Great Recession, the entrepreneurship activities will deteriorate sharply. In such a case, the economy needs a genuine government intervention to support economic growth, reduce the unemployment rate, and thus enhance the entrepreneurial activities.

Innovative Rural Entrepreneurship in Chile

Successful policies seeking to promote rural entrepreneurship require a conceptual model consistent with the features of rural spaces and free of stereotypes of entrepreneurship as being only technologically sophisticated. The objective of this essay is, first, to argue that rural areas can be fertile ground for entrepreneurial activities in middle-income countries such as Chile and, second, to discuss policy options to achieve the goal of encouraging a more innovative entrepreneurship in rural areas. The scientific literature on entrepreneurship and the definitions, types and roles of entrepreneurship in development are reviewed. The literature on the location of entrepreneurship is summarized to understand the drivers of observed territorial differences in entrepreneurial activity. One conclusion is that rural areas face a (seemingly) adverse economic geography for entrepreneurship, although there is a recent tendency for amenities-led growth. We then present the geography of rural entrepreneurship in Chile. Contrary to conventional wisdom, the rates of entrepreneurship in Chilean rural areas are high, although presumably of a limited growth potential under current conditions. Nevertheless, this entrepreneurial base provides a stock of knowledge from which a greater sophistication could be reached, and we discuss potential policy approaches to stimulate more innovative rural entrepreneurship. In the case of Chile, available policy options are coherent with the recently enacted National Rural Development Policy. A systemic, amenity-based approach gives middle-income countries opportunities for the development of more innovative rural entrepreneurship through territorial policies that provide local public goods and improve living conditions.

A contextual approach to women's entrepreneurship in Latin America: impacting research and public policy

The field of 'women in entrepreneurship' is growing attention from public policy and academia. However, the literature has been dominated by models and frameworks that were developed mostly in developed economies with a set of particular characteristics that do not match the Latin American reality. This conceptual paper identifies five contextual conditions to consider while analysing women's entrepreneurship in Latin America compared to the Northern Hemisphere: 1) high rates of women's entrepreneurship; 2) high rates of informality; 3) traditional culture and self-expression; 4) low rates of innovation-based ventures; 5) developing ecosystems. We discuss how these contextual conditions interact with the COVID-19 pandemic and economic crisis. Finally, both a research agenda and a public agenda are suggested. This article calls for a Latin American research perspective on women entrepreneurs and suggests that promoting women into sustainable entrepreneurship contributes to regional development, impacts economic activity, improves income distribution, reduces poverty and fosters gender equality.

Evaluation Model of College Students’ Entrepreneurship Success Rate Based on Grey Relational Theory

In order to improve the success rate of entrepreneurship of college students, it is necessary to establish a success rate evaluation model to analyze the success rate of entrepreneurship and make the optimal discrimination. However the current models failed to reach high accuracy due to the lack of factors set. To this end, this paper proposes a college students’ entrepreneurial success evaluation model based on big data analysis, which is based on ambiguity comprehensive evaluation theory. Through building the evaluation factors set, calculating the relative impact of indicators, giving relative weights ratio of factors, and using data analysis. The experimental simulation results show that the model has high evaluation accuracy, and therefore has practical significance in improving the success rate of college students’ entrepreneurship.

Gross Labor Market Flows, Self-Employment, and Unemployment Insurance

In the data, entrepreneurship contributes to the micro and macro-level patterns of gross labor market flows and the selection into that occupation is highly responsive to labor market policy changes. Using an occupational choice model of employment, unemployment, and entrepreneurship, we show that search frictions over all three occupations and a technology letting entrepreneurs produce with their own labor, business capital, or both, are pivotal in rationalizing observed aggregate gross flows and behaviors along the wealth and ability dimensions. The responsiveness of our model flows to variations in unemployment insurance generosity is consistent with US empirical estimates. Changes in the relative riskiness of occupations drive this responsiveness. In turn, beyond the direct effects on unemployment, large reallocations between entrepreneurship and employment appear, shaping aggregate occupational shares. Using our framework, we show that the successive unemployment insurance extensions during the Great Recession have decreased the entrepreneurship rate by 0.4pp.