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Business networks at start-up: Swedish native-owned and immigrant-owned companies
Mälardalen University, School of Business, Society and Engineering, Industrial Economics and Organisation.ORCID iD: 0000-0001-8430-5714
Mid Sweden University, Sweden.
Mid Sweden University, Sweden.
2014 (English)In: International Journal of Entrepreneurship and Small Business, ISSN 1476-1297, E-ISSN 1741-8054, Vol. 22, no 3, 307-325 p.Article in journal (Refereed) Published
Abstract [en]

The aim of this study is to examine the differences between native Swedish and immigrant entrepreneurs’ business networks at start-up  stage. The study is based on a database consisting of 261 immigrant- and  2,463 native-owned companies, applying several univariate and multivariate statistical methods. Immigrant entrepreneurs’ business networks are less likely to include mainstream contacts at the start-up stage than native born entrepreneurs. Thus, ethnicity is an important variable explaining differences in such networks at the start-up stage. A combination of both mainstream and immigrant networks has the potential to give rise to more growth for immigrant-owned businesses. As a result, these businesses may have potential to create new jobs for unemployed immigrants. This study provides a deeper understanding of how ethnicity may influence the entrepreneurs’ use of business networks. It may lead to policy makers considering access to mainstreaming networks as an important issue in the social and economic integration.

Place, publisher, year, edition, pages
2014. Vol. 22, no 3, 307-325 p.
Keyword [en]
business networks, start-ups, ethnicity, immigrant networks
National Category
Economics and Business
Identifiers
URN: urn:nbn:se:mdh:diva-35159DOI: 10.1504/IJESB.2014.063778Scopus ID: 2-s2.0-84904765025OAI: oai:DiVA.org:mdh-35159DiVA: diva2:1088271
Available from: 2017-04-12 Created: 2017-04-12 Last updated: 2017-05-05Bibliographically approved
In thesis
1. Heterogeneity in the level and handling of the Liability of Newness: Female and immigrant entrepreneurs’ need for and use of business advisory service
Open this publication in new window or tab >>Heterogeneity in the level and handling of the Liability of Newness: Female and immigrant entrepreneurs’ need for and use of business advisory service
2017 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

In the start-up entrepreneurs face the Liability of Newness when problems and challenges often threaten business survival. Business advisory service, provided by public and private supplier contacts, can offer important knowledge and information, accompanied by various forms of assistance, and thereby decrease the entrepreneurs’ risk of failure and reduce their Liability of Newness. However, it is difficult to match the entrepreneurs’ need for such advice with the available advice. The support must meet the need. Most nations in the European Union have programs and projects that provide such support for entrepreneurs and SMEs. Special programs often support female entrepreneurs and/or immigrant entrepreneurs.

This thesis examines the level and handling of the Liability of Newness with special focus on female entrepreneurs and immigrant entrepreneurs in Sweden. The four papers of this thesis take the perspective of these entrepreneurs. The research is based on a sample of 2 832 entrepreneurs who were interviewed (in a telephone survey) on their impressions and recollections on their need for and use of business advisory service in the start-up processes of their companies. Fulfilment of need is achieved when the need for business advisory service is matched with the right use of business advisory service.

Heterogeneities as far as the level and handling of the Liability of Newness exist related to female entrepreneurs (vs. male entrepreneurs) and immigrant entrepreneurs (vs. non-immigrant entrepreneurs). Female entrepreneurs have a higher need for business advisory service than male entrepreneurs and also use more business advisory service than male entrepreneurs. As a result, female entrepreneurs can decrease the hazard rate for their companies and also reduce the Liability of Newness as their companies move toward the standard risk in their industry. Immigrant entrepreneurs also have a higher need for business advisory service than non-immigrant entrepreneurs. However, because immigrant entrepreneurs use business advisory service to the same extent that non-immigrant entrepreneurs do, immigrant entrepreneurs are unable to decrease the hazard rate for their companies or to reduce the Liability of Newness.The thesis makes both theoretical, methodological and practical contributions.

The thesis may be of interest to government policy makers with its attention to the need and use of business advisory service by female entrepreneurs and immigrant entrepreneurs.

Place, publisher, year, edition, pages
Västerås: Mälardalens högskola, 2017. 70 p.
Series
Mälardalen University Press Dissertations, ISSN 1651-4238 ; 230
Keyword
Entrepreneurship, Business advisory service, female and male entrepreneurs, immigrant entrepreneurs
National Category
Social Sciences Economics and Business
Research subject
Industrial Economics and Organisations
Identifiers
urn:nbn:se:mdh:diva-35288 (URN)978-91-7485-331-5 (ISBN)
Public defence
2017-06-19, Paros, Mälardalens högskola, Västerås, 09:15 (Swedish)
Opponent
Supervisors
Available from: 2017-05-05 Created: 2017-05-05 Last updated: 2017-07-10Bibliographically approved

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Citation style
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