Small Business Economics

https://link.springer.com/journal/11187

List of Papers (Total 208)

Happy Free Willies? Investigating the relationship between freelancing and subjective well-being

In recent years, there has been a steady increase in the number of own-account workers (the self-employed without employees), including freelancers, in many developed economies. Despite the importance of the group of freelancers for modern economies, little is known about the perceived benefits of freelancing. We use six waves of the United Kingdom Household Longitudinal Study...

Explaining entrepreneurial performance of solo self-employed from a motivational perspective

This paper investigates the relationship between start-up motivation (opportunity versus necessity) and entrepreneurial performance of an important subset of entrepreneurs, viz., the solo self-employed. We use a unique individual-level panel data set of solo self-employed in the Netherlands (2010–2011) and construct three separate measures derived from the literature to identify...

The promise of social signal processing for research on decision-making in entrepreneurial contexts

In this conceptual paper, we demonstrate how modern data science techniques can advance our understanding of important decisions in the context of entrepreneurship that involve social interactions. We know that individuals’ decision-making is strongly affected by nonverbal behavior. The emerging domain of social signal processing aims at accurate computerized analysis of such...

Cultural diversity and knowledge in explaining entrepreneurship in European cities

This study establishes and empirically explores the relationship between knowledge, cultural diversity and various entrepreneurial outcomes across European cities in 2008–2010. We demonstrate that the mechanism of knowledge spillover entrepreneurship is contextual and contend that cultural diversity and knowledge have differential impact on entrepreneurial outcomes across cities...

Initial coin offerings (ICOs): market cycles and relationship with bitcoin and ether

We apply a vector autoregression (VAR) model to investigate the market cycles of Initial Coin Offerings (ICOs) as well as their relationships with bitcoin and ether. Our sample covers 104 weekly observations between January 2017 and December 2018. Our results show that ICO market cycles exist and that shocks to the growth rates of ICO volumes are persistent. In addition, shocks...

Comparing effectuation to discovery-driven planning, prescriptive entrepreneurship, business planning, lean startup, and design thinking

There has been a growing interest among entrepreneurs and students in explicit guidance for entrepreneurial action. Both scholars and practitioners have responded to this demand by suggesting a variety of entrepreneurial methods. This has led, however, to a proliferation of relatively unrelated methods with varying degrees of rigor and relevance. In an attempt to organize and...

Entrepreneurs embrace competition: evidence from a lab-in-the-field study

Referring to Isreal M. Kirzner (1973) and Schumpeter (1934), who emphasized the competitive nature of entrepreneurship, this study investigates whether potential and revealed entrepreneurs are more likely to seek competition than non-entrepreneurs. We provide a conceptual framework that links entrepreneurship to three facets of individual competitiveness drawn from economic...

Informality and poverty in Ecuador

This paper uses national representative data from the Ecuadorian Family Expenditure survey to study the determinants of poverty and informality in the country, taking into account the two-way relationship between these two phenomena. The main contribution of this paper is to present new empirical evidence on this relationship for a developing country where more than 60% of...

Strategic orientations of nascent entrepreneurs: antecedents of prediction and risk orientation

Entrepreneurial judgment is crucial for entrepreneurial success. Extant literature argues that prior experience influences entrepreneurial decisions and the identification of attractive decision spaces for entrepreneurial activity is impacted by subjective risk perception and response to this risk. We posit that entrepreneurs develop different preferences for risk and prediction...

Independent by necessity? The life satisfaction of necessity and opportunity entrepreneurs in 70 countries

The relationship between self-employment and subjective well-being (SWB) is contingent on the heterogeneity observed among entrepreneurs. We argue that independence and job control, two commonly suggested sources of entrepreneurs’ higher SWB, are likely to disproportionately benefit opportunity entrepreneurs who were pulled into their occupation choice. A review of the...

A plea for varieties of entrepreneurship

Research into the link between national institutions and entrepreneurship is characterized by three shortcomings: First, clear-cut concepts of institutions are rare. Second, a parsimonious understanding of how a few core institutions influence entrepreneurship is missing. Third, scholars often ignore that incrementally innovative ventures constitute a distinct (and under...

Promoting cooperation in innovation ecosystems: evidence from European traditional manufacturing SMEs

We investigate whether public support for innovation increases the propensity of SMEs in traditional manufacturing industries to cooperate for innovation—in particular, for incremental innovation—with other firms and external knowledge providers. Using data from seven EU regions, we find that support programmes do not promote cooperation with competitors, marginally promote...

Cultural transmission and persistence of entrepreneurship

This paper contributes to explain the persistence of differences in levels of entrepreneurship within and across countries. We provide an explanation based on the dynamic interplay between purposeful intergenerational transmission of preferences for entrepreneurship and public administration efficiency. Individuals vote on taxes, and the collected taxes fund the civil servants...

Regional differences in effects of publicly sponsored R&D grants on SME performance

This paper explores regional variation in the effects of publicly sponsored R&D grants on SME performance. The results suggest that there is no guarantee that the grants will impact firm growth, either positive or negative. Positive growth effects are most likely to be found for publicly sponsored R&D grants targeting SMEs located in regions abundant with skilled labor, whereas...

The socially and spatially bounded relationships of entrepreneurial activity: Olav Sorenson—recipient of the 2018 Global Award for Entrepreneurship Research

This article reviews the7 academic contributions of Olav Sorenson, recipient of the 2018 Global Award for Entrepreneurship Research. His work has advanced scholarly understanding of how entrepreneurship and innovation are strongly embedded in socially and spatially bounded relationships. Based on meticulous empirical studies using a broad range of methods, he has challenged...

Social networks and the geography of entrepreneurship

Social relationships play at least three important roles in entrepreneurship. They help to determine who sees entrepreneurship as an available and desirable career path. Entrepreneurs use their contacts to raise funds for and to recruit employees and partners to their ventures. Social relationships also influence where and when entrepreneurs want to spend their leisure time...

Entrepreneurial experimentation: a key function in systems of innovation

The literature on innovation systems focuses on the supply side (the creation of technology) rather than on how innovations are converted into economic activity and growth via the market (the demand side, and the interface between supply and demand). One implication of this is that there is a dearth of research on the links between innovation systems and economic growth. The...

Small business owners and health

The present article identifies a societal and scholarly neglect for the field of small business ownership and health. We address health capital and its spillover effects and briefly outline a research program discriminating between pathogenic (negative for health) and salutogenic (positive for health) effects for a small business owner’s working life.

Entrepreneurship and attention deficit/hyperactivity disorder: a large-scale study involving the clinical condition of ADHD

A growing conversation has emerged linking ostensibly dark or pathological individual-level characteristics to entrepreneurship. Attention deficit/hyperactivity disorder (ADHD) is among the most central and emblematic. Recent studies have made great strides—articulating the theoretical relevance of ADHD-type behavior in entrepreneurship and suggesting a positive link consistent...

The prevalence and co-occurrence of psychiatric conditions among entrepreneurs and their families

Psychiatric conditions and sub-threshold psychiatric temperaments may influence entrepreneurs’ affect, cognition, energy, motivation, circadian rhythms, activity levels, self-concept, creativity, and interpersonal behaviors in ways that influence business outcomes. We used a self-report survey to examine the prevalence and co-occurrence of five psychiatric conditions among 242...

Knowledge-intensive innovative entrepreneurship integrating Schumpeter, evolutionary economics, and innovation systems

This article proposes a novel conceptualization of knowledge-intensive innovative entrepreneurship, which can capture the main characteristics of a vital phenomenon in the modern economy. Our conceptualization is based upon the integration of Schumpeterian entrepreneurship, evolutionary economics, and innovation systems approach. It consists of a theoretical definition and a...

Attention-deficit/hyperactivity disorder (ADHD) symptoms and academic entrepreneurial preference: is there an association?

Although commercialization of research activities has drawn some research attention, more studies are warranted to clearly understand the drivers behind academic entrepreneurship. The present paper investigates the association between attention-deficit/hyperactivity disorder (ADHD) symptoms and academic entrepreneurial preference. ADHD symptoms have typically been associated with...

Productive opportunities, uncertainty, and science-based firm emergence

We provide greater theoretical precision to the concept of productive opportunities of Penrose. We show firm emergence as a recursive cycle of changing productive opportunities. We show how those opportunities result from the technological base of the firm and are associated with the particular characteristics of the technology. We also show how productive opportunities require...