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Motivations and Performance Conditions for Ethnic Entrepreneurship

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  • Enno Masurel
  • Peter Nijkamp

Abstract

Ethnic entrepreneurship has become a popular concept in a modern multi-cultural society. This paper seeks to offer an overview of the potential of ethnic entrepreneurship for solving inter alia the structural unemployment problems of ethnic groups in cities. There is a general lack of empirical evidence on this issue in the current literature. The present paper aims to fill this gap by addressing in particular the critical success conditions for ethnic entrepreneurs. The focus of the research is on variations in success across three ethnic groups in the Amsterdam area. By means of structured personal interviews with many ethnic entrepreneurs, a systematic qualitative data base was created. The paper sets out to identify empirically the driving forces for business success, such as education or the role of informal networks. The explanatory framework deployed for the identification of these qualitative success factors for distinct ethnic groups is based on a particular, recently developed artificial intelligence method, viz. rough set analysis. This multidimensional classification approach appears to be able to identify various important factors for the motivation and performance of ethnic enterprises. Two major findings emerge from this investigation: (i) performance conditions vary across ethnic groups, and (ii) informal networks are crucial for business success. Copyright 2000 Gatton College of Business and Economics, University of Kentucky.

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Bibliographic Info

Article provided by Gatton College of Business and Economics, University of Kentucky in its journal Growth and Change.

Volume (Year): 33 (2002)
Issue (Month): 2 ()
Pages: 238-260

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Handle: RePEc:bla:growch:v:33:y:2002:i:2:p:238-260

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References

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  1. Audretsch, David B, 1991. "New-Firm Survival and the Technological Regime," The Review of Economics and Statistics, MIT Press, vol. 73(3), pages 441-50, August.
  2. S Pinch, 1993. "Social polarization: a comparison of evidence from Britain and the United States," Environment and Planning A, Pion Ltd, London, vol. 25(6), pages 779-795, June.
  3. Israel M. Kirzner, 1997. "Entrepreneurial Discovery and the Competitive Market Process: An Austrian Approach," Journal of Economic Literature, American Economic Association, vol. 35(1), pages 60-85, March.
  4. Timothy Bates, 1996. "Financing Small Business Creation: The Case of Chinese and Korean Immigrant Entrepreneurs," Working Papers 96-9, Center for Economic Studies, U.S. Census Bureau.
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Citations

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Cited by:
  1. Daniel Arribas-Bel & Karima Kourtit & Peter Nijkamp, 2013. "Socio-cultural Diversity and Urban Buzz," Tinbergen Institute Discussion Papers 13-110/VIII, Tinbergen Institute.
  2. Jasper Dalhuisen & Peter Nijkamp, 2001. "Critical Factors for Achieving Multiple Goals with Water Tariff Systems," Tinbergen Institute Discussion Papers 01-121/3, Tinbergen Institute.
  3. Sahin, M. & Nijkamp, P. & Rietdijk, M., 2009. "Cultural Diversity and Urban Innovativeness: Personal and Business Characteristics of Urban Migrant Entrepreneurs," Serie Research Memoranda 0033, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  4. A. Arrighetti & D. Bolzani & A. Lasagni, 2013. "Motivazioni Imprenditoriali E Percorsi Evolutivi Dell’Impresa Etnica," Economics Department Working Papers 2013-EP03, Department of Economics, Parma University (Italy).
  5. A. Arrighetti & D. Bolzani & A. Lasagni, 2013. "Beyond the enclave? Break-outs into mainstream markets and multicultural hybridism in ethnic firms," Economics Department Working Papers 2013-EP06, Department of Economics, Parma University (Italy).
  6. Nijkamp, Peter, 2009. "Entrepreneurship, Development, and the Spatial Context Retrospect and Prospect," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  7. Frank A.G. den Butter & Enno Masurel & Robert Mosch, 2004. "The Economics of Co-ethnic Employment; Incentives, Welfare Effects and Policy Options," Tinbergen Institute Discussion Papers 04-027/3, Tinbergen Institute.
  8. Geenhuizen, Marina van & Nijkamp, Peter, 2005. "Death of distance and agglomeration forces of firms in the urban e-economy : an artificial intelligence approach using rough set analysis," Serie Research Memoranda 0007, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  9. Mediha Sahin & Peter Nijkamp & Roger Stough, 2011. "Impact of urban conditions on firm performance of migrant entrepreneurs: a comparative Dutch–US study," The Annals of Regional Science, Springer, vol. 46(3), pages 661-689, June.
  10. Jacques Poot, 2007. "Demographic Change and Regional Competitiveness: The Effects of Immigration and Ageing," Population Studies Centre Discussion Papers dp-64, University of Waikato, Population Studies Centre.
  11. Peter Nijkamp & Mediha Sahin & T�zin Baycan-Levent, 2009. "Migrant Entrepreneurship and New Urban Economic Opportunities," Tinbergen Institute Discussion Papers 09-025/3, Tinbergen Institute.
  12. Peter Nijkamp & Mediha Sahin & T�zin Baycan-Levent, 2009. "Migrant Entrepreneurship and New Urban Economic Opportunities," Tinbergen Institute Discussion Papers 09-025/3, Tinbergen Institute.
  13. Nijkamp, P. & Sahin, M., 2009. "Performance indicators of urban migrant entrepreneurship in the netherlands," Serie Research Memoranda 0034, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  14. Nijkamp, P. & Stough, R. & Sahin, M., 2009. "Impact of social and human capital on business performance of migrant entrepreneurs - a comparative dutch-us study," Serie Research Memoranda 0017, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  15. Ilhan-Nas, Tulay & Sahin, Kader & Cilingir, Zuhal, 2011. "International ethnic entrepreneurship: Antecedents, outcomes and environmental context," International Business Review, Elsevier, vol. 20(6), pages 614-626.

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