IDEAS home Printed from https://ideas.repec.org/a/kap/sbusec/v58y2022i3d10.1007_s11187-020-00444-7.html
   My bibliography  Save this article

The entrepreneurial financing of the immigrant entrepreneurs: a literature review

Author

Listed:
  • Bryan Malki

    (Jönköping University)

  • Timur Uman

    (Jönköping University)

  • Daniel Pittino

    (Jönköping University)

Abstract

There is an increasing interest in the phenomenon of immigrant entrepreneurship. Despite the growing number of studies, the financing aspect of immigrant entrepreneurship is still an emergent subject. In this paper, we critically and systematically review the field of the entrepreneurial financing of immigrant entrepreneurs. For this purpose, we conduct a two-step analysis of 37 systematically selected articles. In the first step, we provide an overall description of the field, while in the second step we perform a SWOT analysis on different aspects of the field, including the units of analysis, the main questions, and the use of theories and methods in the field. The review identifies gaps and weaknesses in the field, suggests potential opportunities for future research, and highlights some threats that could impede the implementation of future opportunities. Finally, the review suggests further questions to be explored for future advancement of knowledge in the field.

Suggested Citation

  • Bryan Malki & Timur Uman & Daniel Pittino, 2022. "The entrepreneurial financing of the immigrant entrepreneurs: a literature review," Small Business Economics, Springer, vol. 58(3), pages 1337-1365, March.
    • Handle: RePEc:kap:sbusec:v:58:y:2022:i:3:d:10.1007_s11187-020-00444-7
    DOI: 10.1007/s11187-020-00444-7
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11187-020-00444-7
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s11187-020-00444-7?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Israel Drori & Benson Honig & Mike Wright, 2009. "Transnational Entrepreneurship: An Emergent Field of Study," Entrepreneurship Theory and Practice, , vol. 33(5), pages 1001-1022, September.
    2. Timothy Bates & William D. Bradford & Robert Seamans, 2018. "Minority entrepreneurship in twenty-first century America," Small Business Economics, Springer, vol. 50(3), pages 415-427, March.
    3. Andrés Rodríguez-Pose & Viola Berlepsch, 2014. "Social Capital and Individual Happiness in Europe," Journal of Happiness Studies, Springer, vol. 15(2), pages 357-386, April.
    4. Ravi Madhavan & Akie Iriyama, 2009. "Understanding global flows of venture capital: Human networks as the “carrier wave” of globalization," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 40(8), pages 1241-1259, October.
    5. Ratan J. S. Dheer, 2018. "Entrepreneurship by immigrants: a review of existing literature and directions for future research," International Entrepreneurship and Management Journal, Springer, vol. 14(3), pages 555-614, September.
    6. Bird, Miriam & Wennberg, Karl, 2016. "Why family matters: The impact of family resources on immigrant entrepreneurs' exit from entrepreneurship," Journal of Business Venturing, Elsevier, vol. 31(6), pages 687-704.
    7. Sari Pekkala Kerr & William R. Kerr & William F. Lincoln, 2015. "Skilled Immigration and the Employment Structures of US Firms," Journal of Labor Economics, University of Chicago Press, vol. 33(S1), pages 147-186.
    8. Jennifer Hunt & Marjolaine Gauthier-Loiselle, 2010. "How Much Does Immigration Boost Innovation?," American Economic Journal: Macroeconomics, American Economic Association, vol. 2(2), pages 31-56, April.
    9. Trevor Jones & Monder Ram & Maria Villares-Varela, 2019. "Diversity, economic development and new migrant entrepreneurs," Urban Studies, Urban Studies Journal Limited, vol. 56(5), pages 960-976, April.
    10. Sari Pekkala Kerr & William R. Kerr & William F. Lincoln, 2015. "Firms and the Economics of Skilled Immigration," Innovation Policy and the Economy, University of Chicago Press, vol. 15(1), pages 115-152.
    11. Cumming, Douglas & Deloof, Marc & Manigart, Sophie & Wright, Mike, 2019. "New directions in entrepreneurial finance," Journal of Banking & Finance, Elsevier, vol. 100(C), pages 252-260.
    12. Yuri Ostrovsky & Garnett Picot & Danny Leung, 2019. "The financing of immigrant-owned firms in Canada," Small Business Economics, Springer, vol. 52(1), pages 303-317, January.
    13. Ruiz-Vargas, Yolanda, 2000. "Small business financing sources between immigrants and natives in Puerto Rico," The Quarterly Review of Economics and Finance, Elsevier, vol. 40(3), pages 387-399.
    14. George W. Haynes & Joseph I. Onochie & Yoon Lee, 2008. "Influence Of Family'S Social Relationships On The Debt Structure Of Mexican-American And Korean-American Small Businesses," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 13(03), pages 343-361.
    15. Monder Ram & Trevor Jones & Tahir Abbas & Balihar Sanghera, 2002. "Ethnic Minority Enterprise in its Urban Context: South Asian Restuarants in Birmingham," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 26(1), pages 24-40, March.
    16. Robert C. Kloosterman, 2003. "Creating opportunities. Policies aimed at increasing openings for immigrant entrepreneurs in the Netherlands," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 15(2), pages 167-181, January.
    17. Lina Aldén & Mats Hammarstedt, 2016. "Discrimination in the Credit Market? Access to Financial Capital among Self-employed Immigrants," Kyklos, Wiley Blackwell, vol. 69(1), pages 3-31, February.
    18. Friederike Welter, 2011. "Contextualizing Entrepreneurship—Conceptual Challenges and Ways Forward," Entrepreneurship Theory and Practice, , vol. 35(1), pages 165-184, January.
    19. Cumming, Douglas & Groh, Alexander Peter, 2018. "Entrepreneurial finance: Unifying themes and future directions," Journal of Corporate Finance, Elsevier, vol. 50(C), pages 538-555.
    20. Andre Torre & Bertrand Zuindeau, 2009. "Proximity economics and environment: assessment and prospects," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 52(1), pages 1-24.
    21. Jennifer Hunt, 2015. "Are Immigrants the Most Skilled US Computer and Engineering Workers?," Journal of Labor Economics, University of Chicago Press, vol. 33(S1), pages 39-77.
    22. Basu, Anuradha & Parker, Simon C, 2001. "Family Finance and New Business Start-Ups," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 63(3), pages 333-358, July.
    23. Philippe Mongeon & Adèle Paul-Hus, 2016. "The journal coverage of Web of Science and Scopus: a comparative analysis," Scientometrics, Springer;Akadémiai Kiadó, vol. 106(1), pages 213-228, January.
    24. Deepak Hegde & Justin Tumlinson, 2014. "Does Social Proximity Enhance Business Partnerships? Theory and Evidence from Ethnicity's Role in U.S. Venture Capital," Management Science, INFORMS, vol. 60(9), pages 2355-2380, September.
    25. Hadewijch van Delft & Cees Gorter & Peter Nijkamp, 2000. "In Search of Ethnic Entrepreneurship Opportunities in the City: A Comparative Policy Study," Environment and Planning C, , vol. 18(4), pages 429-451, August.
    26. Hezun Li & Siri Terjesen & Timurs Umans, 2020. "Corporate governance in entrepreneurial firms: a systematic review and research agenda," Small Business Economics, Springer, vol. 54(1), pages 43-74, January.
    27. Fairlie, Robert W. & Lofstrom, Magnus, 2013. "Immigration and Entrepreneurship," IZA Discussion Papers 7669, Institute of Labor Economics (IZA).
    28. Aghaei Chadegani, Arezoo & Salehi, Hadi & Md Yunus, Melor & Farhadi, Hadi & Fooladi, Masood & Farhadi, Maryam & Ale Ebrahim, Nader, 2013. "A Comparison between Two Main Academic Literature Collections: Web of Science and Scopus Databases," MPRA Paper 46898, University Library of Munich, Germany, revised 18 Mar 2013.
    29. Clark, Kenneth & Drinkwater, Stephen, 2000. "Pushed out or pulled in? Self-employment among ethnic minorities in England and Wales," Labour Economics, Elsevier, vol. 7(5), pages 603-628, September.
    30. Jennifer Hunt, 2011. "Which Immigrants Are Most Innovative and Entrepreneurial? Distinctions by Entry Visa," Journal of Labor Economics, University of Chicago Press, vol. 29(3), pages 417-457.
    31. Per Davidsson & Johan Wiklund, 2007. "Levels of Analysis in Entrepreneurship Research: Current Research Practice and Suggestions for the Future," Springer Books, in: Álvaro Cuervo & Domingo Ribeiro & Salvador Roig (ed.), Entrepreneurship, pages 245-265, Springer.
    32. Kaveh Moghaddam & Alexandre Aidov & Charles DuVal & Sara Azarpanah, 2017. "High-growth entrepreneurial firm funding: a qualitative study of native-born and immigrant entrepreneurs," Venture Capital, Taylor & Francis Journals, vol. 19(1-2), pages 75-94, January.
    33. Rachel S. Shinnar & Melissa S. Cardon & Micki Eisenman & Virginia Solis Zuiker & Myung-Soo Lee, 2009. "Immigrant And Us-Born Mexican-Owned Businesses: Motivations And Management," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 14(03), pages 273-295.
    34. Robertson K. Tengeh & Linus Nkem, 2017. "Sustaining Immigrant Entrepreneurship in South Africa: The Role of Informal Financial Associations," Sustainability, MDPI, vol. 9(8), pages 1-16, August.
    35. Bates, Timothy, 1997. "Financing small business creation: The case of Chinese and Korean immigrant entrepreneurs," Journal of Business Venturing, Elsevier, vol. 12(2), pages 109-124, March.
    36. William R. Kerr & Josh Lerner & Antoinette Schoar, 2014. "The Consequences of Entrepreneurial Finance: Evidence from Angel Financings," Review of Financial Studies, Society for Financial Studies, vol. 27(1), pages 20-55, January.
    37. Robert Kloosterman & Joanne Van Der Leun & Jan Rath, 1999. "Mixed Embeddedness: (In)formal Economic Activities and Immigrant Businesses in the Netherlands," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 23(2), pages 252-266, June.
    38. Zhen Zhang & Trish Reay, 2018. "Managing the Yin and Yang of family capital: a study of Chinese immigrant entrepreneurs," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 30(7-8), pages 722-748, August.
    39. Giovanni Peri, 2016. "Immigrants, Productivity, and Labor Markets," Journal of Economic Perspectives, American Economic Association, vol. 30(4), pages 3-30, Fall.
    40. Bengtsson, Ola & Hsu, David H., 2015. "Ethnic matching in the U.S. venture capital market," Journal of Business Venturing, Elsevier, vol. 30(2), pages 338-354.
    41. Gartner, William B. & Shane, Scott A., 1995. "Measuring entrepreneurship over time," Journal of Business Venturing, Elsevier, vol. 10(4), pages 283-301, July.
    42. Cumming, Douglas (ed.), 2012. "The Oxford Handbook of Entrepreneurial Finance," OUP Catalogue, Oxford University Press, number 9780195391244, Decembrie.
    43. Cumming, Douglas, 2007. "Government policy towards entrepreneurial finance: Innovation investment funds," Journal of Business Venturing, Elsevier, vol. 22(2), pages 193-235, March.
    44. Rocío Aliaga-Isla (PhD) & Alex Rialp (PhD), 2013. "Systematic review of immigrant entrepreneurship literature: previous findings and ways forward," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 25(9-10), pages 819-844, December.
    45. Andre Torre & Alain Rallet, 2005. "Proximity and Localization," Regional Studies, Taylor & Francis Journals, vol. 39(1), pages 47-59.
    46. Nonna Kushnirovich & Sibylle Heilbrunn, 2008. "Financial Funding Of Immigrant Businesses," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 13(02), pages 167-184.
    47. Darush Yazdanfar & Saeid Abbasian, 2014. "Debt financing among native- and immigrant-owned firms: empirical evidence from Swedish small business at start up stage," World Review of Entrepreneurship, Management and Sustainable Development, Inderscience Enterprises Ltd, vol. 10(4), pages 422-434.
    48. Anuradha Basu & Simon C. Parker, 2001. "Family Finance and New Business Start‐ups," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 63(3), pages 333-358, July.
    49. George J. Borjas, 1986. "The Self-Employment Experience of Immigrants," Journal of Human Resources, University of Wisconsin Press, vol. 21(4), pages 485-506.
    50. Daniel R. Denison & Robert Hooijberg & Robert E. Quinn, 1995. "Paradox and Performance: Toward a Theory of Behavioral Complexity in Managerial Leadership," Organization Science, INFORMS, vol. 6(5), pages 524-540, October.
    51. Biggs, Tyler & Raturi, Mayank & Srivastava, Pradeep, 2002. "Ethnic networks and access to credit: evidence from the manufacturing sector in Kenya," Journal of Economic Behavior & Organization, Elsevier, vol. 49(4), pages 473-486, December.
    52. Andrew Van Hulten & Abdullahi D. Ahmed, 2013. "Migrant Entrepreneurs' Access To Business Finance In Australia," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 18(01), pages 1-22.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bakker, Rene M. & McMullen, Jeffery S., 2023. "Inclusive entrepreneurship: A call for a shared theoretical conversation about unconventional entrepreneurs," Journal of Business Venturing, Elsevier, vol. 38(1).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sari Pekkala Kerr & William R. Kerr, 2016. "Immigrant Entrepreneurship," NBER Chapters, in: Measuring Entrepreneurial Businesses: Current Knowledge and Challenges, pages 187-249, National Bureau of Economic Research, Inc.
    2. Pekkala Kerr, Sari & Kerr, William, 2020. "Immigrant entrepreneurship in America: Evidence from the survey of business owners 2007 & 2012," Research Policy, Elsevier, vol. 49(3).
    3. Ratan J. S. Dheer, 2018. "Entrepreneurship by immigrants: a review of existing literature and directions for future research," International Entrepreneurship and Management Journal, Springer, vol. 14(3), pages 555-614, September.
    4. Sari Pekkala Kerr & William R. Kerr, 2016. "Immigrant Entrepreneurship," NBER Chapters, in: Measuring Entrepreneurial Businesses: Current Knowledge and Challenges, pages 187-249, National Bureau of Economic Research, Inc.
    5. repec:zbw:bofrdp:2016_033 is not listed on IDEAS
    6. Chengguang Li & Rodrigo Isidor & Luis Alfonso Dau & Rudy Kabst, 2018. "The More the Merrier? Immigrant Share and Entrepreneurial Activities," Entrepreneurship Theory and Practice, , vol. 42(5), pages 698-733, September.
    7. Steven A. Brieger & Michael M. Gielnik, 2021. "Understanding the gender gap in immigrant entrepreneurship: a multi-country study of immigrants’ embeddedness in economic, social, and institutional contexts," Small Business Economics, Springer, vol. 56(3), pages 1007-1031, February.
    8. Jan Wiers & Didier Chabaud, 2022. "Bibliometric analysis of immigrant entrepreneurship research 2009–2019," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 12(1), pages 441-464, December.
    9. Dabić, Marina & Vlačić, Bozidar & Paul, Justin & Dana, Leo-Paul & Sahasranamam, Sreevas & Glinka, Beata, 2020. "Immigrant entrepreneurship: A review and research agenda," Journal of Business Research, Elsevier, vol. 113(C), pages 25-38.
    10. Crown, Daniel & Faggian, Alessandra & Corcoran, Jonathan, 2020. "Foreign-Born graduates and innovation: Evidence from an Australian skilled visa program✰,✰✰,★,★★," Research Policy, Elsevier, vol. 49(9).
    11. Sari Pekkala Kerr & William R. Kerr & William F. Lincoln, 2015. "Skilled Immigration and the Employment Structures of US Firms," Journal of Labor Economics, University of Chicago Press, vol. 33(S1), pages 147-186.
    12. William R. Kerr, 2020. "The Gift of Global Talent: Innovation Policy and the Economy," Innovation Policy and the Economy, University of Chicago Press, vol. 20(1), pages 1-37.
    13. Matthias Parey & Jens Ruhose & Fabian Waldinger & Nicolai Netz, 2017. "The Selection of High-Skilled Emigrants," The Review of Economics and Statistics, MIT Press, vol. 99(5), pages 776-792, December.
    14. Dr Max Nathan, 2013. "The wider economic impacts of high-skilled migrants: a survey of the literature," National Institute of Economic and Social Research (NIESR) Discussion Papers 413, National Institute of Economic and Social Research.
    15. Sari Pekkala Kerr & William R. Kerr, 2021. "Whose Job Is It Anyway? Coethnic Hiring in New US Ventures," Journal of Human Capital, University of Chicago Press, vol. 15(1), pages 86-127.
    16. Sam Tavassoli & Michaela Trippl, 2019. "The impact of ethnic communities on immigrant entrepreneurship: evidence from Sweden," Regional Studies, Taylor & Francis Journals, vol. 53(1), pages 67-79, January.
    17. Elo, Maria & Täube, Florian A. & Servais, Per, 2022. "Who is doing “transnational diaspora entrepreneurship”? Understanding formal identity and status," Journal of World Business, Elsevier, vol. 57(1).
    18. Cai, Zhengyu & Winters, John V., 2017. "Self-employment differentials among foreign-born STEM and non-STEM workers," Journal of Business Venturing, Elsevier, vol. 32(4), pages 371-384.
    19. Nathan, Max, 2013. "The Wider Economic Impacts of High-Skilled Migrants: A Survey of the Literature," IZA Discussion Papers 7653, Institute of Labor Economics (IZA).
    20. Maribel Guerrero & Vesna Mandakovic & Mauricio Apablaza & Veronica Arriagada, 2021. "Are migrants in/from emerging economies more entrepreneurial than natives?," International Entrepreneurship and Management Journal, Springer, vol. 17(2), pages 527-548, June.
    21. Bonin, Holger, 2017. "The Potential Economic Benefits of Education of Migrants in the EU," IZA Research Reports 75, Institute of Labor Economics (IZA).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:sbusec:v:58:y:2022:i:3:d:10.1007_s11187-020-00444-7. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.