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The Support Paradox in Community Enterprise Experiments in The Netherlands

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  • Kleinhans, Reinout

    (Delft University of Technology)

  • van Ham, Maarten

    (Delft University of Technology)

Abstract

In many European countries, community entrepreneurship is increasingly considered as a means to initiate small-scale urban regeneration. However, residents in deprived communities are often viewed to lack key entrepreneurial attributes and skills. This paper reports a unique experiment in the Netherlands with nascent community enterprises which received start-up support from a private foundation. This paper investigates how active citizens perceive the benefits and drawbacks of this support. In depth analysis of transcriptions of repeated semi-structured interviews (panel design with the same respondents) with representatives of established community enterprises and resident groups were analysed. While we find positive feedback on provided support, our research provides strong evidence for a 'support paradox': the support that was intended to overcome a number of entry barriers and difficulties on the road to community entrepreneurship has in fact significantly hampered progress among several of the studied CEs.

Suggested Citation

  • Kleinhans, Reinout & van Ham, Maarten, 2016. "The Support Paradox in Community Enterprise Experiments in The Netherlands," IZA Discussion Papers 9625, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp9625
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    More about this item

    Keywords

    community enterprises; community entrepreneurship; active citizenship; support; urban regeneration; self-organisation; The Netherlands;
    All these keywords.

    JEL classification:

    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • L31 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Nonprofit Institutions; NGOs; Social Entrepreneurship
    • O35 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Social Innovation
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population

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