Rui Baptista () (IN+, Instituto Superior Tecnico, Technical University of Lisbon; Max Planck Institute of Economics) Murat Karaoez () (IN+, Instituto Superior Tecnico, Technical University of Lisbon; IIBF, Department of Economics, Sueleyman Demirel University, Isparta, Turkey) Joana Mendonca () (IN+, Instituto Superior Tecnico, Technical University of Lisbon.)
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We examine whether founders’ backgrounds influence new firm survival in the early years after start-up. We develop hypotheses linking founders' backgrounds to pre-entry capabilities associated with entrepreneurial human capital, highlighting the cases of spin-offs and habitual entrepreneurs. The subject of unemployment-driven entrepreneurship is also explored. We find that specific human capital more frequently found in spin-off founders plays a key role in enhancing survival chances, while more general forms of human capital may help inexperienced entrepreneurs overcome the barrier posed by the critical early years after start-up.
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Paper provided by Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics, Thueringer Universitaets- und Landesbibliothek in its series Jena Economic Research Papers in Economics with number
2007-045.
Find related papers by JEL classification: D21 - Microeconomics - - Production and Organizations - - - Firm Behavior L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General M13 - Business Administration and Business Economics; Marketing; Accounting - - Business Administration - - - New Firms; Startups
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