Entrepreneurial Backgrounds, Human Capital and Start-up Success
AbstractWe examine whether foundersâ€™ 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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Bibliographic InfoPaper provided by Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics in its series Jena Economic Research Papers with number 2007-045.
Date of creation: 31 Jul 2007
Date of revision:
Founders' backgrounds; Human capital; Start-up Success; Pre-entry capabilities; Spin-offs; Habitual entrepreneurs;
Find related papers by JEL classification:
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
- L10 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - General
- M13 - Business Administration and Business Economics; Marketing; Accounting - - Business Administration - - - New Firms; Startups
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-08-08 (All new papers)
- NEP-BEC-2007-08-08 (Business Economics)
- NEP-ENT-2007-08-08 (Entrepreneurship)
- NEP-HRM-2007-08-08 (Human Capital & Human Resource Management)
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