What are Entrepreneurs’ Objectives When Starting a New Business?
AbstractThis paper studies entrepreneurs' objectives when starting a business and the impact of entrepreneurial and ï¬rm characteristics on these objectives. Entrepreneurship involves two behaviors that lead to deï¬ne two types of entrepreneurs: those who start businesses to create and secure their own jobs (protection motive) and those who want to develop their ï¬rms in terms of investment and personnel (developing motive). Individuals of the ï¬rst group are deï¬ned as self-protectors and the second as developers. We show that the compositions of the self-protectors group and the developers group are very similar and differ only in a few characteristics. People with a low degree and low start-up capital are in a greater proportion among self-protectors. We use a French new entrepreneur survey and probit models to identify the determinants of choosing self-protection or development. We ï¬nd that people who start ï¬rms to create their own jobs are those who are the most discriminated against on the labor market and those who have no entrepreneurial network. People with low start-up capital are more likely to become self-protector. Developers are those who have the possibility to be developers.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by TEPP in its series TEPP Working Paper with number 2010-06.
Date of creation: 2010
Date of revision:
Other versions of this item:
- Lionel Desiage, 2010. "What are Entrepreneurs' Objectives When Starting a New Business?," Working Papers halshs-00809716, HAL.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Berglann, Helge & Moen, Espen R. & Røed, Knut & Skogstrøm, Jens Fredrik, 2009.
"Entrepreneurship: Origins and Returns,"
IZA Discussion Papers
4250, Institute for the Study of Labor (IZA).
- Rees, Hedley & Shah, Anup, 1986. "An Empirical Analysis of Self-employment in the U.K," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 1(1), pages 95-108, January.
- David Blanchflower & A Oswald, 1993. "Entrepreneurship," CEP Discussion Papers dp0134, Centre for Economic Performance, LSE.
- Poschke, Markus, 2008.
"Who Becomes an Entrepreneur? Labor Market Prospects and Occupational Choice,"
IZA Discussion Papers
3816, Institute for the Study of Labor (IZA).
- Poschke, Markus, 2013. "Who becomes an entrepreneur? Labor market prospects and occupational choice," Journal of Economic Dynamics and Control, Elsevier, vol. 37(3), pages 693-710.
- Markus Poschke, 2012. "Who Becomes an Entrepreneur? Labor Market Prospects and Occupational Choice," Cahiers de recherche 13-2012, Centre interuniversitaire de recherche en économie quantitative, CIREQ.
- Heckman, James J, 1979.
"Sample Selection Bias as a Specification Error,"
Econometric Society, vol. 47(1), pages 153-61, January.
- Eric Bartelsman & Stefano Scarpetta & Fabiano Schivardi, 2003. "Comparative Analysis of Firm Demographics and Survival: Micro-Level Evidence for the OECD Countries," OECD Economics Department Working Papers 348, OECD Publishing.
- Simeon Djankov & Edward Miguel & Yingyi Qian & Gerard Roland & Ekaterina Zhuravskaya, 2005.
"Who are Russia’s entrepreneurs?,"
w0048, Center for Economic and Financial Research (CEFIR).
- Steven J. Davis & John Haltiwanger & Ron S. Jarmin & C. J. Krizan & Javier Miranda & Alfred Nucci & Kristin Sandusky, 2007.
"Measuring the Dynamics of Young and Small Businesses: Integrating the Employer and Nonemployer Universes,"
NBER Working Papers
13226, National Bureau of Economic Research, Inc.
- Steven J. Davis & John Haltiwanger & Ronald S. Jarmin & C.J. Krizan & Javier Miranda & Alfred Nucci & Kristin Sandusky, 2009. "Measuring the Dynamics of Young and Small Businesses: Integrating the Employer and Nonemployer Universes," NBER Chapters, in: Producer Dynamics: New Evidence from Micro Data, pages 329-366 National Bureau of Economic Research, Inc.
- Javier Miranda & Alfred Nucci & Steven J. Davis & John Haltiwanger & Ron S. Jarmin & C.J. Krizan & Kristin Sandusky, 2006. "Measuring the Dynamics of Young and Small Businesses: Integrating the Employer and Nonemployer Universes," Working Papers 06-04, Center for Economic Studies, U.S. Census Bureau.
- Barton H. Hamilton, 2000. "Does Entrepreneurship Pay? An Empirical Analysis of the Returns to Self-Employment," Journal of Political Economy, University of Chicago Press, vol. 108(3), pages 604-631, June.
- Blanchflower, David G. & Oswald, Andrew & Stutzer, Alois, 2001. "Latent entrepreneurship across nations," European Economic Review, Elsevier, vol. 45(4-6), pages 680-691, May.
- Blanchflower, D.G. & Oswald, A., 1991.
"What Makes an Entrepreneur?,"
Economics Series Working Papers
99125, University of Oxford, Department of Economics.
- Evans, David S & Jovanovic, Boyan, 1989. "An Estimated Model of Entrepreneurial Choice under Liquidity Constraints," Journal of Political Economy, University of Chicago Press, vol. 97(4), pages 808-27, August.
- Yannick L’Horty & Antoine Goujard & Emmanuel Duguet, 2008. "Les inégalités territoriales d'accès à l'emploi : une exploration à partir de sources administratives exhaustives," Économie et Statistique, Programme National Persée, vol. 415(1), pages 17-44.
- David Dickinson & Ronald Oaxaca, 2005.
"Statistical Discrimination in Labor Markets: An Experimental Analysis,"
05-11, Department of Economics, Appalachian State University.
- David L. Dickinson & Ronald L. Oaxaca, 2009. "Statistical Discrimination in Labor Markets: An Experimental Analysis," Southern Economic Journal, Southern Economic Association, vol. 76(1), pages 16-31, July.
- David Dickinson & Ronald Oaxaca, 2004. "Statistical Discrimination in Labor Markets: An Experimental Analysis," Working Papers 2004-04, Utah State University, Department of Economics.
- Dickinson, David & Oaxaca, Ronald L., 2006. "Statistical Discrimination in Labor Markets: An Experimental Analysis," IZA Discussion Papers 2305, Institute for the Study of Labor (IZA).
- Evans, David S & Leighton, Linda S, 1989. "Some Empirical Aspects of Entrepreneurship," American Economic Review, American Economic Association, vol. 79(3), pages 519-35, June.
- David B. Audretsch, 2007. "Entrepreneurship capital and economic growth," Oxford Review of Economic Policy, Oxford University Press, vol. 23(1), pages 63-78, Spring.
- Aghion, Philippe & Harris, Christopher & Vickers, John, 1997. "Competition and growth with step-by-step innovation: An example," European Economic Review, Elsevier, vol. 41(3-5), pages 771-782, April.
- Erik Stam & David Audretsch & Joris Meijaard, 2006. "Renascent Entrepreneurship - Entrepreneurial Preferences Subsequent to Firm Exit," Papers on Entrepreneurship, Growth and Public Policy 2006-06, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sylvain).
If references are entirely missing, you can add them using this form.