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Novice founders and re-starters in Japanese business society

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  • Tatsuyoshi Masuda

Abstract

We divide the 941 new Japanese entrepreneurs into 'novice founders' and 're-starters' in business, and compare the effects of their comparative advantages on economic performance. When observing the actual sales and the liquidity constraints at start-up, re-starters do not always suffer a disadvantage in Japanese business society. Good performance depends on the start-up industry. In this point, re-starters have entirely advantage over novice founders. For the managerial ability to recruit talented employees, successful re-starters and novice founders recruit the employees from 'previous coworkers' and from 'applicants to the want ads', respectively. As for the managerial ability to raise the morale of employee, successful re-starters introduce the 'merit-based pay system', and novice founders encourage the 'acquisition of any qualifications'. Public support agencies do not exert a positive effect on both entrepreneurs' sales. Further research is needed to examine what types of support programme make new entrepreneurs successful.

Suggested Citation

  • Tatsuyoshi Masuda, 2010. "Novice founders and re-starters in Japanese business society," International Journal of Business and Globalisation, Inderscience Enterprises Ltd, vol. 5(3), pages 304-327.
    • Handle: RePEc:ids:ijbglo:v:5:y:2010:i:3:p:304-327
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    Cited by:

    1. Fernando Zambrano Farias & María del Carmen Valls Martínez & Pedro Antonio Martín-Cervantes, 2021. "Explanatory Factors of Business Failure: Literature Review and Global Trends," Sustainability, MDPI, vol. 13(18), pages 1-26, September.
    2. Puspita Ghaniy Anggraini & Mahfud Sholihin, 2023. "What do we know about managerial ability? A systematic literature review," Management Review Quarterly, Springer, vol. 73(1), pages 1-30, February.

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