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Entrepreneurship, risk perception and firm performance

Listed author(s):
  • Martijn Adriaan Boermans
  • Daan Willebrands

Risk attitudes of entrepreneurs are well-established drivers of business performance. Most empirical studies in this field only take into account risk propensity, leaving out the complementary concept of risk perception. Using data on 611 entrepreneurs from Tanzania, we show that risk perception is positively associated with business performance. In addition, we classify the entrepreneurs in four different groups based on their risk profile. The results show that the worst performing entrepreneurs are those with low risk perception and high risk propensity.

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Article provided by Inderscience Enterprises Ltd in its journal Int. J. of Entrepreneurship and Small Business.

Volume (Year): 31 (2017)
Issue (Month): 4 ()
Pages: 557-569

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Handle: RePEc:ids:ijesbu:v:31:y:2017:i:4:p:557-569
Contact details of provider: Web page: http://www.inderscience.com/browse/index.php?journalID=74

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