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Determinants of South Asian Entrepreneurial Growth in Britain: A Multivariate Analysis

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  • Basu, Anuradha
  • Goswami, Arati

Abstract

This paper aims to contribute to our understanding of the factors influencing South Asian entrepreneurial growth in Britain. It develops a multivariate model along the lines of small business economics but includes cultural and social variables. The theoretical model specified assumes that cultural factors have an augmenting effect on socio-economic factors. A distinction is also drawn between initial entrepreneurial characteristics and later expansion strategies used. The empirical model, based on the general-to-specific approach, can explain almost 60 per cent of entrepreneurial growth. The results suggest that moving away from a style of management based on immigrant culture has a positive impact on growth. This requires greater delegation of responsibilities to non-family employees. At the same time, strengthening links with the country of origin has a positive impact on growth. While the commitment to work hard at start-up is essential, human capital factors like the entrepreneur's educational attainment and employee training appear to be more crucial than financial resources in contributing to growth. Copyright 1999 by Kluwer Academic Publishers

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  • Basu, Anuradha & Goswami, Arati, 1999. "Determinants of South Asian Entrepreneurial Growth in Britain: A Multivariate Analysis," Small Business Economics, Springer, vol. 13(1), pages 57-70, August.
    • Handle: RePEc:kap:sbusec:v:13:y:1999:i:1:p:57-70
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    Cited by:

    1. James A. Cunningham & Erik E. Lehmann & Matthias Menter, 2022. "The organizational architecture of entrepreneurial universities across the stages of entrepreneurship: a conceptual framework," Small Business Economics, Springer, vol. 59(1), pages 11-27, June.
    2. Matthias Jan Mrożewski & Daphne Hering, 2023. "What makes migrants more entrepreneurial? Investigating the role of cultural distance and human capital," International Entrepreneurship and Management Journal, Springer, vol. 19(1), pages 151-176, March.
    3. van Gelderen, A.M. & van der Sluis, L. & Jansen, P., 2004. "Learning Opportunities And Learning Behaviours Of Small Business Starters: Relations With Goal Achievement, Skill Development, And Satisfaction," ERIM Report Series Research in Management ERS-2004-037-ORG, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    4. Athar Iqbal & Bilal Hamid, 2012. "Retail Business Owners Preference: Why not Formal Financing?," South Asian Journal of Management Sciences (SAJMS), Iqra University, Iqra University, vol. 6(1), pages 18-22, Spring.
    5. Dieu Hack-Polay & Justice Tenna Ogbaburu & Mahfuzur Rahman & Ali B Mahmoud, 2020. "Immigrant entrepreneurs in rural England – An examination of the socio- cultural barriers facing migrant small businesses in Lincolnshire," Local Economy, London South Bank University, vol. 35(7), pages 676-694, November.
    6. Alessandro Arrighetti & Daniela Bolzani & Andrea Lasagni, 2014. "Beyond the enclave? Break-outs into mainstream markets and multicultural hybridism in ethnic firms," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 26(9-10), pages 753-777, December.
    7. Arrighetti, Alessandro & Gnarini, Daniela & Lasagni, Andrea & Semenza, Renata, 2021. "From Immigrant Entrepreneurship to Plurinational Firms: Evidence from Italy," EconStor Preprints 248545, ZBW - Leibniz Information Centre for Economics.
    8. Pedro Calero Lemes & Desiderio J. Garc¨ªa Almeida & Esther Hormiga, 2010. "The Role of Knowledge in the Immigrant Entrepreneurial Process," International Journal of Business Administration, International Journal of Business Administration, Sciedu Press, vol. 1(1), pages 68-79, November.
    9. Marco van Gelderen & Marco van Gelderen & Niels Bosma & Niels Bosma & Roy Thurik & Roy Thurik, 2001. "Setting up a business in the Netherlands," Scales Research Reports H200013, EIM Business and Policy Research.
    10. Dabić, Marina & Vlačić, Bozidar & Paul, Justin & Dana, Leo-Paul & Sahasranamam, Sreevas & Glinka, Beata, 2020. "Immigrant entrepreneurship: A review and research agenda," Journal of Business Research, Elsevier, vol. 113(C), pages 25-38.
    11. Luca Barbone & Andrew Dabalen, 2009. "Enhancing the development impact of migration," Bank i Kredyt, Narodowy Bank Polski, vol. 40(6), pages 59-76.
    12. Saranjam Baig & Mir Qasim & Li Xuemei & Khalid Mehmood Alam, 2020. "Is the China-Pakistan Economic Corridor an Opportunity or a Threat for Small and Micro-Entrepreneurs? Empirical Evidence from Northern Pakistan," Sustainability, MDPI, vol. 12(5), pages 1-19, February.
    13. Ty Choi, 2022. "Ethnic enclaves in immigrant entrepreneurship: Korean immigrant entrepreneurship in Australia," Journal of the International Council for Small Business, Taylor & Francis Journals, vol. 3(3), pages 214-227, July.
    14. Schlepphorst, Susanne & Kay, Rosemarie & Nielen, Sebastian, 2019. "The effect of migrants' resource endowments on business performance," Working Papers 03/19, Institut für Mittelstandsforschung (IfM) Bonn.
    15. Patience M. Mshenga & Robert B. Richardson & Bernard K. Njehia & Eliud A. Birachi, 2010. "The Contribution of Tourism to Micro and Small Enterprise Growth," Tourism Economics, , vol. 16(4), pages 953-964, December.
    16. Aissa Mosbah & Kalsom Binti Abd Wahab, 2018. "Factors Influencing Performance of Immigrant Service Firms," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 8(2), pages 1-11, February.

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