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Entrepreneurial migration and regional opportunities in developing countries

  • Marthen L. Ndoen

    (Department of Economics, Satya Wacana Christian University, Jalan Diponegoro 52 Salatiga-Indonesia)

  • Piet Rietveld

    (Department of Spatial Economics, Vrije University Amsterdam, The Netherlands)

  • (*), Peter Nijkamp

    (Department of Spatial Economics, Vrije University Amsterdam, The Netherlands)

  • Kees Gorter

    (Department of Economics, Satya Wacana Christian University, Jalan Diponegoro 52 Salatiga-Indonesia)

This paper aims to investigate the entrepreneurial migrants' preferences for a location for business activities in developing countries. In the modelling framework six socio-economic and six socio-cultural variables are used in this study to investigate the migrants' propensity to stay at a particular region. The empirical research was carried out in East Nusa Tenggara, Indonesia. It appears that the presence of a supporting informal network is the most critical factor that attracts and keeps the entrepreneurial migrants in a particular region. Socio-cultural variables like experience and education play a less significant role in the migrants' decision to stay in a given region.

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Article provided by Springer in its journal The Annals of Regional Science.

Volume (Year): 36 (2002)
Issue (Month): 3 ()
Pages: 421-436

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Handle: RePEc:spr:anresc:v:36:y:2002:i:3:p:421-436
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  1. Hay, Michael J, 1980. "A Structural Equations Model of Migration in Tunisia," Economic Development and Cultural Change, University of Chicago Press, vol. 28(2), pages 345-58, January.
  2. Harris, John R & Todaro, Michael P, 1970. "Migration, Unemployment & Development: A Two-Sector Analysis," American Economic Review, American Economic Association, vol. 60(1), pages 126-42, March.
  3. Chris Robinson & Nigel Tomes, 1982. "Self-Selection and Interprovincial Migration in Canada," Canadian Journal of Economics, Canadian Economics Association, vol. 15(3), pages 474-502, August.
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