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Opportunity Recognition Differences Between Black And White Nascent Entrepreneurs: A Test Of Bhave'S Model

Author

Listed:
  • ROBERT P. SINGH

    (Morgan State University, Earl G. Graves School of Business, 1700 E. Cold Spring Lane, Baltimore, MD 21251, USA)

  • EDWIN L. KNOX

    (Morgan State University, Earl G. Graves School of Business, 1700 E. Cold Spring Lane, Baltimore, MD 21251, USA)

  • MICAH E. S. CRUMP

    (Morgan State University, Earl G. Graves School of Business, 1700 E. Cold Spring Lane, Baltimore, MD 21251, USA)

Abstract

Examining the opportunity recognition processes of black and white entrepreneurs may help improve the lagging rate of black entrepreneurship. Based on the framework provided by Bhave's (1994) model of new venture creation, and using data collected through the Panel Study of Entrepreneurial Dynamics, we found significant differences between the percentage of black and white nascent entrepreneurs who recognized externally-stimulated versus internally-stimulated opportunities and their projected firm revenues. As predicted, black nascent entrepreneurs were more likely to pursue externally-stimulated opportunities with significantly lower expected revenues than their white counterparts. Academic and practical implications are discussed and future research directions are offered.

Suggested Citation

  • Robert P. Singh & Edwin L. Knox & Micah E. S. Crump, 2008. "Opportunity Recognition Differences Between Black And White Nascent Entrepreneurs: A Test Of Bhave'S Model," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 13(01), pages 59-75.
    • Handle: RePEc:wsi:jdexxx:v:13:y:2008:i:01:n:s1084946708000855
    DOI: 10.1142/S1084946708000855
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    Cited by:

    1. Marcos Segantini & Lori A. Dickes, 2020. "Recurrent funding in entrepreneurship: an analysis of repeated events," Documentos de Investigación 123, Universidad ORT Uruguay. Facultad de Administración y Ciencias Sociales.
    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. Maija Renko, 2013. "Early Challenges of Nascent Social Entrepreneurs," Entrepreneurship Theory and Practice, , vol. 37(5), pages 1045-1069, September.
    4. Rosanna Garcia & Daniel W. Baack, 2023. "The Invisible Racialized Minority Entrepreneur: Using White Solipsism to Explain the White Space," Journal of Business Ethics, Springer, vol. 188(3), pages 397-418, December.
    5. Marcos Segantini & Lori A. Dickes, 2020. "Creative-entrepreneurs and new venture performance a study of the creative class at the firm-level," Documentos de Investigación 124, Universidad ORT Uruguay. Facultad de Administración y Ciencias Sociales.

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