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Segmenting The Population Of Entrepreneurs: A Cluster Analysis Study

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    (Pace University, Lubin School of Business, 861 Bedford Road, Goldstein 227, Pleasantville, NY 10570, USA)



    (Appalachian State University, Walker College of Business, ASU Box 32089, Boone, NC 28608-2089, USA)



    (Baruch College, Zicklin School of Business, 1 Bernard Baruch Way, Box B9-240, New York, NY 10010, USA)



    (Baruch College, Zicklin School of Business, 1 Bernard Baruch Way, Box B9-240, New York, NY 10010, USA)

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    This paper contributes to our understanding of minority entrepreneurs in the US by showing that ethnicity alone should not be used to describe or categorize small business owners. We examine a sample of 508 entrepreneurs from three minority groups (African, Mexican, and Korean Americans) and a white group using cluster analysis to explore a categorization pattern that best describes the differences among these entrepreneurs. Our findings suggest that minority entrepreneurs are in fact a very heterogeneous group on a multitude of dimensions such as motivations for entry, satisfaction with the business, nature of problems experienced, and demographics of the business such as its size and gross income. Based on our findings, we recommend that educational and support programs targeting minority entrepreneurs should consider other variables rather than focusing on ethnicity alone.

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    Article provided by World Scientific Publishing Co. Pte. Ltd. in its journal Journal of Developmental Entrepreneurship.

    Volume (Year): 13 (2008)
    Issue (Month): 03 ()
    Pages: 293-314

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    Handle: RePEc:wsi:jdexxx:v:13:y:2008:i:03:p:293-314
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