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Factors Influencing the Entrepreneurial Engagement of Opportunity and Necessity Entrepreneurs

  • Roy Thurik
  • Ingrid Verheul
  • Jolanda Hessels
  • Peter van der Zwan

This paper investigates determinants of engagement in various stages of the entrepreneurial process while considering an individual's start-up motivation using 2007 survey data for 27 European countries and the US. Next to opportunity and necessity start-up motivations, we take into account individuals driven by a combination of both motivations. We observe that opportunity- and necessitydriven entrepreneurs as well as those with mixed start-up motivations have different profiles. Furthermore, they differ concerning the factors that inspire or hinder them to engage in the entrepreneurial process more fully ('to climb the entrepreneurial ladder'). For example, entrepreneurship-specific education, selfemployed parents, risk tolerance, perception of lack of financial support, and living in a metropolitan area are important variables in determining entrepreneurial engagement and failure for opportunity-driven individuals, but they are not (or less) important for necessity-driven individuals.

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File URL: http://www.entrepreneurship-sme.eu/pdf-ez/H201011.pdf
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Paper provided by EIM Business and Policy Research in its series Scales Research Reports with number H201011.

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Length: 26 pages
Date of creation: 18 Mar 2010
Date of revision:
Handle: RePEc:eim:papers:h201011
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