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Factors Influencing the Entrepreneurial Engagement of Opportunity and Necessity Entrepreneurs

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

Abstract

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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  • Roy Thurik & Ingrid Verheul & Jolanda Hessels & Peter van der Zwan, 2010. "Factors Influencing the Entrepreneurial Engagement of Opportunity and Necessity Entrepreneurs," Scales Research Reports H201011, EIM Business and Policy Research.
  • Handle: RePEc:eim:papers:h201011
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    Cited by:

    1. Zara Daghbashyan & Björn Hårsman, 2014. "University choice and entrepreneurship," Small Business Economics, Springer, vol. 42(4), pages 729-746, April.
    2. repec:krk:eberjl:v:4:y:2016:i:4:p:105-121 is not listed on IDEAS
    3. Cornelius A. Rietveld & Hans Kippersluis & A. Roy Thurik, 2015. "Self‐Employment and Health: Barriers or Benefits?," Health Economics, John Wiley & Sons, Ltd., vol. 24(10), pages 1302-1313, October.
    4. Backman, Mikaela & Gabe, Todd & Mellander, Charlotta, 2016. "Effects of Human Capital on the Growth and Survival of Swedish Businesses," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 46(1).
    5. Marco Vivarelli, 2016. "Editorial note," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 6(3), pages 269-271, December.
    6. Jolanda Hessels & Peter van der Zwan, 2013. "Start-up motivation and (in)voluntary exit," Scales Research Reports H201309, EIM Business and Policy Research.
    7. Albiol, Judit, 2014. "The Significance of Business Exit for Future Entrepreneurial Activity," Working Papers 2072/238221, Universitat Rovira i Virgili, Department of Economics.
    8. repec:wsi:ijimxx:v:21:y:2017:i:07:n:s1363919617500542 is not listed on IDEAS
    9. Rietveld, Cornelius A. & Bailey, Henry & Hessels, Jolanda & van der Zwan, Peter, 2016. "Health and entrepreneurship in four Caribbean Basin countries," Economics & Human Biology, Elsevier, vol. 21(C), pages 84-89.
    10. Giacomin, Olivier & Janssen, Frank & Guyot, Jean-luc & Lohest, Olivier, 2011. "Opportunity and/or necessity entrepreneurship? The impact of the socio-economic characteristics of entrepreneurs," MPRA Paper 29506, University Library of Munich, Germany.
    11. Ingemar Johansson Sevä & Stig Vinberg & Mikael Nordenmark & Mattias Strandh, 2016. "Subjective well-being among the self-employed in Europe: macroeconomy, gender and immigrant status," Small Business Economics, Springer, vol. 46(2), pages 239-253, February.
    12. repec:rss:jnljms:v7i5p5 is not listed on IDEAS
    13. Francesco Campanella & Maria Della Peruta & Manlio Del Giudice, 2013. "The Role of Sociocultural Background on the Characteristics and the Financing of Youth Entrepreneurship. An Exploratory Study of University Graduates in Italy," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 4(3), pages 244-259, September.
    14. Backman, Mikaela & Karlsson, Charlie, 2013. "Exploration of Wisdom Ages: Firm survival," Working Paper Series in Economics and Institutions of Innovation 339, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    15. repec:ers:journl:v:xx:y:2017:i:3a:p:774-782 is not listed on IDEAS
    16. Mahnoor Asif & Anum Ellahi, 2016. "Correlates of Entrepreneurship in Pakistan: The Regional Dimension," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 21(Special E), pages 193-210, September.
    17. repec:wsi:jdexxx:v:19:y:2014:i:01:n:s108494671450006x is not listed on IDEAS
    18. Albiol, Judit, 2012. "Business Exits entail greater future levels of entrepreneurship? An empirical analysis at country level," Working Papers 2072/211754, Universitat Rovira i Virgili, Department of Economics.
    19. repec:kap:sbusec:v:49:y:2017:i:3:d:10.1007_s11187-017-9900-8 is not listed on IDEAS
    20. repec:kap:sbusec:v:50:y:2018:i:1:d:10.1007_s11187-017-9886-2 is not listed on IDEAS
    21. repec:prg:jnlcbr:v:2017:y:2017:i:2:id:176:p:5-17 is not listed on IDEAS
    22. Jolanda Hessels & Brigitte Hoogendoorn & Peter van der Zwan & Nardo de Vries, 2013. "Global Entrepreneurship Monitor The Netherlands 2012," Scales Research Reports H201314, EIM Business and Policy Research.
    23. repec:spr:intemj:v:13:y:2017:i:4:d:10.1007_s11365-017-0456-5 is not listed on IDEAS

    More about this item

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship

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