HOW ENTREPRENEURIALLY INFLUENTIAL SOCIAL TRAITS AFFECT BUSINESS CREATION AMONGST RURAL IMMIGRANTS: Evidence from Spain
Usually, immigrants have been studied as employed work force. However, they often choose to become entrepreneurs. According to the relevant literature, there are evidences that immigrants are more entrepreneurially active than local inhabitants. However, results from the Global Entrepreneurship Monitor for Spain show that this is not consistent across the urban-rural divide. Explanation for variances in entrepreneurship in rural as compared to urban areas have been linked to specific socio-institutional traits that exert a differentiated impact on the entrepreneurial activity levels of specific segments of the population. The objective of this study is to verify how the entrepreneurial activity of rural immigrants responds to socio-institutional traits that have been identified as key explanatory factors of entrepreneurial behaviour. To carry out this research, the Spanish Global Entrepreneur Monitor (GEM) data set from 2008 was used. We conduct a comparative analysis between three population groups: immigrants as compared to non-immigrant, rural immigrant as compared to urban immigrant, and rural immigrants as compared to rural non-immigrants. To do this, a rare events logit regression model was applied. The results indicate that the probability to become an entrepreneur is greater for immigrants. The same is true for an individual residing in a rural area. However, contrary to Spaniards, rural immigrants are not more likely to become entrepreneurs. We find explanation for this in the econometric analysis of the selected socio-institutional traits.
|Date of creation:||Sep 2011|
|Date of revision:|
|Contact details of provider:|| Postal: Welthandelsplatz 1, 1020 Vienna, Austria|
Web page: http://www.ersa.org
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Spencer, Jennifer W. & Gomez, Carolina, 2004. "The relationship among national institutional structures, economic factors, and domestic entrepreneurial activity: a multicountry study," Journal of Business Research, Elsevier, vol. 57(10), pages 1098-1107, October.
- Mats Hammarstedt, 2006. "The predicted earnings differential and immigrant self-employment in Sweden," Applied Economics, Taylor & Francis Journals, vol. 38(6), pages 619-630.
- Rolf Sternberg & Timo Litzenberger, 2004. "Regional clusters in Germany--their geography and their relevance for entrepreneurial activities," European Planning Studies, Taylor & Francis Journals, vol. 12(6), pages 767-791, September.
- Clark, Kenneth & Drinkwater, Stephen, 2000. "Pushed out or pulled in? Self-employment among ethnic minorities in England and Wales," Labour Economics, Elsevier, vol. 7(5), pages 603-628, September.
- Wagner, Joachim, 2004. "Are Young and Small Firms Hothouses for Nascent Entrepreneurs? Evidence from German Micro Data," IZA Discussion Papers 989, Institute for the Study of Labor (IZA).
- Bruder, Jana & Räthke-Döppner, Solvig, 2008. "Ethnic minority self-employment in Germany: Geographical distribution and determinants of regional variation," Thuenen-Series of Applied Economic Theory 100, University of Rostock, Institute of Economics.
- Joachim Wagner & Rolf Sternberg, 2004. "Start-up activities, individual characteristics, and the regional milieu: Lessons for entrepreneurship support policies from German micro data," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 38(2), pages 219-240, 06.
- Thomas M Begley & Wee-Liang Tan, 2001. "The Socio-Cultural Environment for Entrepreneurship: A Comparison Between East Asian and Anglo-Saxon Countries," Journal of International Business Studies, Palgrave Macmillan, vol. 32(3), pages 537-553, September.
- Jolanda Hessels & Marco Gelderen & Roy Thurik, 2008. "Entrepreneurial aspirations, motivations, and their drivers," Small Business Economics, Springer, vol. 31(3), pages 323-339, October.
- Constant, Amelie F. & Zimmermann, Klaus F., 2004.
"The Making of Entrepreneurs in Germany: Are Native Men and Immigrants Alike?,"
IZA Discussion Papers
1440, Institute for the Study of Labor (IZA).
- Amelie Constant & Klaus Zimmermann, 2006. "The Making of Entrepreneurs in Germany: Are Native Men and Immigrants Alike?," Small Business Economics, Springer, vol. 26(3), pages 279-300, 04.
- Roope Uusitalo, 1999.
205, Government Institute for Economic Research Finland (VATT).
- Marco van Gelderen & Roy Thurik & Jolanda Hessels, 2007. "Drivers of entrepreneurial aspirations at the country lever: the role of start-up motivations and social security," Scales Research Reports H200710, EIM Business and Policy Research.
- Bates, Timothy, 1997.
"Financing small business creation: The case of Chinese and Korean immigrant entrepreneurs,"
Journal of Business Venturing,
Elsevier, vol. 12(2), pages 109-124, March.
- Timothy Bates, 1996. "Financing Small Business Creation: The Case of Chinese and Korean Immigrant Entrepreneurs," Working Papers 96-9, Center for Economic Studies, U.S. Census Bureau.
- David Blanchflower & Jumana Saleheen & Chris Shadforth, 2007.
"The impact of the recent migration from Eastern Europe on the UK economy,"
17, Monetary Policy Committee Unit, Bank of England.
- Blanchflower, David G. & Saleheen, Jumana & Shadforth, Chris, 2007. "The Impact of the Recent Migration from Eastern Europe on the UK Economy," IZA Discussion Papers 2615, Institute for the Study of Labor (IZA).
- Johansson, Edvard, 2000. " Self-Employment and Liquidity Constraints: Evidence from Finland," Scandinavian Journal of Economics, Wiley Blackwell, vol. 102(1), pages 123-34, March.
- Roy Thurik, 2003. "Entrepreneurship and Unemployment in the UK," Scottish Journal of Political Economy, Scottish Economic Society, vol. 50(3), pages 264-290, 08.
- Paul Reynolds & Niels Bosma & Erkko Autio & Steve Hunt & Natalie De Bono & Isabel Servais & Paloma Lopez-Garcia & Nancy Chin, 2005. "Global Entrepreneurship Monitor: Data Collection Design and Implementation 1998–2003," Small Business Economics, Springer, vol. 24(3), pages 205-231, 02.
When requesting a correction, please mention this item's handle: RePEc:wiw:wiwrsa:ersa10p1464. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gunther Maier)
If references are entirely missing, you can add them using this form.