nep-ent New Economics Papers
on Entrepreneurship
Issue of 2011‒06‒25
five papers chosen by
Marcus Dejardin
Notre-Dame de la Paix University

  1. For Benevolence and for Self-Interest: Social and Commercial Entrepreneurial Activity across Nations By Estrin, Saul; Mickiewicz, Tomasz; Stephan, Ute
  2. Cultural Niche Dimensionality and Small Firm Subsistence By Bruggeman J.; Gábor P.
  3. A Spatially-related Note on Entrepreneurship and Economic Growth By Torben Klarl
  4. Job Creation and the Intra-distribution Dynamics of the Firm Size Distribution By Peter Huber; Harald Oberhofer; Michael Pfaffermayr
  5. Analiză privind performanţele sectorului de afaceri din România în contextul crizei economice mondiale By Rizea (Pirnea), Ionela Carmen

  1. By: Estrin, Saul (London School of Economics); Mickiewicz, Tomasz (University College London); Stephan, Ute (University of Sheffield)
    Abstract: We conceptualise social entrepreneurship as a source of social capital which, when present in the environment, enhances commercial entrepreneurship. We also argue that social entrepreneurship should be recognised as a second form of Baumol's (1990) productive entrepreneurship and that it will therefore compete at the individual level for resources with commercial entrepreneurship. Unlike institutional void theory, we see social entrepreneurship as conditional on institutional quality, but consistent with the institutional void perspective we see it as filling the gaps where government activism is lower. These arguments motivate our hypotheses that we test and largely confirm applying multilevel modelling. Our analysis is based on population-representative samples in 47 countries (the 2009 GEM dataset).
    Keywords: social capital, social entrepreneurship, institutional theory, resources, socio-cognitive theory
    JEL: L26
    Date: 2011–06
  2. By: Bruggeman J.; Gábor P.
    Abstract: In populations of human organizations (e.g. rms) that operate in cultural niches (markets), size dierences are usually large. As large organizations can in principle out-compete small ones, the actual presence of many small organizations asks for an explanation. In ours, we focus on the dimensionality of cultural niches, that can change as a consequence of product innovations, preference elaboration, or institutions. We show that increasing market dimensionality substantially enlarges the market periphery relative to the market center, which creates new potential niches for small rms. Decreasing dimensionality, in contrast, preserves market positions for a portion of the incumbent small rms rather than forcing all of them to exit. We thereby provide a parsimonious explanation for small rm existence when dimensionality changes, even in concentrated markets and net of other factors.
    Date: 2011–03
  3. By: Torben Klarl (University of Augsburg, Department of Economics)
    Abstract: A large and still growing body of literature suggests that entrepreneurship is of exceptional importance in explaining knowledge spillovers. Although quantifying the impact of entrepreneurial activity for economic growth is an interesting issue – particularly at the regional level – a concise formulation within a theoretical growth model is still missing. This paper in general tries to uncover the link between own- and neighbour-related regional entrepreneurial activity in innovation and regional growth within a spatial semi-endogenous growth model in the spirit of Jones (1995) reflecting recent empirical findings on entrepreneurial activity for economic growth. The paper derives an explicit solution for the transitional as well as for the balanced growth path level of ideas.
    Keywords: entrepreneurship, economic growth, innovation, knowledge spillover
    JEL: M13 O31 R5
    Date: 2011–06
  4. By: Peter Huber (WIFO); Harald Oberhofer; Michael Pfaffermayr (WIFO)
    Abstract: Based on a structural model for initial firm size, survival and firm growth we estimate firm-specific transition probabilities between size classes of the firm size distribution. This allows an assessment of the impact of different (counterfactual) economic policy measures on intra-distribution dynamics of the firm size distribution. We find that policies increasing the life span of firms reduce the exit hazard of young firms, but also reduce the probability to be a Gazelle. An increase in the industry-wide entry rate increases the exit hazards of incumbent firms and has no strong impact on the likelihood of firms to become Gazelles. Increasing market growth, by contrast, decreases the exit hazards for incumbent firms and slightly increases the likelihood of firms to be Gazelles. Finally, an increase in the birth size of firms increases the probability of young firms to be Gazelles with strongest effects for the smallest firms.
    Keywords: Firm growth, survival, entry size, Gazelles, economic policy
    Date: 2011–05–31
  5. By: Rizea (Pirnea), Ionela Carmen
    Abstract: Economists argue that the SME sector is the most important Romanian economy and also the only sector that can bring economic recovery. The entrepreneurs are the key to economic recovery and stimulates the enhancement of SMEs to contribute to ensuring economic growth resources in difficult times. Paper aims to reflect the impact of global economic crisis on the number of SME development in Romania. The article is based on an analysis of research conducted by the Doing Business Report 2010, at the level of 183 countries worldwide. Article highlights the performance of the business environment in Romania, according to Romania's position on the indicators evaluated in the league.
    Keywords: performance; economic crisis; SMEs; indicator
    JEL: L25
    Date: 2011–05–09

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