Journal of Entrepreneurship in Emerging Economies

Andras, Iryna

2020 Journal of Entrepreneurship in Emerging Economies

doi: 10.1108/jeee-05-2017-0039

The aim of the study is to determine the key development stages of small entrepreneurship in Belarus depending on the impact of reformative activity of authorities on socio-innovative activity of entrepreneurs. Also we seek to determine the projective behavioral strategies of entrepreneurs in the context of contradictory socio-economic processes in Belarus.Design/methodology/approachHistorico-sociological approach to the development of small entrepreneurship in Belarus is based on the analysis of books, articles, official documents and official statistics available mostly in the Russian and Belarusian languages. Expert survey is used as the most effective method of survey to predict further development of small entrepreneurship. Within the framework of the activity-structure concept, (T. Zaslavskaya) combination of both approaches allows presenting quantitative and qualitative changes in business structures in order to coordinate socio-economic progress.FindingsIn Belarusian transition economy the reformative activity of the authorities is absolutely dependent on politico-administrative influence. That is why the behavioral strategies of entrepreneurs are formed as reaction-adaptive behavior under mounting pressure of state policy.Research limitations/implicationsThe results are primarily applicable for post-Soviet republics and countries with transition economy.Practical implicationsThis paper implies that in post-Soviet economies like Belarus socio-economic integration of entrepreneurs is overly dependent on politico-administrative activity of the authorities.Originality/valueThis study includes two approaches: historico-sociological and expert survey as a forecasting method. This sociological approach gives the opportunity to characterise the continuity in behavioral strategies of entrepreneurs.

Krasniqi, Besnik; Branch, David

2020 Journal of Entrepreneurship in Emerging Economies

doi: 10.1108/jeee-05-2017-0034

The quality of institutions matters for firm growth. Yet, there is a research gap in controlling for moderating effect of size on institutions and firm growth in transitional context and especially in post-conflict economies. Building on institutional theory, this research aims to explore the influence of different types of institutional variables (taxes, corruption, administrative, finance and other barriers) on the growth of firms in Kosovo, while controlling for the firm size moderating effect.Design/methodology/approachThe research uses linear regression analysis based on a survey with 451 owner-managers of growing small firms in the post-conflict economy of Kosovo.FindingsCorruption and administrative burden are crucial factors that influence firm growth. Corruption is found to have a negative effect, and when moderated by the size of the firm, it becomes positive, suggesting that larger firms make use of informal institutions and create links with public officials to manage institutional deficiencies. This size interaction with administrative barrier variables becomes positive. Other control variables (export status, separation of ownership and control, membership in business association) suggest that managerial-level variables have a positive impact on firm growth. The human capital variable specifically indicates that companies compensate for a deficiency in formal education by providing additional training for employees and their managers.Research limitations/implicationsFuture research based on qualitative research can contribute to a greater understanding of how larger firms use resources to overcome barriers, and to align their business strategies in the weak post-conflict environments.Originality/valueThis research extends current understanding of how institutional variables interact with firm size and impact firm growth. It also provides implications for policymakers and entrepreneurs/managers for improving the growth of SMEs, and for aligning firms with the institutional environment in post-conflict countries.

Shi, Liangxing; Yao, Xinying; Wu, Wenqing

2020 Journal of Entrepreneurship in Emerging Economies

doi: 10.1108/jeee-04-2019-0040

The study clarifies the relationship between students’ perceptions of university support and heterogeneous entrepreneurial intentions in the Chinese context. It proposes a new construct with the classification of growth- and independence-oriented intentions and examines the moderating role of the Chinese sense of face. This study aims to enrich entrepreneurship education research by incorporating cultural factors.Design/methodology/approachThe study uses a questionnaire survey to examine the research hypotheses. Further, the authors collected data from 374 students from Mainland China and applied a regression analysis.FindingsThe study clarifies the positive relationship between perceived university support and growth-oriented/independence-oriented entrepreneurial intentions. Further, it proposes the differences in the moderating role of the Chinese sense of face in the relationships between entrepreneurial self-efficacy and growth- and independence-oriented intentions.Research limitations/implicationsBecause of the chosen method, the study results may lack generalizability. Hence, future studies are encouraged to test the proposed hypotheses.Practical implicationsThe study results have important implications for entrepreneurship education development.Social implicationsThe study is conducted against the background of the “mass entrepreneurship and innovation” policy in China and combines country-specific characteristics to enrich entrepreneurial education and social entrepreneurship.Originality/valueThis study fulfills the intention to examine the influence of cultural factors on entrepreneurship education and identify the heterogeneous entrepreneurial intentions in a single construct.

Kussudyarsana, Kussudyarsana; Soepatini, Soepatini; Maimun, Muhammad Halim; Vemuri, Ram

2020 Journal of Entrepreneurship in Emerging Economies

doi: 10.1108/jeee-10-2018-0108

The purpose of this study is to investigate factors that influence the application of governance mechanism in family small and medium-sized enterprises (SMEs) in Indonesia.Design/methodology/approachThis study used multiple regression analysis to examine the hypothesis. For data collection, questionnaires were distributed to 337 owners and managers of SMEs around 7 districts in Java Island in Indonesia.FindingsThe result indicates that uncertainty influences the application of formal governance in family SMEs in Indonesia. Meanwhile, asset specificity has impact on both formal and relational governance in the context of firms. Financial and non-financial objectives did not impact both formal and relational governance.Research limitations/implicationsThough this research was carried out in a particular cultural context, this study was not specifically designed to examine the interaction between cultural variables and family corporate governance variables. In the future, there is need for a study that examines how culture can influence the practice of formal and relational governance in family business.Practical implicationsThe study will give guidance to owners or managers of family business in terms of governance mechanism when uncertainty increases. This evidence suggests that family firms need to adopt formal governance within family firms when uncertainty exists.Social implicationsThe research finding indicated that uncertainty influenced the application of formal governance in family SMEs in Indonesia. This research finding suggests that family firms need to adopt formal governance when uncertainty exists. The adoption of formal governance, however, may implicate to some others organizational areas in family firms such as leadership, recruitment and selection and corporate culture.Originality/valueThis study is one of the few on family SMEs, which applied the transaction cost theory. Most of the studies use agency theory for investigating governance mechanism in the family business. This study is one of the few on family SMEs, which applied the transaction cost. This study provides an explanation about a factor that influences a family firm to choose formal and relational governance within the firm.

Buckman, Jocelene; Jones, Paul; Buame, Samuel

2020 Journal of Entrepreneurship in Emerging Economies

doi: 10.1108/jeee-11-2018-0124

This paper aims to create a connection between entrepreneurial learning and succession planning in family-owned businesses (FOB), and how they work together to improve a firm’s chances of survival beyond the founder within a Ghanaian context.Design/methodology/approachThrough a phenomenological study, this work investigates succession planning processes in FOB, with the objective of developing a succession model suitable for the Ghanaian context. Using a constructivist perspective, six family businesses were studied, interviewing the founder, successor, family members, employees and customers therein.FindingsExisting knowledge has been confirmed that succession is not a one-off event, but a process that takes place over time, requiring the buy-in of not just the founder and successor, but also other stakeholders, including the successor’s siblings and spouse (if any), whose support is imperative to the success of the process. This study reviewed and synthesised relevant research data into a conceptual framework.Research limitations/implicationsThis study can potentially inform the basis of a longitudinal study, using the developed framework to confirm its robustness. It can also inform further quantitative research to validate the generalisability of the framework.Practical implicationsThe study contributes to FOB practice, the holistic succession model spanning the founder’s entry into the business, to the post-succession period, and incorporating contextual intervening variables such as polygamy, religion and systems of inheritance, while also contributing to theory by proposing a comprehensive succession process theory to enhance understanding of the process.Originality/valueThe study contributes increased understanding of the essential elements in the succession process in an African context, what appropriate measures can be implemented for effective succession outcomes, and how key stakeholders of the business can be effectively managed as part of overseeing the succession process for positive organisational outcomes.

Salisu, Isyaku; Hashim, Norashidah; Mashi, Munir Shehu; Aliyu, Hamza Galadanchi

2020 Journal of Entrepreneurship in Emerging Economies

doi: 10.1108/jeee-02-2019-0025

The purpose of this paper is to examine the effect of grit (consistency of interest and perseverance of effort) on entrepreneurial career success (career satisfaction, perceived career achievement and perceived financial attainment) through the role of resilience.Design/methodology/approachThe study was cross-sectional, and the data were collected using questionnaires from 111 entrepreneurs in Nigeria who have been in business for over five years and were selected using purposive sampling technique. The study used Smart-PLS to assess the measurement and structural model.FindingsThe perseverance of effort was related to all the aspects of career success as well as resilience. But consistency of interest was positively related to only perceived financial attainment. It also predicted resilience. Resilience was also related to all the facets of career success. All three mediation hypotheses were supported.Research limitations/implicationsThe study delivered fascinating understandings into the structures of grit. The Western conceptualisation of grit may not be valid in a collectivist society where consistency is not that very much considered.Practical implicationsThe study helps to further validate grit in the entrepreneurship field; the construct is a facilitator of entrepreneurial action and an indispensable source of energy that can revitalise the entrepreneur along the arduous road to success.Originality/valueThe two components of grit can have a dissimilar influence on different outcomes – as prior investigations, although recognising that the two components are conceptually dissimilar, have rarely studied them so empirically.

Liu, Tiantian; Walley, Keith; Pugh, Geoff; Adkins, Paul

2020 Journal of Entrepreneurship in Emerging Economies

doi: 10.1108/jeee-01-2019-0006

The purpose of this study is to generate insight into the effects of entrepreneurship education in China by conducting a preliminary scoping study of the enterprising tendency of university students studying business.Design/methodology/approachThis study used a self-administered questionnaire based on the General Measure of Enterprising Tendency v2 (GET2) test to measure the enterprising tendency of a group of Chinese university students. Decision trees, using the Chi-square automatic interaction detector (CHAID) approach, and multiple regression analyses were used to investigate the enterprising tendency of respondents.FindingsThe findings from this study indicate that the students have an overall medium level of enterprising tendency and strengths in some enterprising characteristics. The findings reveal that gender, family business, hometown and entrepreneurship education are significantly related to enterprising tendency but that age, household income, parents’ education and occupation are not.Research limitations/implicationsAlthough the study is based on a relatively small sample taken from just one university in Beijing, the findings suggest that the enterprising tendency of students can be encouraged by entrepreneurship education. Combined with evidence that entrepreneurship education is at a relatively early stage of development in China, this finding suggests considerable scope to increase student’s enterprising tendency by extending, creating a more favourable environment for and improving the methods used to deliver entrepreneurship education. Enterprising tendency can be argued to naturally result in entrepreneurial intention; however, this extension is beyond the scope of this study, which is restricted to the analysis of enterprising tendency.Originality/valueThis study makes an original contribution to knowledge as it is one of the first studies to explore enterprising tendency among university students in China. It has value for government, policymakers and university program designers in that it provides direction for entrepreneurship education in China.