Beyond embedded or not embedded: immigrant entrepreneurs’ embeddedness levels

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Uǧur Yetkin ◽  
Deniz Tunçalp

Purpose This paper aims to review the immigrant entrepreneurship literature to locate how researchers consider embeddedness to home and host countries beyond the “embedded” or “not” dichotomy. Design/methodology/approach The paper conducts a systematic literature review. The authors found 106 articles in the Scopus and Web of Science databases, using a structured search and selection protocol. Findings Few articles perceive embeddedness openly as a gradual phenomenon. However, articles in the review use different approaches for considering relative levels of embeddedness, such as depth of social ties. In addition, some articles take a dual perspective or make multi-contextual comparisons to acknowledge immigrant entrepreneurs’ embeddedness levels. These articles emphasise embeddedness as a gradual phenomenon to understand the complexity of immigrant entrepreneurs’ contextualisation better. Based on the review, the paper develops a model, considering embeddedness as an emergent result of the immigrants’ engagement with spaces, networks, markets and institutions of a given home or host context. It also accounts for the dynamic interaction between contextual factors as embeddedness levels change. Research limitations/implications The paper has located all relevant papers in the used databases. However, the systematic review protocol naturally limits its scope. Nevertheless, the developed model based on the review helps researchers develop a more comprehensive understanding of embeddedness and possibly ask novel questions. Social implications This paper can help policymakers improve their policies for the progressive social integration of immigrants, as it helps consider different embeddedness levels. Originality/value Researchers mainly consider individuals’ embeddedness as either “embedded” or “not.” However, we can also understand embeddedness at various levels, e.g. partial, increasing/decreasing and gradual. Significant changes occur in the embeddedness of individuals during immigration. Additionally, contextual relations intertwine immigrants’ entrepreneurial activity over time. The paper reviews embeddedness in the immigrant entrepreneurship literature, searching beyond the dichotomic use of embeddedness. Then, it develops a theoretical understanding of embeddedness levels.

2020 ◽  
Vol 12 (16) ◽  
pp. 6478
Author(s):  
Henrik Barth ◽  
Ghazal Zalkat

Immigrant entrepreneurs face many challenges in the various early phases of their companies’ existence. These challenges are often referred to as “the liability of newness”. While some of these challenges are common to all entrepreneurs, the immigrant entrepreneur has an additional set of challenges. This article describes those challenges in the immigrant entrepreneurial experience in the Swedish agri-food industry. A qualitative research design is used. Interviews were conducted with 25 immigrant entrepreneurs who planned a business, had started a business, or had exited a business. Various websites and tax reports provided secondary data. The research, which covered a two-year time frame, identifies the strategies and actions the immigrant entrepreneurs adopted and used to try to overcome those challenges. The following strategies and actions were identified: use of business support, virtual embeddedness, family and ethnic groups, entrepreneurial experience, and niche markets. The companies in which the entrepreneurs recognized the gravity of those challenges early in their life cycle were more likely to survive beyond the start-up phase. The article, which also reviews much of the current literature on immigrant entrepreneurship, has implications for business support advisory services and policymakers who are involved in the effort to achieve economic (and social-cultural) integration of immigrants into their host countries.


Author(s):  
Chibwe Chisala

This chapter enriches the knowledge base on immigrant entrepreneurship and outlines the critical role immigrant entrepreneurs play in socio-economic settings of African communities. It particularly investigates the contributions of immigrant entrepreneurship to Zambia's economic development. The chapter is anchored on the embedded mixed theory and an African humanist philosophy of Ubuntu. It tries to change the perception of the native citizens towards immigrants as such, avert the social challenges that immigrants encounter in host countries such as xenophobia or afrophobia. By employing a qualitative methodology approach, the chapter argues that immigrant entrepreneurs have had a positive impact on Zambia's socio-economic development through the creation of jobs, transfer of skills and competences. The chapter recommends that immigrant entrepreneurship should be supported and mainstreamed into national economic development policies of African countries.


2015 ◽  
Vol 21 (2) ◽  
pp. 154-174 ◽  
Author(s):  
Yasemin Soydas ◽  
Torgeir Aleti

Purpose – The purpose of this paper is to examine the key differences between first- and second-generation immigrant entrepreneurs in their path to entrepreneurship. The aim of the study is to better understand entrepreneurial motivations amongst immigrants by comparing first- and second-generation entrepreneurs in their motivation for business entry, reliance on co-ethnic market, use of social and financial capital, business planning and marketing practices. Design/methodology/approach – Using an interpretivist approach and a qualitative design, this study comprises 20 in-depth interviews with first- and second-generation Turkish entrepreneurs (TEs) in Melbourne, Australia. Turks in Australia were chosen because of their high level of entrepreneurial activity. In order to uncover deep-seeded motivations, participants were interviewed in a face-to-face format guided by a semi-structured interview guide. Findings – The second-generation TEs were distinctively different from their first-generation counterparts in motivation for business entry, business establishment and use of ethnicity. The analysis shows that although the generations differ in their approach to business establishment, they both appear to be drawn to entrepreneurship based on “pull factors”. This is in contrast with previous literature suggesting that first-generation immigrant entrepreneurs were motivated by “push factors”. Originality/value – This paper suggests that both first- and second-generation immigrant entrepreneurs are “pulled” into entrepreneurship voluntarily. While the first-generation entrepreneurs seem to be motivated/pulled by financial reasons, the second generation are motivated by opportunity recognition, status and ambition. Nevertheless, a lack of trust in government support agency is found within both generations. Thus, outreach activities towards entrepreneurial immigrant communities may have positive effects for the economy as well as in the integration of ethnic enclaves.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Beata Glinka ◽  
Przemysław G. Hensel

PurposeThe phenomenon of imitation has attracted immense attention in studies of big companies, but it has been largely neglected in the immigrant entrepreneurship research thus far. The purpose of this paper is to address that gap by proposing a theoretical framework for studying immigrant entrepreneurship imitation decisions.Design/methodology/approachThe framework is based on a review of relevant literature covering the issue of imitation within three perspectives: institutional, heuristics of judgement and organisational learning. We validate the framework by juxtaposing it with existing studies on immigrant entrepreneurship, where imitation practices were directly and indirectly referred to. The framework is also initially validated with data from three qualitative studies performed by the authors.FindingsThe literature-derived framework consists of three major building blocks (i.e. causes, target and content of imitation) while immigrant-entrepreneurship specificity (ethnic groups and clusters, ethnic identity, generation, and resources) constitutes the context of the framework. The authors formulate 12 propositions on which the framework is based. The specific character of immigrant entrepreneurs' imitation decision is discussed, and differences in that regard between immigrant entrepreneurs and established local businesses are highlighted.Research limitations/implicationsA more diversified sample and quantitative studies are needed to further verify the proposed framework and propositions.Social implicationsThe framework is intended to expedite future research on immigrant entrepreneurs' imitative decisions and facilitate better-adjusted public policy to support immigrant entrepreneurs.Originality/valueThis paper drives attention to a widely used, yet understudied phenomenon of imitation, provides an analytical framework for the study of imitation in immigrant entrepreneurship, provides a preliminary validation of the framework and contributes to a better understanding of immigrant behaviour.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Carson Duan ◽  
Kamaljeet Sandhu ◽  
Bernice Kotey

PurposeGiven the importance of immigration and immigrant entrepreneurs in advanced economies, the authors take an entrepreneurial ecosystem perspective to study the home-country benefits possessed by immigrant entrepreneurs and how home-country entrepreneurial ecosystem factors affect immigrant entrepreneurial motivations, activities and outcomes.Design/methodology/approachThis conceptual research paper follows McGaghie, Bordage and Shea's (2001) four-step new theory creation process, which suggests that new theories can be created through facts extraction from the extant literature.FindingsThe authors propose that although immigrant entrepreneurs are unable to take full benefit of the host-country entrepreneurial ecosystem due to blocked mobility, they do have capabilities to access and use their home-country entrepreneurial resources and opportunities. The authors further propose that home-country entrepreneurial capital can be systemically analyzed through the framework of the entrepreneurial ecosystem. The results imply that immigrant entrepreneurship as a social and economic phenomenon can be studied more holistically from both host- and home-country perspectives compared to the traditional research boundary of the host-country only.Research limitations/implicationsThe research focuses on the identification of home-country effects on immigrant entrepreneurship through the lens of the entrepreneurial ecosystem. Testable propositions provide directions for future empirical research on the field of immigrant entrepreneurship from a home-country perspective. The research concludes that a holistic immigrant entrepreneurship study should consider dual (host- and home-country) entrepreneurial ecosystems.Practical implicationsImmigrant entrepreneurs benefit from both host- and home-country entrepreneurial ecosystems. This paper suggests co-effects of dual entrepreneurial ecosystems lead to a high rate of entrepreneurship and business success within some immigrant groups. Policymakers can increase economic activities by developing and deploying programs to encourage immigrants to embed in host- and home-country entrepreneurial ecosystems.Originality/valueBased on the framework of the entrepreneurial ecosystem, this paper brings a novel perspective to examining home-country effects on immigrant entrepreneurship. It theoretically conceptualizes that immigrants have higher entrepreneurship rates than native-born populations because they have access to extra home-country entrepreneurial capital.


Author(s):  
Olga Stangej ◽  
Inga Minelgaite ◽  
Kari Kristinsson ◽  
Margret Sigrun Sigurdardottir

Purpose The purpose of this paper is to examine how prejudice in a post-migration labor market can be mitigated, specifically, whether education received in the host country can serve as a signal of social integration for immigrant workers in employment settings. Design/methodology/approach The authors conducted an audit discrimination study, using an experimental setup to examine the interplay between prejudice and education as a signal of the social integration of immigrants in employment settings. Findings The results of the study indicate that signals of social integration, such as, qualifications acquired in the host country through education, counter prejudice against Polish immigrants in Iceland. Research limitations/implications The study provides evidence that immigrants are subjected to prejudice that can restrain their employment opportunities. The acquisition of education in the host country can mitigate this effect, but also diminishes the line between social integration and assimilation. However, the study is limited by a relatively small sample size and a single-country context. Practical implications The study offers insights for both countries and organizations worldwide that are facing the need to successfully embrace a mobile workforce and the challenge of a diverse workforce composition. Originality/value The study addresses the under-researched effects of education on human capital transferability in the host labor market. More specifically, it uncovers that the differentiation between education acquired in the home country and education acquired in the host country is a signal that can mitigate prejudice and its effects on the employment of immigrants in the host countries.


2020 ◽  
Vol 27 (4) ◽  
pp. 579-605
Author(s):  
Claudia Gomez ◽  
B. Yasanthi Perera ◽  
Judith Y. Wesinger ◽  
David H. Tobey

PurposeThe social capital used to access ethnic community resources is widely recognized in the literature as being important for immigrant entrepreneurship. However, there is limited knowledge regarding the extent to which immigrant entrepreneurs' agency, specifically their motivations, influence their use of, and contributions to, their ethnic social capital. In this paper, the authors explore this relationship.Design/methodology/approachBased on a qualitative approach, this research utilizes semi-structured interviews and thematic analysis to identify the motivations, sources and effects of ethnic social capital.FindingsThis research indicates that immigrant entrepreneurs have mixed motives when engaging with their ethnic communities. The findings suggest that the immigrant entrepreneurs' social capital–mediated interactions within their ethnic community are driven not only by the social structure but that their agency, specifically their motivations, play an important role in them. While entrepreneurs hold mixed motives, they recognize the importance of business success. Thus, they make concessions to their ethnic community and utilize its resources if doing so benefits their business.Research limitations/implicationsThis research explores the role that immigrant entrepreneurs' motivations play in how they use and contribute to immigrant community social capital. By doing so, this study brings agency to the forefront of the discussion on immigrant entrepreneurship and social capital.Practical implicationsThis study provides insight into the connection between the extent to which immigrant entrepreneurs utilize and contribute to their ethnic community's social capital, their motivations for doing so and the effect that these factors have on the businesses as well as their ethnic communities. This understanding might be useful for organizations seeking to foster immigrant entrepreneurship as well as for entrepreneurs themselves.Originality/valueIndividuals' motivations as they relate to social capital involve a variable that is rarely, if ever, considered – that is, individual agency. Thus, this research contributes this perspective to the immigrant entrepreneurship literature but also more broadly to the social capital and entrepreneurship fields. This research can be extended to understand the impact of entrepreneurs' motivations on the communities in which they are embedded.


2021 ◽  
Vol 0 (0) ◽  
Author(s):  
Hamizah Abd Hamid ◽  
Abu Hanifah Ayob ◽  
Farhana Sidek ◽  
Zizah Che Senik

Abstract The purpose of this paper is to explore the way immigrant entrepreneurs (IEs) capture transnational opportunities in their home and host countries. Through an identity lens, this study adopts a qualitative approach in examining transnational entrepreneurship activities conducted by IEs from three countries (Indonesia, Pakistan and South Korea [henceforth Korea]) in one host country (Malaysia). The findings indicate that IEs’ home-host country identities enable them to recognize and exploit entrepreneurial opportunities in multiple countries through unique resources difficult to be imitated by competitors in their home and host countries. This paper contributes to the international entrepreneurship literature by introducing an identity-sensitive model of immigrant entrepreneurship in transnational spaces which will be useful for policy and practice concerning trade and migration.


Author(s):  
Mai Camilla Munkejord

Purpose This paper aims to address the rural and gender gaps in the immigrant entrepreneurship literature by exploring the start-up stories of 18 female immigrants who currently run a business in northernmost Norway. Design/methodology/approach The paper is based on a qualitative fieldwork including business visits and in-depth interviews. The transcripts from the interviews were analysed using a constructivist grounded theory (CGT) approach. Findings Four modes of entry to entrepreneurship were identified: entrepreneurship as a way out of unemployment; entrepreneurship as a means to avoid underemployment, entrepreneurship as a means to live in a region of perceived attraction; and entrepreneurship as a preferred choice for women in satisfactory wage labour. In addition, the paper reveals the importance of family support and of spatial embeddedness among immigrant entrepreneurs living in a rural context. Practical implications This study notes that the modes of entry to rural immigrant entrepreneurship are diverse, but that they are often partly related to the pursuit of an initial feeling of belonging in the new region of settlement. Hence, developing the knowledge of how to not only attract but also retain and increase the feeling of local belonging of immigrants may be important for many rural regions in the Western world. This is because rural immigrants not only represent a much needed in-flow of younger people in a typically decreasing and ageing population but also entail cultural variation and job creation, thus contributing to place development. Social implications The paper argues for the importance of considering immigrant entrepreneurs as significant actors of rural development. Originality/value While immigrant entrepreneurship has emerged as an important field of study, it has been criticised for focusing predominantly on men and for neglecting contextual variations in the analysis. The rural context especially has been largely omitted. By focusing on female immigrants having established a business in a rural context, the paper adds to the literature, firstly, by highlighting the experiences of female immigrant entrepreneurs. Secondly, it reveals that rural immigrant entrepreneurship cannot be conceived in terms of “ethnic resources” or “enclave economy” that are often central explanatory dimensions in megacity studies. Thirdly, it argues for the importance of considering both the spatial as well as the family contexts in the author’s theoretical conceptualizations of the (immigrant) entrepreneurial start-up phase.


Author(s):  
Abu Hanifah Ayob ◽  
Abrar Ali Saiyed

Purpose The paper is grounded in a comparatively unexplored but growing research interest, which seeks to explain the effect of a country’s religious composition on its economic activity. As an extension of that, this study aims to examine the relationship between Muslim populations and the prevalence of entrepreneurial activity across nations. Integrated with institutional theory, the authors also consider formal and informal institutional variables as contingency factors in this milieu. So, it further investigates if the strategic intervention of formal and informal institutions moderates the relationship between religion and entrepreneurship. Design/methodology/approach This study uses multi-source data sets from the association of religious data archive, global entrepreneurship monitor and the World Bank. The sample includes 88 countries for analysis, aggregated from 2012 to 2014. The ordinary least squares regression using statistical package for the social sciences (SPSS) Statistics Version 26 is used for the analysis. Findings The findings show that Muslim populations are negatively associated with the rate of new business activities in a country, including the formal type of entrepreneurship. However, further analysis reveals that Muslims entrepreneurship is actually driven by necessity and not by opportunity. Practical implications The regulatory environment and entrepreneurial culture are not enough to overcome resistance toward entrepreneurship among Muslims. One possible practical recommendation is to empower religious institutions to preach a clear message supporting participation in economic activities. Social implications This research sheds light on the discrepancy between Islamic religious teaching and eventual behavior of the followers. Originality/value This research contributes to both academics and practitioners in several ways. First, it responds to the recent call for more studies on the effect of religious beliefs toward secular organizations by providing empirical evidence on how the prevalence of Muslims in a particular country is associated with levels of entrepreneurship. Second, it adds to the theoretical understanding of the mechanism that explains the relationship between the two. As institutional theory has not been applied extensively in the study of religion and entrepreneurship, it proposes that dynamic institutions play major roles to accelerate or attenuate the effect of Islam on entrepreneurship.


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