Adjustment strategies and business success in minority-owned family firms

2015 ◽  
Vol 18 (1) ◽  
pp. 9-26 ◽  
Author(s):  
Yoon G. Lee ◽  
Margaret A. Fitzgerald ◽  
Kenneth R. Bartkus ◽  
Myung-Soo Lee
Keyword(s):  
African American ◽  
Mexican American ◽  
Minority Business ◽  
Business Owners ◽  
Korean American ◽  
Business Success ◽  
American Business ◽  
Family Needs ◽  
Adjustment Strategies ◽  
Minority Business Owners

With data from the 2003 and 2005 National Minority Business Owners Survey, we examined the extent to which minority business owners differ from nonminority business owners in their reported use of adjustment strategies, and the relationship between the use of adjustment strategies and perceived business success. The sample consisted of 193 African American, 200 Mexican American, 200 Korean American, and 210 white business owners. Mexican American and Korean American business owners reported higher levels of adjustment strategy use than African American and white business owners. The ordinary least squares show that reallocating family resources to meet business needs and reallocating business resources to meet family needs were negatively associated with perceived business success, whereas hiring paid help was positively associated with perceived business success.

scholarly journals African-American Business Ownership: Strength In Numbers, But Where?

2011 ◽  
Vol 21 (1) ◽  
Author(s):  
Donna K. Cooke
Keyword(s):  
African American ◽  
Urban Communities ◽  
Minority Business ◽  
Future Research ◽  
Business Success ◽  
American Business ◽  
State Governments ◽  
Broward County ◽  
Location Patterns ◽  
Minority Business Owners

<p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt; mso-layout-grid-align: none;"><span style="font-size: 10pt; mso-bidi-font-style: italic;"><span style="font-family: Times New Roman;">Federal and state governments have seen fit to create <span style="color: black;">enterprise and empowerment zones which benefit community redevelopment.<span style="mso-spacerun: yes;">&nbsp; </span></span>Are these areas good for minority businesses?<span style="mso-spacerun: yes;">&nbsp; </span>Data from Broward County, Florida show that African-American owned businesses tend to be in ethnic communities.<span style="mso-spacerun: yes;">&nbsp; </span>They also tend to be in enterprise zones moreso than the other groups, and less likely than women-owned businesses to be in industry clusters.<span style="mso-spacerun: yes;">&nbsp; </span>The findings, if replicated in other diverse urban communities, have implications for potential minority business owners.<span style="mso-spacerun: yes;">&nbsp; </span>Future research should address whether the differences in location patterns are related to business success.</span></span></p>

AMERICA'S LARGEST BLACK-OWNED COMPANIES: A 30-YEAR LONGITUDINAL ANALYSIS

2007 ◽  
Vol 12 (03) ◽  
pp. 323-338 ◽  
Author(s):  
MATTHEW C. SONFIELD
Keyword(s):  
Longitudinal Analysis ◽  
Small Businesses ◽  
Survival Rates ◽  
Minority Business ◽  
Black Business ◽  
Business Owners ◽  
Business Success ◽  
Minority Businesses ◽  
American Black ◽  
Minority Business Owners

This article investigates the largest American black-owned companies over a 30-year period, from 1974 to 2004. Trends with regard to the growth and decline of industry categories and of individual companies, and with regard to these companies' survival rates, are analyzed. Comparable survival rates of small businesses in general, of minority businesses, and of large corporations are investigated. The important factors of corporate minority procurement programs and government minority set-aside programs are evaluated. The phenomenon of large American corporations acquiring some of the most successful black-owned businesses is also studied. These various factors relating to black business success and failure lead to a range of implications and recommendations for current and aspiring minority business owners, as well as to consultants to and researchers of minority business.

PERFORMANCE OF NEWLY-FORMED MICRO FIRMS: THE ROLE OF CAPITAL FINANCING IN MINORITY-OWNED ENTERPRISES

2012 ◽  
Vol 17 (03) ◽  
pp. 1250014 ◽  
Author(s):  
ROWENA ORTIZ-WALTERS ◽  
MARK GIUS
Keyword(s):  
Minority Business ◽  
Business Owners ◽  
Kauffman Firm Survey ◽  
Firm Profitability ◽  
Black Entrepreneurs ◽  
Capital Financing ◽  
Minority Business Owners ◽  
The Impact ◽  
Minority Entrepreneurs

We sought to ascertain whether newly-formed micro firms owned by minority entrepreneurs would be as likely to be profitable or not when compared to non-minority business owners. Additionally, we placed special emphasis on the impact of equity and debt to determine if capital financing influences firm profitability the same or differently for minority as compared to non-minority owned micro firms. Using longitudinal data from the Kauffman Firm Survey, micro firms owned by Hispanic and Black entrepreneurs were less likely to be profitable than non-minority owned micro firms, whereas profitability differences were not found between the latter and Asian-owned micro firms. Moreover, Hispanic and Black-owned micro firms that made use of personal debt were more likely to be profitable than those using only equity to finance operations. Asian-owned micro firms that utilized business debt were more likely to earn a profit than those solely using equity. Alternatively, non-minority owners benefited in terms of profitability from the use of both personal and business debt. Implications of these findings for minority entrepreneurship are discussed.

MINORITY BUSINESS NETWORKS AS SOURCES OF SOCIAL CAPITAL FOR MINORITY FIRMS

2013 ◽  
Vol 18 (03) ◽  
pp. 1350019 ◽  
Author(s):  
IAN Y. BLOUNT ◽  
DELMONIZE A. SMITH ◽  
JAMES A. HILL
Keyword(s):  
Social Capital ◽  
Resource Dependence ◽  
Minority Business ◽  
Business Owners ◽  
Business Networks ◽  
Business Network ◽  
Relative Value ◽  
The Social ◽  
Minority Business Owners ◽  
Resource Dependence Perspective

Much of our understanding concerning minority-owned firms is based on nascent entrepreneurial businesses. Therefore, it is difficult to answer the question of how a minority-owned firm's age and size may influence the social capital derived from a minority business network. We utilize a resource-dependence perspective to hypothesize that the social capital derived from participation in a minority business network will be negatively related to the minority-owned firm's age and size. We find that firm size (as measured by revenue and number of employees) is negatively related with social capital derived from the minority business network. Our findings may help minority business owners understand the relative value of membership in minority business networks before committing limited resources.

National Minority Business Owners Surveys: Presentation

2007 ◽  
Author(s):  
Elissa B. Grossman ◽  
Edward G. Rogoff ◽  
Myung-Soo Lee ◽  
Ramona Heck
Keyword(s):  
Minority Business ◽  
Business Owners ◽  
National Minority ◽  
Minority Business Owners

Sampling Minority Business Owners and Their Families: The Understudied Entrepreneurial Experience

2008 ◽  
Vol 46 (3) ◽  
pp. 422-455 ◽  
Author(s):  
Alvin N. Puryear ◽  
Edward G. Rogoff ◽  
Myung-Soo Lee ◽  
Ramona K. Z. Heck ◽  
Elissa B. Grossman ◽  
...  
Keyword(s):  
Minority Business ◽  
Business Owners ◽  
Entrepreneurial Experience ◽  
Minority Business Owners

FINANCIAL INTERMINGLING IN KOREAN-AMERICAN AND MEXICAN-AMERICAN SMALL BUSINESSES

2009 ◽  
Vol 14 (03) ◽  
pp. 297-310 ◽  
Author(s):  
GEORGE W. HAYNES ◽  
JOSEPH I. ONOCHIE ◽  
MYUNG-SOO LEE ◽  
AlVIN N. PURYEAR ◽  
EDWARD G. ROGOFF ◽  
...  
Keyword(s):  
Small Business ◽  
Ethnic Groups ◽  
Rural Areas ◽  
Small Businesses ◽  
Mexican American ◽  
English Language ◽  
Business Owners ◽  
Korean American ◽  
Financial Resources ◽  
Small Business Owners

This study explores the financial intermingling behavior of Mexican-American and Korean-American owned and operated small businesses. It posits that ethnically-owned and -operated small businesses with strong familial ties and more limited access to financial capital are more likely to intermingle financial resources than other small businesses. Mexican-American small business owners typically have very strong familial ties, while Korean-American small business owners typically have very strong community ties. Perhaps more importantly, Mexican-American small business owners have less access to pools of community capital than Korean-American small business owners. Therefore, it is expected that Mexican-American small business owners are more likely to intermingle financial resources than Korean-American small business owners. Even when controlling for the time in United States and English language spoken in the household, this study suggests Mexican-American small business owners are more likely to intermingle financial resources than Korean-American small business owners. Within these two ethnic groups, similar factors contribute to intermingling. Small business owners living in rural areas and borrowers are more likely to intermingle financial resources for both ethnic groups.

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