scholarly journals The “Fairness Paradox” and “Small-Firm Growth Resistance Strategies”

2015 ◽  
Vol 11 (3) ◽  
pp. 154-175 ◽  
Author(s):  
Farid Ullah ◽  
Robert Smith
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Firm Growth ◽  
Peer Group ◽  
Small Business Owners ◽  
Employment Practices ◽  
Content Type ◽  
Business Context ◽  
The Family ◽  
Small Business Growth

Purpose – The purpose of this paper is to examine and explore why “Small-Businesses” resist employing outside the immediate family and investigate the employee as an outsider and entrepreneurial resource. Design/methodology/approach – The authors review the literature on barriers to small-business growth concentrating on key empirical and theoretical studies. The authors use empirical data from the Federation of Small Business in which informants commented on growth and employing outside the family. Findings – The findings suggest that small business owners adopt a polemical stance, arguing that a barrage of employment regulations deters them from employing outsiders because doing so brings trouble in terms of costs such as insurance, taxes, paperwork, leave (maternity and paternity) entitlement, etc. They argue that employing from inside the family or ones peer group is much cheaper, convenient and less hassle. This ignores the entrepreneurial employee as a potential ingredient of growth and points to a paradox whereby the very values and emotions characterized by fairness of which of “smallness” and “familialness” is composed compound the issues of discrimination central to the debate. Research limitations/implications – The paper offer important insights for growth issues among small businesses and challenge the contemporary equilibrium in terms of small “family-orientated” business philosophy relating to employment practices. Ideologically, the entrepreneur is an “outsider” fighting the establishment, yet paradoxically, in a small-business context s/he becomes the establishment by employing outsiders. This results in the fairness vs unfairness paradox. Originality/value – The paper contributes to the existing knowledge and understanding on growth issues among small businesses by illuminating a paradoxical insider vs outsider tension.

Entrepreneurial motivation and small business growth in Rwanda

2015 ◽  
Vol 7 (3) ◽  
pp. 212-240 ◽  
Author(s):  
Emiel L Eijdenberg ◽  
Leonard J Paas ◽  
Enno Masurel
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Family Background ◽  
Primary Data ◽  
Small Business Owners ◽  
Business Growth ◽  
Developed Country ◽  
Content Type ◽  
Entrepreneurial Motivation ◽  
Small Business Growth

Purpose – The purpose of this study is to investigate the relationship between entrepreneurial motivation and small business growth in one of the poorest emerging countries: the African least developed country (LDC), Rwanda. Design/methodology/approach – On the basis of theoretical resources and a pre-study of interviews with local experts in Rwanda, the authors developed a survey for this study. Based on primary data from 133 Rwandan small business owners, the authors conducted an exploratory factorial analysis to uncover the underlying factors. Subsequently, the authors conducted regression analyses to test the hypotheses. Findings – The analyses show that the predictors for the growth of small businesses can be divided into three factors: one factor with a mix of motivations related to family background, necessity and opportunity motivations; one factor with items predominantly related to opportunity motivation; and one factor with items related to necessity motivation. The first factor has the strongest positive effect on small business growth followed by the second factor. The factor concerning necessity motivation was irrelevant for further inclusion in the regression model, due to insufficient reliability. Research limitations/implications – The study contributes to the debate in the literature about which entrepreneurial motivations affect the growth of small businesses in LDCs. Practical implications – The results reported in this study also have implications for how small business growth in LDCs can be supported and stimulated by policy-making practice. Originality/value – This study shows that entrepreneurial motivation is not a clear distinction between necessity and opportunity, but that a mix of motivations is important to assess the growth of small businesses in an LDC, which is an understudied context.

Decision-making and small business growth in Burundi

2017 ◽  
Vol 9 (1) ◽  
pp. 35-64 ◽  
Author(s):  
Emiel L. Eijdenberg ◽  
Leonard J. Paas ◽  
Enno Masurel
Keyword(s):  
Decision Making ◽  
Small Business ◽  
Firm Growth ◽  
Business Owners ◽  
Primary Data ◽  
Small Business Owners ◽  
Business Growth ◽  
Content Type ◽  
Uncertain Environment ◽  
Small Business Growth

Purpose This paper aims to investigate the effect of decision-making, in terms of the effectuation and causation orientation of small business owners, on the growth of their small businesses in an uncertain environment: Burundi. Design/methodology/approach On the basis of primary data from a pre-study of 29 expert interviews, a questionnaire was developed and was filled in by 154 small business owners in Burundi’s capital, Bujumbura. Subsequently, correlation analyses, a factor analysis and regression analyses were performed to test the hypotheses. Findings While, on the one hand, the findings show that small business owners who perceive the environment as uncertain are more effectuation-oriented than causation-oriented; on the other hand, the findings show that effectuation and causation orientations do not influence later small business growth. Therefore, other determinants for small business growth in an uncertain environment should be further explored. Originality/value This paper fills the research gap of decision-making in relation to small business growth from the entrepreneurs who are among the billion people who live in absolute poverty. On the basis of Western studies, effectuation might be more present in contexts of dealing with many uncertainties of future phenomena, and that it is often positively correlated with firm growth. In contrast, this paper shows that neither an effectuation orientation nor a causation orientation significantly affects small business growth in a context that can be assumed as highly uncertain.

scholarly journals Are international small business owners really that different?

2019 ◽  
Vol 27 (1) ◽  
pp. 92-117
Author(s):  
Sarah Gundlach ◽  
Andre Sammartino
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Business Owners ◽  
Small Business Owners ◽  
Female Entrepreneurs ◽  
Content Type ◽  
Individual Traits ◽  
Tolerance For Ambiguity ◽  
The Impact ◽  
Do So

Purpose The purpose of this paper is to investigate the impact of individual traits and attributes on the entrepreneurial and internationalization actions of Australian businesswomen, many of whom run small businesses. Design/methodology/approach This study is exploratory and quantitative, based on a questionnaire survey of 323 Australian businesswomen. Drawing upon the extant literature on internationalization, gender and entrepreneurship, the study explores two micro-foundational relationships of interest – personality and capability assessment differences between female business owners and their employed counterparts, and the impact of such traits and assessments on their internationalization. A further question is explored in terms of any differentials in perceptions of barriers in internationalization. Findings The findings show key personality dimensions do not differ dramatically between Australian businesswomen working in their own businesses (i.e. entrepreneurs) or as employees in organizations, while there are surprisingly few differences between women who are engaged internationally and those yet to do so. When comparing the female entrepreneurs and employees, in particular, the findings around tolerance for ambiguity and management efficacy are notably counterintuitive. This leads to the development of testable propositions to refine the causal claims in this domain. Practical implications The study calls into question the distinctiveness of entrepreneurs and entrepreneurial endeavors, at least for female businesswomen. Originality/value By including entrepreneurs and employees, women who have engaged internationally and those that are yet to do so, the study avoids some of the potential self-selection and confirmation biases inherent in studies of only entrepreneurs or small business owners. The investigation of individual traits, attributes and experiences as micro-foundations for internationalization motivations challenges existing theories of small business expansion.

IT readiness in small firms

2013 ◽  
Vol 20 (4) ◽  
pp. 807-823 ◽  
Author(s):  
Riccardo Spinelli ◽  
Romano Dyerson ◽  
G. Harindranath
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Small Firms ◽  
Business Owners ◽  
Small Business Owners ◽  
It Adoption ◽  
Content Type ◽  
Management Capability ◽  
And Cluster Analysis ◽  
It Application

Purpose – The aim of the paper is to explore conceptually and empirically the application of the concept of IT readiness to small firms. Design/methodology/approach – The approach taken was a questionnaire administered to small manufacturing business owners in the Liguria region of Italy. Data were analysed using factor and cluster analysis. Findings – IT readiness concept appears valid with the emergence of three constructs: strategic vision; project management capability; and IT application infrastructure. The date analysis yielded four distinctive and varying profiles of small business owners. Research limitations/implications – This quantitative study exploring a cross section of small firms suggests antecedents to change have been ignored relative to IT adoption decisions. Practical implications – Provision of policy and support services requires a much more nuanced approach to small businesses. Originality/value – There are very few studies of IT readiness in the literature, making the paper original in its intent. The construction of the IT readiness concept appears robust when subjected to empirical testing and yields a number of specific small business profiles with respect to IT.

scholarly journals Existence of Licence, Infrastructure, and Energy Recources in Increasing Small Business Capacity in Sidoarjo District in The New Normal 4.0

2020 ◽  
Vol 3 (2) ◽  
pp. 23-35
Author(s):  
I Putu Artaya ◽  
Tubagus Purworusmiardi ◽  
I Gede Arimbawa ◽  
Made Kamisutara
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Renewable Energy Sources ◽  
Energy Resources ◽  
Small Business Owners ◽  
Potential Growth ◽  
New Normal ◽  
Small Business Development ◽  
Infrastructure Provision ◽  
Small Business Growth

This research was conducted in Sidoarjo Regency which has a lot of potential to grow and develop small businesses in three regions that is Krembung, Jabon, and Tulangan. The problem is one of the potential growth and development of small business activities in these three districts which has been supported by increased speed in business licensing, adequate infrastructure and the availability of renewable energy sources (gas) for smooth running and assistance for small businesses in the regions. To prove this, this research requires an increase in licensing, provision and improvement of infrastructure, and energy resources that can support its development activities for small business growth in the new normal 4.0. Of the three regions that were the object of research, at random there were 173 small business owners who were subjected to data collection in the field. As a basis for making decisions in an effort to overcome the above problems, the method used in this study is Crosstabs analysis, to test and determine whether there is a linearity between the potential for small business development with the availability of licensing management facilities, infrastructure provision, and supply of energy resources. the main pillar of the smooth running of small businesses in developing business activities, distribution and marketing of their products. From the test results, it turns out that the three facilities mentioned above, all have a linear relationship with the growth of small businesses in the three districts.

scholarly journals The impact of personal attitudes on the growth ambitions of small business owners

2017 ◽  
Vol 24 (4) ◽  
pp. 850-862 ◽  
Author(s):  
Paul Braidford ◽  
Ian Drummond ◽  
Ian Stone
Keyword(s):  
Small Business ◽  
Critical Realism ◽  
Business Owners ◽  
Perceived Barriers ◽  
Small Business Owners ◽  
Business Growth ◽  
Content Type ◽  
Personal Attitudes ◽  
Small Business Growth ◽  
The Impact

Purpose The purpose of this paper is to provide an empirical evidence in support of widespread calls for new approaches to understanding small business growth, by exploring the use of non-positivist methods (e.g. critical realism) to analyse how owners’ innate dispositions shape growth in practice. Design/methodology/approach In 2014, a telephone survey was used to inform two focus groups and 29 in-depth interviews with small business owners throughout England, covering attitudes towards growth, the use of particular strategies and perceived barriers. Discourse analysis was used to develop a multi-layered explanatory model incorporating key ideas from critical realism and the work of Bourdieu. Findings Bourdieusian analysis reveals the existence of orientations among small business owners towards or against business growth. Such attitudes tend to impact upon their response to perceived barriers. Growth-inclined owners were willing to strategise for long-term benefit, in return for lower returns in the short term. Growth-resistant owners were more likely to view obstacles as absolute, stating that they cannot grow their firms as a result. Practical implications Removing or reducing obstacles may not encourage growth if motivations and attitudes of owners do not change to embrace more growth-oriented positions. Banks’ lending practices, for example, were seen by many as problematic, but growth-oriented owners were more willing to seek and use alternatives to raise funds for growth. Originality/value The authors suggest that entrepreneurship researchers should look beyond positivist research to epistemologies that provide more multi-layered modes of explanation.

Resilience in the context of two traditional Spanish rural sectors: an exploratory study

2015 ◽  
Vol 9 (2) ◽  
pp. 182-203 ◽  
Author(s):  
Abel Duarte Alonso
Keyword(s):  
Small Business ◽  
Olive Oil ◽  
Small Businesses ◽  
Business Environment ◽  
Business Owners ◽  
Business Strategies ◽  
Small Business Owners ◽  
Online Questionnaire ◽  
Economic Implications ◽  
Content Type

Purpose – The present study examines ways in which micro and small business owners and managers in the olive oil industry seek to adapt to emerging challenges and build resilience. In an increasingly demanding business environment, the ability to become resilient and be able to adapt to new or existing challenges is crucial. However, in what ways do micro and small business owners and managers seek to adapt to emerging challenges and build resilience? The present study examines these issues among micro and small wine and olive oil producers. Design/methodology/approach – An online questionnaire was designed to gather the views of respondents on challenges, impacts of these challenges and strategies they consider to adapt to current challenges. A total of 93 winery owners/managers and 52 olive growers participated. Findings – The findings identify increasing costs, decreasing consumption and the effects of the economic crisis as the most significant barriers, with impacts in the form of loss of trust in government institutions and loss of confidence in a soon economic recovery. To adapt and become resilient, enhancing promotional, educational and diversification activities, such as starting or growing exports, or becoming more involved in technology and social media are perceived as fundamental business strategies. Originality/value – In considering elements related to the theory of resilience, the study provides empirical evidence of adaptive strategies among micro and small businesses, as well as ways to achieve resilience. Overall, the findings have important socio-economic implications for various stakeholders, including the sectors involved, government agencies, and ultimately for consumers, and local communities where businesses operate.

Strength-based coaching: making the case for its adoption in small businesses

2014 ◽  
Vol 28 (3) ◽  
pp. 6-9 ◽  
Author(s):  
Alan Coetzer ◽  
Janice Redmond ◽  
Vern Bastian
Keyword(s):  
Small Business ◽  
Performance Management ◽  
Small Businesses ◽  
Employee Performance ◽  
Work Roles ◽  
Learning And Development ◽  
Content Type ◽  
Business Context ◽  
Positive Effects ◽  
Strength Based

Purpose – The purpose of this paper is to make the case that owner-managers of small businesses should consider using strength-based coaching as a key element of their performance management and learning and development endeavours because small businesses are potentially well-suited to this type of developmental intervention. Design/methodology/approach – In making the case, we draw on literature primarily in four areas: performance management, positive psychology, strength-based management and small business management. The case for adopting strength-based coaching is also underpinned by the practical insights of an experienced small business manager. Findings – The informal internal organisation found in most small businesses makes the small business context potentially well-suited to strength-based coaching. In particular, the informal characteristic of small businesses promotes close working relationships between owner-managers and employees and broadly defines work roles. Such a work context is conducive to strength-based coaching that involves owner-managers capitalising on the unique abilities of each employee by redefining work roles to fit employees’ strengths. Practical implications – Using strength-based coaching to align employees’ strengths with the work of the small business should have positive effects on the key variables of individual and collective performance and ultimately business results. These variables of performance are employee ability, motivation and opportunity to perform. Originality/value – After database searching, it seems that there is no previous work that has examined the potential efficacy of strength-based coaching in a small business context. The paper has value for small business managers who are seeking practical guidance on how to improve their current approaches to both managing employee performance and fostering the learning and development of the staff.

scholarly journals Sustaining small businesses in emerging economies: an examination of the pre and post startup ramifications

2017 ◽  
Vol 15 (1) ◽  
pp. 227-236 ◽  
Author(s):  
Chux Gervase Iwu
Keyword(s):  
South Africa ◽  
Small Business ◽  
South African ◽  
Small Businesses ◽  
Structured Interview ◽  
Small Business Owners ◽  
Business Startup ◽  
Growth Constraints ◽  
Small Business Growth ◽  
Almost All

Set in the Western Province of South Africa, this study is centred on a group of small business owners who received financial support from a leading South African business developer. The main aims were to obtain from the recipients what they envisaged as their main challenges, and to compare those challenges at a later stage to get a better understanding of the real challenges of small business pre and post startup. The ultimate benefit will be to report on these to inform practitioners and researchers so that every stakeholder can have a fresher insight into this phenomenon with the hope that much more concrete discussions and interventions may emerge. This longitudinal study adopted the mixed method, specifically the use of a questionnaire and a semi-structured interview schedule. This method enabled the researcher to gain a better understanding of the issues at play with respect to first time recipients of funds, as well as engage intimately with them in order to obtain salient information regarding challenges of small business pre and post business startup. Interestingly, most participants indicated that almost all the items in the questionnaire were major challenges. This study should not only generate the necessary discussions among practitioners and scholars on small business growth constraints in South Africa, but, at the same time, uncover through such discussions, some of the undocumented challenges of small businesses in emerging markets so that the chances of survival of small businesses beyond the 2-3 year mark are improved.

scholarly journals Regional small businesses’ personal and inter-firm networks

2020 ◽  
Vol 35 (12) ◽  
pp. 1957-1969 ◽  
Author(s):  
Jalleh Sharafizad ◽  
Kerry Brown
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Business Owners ◽  
Personal Networks ◽  
Future Research ◽  
Small Business Owners ◽  
Business Networks ◽  
Structured Interviews ◽  
Content Type ◽  
Firm Networks

Purpose The purpose of this paper is to examine the role of personal and inter-firm networks and the elements that contribute to the formation and management of these networks for regional small businesses. Design/methodology/approach Semi-structured interviews were conducted with 20 small business owners located in regional areas. Findings The findings highlight key characteristics of regional small business owners’ networks. Findings indicated that participants relied strongly on their personal networks for business purposes. This study shows that while personal networks adapted and changed into informal inter-firm networks, weak-tie relations within inter-firm networks were unlikely to develop into close personal networks. Novel findings also include a preference for “regional interactions” and included regular collaboration with local business competitors. Although the participants used social media to manage their business through personal networks, results confirmed there was a lack of awareness of the benefits of inter-firm networks with businesses outside the local region. Originality/value While it is acknowledged small business owners use personal and inter-firm connections to maintain and grow their business, there is a lack of research examining both of these networks in the same study. This research addresses this gap and presents five propositions as a useful direction for future research. This paper adds to the evolution of existing knowledge by expanding understanding of the formation of business networks and conditions of business trust relations within a regional context.

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