scholarly journals The Determinants Of Primary Employment In U.S. States

2021 ◽  
Vol 5 (3) ◽  
Author(s):  
Halil Dincer Kaya

We examine the relationship between `primary employment` and `business friendliness` of U.S. states. Do states with a low score in `business friendliness` worry small business owners too much and hence force them to run their business as their primary job? We look at several main components of `business friendliness` including `Ease of start`, `Ease of hire`, `Overall regulations`, and `Training and networking`. We also look at subcomponents including the different types of regulations and technology use. How does each of these factors affect a business owner’s decision to focus mainly on his/her business? We use the `United States Small Business Friendliness Survey` done by Kauffman Foundation and Thumptack.com in 2013 and converted the letter scores ranging from A+ to F in the survey to numerical scores ranging from 12 to 1 (i.e. 1 being the lowest score which corresponds to F). Therefore, after the conversion, each state has a numerical score on each business-friendliness category. The survey also asks business owners if they use the internet when starting a business, when paying their taxes, or when licensing. For each state, we compute the percentage of owners in each state using the internet when starting a business, when paying their taxes, or when licensing. We call these three percentage numbers for each state their `Internetstart`, `Internettax`, and `Internetlicensing` scores. Then, using the mean score for all states for each type of regulation or internet score, we divide the states into two groups: the `high-score states` and the `low-score states`. In our analysis, we use non-parametric tests to compare the `high-score states` to the `low-score states`. Our non-parametric tests show that although none of the main components (i.e. `Ease of start`, `Ease of hire`, `Overall regulations`, and `Training and networking`) seem to affect `primary employment`, the overall business friendliness score of a state significantly affects `primary employment`. When we examine the different types of regulations, we find that `Health and safety regulations`, `Licensing regulations`, and `Zoning regulations` affect `primary employment`. `Employment regulations`, `Tax code`, or `Environmental regulations` does not have a significant impact. These findings may indicate that business owners are more worried with regard to Health and safety regulations, Licensing regulations, and Zoning regulations, therefore more of them choose to take matters into their own hands. Another possible explanation may be the relative complexity of the tasks associated with these regulations. Finally, our results show that technology use in the entrepreneurial process does not affect `Primary employment`.

2019 ◽  
Vol 7 (3) ◽  
pp. 177-201 ◽  
Author(s):  
Daria Luchinskaya ◽  
Peter Dickinson

The relationship between education, skills and labour market outcomes is becoming an increasingly pressing issue in many countries. In the UK, recent changes in education and skills funding structures and the ongoing consequences of the 2008 recession may have affected participation in training. ‘Virtuous’ and ‘vicious’ circles of learning may exist, whereby access to training is associated with social advantage, and training begets more training. We explore workers’ participation in different types of training and how this is associated with wages using the UK Household Longitudinal Study. Our exploratory findings suggest that those working in lower-level occupations may not only be less likely to undertake training in general, but also less likely to have done types of training associated with wage increases (e.g., to meet occupational standards), and more likely to have done training associated with no or negative changes in wages (e.g., health and safety) compared to those working in higher-level occupations. We suggest that further research is needed to unpack the ‘black box’ of training and its impacts upon different groups of people. We discuss the implications of our findings to help break the ‘vicious’ circles.


2005 ◽  
Vol 10 (01) ◽  
pp. 49-63 ◽  
Author(s):  
JEFFREY F. SHIELDS

Rural settings in the United States have characteristics that present a unique context for small business, often portrayed as adverse. Studies of rural entrepreneurs and small businesses, however, frequently fail to provide data on the rural context and its potential relationship to small business, taking for granted presumed attributes and adverse effects. To develop a better understanding of a rural setting's importance, this research investigated effects of rural geo-demographic and socio-cultural features on 76 small businesses. Results demonstrate that rural geo-demography adversely affects marketability of products and services although there is little adversity for small businesses due to constrained resources (financing, technology, and transportation) or labor issues. Business owners manage their businesses consistent with rural socio-cultural values by relying on strong social ties and word of mouth reputation. However, women-owned businesses experience little adversity due to gender stereotypes. The rural setting considered in the study has varying implications for different types of businesses and for business owners according to how long they have lived in the community. Its effects are neither adverse in all respects nor universal for all small businesses.


2007 ◽  
Vol 45 (2) ◽  
pp. 209-216 ◽  
Author(s):  
Lisa M. BROSSEAU ◽  
Ann L. FREDRICKSON ◽  
Mary Anne CASEY

Author(s):  
Elriza Esterhuyzen

Background: The Constitution of South Africa indicates that all people have the right to an environment that is not harmful to their health and well-being. This right is reiterated in the Occupational Health and Safety Act 83 of 1993. However, small business owners and/or managers experience specific barriers to occupational health and safety (OHS) compliance. The study was conducted in Gauteng, KwaZulu-Natal and the Western Cape provinces of South Africa, as these three provinces account for 82% of active businesses in South Africa.Objective: This article discusses barriers to OHS compliance as perceived by South African small business owners and/or managers.Method: A total of 350 small business owners and/or managers from the three above-mentioned provinces participated in a questionnaire survey, with one section focussing on barriers to OHS compliance. Participants rated 11 predetermined barriers to OHS compliance and could indicate and rate additional barriers. Descriptive and inferential statistics were used to report on these perceived barriers.Results: Results indicated that the perceived barriers to OHS compliance can be categorised as human and resource barriers.Conclusion: South African small business owners and/or managers experience barriers to compliance that prevent them from full compliance with OHS directives, which can be costly. Small business owners and/or managers need to take cognisance of applicable OHS directives as well as identified barriers to compliance. These barriers need to be addressed to allow small businesses to comply with OHS directives and to enhance the sustainability of small businesses. The question is not whether small businesses can afford OHS compliance, but if they can afford not to overcome barriers and comply.


2018 ◽  
Vol 5 (3) ◽  
pp. 43
Author(s):  
Jeffrey Shepard

The purpose of this case study is to create a profile of business incubators by exploring various aspects concerned with their operations. While tracing the history, development and current practices of business incubators, the aspects explored include the identification of:  the nature of clients served, incubator mission, incubator staffing/personnel, incubator management, incubator resources, and incubator facilities/technology. The main motivation behind this case study is to compile an exhaustive profile of business incubators into one paper.This case study mainly utilized secondary research. By using questionnaires, a survey conducted among managers of selected business incubators in the United States was done. The exploratory nature of this study prompted the use of open ended questions.Findings concerning incubator mission are that current incubators mainly provide professional services of increased complexity as opposed to earlier incubators. Regarding personnel, modern incubators have formal organization structures characterized by the aspect of co-learning. While earlier incubators primarily offered cheap rental space, modern incubators share resources via a complex network of virtual connectivity. On technology, sophisticated technological communication interfaces such as the internet are vital, previous incubators relied on outdated technology. Concerning management, modern incubators require highly adaptive managers capable of addressing specific needs due to the constantly changing business environment. Other findings include the fact that clients are predominantly small business owners and students. Further, managers mainly provide direct services to clients such as mentoring, coaching, and training.


2021 ◽  
Vol 5 (2) ◽  
pp. 66-77
Author(s):  
Halil D. Kaya

Regulations are shown to have a significant impact on entrepreneurial activity, especially on startups by smaller firms. Higher compliance costs are shown to deter small firms entering a new industry. In this study, using state-level regulation data in the U.S., we examine whether different types of regulations (including “health and safety regulations”, “employment regulations”, “tax code”, “licensing regulations”, “environmental regulations”, and “zoning regulations”) in each state deter smaller firms to do business in that state. We also examine whether each type of regulation deters firms to do business in certain industries or to operate in more or fewer states. Besides size, operational area, and industry, we also examine whether each type of regulation deters younger firms to do business in each state. Our results show that “health and safety regulations”, “employment regulations”, “tax code”, “licensing regulations”, and “environmental regulations” in a state affect firm size and industry, but do not affect operational area and firm age. In the states with high scores in these areas, there are fewer single-employee firms but more 2-20 employee firms when compared to the other states. Also, in the states with a high score in “environmental regulations”, we find fewer firms with 51 to 100 employees when compared to the other states. On the other hand, “zoning regulations” affect firm age and industry, but not operational area and firm size. In the states with high scores in “zoning regulations”, we find fewer firms that are established less than a year ago. Finally, in the states with high scores in regulations, generally, we find that more firms are in the “Business” industry and fewer firms are in the “Writing” industry. Overall, we show how each type of regulation deter certain types of firms operating in each state. This is important because if a state wants to attract certain types of firms (i.e., younger, or older firms, larger or smaller firms, or firms in certain industries), the officials in that state need to improve the corresponding regulations first.


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