The Impact of Entrepreneurial Cognition on the Founding and Survival of New Small Businesses

2012 ◽  
Vol 26 (6) ◽  
pp. 453-460 ◽  
Author(s):  
Andrew P. Hird
Keyword(s):  
Cognitive Style ◽  
Small Businesses ◽  
Survival Rates ◽  
Nascent Entrepreneurs ◽  
Nascent Entrepreneurship ◽  
Nascent Entrepreneur ◽  
Psychometric Instruments ◽  
New Business ◽  
The Uk ◽  
The Impact

This paper reports on an investigation into nascent entrepreneurship. Developing and sustaining a new business is a complex and uncertain process, and different types of individuals react to this uncertainty in different ways. It is argued that cognitive factors play a crucial role. Validated and reliable psychometric instruments were administered to 119 nascent entrepreneurs in the UK. The respondents were tracked through the nascent phase, business launch and to six months after launch. The findings indicate that cognitive style is not a predictor of nascent entrepreneurship but that it is highly influential in the process of founding a business. Both intuitive and analytic nascent entrepreneurs started businesses and cognitive style did not affect survival rates, but the process of business formation and survival developed in different ways. Most research to date has argued that an intuitive cognitive style is associated with the necessary characteristics for launching an entrepreneurial venture. It is possible that this conclusion has been drawn because most studies have been conducted among existing entrepreneurs. The findings of the present study indicate that, at the nascent stage of entrepreneurship, and particularly among inexperienced nascent entrepreneurs, this assertion is open to challenge. An awareness of an entrepreneur's cognitive style may assist those who seek to support and advise the nascent entrepreneur, but may also help individual entrepreneurs to recognize their strengths and weaknesses and, so, to develop appropriate strategies for business launch and survival.

Are you an innovator or adaptor? the impact of cognitive propensity on venture expectations and outcomes

2008 ◽  
Vol 11 (2) ◽  
pp. 29-45 ◽  
Author(s):  
Kevin LaMont Johnson ◽  
Wade M. Danis ◽  
Marc J. Dollinger
Keyword(s):  
Problem Solving ◽  
Cognitive Style ◽  
Nascent Entrepreneurs ◽  
Initial Development ◽  
Start Up ◽  
The Impact

In this study we confirm the often assumed but largely untested belief that entrepreneurs think and behave differently than others. We examine a group of more than 700 nascent entrepreneurs and 400 nonentrepreneurs. We determine the entrepreneurs’ cognitive style propensity for problem solving (Innovator versus Adaptor); we compare their expectations; and, we examine the outcomes (performance and start-up) of their ventures. We find that nascent entrepreneurs are more likely to be overly optimistic Innovators, most people are Adaptors, and oneʼs cognitive style can indeed play a role in the initial development and outcome for the venture, but not always as expected.

Open Data and High-Tech Startups Towards Nascent Entrepreneurship Strategies

2019 ◽  
pp. 471-482
Author(s):  
Fotis Kitsios ◽  
Maria Kamariotou
Keyword(s):  
Economic Growth ◽  
Open Data ◽  
Theoretical Framework ◽  
High Tech ◽  
Nascent Entrepreneurs ◽  
Nascent Entrepreneurship ◽  
The Impact

Open data are freely accessible online, available to be reused. They can be used for the development of applications which improve citizens' lives. A way to boost the development of innovative applications is by hosting hackathons, workshops, and conferences. Apparently, as far as entrepreneurship, open data impact economic growth, innovation, empowerment, and new or improved products and services. There is limited previous research not only on what motivates the developers to participate in open data competitions, but also on the benefits and challenges which are caused from the use of open data. Furthermore, researches focus on factors that affect nascent entrepreneurs' decisions to create a startup, but research in the field of open data and hackathons are limited. The purpose of this chapter is to present a theoretical framework in order to examine the impact of motivations, benefits, and barriers of the use of open data in the participation in hackathons and to develop a startup based on their applications.

A Comparative Analysis of the Impact of Taxation on the SME Economy: The Case of UK and US – New York State in the Year 2000

10.1068/c0338 ◽  
2003 ◽  
Vol 21 (4) ◽  
pp. 493-508 ◽  
Author(s):  
Panikkos Poutziouris ◽  
Francis Chittenden ◽  
Tim Watts ◽  
Khaled Soufani
Keyword(s):  
New York ◽  
United Kingdom ◽  
Small Business ◽  
Small Businesses ◽  
New York State ◽  
York State ◽  
The United Kingdom ◽  
Tax Regimes ◽  
The Uk ◽  
The Impact

The purpose of this paper is to report on a comparative study of the impact on the SME economy (fewer than 250 employees) of the UK and US (New York State) tax regimes. This explorative study is part of the ongoing small business taxation research programme undertaken in association with NatWest Bank. The research involves (a) the computation of the tax position of a sample of UK-based small businesses (a self-employed person, a partnership, and a small limited company); (b) the application of the tax regime of New York State to the UK business cases studies; (c) the development of two computer simulation models that estimate the direct tax burden incurred by small businesses in the United Kingdom; and (d) the application of the tax regime of New York State to the UK models. This research forms the basis of a comparative discussion about the business tax regime in the United Kingdom and USA and throws some light on the on-going debate about the development of the tax regimes applicable to small businesses in OECD countries. The paper concludes with a summary of the key findings and policy implications and offers a brief discussion on progress towards tax harmonisation from the small business perspective.

scholarly journals How formal institutional antecedents affect Tunisian venture creation decision scripts

2021 ◽  
Author(s):  
Abdallah Haj brahim ◽  
Salim Morched ◽  
Younes Boujelbene
Keyword(s):  
Structural Analysis ◽  
Empirical Studies ◽  
Venture Creation ◽  
Nascent Entrepreneurs ◽  
Analysis Method ◽  
Cognitive Approach ◽  
Decision Stage ◽  
Nascent Entrepreneur ◽  
The Subject ◽  
The Impact

AbstractThe aim of this paper is to reveal the impact of three Tunisian formal institutional systems on their venture creation decision through the study of entrepreneurial scripts of Tunisians nascent entrepreneur post-revolution phase. The method adopted in this study is the cognitive map. This research enriches entrepreneurial process literature by examining a finer-grained linkage between the degree of the development of Tunisian formal institutional systems and the level of expertise in the decision stage as an early process of venture creation. To do this, the cognitive approach is adopted by using the structural analysis method as a tool for structuring ideas and collective reflections. In the field of entrepreneurship, the mentioned approach has been the subject of few empirical studies. This leads to a better understanding of individual’s cognitive universe (actors, coaches, managers, entrepreneurs, etc.). It is important in the context of this study to identify and analyze the influence of formal institutional antecedents on the cognition of Tunisian nascent entrepreneurs and consequently on their decision. Experiments done on 120 born entrepreneurs incubating in the nurseries allowed to present, in the form of a collective map, the formal institutional antecedents that seem to affect their decisions to become entrepreneurs through their NVCD scripts.

Performance management problem of four small and medium-sized enterprises (SMEs): towards a performance resolution

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
John Mendy
Keyword(s):  
Performance Management ◽  
Small Businesses ◽  
Employee Relations ◽  
Business Success ◽  
Management Problem ◽  
Bottom Line ◽  
Content Type ◽  
The Social ◽  
The Uk ◽  
The Impact

PurposeThe purpose of this paper is to examine the underperformance problem of four UK-based small and medium-sized enterprises (SMEs) from management's and employees' perspectives in order to advance knowledge on a neglected area in small business and management studies.Design/methodology/approachBased on performance management's theoretical frame of managerial/entrepreneurial, market shaping and system-wide resource (re)organisation and the microstories obtained from 85 surveyed employees and managers, the data are analysed using an interpretivist paradigm.FindingsThe key findings of the study highlighted the adoption of tough performance implementation measures by management, the development of learning initiatives, the adaptation of roles, the redefinition of what a performing employee meant and three areas for performance improving in all four SMEs. This study reveals the crucial role of personal, conversational agency and implementation attributes, which are neglected aspects in current performance management in small firms.Research limitations/implicationsThe drawbacks of the study centre on the limited nature of the survey sample and the fact that it is solely based within the UK. This suggests that the findings are not to be generalised to other contexts.Practical implicationsThe study identifies key employee and management behaviours, attitudes and lived experiences that need to fundamentally change in order to resolve the four SMEs' underperformance. In addition, an innovative environment encouraging inter-departmental agency collaborations and grassroots implementation are needed to effectively and holistically revive the four companies' performance.Social implicationsThe study's results highlight the impact of manager/entrepreneur/employee relations on the social aspects that could either facilitate or hamper micro- and macro-level performance. It is therefore critical that owner entrepreneurs are mindful of the impact that their actions/activities and practices could have on the social lives of their employees and partners and on the ultimate bottom line of business success or failure.Originality/valueStudies focussing on small businesses' underperformance in the UK are a rarity. The paper advances the traditional performance management literature by proposing employee learning and skills' developmental as non-tangible resources to complement managerial attempts. In addition, a “can do” attitude and a more holistic, organisational and individual approach to performance resolution is proposed to fill the performance implementation and theoretical gap faced by academics, employees, managers and owner entrepreneurs.

Evaluating the Impact of Progressive Beer Duty on Small Breweries: A Case Study of Tax Breaks to Promote Smes

2010 ◽  
Vol 28 (2) ◽  
pp. 225-240 ◽  
Author(s):  
John Wyld ◽  
Geoff Pugh ◽  
David Tyrrall
Keyword(s):  
Economic Theory ◽  
Small Businesses ◽  
Small And Medium Enterprises ◽  
Policy Debate ◽  
The United Kingdom ◽  
Tax Relief ◽  
The Uk ◽  
Medium Enterprises ◽  
The Impact

We examine whether the 2002 introduction of progressive beer duty (PBD) in the UK has had its desired or predicted effects. The purpose of the new tax relief was, in the words of the then Chancellor of the Exchequer, to “encourage one group of small businesses: the nation's small brewers”. A dataset has been created of all small breweries in the United Kingdom from 1988 to 2008, recording the dates of their creation, progression, and, where relevant, extinction. We find no evidence of a change in survivorship consequent upon the introduction of PBD. However, there is some evidence of an increase in the rate of formation of small breweries. These findings are consistent with predictions from standard economic theory and thus may be relevant to wider policy debate on the use of targeted tax breaks to support small and medium enterprises.

scholarly journals Impact of straight to test pathways on time to diagnosis in oesophageal and gastric cancer

2018 ◽  
Vol 7 (3) ◽  
pp. e000328
Author(s):  
James Andrew Jones ◽  
James Catton ◽  
Glen Howard ◽  
Paul Leeder ◽  
Lesley Brewer ◽  
...  
Keyword(s):  
Cancer Survival ◽  
Survival Rates ◽  
Time Saving ◽  
Subsequent Investigation ◽  
Hospital Specialist ◽  
East Midlands ◽  
Time To Diagnosis ◽  
The Uk ◽  
The Impact ◽  
Upper Gastrointestinal

BackgroundCancer survival in the UK has doubled in the last 40 years; however, 1-year and 5-year survival rates are still lower than other countries. One cause may be a delay between referral into secondary care and subsequent investigation. We set out to evaluate the impact of a straight to test pathway (STTP) on time to diagnosis for upper gastrointestinal (UGI) cancer.MethodsSix hospital Trusts across the East Midlands Clinical Network introduced a STTP enabling general practitioners to refer patients with suspected UGI cancer (oesophageal/gastric) for immediate investigation, without the need to see a hospital specialist first. Data were collected for all patients referred between 2013 and 2015 with suspected UGI cancer and stratified by STTP or traditional referral pathway. Overall time from referral to diagnosis was compared. Data from two Trusts who did not implement STTP acted as control.Results340 patients followed the STTP pathway and 495 followed the traditional route. STTP saved a mean of 7 days from referral to treatment (with a 95% CI of 3 to 11 days, p<0.008) and a mean of 16 days from referral to diagnosis, when compared with a traditional referral pathway. The number of diagnostic tests performed using STTP or traditional referral pathways were similar.ConclusionA STTP is associated with an overall reduction of 1 week from referral to treatment for UGI cancer. The approach is feasible and did not require more resource. Larger studies are required to assess whether this time saving translates into improved cancer outcomes.

Open Data and High-Tech Startups Towards Nascent Entrepreneurship Strategies

2018 ◽  
pp. 3032-3041 ◽  
Author(s):  
Fotis Kitsios ◽  
Maria Kamariotou
Keyword(s):  
Economic Growth ◽  
Open Data ◽  
Theoretical Framework ◽  
High Tech ◽  
Nascent Entrepreneurs ◽  
Nascent Entrepreneurship ◽  
The Impact

Open data are freely accessible online, available to be reused. They can be used for the development of applications which improve citizens' life. A way to boost the development of innovative applications is by hosting hackathons, workshops and conferences. Apparently, as far as entrepreneurship, open data impact on economic growth, innovation, empowerment and new or improved products and services. There is limited previous research not only on what motivates the developers to participate in open data competitions, but also on the benefits and challenges which are caused from the use of open data. Furthermore, researches focus on factors that affect nascent entrepreneurs' decision to create a startup but researchers in the field of open data and hackathons relative researches are limited. The purpose of this chapter is to present a theoretical framework in order to examine the impact of motivations, benefits and barriers of the use of open data in the participation in hackathons and to develop a startup based on their applications.

The Impact of Personal Characteristics and the Regional Milieu on the Transition from Unemployment to Self-employment: Empirical Evidence for Germany / Zur Bedeutung von individuellen Charakteristika und regionalem Milieu für Existenzgründungen aus der Arbeitslosigkeit: Empirische Ergebnisse für Deutschland

2003 ◽  
Vol 223 (2) ◽  
Author(s):  
Joachim Wagner
Keyword(s):  
Linear Models ◽  
Positive Impact ◽  
Personal Characteristics ◽  
Personal Contact ◽  
Nascent Entrepreneurs ◽  
Self Employment ◽  
New Business ◽  
The Individual ◽  
The Unemployed ◽  
The Impact

SummaryThe focus of this paper is on the choice of the unemployed between becoming an entrepreneur or not. It contributes to the literature by empirically investigating the impact of personal characteristics and attitudes, and of the regional “entrepreneurial milieu”, on the individual decision to start a new business out of unemployment. The econometric study is based on data from a recent representative survey of the population in ten German planning regions. We use a version of the logit model that takes care of both the rare events nature of the transition from unemployment to self-employment, and of the regional stratification of the data, and the results of the non linear models are carefully interpreted and illustrated. We show that lack of personal contact with a young entrepreneur reduces the probability of starting one’s own business. A favourable ‘regional entrepreneurial milieu’ (proxied by higher levels of current start-up activity and larger shares of unemployed among the starters in a region) has a positive effect on the individual propensity to step into self-employment. All these impacts are not only statistically significant, but economically important, too. A comparison of unemployed with employed and not employed nascent entrepreneurs reveals remarkable differences regarding the impact of sex, age, and higher education, while the positive impact of personal contacts with a young entrepreneur and of a comparable high share of nascent entrepreneurs in the region holds across all groups.

scholarly journals Learning from failure

2018 ◽  
Vol 25 (2) ◽  
pp. 330-343 ◽  
Author(s):  
John Mendy ◽  
Dieu Hack-Polay
Keyword(s):  
Small Businesses ◽  
Business Failure ◽  
Cultural Learning ◽  
Cultural Integration ◽  
Content Type ◽  
Factors Affecting ◽  
Exogenous Factors ◽  
The Uk ◽  
Ethnic Businesses ◽  
The Impact

Purpose The purpose of this paper is to investigate the high failure among African entrepreneurs post-2008 financial crisis. It evaluates the evidence of actual and perceived disadvantage and endogenous and exogenous factors affecting black and minority ethnic businesses. Design/methodology/approach The research is based on an interpretivist frame which uses a dialogic methodology. It uses in-depth interviews. The researchers framed discussion questions so as to invite the participants to articulate directly their experiences for the benefit of the readership, other existing African businesses and aspiring entrepreneurs. Findings The findings from the interviews with 20 leaders of “dead” businesses indicate the impact that place, people and poverty have on business failure and identify reasons for African business failure rates compared to other minorities. This study reveals that culture, an often understated variable, is critical in understanding the deeper reasons for the under-performance of African small entrepreneurs and its impacts on individual and collective lives. Practical implications Recovery solutions ought to be formulated from participants’ call for diversification, inter-cultural learning and integration as potential remedies. The research addresses the socio-economic problems encountered by owners of “dead” businesses. Policymakers and financial organisations ought to pay heed to the skills and resources that minorities offer as part of remedies for future enterprises. Originality/value Studies on failed African businesses are under-represented in the literature. This study identifies the important role of culture on the failure of small businesses owned by African migrants in the UK. It highlights the significant socio-economic and situational barriers that they navigate in quest for recognition and cultural integration through business endeavours.

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