Entrepreneurship in Ethnic Enterprises: The Making of New Immigrant Businesses in New York

Research on ethnic entrepreneurship has generated substantial literature on the development of ethnic businesses among different immigrant groups in North America. Such studies tend to focus on the emergence of immigrant entrepreneurship among earlier immigrant groups by highlighting either the group characteristics or the opportunity structure. Existing studies also tend to overlook the importance of innovation in immigrants’ small businesses due to the marginality of immigrant businesses. Thus, there is a dearth of research on new immigrant communities in the USA that illuminates immigrants’ innovative practices. Drawing on the experiences of 50 Bangladeshi entrepreneurs in New York, this research examined how this emerging immigrant group transformed into immigrant entrepreneurs through the investigation of their innovative practices in small business. This paper determined that immigrant entrepreneurs are embedded within the dynamics of the immigration trajectory and the broader context of American society. Although these new immigrants were driven towards the lower end of the economy, this study found that innovations have expanded the breadth and depth of their businesses and made their businesses different and rewarding.

Ethnicity and bank lending before and during COVID-19

PurposeUsing ethnicity as our point of focus, the authors consider the dynamics of the demand for bank loans, and the willingness of banks to supply them, as the UK economy entered the COVID-19 pandemic in early 2020 with a particular focus on potential behavioural differences on the demand-side and discrimination on the supply-side. In doing so we directly address crisis induced financial concerns and how they played out in the context of ethnicity.Design/methodology/approachUsing the most recent ten quarterly waves of the UK SME Finance Monitor survey the authors consider whether ethnicity of the business owner impacts on the decision to apply for bank loans in the first instance. The authors then question whether ethnicity influences the banks decision to meet or reject the request for a bank loan.FindingsThe authors’ pre-COVID-19 results show that there were no ethnic differences in loan application and success rates. During COVID-19, both white and ethnic business loan application rates rose significantly, but the scale of this increase was greater for ethnic businesses. The presence of government 100% guaranteed lending also increased general loan success rates, but again the scale of this improvement was greater for ethnic businesses.Research limitations/implicationsThe authors show very clearly that differences in the willingness of banks to supply loans to SMEs relate very explicitly to firm specific characteristics and ethnicity either plays no additional role or actually leads to improved loan outcomes. The data is for the UK and for a very unique COVID time which may mean that wider generalisability is unwise.Practical implicationsEthnic business owners should not worry about lending discrimination or be discouraged from applying for loans.Social implicationsThe authors identify at worst no lending discrimination and at best positive ethnic discrimination.Originality/valueThis is one of the largest COVID-19 period studies into the financing of ethnic businesses.

Systematic Literature Review on Ethnic Minority Entrepreneurship: Citation and Thematic Analysis

This paper presents a systematic review of the literature on ethnic minority entrepreneurship. A total of 174 articles converging on ethnic minority entrepreneurship, published between 2010 and 2020, were investigated. This paper extends existing knowledge of the sub-areas in ethnic minority entrepreneurship research by focusing on two different angles. Firstly, Citation analysis was performed to review research papers to recognize and classify the key areas of ethnic minority entrepreneurship currently being focused on and examined by the research community. Secondly, Thematic analysis was executed to discover the specific themes that are being researched. The study found seven different themes: immigrant studies, ethnic entrepreneurial motivations, ethnic startup process, motives of ethnic business success, failure factors of ethnic businesses, ethnic unique challenges, and favourite strong ties of ethnic minorities were identified as main themes. The number of research gaps identified should encourage novel paths and scopes in the ethnic minority entrepreneurship research field to fill these gaps in the literature.

Assessing ethnic business sustainability in transgenerational succession

PurposeThis paper aims to examine the impact of changes in human capital development and evolution of tacit knowledge following transgenerational succession in ethnic companies. The paper contributes to the understanding of transferring tacit knowledge across generations in ensuring ethnic business sustainability.Design/methodology/approachIn answering the how question, this paper tracked the changes and their impact in the process over time, using the multiple-case study method. A total of six interviews were conducted with three Indian-owned companies in the jewellery industry in Malaysia, with each interview lasting between 45 and 60 min. Secondary data were collected to supplement the primary data for analysis. Data triangulation method was applied to strengthen the design of this study.FindingsThe results indicate that changes in human capital development and tacit knowledge have enabled ethnically Indian-owned jewellery-based companies to alter their products to respond to demands of modern society whilst sustaining and commodifying the ethnic identity of their businesses. The findings also highlight that proper succession planning by ageing entrepreneurs may promote sustainability of these ethnic enterprises.Originality/valueDespite the growing attention on ethnic and migrant entrepreneurship, less is known about the impact of the changes through transgenerational succession over time in ethnic businesses, especially when such changes involve human capital as the key players. This study is important in addressing the gap, in identifying human capital development and tacit knowledge among the critical ethnic resources contributing to ethnic business sustainability. Using a conceptual framework, this paper sheds some light on how ethnic businesses are sustained through transgenerational succession.

Gentrification of ethnic businesses in Toronto's Little India: an analysis of ethnic business development

Gentrification of ethnic businesses within ethnic economies is a new phenomenon that is vastly affecting Toronto’s Little India. As a result, research focusing on this issue and analysis on the way in which ethnic businesses have been developed is an important problem to investigate. This research will focus on three main research questions; observing the different looks, practices, styles, and tastes prevalent amongst restaurants in Little India, examining if the styles and tastes projected by restaurants’ ethnic habitus have an impact on how ethnic businesses fare, and assessing if entrepreneurs are able or unable to modify their business practices, and styles. The analysis will be conducted through the lens of the Habitus (Bourdieu, 1987) as a theoretical framework, specifically examining the ways in which self-employed migrants develop their businesses and the role that their ethnic background and culture may have in this process. This research will take an ethnographic methodological approach in conducting the research through two steps, beginning with a naturalistic observation of two restaurants and following up with interviews. The findings determined that slight changes made to the business approach and cultural habitus of ethnic businesses can prove successful in attracting the needs of the surrounding clientele and the gentrifying population. Keywords: gentrification, South Asian, Little India, ethnic economy, self-employed migrants

Gentrification of ethnic businesses in Toronto's Little India: an analysis of ethnic business development

Gentrification of ethnic businesses within ethnic economies is a new phenomenon that is vastly affecting Toronto’s Little India. As a result, research focusing on this issue and analysis on the way in which ethnic businesses have been developed is an important problem to investigate. This research will focus on three main research questions; observing the different looks, practices, styles, and tastes prevalent amongst restaurants in Little India, examining if the styles and tastes projected by restaurants’ ethnic habitus have an impact on how ethnic businesses fare, and assessing if entrepreneurs are able or unable to modify their business practices, and styles. The analysis will be conducted through the lens of the Habitus (Bourdieu, 1987) as a theoretical framework, specifically examining the ways in which self-employed migrants develop their businesses and the role that their ethnic background and culture may have in this process. This research will take an ethnographic methodological approach in conducting the research through two steps, beginning with a naturalistic observation of two restaurants and following up with interviews. The findings determined that slight changes made to the business approach and cultural habitus of ethnic businesses can prove successful in attracting the needs of the surrounding clientele and the gentrifying population. Keywords: gentrification, South Asian, Little India, ethnic economy, self-employed migrants

Influence of immigration Policies on Supply of Ethnic Business Entrepreneurs in Canada

Traditional theories deal with ethnic business mainly from the perspectives of structural opportunities and ethnic group characteristics. While they explain very well why some ethnic groups have higher rates of business formation and ownership than others, much less attention has been paid to the role of government policies in regulating the inflow of business immigrants and channelling ethnic entrepreneurs and related resources into different business sectors. Using Canada as a case study, this paper examines how changes in immigration policies have influenced business immigrant flows and ethnic business development (since most ethnic businesses are initiated and run by immigrants). This study found that the recent changes in Canada’s immigration programs have resulted in substantial decrease in the inflow of business immigrants, and may turn many resourceful business immigrants to the competing countries of the U.S., Australia and the UK, which all have more affordable and less restrictive investment requirements. The paper suggests that future studies of ethnic business should be expanded to include immigration policies as an explicit facilitating or restricting factor.

Influence of Immigration Policies on Supply of Ethnic Business Entrepreneurs in Canada

Traditional theories deal with ethnic business mainly from the perspectives of structural opportunities and ethnic group characteristics. While they explain very well why some ethnic groups have higher rates of business formation and ownership than others, much less attention has been paid to the role of government policies in regulating the inflow of business immigrants and channelling ethnic entrepreneurs and related resources into different business sectors. Using Canada as a case study, this paper examines how changes in immigration policies have influenced business immigrant flows and ethnic business development (since most ethnic businesses are initiated and run by immigrants). This study found that the recent changes in Canada’s immigration programs have resulted in substantial decrease in the inflow of business immigrants, and may turn many resourceful business immigrants to the competing countries of the U.S., Australia and the UK, which all have more affordable and less restrictive investment requirements. The paper suggests that future studies of ethnic business should be expanded to include immigration policies as an explicit facilitating or restricting factor. Keywords: immigration policy; business immigrants; ethnic business; Canadian immigration

Influence of Immigration Policies on Supply of Ethnic Business Entrepreneurs in Canada

Traditional theories deal with ethnic business mainly from the perspectives of structural opportunities and ethnic group characteristics. While they explain very well why some ethnic groups have higher rates of business formation and ownership than others, much less attention has been paid to the role of government policies in regulating the inflow of business immigrants and channelling ethnic entrepreneurs and related resources into different business sectors. Using Canada as a case study, this paper examines how changes in immigration policies have influenced business immigrant flows and ethnic business development (since most ethnic businesses are initiated and run by immigrants). This study found that the recent changes in Canada’s immigration programs have resulted in substantial decrease in the inflow of business immigrants, and may turn many resourceful business immigrants to the competing countries of the U.S., Australia and the UK, which all have more affordable and less restrictive investment requirements. The paper suggests that future studies of ethnic business should be expanded to include immigration policies as an explicit facilitating or restricting factor. Keywords: immigration policy; business immigrants; ethnic business; Canadian immigration

Influence of immigration Policies on Supply of Ethnic Business Entrepreneurs in Canada

Traditional theories deal with ethnic business mainly from the perspectives of structural opportunities and ethnic group characteristics. While they explain very well why some ethnic groups have higher rates of business formation and ownership than others, much less attention has been paid to the role of government policies in regulating the inflow of business immigrants and channelling ethnic entrepreneurs and related resources into different business sectors. Using Canada as a case study, this paper examines how changes in immigration policies have influenced business immigrant flows and ethnic business development (since most ethnic businesses are initiated and run by immigrants). This study found that the recent changes in Canada’s immigration programs have resulted in substantial decrease in the inflow of business immigrants, and may turn many resourceful business immigrants to the competing countries of the U.S., Australia and the UK, which all have more affordable and less restrictive investment requirements. The paper suggests that future studies of ethnic business should be expanded to include immigration policies as an explicit facilitating or restricting factor.