Immigrant investors in financial markets: modes of financial behavior

This study investigates the modes of financial behavior of immigrants, comparing them with native-born investors. The study developed a theoretical framework for investigating the determinants of financial behavior, combining Bourdieu’s concept of economic habitus with the theories explaining behavior of investors in financial markets. Methods of clustering analysis and multinomial logit regression model were used. The study found that an investor’s behavior mode is strongly predicted by determinants derived from cultural, economic and social capital. For low-income persons, the culture of origin shapes their financial behavior, and for high-income persons, their economic capital and affiliation to social class are more important. Over time, immigrants assimilate in their financial choices. This study contributes to research of financial behavior as well as migration research by explaining the factors that affect preferences for financial assets allocation among immigrants. Understanding migrants’ modes of financial behavior will help policymakers to facilitate accumulation of wealth by immigrants, and in this way contribute to the process of their integration

Social capital and its influence on the financing and profitability of smallscale enterprises (Israel experience)

Досліджено вплив соціального капітілу на фінансування та прибутковість підприємств малого бізнесу. Дані для дослідження було зібрано в 2005—2006 рр. в Ізраїлі методом анкетування. Вибірка респондентів побудована на основі комбінації методів Convenient Sample и Snowball Sample і містить відповіді 496 власників підприємств малого бізнесу. Ключові слова: соціальний капітал, фінансування, прибутковість, підприємства малого бізнесу.Исследовано влияние социального капитала на финансирование и прибыльность предприятий малого бизнеса. Данные для исследования были собраны в 2005 - 2006 гг. в Израиле методом анкетирования. Выборка респондентов построена на основе комбинации методов Convenient Sample и Snowball Sample и содержит ответы 496 владельцев предприятий малого бизнеса. Ключевые слова: социальный капитал, финансирование, прибыльность, предприятия малого бизнеса.This study investigates how social capital affects the financial funding and profitability of small businesses. Data were collected in Israel in 2005—2006. Combining convenient and snowball samples, 496 entrepreneurs who have operating businesses were surveyed via a questionnaire. Key words: social capital, financial funding, profitability, small businesses

The Impact of Acculturation on Immigrants’ Business Ethics Attitudes

This study explores to what extent immigrants adopt the business ethical attitudes of their host country and/or maintain those of their country of origin. For countries that have significant immigration, acculturation is an important social issue. An immigrant’s acculturation is influenced through the ability to adapt his/her “ethical culture of origin” by integrating it with the host country’s ethical culture. The purpose of this study was to examine the impact of the role of acculturation on immigrant’s ethical attitudes. What happens to individuals, who have developed in one cultural context, when they attempt to live in a new cultural context? Three groups were the object of this study: native students of business administration in Israel, students of business administration in the Ukraine and business students in Israel who had emigrated from the Ukraine. Samples of these student populations allowed the study of acculturation effects on the immigrants as they acclimated to Israeli society. Results showed that students living in the Ukraine had the lowest ethical attitudes, followed by Ukraine immigrants in Israel. Israeli-born students had significantly higher ethical attitudes than either of the two Ukrainian groups. Accordingly, the ethical perceptions of immigrant students showed that they were influenced by both their home and host cultures. According to Berry’s : 5–68, 1997) model of acculturation strategies, integration was their preferred strategy. The implications of these results and guidelines for further research are suggested

Exploring intersectionality issues in entrepreneurial finance: Policy responses and future research directions

Main Message Entrepreneurial finance scholars (and policy-makers) need to adopt an intersectional approach to their analysis (and policy-making) and pay more attention to the interplay between the owner-manager characteristics of ethnicity/race, gender, and social class. Shorter Title of the manuscript Exploring intersectionality issues in entrepreneurial finance Key points Since most literature on entrepreneurial finance treats ethnicity/race, gender, and class separately, an intersectional approach to analysis is complex, whether social (race, gender, social class) or situational characteristics (entrepreneur versus migrant/social or health care worker). Women, ethnic minorities, and working-class people are disadvantaged when seeking finance. We integrate the literature and proposes intersectionality as a framework for policy-makers, since the interplay between these characteristics can be addressed to develop innovative methods of finance

Economic Integration of Immigrant Entrepreneurs

Objective: This study investigates economic integration of immigrant entrepreneurs by comparing them with their native-born counterparts, and examines whether and how entrepreneurs’ socio-cultural integration affects their economic integration. Research Design & Methods: This study is based on data of the Social Surveys conducted by the Israeli Central Bureau of Statistics in 2008, 2010 and 2012. The sample included 1133 native-born and 576 immigrant entrepreneurs. Findings: :Socio-cultural integration is not necessarily associated with economic integration and a high income. Immigrants can earn the same and even more than native-born entrepreneurs do, even if they have a low level of socio-cultural integration. The impact of socio-cultural integration on immigrant entrepreneurs’ income varies by their origin. Implications & Recommendations: Understanding integration of immigrant entrepreneurs and the factors affecting their income will help policy-makers to facilitate their economic advancement. Contribution & Value Added: Based on Berry’s concept, I propose a model of entrepreneurs’ integration. The model stresses interrelations between socio-cultural and economic integration

FINANCIAL FUNDING OF IMMIGRANT BUSINESSES

This study investigates differences in financial funding between immigrant and non-immigrant businesses and delineates factors influencing financial funding of immigrant businesses. Data for the study were collected in Israel between 2000 and 2005. By combining convenient and snowball samples, 214 native Israelis and 153 FSU immigrant entrepreneurs answered a questionnaire. We classified financial sources for immigrant businesses according to their affiliation to the ethnic community, and according to their relation to official financial institutions. Our study revealed that the scope of funding of immigrant businesses is significantly smaller than that of non-immigrant businesses. Immigrant entrepreneurs are more likely to finance their businesses from informal sources but they use fewer loans from family and friends than non-immigrant entrepreneurs. We found that immigrant entrepreneurs who deal with co-ethnic clients do not use more ethnic sources of capital for financing their businesses: the share of co-ethnic clients does not influence the ratio of ethnic financial sources for both setting up and expanding immigrant businesses. Our study revealed that governmental support in the terms of designated loans is the most salient factor influencing financial funding of immigrant businesses. The results suggest important implications for public policy.Immigrant entrepreneurs, financial funding, sources of capital