Commitment or Control? Human Resource Management Practices in Female and Male-Led Businesses

This paper investigates the commitment-orientation of HRM practices in female- and male-led firms. A distinction is made between emphasizing commitment or control in the design of HRM practices. To test for gender differences use is made of a sample of 555 Dutch firms. Contrary to what is generally believed it is found that – when controlled for relevant factors related to the business (e.g., firm size, age, sector) – HRM in female-led firms is more control-oriented than that in male-led firms. More specifically, female-led firms are more likely to be characterized by fixed and clearly defined tasks, centralized decision-making and direct supervision of the production process.entrepreneurship;gender;human resource management;commitment;control

Overoptimism among Founders: The Role of Information and Motivation

This study empirically investigates factors that influence overoptimism across nascent entrepreneurs. We distinguish between two main groups of determinants (information, motivation) and three types of overoptimism (income, psychological burden, leisure time). Findings indicate that entrepreneurs who have relevant business information are more realistic and that entrepreneurs with a high level of general knowledge, acquired through education or previous (unrelated) entrepreneurial experience, are more overoptimistic. External advice and business planning do not appear to limit subsequent overoptimism. Entrepreneurs are less overoptimistic about the pecuniary or non-pecuniary benefits of self-employment when these benefits are closely related to the initial motivation for starting up the business.information;motivation;nascent entrepreneurs;overoptimism

Start-Up Capital

Female and male entrepreneurs differ in the way they finance their businesses. This can be attributed to the type of business and the type of management and experience (indirect effect). Female start-ups may also experience other barriers based upon discriminatory effects (direct effect). Whether gender has an impact on size and composition of start-up capital, is the subject of the present paper. To test for these direct and indirect effects data of 2000 Dutch starting entrepreneurs, of whom approximately 500 are women, are used.Entrepeneurship;Financing;Gender;Start-ups

Entrepreneurial Diversity and Economic Growth

Most studies investigating the relationship between entrepreneurship and economic growth treat entrepreneurs as a homogeneous group. This study investigates the impact of entrepreneurial diversity on national economic growth. Using data for 36 countries participating in the Global Entrepreneurship Monitor we investigate whether the impact on growth depends on socio-demographic diversity in entrepreneurship (in terms of age, education and gender). We find that in less developed countries older and higher educated entrepreneurs are particularly important for stimulating economic growth, while for developed countries younger entrepreneurs are more important. Accordingly, policy should aim at stimulating particular groups of entrepreneurs, rather than just the number of entrepreneurs.entrepreneurship;diversity;economic development

Regional Opportunities and Policy Initiatives for New Venture Creation

This paper investigates the determinants of new venture creation across industries and locations for 103 Italian provinces between 1997 and 2003. We allow for differences in regional opportunities across industries and investigate the impact of a range of factors on entrepreneurship in different industries: manufacturing, retailing and wholesaling, hotels and restaurants. Our results show that wage costs deter entry in manufacturing and that regions with industrial districts are characterized by higher start-up rates. Firm entry in commercial sectors appears higher in large cities and areas with strong economic progress. For hotels and restaurants we find that tourism positively influences new firm formation. In terms of policy we do not find a significant effect of recently introduced regional laws promoting new firm formation.venture creation;policy initiatives;Italian provinces

Entrepreneurial Activity, Self-Perception and Gender

Drawing on Bem's psychological theory of self-perception, this paper presents and tests a model that examines the impact of gender and entrepreneurial activity on entrepreneurial self-perception. Based on a sample of alumni of a large Midwestern U.S. university, regression techniques are used to identify those activities associated with self-perceptions of entrepreneurship, as well as direct and indirect effects of gender. Results support the model of both direct and indirect effects of gender. The paper provides insights into gender issues in entrepreneurship as well as the definition of entrepreneurship in general.entrepreneurship;gender;behavior;self-perception

Commitment or Control? Human Resource Management Practices in Female and Male-Led Businesses

This paper investigates the commitment-orientation of HRM practices in female- and male-led firms. A distinction is made between emphasizing commitment or control in the design of HRM practices. To test for gender differences use is made of a sample of 555 Dutch firms. Contrary to what is generally believed it is found that – when controlled for relevant factors related to the business (e.g., firm size, age, sector) – HRM in female-led firms is more control-oriented than that in male-led firms. More specifically, female-led firms are more likely to be characterized by fixed and clearly defined tasks, centralized decision-making and direct supervision of the production process

Climbing the Entrepreneurial Ladder: The Role of Gender

We investigate whether women and men differ with respect to the steps they take in the entrepreneurial process, distinguishing between five successive steps described by the following positions: (1) "never thought about it"; (2) "thinking about starting up a business"; (3) "taking steps to start a business"; (4) "running a business for less than three years"; (5) "running a business for more than three years". This paper provides insights into the manner in which women and men climb the entrepreneurial ladder and the factors that influence their position on the ladder. We use data from the 2006 "Flash Eurobarometer survey on Entrepreneurship" consisting of more than 10,000 observations for 25 member states of the European Union, Norway, Iceland and the United States. Findings suggest that for men it is easier to climb the ladder and that this may be attributed partly to their higher tolerance of risk.entrepreneurship;determinants;gender;ordered multinomial logit;nascent entrepreneurship

Overoptimism among Founders: The Role of Information and Motivation

This study empirically investigates factors that influence overoptimism across nascent entrepreneurs. We distinguish between two main groups of determinants (information, motivation) and three types of overoptimism (income, psychological burden, leisure time). Findings indicate that entrepreneurs who have relevant business information are more realistic and that entrepreneurs with a high level of general knowledge, acquired through education or previous (unrelated) entrepreneurial experience, are more overoptimistic. External advice and business planning do not appear to limit subsequent overoptimism. Entrepreneurs are less overoptimistic about the pecuniary or non-pecuniary benefits of self-employment when these benefits are closely related to the initial motivation for starting up the business

Explaining the entrepreneurial activity rate of women: a macro-level perspective

The present study aims at explaining female entrepreneurship from a country perspective. Explanatory variables are derived from three streams of literature, including the literature on the determinants of entrepreneurship in general, on female labor force participation, and on female entrepreneurship. To test hypotheses we make use of Global Entrepreneurship Monitor data, including total entrepreneurial activity rates (nascent entrepreneurs and owner/managers of new firms) for both women and men for 2002, as well as a range of other (economic, demographic, institutional and cultural) variables from standardized national statistics. We find that the factors determining female and male entrepreneurship at the macro-level are fairly similar