Stuetzer, Michael and Obschonka, Martin and Schmitt-Rodermund, Eva (2012): Balanced skills among nascent entrepreneurs. Published in: Small Business Economics (1. February 2012)
Download (250kB) | Preview
This paper examines the effects and origins of balanced skills among nascent entrepreneurs. In a first step we apply Lazear’s jack-of-all-trades theory to investigate performance effects of a balanced skill set. Second, we investigate potential sources of balanced skills, thereby testing the investment hypothesis against the endowment hypothesis. Analyzing data on high-potential nascent projects, we find support for the notion that balanced skills are important for making progress in the venture creation process. Regarding the origins of balanced skills, the data support both hypotheses. In line with the investment hypothesis an early interest in an entrepreneurial career, prior managerial and entrepreneurial experience are significantly related with a more balanced skill set. Supporting the endowment hypothesis, an entrepreneurial personality profile indicating entrepreneurial talent is correlated with a balanced skill set. Our results thus hint at the need for theories on the origins of a balanced skill set that integrate both views.
|Item Type:||MPRA Paper|
|Original Title:||Balanced skills among nascent entrepreneurs|
|Keywords:||Nascent entrepreneurship; balanced skills; human capital; new venture creation; entrepreneurship|
|Subjects:||L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L26 - Entrepreneurship
J - Labor and Demographic Economics > J2 - Demand and Supply of Labor > J24 - Human Capital; Skills; Occupational Choice; Labor Productivity
M - Business Administration and Business Economics; Marketing; Accounting > M1 - Business Administration > M13 - New Firms; Startups
|Depositing User:||Dr. Michael Stützer|
|Date Deposited:||21. Mar 2012 13:20|
|Last Modified:||13. Feb 2013 14:09|
Audretsch, D. B., & Keilbach, M. (2004). Entrepreneurship capital and economic performance. Regional Studies, 38(8), 949-959.
Ashenfelter, O., & Rouse, C. (1998). Income, schooling, and ability: Evidence from a new sample of identical twins. Quarterly Journal of Economics, 113(1), 253-284.
Åstebro, T., & Thompson, P. (2011). Entrepreneurs, Jacks of all trades or Hobos? Research Policy, 40(5), 637-349.
Backes-Gellner, U., Tuor, S. N., & Wettstein, D. (2010). Differences between entrepreneurs and employees in their educational paths. Empirical Research in Vocational Education and Training, 2(2), 83–105.
Baum, R. J., & Locke, E. A. (2004). The relationship of entrepreneurial traits, skill, and motivation to subsequent venture growth. Journal of Applied Psychology, 89(4), 587-598.
Baumol, W. J. (2005). Education for innovation: Entrepreneurial breakthroughs versus corporate incremental improvements. In. A. B. Jaffe, J. Lerner, & Scott Stern (Eds.), Innovation policy and the economy, Volume 5 (pp. 33-56), Cambridge (MA): MIT Press.
Becker, G. S. (1964). Human capital. Chicago: University of Chicago Press.
Belli, R. F., Lee, E. H., Stafford, F. P., & Chou, C. (2004). Calendar and question-list survey methods: Association between interviewer behaviors and data quality. Journal of Official Statistics, 20(2), 185-218.
Bertrand, M., & Mullainathan, S. (2004). Are Emily and Greg more employable than Lakisha and Jamal? A field experiment on labor market discrimination. American Economic Review, 94(4), 991-1013.
Block, J. (1971). Lives through times. Berkeley, CA: Bancroft.
Bosma, N., Van Praag, M., Thurik, T., & Wit, G. (2004). The value of human and social capital investments for the business performance of startups. Small Business Economics, 23(3), 227-236.
Brixy, U., & Hessles, J. (2010). Human capital and start-up success of nascent entrepreneurs. Sacles Research Reports H201013. EIM Business and Policy Research. http://www.entrepreneurship-sme.eu/pdf-ez/H201013.pdf. Accessed 20 Jan 2011.
Brush, C. G., Edelman, L. F., & Manolova, T. S. (2008). The effect of initial location, aspirations, and resources on likelihood of first sale in nascent firms. Journal of Small Business Management, 46(2), 159-182.
Brüderl, J., Preisendörfer, P., & Ziegler, R. (1992). Survival chances of newly founded business organizations. American Sociological Review, 57(2), 227-242.
Bublitz, E., & Noseleit, F. (2011). The skill balancing act: Determinants of and returns to balanced skills. Jena Economic Research Papers, 2011-025.
Cameron, A. C., & Trivedi, P. K. (2001). Essentials of count data regression. In B. Baltagi (Ed.) A companion to theoretical econometrics (pp. 331-348), Oxford (U.K.): Blackwell.
Carter, N. M., Gartner, W. B., & Reynolds, P. D (1996). Exploring start-up event sequences. Journal of Business Venturing, 11(3), 151-166.
Caspi, A., Moffitt, T. E., Thornton, A., Freedman, D., Amell, J. W., Harrington, H., Smeijers, J., & Silva, P. A. (1996). The Life History Calendar: A research and clinical assessment method for collecting retrospective event-history data. International Journal of Methods in Psychiatric Research, 6(2), 101-114.
Caspi, A., Roberts, B. W., & Shiner, R. L. (2005). Personality development: Stability and change. Annual Review of Psychology, 56, 453-484.
Cooper A. C., Gimeno-Gascon, F. J., & Woo, C. Y. (1994). Initial human and financial capital as predictors of new venture performance. Journal of Business Venturing, 9(5), 371-395.
Csikszentmihalyi, M., Rathunde, K., & Whalen, S. (1993). Talented teenagers: The roots of success and failure. Cambridge: Cambridge University Press.
Davidsson, P. (2008). The entrepreneurship research challenge, Cheltenham (UK): Edward Elgar.
Davidsson, P., & Honig, B. (2003). The role of social and human capital among nascent entrepreneurs. Journal of Business Venturing, 18(3), 301-331.
Davidsson, P., & Gordon, S. R. (in press). Panel studies of new venture creation: A methods-focused review and suggestions for future research. Small Business Economics, doi: 10.1007/s11187-011-9325-8.
Davidsson, P., Steffens, P. R., Gordon, S. R., & Senyard, J. M. (2008). Characteristics of high-potential start-ups: some early observations from the CAUSEE project. Eprints: http://eprints.qut.edu.au/19649/1/c19649.pdf. Accessed May 5 2009.
Delmar, F., & Gunnarsson, J. (2000). How do self-employed parents of nascent entrepreneurs contribute?, in: Frontiers of Entrepreneurship Research, Wellesley: Babson.
Eisenhardt, K. M., & Schoonhove, C. B. (1990). Organizational growth: linking founding team, strategy, environment, and growth among U.S. semiconductor ventures, 1978-1988. Administrative Science Quarterly, 57(1), 4-15.
Elder, G. H., Jr. (1994). Time, human agency, and social change: Perspectives on the life course. Social Psychology Quarterly, 57(1), 4-15.
Elfenbein, D. W., Hamilton, B. H., & Zenger, T. R. (2010). The small firm effect and the entrepreneurial spawning of scientists and engineers. Management Science, 56(4), 659–681.
Evans, D. S., & Leighton, L. S. (1989). Some empirical aspects of entrepreneurship. American Economic Review, 79(3), 519-535.
Falck, O., Heblich, S., & Luedemann, E. (in press). Identity and entrepreneurship: Do school peers shape entrepreneurial intentions? Small Business Economics. doi:10.1007/s11187-010-9292-5.
Fayol, H. (1916). Administration Industrielle et Générale, Paris: Dunod.
Gartner, W. B. (1988), “Who Is an Entrepreneur?” is the wrong question. Entrepreneurship Theory & Practice, 12(4), 11-32.
Gimeno, J., Folta, T. B., Cooper, A. C., & Woo, C. Y. (1997). Survival of the fittest? Entrepreneurial human capital and the persistence of underperforming firms. Administrative Science Quarterly, 42(4), 750-783.
Hartog, J., van Praag, M., & van der Sluis, J. (2010). If you are so smart, why aren’t you an entrepreneur? Returns to cognitive and social ability: Entrepreneurs versus employees. Journal of Economics & Management Strategy, 19(4), 947–989.
Hausman, J. A., Hall, B. H., & Griliches, Z. (1984). Econometric models for count data with an application to the patents-R&D relationship. Econometrica, 42(4), 909-938. Heller, K. A., Mönks, F. J., Sternberg, R. J., & Subotnik, R. F. (2000). International handbook of giftedness and talent. Oxford, UK: Elsevier.
Hisrich, R., Langan-Fox, J., & Grant, S. (2007). Entrepreneurship research and practice. A call to action for psychology. American Psychologist, 62(6), 575-589. Holtz-Eakin, D., Joulfaian, D., & Rosen H. S. (1994). Entrepreneurial decisions and liquidity constraints. RAND Journal of Economics, 25(2), 334-347.
Hunt, J. (2002). The transition in East Germany: When is a ten-point fall in the gender wage gap bad news? Journal of Labor Economics, 20(1), 148-169.
Kaas, L., & Manger, C. (in press). Ethnic discrimination in Germany’s labour market: a field experiment. German Economic Review, DOI: 10.1111/j.1468-0475.2011.00538.x.
Katz, J., & Gartner, W. B. (1988). Properties of emerging organizations. Academy of Management Review, 13(3), 429-441.
King, G. (1989). Variance specification in event count models: from restrictive assumptions to a generalized estimator. American Journal of Political Science, 33(3), 762-784.
Kirzner, I. (1973). Competition and entrepreneurship, Chicago: University of Chicago Press.
Knight, F. H. (1921). Risk, uncertainty and profit. New York: Houghton Mifflin Co.
Kösters, S., & Obschonka, M. (2011). Public business advice in the founding process – an empirical evaluation of subjective and economic effects. Environment & Planning C: Government & Policy, 29(4), 577-604.
Krueger, N. F. (2007). What lies beneath? The experiential essence of entrepreneurial thinking. Entrepreneurship: Theory & Practice, 31(1), 123-138.
Kuratko, D. F. (2005). The emergence of entrepreneurship education: Development, trends, and challenges. Entrepreneurship Theory & Practice, 29(5), 577-598.
Laub, J. H., & Sampson, R. J. (2003). Shared beginnings, divergent lives: Delinquent boys to age 70. Harvard University Press, Cambridge.
Lazear, E. P (2003). Entrepreneurship. Institute for the Study of Labor, Discussion Paper No. 760, Bonn.
Lazear, E. P. (2005). Entrepreneurship. Journal of Labor Economics, 23(4), 649-680.
Lechner, C., & Dowling, M. (2003). Firm networks: external relationshipds as sources for the growth and competitiveness of entrepreneurial firms. Entrepreneurship and Regional Development, 15(1), 1-26.
Lerner, R. M. (2006). Developmental science, developmental systems, and contemporary theories of human development. In W. Damon & R. M. Lerner (Eds.), Handbook of child psychology: Vol. 1. Theoretical models of human development (pp. 1-17). Hoboken, NJ: Wiley.
Liao, J., & Gartner, W. B. (2006). The effects of pre-venture plan timing and perceived environmental uncertainty on the persistence of emerging firms. Small Business Economics, 27(1), 23-40.
Liao, J., & Welsch, H. (2008). Patterns of venture gestation process: Exploring the differences between tech and non-tech nascent entrepreneurs. Journal of High Technology Management Research, 19(2), 103-113.
Lichtenstein, B. B., Dooley, K. C., & Lumpkin, T. (2006). Measuring emergence in the dynamics of new venture creation. Journal of Business Venturing, 21(2) 153-175.
Lucas, R. E. (1978). On the size distribution of business firm. Bell Journal of Economics, 9(2), 508-523.
Magnusson, D. (1998). The logic and implications of a person-oriented approach. In R. B. Cairns, L. R. Bergman & J. Kagan (Eds.), Methods and models for studying the individual (pp. 33-64). Thousand Oaks, CA: Sage.
Mintzberg, H. (1973). The nature of managerial work, New York: Harper & Row.
Newbert, S. L. (2005). New firm formation: A dynamic capability perspective. Journal of Small Business Management, 43(1), 55-77.
Oberschachtsiek, D. (in press). The experience of the founder and self-employment duration: A comparative advantage approach. Small Business Economics, doi: 10.1007/s11187-010-9288-1.
Obschonka, M., Silbereisen, R.K., & Schmitt-Rodermund, E. (2010), Entrepreneurial intention as developmental outcome. Journal of Vocational Behavior, 77(1), 63-72.
Obschonka, M., Silbereisen, R. K., & Schmitt-Rodermund, E. (2011a). Successful entrepreneurship as developmental outcome: A path model from a lifespan perspective of human development. European Psychologist, 16(3), 174-186.
Obschonka, M., Silbereisen, R. K., Schmitt-Rodermund, E., & Stuetzer, M. (2011b). Nascent entrepreneurship and the developing individual: Early entrepreneurial competence in adolescence and venture creation success during the career. Journal of Vocational Behavior, 79(1), 121-133.
Ostendorf, E. (1990). Sprache und Persönlichkeitsstruktur: Zur Validität des Fünf-Faktoren-Modells der Persönlichkeit [Language and personality structure: Toward the validation of the five-factor model of personality]. Regensburg, Germany: S. Roeder Verlag.
Parker, S. C. (2009). Why do small firms produce the entrepreneurs. Journal of Socio-Economics, 38(3), 484-494.
Parker, S. C., & Belghitar, Y. (2006). What happens to nascent entrepreneurs? An econometric analysis of the PSED. Small Business Economics, 27(1), 81-101.
Rauch, A., & Frese, M. (2007). Born to be an entrepreneur? Revisiting the personality approach to entrepreneurship. In R. J. Baum., M. Frese, & R. A. Baron (Eds.), The psychology of entrepreneurship (pp. 41-65). Mahwah (NJ): Erlbaum.
Rosenfeld, R., Trappe, H., & Gornick, J. C. (2004). Gender and work in Germany: before and after reunification. Annual Review of Sociology, 30, 103-124.
Rosti, L., & Chelli, F. (2005). Gender discrimination, entrepreneurial talent and self-employment. Small Business Economics, 24, 131-142.
Rutter, M. (2006). Genes and behavior: Nature-nurture interplay explained. Malden, MA: Blackwell Publishing.
Samuelsson, M., & Davidsson, P. (2009). Does venture opportunity variation matter? Investigating systematic differences between innovative and imitative new ventures. Small Business Economics, 33(2), 229-255.
Sarasvathy, S., & Menon, A. (2006). Failing firms and successful entrepreneurs: Serial entrepreneurship as a temporal portfolio. Paper for the workshop on Firm Exit and Serial Entrepreneurship, Max Planck Institute of Economics, Jena, Germany.
Schmitt-Rodermund, E. (2004). Pathways to sucsessful entrepreneurship: Parenting, personality, competence, and interests. Journal of Vocational Behavior, 65(3), 498-518.
Schmitt-Rodermund, E. (2007). The long way to entrepreneurship: Personality, parenting, early interests and competencies for entrepreneurial activity among the termites. In R. K. Silbereisen, & R. M. Lerner (Eds.), Approaches to Positive Youth Development (pp. 205-224). Thousand Oaks: Sage.
Schoon, I. (2001). Teenage job aspirations and career attainment in adulthood: A 17-year follow-up study of teenagers who aspired to become scientists, health professionals, or engineers. International Journal of Behavioral Development, 25(2), 124-132.
Schulz, T. W. (1980). Investment in entrepreneurial ability. Scandinavian Journal of Economics, 82(4), 437-448. Schumpeter, J. A. (1934). The theory of economic development. Cambridge, MA: Havard University Press.
Sexton, D. L. & Upton, N. B. (1987). Evaluation of an innovative approach to teaching entrepreneurship. Journal of Small Business Management, 25(1), 35-43.
Shane, S. (2000). Prior knowledge and the discovery of entrepreneurial opportunities. Organization Science, 11(4), 448-469.
Shane, S., & Cable, D. (2002). Network ties, reputation, and the financing of new ventures. Management Science, 48(3), 364-381.
Shane, S., Nicolaou, N., Cherkas, L., & Spector, T. D. (2010). Genetics, the Big Five, and the tendency to be self-employed. Journal of Applied Psychology, 95(6), 1154-1162.
Shane, S. A., & Venkataraman, S. (2000). The promise of entrepreneurship as a field of research. Academy of Management Review, 25(1), 217-226.
Silbereisen, R. K., Eyferth, K., & Rudinger, G. (1986). Development as action in context. Problem behavior and normal youth development. Berlin: Springer.
Silva, O. (2007). The jack-of-all-trades entrepreneur: Innate talent or acquired skill. Economic Letters, 97(2), 118-123.
Stam, E., Audretsch, D.B., & Meijaard, J. (2008). Renascent entrepreneurship. Journal of Evolutionary Economics, 18(3), 493-507.
Unger, J. M., Rauch, A., Frese, M., & Rosenbusch, N. (2011). Human capital and entrepreneurial success: A meta-analytical review. Journal of Business Venturing, 26, 341-358.
Uzzi, B. (1997). Social structure and competition in interfirm networks: the paradox of embeddedness, Administrative Science Quarterly, 42(1), 35-67.
Tornikoski, E. T., & Newbert, S. L. (2007). Exploring the determinants of organizational emergence. Journal of Business Venturing, 22(2), 311-335.
Wagner, J. (2004). Are young and small firms hothouses for nascent entrepreneurs? Evidence from German micro data. Applied Economics Quarterly, 50(4), 379-391.
Wagner, J. (2006). Are nascent entrepreneurs jack-of-all-trades? A test of Lazear’s theory of entrepreneurship using German data. Applied Economics, 38(20), 2415-2419.
Winkelmann, R., & Zimmermann, K. F. (2001). A new approach for modelling economic count data. Economics Letters, 37(2), 139-143.
Zhang, Z., & Arvey, R. D. (2009). Rule breaking in adolescence and entrepreneurial status: An empirical investigation. Journal of Business Venturing, 24(5), 436-447.
Zheng, B., & Agresti, A. (2000). Summarizing the predictive power of a generalized linear model. Stastics in Medicine,19(13), 1771-1781.
Available Versions of this Item
- Balanced skills among nascent entrepreneurs. (deposited 21. Mar 2012 13:20) [Currently Displayed]