Determinants of opportunity entrepreneurship: a comparison between males and females in Mexico

Authors

  • María Eugenia Elizundia Universidad Anáhuac, Facultad de Economía y Negocios

Abstract

The majority of research into opportunity entrepreneurship, defined as start-up attempts based on perceived business opportunities, has been conducted in either high- or low-income countries. However, the characteristics of these types of entrepreneurship in middle-income countries are very scarce, especially in Latin America. The purpose of this paper was to analyze and compare the factors that influence opportunity entrepreneurship using the data obtained from the Global Entrepreneurship Monitor (GEM) (Adult Population Survey [APS], 2015), comparing the results between males and females in Mexico. The empirical research employs a logistic regression model. The main findings highlight that perceived capabilities, work status, income level and age exert a positive influence on opportunity entrepreneurship, while the factors of fear of failure or education apparently exert no influence on this type of venture. The results also show that there are no differences between males and females. The research contributes to an increasing flow of literature on this phenomenon in one of the most important countries in this region.

Keywords:

Entrepreneurship, Gender, Latin America, GEM, Mexico

References

Arenius, P., & Clercq, D. D. (2005). A network-based approach on opportunity recognition. Small business economics, 24(3), 249-265.

Arenius, P., & Minniti, M. (2005). Perceptual Variables and Nascent Entrepreneurship. Small Business Economics, 24(3), 233. doi:10.1007/s11187-005-1984-x

Ashe, F., Treanor, L., de los Dolores González, M., & Husted, B. W. (2011). Gender, human capital, and opportunity identification in Mexico. International Journal of Gender and Entrepreneurship, 3(3), 236-253.

Åstebro, T., & Bernhardt, I. (2003). Start-up financing, owner characteristics, and survival. Journal of Economics and Business, 55(4), 303-319.

Autio, E., & Acs, Z. (2010). Intellectual property protection and the formation of entrepreneurial growth aspirations. Strategic Entrepreneurship Journal, 4(3), 234-251.

Baptista, R., Karaöz, M., & Mendonça, J. (2014). The impact of human capital on the early success of necessity versus opportunity-based entrepreneurs. Small Business Economics, 42(4), 831-847.

Baron, R., & Henry, R. (2006). The role of expert performance in entrepreneurship: how entrepreneurs acquire the capacity to excel. In Babson Conference Proceedings.

Bergmann, H., & Sternberg, R. (2007). The changing face of entrepreneurship in Germany. Small Business Economics, 28(2), 205-221.

Bhagavatula, S., Elfring, T., Van Tilburg, A., & Van De Bunt, G. G. (2010). How social and human capital influence opportunity recognition and resource mobilization in India’s handloom industry. Journal of Business Venturing, 25(3), 245-260.

Birley, S. (1989). Female Entrepreneurs: are the really any Different? Journal of Small Business Management, 27(1), 32-37.

Block, J., Sandner, P., & Spiegel, F. (2015). How do risk attitudes differ within the group of entrepreneurs? The role of motivation and procedural utility. Journal of Small Business Management, 53(1), 183-206.

Block, J. H., & Wagner, M. (2010). Necessity and opportunity entrepreneurs in Germany: Characteristics and earnings differentials. Schmalenbach Business Review, 62(2), 154-174.

Boyles, T. (2012). 21st century knowledge, skills, and abilities and entrepreneurial competencies: a model for undergraduate entrepreneurship education. Journal of Entrepreneurship Education, 15, 41-55.

Brush, C. G., & Cooper, S. Y. (2012). Female entrepreneurship and economic development: An international perspective. Entrepreneurship & Regional Development, 24(1), 1-6. doi:10.1080/08985626.2012.637340

Carter, S., Shaw, E., Lam, W., & Wilson, f. (2007). Gender, Entrepreneurship, and Bank Lending: The Criteria and Processes Used by Bank Loan Officers in Assessing Applications. Entrepreneurship Theory and Practice, 31(3), 427-444.

Cassar, G. (2006). Entrepreneur opportunity costs and intended venture growth. Journal of Business Venturing, 21(5), 610-632.

DeTienne, D. R., & Chandler, G. N. (2007). The Role of Gender in Opportunity Identification. Entrepreneurship: Theory & Practice, 31(3), 365-386.

Diaz Casero, J. C., Hernandez, R., & Barata, M. (2007). Estudiantes universitarios y creación de empresas. Un análisis comparativo entre España y Portugal. Conocimiento, innovación y emprendedores: camino al futuro. https://dialnet.unirioja.es/descarga/articulo/2234363.pdf

Díaz García, C. y. J. M. J. (2010). Recursos y resultados de las pequeñas empresas: nuevas perspectivas del efecto del género. Cuadernos de Economía y Dirección de Empresa, 42, 151-176.

Elizunda, M. (2014). Female Entrepreneurship a comparison between Mexico, Brasil and Chile. Estudios de Administración, 21 (2), 1-31.

Fairlie, R. W., & Robb, A. M. (2009). Gender differences in business performance: evidence from the Characteristics of Business Owners survey. Small Business Economics, 33(4), 375-395. doi:10.1007/s11187-009-9207-5

Gatewood, E., Brush, C., Carter, N., Greene, P., & Hart, M. (2009). Diana: a symbol of women entrepreneurs’ hunt for knowledge, money, and the rewards of entrepreneurship. Small Business Economics, 32(2), 129-144. doi:10.1007/s11187-008-9152-8

Georgellis, Y., Sessions, J., & Tsitsianis, N. (2007). Pecuniary and non-pecuniary aspects of self-employment survival. The Quarterly Review of Economics and Finance, 47(1), 94-112.

Giacomin, O., Guyot, J.-L., Janssen, F., & Lohest, O. (2007). Novice creators: personal identity and push pull dynamics. In 52th International Council for Small Business (ICSB) World conference (pp. 1-30).

Gonzalez-Alvarez, N., & Solis-Rodriguez, V. (2011). Discovery of entrepreneurial opportunities: a gender perspective. Industrial Management & Data Systems, 111(5), 755-775.

Greve, A., & Salaff, J. W. (2003). Social networks and entrepreneurship. Entrepreneurship theory and practice, 28(1), 1-22.

Hamilton, L. (2003). Competitive advantages and the smes: the role of distinctive competences as determinants of success, are there differences across gender, sector, and size? (Dissertation/Thesis), Universitat Autònoma de Barcelona. http://hdl.handle.net/10803/3951

Hechavarria, D., & Reynolds, P. (2009). Cultural norms & business start-ups: the impact of national values on opportunity and necessity entrepreneurs. International Entrepreneurship & Management Journal, 5(4), 417-437.

Herrera Echeverri, H. (2009). Research into social and entrepreneurship networks: A literature review and future agenda. Innovar, 19(33), 19-33.

Hessels, J., Van Gelderen, M., & Thurik, R. (2008). Entrepreneurial aspirations, motivations, and their drivers. Small Business Economics, 31(3), 323-339.

Keh, H. T., Foo, M. D., & Lim, B. C. (2002). Opportunity evaluation under risky conditions: The cognitive processes of entrepreneurs. Entrepreneurship theory and practice, 27(2), 125-148.

Kelley, D., Singer, S., & Harrington, M. (2015). Global Entrepreneurship Monitor. Global Report, Global Entrepreneurship Research Association, London Business School, Regents Park, London NW1 4SA, UK.

Kim, P. H., Aldrich, H. E., & Keister, L. A. (2006). Access (Not) Denied: The Impact of Financial, Human, and Cultural Capital on Entrepreneurial Entry in the United States, Small business economics, 27(1), 5-22.

Langowitz, N., & Minniti, M. (2007). The entrepreneurial propensity of women. Entrepreneurship theory and practice, 31(3), 341-364.

Levesque, M., & Minniti, M. (2006). The effect of aging on entrepreneurial behavior. Journal of Business Venturing, 21(2), 177-194.

Levy, F., & Murnane, R. (2007). How computerized work and globalization shape human skill demands. Learning in the global era: International perspectives on globalization and education, 158-174.

McMullen, J. S., & Shepherd, D. A. (2006). Entrepreneurial action and the role of uncertainty in the theory of the entrepreneur. Academy of Management review,31(1), 132-152.

Minniti, M. (2010). Female Entrepreneurship and Economic Activity. European Journal of Development Research, 22(3), 294-312. doi:10.1057/ejdr.2010.18

Morales-Gualdrón, S. T., & Roig, S. (2005). The new venture decision: An analysis based on the GEM project database. The International Entrepreneurship and Management Journal, 1(4), 479-499.

Noguera, M., Alvarez, C., Ribeiro, D., & Urbano, D. (2013). Sociocultural Factors and Female Entrepreneurship in the Innovative Service Sector in Catalonia: A Qualitative Analysis. In J. J. M. Ferreira, M. Raposo, R. Rutten, & A. Varga (Eds.), Cooperation, Clusters, and Knowledge Transfer (pp. 141-162): Springer Berlin Heidelberg.

Poschke, M. (2013). Who becomes an entrepreneur? Labor market prospects and occupational choice. Journal of Economic Dynamics and Control, 37(3), 693-710.

Puhakka, V. (2006). Effects of social capital on the opportunity recognition process. Journal of Enterprising Culture, 14(02), 105-124.

Rosa, P., & Dawson, A. (2006). Gender and the commercialization of university science: academic founders of spinout companies. Entrepreneurship and Regional Development, 18(4), 341-366.

Sahasranamam, S., & Sud, M. (2016). Opportunity and necessity entrepreneurship:A comparative study of India and China. Academy of Entrepreneurship Journal, 22(1), 21-40.

Shane S., V., S. (2000). The Promise of Entrepreneurship as a Field of Research. Academy of management review, 25(1), 217-226.

Shane, S. A. (2008). The illusions of entrepreneurship: The costly myths that entrepreneurs, investors, and policy makers liveby: Yale University Press.

Sorenson, R. L., Folker, C. A., & Brigham, K. H. (2008). The collaborative network orientation: Achieving business success through collaborative relationships. Entrepreneurship Theory and Practice, 32(4), 615-634.

Tang, J., Kacmar, K. M. M., & Busenitz, L. (2012). Entrepreneurial alertness in the pursuit of new opportunities. Journal of Business Venturing, 27(1), 77-94.

Ucbasaran, D., Westhead, P., & Wright, M. (2008). Opportunity identification and pursuit: Does an entrepreneur’s human capital matter? Small Business Economics, 30(2), 153-173.

Van Stel, A., Carree, M., & Thurik, R. (2005). The Effect of Entrepreneurial Activity on National Economic Growth. Small Business Economics, 24(3), 311.

Wagner, J. (2005). Nascent necessity and opportunity entrepreneurs in Germany evidence from the regional entrepreneurship monitor (REM). Labor and Demography, 506004. http://ftp.iza.org/dpl608.pdf

Wagner, K., & Ziltener, A. (2008). The nascent entrepreneur at the crossroads: entrepreneurial motives as determinants for different types of entrepreneurs. Discussion Papers on Entrepreneurship and Innovation, Swiss Institute for Entrepreneurship.

Wilson, F., Kickul, J., & Marlino, D. (2007). Gender, Entrepreneurial Self-Efficacy, and Entrepreneurial Career Intentions: Implications for Entrepreneurship Education. Entrepreneurship Theory and Practice, 31(3), 387-406. doi:10.1111/j.1540-6520.2007.00179.x

Wright, M., Lockett, A., Clarysse, B., & Binks, M. (2006). University spin-out companies and venture capital. Research policy, 35(4), 481-501.