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Regional influences on the prevalence of family versus non-family start-ups
Authors:Miriam Bird  Karl Wennberg
Affiliation:1. Stockholm School of Economics, P.O. Box 6501, Stockholm 11383, Sweden;2. The Ratio Institute, P.O. Box 3203, Stockholm 103 64, Sweden
Abstract:We integrate insights from family business and organizational ecology into the entrepreneurship field by constructing a theoretical framework that explains how the regional context impacts family and non-family start-ups in differing ways. Regional count data models based on a rich longitudinal dataset reveal that while economic factors such as population size and growth in regions are primarily associated with the number of non-family start-ups, factors related to regional embeddedness, such as pre-existing small family businesses as well as favorable community attitudes toward small businesses, are more strongly associated with the number of family start-ups. Our research provides support for the notion that ‘the regional context’ is an important yet under-theorized area for research on venture creation and family business.
Keywords:Family business   Start-ups   Organizational ecology   Regional environment
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