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Exploring motives and innovations in entrepreneurship

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  1. Exploring motives and innovations in entrepreneurship M. Kedalo P. Molchanov M. Neuvazhaeva N. Ryabtsev A. Yuzhaninova Moscow 2011

  2. Aim and tasks Investigate changes in motivation structure and innovation ability to create new ventures under influence of recession 2008-2009 • To studyinfluenceofvariable motives (social, economicandpersonal) onstarting-upandquitingthebusiness • To explorethedifferencesinmotivationbetween the necessitybasedentrepreneurshipandopportunitybasedentrepreneurship • Tostudytheeffectsoftherecessiononinnovationactivities and risk propensity • To explorethepossibilityofreturningtotheenterprisethroughinnovativeresource • To define a portraitofa smallinnovativeentrepreneur • To comparetheresultsforRussiaandtheNetherlands

  3. Object and subject O: motivation structure under condition of recession S: the influence on recession 2008-2009 on motives to create new ventures and to perform innovations in comparison between Russia and Netherlands

  4. Theoretical and empirical bases Research papers • "The fit between entrepreneurs' personalities and the profile of the ventures they manage and business success: An exploratory study", Journal of Business Venturing, 2010 • "Nascent entrepreneurship and the developing individual: Early entrepreneurial competence in adolescence and venture creation success during the career", Journal of Vocational Behavior, 2010 •  "The relationship between prior and subsequent new venture creation in the United States: A county level analysis", Journal of Business Venturing, 2009    • "To start or not to start: Outcome and ability expectations in the decision to start a new venture", Journal of Business Venturing, 2008  •  "Patterns of venture gestation process: Exploring the differences between tech and non-tech nascent entrepreneurs", The Journal of High Technology Management Research, 2008 • "A longitudinal study of cognitive factors influencing start-up behaviors and success at venture creation", Journal of Business Venturing, 1995 Empirical database • GEM dataset: motives: Q1d-Q2e3, Q2g-Q2gi, Q2OA-Q2OB, Q3a-Q3b, Q3d1-Q3d2, Q3g-Q3h, Q3OB innovations: Q2E1-Q2E3, Q6A17-Q6Q22, Q6B17-Q6B22 • Doing Business, IFC - World Bank

  5. Hypotheses • A portrait of a small innovative  entrepreneur in Russia and Netherlands differ (based on the motives, the "climate", the number of people in the team, age, education, etc.) • The financial aspect of motives has a large impact on entrepreneurial behavior • Self-esteem and perceptions of business climate affect the voluntary and involuntary entrepreneurship • The number ofentrepreneurs starting "for the sake of money" and “for self-realization" will differ in the Russia and Netherlands • In Russia risk propensity has risen more than in the Netherlands • Perception of the business environment of the entrepreneurs meets the objective situation • Unsuccessful business experience significantly affects the motivation of re-starting a business • The involvement of innovative activities before, during and after the recession significantly differ • During the recession intention to start both innovative and non-innovative ventures declines • Under the influence of the recessionthe number of the small innovative forms of entrepreneurship in theNetherlands becamehigher than in Russia

  6. Relevance of research Motivation Structure Recession impact Efficiency Innovation Innovations Opportunities Perception of opportunities ? ? Education and experience Capabilities Beliefs about capabilities Pessimism in Economy “red tape” Perception of necessity Fear of failure Intention to start business Using the database 2006-2009 we able to evaluate influence of recession 2008-2009 on changing in motivation structure in creation new ventures

  7. Your questions are welcome!