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NOTE: Since 2009 the title of the International Journal of Entrepreneurship Education (IJEE) has been changed to the title above.  ISSN numbers: IJEE 1649-2269 and IRE 2009-2822

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Article #1537 - Business Takeover or New Venture? (Why) Do Women Prefer New Ventures?

IRE Vol 14: Issue 3, 2016 (Published September 16th)

Author(s): Rosemarie Kay and Nadine Schlömer-Laufen (Institut für Mittelstandsforschung [IfM] Bonn Maximilianstr, Germany)

Abstract:
This paper analyzes the role of (nascent) entrepreneurs’ sex in choosing the mode of business entry. Using a unique data set and estimating logit regressions we show that nas-cent entrepreneurs’ sex indeed affects their intended and actually chosen mode of entry. Compared to men, women are less likely to (intend to) take over a business than to start one from scratch because of gender differences in nascent entrepreneurs’ resources (specific qualifications, time resources, and the capability of opportunity recognition) and other factors which affect the mode of entry. Though women are an underutilized potential as family business successors, tapping this potential requires fundamental societal changes, e.g. in regard to the gender-related division of labor and vocational choice.

Keywords: mode of business entry, gender, resources, business creation process

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