Competitive Pressures and Transition to Entrepreneurship: Empirical Evidence from Female Workers

Virgilio Failla, Francesca Melillo, Toke Reichstein

    Publikation: Bidrag til konferencePaperForskningpeer review

    Resumé

    This paper investigates whether the likelihood of entrepreneurial activity is associated with the competitive pressures for promotion within a firm. We argue that competitive pressures increase the relative attractiveness of entrepreneurship as a career option. We test our prediction using a comprehensive matched employer-employee longitudinal data set from Denmark. To mitigate endogeneity concerns, we exploit variation in the gender composition of established firms as women are systematically found to be less competitive than man. We find that workers are more likely to become entrepreneurs if they start working in organizational settings with strong competitive pressures. Furthermore, this competitive effect is more pronounced in firms that are entrepreneurially prominent, i.e. firms that spawn more entrepreneurial ventures, suggesting that combining different sources of incentives to entrepreneurship has a positive non-linear effect. Our results have strong implications for managers, prospect entrepreneurs and policy makers.
    This paper investigates whether the likelihood of entrepreneurial activity is associated with the competitive pressures for promotion within a firm. We argue that competitive pressures increase the relative attractiveness of entrepreneurship as a career option. We test our prediction using a comprehensive matched employer-employee longitudinal data set from Denmark. To mitigate endogeneity concerns, we exploit variation in the gender composition of established firms as women are systematically found to be less competitive than man. We find that workers are more likely to become entrepreneurs if they start working in organizational settings with strong competitive pressures. Furthermore, this competitive effect is more pronounced in firms that are entrepreneurially prominent, i.e. firms that spawn more entrepreneurial ventures, suggesting that combining different sources of incentives to entrepreneurship has a positive non-linear effect. Our results have strong implications for managers, prospect entrepreneurs and policy makers.

    Konference

    KonferenceThe DRUID 20th Anniversary Conference 2016
    Nummer38
    LokationCopenhagen Business School
    LandDanmark
    ByKøbenhavn
    Periode13/06/201615/06/2016
    AndetThe DRUID Society Conference 2016
    SponsorCopenhagen Business School
    Internetadresse

    Emneord

    • Competitive pressures
    • Entrepreneurship
    • Entrepreneurial prominence
    • Gender

    Citer dette

    Failla, V., Melillo, F., & Reichstein, T. (2016). Competitive Pressures and Transition to Entrepreneurship: Empirical Evidence from Female Workers. Afhandling præsenteret på The DRUID 20th Anniversary Conference 2016, København, Danmark.
    Failla, Virgilio ; Melillo, Francesca ; Reichstein, Toke. / Competitive Pressures and Transition to Entrepreneurship : Empirical Evidence from Female Workers. Afhandling præsenteret på The DRUID 20th Anniversary Conference 2016, København, Danmark.39 s.
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    abstract = "This paper investigates whether the likelihood of entrepreneurial activity is associated with the competitive pressures for promotion within a firm. We argue that competitive pressures increase the relative attractiveness of entrepreneurship as a career option. We test our prediction using a comprehensive matched employer-employee longitudinal data set from Denmark. To mitigate endogeneity concerns, we exploit variation in the gender composition of established firms as women are systematically found to be less competitive than man. We find that workers are more likely to become entrepreneurs if they start working in organizational settings with strong competitive pressures. Furthermore, this competitive effect is more pronounced in firms that are entrepreneurially prominent, i.e. firms that spawn more entrepreneurial ventures, suggesting that combining different sources of incentives to entrepreneurship has a positive non-linear effect. Our results have strong implications for managers, prospect entrepreneurs and policy makers.",
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    Failla, V, Melillo, F & Reichstein, T 2016, 'Competitive Pressures and Transition to Entrepreneurship: Empirical Evidence from Female Workers' Paper fremlagt ved The DRUID 20th Anniversary Conference 2016, København, Danmark, 13/06/2016 - 15/06/2016, .

    Competitive Pressures and Transition to Entrepreneurship : Empirical Evidence from Female Workers. / Failla, Virgilio; Melillo, Francesca; Reichstein, Toke.

    2016. Afhandling præsenteret på The DRUID 20th Anniversary Conference 2016, København, Danmark.

    Publikation: Bidrag til konferencePaperForskningpeer review

    TY - CONF

    T1 - Competitive Pressures and Transition to Entrepreneurship

    T2 - Empirical Evidence from Female Workers

    AU - Failla,Virgilio

    AU - Melillo,Francesca

    AU - Reichstein,Toke

    PY - 2016

    Y1 - 2016

    N2 - This paper investigates whether the likelihood of entrepreneurial activity is associated with the competitive pressures for promotion within a firm. We argue that competitive pressures increase the relative attractiveness of entrepreneurship as a career option. We test our prediction using a comprehensive matched employer-employee longitudinal data set from Denmark. To mitigate endogeneity concerns, we exploit variation in the gender composition of established firms as women are systematically found to be less competitive than man. We find that workers are more likely to become entrepreneurs if they start working in organizational settings with strong competitive pressures. Furthermore, this competitive effect is more pronounced in firms that are entrepreneurially prominent, i.e. firms that spawn more entrepreneurial ventures, suggesting that combining different sources of incentives to entrepreneurship has a positive non-linear effect. Our results have strong implications for managers, prospect entrepreneurs and policy makers.

    AB - This paper investigates whether the likelihood of entrepreneurial activity is associated with the competitive pressures for promotion within a firm. We argue that competitive pressures increase the relative attractiveness of entrepreneurship as a career option. We test our prediction using a comprehensive matched employer-employee longitudinal data set from Denmark. To mitigate endogeneity concerns, we exploit variation in the gender composition of established firms as women are systematically found to be less competitive than man. We find that workers are more likely to become entrepreneurs if they start working in organizational settings with strong competitive pressures. Furthermore, this competitive effect is more pronounced in firms that are entrepreneurially prominent, i.e. firms that spawn more entrepreneurial ventures, suggesting that combining different sources of incentives to entrepreneurship has a positive non-linear effect. Our results have strong implications for managers, prospect entrepreneurs and policy makers.

    KW - Competitive pressures

    KW - Entrepreneurship

    KW - Entrepreneurial prominence

    KW - Gender

    KW - Competitive pressures

    KW - Entrepreneurship

    KW - Entrepreneurial prominence

    KW - Gender

    M3 - Paper

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    Failla V, Melillo F, Reichstein T. Competitive Pressures and Transition to Entrepreneurship: Empirical Evidence from Female Workers. 2016. Afhandling præsenteret på The DRUID 20th Anniversary Conference 2016, København, Danmark.