TY - JOUR A1 - Fossen, Frank M. A1 - Martin, Thorsten T1 - Entrepreneurial dynamics over space and time JF - Regional science and urban economics N2 - Entrepreneurship is a regional and persistent phenomenon. We jointly investigate spatial dependence and serial dynamics of new business formation. Using panel data from all 402 German counties for 1996-2011, we estimate dynamic spatial panel data models of start-up activity in the high-tech and manufacturing industries. We consider regions of different sizes and systematically search for the most suitable spatial weights matrices. We find substantial spatial dependence as well as time persistence of start-up activity, especially in the high-tech industry. This suggests that local start-up activity has positive extemal effects and that entrepreneurship policy could play an efficiency-enhancing role. KW - Entrepreneurship KW - New business formation KW - Spatial dependence KW - Path dependency KW - Persistence KW - Spatial panel Y1 - 2018 U6 - https://doi.org/10.1016/j.regsciurbeco.2018.04.004 SN - 0166-0462 SN - 1879-2308 VL - 70 SP - 204 EP - 214 PB - Elsevier CY - Amsterdam ER - TY - JOUR A1 - Konon, Alexander A1 - Fritsch, Michael A1 - Kritikos, Alexander T1 - Business cycles and start-ups across industries BT - An empirical analysis of German regions JF - Journal of Business Venturing Insights N2 - We analyze whether start-up rates in different industries systematically change with business cycle variables. Using a unique data set at the industry level, we mostly find correlations that are consistent with counter-cyclical influences of the business cycle on entries in both innovative and non-innovative industries. Entries into the large-scale industries, including the innovative part of manufacturing, are only influenced by changes in the cyclical component of unemployment, while entries into small-scale industries, like knowledge intensive services, are mostly influenced by changes in the cyclical component of GDP. Thus, our analysis suggests that favorable conditions in terms of high GDP might not be germane for start-ups. Given that both innovative and non-innovative businesses react counter-cyclically in ‘regular’ recessions, business formation may have a stabilizing effect on the economy. KW - New business formation KW - Entrepreneurship KW - Business cycle KW - Manufacturing KW - Services KW - Innovative industries Y1 - 2018 U6 - https://doi.org/10.1016/j.jbusvent.2018.04.006 SN - 0883-9026 SN - 1873-2003 VL - 33 IS - 6 SP - 742 EP - 761 PB - Elsevier CY - Amsterdam ER - TY - JOUR A1 - Konon, Alexander A1 - Kritikos, Alexander T1 - Prediction based on entrepreneurship-prone personality profiles: BT - sometimes worse than the toss of a coin JF - Small business economics : an international journal N2 - The human personality predicts a wide range of activities and occupational choices-from musical sophistication to entrepreneurial careers. However, which method should be applied if information on personality traits is used for prediction and advice? In psychological research, group profiles are widely employed. In this contribution, we examine the performance of profiles using the example of career prediction and advice, involving a comparison of average trait scores of successful entrepreneurs with the traits of potential entrepreneurs. Based on a simple theoretical model estimated with GSOEP data and analyzed with Monte Carlo methods, we show, for the first time, that the choice of the comparison method matters substantially. We reveal that under certain conditions the performance of average profiles is inferior to the tossing of a coin. Alternative methods, such as directly estimating success probabilities, deliver better performance and are more robust. KW - Advice KW - Personality KW - Entrepreneurship KW - Profiles Y1 - 2018 U6 - https://doi.org/10.1007/s11187-018-0111-8 SN - 0921-898X SN - 1573-0913 VL - 53 IS - 1 SP - 1 EP - 20 PB - Springer CY - Dordrecht ER - TY - JOUR A1 - Sorgner, Alina A1 - Fritsch, Michael A1 - Kritikos, Alexander T1 - Do entrepreneurs really earn less? JF - Small business economics : an international journal N2 - Based on large representative German household survey data, we compare incomes of the self-employed with those of paid employees. We find that the entrepreneurial income gap is largest for those holding a tertiary degree, but in two directions: positive for employers (self-employed with further employees) and negative for solo entrepreneurs. Entrepreneurs holding a tertiary degree also face the greatest income variation. However, some solo self-employed earn more than their employed counterparts, in particular those with a university entrance degree as the highest level of education. KW - Income KW - Entrepreneurship KW - Self-employment KW - Germany Y1 - 2017 U6 - https://doi.org/10.1007/s11187-017-9874-6 SN - 0921-898X SN - 1573-0913 VL - 49 SP - 251 EP - 272 PB - Springer CY - Dordrecht ER - TY - THES A1 - Henike, Tassilo T1 - Cognition and entrepreneurial business modelling BT - the impacts of cognitive dispositions, search activities and visual framing BT - Die Einflüsse kognitiver Dispositionen, Suchaktivitäten und visuellen Framings N2 - Although the search for promising business models (BMs) is crucial for every profit-oriented venture, searching for those challenges in particular entrepreneurs. Limited resources, missing expertise and absolute uncertainty call entrepreneurs to strongly rely on their cognition in searching for a promising BM. However, as prior studies have examined cognitive search activities in isolation and neglected cognitive differences, explanations of how cognitive factors affect the BM process and outcomes are thus far insufficient. Addressing the overall question of how BMs emerge, the dissertation contributes to the cognitive perspective in entrepreneurship and BM research. Building on the dual-process theory from cognitive psychology, the micro-foundations of managerial decision-making and insights from framing literature, this dissertation explicitly investigates the impacts of different cognitive dispositions, search activities and visual framing effects. The core assumption is that cognitive dispositions and entrepreneurs’ searches for information determine their BM decision-making. Furthermore, BM visualisations have become popular instruments with which to explain and manage today’s complex business interactions. As they abstract from reality, they can also unfold impacts on the cognitive processes. This dissertation offers new explanations to these aspects and consists of three studies and one reflective article. The first study explores the impacts of differences in search activities and cognitive dispositions in a qualitative study with 70 entrepreneurship students. The second qualitative study explores the cognitive impacts of 103 BM visualisations. Third, a quantitative PLS-SEM experiment with 197 entrepreneurs illuminates the link between BM visualisations and cognition. The reflective article expresses the results’ meaning for the teaching of BMs. In sum, the studies have resulted in a new theory of stabilising factors explaining how cognitive dispositions, search activities and visual framing determine entrepreneurs’ decisions to imitate or deviate from existing BMs. It indicates that the decision depends on the context-dependent strategic orientation and cognitive disposition-dependent cognitive safety, that is the correspondence between characteristics of cognitive dispositions and search activities. Moreover, the studies identified five visual framing effects that are independent of cognitive dispositions and prior experiences. This provides fertile contributions to the literature on BM methods and how BM visualisations affect decisions. Most importantly, BM visualisations provide an emotionally stabilising function to rational entrepreneurs, a cognitively stabilising function to experiential participants and do not affect indifferent participants in general. N2 - Die Suche nach vielversprechenden Geschäftsmodellen (GMen) ist für jedes gewinn-orientierte Unternehmen essenziell. Die Suche fordert vor allem Neugründer heraus. Aufgrund begrenzter Ressourcen, fehlender Erfahrungen und hoher Unsicherheit beruht deren Suche stark auf deren Kognition. Die bisherigen Erklärungen, wie sich kognitive Faktoren auf GM-Prozesse und -Ergebnisse auswirken, sind jedoch unzureichend. Diese vernachlässigen indivi¬duelle Unterschiede und betrachten ausschließlich einzelne, kognitive Suchaktivitäten. Diese Dissertation befasst sich folglich mit der allgemeinen Frage, wie GMe entstehen. Aufbauend auf der Dual-Process-Theorie, den Mikro-Grundlagen der Entscheidungsfindung und Framingeffekten werden die Auswirkungen verschiedener kognitiver Dispositionen, Suchaktivitäten und visueller Framingeffekte auf GM-Prozesse und -Ergebnisse untersucht. Grundlegend bestimmen die kognitive Disposition und Suchaktivitäten den Prozess. Darüber hinaus können auch GM-Visualisierungen Einflüsse entfalten, da sie von der Realität abstrahieren. Die Beantwortung der Frage, welche Einflüsse sie ausüben, ist bedeutend, da sie genutzt werden, um heutige, komplexe Geschäftsbeziehungen zu erklären und zu steuern. Die Dissertation bietet neue Erklärungen zu diesen Aspekten und besteht aus drei Studien und einem Reflexionsartikel. Die erste Studie untersucht die Auswirkungen von Unterschieden bei Suchaktivitäten und kognitiven Dispositionen in einer qualitativen Studie mit 70 Entrepre¬neurship-Studierenden. Die zweite, qualitative Studie untersucht die kognitiven Auswirkungen von 103 GM-Visualisierungen. Drittens beleuchtet ein quantitatives PLS-SEM-Experiment mit 197 Gründern die Beziehung zwischen GM-Visualisierungen und Kognition. Der Reflexions¬artikel beschreibt die Bedeutung der Ergebnisse für die GM-Lehre. Zusammenfassend trägt diese Dissertation zur kognitiven Perspektive der GM- und Ent¬repreneurship-Forschung bei. Die Ergebnisse eröffnen eine neue theoretische Erklärung und erweitern das Wissen über GM-Methoden. Sta¬bilisierende Faktoren wie der Zusammenhang zwischen Disposition und Suchaktivitäten sind Grundvoraussetzung für Gründer, um neuartige GMe zu entwickeln. Diese neue Erkenntnis wird durch das neue Konzept, kognitive Sicherheit, als kontext-unabhängige GM-Auswirkung be¬schrieben. Die strategische Orientierung wirkt sich kontextabhängig aus. Des Weiteren wurden fünf visuelle Framingeffekte identifiziert, die unabhängig von Disposition und Vorwissen Entscheidungen beeinflussen. Am bedeutendsten zeigt sich, dass GM-Visualisierungen emotional-stabilisierende Auswirkungen auf rationale und kognitiv-stabilisierende Auswirkungen auf erfahrungsgetriebene Gründer haben. T2 - Kognition und unternehmerische Geschäftsmodellierung KW - business models KW - cognition KW - visual tools KW - entrepreneurship KW - decision-making KW - Geschäftsmodelle KW - Kognition KW - visuelle Instrumente KW - Entrepreneurship KW - Entscheidungsfindung Y1 - 2019 ER - TY - JOUR A1 - Caliendo, Marco A1 - Hogenacker, Jens A1 - Kuenn, Steffen A1 - Wiessner, Frank T1 - Subsidized start-ups out of unemployment: a comparison to regular business start-ups JF - Small business economics : an international journal N2 - Offering unemployed individuals a subsidy to become self-employed is a widespread active labor market policy strategy. Previous studies have illustrated its high effectiveness to help participants escaping unemployment and improving their labor market prospects compared to other unemployed individuals. However, the examination of start-up subsidies from a business perspective has only received little attention to date. Using a new dataset based on a survey allows us to compare subsidized start-ups out of unemployment with regular business founders, with respect to not only personal characteristics but also business outcomes. The results indicate that previously unemployed entrepreneurs face disadvantages in variables correlated with entrepreneurial ability and access to capital. Nineteen months after start-up, the subsidized businesses experience higher survival, but lag behind regular business founders in terms of income, business growth and innovation. Moreover, we show that expected deadweight effects related to start-up subsidies occur on a (much) lower scale than usually assumed. KW - Entrepreneurship KW - Start-up subsidies KW - Evaluation KW - Deadweight effects KW - Innovation Y1 - 2015 U6 - https://doi.org/10.1007/s11187-015-9646-0 SN - 0921-898X SN - 1573-0913 VL - 45 IS - 1 SP - 165 EP - 190 PB - Springer CY - Dordrecht ER - TY - JOUR A1 - Caliendo, Marco A1 - Fossen, Frank A1 - Kritikos, Alexander T1 - Personality characteristics and the decisions to become and stay self-employed JF - Small business economics : an international journal N2 - Based on a large, representative German household panel, we investigate to what extent the personality of individuals influences the entry decision into and the exit decision from self-employment. We reveal that some traits, such as openness to experience, extraversion, and risk tolerance affect entry, but different ones, such as agreeableness or different parameter values of risk tolerance, affect exit from self-employment. Only locus of control has a similar influence on the entry and exit decisions. The explanatory power of all observed traits among all observable variables amounts to 30 %, with risk tolerance, locus of control, and openness having the highest explanatory power. KW - Entrepreneurship KW - Personality KW - Big five KW - Risk tolerance KW - Locus of control Y1 - 2014 U6 - https://doi.org/10.1007/s11187-013-9514-8 SN - 0921-898X SN - 1573-0913 VL - 42 IS - 4 SP - 787 EP - 814 PB - Springer CY - Dordrecht ER - TY - JOUR A1 - Caliendo, Marco A1 - Fossen, Frank A1 - Kritikos, Alexander T1 - Trust, positive reciprocity, and negative reciprocity Do these traits impact entrepreneurial dynamics? JF - Journal of economic psychology : research in economic psychology and behavioral economics N2 - Experimental evidence reveals that there is a strong willingness to trust and to act in both positively and negatively reciprocal ways. So far it is rarely analyzed whether these variables of social cognition influence everyday decision making behavior. We focus on entrepreneurs who are permanently facing exchange processes in the interplay with investors, sellers, and buyers, as well as needing to trust others and reciprocate with their network. We base our analysis on the German Socio-Economic Panel with its recently introduced questions about trust, positive reciprocity, and negative reciprocity to examine the extent that these variables influence the entrepreneurial decision processes. More specifically, we analyze whether (i) the willingness to trust other people influences the probability of starting a business; (ii) trust, positive reciprocity, and negative reciprocity influence the exit probability of entrepreneurs; and (iii) willingness to trust and to act reciprocally influences the probability of being an entrepreneur versus an employee or a manager. Our findings reveal that, in particular, trust impacts entrepreneurial development. Interestingly, entrepreneurs are more trustful than employees, but much less trustful than managers. KW - Entrepreneurship KW - Trust KW - Reciprocity Y1 - 2012 U6 - https://doi.org/10.1016/j.joep.2011.01.005 SN - 0167-4870 VL - 33 IS - 2 SP - 394 EP - 409 PB - Elsevier CY - Amsterdam ER -