HCBE Faculty Presentations
Event Location / Date(s)
Academy of International Business – Southeast USA 2012 Annual Conference/Fort Lauderdale, FL
Event Name / Location
Academy of International Business - Southeast USA
Presentation Date
2012
Document Type
Conference Proceeding
ORCID ID
Florence Neymotin0000-0003-4692-9539
Description
We examined the effect of immigrant and ethnic enclaves on the success of entrepreneurial ventures as measured by firm profits and viability. Data on entrepreneurs and their new firms were provided byt eh kauffman Foundation and covered the years 2004-2008. These firm-level data were linked to Census 2000 Summary Files 3 and 4 at the ZIP Code level of measurement, and were used to empirically investigate the effect of enclaves. Our use of a selection correction allowed us to ground our analysis in a casual framework. We found a statistically significant negative effect of immigrant representation in an area on firm profitability. This effect operated on native, rather than immigrant, firm owners, which suggested that native-owned firms locating in immigrant enclaves may experience difficulty assimilating the benefits that enclaves offer. We used a unique measure of enclave representation to incorporate both immigrant, as well as ethnic, representation in the local area. Additionally, unlike previous studies, our analysis did not focus solely on immigrants or natives as the affected group of interest. Instead, we examined the effect of immigration on both immigrant- and native-owned firms in order to provide a broader scope and a more complete understanding of the effects of immigration on entrepreneurial ventures. Our analysis also expanded the existing literature with an examination of the reasons behind firm profitability and viability.
First Page
104
Last Page
104
NSUWorks Citation
Braymen, Charles and Neymotin, Florence, "Enclaves and Entrepreneurial Success" (2012). HCBE Faculty Presentations. 1024.
https://nsuworks.nova.edu/hcbe_facpres/1024