IDEAS home Printed from https://ideas.repec.org/a/bpj/erjour/v10y2020i1p14n2.html
   My bibliography  Save this article

Do Entrepreneurial Assistance Programs Create Value for Agri-Food Entrepreneurs?

Author

Listed:
  • Lovgren Adam

    (Wonderful Nurseries, Visalia, CA, USA)

  • Ross R. Brent

    (Department of Agricultural, Food, and Resource Economics, Michigan State University, East Lansing, MI, USA)

  • Leschewski Andrea

    (Department of Economics, South Dakota State University, Brookings, SD, USA)

  • Peterson H. Christopher

    (Department of Agricultural, Food, and Resource Economics, Michigan State University, East Lansing, MI, USA)

Abstract

This study analyzes how agri-food Entrepreneurial Assistance Programs (EAPs) create value for entrepreneurs. Using the MSU Product Center as a unit of analysis, the effect of agri-food EAP assistance on firms’ venture evaluation, perceived legitimacy, and performance is examined. Results indicate that agri-food EAP assistance prevents untenable business ideas from launching, improves the survival of launched ventures and develops entrepreneurs’ perceived legitimacy with trading partners. Further, results imply that targeted EAPs are a viable policy approach for promoting entrepreneurial activity in the agri-food industry, and that they can be particularly well suited to assisting nascent entrepreneurs.

Suggested Citation

  • Lovgren Adam & Ross R. Brent & Leschewski Andrea & Peterson H. Christopher, 2020. "Do Entrepreneurial Assistance Programs Create Value for Agri-Food Entrepreneurs?," Entrepreneurship Research Journal, De Gruyter, vol. 10(1), pages 1-14, January.
    • Handle: RePEc:bpj:erjour:v:10:y:2020:i:1:p:14:n:2
    DOI: 10.1515/erj-2018-0016
    as

    Download full text from publisher

    File URL: https://doi.org/10.1515/erj-2018-0016
    Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.
    File URL: https://libkey.io/10.1515/erj-2018-0016?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. James J. Chrisman & Elizabeth Gatewood & Leo B. Donlevy, 2002. "A Note on the Efficiency and Effectiveness of Outsider Assistance Programs in Rural versus Non-Rural States," Entrepreneurship Theory and Practice, , vol. 26(3), pages 67-80, April.
    2. Jeffrey M Wooldridge, 2010. "Econometric Analysis of Cross Section and Panel Data," MIT Press Books, The MIT Press, edition 2, volume 1, number 0262232588, April.
    3. Nailya Kutzhanova & Thomas S. Lyons & Gregg A. Lichtenstein, 2009. "Skill-Based Development of Entrepreneurs and the Role of Personal and Peer Group Coaching in Enterprise Development," Economic Development Quarterly, , vol. 23(3), pages 193-210, August.
    4. James J. Chrisman & W. Ed McMullan, 2000. "A Preliminary Assessment of Outsider Assistance as a Knowledge Resource: The Longer-Term Impact of New Venture Counseling," Entrepreneurship Theory and Practice, , vol. 24(3), pages 37-53, April.
    5. Emma Bell & Scott Taylor & Richard Thorpe, 2002. "Organizational Differentiation through Badging: Investors in People and the Value of the Sign," Journal of Management Studies, Wiley Blackwell, vol. 39(8), pages 1071-1085, December.
    6. Palich, Leslie E. & Ray Bagby, D., 1995. "Using cognitive theory to explain entrepreneurial risk-taking: Challenging conventional wisdom," Journal of Business Venturing, Elsevier, vol. 10(6), pages 425-438, November.
    7. Rotger, Gabriel Pons & Gørtz, Mette & Storey, David J., 2012. "Assessing the effectiveness of guided preparation for new venture creation and performance: Theory and practice," Journal of Business Venturing, Elsevier, vol. 27(4), pages 506-521.
    8. Seo, Joo Hwan & Perry, Vanessa G. & Tomczyk, David & Solomon, George T., 2014. "Who benefits most? The effects of managerial assistance on high- versus low-performing small businesses," Journal of Business Research, Elsevier, vol. 67(1), pages 2845-2852.
    9. Juita-Elena (Wie) Yusuf, 2014. "Impact of start-up support through guided preparation," Journal of Entrepreneurship and Public Policy, Emerald Group Publishing Limited, vol. 3(1), pages 72-95, April.
    10. Forbes, Daniel P., 2005. "Are some entrepreneurs more overconfident than others?," Journal of Business Venturing, Elsevier, vol. 20(5), pages 623-640, September.
    11. Chrisman, James J. & McMullan, Ed & Hall, Jeremy, 2005. "The influence of guided preparation on the long-term performance of new ventures," Journal of Business Venturing, Elsevier, vol. 20(6), pages 769-791, November.
    12. Cassar, Gavin, 2014. "Industry and startup experience on entrepreneur forecast performance in new firms," Journal of Business Venturing, Elsevier, vol. 29(1), pages 137-151.
    13. Jeffrey G. Covin & Dennis P. Slevin, 1989. "Strategic management of small firms in hostile and benign environments," Strategic Management Journal, Wiley Blackwell, vol. 10(1), pages 75-87, January.
    14. Chen, Chao C. & Greene, Patricia Gene & Crick, Ann, 1998. "Does entrepreneurial self-efficacy distinguish entrepreneurs from managers?," Journal of Business Venturing, Elsevier, vol. 13(4), pages 295-316, July.
    15. Howard E. Aldrich & Martha Argelia Martinez, 2001. "Many are Called, but Few are Chosen: An Evolutionary Perspective for the Study of Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 25(4), pages 41-56, July.
    16. Timothy Bates, 1995. "Small Businesses Do Appear To Benefit From State/Local Government Economic Development Assistance," Working Papers 95-2, Center for Economic Studies, U.S. Census Bureau.
    17. Busenitz, Lowell W. & Barney, Jay B., 1997. "Differences between entrepreneurs and managers in large organizations: Biases and heuristics in strategic decision-making," Journal of Business Venturing, Elsevier, vol. 12(1), pages 9-30, January.
    18. Ulmer, Ann & Holcomb, Rodney B. & Woods, Michael D. & Willoughby, Charles V. & Tilley, Daniel S., 2005. "An Assessment of the Economic Impact of Firms Assisted By the Oklahoma Food and Agricultural Products Center," Journal of Food Distribution Research, Food Distribution Research Society, vol. 36(3), pages 1-9, November.
    19. Ed McMullan & James J. Chrisman & Karl Vesper, 2001. "Some Problems in Using Subjective Measures of Effectiveness to Evaluate Entrepreneurial Assistance Programs," Entrepreneurship Theory and Practice, , vol. 26(1), pages 37-54, October.
    20. Woods, Timothy A. & Hoagland, Heath, 2000. "Diversifying Agricultural Systems: An External Analysis Of State Value-Added Programs," Journal of Food Distribution Research, Food Distribution Research Society, vol. 31(1), pages 1-11, March.
    21. Tornikoski, Erno T. & Newbert, Scott L., 2007. "Exploring the determinants of organizational emergence: A legitimacy perspective," Journal of Business Venturing, Elsevier, vol. 22(2), pages 311-335, March.
    22. Chrisman, James J. & Hoy, Frank & Robinson, Richard Jr., 1987. "New venture development: The costs and benefits of public sector assistance," Journal of Business Venturing, Elsevier, vol. 2(4), pages 315-328.
    23. Simon C. Parker & Yacine Belghitar, 2006. "What Happens to Nascent Entrepreneurs? An Econometric Analysis of the PSED," Small Business Economics, Springer, vol. 27(1), pages 81-101, August.
    24. Baron, Robert A., 2004. "The cognitive perspective: a valuable tool for answering entrepreneurship's basic "why" questions," Journal of Business Venturing, Elsevier, vol. 19(2), pages 221-239, March.
    25. Colin Wren, 2002. "Evaluating the effect of soft business support upon small firm performance," Oxford Economic Papers, Oxford University Press, vol. 54(2), pages 334-365, April.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lovgren, Adam & Ross, R. Brent & Peterson, H. Christopher, 2012. "Overcoming Selection Bias in Measuring the Effect of Entrepreneurial Assistance Programs," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124815, Agricultural and Applied Economics Association.
    2. McKelvie, Alexander & Haynie, J. Michael & Gustavsson, Veronica, 2011. "Unpacking the uncertainty construct: Implications for entrepreneurial action," Journal of Business Venturing, Elsevier, vol. 26(3), pages 273-292, May.
    3. Kevin Mole & David North & Robert Baldock, 2017. "Which SMEs seek external support? Business characteristics, management behaviour and external influences in a contingency approach," Environment and Planning C, , vol. 35(3), pages 476-499, May.
    4. Dirk Oberschachtsiek & Patrycja Scioch, 2015. "The outcome of coaching and training for self-employment. A statistical evaluation of outside assistance support programs for unemployed business founders in Germany [Die Erfolgswirkung von Gründer," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 48(1), pages 1-25, March.
    5. Erik Lundmark & Anna Krzeminska & Dean A. Shepherd, 2019. "Images of Entrepreneurship: Exploring Root Metaphors and Expanding Upon Them," Entrepreneurship Theory and Practice, , vol. 43(1), pages 138-170, January.
    6. Dan K. Hsu & Johan Wiklund & Richard D. Cotton, 2017. "Success, Failure, and Entrepreneurial Reentry: An Experimental Assessment of the Veracity of Self–Efficacy and Prospect Theory," Entrepreneurship Theory and Practice, , vol. 41(1), pages 19-47, January.
    7. Susan Müller & Alyssa Lara Kirst & Heiko Bergmann & Barbara Bird, 2023. "Entrepreneurs’ actions and venture success: a structured literature review and suggestions for future research," Small Business Economics, Springer, vol. 60(1), pages 199-226, January.
    8. Kraft, Priscilla S. & Günther, Christina & Kammerlander, Nadine H. & Lampe, Jan, 2022. "Overconfidence and entrepreneurship: A meta-analysis of different types of overconfidence in the entrepreneurial process," Journal of Business Venturing, Elsevier, vol. 37(4).
    9. Pérez-Centeno, Victor, 2018. "Brain-driven entrepreneurship research: Expanded review and research agenda towards entrepreneurial enhancement," Working Papers 02/18, Institut für Mittelstandsforschung (IfM) Bonn.
    10. Anoosheh Rostamkalaei & Mark Freel, 2017. "Business advice and lending in small firms," Environment and Planning C, , vol. 35(3), pages 537-555, May.
    11. Heinrichs, Simon & Walter, Sascha, 2013. "Who Becomes an Entrepreneur? A 30-Years-Review of Individual-Level Research and an Agenda for Future Research," EconStor Preprints 68590, ZBW - Leibniz Information Centre for Economics.
    12. Andreas Hack & Frauke Bieberstein & Nils D. Kraiczy, 2016. "Reference point formation and new venture creation," Small Business Economics, Springer, vol. 46(3), pages 447-465, March.
    13. Pi-Shen Seet & Wee-Liang Tan, 2024. "The impact of positive and negative psychological affect and overconfidence from major family events on new venture survival," International Entrepreneurship and Management Journal, Springer, vol. 20(3), pages 1617-1647, September.
    14. Stephen X. Zhang & Javier Cueto, 2017. "The Study of Bias in Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 41(3), pages 419-454, May.
    15. Ratinho, Tiago & Amezcua, Alejandro & Honig, Benson & Zeng, Zhaocheng, 2020. "Supporting entrepreneurs: A systematic review of literature and an agenda for research," Technological Forecasting and Social Change, Elsevier, vol. 154(C).
    16. Yasuhiro Yamakawa & Mike W. Peng & David L. Deeds, 2015. "Rising from the Ashes: Cognitive Determinants of Venture Growth after Entrepreneurial Failure," Entrepreneurship Theory and Practice, , vol. 39(2), pages 209-236, March.
    17. Arno Nuijten & Nick Benschop & Antoinette Rijsenbilt & Kristinka Wilmink, 2020. "Cognitive Biases in Critical Decisions Facing SME Entrepreneurs: An External Accountants’ Perspective," Administrative Sciences, MDPI, vol. 10(4), pages 1-23, November.
    18. Saras Sarasvathy & Anil Menon & Graciela Kuechle, 2013. "Failing firms and successful entrepreneurs: serial entrepreneurship as a temporal portfolio," Small Business Economics, Springer, vol. 40(2), pages 417-434, February.
    19. Megan K. Haller & Eric W. Welch, 2014. "Entrepreneurial Behavior of Academic Scientists: Network and Cognitive Determinants of Commitment to Grant Submissions and Award Outcomes," Entrepreneurship Theory and Practice, , vol. 38(4), pages 807-831, July.
    20. Fust Alexander Paul & Jenert Tobias & Winkler Christoph, 2018. "Experiential or Self-Regulated Learning: A Critical Reflection of Entrepreneurial Learning Processes," Entrepreneurship Research Journal, De Gruyter, vol. 8(2), pages 1-11, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:erjour:v:10:y:2020:i:1:p:14:n:2. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.degruyter.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.