IDEAS home Printed from https://ideas.repec.org/a/ers/journl/vxxiiiy2020i2p246-263.html
   My bibliography  Save this article

Subsidization of Entrepreneurship in Rural Areas in Poland: Scale, Effects and Regional Diversity

Author

Listed:
  • Agnieszka Kurdys-Kujawska
  • Agnieszka Sompolska-Rzechula

Abstract

Purpose: The objective of this article is to deepen knowledge about public support for entrepreneurship in rural areas and to assess the scale and effects of this support considering the spatial context. Design/Methodology/Approach: The study is based on a set of data from official reports of the Agency for Restructuring and Modernization of Agriculture. The analysis included programs supporting entrepreneurial initiatives in rural areas in Poland, implemented under the Rural Development Program 2007-2013 and 2014-2020. Findings: The results show that the demand for support for economic initiatives in rural areas in Poland is high. The consumption of programs supporting the development of entrepreneurship in rural areas and the scale of their subsidization varies regionally and depends on the spatial context. The effects of this subsidization are visible in investments in fixed assets, improvement of farm infrastructure, restructuring in the production of food and non-food agricultural products, increase of employment in rural areas and generation change in the countryside. Practical Implications: The study provides evidence of the effectiveness of subsidizing activities to support the development of entrepreneurship in rural areas and stresses the importance of regionalization of subsidizing agriculture and rural areas in the efficient allocation of public funds. In addition, the study highlights the need to continue this support and to develop new, complementary programs that will consider region-specific needs and their local conditions. Originality/Value: This study contributes to literature, showing that the consumption of entrepreneurship support programs in rural areas varies considerably depending on the territorial context.

Suggested Citation

  • Agnieszka Kurdys-Kujawska & Agnieszka Sompolska-Rzechula, 2020. "Subsidization of Entrepreneurship in Rural Areas in Poland: Scale, Effects and Regional Diversity," European Research Studies Journal, European Research Studies Journal, vol. 0(2), pages 246-263.
    • Handle: RePEc:ers:journl:v:xxiii:y:2020:i:2:p:246-263
    as

    Download full text from publisher

    File URL: https://www.ersj.eu/journal/1592/download
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gerard Mcelwee, 2006. "Farmers As Entrepreneurs: Developing Competitive Skills," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 11(03), pages 187-206.
    2. Prabhu Pingali & Anaka Aiyar & Mathew Abraham & Andaleeb Rahman, 2019. "Transforming Food Systems for a Rising India," Palgrave Studies in Agricultural Economics and Food Policy, Palgrave Macmillan, number 978-3-030-14409-8, June.
    3. Sarah Fitz-Koch & Mattias Nordqvist & Sara Carter & Erik Hunter, 2018. "Entrepreneurship in the Agricultural Sector: A Literature Review and Future Research Opportunities," Entrepreneurship Theory and Practice, , vol. 42(1), pages 129-166, January.
    4. Daniel Baumgartner & Tobias Schulz & Irmi Seidl, 2013. "Quantifying entrepreneurship and its impact on local economic performance: A spatial assessment in rural Switzerland," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 25(3-4), pages 222-250, April.
    5. Aliye Ahu Akgün & Peter Nijkamp & Tüzin Baycan & Martijn Brons, 2010. "Embeddedness Of Entrepreneurs In Rural Areas: A Comparative Rough Set Data Analysis," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 101(5), pages 538-553, December.
    6. repec:ers:journl:v:xvi:y:2013:i:sisme:p:57-70 is not listed on IDEAS
    7. Unknown, 2008. "Institute of Agricultural Economics," Economics of Agriculture, Institute of Agricultural Economics, vol. 55(3).
    8. Wieliczko, Barbara & Kurdyś-Kujawska, Agnieszka, 2015. "Mechanisms and impulses influencing development of agriculture and rural areas (1)," Multiannual Program Reports 236942, Institute of Agricultural and Food Economics - National Research Institute (IAFE-NRI).
    9. Pilar, Ladislav & Pokorna, J. & Balcarová, T. & Hron, Jan, 2012. "Factors Determining the Entry of Agricultural Farms into Agritourism," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 4(4), pages 1-7, December.
    10. Karl N. Stauber, 2001. "Why invest in rural America and how? : a critical public policy question for the 21st century," Proceedings – Rural and Agricultural Conferences, Federal Reserve Bank of Kansas City, issue Sep, pages 9-29.
    11. Sergio Gomez y Paloma & Laura Riesgo & Kamel Louhichi, 2020. "The Role of Smallholder Farms in Food and Nutrition Security [Le rôle des petites exploitations agricoles dans la sécurité alimentaire et nutritionnelle]," Post-Print hal-02611174, HAL.
    12. Huasheng Zhu & Yawei Chen & Kebi Chen, 2019. "Vitalizing Rural Communities: China’s Rural Entrepreneurial Activities from Perspective of Mixed Embeddedness," Sustainability, MDPI, vol. 11(6), pages 1-21, March.
    13. António Carrizo Moreira & Susana Paula Leitão Martins, 2009. "Crer," Journal of Enterprising Communities: People and Places in the Global Economy, Emerald Group Publishing Limited, vol. 3(2), pages 176-192, May.
    14. Eleftherios Thalassinos & Mirela Cristea & Gratiela Georgiana Noja, 2019. "Measuring active ageing within the European Union: implications on economic development," Equilibrium. Quarterly Journal of Economics and Economic Policy, Institute of Economic Research, vol. 14(4), pages 591-609, December.
    15. Alessandro Vasta & Elisabete Figueiredo & Sandra Valente & Hilkka Vihinen & Marta Nieto-Romero, 2019. "Place-Based Policies for Sustainability and Rural Development: The Case of a Portuguese Village “Spun” in Traditional Linen," Social Sciences, MDPI, vol. 8(10), pages 1-17, October.
    16. Adamowicz, Mieczysław & Szepeluk, Adam, 2016. "Support to Young Farmers as Part of Agricultural Policy of the European Union," Problems of Agricultural Economics / Zagadnienia Ekonomiki Rolnej 253702, Institute of Agricultural and Food Economics - National Research Institute (IAFE-NRI).
    17. De Rosa, Marcello & Bartoli, Luca, 2016. "Adoption of rural development policies in rural areas of Italy: between family and farm strategy," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 17(2), June.
    18. Karl N. Stauber, 2001. "Why invest in rural America and how? : a critical public policy question for the 21st century," Economic Review, Federal Reserve Bank of Kansas City, vol. 86(Q II), pages 57-87.
    19. Karel HavlÃ­Ä ek & Eleftherios Thalassinos & Liliana Berezkinova, 2013. "Innovation Management and Controlling in SMEs," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 57-70.
    20. Arkadiusz Kijek, 2019. "The Effect of Public Procurement and its Spillovers on Innovativeness of Enterprises in European Countries," European Research Studies Journal, European Research Studies Journal, vol. 0(1), pages 103-111.
    21. Prabhu Pingali & Anaka Aiyar & Mathew Abraham & Andaleeb Rahman, 2019. "The Way Forward: Food Systems for Enabling Rural Prosperity and Nutrition Security," Palgrave Studies in Agricultural Economics and Food Policy, in: Transforming Food Systems for a Rising India, chapter 0, pages 277-311, Palgrave Macmillan.
    22. Małgorzata Wosiek & Adam Czudec, 2019. "The Relationship between the Entrepreneurship and the Local Environment: Evidence from Poland," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 262-289.
    23. Vernet, Antoine & Khayesi, Jane N.O. & George, Vivian & George, Gerard & Bahaj, Abubakar S., 2019. "How does energy matter? Rural electrification, entrepreneurship, and community development in Kenya," Energy Policy, Elsevier, vol. 126(C), pages 88-98.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Joanna Bereznicka & Ludwik Wicki, 2021. "Do Farm Subsidies Improve Labour Efficiency in Farms in EU Countries?," European Research Studies Journal, European Research Studies Journal, vol. 0(2 - Part ), pages 925-937.
    2. repec:ers:journl:v:xxiv:y:2021:i:2b:p:925-937 is not listed 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. Umesh Shrivastava & Amit Kumar Dwivedi, 2021. "Manifestations of rural entrepreneurship: the journey so far and future pathways," Management Review Quarterly, Springer, vol. 71(4), pages 753-781, October.
    2. Maria Lúcia Pato & Aurora A.C. Teixeira, 2013. "Twenty years of rural entrepreneurship: a bibliometric survey," FEP Working Papers 516, Universidade do Porto, Faculdade de Economia do Porto.
    3. Kulawiak Anita & Suliborski Andrzej & Rachwał Tomasz, 2022. "Research on Rural Entrepreneurship in Terms of the Literature: Definition Problems and Selected Research Issues," Quaestiones Geographicae, Sciendo, vol. 41(2), pages 7-19, June.
    4. Viktoria Graskemper & Xiaohua Yu & Jan‐Henning Feil, 2021. "Analyzing strategic entrepreneurial choices in agriculture—Empirical evidence from Germany," Agribusiness, John Wiley & Sons, Ltd., vol. 37(3), pages 569-589, July.
    5. Hameed, Abdul & Padda, Ihtsham ul Haq & Salam, Abdul, 2020. "Estimating the Socio-Economic Factors of Food Insecurity in Pakistan:A Regional Level Analysis," MPRA Paper 102290, University Library of Munich, Germany.
    6. Fanzo, Jessica & Haddad, Lawrence & Schneider, Kate R. & Béné, Christophe & Covic, Namukolo M. & Guarin, Alejandro & Herforth, Anna W. & Herrero, Mario & Sumaila, U. Rashid & Aburto, Nancy J. & Amuyun, 2021. "Viewpoint: Rigorous monitoring is necessary to guide food system transformation in the countdown to the 2030 global goals," Food Policy, Elsevier, vol. 104(C).
    7. Dahal, Ram P. & Aguilar, Francisco X. & McGarvey, Ronald G. & Becker, Dennis & Abt, Karen L., 2020. "Localized economic contributions of renewable wood-based biopower generation," Energy Economics, Elsevier, vol. 91(C).
    8. Bannor, Richard Kwasi & Ros-Tonen, Mirjam A.F. & Mensah, Princess Ophelia & Derkyi, Mercy & Nassah, Valerie Fumey, 2021. "Entrepreneurial behaviour among non-timber forest product-growing farmers in Ghana: An analysis in support of a reforestation policy," Forest Policy and Economics, Elsevier, vol. 122(C).
    9. Lepage, Fanny & Cheriet, Foued, 2021. "Gouvernance et croissance des grandes exploitations agricoles : la place de l’agri-entrepreneur," Économie rurale, French Society of Rural Economics (SFER Société Française d'Economie Rurale), vol. 375(January-M).
    10. Maciej Zastempowski & Aranka Ignasiak-Szulc & Szymon Cyfert, 2020. "Conditions of Marketing and Organizational Innovation of Small and Medium-Sized Enterprises," European Research Studies Journal, European Research Studies Journal, vol. 0(2), pages 163-173.
    11. Elide Di-Clemente & José Manuel Hernández-Mogollón & Tomás López-Guzmán, 2020. "Culinary Tourism as An Effective Strategy for a Profitable Cooperation between Agriculture and Tourism," Social Sciences, MDPI, vol. 9(3), pages 1-15, March.
    12. Oana Daniela Lupoae & Riana Iren Radu & Mihaela-Carmen Muntean, 2022. "Capturing Entrepreneurial Opportunities in the Romanian Equine Sector: an Fs-Qca Approach," International Entrepreneurship and Management Journal, Springer, vol. 18(1), pages 455-472, March.
    13. Lúcia Pato, 2015. "Rural entrepreneurship and Innovation: some successful women?s initiatives," ERSA conference papers ersa15p1367, European Regional Science Association.
    14. Syed Abid Hussain & Mohd Shamim & Zubair Ahmad Sofi & Mohd Yasir Arafat & Aamir Hassan, 2022. "Drivers of venture creation in agricultural sector: a GEM data-based study," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 12(1), pages 371-384, December.
    15. Abraham, Mathew & Verteramo Chiu, Leslie & Joshi, Ekta & Ali Ilahi, Muhammad & Pingali, Prabhu, 2022. "Aggregation models and small farm commercialization – A scoping review of the global literature," Food Policy, Elsevier, vol. 110(C).
    16. Claudia Dias & Ricardo Gouveia Rodrigues & João J. Ferreira, 2021. "Small agricultural businesses' performance—What is the role of dynamic capabilities, entrepreneurial orientation, and environmental sustainability commitment?," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 1898-1912, May.
    17. Malgorzata Gorzalczynska-Koczkodaj, 2023. "Intelligent Specializations as an Opportunity for Regional Development on the Example of the West Pomeranian Voivodeship," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 446-455.
    18. Bienvenu Dagoudo Akowedaho & Inoussa Guinin Asso & Bruno Charles Pierre O’heix & Soulé Akinhola Adéchian & Mohamed Nasser Baco, 2022. "Access to Land for Agricultural Entrepreneurial Activities in the Context of Sustainable Food Production in Borgou, according to Land Law in Benin," Land, MDPI, vol. 11(9), pages 1-16, August.
    19. Eugeniusz Kwiatkowski & Agnieszka Krzetowska, 2024. "Exploring Labour Market Dynamics and Unemployment Trends in OECD Countries of Centraland Eastern Europe (2011-2022)," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 57-76.
    20. Mogaka, Violet Moraa & Mbatia, O.L.E. & Nzuma, Jonathan M., 2012. "Feasibility of Biofuel Production in Kenya: The Case of Jatropha," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126427, International Association of Agricultural Economists.

    More about this item

    Keywords

    Subsidies; rural entrepreneurship; spatial context.;
    All these keywords.

    JEL classification:

    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

    Statistics

    Access and download statistics

    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:ers:journl:v:xxiii:y:2020:i:2:p:246-263. 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: Marios Agiomavritis (email available below). General contact details of provider: https://ersj.eu/ .

    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.