IDEAS home Printed from https://ideas.repec.org/a/sae/entthe/v12y1988i4p59-81.html
   My bibliography  Save this article

Screening Practices of New Business Incubators: The Evaluation of Critical Success Factors

Author

Listed:
  • James R. Lumpkin
  • R. Duane Ireland

Abstract

New firms are an important mechanism through which new jobs are created. However, the new venture failure rate is greater than the rate of creation. Business incubators have been organized to bring new businesses together to increase the probability of success. Incubators do not guarantee success; however, evaluating potential clients on Critical Success Factors can minimize failures once the firm joins an incubator. This research investigates the screening practices of incubators and identifies unique groups of incubators. The screening practices were found to relate to sponsorship but not to physical characteristics or objectives.

Suggested Citation

  • James R. Lumpkin & R. Duane Ireland, 1988. "Screening Practices of New Business Incubators: The Evaluation of Critical Success Factors," Entrepreneurship Theory and Practice, , vol. 12(4), pages 59-81, April.
    • Handle: RePEc:sae:entthe:v:12:y:1988:i:4:p:59-81
    DOI: 10.1177/104225878801200404
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/104225878801200404
    Download Restriction: no
    File URL: https://libkey.io/10.1177/104225878801200404?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
    ---><---

    References listed on IDEAS

    as
    1. Danny Miller & Peter H. Friesen, 1982. "Innovation in conservative and entrepreneurial firms: Two models of strategic momentum," Strategic Management Journal, Wiley Blackwell, vol. 3(1), pages 1-25, January.
    2. Sue Birley, 1986. "The role of new firms: Births, deaths and job generation," Strategic Management Journal, Wiley Blackwell, vol. 7(4), pages 361-376, July.
    3. Robert A. Peterson, 1984. "Small Business Management Assistance: Needs and Sources," Entrepreneurship Theory and Practice, , vol. 9(2), pages 35-45, October.
    4. Tyzoon T. Tyebjee & Albert V. Bruno, 1984. "A Model of Venture Capitalist Investment Activity," Management Science, INFORMS, vol. 30(9), pages 1051-1066, September.
    5. Perreault, William Jr. & Behrman, Douglas N. & Armstrong, Gary M., 1979. "Alternative approaches for interpretation of multiple discriminant analysis in marketing research," Journal of Business Research, Elsevier, vol. 7(2), pages 151-173.
    6. Edward I. Altman, 1968. "Financial Ratios, Discriminant Analysis And The Prediction Of Corporate Bankruptcy," Journal of Finance, American Finance Association, vol. 23(4), pages 589-609, September.
    7. Edward I. Altman, 1968. "The Prediction Of Corporate Bankruptcy: A Discriminant Analysis," Journal of Finance, American Finance Association, vol. 23(1), pages 193-194, March.
    8. Alex Denoble & Donald M. Moliver, 1983. "The Small Business Dilemma: Can Cooperation Help?," Entrepreneurship Theory and Practice, , vol. 7(3), pages 51-58, January.
    9. Johnson, P S & Cathcart, D G, 1979. "The Founders of New Manufacturing Firms: A Note on the Size of Their 'Incubator' Plants," Journal of Industrial Economics, Wiley Blackwell, vol. 28(2), pages 219-224, December.
    10. Simon, Herbert A, 1979. "Rational Decision Making in Business Organizations," American Economic Review, American Economic Association, vol. 69(4), pages 493-513, September.
    11. Ferguson, Charles R. & Dickinson, Roger, 1982. "Critical success factors for directors in the eighties," Business Horizons, Elsevier, vol. 25(3), pages 14-18.
    12. Roger A. Dickinson & Charles R. Ferguson & Sumit Sircar, 1984. "Critical Success Factors and Small Business," Entrepreneurship Theory and Practice, , vol. 8(3), pages 49-57, January.
    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. Wennberg, Karl & Wiklund, Johan & DeTienne, Dawn R. & Cardon, Melissa S., 2010. "Reconceptualizing entrepreneurial exit: Divergent exit routes and their drivers," Journal of Business Venturing, Elsevier, vol. 25(4), pages 361-375, July.
    2. Gross, Marco, 2022. "Beautiful cycles: A theory and a model implying a curious role for interest," Economic Modelling, Elsevier, vol. 106(C).
    3. Barbara Su, 2023. "Banking practices and borrowing firms’ financial reporting quality: evidence from bank cross-selling," Review of Accounting Studies, Springer, vol. 28(1), pages 201-236, March.
    4. Shaikh, Ibrahim A. & O'Brien, Jonathan Paul & Peters, Lois, 2018. "Inside directors and the underinvestment of financial slack towards R&D-intensity in high-technology firms," Journal of Business Research, Elsevier, vol. 82(C), pages 192-201.
    5. Mikel Bedayo & Raquel Vegas & Gabriel Jiménez & José-Luis Peydró, 2020. "Screening and Loan Origination Time: Lending Standards, Loan Defaults and Bank Failures," Working Papers 1215, Barcelona School of Economics.
    6. Ruey-Ching Hwang, 2013. "Forecasting credit ratings with the varying-coefficient model," Quantitative Finance, Taylor & Francis Journals, vol. 13(12), pages 1947-1965, December.
    7. Antonio Davila & George Foster & Xiaobin He & Carlos Shimizu, 2015. "The rise and fall of startups: Creation and destruction of revenue and jobs by young companies," Australian Journal of Management, Australian School of Business, vol. 40(1), pages 6-35, February.
    8. Masahiro Enomoto, 2018. "Effects of Corporate Governance on the Relationship between Accounting Quality and Trade Credit: Evidence from Japan," Discussion Paper Series DP2018-12, Research Institute for Economics & Business Administration, Kobe University, revised Dec 2023.
    9. Chen, Peimin & Wu, Chunchi, 2014. "Default prediction with dynamic sectoral and macroeconomic frailties," Journal of Banking & Finance, Elsevier, vol. 40(C), pages 211-226.
    10. Knyazeva, Anzhela & Knyazeva, Diana, 2012. "Does being your bank’s neighbor matter?," Journal of Banking & Finance, Elsevier, vol. 36(4), pages 1194-1209.
    11. Giordani, Paolo & Jacobson, Tor & Schedvin, Erik von & Villani, Mattias, 2014. "Taking the Twists into Account: Predicting Firm Bankruptcy Risk with Splines of Financial Ratios," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 49(4), pages 1071-1099, August.
    12. Li, Chunyu & Lou, Chenxin & Luo, Dan & Xing, Kai, 2021. "Chinese corporate distress prediction using LASSO: The role of earnings management," International Review of Financial Analysis, Elsevier, vol. 76(C).
    13. Suzan Hol, 2006. "The influence of the business cycle on bankruptcy probability," Discussion Papers 466, Statistics Norway, Research Department.
    14. Gropp, R. & Grundl, C. & Guttler, A., 2012. "Does Discretion in Lending Increase Bank Risk? Borrower Self-Selection and Loan Officer Capture Effects," Other publications TiSEM bfec5360-2a2b-47e4-ba3f-d, Tilburg University, School of Economics and Management.
    15. Pavol Durana & Lucia Michalkova & Andrej Privara & Josef Marousek & Milos Tumpach, 2021. "Does the life cycle affect earnings management and bankruptcy?," Oeconomia Copernicana, Institute of Economic Research, vol. 12(2), pages 425-461, June.
    16. Dinh, K. & Kleimeier, S., 2006. "Credit scoring for Vietnam's retail banking market : implementation and implications for transactional versus relationship lending," Research Memorandum 012, Maastricht University, Maastricht Research School of Economics of Technology and Organization (METEOR).
    17. Park, Moon Deok & Han, Seung Hun, 2023. "Pay dispersion and CSR," Finance Research Letters, Elsevier, vol. 51(C).
    18. Simon Cornée, 2014. "Soft Information and Default Prediction in Cooperative and Social Banks," Journal of Entrepreneurial and Organizational Diversity, European Research Institute on Cooperative and Social Enterprises, vol. 3(1), pages 89-103, June.
    19. Elizaveta Danilova & Evgeny Rumyantsev & Ivan Shevchuk, 2018. "Review of the Bank of Russia – IMF Workshop 'Recent Developments in Macroprudential Stress Testing'," Russian Journal of Money and Finance, Bank of Russia, vol. 77(4), pages 60-83, December.
    20. Alderson, Michael J. & Betker, Brian L. & Halford, Joseph T., 2021. "Fictitious dividend cuts in the CRSP data," Journal of Corporate Finance, Elsevier, vol. 71(C).

    More about this item

    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:sae:entthe:v:12:y:1988:i:4:p:59-81. 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: SAGE Publications (email available below). General contact details of provider: .

    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.