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Transnational networking and business performance: Ethnic entrepreneurs in Canada

Author

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  • Dafna Kariv
  • Teresa V. Menzies
  • Gabrielle A. Brenner
  • Louis Jacques Filion

Abstract

It is generally acknowledged that transnational networking plays an important role in promoting the performance of ethnic entrepreneurial firms. Yet distinctions between the different types of transnational networking and their effects on business performance have received scant attention in the literature, probably because ethnicity has been considered to be the main actor in the networking--performance relationship. This paper argues that one of the reasons why business performance differs across ethnic entrepreneurial firms is that ethnic entrepreneurs engage in dissimilar types of transnational networking. Analyses of the data generated by 720 ethnic entrepreneurs in Canada revealed that ethnicity, along with human capital and push/pull factors, both of which are part of our conceptual framework, plays a central role in the engagement of different types of transnational networking and that the different types of transnational networking affect business turnover (sales) and business survival (age). Push/pull factors were found to play a marginal role in business performance. These results highlight the competitive market that immigrants and members of ethnic minority groups encounter in the hosting economy and stress the value of transnational networking.

Suggested Citation

  • Dafna Kariv & Teresa V. Menzies & Gabrielle A. Brenner & Louis Jacques Filion, 2009. "Transnational networking and business performance: Ethnic entrepreneurs in Canada," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 21(3), pages 239-264, May.
    • Handle: RePEc:taf:entreg:v:21:y:2009:i:3:p:239-264
    DOI: 10.1080/08985620802261641
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    Cited by:

    1. Jan Wiers & Didier Chabaud, 2022. "Bibliometric analysis of immigrant entrepreneurship research 2009–2019," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 12(1), pages 441-464, December.
    2. Rafael Becerra-Vicario & Daniel Ruiz-Palomo & Ana León-Gómez & José Manuel Santos-Jaén, 2023. "The Relationship between Innovation and the Performance of Small and Medium-Sized Businesses in the Industrial Sector: The Mediating Role of CSR," Economies, MDPI, vol. 11(3), pages 1-18, March.
    3. Giacomin, Olivier & Janssen, Frank & Guyot, Jean-luc & Lohest, Olivier, 2011. "Opportunity and/or necessity entrepreneurship? The impact of the socio-economic characteristics of entrepreneurs," MPRA Paper 29506, University Library of Munich, Germany.
    4. Gonzalo Castañeda, 2013. "The Rise and Fall of the Barcelonnettes in Mexico and their Implications for a Theory of Entrepreneurial Diasporas," Economía Mexicana NUEVA ÉPOCA, CIDE, División de Economía, vol. 0(4, Cierre), pages 497-540.
    5. Amol M. Joshi & Todd M. Inouye & Jeffrey A. Robinson, 2018. "How does agency workforce diversity influence Federal R&D funding of minority and women technology entrepreneurs? An analysis of the SBIR and STTR programs, 2001–2011," Small Business Economics, Springer, vol. 50(3), pages 499-519, March.
    6. Aluko, Olu & Ott, Ursula F. & Siwale, Juliana & Odusanya, Kayode, 2022. "Overcoming the liability of outsidership: An fsQCA analysis of African transnational entrepreneurs in the UK," Journal of Business Research, Elsevier, vol. 145(C), pages 106-116.
    7. Dimitratos, Pavlos & Buck, Trevor & Fletcher, Margaret & Li, Nicolas, 2016. "The motivation of international entrepreneurship: The case of Chinese transnational entrepreneurs," International Business Review, Elsevier, vol. 25(5), pages 1103-1113.
    8. Cat-My Dang & Aki Harima, 2020. "Dual Embeddedness and Entrepreneurial Activities of Second-Generation Ethnic Entrepreneurs: Multiple Case Studies with Vietnamese Entrepreneurs in Germany," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 6(1), pages 84-113, January.
    9. A. Arrighetti & G. Foresti & S. Fumagalli & A. Lasagni, 2018. "Are Migrant Firms Actually Different From Native Firms?," Economics Department Working Papers 2018-EP05, Department of Economics, Parma University (Italy).
    10. Carson Duan & Bernice Kotey & Kamaljeet Sandhu, 2022. "Towards an Analytical Framework of Dual Entrepreneurial Ecosystems and Research Agenda for Transnational Immigrant Entrepreneurship," Journal of International Migration and Integration, Springer, vol. 23(2), pages 473-497, June.
    11. Olivier Giacomin & Frank Janssen & Jean-Luc Guyot & Olivier Lohest, 2023. "Opportunity and/or Necessity Entrepreneurship? The Impact of the Socio-Economic Characteristics of Entrepreneurs," Sustainability, MDPI, vol. 15(14), pages 1-21, July.
    12. José Manuel Santos‐Jaén & Antonia Madrid‐Guijarro & Domingo García‐Pérez‐de‐Lema, 2021. "The impact of corporate social responsibility on innovation in small and medium‐sized enterprises: The mediating role of debt terms and human capital," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(4), pages 1200-1215, July.
    13. Jan Brzozowski & Marco Cucculelli & Aleksander Surdej, 2014. "Transnational ties and performance of immigrant entrepreneurs: the case of IT industry in Italy," Mo.Fi.R. Working Papers 98, Money and Finance Research group (Mo.Fi.R.) - Univ. Politecnica Marche - Dept. Economic and Social Sciences.
    14. Vanda N. Veréb & João J. Ferreira, 2018. "Transnational Entrepreneurship as a Win-Win Scenario of International Knowledge Spillover," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 9(2), pages 446-472, June.
    15. Aki Harima & Fabrice Periac & Tony Murphy & Salomé Picard, 2021. "Entrepreneurial Opportunities of Refugees in Germany, France, and Ireland: Multiple Embeddedness Framework," International Entrepreneurship and Management Journal, Springer, vol. 17(2), pages 625-663, June.
    16. Sarika Pruthi & Anuradha Basu & Mike Wright, 2018. "Ethnic ties, motivations, and home country entry strategy of transnational entrepreneurs," Journal of International Entrepreneurship, Springer, vol. 16(2), pages 210-243, June.
    17. Neville, François & Orser, Barbara & Riding, Allan & Jung, Owen, 2014. "Do young firms owned by recent immigrants outperform other young firms?," Journal of Business Venturing, Elsevier, vol. 29(1), pages 55-71.
    18. Qingfang Wang & Cathy Liu, 2015. "Transnational activities of immigrant-owned firms and their performances in the USA," Small Business Economics, Springer, vol. 44(2), pages 345-359, February.
    19. Aissa Mosbah & Kalsom Binti Abd Wahab, 2018. "Factors Influencing Performance of Immigrant Service Firms," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 8(2), pages 1-11, February.
    20. Carlos Poblete, 2018. "Shaping the castle according to the rocks in the path? Perceived discrimination, social differences, and subjective wellbeing as determinants of firm type among immigrant entrepreneurs," Journal of International Entrepreneurship, Springer, vol. 16(2), pages 276-300, June.
    21. Aki Harima & Thomas Baron, 2020. "Is this Transnational Entrepreneurship? Five Cases in Which It Is Hard to Say ‘Yes’ or ‘No’," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 6(1), pages 12-40, January.

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