Entrepreneurship at the Base of the Pyramid: The Moderating Role of Person-Facilitator Fit and Poverty Alleviation (original) (raw)

Entrepreneurship facilitators and their role in poverty alleviation

Poverty is one of the main issues faced by countries across the world. Over the last three decades, governments and international organizations such as the World Bank, the IMF, etc. have been trying to reduce poverty. Despite this, today almost 2.5 billion people are still living in poverty. Entrepreneurship is often seen as a way to reduce poverty. Moreover, the role of entrepreneurship facilitators is very important in creating a suitable business environment for entrepreneurs which increases the capacity of entrepreneurial activities. The purpose of this thesis is to provide an insight into how entrepreneurial activity and entrepreneurship facilitators (Government, Incubators, and Financial Institutions) help in improving the business environment in all countries and hence in poverty alleviation, examining the impact in case of high-income, high medium-income, medium-income, low-income countries and, as a result, reduce poverty. To investigate this, the Human Development Index (H...

PANACEA OR PRECIPITATE.“The ENTREPRENEURSHIP AND POVERTY paradox”

aibuma.org

This paper examines whether entrepreneurship is a panacea to poverty or whether poverty precipitates entrepreneurship. The study seeks to understand the entrepreneurial behaviour of categories of people that are described as poor by current world bank/UN standards. The objectives of the study are to compare men's total early stage entrepreneurial activity (TEA) to those of women in select developing countries, to compare the Ugandan rural TEAs to those of their urban counterparts, and to establish the relationship between poverty and the occurrence of entrepreneurship in a developing country, in this case Uganda. This paper derives data from a poverty and entrepreneurship survey involving multi stage random sampling from the central region of Uganda and from the Global Entrepreneurship Monitor (GEM) 2009 survey. Findings reveal that, men are more entrepreneurial than women in most developing countries. They also reveal that the rural people in Uganda are more entrepreneurial than their urban counterparts, yet they continue to be poor. Findings also reveal a statistically significant positive relationship between most of the poverty indicators and entrepreneurship in Uganda. This paper contributes to the debate of whether entrepreneurship is a solution to poverty eradication and highlights what motivates entrepreneurship in the developing world. Furthermore it contributes to comparing the entrepreneurial activities based on gender.

Micro-credit is not Sufficient for the Success of Micro-enterprises at the Bottom of the Pyramid

This study examines the factors affecting the successful provision of microcredit to people at the bottom of the pyramid and discusses the activities required to support entrepreneurial activities in a peri-urban African setting. The findings enable us to better understand why micro-credit, though useful, is only part of the solution, in a setting characterized by extreme resource constraints with an institutional fabric lacking the infrastructure that assists market development. We depict the crafting of new entrepreneurial activity as an ongoing process and present an emerging research agenda for future developments.

Entrepreneurship as a pathway into and out of poverty: a configuration perspective

Entrepreneurship & Regional Development, 2022

Entrepreneurship is widely argued to be an important solution to poverty. While there is a growing volume of work on poverty and entrepreneurial action in developing nations, empirical work in developed countries is more scarce. Drawing on the entrepreneurial intentions and motivations literature together with personal values theory, we explore changes in the economic status and job status of 83 individuals from low-income contexts in Spain. Based on a series of multiple correspondence analysis and cluster analyses of data collected in two periods in time, three profiles of entrepreneurial intentions, motivations, and personal values associated with pathways into and out of poverty through entrepreneurship are identified. Implications are drawn for theory, practice and public policy.

Entrepreneurial aspirations and poverty reduction: the role of institutional context

Routledge eBooks, 2021

Integrating insights from institutional theory and a subjectivist view of entrepreneurial action, we developed a conceptual model of poverty reduction in the context of institutional rigidities and institutional contradictions through their influence on aspirations. Based on the 'subjective' stream of entrepreneurship, our model portrays institutional rigidities and contradictions moderating the influence of aspirations on entrepreneurial action by affecting the subjective value that potential entrepreneurs place on their resources. Because the value of resources is subjective in our exposition, our model suggests specific institutional configurations where a change in aspirations among the poor may provide them with unique insights to exploit entrepreneurial opportunities visible only to them. Our 'poor-as-owners' model can be contrasted with interventionist approaches to poverty reduction, which are aimed at creating win-win entrepreneurial models between the poor and the nonpoor. Several policy implications can be derived from our paper that may be more effective in achieving regional development and reducing regional disparities that arise from a higher incidence of poverty.

THE IMPACT OF ENTREPRENEURSHIP ON POVERTY REDUCTION

THE IMPACT OF ENTREPRENEURSHIP ON POVERTY REDUCTION, 2023

Purpose: The main purpose of this research is to analyze how entrepreneurship and entrepreneurship development incentives can influence the reduction of poverty and help to improve the entrepreneurship environment in world countries. Theoretical Framework: The study of the role of entrepreneurship in reducing poverty has become a major source of interest for scholars and policymakers around the world. A few studies have been conducted by scientists to study the impact of entrepreneurship on poverty reduction. Scholars in fields such as economics and management have tried to explore different approaches in this area and identify the relationships between entrepreneurship and poverty reduction. Design/Methodology/Approach: In this study, we use a deductive approach, in which the hypotheses are tested for application across countries. The quantitative method has been used for this approach. The Panel Fixed Effects model has been employed to assess the impact of entrepreneurship and entrepreneurship development incentives on poverty. Findings: Overall, the results showed that entrepreneurship in countries around the world has a positive and significant impact on poverty reduction. In addition, entrepreneurship development incentives increase the efficiency and capacity of entrepreneurial activities to reduce poverty. Research, Practical & Social implications: This study not only helps to fill the gap in the literature on this topic, but also serves as a model of economic and social development for developed, developing and less developed countries. Originality/value: This is a new study using changes in the HDI to measure poverty reduction, providing a broader and more comparative indicator that answers research questions. This research supports the claim that entrepreneurial activity has impact on poverty eradication and improving human development and people's quality of life. Also, it demonstrates the strong relationship between entrepreneurship and poverty alleviation.

Entrepreneurship at the Bottom of the Pyramid: A Systematic Literature Review

Sustainability

The objective of this study is to review and synthesize entrepreneurship in the context of the bottom/base of pyramid (BoP). The concept of the BoP approach, which describes the possibility of profitably in both serving the poor and alleviating poverty, has iterated from 1.0 to 3.0 since 2002. It has transformed from engaging the poor as “customers” (BoP 1.0) to engaging them as “producers” (BoP 3.0). However, although the poor in BoP markets perform as active, central focal actors to identify and create entrepreneurial opportunities, inadequate attention has been paid to the question of how to engage the poor as entrepreneurs. Understanding this question is critical because entrepreneurship has been regarded as an effective tool to relieve poverty. Therefore, this research focuses on three specific questions: (1) What are the characteristics of entrepreneurs in the BoP market? (2) What are the contents of their entrepreneurial activities? and (3) What are the consequences? To answe...

Entrepreneurship at the Bottom of the Pyramid

Routledge, 2015

This book provides a thorough understanding of entrepreneurship at the BoP. It explains why entrepreneurial attempts by the poor share similarities with what we witness in developed countries, but also explains the differences that make entrepreneurship at the BoP an area of study that deserves to be examined in isolation. The book is also a critical reference for practitioners as examples and guidelines are provided to assist anyone with an interest in supporting entrepreneurial development at the BoP.

ENTREPRENEURSHIP DEVELOPMENT AND POVERTY ALLEVIATION: AN EMPIRICAL REVIEW

Journal of Asian Scientific Research, 2014

The main purpose of this paper is to corroborate the relationship between entrepreneurship development and poverty alleviation constructed on empirical reviews. In this study, we conducted general search to accumulate empirical literatures by the name of entrepreneurship development and poverty alleviation in different online database sources such as Google Scholars, Springer Link, Wiley, Science Direct, JSTOR, Emerald full text, Scopus, and EBSCO HOST etc. We found innovation, entrepreneurship training & education, family background, government support program, social entrepreneurship, women participation, individual entrepreneurial characteristics, participation of micro, small & medium enterprises, youth empowerment, collaboration of government-university-industry is the key tool for entrepreneurship development which is stimulating employment are eventually alleviating poverty.

Poverty reduction through entrepreneurship: incentives, social networks, and sustainability

Asian Business & Management, 2018

Research on poverty reduction through entrepreneurship has often emphasized external help from government or charitable institutions. Evidence from China is used to argue that poverty reduction through entrepreneurship is an internal process which helps the poor to undertake positive actions to reduce their poverty. To conventional analyses emphasizing endogeneity and sustainability, social networks rooted in nostalgia are proposed as another determinant of the success of entrepreneurial poverty reduction initiatives. That expanded theoretical framework provides a refined and deeper understanding of how poverty reduction through entrepreneurship succeeds or fails.