This paper studies a general equilibrium model of an economy with production under uncertainty in which firms’ capital (ownership) structures creates a moral hazard problem for their managers. The concept of an equilibrium with rational, competitive price perceptions (RCPP) is introduced, in which investors correctly anticipate the optimal effort of entrepreneurs by observing their financial de...

This paper argues that it is crucially important to differentiate between two very distinct sets of entrepreneurs: subsistence and transformational entrepreneurs. Recent evidence suggests that people engaging in these two types of entrepreneurship are not only very distinct in nature, but that only a negligible fraction of them transition from subsistence to transformational entrepreneurship. T...

in the current world, entrepreneurs are origin of great developments in industrial, servant and commercial contexts and are motivator of development. the main objective of this study was to explore and deeply explain the experiences of entrepreneurs about entrepreneurship phenomenon, as they perceive themselves. research method was qualitative in the way of phenomenology. population included su...

How do feelings influence the effort of entrepreneurs? To obtain data on this issue, the authors implemented experience sampling methodology in which 46 entrepreneurs used cell phones to provide reports on their affect, future temporal focus, and venture effort twice daily for 24 days. Drawing on the affect-as-information theory, the study found that entrepreneurs' negative affect directly pred...

This paper seeks to examine the relationship between education demand and entrepreneurs in the process of enhancing the growth of human capital in China. We develop a theoretical model that incorporates the important roles played by human capital, education and entrepreneurs. Then, we derive an immigration condition under which the demand for education depends on the existence of entrepreneurs....

We empirically study how opportunity cost of entrepreneurship conditions entrepreneurial performance. We assume that entrepreneurs in high tech startups aim to “cash out”, by being acquired on favorable terms or through an IPO. Entrepreneurs with few alternative opportunities will tend to linger on as long as they can in the hopes of cashing out, whereas those with plentiful opportunities have ...

There is a wide variety of types of entrepreneurs, but no one formula for success. However, there are many successful entrepreneurs. Understanding why some entrepreneurs succeed while others fail is important to help future entrepreneurs in their efforts to be ssuccessful. Entrepreneurship is the economic engine driving many nations” economies in the global competitive landscape. Entrepreneursh...

We study the benefits of private entrepreneurs entering into politics in China. Using original hand-collected data on political participation of entrepreneurs that control listed firms, we document evidence of rent seeking through their political networks and several potential channels through which rent seeking is realized. It is shown that political participation results in increased stock pe...

It can be seen that entrepreneurship has undergone many changes since the time it was defined and types have been introduced over as well. A relatively new type is sustainable entrepreneurship, which seeks to function in a way passed down through generations without endangering nature’s responsiveness. Sustainable entrepreneurs sometimes perform their activities emphasizes social aspect, highli...

This paper presents new data on entrepreneurs’ self-described decision processes 5 when choosing where to locate, based on scripted interviews with 49 well-placed business 6 owners and senior managers in charge of location choice. Consideration sets are surprisingly 7 small, especially among those who are successful. According to entrepreneurs’ own accounts, 8 locations are frequently discovere...