Varieties of Necessity Entrepreneurship – New Insights From Sub Saharan Africa

Christiana Weber, Anja Fasse, Helen M. Haugh and Ulrike Grote

Entrepreneurship Theory and Practice, 2023, vol. 47, issue 5, 1843-1876

Abstract: Necessity entrepreneurship (NE) describes the process of venturing a business out of need when alternative options are seemingly absent. Whereas prior research typically understands NE to be a homogenous construct, recent theorizing suggests the possibility of NE heterogeneity. In this paper we employ Sen’s capability approach to elicit NE variety. Using data gathered from 820 households in rural Tanzania, our cluster analysis generates four distinct types of NE that vary significantly regarding their entrepreneurial activities, determinants and outcomes. Our findings demonstrate the relevance of life satisfaction and reveal the role of choice in NE. Our study thereby advances a nuanced perspective of NE.

Keywords: necessity entrepreneurship; tanzania; resource endowments; life satisfaction; capability approach; cluster analysis; endogenous switching regression (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.1177/10422587221111737 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:entthe:v:47:y:2023:i:5:p:1843-1876

DOI: 10.1177/10422587221111737

Access Statistics for this article

More articles in Entrepreneurship Theory and Practice
Bibliographic data for series maintained by SAGE Publications ().