Identifying the factors of scalability in entrepreneurial periphery by categorical principal component analysis (CATPCA)

Sandhya Kri Shaw () and Manidipa DasGupta
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Sandhya Kri Shaw: The University of Burdwan, Research Scholar, Department of Commerce
Manidipa DasGupta: The University of Burdwan, Assistant Professor in Commerce

Journal of Global Entrepreneurship Research, 2025, vol. 15, issue 1, 1-14

Abstract: Abstract In pursuit of growth and sustainability, entrepreneurial ventures often wrestle with the tribulation of scalability due to some exogenous and endogenous factors. The necessity to explore the factors of entrepreneurial scalability in competitive scenario, hence, motivates the present study to delve into a quantitative content analysis on previous studies dealing with the multifaceted dimensions of scalability like scaling up (acceleration of profit margin, customer increment, cost reduction etc.), scaling out (increase in number of entrepreneurial outlet), scaling deep (reshaping the socio-cultural-personal environment) and rescaling (entrepreneurial resilience). Considering an extraction criterion on subject area, document type, publication stage etc., the present study selected 69 related literature published in Scopus and Web of Science e-database over three decades from 1993 (the era of transformation for global industry driven by impact of technological advancement, globalization, liberalization etc.) to 2023 (the latest published report as per availability). With an application of Categorical Principal Component Analysis (CATPCA), the study, therefore, identified 37 total factors of entrepreneurial scalability like value creation, continuous growth in capacity of system, rapid growth and expansion etc. which later were integrated and segregated under two dimensions viz. ‘scaling up and entrepreneurial internal management’ and ‘global market and socio-economic advancement’ having 6.751 and 5.404 magnitude of the variance for the first and second dimensions respectively. Continuing this effort, the study exhibited three clusters on the approaches to entrepreneurial scalability like ‘scaling up and scaling out’; ‘scaling deep and rescaling’ and ‘scaling out and sustainable scaling’. The study hence proves its novelty by unveiling strategies of entrepreneurial scalability based on the factors which were not significantly addressed by the previous literature. This practice thus proves its policy implication in front of the policy makers and research fraternity who can explore the scope of entrepreneurial progress in the competitive scenario as well as reach out further research in this domain.

Keywords: Entrepreneurship; CATPCA; Scalability; Scaling up; Scaling out; Scaling deep; Rescaling (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1007/s40497-025-00469-w

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