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Team formation processes in new ventures

Lukas Held (), Andrea M. Herrmann and Allard Mossel
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Lukas Held: Utrecht University
Andrea M. Herrmann: Utrecht University
Allard Mossel: Utrecht University

Small Business Economics, 2018, vol. 51, issue 2, 441-464

Abstract: Abstract While entrepreneurship research theorizing about the team formation in start-up ventures exists, such studies mostly focus on different outcomes of team formation, for example the number of employees. Questions about how team formation processes unfold and the factors, such as labor-market institutions, influencing their evolvement remain unanswered. To address this research gap, we analyze the venture creation processes of 344 ventures in Germany and the USA, offering particularly typical examples of countries with regulated and deregulated labor-market institutions respectively. Based on optimal matching techniques, we illustrate how team formation processes differ over time in terms of founder and employee involvement and the hiring of service providers. Furthermore, we use binary logistic regressions to identify the extent to which national labor-market institutions account for these differences.

Keywords: New venture creation; Team formation; Entrepreneurship; Varieties-of-capitalism; Optimal matching; Labor-market institutions (search for similar items in EconPapers)
JEL-codes: L26 M13 M54 (search for similar items in EconPapers)
Date: 2018
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