Exploring the connection between institutions and immigrant entrepreneurship in the host country

Lead Research Organisation: University of Manchester
Department Name: Alliance Manchester Business School

Abstract

Immigrant Entrepreneurship emerged as a result of the migration of entrepreneurial people pursuing economic success. Through an in-depth literature review a research gap has been outlined, addressing the relationship between immigrants and institutions. Institutions are regarded to play a critical role in shaping the business environment and the establishment of new ventures, thus,
different research questions have been outlined in order to address these gaps.

Why certain immigrants decide to settle in a specific country compared to another? Are the institutions, formal and informal affecting the host country decision? How immigrant entrepreneurs are abiding to the "rule of the game" in the host country? How is "institutional acculturation" affecting new business ventures? Do some institutions affect immigrant new ventures more than others? Are ethnic networks affecting the successful establishment of immigrant businesses in the host country? Do colonial ties have an effect on the host country decision?

The study will analyse Chinese immigrant entrepreneurship in the UK and Italy, allowing further theory development on the subject. The Chinese community has been chosen due to the high level of Chinese migrating towards Europe starting from the 1850s and their influence is considered to increase in the future. Italy has already been used in the literature due to the high level of Chinese immigrant businesses while the UK has been chosen as it features in the first place among the European countries with the highest level of Chinese citizens.

Qualitative and quantitative data will be used in the study. The primary qualitative data will follow semi-structured interviews in English and Italian, the interviewees will be Chinese entrepreneurs in the UK and Italy. Nvivo and a thematic analysis will be used to help tracing the development of the research and not overlook important steps during the analytical process. The themes that will be analysed regarding the formal institutions will be; taxation, the government support for the establishment of immigrant businesses, immigration policies, amnesties, visa requirements, laws and regulations for bankruptcy. Furthermore, network with conational, the cultural differences between the home country and host country, the propensity towards corruption and illegal practices and the business customs of the host country will be utilised when looking at the informal institutions.
Quantitative secondary data from the Global Entrepreneurship Monitor (GEM) will be used, alongside the OECD International Migration Database and the World Governance Indicators.
In addition, GDP per capita will be added as a measure of analysis of both home and host country in order to analyse the differences in income between them, the data will be collected from the World Development Indicators Database. Moreover, variables ( colonial ties, language, legal origin) collected from the GeoDist database and CEPII will help identifying whether the historical development has in-fact an impact when considering the destinations among immigrants. To better comprehend the involvement of the institution from an etic perspective, different laws, amnesties and government support initiatives will be analysed.
This study aims through a multi-country analysis as a measure of comparison, to understand whether the institutional settings of the host country are affecting the decision making of immigrants and whether the public policies of the government have an effect on the entrepreneurial decisions of these individuals. The study will have implications for policy makers as it will provide useful tools in understanding the actual impact of the regulatory system within a country linked with new business ventures. Therefore, the study has the potential to influence future policymakers in the development of new plans affecting SMEs.

Publications

10 25 50

Studentship Projects

Project Reference Relationship Related To Start End Student Name
ES/P000665/1 01/10/2017 30/09/2027
2488359 Studentship ES/P000665/1 01/10/2020 27/06/2024 Eleni Chiarapini