Módulo de Transmisión

This research has helped to establish the notion that there is a distinct ethnic business creation process in which ethnic resources and ethnic networks play a significant facilitation role. In particular, it has been suggested that social capital, referred to by some as cultural capital, has played an enormous role in the creation of ethnic firms. Furthermore, the presence of co-ethnic networks was found to positively encourage the propensity for self-employment for members of Croatian ethnic groups in Australia.

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Similarly, it was shown that ethnic networks, education and business skills are all positively related to ethnic business start-ups, which implies that social factors together with ethnic networks are essential factors in the business creation process.

This research highlights the following factors, which appear to motivate Croatian immigrants to become entrepreneurs, including:

 opportunity;  financial gain  independence;

 entrepreneurial social networks;  availability of resources;  entrepreneurial attitude; and  fertile environments for business.

According to the respondents in this study, the most significant factor that deters potential entrepreneurs is fear. They stated that no person will start a business if the fear of disappointment or failure takes over. In order to mitigate such fears and thus lead to a boost in the economy, the government should underpin attempts at entrepreneurship in order to give innovative individuals assurance in their business undertakings.

Besides these ever-present economic and administrative concerns which all entrepreneurial activities face, small business operates in a society shaped by the media, education and government policies. Indirectly, these issues inevitably affect the mindset of business people. Such a nexus suggests that if the media were more proactive in promoting stories of business leaders, not just their company’s services and products, they could be presented as models for potential entrepreneurs to follow. Confidence in the context of a new culture that an innovative idea might work is important to initiate the development of new businesses. What might provide individuals with this sense of confidence is having appropriate governmental infrastructure in place to facilitate business start-ups. Besides this developmental network, a reduction in the number of procedures necessary to start a business is seen as important plus a reduction in the level of start-up taxes and the removal of unnecessary restrictions that might be placed upon businesses.

Ultimately, having a positive culture in place that helps eliminate fear of failure will be a significant fillip to potential entrepreneurs who wish to contribute to the growth of the economy

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through business. While not every business start-up will succeed, business is a numbers game, and if more people are creating new companies, more companies will succeed, therefore helping the economy.

However, it must be recognised that some authors disagree that simply creating more companies will produce the most desirable economic outcome. Shane (2008) was critical regarding saturation in new start-ups, suggesting that productivity drives growth, and equivocally stated that new start-ups do not bring more productivity, suggesting they are in fact less productive. The productivity of a firm increases with age, which implies support might be better given to existing enterprises.

Shane (2008) also indicated that when governments intervene to encourage the creation of new businesses, they stimulate more people to start new companies, disproportionately in competitive industries with lower barriers to entry and high rates of failure. This is because it seems that the typical entrepreneur is unsuccessful at picking key industries, choosing the ones that are easiest to enter, not the ones that are best for start-ups. Thus rather than picking industries in which new companies are most successful, most entrepreneurs tend to pick industries in which most start-ups fail.

It thus seems that when the government can call on each and every individual to take a risk and decide to start a business, the country’s economy can flourish. While the government may not necessarily have a direct relationship with the media or the education students receive, it can facilitate the opportunity for individuals to take on new ventures and can also promote business education at universities through investment. At the end of the day, when someone decides to start a business, he or she wants to have the best opportunity to do so and that comes from an environment that gives entrepreneurs the confidence they need to succeed. When the government can ensure that entrepreneurs have an opportunistic outlook, businesses can contribute to growing the economy.

In summary, the findings of this study will be useful for policy makers in their decision-making processes. For example, a clear understanding of immigrant entrepreneurial motivation can be translated into efficient advertising and the distribution of funding and grants. As an example of the positive application of this sort of research, policy makers can try to ensure more immigrant entrepreneurs are noticeable, as positive examples, and are shown in advertisements and the like, so that other potential immigrant entrepreneurs can view them as role models.

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Australia’s future prosperity depends on how it uses its limited, skilled labour force. If skilled migrants find themselves underemployed in the labour force or migrants feel that they can increase their income through self-employment, then entrepreneurship should be encouraged. An entrepreneurial culture should also be reflected in the mentality of migrant children, suggesting more education in this area. Students should see entrepreneurship and business as a better path to a successful career than the traditional job market.

In conclusion, this research contributes to both theoretical and practical aspects of motivational factors affecting the start-up of Croatian ethnic small businesses in Australia. It appears that a better understanding of the important factors influencing the start-up of businesses by Croatian ethnic entrepreneurs will have implications for expanding their businesses successfully in this globalised environment.