Economics & Sociology

ISSN: 2071-789X eISSN: 2306-3459 DOI: 10.14254/2071-789X
Index PUBMS: f5512f57-a601-11e7-8f0e-080027f4daa0
Article information
Title: Linking firm characteristics to perceived important social factors for entrepreneurial activity
Issue: Vol. 12, No 4, 2019
Published date: 12-2019 (print) / 12-2019 (online)
Journal: Economics & Sociology
ISSN: 2071-789X, eISSN: 2306-3459
Authors: Gentjan Çera
Tomas Bata University in Zlín, Zlín, Czech Republic

Jaroslav Belas
Tomas Bata University in Zlín, Zlín, Czech Republic

Zoltan Rozsa
Alexander Dubcek University in Trencin,

Martin Cepel
Pan-European University, Bratislava, Slovak Republic
Keywords: entrepreneurship, SME, firm age, firm size, social factors, institutions, Central Europe
DOI: 10.14254/2071-789X.2019/12-4/6
Index PUBMS: cab82eee-3710-11ea-b360-fa163e0fa1a0
Language: English
Pages: 101-115 (15)
JEL classification: A13, L26, O17
This paper was supported by the Internal Grant Agency of Faculty of Management and Economics, Tomas Bata University, no. IGA/FaME/2019/002: The role of institutional environment in fostering entrepreneurship.

This study seeks to investigate the linkages between firm characteristics (firm age and size) and perceived important social factors for entrepreneurship. The research is administered on a firm-level data collection through a survey. The paper uses principal component analysis and non-parametric methods, including a post-hoc test to examine the above linkages within an original dataset of 641 small and medium-sized enterprises (SMEs) operating in Czech Republic and Slovakia. The results reveal that the perceived important social factors have a negative association with firm age and a positive one with firm size. Therefore, younger firms are more vulnerable to these factors as compared with their older counterparts. However, larger firms demonstrated perceived higher social factors, as compared with smaller ones. This research contributes to enriching literature by providing insights on the associations of firm characteristics and social factors for entrepreneurship in Central European context. Understanding factors which shape entrepreneurship within SME sector allows adjusting and designing policies aiming to boost entrepreneurship for certain groups of firms.


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