Showing papers by "Sameeksha Desai published in 2020"

Challenges Along the Entrepreneurial Journey: Considerations for Entrepreneurship Supporters

Abstract: Entrepreneurs have the potential to create new jobs in their communities, bring new products and services to the market, and change the way we lead our lives. But it’s not enough to have a good idea. Some aspiring entrepreneurs encounter barriers that prevent them from ever starting a business. And those entrepreneurs who do start businesses may face challenges that limit the ability of their businesses to flourish. As a result, individuals and communities may collectively lose out on the new jobs, products, services, and innovations that were never created. What are the biggest barriers facing entrepreneurs and aspiring entrepreneurs? Where are they getting stuck? What prevents businesses from getting off the ground? What inhibits the entrepreneurs from thriving? Understanding the barriers entrepreneurs encounter along their journeys can help entrepreneurship supporters – including nonprofits, funders, policymakers, investors, and researchers – better understand how to help entrepreneurs and aspiring entrepreneurs. The report includes the results from our survey and key considerations for entrepreneurship supporters.

Entry Regulation and Persistence of Profits in Incumbent Firms

Abstract: In line with the theory of creative destruction, industries where incumbent firms generate high profits will attract entry, which should drive down profits. This disciplinary effect of entry implies that profits above the norm should not exist in the long run. Factors that affect entry—such as entry regulations—could affect this profits convergence process. Using an unbalanced panel of firm- and country-level data for approximately 13,000 firms in 33 countries between 2005 and 2013, we examine the profit dynamics of incumbent firms in the context of entry and entry regulations.

Early-Stage Entrepreneurship: Some Key Indicators and a Summary Index

Abstract: Entrepreneurship is a process and a series of dynamic steps, rather than a binary or static outcome. To provide more granular insights into the early stages of entrepreneurship, we elaborate on four indicators and a summary index capturing different dimensions of entrepreneurial activity within the population and within new businesses. The four early-stage entrepreneurship indicators: - Rate of new entrepreneurs: the percentage of the adult, non-business owner population that starts a business each month. - Opportunity share of new entrepreneurs: the percent of the total number of new entrepreneurs who were not unemployed and not looking for a job as they started the new business. - Startup early job creation: the total employment created by new employer firms in their first year for every 1,000 people, meaning that it is a measure of average first year job creation by a startup, and it is comparable across time and by geography. - Startup early survival rate: the percentage of new employer establishments that are still active after one year of operation.

2018 New Employer Business Report: National and State Trends

Abstract: The Kauffman New Employer Business Indicators series has been compiled in an effort to provide information on new employer businesses, a subset of all entrepreneurial activity. The series provides users with measures to track trends in the emergence of these businesses, their representation in the population and among all firms, and the time it takes these businesses to become employers. This report presents indicators for the United States and all 50 states and Washington, D.C., beginning in 2005 and through the most recent year of data available for each metric. Rate of new employer business actualization: This indicator reflects the proportion of all new business applications that become employer businesses within eight quarters. In 2018, the national rate of new employer business actualization was 11.33%, meaning that for every 100 new business applications, about 11 businesses made a first payroll within eight quarters. For the same year, the value of this indicator ranged from 6.59% in Delaware to 17.36% in Washington, with a median of 11.30% across states. Rate of new employer businesses: The rate of new employer businesses reflects new employer businesses in the population. The national rate of new employer businesses was 0.12 in 2018, meaning there were 120 new employer businesses for every 100,000 people. This ranged from 0.07 in West Virginia to 0.31 in Wyoming in 2018, with a median of 0.12 across states. New employer business velocity: New employer business velocity is the average amount of time it takes, in quarters, for a new business application to become an employer, assuming it does so within eight quarters. In 2014, the national new employer business velocity was 1.92, indicating that, on average, approximately six months pass between business application and first payroll. For the same year, the value of this indicator ranged from 1.46 in North Dakota to 2.37 in Washington, D.C., with a median of 1.83. Employer business newness: Employer business newness captures new employer businesses as a share of employer firms, regardless of age. In 2016, national employer business newness was 6.8%, meaning that almost 7 out of every 100 employer businesses were new businesses that made a first payroll within the first eight quarters. This ranged from 4.44% in Washington, D.C. to 8.67% in Nevada in 2016, with a median of 5.99%. We also calculate the New Employer Business Actualization Speed (NEBAS) Index, a snapshot reflecting both the emergence (actualization) and speed (velocity) of new employer businesses. In 2014 (the most recent year for which data are available), the national NEBAS index was 0.76. The value of this measure in 2014 ranged from 0.60 in Washington, D.C., to 0.93 in South Dakota, with a median of 0.79 across states. The Kauffman New Employer Business Indicators series has been compiled in an effort to provide information on new employer businesses and provides users with measures to track trends in the emergence of these businesses, their representation in the population and among all firms, and the time it takes these businesses to become employers.