1. Is Nonprofit Entrepreneurship Unique?
- Author
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Chowdhury, Farzana and Audretsch, David B.
- Subjects
BUSINESSPEOPLE ,NONPROFIT sector ,OCCUPATIONAL roles ,HUMAN capital ,SOCIAL entrepreneurship ,NONPROFIT organizations - Abstract
While private entrepreneurial activity has been at the core of entrepreneurship, nonprofit ventures still need to be explored in the literature. Using norm-activation theory (NAT) and resource-based view (RBV) lenses, we explore the antecedents of undertaking nonprofit entrepreneurial activity. By examining 8544 entrepreneurs' decisions about the type of entrepreneurship to engage in, we find that not all human capital has a similar influence on people's decisions regarding the types of formation of their venture. The results suggest that entrepreneurs' job-related experiences and social orientation are significantly linked to nonprofit entrepreneurship. The results of our study contribute to the human capital theory by demonstrating that people's value influences how they use their knowledge resources. Plain English Summary: A combination of work experience and social orientation is at the heart of the decision to engage in nonprofit entrepreneurship, not just social orientation. Understanding the antecedent of engagement in nonprofit entrepreneurship is important since nonprofit organizations combine two competing organizational objectives – creating social values and economic wealth. The nonprofit sector presents an interesting alternative context since the financial incentive is crucial for engaging in entrepreneurial activity in the for-profit context. In this paper, we supplement the Resource-Based View (RBV) literature by incorporating human capital and the norm-activation theory (NAT) framework to investigate what influences an individual's decision to engage in nonprofit entrepreneurship. This framework enables us to investigate the influence of the combination of resources in the possession of entrepreneurs and the values that are important to them are used to engage in nonprofit entrepreneurship. [ABSTRACT FROM AUTHOR]
- Published
- 2024
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