Florence honore


TUESDAY march 16 at 5.30pm (Paris time)

The effect of the first employer size on entrepreneurial transitions

by Florence Honore and Haifeng Wang (both at Wisconsin School of Business)

Abstract

Prior work showed that employees' current job attributes are related to employees’ likelihood to become entrepreneurs. Specifically, the size of the employer is often considered as a predictor of entrepreneurship. While prior research focused on the job immediately preceding the transition to entrepreneurship, it remains unclear whether the first job influences young workers’ entrepreneurship transition. We study how the first employer’s size influences the next employer's size and subsequent entrepreneurial transitions. We use a rich employer-employee linked Spanish data set that allows us to disentangle some of the mechanisms underlying the first job and current job effects.