The Determinants of Sustainable Entrepreneurship of Immigrants in Lapland: An Analysis of Theoretical Factors
Objective: This research seeks new ways in which the socio-cultural capital and human capital of immigrants can be used as a resource in business life in Lapland - a sparsely populated area and new immigrant-receiving region. Immigrants are a vulnerable group in the labor market, since the unemployment rate among immigrants in Lapland is higher than that among locals.
Research Design & Methods: This article draws on the disadvantage theory of entrepreneurship and cultural theory of entrepreneurship to better explain the factors that act as barriers to achieving sustainable immigrant entrepreneurship in Lapland. An analysis is put forward that explores enablers that might sustain entrepreneurial existence and development and increase long-term prospects for immigrant-owned enterprises. The article also investigates some of the positive factors for successful business and economic activity in a new immigrant-receiving region.
Findings: In the last three years, many immigrant entrepreneurs in the region have had to close their businesses a short time after establishing them. It is harder for immigrants to run businesses and to become successful in Lapland than elsewhere, as triple disadvantage theory pushed them to established entrepreneurship and furthermore pressed them to close their business. It is a barrier to developing their full entrepreneurial potential as a whole.
Implications & Recommendations: Immigrant entrepreneurship issues and themes in Finland do not fall within the responsibility of any single authority or any single sector. All the official and organizational actors need to change their attitudes and encourage positive interaction. Also it is necessary to invest in knowledge building, a process that will enable immigrants to play a fruitful role in the future social, political and economic development of Lapland.
Contribution & Value Added: The article contributes to the studies on immigrant entrepreneurship and immigrant socio-economic integration by focusing on necessity-driven entrepreneurs in a sparsely populated region - Lapland in Northern Finland.
entrepreneur; immigrant; sustainable; factors; disadvantage theory; self-employment
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