Understanding Senior Entrepreneur Behavior

Abstract

There has been increased research interest in senior entrepreneurs and their potential contribution to the global economy. Nevertheless, the extant literature on senior entrepreneurship is often limited to considering some individual factors of entrepreneurship behavior without considering other factors linked to seniors’ environment. In this paper, we aim to understand the factors enhancing seniors to start a new business in Europe; factors linked to seniors’ environment — such as internet and information and communication technologies (ICT) diffusion, the level of status and respect of successful entrepreneurs, relaying information about successful new businesses in the media — and individual factors — such as gender, education, job position, income, skills —. The analysis is based on two main sources of data — the Global Entrepreneurship Monitor (GEM) and Eurostat — using a non-balanced panel dataset corresponding to a sample of 11 European countries covering 2006–2013. Findings of this study indicate that both individual and environmental factors contribute to seniors’ entrepreneurial behavior. Technology diffusion, personal skills, acquaintances’ entrepreneurial experiences, media relaying information about successful new businesses, and the senior employment rate are important factors of seniors’ starting new businesses. The findings provide valuable insights for policy makers to promote seniors’ entrepreneurship and provide better support for seniors to pursue entrepreneurial success.