Economic integration of immigrant entrepreneurs

Abstract

Objective: This study investigates economic integration of immigrant entrepreneurs by comparing them with their native-born counterparts, and examines whether and how entrepreneurs’ socio-cultural integration affects their economic integration. Research Design & Methods: This study is based on data of the Social Surveys conducted by the Israeli Central Bureau of Statistics in 2008, 2010 and 2012. The sample included 1133 native-born and 576 immigrant entrepreneurs. Findings: Socio-cultural integration is not necessarily associated with economic integration and a high income. Immigrants can earn the same and even more than native-born entrepreneurs do, even if they have a low level of socio-cultural integration. The impact of socio-cultural integration on immigrant entrepreneurs’ income varies by their origin. Implications & Recommendations: Understanding integration of immigrant entrepreneurs and the factors affecting their income will help policy-makers to facilitate their economic advancement. Contribution & Value Added: Based on Berry’s concept, I propose a model of entre-preneurs’ integration. The model stresses interrelations between socio-cultural and economic integration.