Encountered Problems and Outcome Status in Nascent Entrepreneurship

The relationship between outcome status and encountered problems in the business start-up process is investigated. Contrary to expectations, we find that starters do not substantially differ from quitters in the number and type of problems encountered, and that problems encountered generally do not affect outcome status. This research is based on a sample of 414 Dutch nascent entrepreneurs followed over a three-year period. Its design is comparable to that of the U.S. Panel Study of Entrepreneurial Dynamics.

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