Analysis of Entrepreneurial Eco-System for Refugee Entrepreneurial Activities in Germany

The research is analysing the challenges refugee-entrepreneurs face while engaging in entrepreneurial activities. The research is analysing factorswhich influence entrepreneurial activities by refugees as well as determine the implications for the entrepreneurial eco-system to support entrepreneurship by refugees. Design/methodology/approach:The research builds upon the research framework of Wauters and Lambrecht 2009 and on earlier own research work. By using a framework of three entities as access to entrepreneurship, human capital and entrepreneurial environment different variables have been evaluated for qualitative analysis of the current situation of refugee migrants. The results of the paper are based on 17 in depth interviews in North Germany with refugee entrepreneurs while engaging in entrepreneurial activities. Findings: The paper gives first insights on the factors determining entrepreneurial activities of refugees. The results demonstrate quite clearly that refugees start their entrepreneurial career in the informal sector due to a lacking support by the entrepreneurial eco-system and formalize their activities after some time in operation. Education is one of the central variables which has a decisive role in two aspects. Low and untrained refugees are often pushed into entrepreneurship as they are not able to meet labour market standards. Higher education has a negative impact in taking up long term entrepreneurial activities. Research/practical implications:The paper suggests for policy makers and the various organisations of the economy a clear need to improve the communication between refugees and the entrepreneurial eco-system. In particular, financial assistance and accountancy services should be provided in order to offer the necessary information for a sustainable entrepreneurship by refugees. Originality/value:The paper provides a suggestion which factors are positively and negatively associated with the process of developing entrepreneurial activities by refugees. The proposed model suggeststhe value of education and language skills need to be seen in a new light. The result outlines the quality of assistance needed to guiderefugees’entrepreneurs during the attempt of developing entrepreneurial activities.