Abstract

https://ssrn.com/abstract=2420369
 


 



Entrepreneurial Couples


Michael S. Dahl


University of Aarhus - School of Business and Social Sciences

Mirjam van Praag


University of Amsterdam - Department of Economics; Copenhagen Business School; Tinbergen Institute; IZA Institute of Labor Economics

Peter Thompson


Georgia Institute of Technology - Scheller College of Business

February 2014


Abstract:     
We study possible motivations for co-entrepreneurial couples to start up a joint firm, using a sample of 1,069 Danish couples that established a joint enterprise between 2001 and 2010. We compare their pre-entry characteristics, firm performance and post-dissolution private and financial outcomes with a selected set of comparable firms and couples. We find evidence that couples often establish a business together because one spouse – most commonly the female – has limited outside opportunities in the labor market. However, the financial benefits for each of the spouses, and especially the female, are larger in co-entrepreneurial firms, both during the life of the business and post-dissolution. The start-up of co-entrepreneurial firms seems therefore a sound investment in the human capital of both spouses as well as in the reduction of income inequality in the household. We find no evidence of non-pecuniary benefits or costs of co-entrepreneurship.

Number of Pages in PDF File: 28

Keywords: Entrepreneurship, motives, performance, couples, co-entrepreneurship.

JEL Classification: J12, L26


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Date posted: April 5, 2014  

Suggested Citation

Dahl, Michael S. and van Praag, Mirjam and Thompson, Peter, Entrepreneurial Couples (February 2014). Available at SSRN: https://ssrn.com/abstract=2420369 or http://dx.doi.org/10.2139/ssrn.2420369

Contact Information

Michael Slavensky Dahl
University of Aarhus - School of Business and Social Sciences ( email )
Department of Management
Bartholins Allé 10
Aarhus C, 8000
Denmark
Mirjam Van Praag (Contact Author)
University of Amsterdam - Department of Economics ( email )
Roetersstraat 11
Amsterdam, 1018 WB
Netherlands
+31 20 525 4096 (Phone)
+31 20 525 4182 (Fax)
Copenhagen Business School ( email )
Kilevej 14A
Frederiksberg, 2000
Denmark
Tinbergen Institute
Gustav Mahlerlaan
Amsterdam
Netherlands
IZA Institute of Labor Economics
Schaumburg-Lippe-Str. 7 / 9
Bonn, D-53072
Germany

Peter Thompson
Georgia Institute of Technology - Scheller College of Business ( email )
800 West Peachtree St., NW
Atlanta, GA 30308-1149
United States

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