Abstract
There are more than a billion people who live in poverty (Collier, 2007; Reynolds, 2012). Twenty-one percent of the population in developing countries (1.22 billion people) can only spend $1.25 or below a day in the year 2010 (Olinto, Beegle, Sobrado, and Uematsu, 2013). In addition to poverty, a major problem for developing countries is the high rate of unemployment (The International Labor Office [ILO], 2013). Two thirds of the young population in developing countries was unemployed or worked in irregular employment in the year 2012 (ILO, 2013; UNDESA, 2013). What will aggravate the situation is that many more young people will enter the future job market. In least developed countries 40% of the population was younger than 15 years in 2012, and 20% were aged between 15 and 24 years (UNDESA, 2013). Consequently, many governmental and non-governmental bodies argue that solving the problem of unemployment and fostering employment creation in developing countries is of high importance (ILO, 2013; UNDESA, 2013). A possible approach to address the issue of unemployment is entrepreneurship since research shows that entrepreneurship supports employment creation (Acs, Desai, and Hessels, 2008; Gries and Naudé, 2010; Mead and Liedholm, 1998; Naudé, 2010, 2012; Naudé, Gries, Wood, and Meintjies, 2008). This implies that through promoting entrepreneurship it is possible to contribute to employment creation.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
Similar content being viewed by others
References
Acs, Z., & Armington, C. (2004). Employment growth and entrepreneurial activity in cities. Regional Studies, 38(8), 911–927.
Acs, Z. J., Desai, S., & Hessels, J. (2008). Entrepreneurship, economic development and institutions. Small Business Economics, 31(3), 219–234.
Andersson, P. (2008). Happiness and health: Well-being among the selfemployed. The Journal of Socio-Economics, 37(1), 213–236.
Audretsch, D. B., & Keilbach, M. (2004). Entrepreneurship capital and economic performance. Regional Studies, 38(8), 949–959.
Baldwin, T. T., & Ford, K. J. (1988). Transfer of training?: A review and directions for future research. Personnel Psychology, 41, 63–105.
Bandura, A. (1986). Social Foundations of Thought and Action: A Social Cognitive Theory. Englewood Cliffs, NJ: Prentice Hall.
Banerjee, A. V., & Duflo, E. (2009). The experimental approach to development economics. Annual Review of Economics, 1, 151–178.
Baron, R. A. (2007a). Behavioral and cognitive factors in entrepreneurship: Entrepreneurs as the active element in new venture creation. Strategic Entrepreneurship Journal, 1(1-2), 167–182.
Baron, R. A. (2007b). Entrepreneurship: A process perspective. In J. Baum, M. Frese, & R. A. Baron (Eds.), The Psychology of Entrepreneurship (pp. 19–39). Mahwah, NJ: Lawrence Erlbaum.
Baron, R. M., & Kenny, D. A. (1986). The moderator-mediator variable distinction in social psychological research: conceptual, strategic, and statistical considerations. Journal of Personality and Social Psychology, 51(6), 1173–1182.
Barr, S. H., Baker, T., Markham, S. K., & Kingon, A. I. (2009). Bridging the valley of death?: Lessons learned from 14 years of commercialization of technology education. Academy of Management Learning & Education, 8(3), 370–388.
Baum, J. R., Frese, M., Baron, R. A., & Katz, J. A. (2007). Entrepreneurship as an area of psychology study: An introduction. In J. R. Baum, M. Frese, & R. A. Baron (Eds.), The Psychology of Entrepreneurship (pp. 1–18). Mahwah, NJ: Lawrence Erlbaum.
Baumol, W. J. (1986). Entrepreneurship in Economic Theory. American Economic Review, 58(2), 64–71.
Beck, T., & Demirguc-Kunt, A. (2008). Access to finance: An unfinished agenda. The World Bank Economic Review, 22(3), 383–396.
Benz, M., & Frey, B. S. (2004). Being independent raises happiness at work. Swedish Economic Policy Review, 11, 95–134.
Benz, M., & Frey, B. S. (2008). Being independent is a great thing: Subjective evaluations of self-employment and hierarchy. Economica, 75, 362–383.
Blanchflower, D. G. (2004). Self-employment?: More may not be better. Swedish Economic Policy Review, 11(2), 15–73.
Blanchflower, D. G., & Oswald, A. J. (1998). What makes an entrepreneur? Journal of Labor Economics, 16(1), 26–60.
Boyd, N. G., & Vozikis, G. S. (1994). The influence of self-efficacy on the development of entrepreneurial intentions and actions. Entrepreneurship Theory and Practice, 18, 63–77.
Brinckmann, J., Grichnik, D., & Kapsa, D. (2010). Should entrepreneurs plan or just storm the castle? A meta-analysis on contextual factors impacting the business planning-performance relationship in small firms. Journal of Business Venturing, 25(1), 24–40.
Carree, M. A., & Thurik, A. R. (2003). The impact of entrepreneurship on economic growth. In Z. J. Acs, & D. B. Audretsch (Eds.), Handbook of Entrepreneurship Research (pp. 437–471). Boston/Dordrecht: Kluwer Academic Publishers.
Carree, M. A., & Thurik, A. R. (2008). The lag structure of the impact of business ownership on economic performance in OECD countries. Small Business Economics, 30, 101–110.
Chen, C. C, Greene, P. G., & Crick, A. (1998). Does entrepreneurial self-efficacy distinguish entrepreneurs from managers? Journal of Business Venturing, 13(4), 295–316.
Collier, P. (2007). The Bottom Billion. Oxford: Oxford University Press.
Cook, T. D., Campbell, D. T., & Peracchio, L. (1990). Quasi experimentation. In M. D. Dunnette, & L. M. Hough (Eds.), Handbook of Industrial and Organizational Psychology (Vol 1, 2nd Edition, pp. 491–576). Palo Alto, CA: Consulting Psychologists Press.
Czarnitzki, D., & Kraft, K. (2004). Firm leadership and innovative performance: Evidence from seven EU countries. Small Business Economics, 22(5), 325–332.
Davidsson, P., & Honig, B. (2003). The role of social and human capital among nascent entrepreneurs. Journal of Business Venturing, 18(3), 301–331.
Dechenaux, E., Goldfarb, B., Shane, S. A., & Thursby, M. C. (2003). Appropriability and the timing of innovation: Evidence from MIT inventions (No. w9735). National Bureau of Economic Research. Resolution: Golbal
Dimov, D. (2007). Beyond the single-person, single-insight attribution in understanding entrepreneurial opportunities. Entrepreneurship Theory and Practice, 31(5), 713–731.
Duflo, E., Glennerster, R., & Kremer, M. (2007). Using randomization in development economics research: A toolkit. Handbook of Development Economics, 4, 3895–3962.
Fiet, J. O. (2000). The pedagogical side of entrepreneurship theory. Journal of Business Venturing, 16, 101–117.
Frese, M. (2009). Towards a psychology of entrepreneurship: An action theory perspective. Foundations and Trends in Entrepreneurship, 5(6), 437–496.
Frese, M., Beimel, S., & Schoenborn, S. (2003). Action training for charismatic leadership: Two evaluations of studies of a commercial training module on inspirational communication of a vision. Personnel Psychology, 56(3), 671–698.
Frese, M., & Zapf, D. (1994). Action as the core of work psychology. In H. C. Triandis, M. D. Dunnette, & L. M. Hough (Eds.), Handbook of Industrial and Organizational Psychology (Vol 4, pp. 271–340). Palo Alto, CA: Consulting Psychologists Press.
Friedrich, C, Glaub, M., Gramberg, C, & Frese, M. (2006). Does training improve business performance of small-scale entrepreneurs? An evaluative study. Industry and Higher Education Journal, 20, 75–84.
Fritsch, M. (2008). How does new business formation affect regional development? Introduction to the special issue. Small Business Economics, 30(1), 1–14.
Gartner, W. B. (1985). A conceptual framework for describing the phenomenon of new venture creation. Journal of Management Review, 10(4), 696–706.
Gielnik, M. M., & Frese, M. (2013). Entrepreneurship and poverty reduction: Applying I-O psychology to microbusiness and entrepreneurship in developing countries. In J. B. Olson-Buchanan, L. L. Koppes Bryan, & L. Foster Thompson (Eds.), Using I-O Psychology for the Greater Good: Helping Those Who Help Others (pp. 394–438). New York: Routledge.
Gielnik, M. M., Frese, M., Kahara-Kawuki, A., Katono, I. W., Kyejjusa, S., Munene, J.,& Dlugosch, T. J. (in press). Action and Action-Regulation in Entrepreneurship: Evaluating a Student Training for Promoting Entrepreneurship. Academy of Management Learning & Education, doi: 10.5465/amle.2012.0107.
Glaub, M., Fischer, S., Klemm, M., & Frese, M. (2011). A theory-based controlled randomized field intervention: Increasing proactive behavior (personal initiative) in small business owners leads to entrepreneurial success. National University of Singapore: Manuscript Resolution Global.
Glaub, M., & Frese, M. (2012). A critical review of the effects of entrepreneurship training in developing countries. Enterprise Development and Microfinance, 22(4), 335–353.
Gollwitzer, P. M. (1999). Implementation intentions: Strong effects of simple plans. American Psychologist, 54(7), 493–503.
Gollwitzer, P. M., & Brandstätter, V. (1997). Implementation intentions and effective goal pursuit. Journal of Personality and Social Psychology, 73(1), 186–199.
Gries, T., & Naud, W. (2010). Entrepreneurship and structural economic transformation. Small Business Economics, 34(1), 13–29.
Hacker, W. (1998). Allgemeine Arbeitspsychologie. Psychische Regulation von Arbeitstätigkeiten. Bern: Huber.
Heimbeck, D., Frese, M., Sonnentag, S., & Keith, N. (2003). Integrating errors into the training process: The function of error management instructions and the role of goal orientation. Personnel Psychology, 56(2), 333–361.
International Labour Organization (2013). Global Employment Trends for Youth: A Generation at Risk. Geneva: International Labour Office.
Johannisson, B., Landstrom, H., & Rosenberg, J. (1998). University training for entrepreneurship — An action frame of reference. European Journal of Engineering Education, 23(4), 477–496.
Kabongo, J. D., & Okpara, J. O. (2010). Entrepreneurship education in sub-Saharan African universities. International Journal of Entrepreneurial Behaviour & Research, 16(4), 296–308.
Keith, N., & Frese, M. (2005). Self-regulation in error management training: emotion control and metacognition as mediators of performance effects. The Journal of Applied Psychology, 90(4), 677–691.
Keith, N., & Frese, M. (2008). Effectiveness of error management training: A Meta-Analysis. The Journal of Applied Psychology, 93(1), 59–69.
Klandt, H. (2004). Entrepreneurship education and research in German-speaking Europe. Academy of Management Learning & Education, 3(3), 293–301.
Lieshout, S. Van, Sievers, M., & Aliyev, M. (2012). Start and Improve Your Business Global Tracer Study 2011: ILO’s Business Management Training Programme. Geneva: ILO.
Love, J. H., & Ashcroft, B. (1999). Market versus corporate structure in plant-level innovation performance. Small Business Economics, 13, 97–109.
Martin, B. C, McNally, J. J., & Kay, M. J. (2013). Examining the formation of human capital in entrepreneurship: A meta-analysis of entrepreneurship education outcomes. Journal of Business Venturing, 28(2), 211–224.
Martocchio, J. J., & Dulebohn, J. (1994). Performance feedback effects in training: the role of perceived controllability. Personnel Psychology, 47(2), 357–373.
McGee, J. E., Peterson, M., Mueller, S. L., & Sequeira, J. M. (2009). Entrepreneurial self-efficacy: Refining the measure. Entrepreneurship Theory and Practice, 33(4), 965–988.
McKenzie, D., & Woodruff, C. (2012). What are we learning from business training and entrepreneurship evaluations around the developing world?? Working Paper. Washington, DC: The World Bank.
McMullen, J. S., & Shepherd, D. A. (2006). Entrepreneurial action and the role of uncertainty in the theory of the entrepreneur. Academy of Management Review, 31(1), 132–152.
Mead, D. C, & Liedholm, C. (1998). The dynamics of micro and small enterprises in developing countries. World Development, 26(1), 61–74.
Naudé, W. (2010). Entrepreneurship, developing countries, and development economics: new approaches and insights. Small Business Economics, 34(1), 1–12.
Naudé, W. (2012). Entrepreneurship and Economic Development: Theory, Evidence and Policy. Working Paper. Maastricht, NL: United Nations University.
Naudé, W., Gries, T, Wood, E., & Meintjies, A. (2008). Regional determinants of entrepreneurial start-ups in a developing country. Entrepreneurship & Regional Development, 20(2), 111–124.
Olinto, P., Beegle, K., Sobrado, C, & Uematsu, H. (2013). The State of the Poor?: Where Are The Poor, Where Is Extreme Poverty Harder to End, and What Is the Current Profile of the World’s Poor? Economic Premise, 125, 1–8.
Pittaway, L., & Cope, J. (2007). Entrepreneurship education: A systematic review of the evidence. International Small Business Journal, 25(5), 479–510.
Preacher, K. J., & Hayes, A. F. (2004). SPSS and SAS procedures for estimating indirect effects in simple mediation models. Behavior Research Methods, Instruments, & Computers, 36(4), 717–731.
Rasmussen, E. A., & Sørheim, R. (2006). Action-based entrepreneurship education. Technovation, 26(2), 185–194.
Reynolds, P. D. (2007). New firm creation in the United States: A PSED I overview. Foundations and Trends in Entrepreneurship, 3(1), 1–149.
Reynolds, P. D. (2012). Entrepreneurship in developing economies: The bottom billions and business creation. Foundations and Trends in Entrepreneurship, 8(3), 141–277.
Reynolds, P. D., Bosnia, N., Autio, E., Hunt, S., De Bono, N., Servais, I., & Chin, N. (2005). Global entrepreneurship monitor: Data collection design and implementation 1998-2003. Small Business Economics, 24(3), 205–231.
Rosa, P. (2013). The Concept of the Entrepreneurial Career Ladder and its Implications for Supporting Entrepreneurship Education and Training in sub-Saharan Africa, Working Paper, Centre for Entrepreneurship Research, University of Edinburgh.
Shane, S. (2000). Prior knowledge and the discovery of entrepreneurial opportunities. Organization Science, 11(4), 448–469.
Shane, S., & Venkatamaran, S. (2000). The promise of entrepreneurship as a field of research. Academy of Management Review, 25(1), 217–226.
Solomon, G. (2007). An examination of entrepreneurship education in the United States. Journal of Small Business and Enterprise Development, 14(2), 168–182.
Stark, M., Gielnik, M. M., Frese, M., & Bischoff, K. M. (2013). Entrepreneurship Training Makes Happy: Examining the Short-and Long-Term Effects of an Entrepreneurship Training on Life Satisfaction. Leuphana University of L?g, Germany unpublished manuscript.
The World Bank (2010). Doing Business 2011: Making a Difference for Entrepreneurs. Washington DC Resolution Global.
Thorndike, E. L., & Woodworth, R. S. (1901). The influence of improvement in mental function upon the efficiency of other functions: functions involving attention, observation and discrimination. The Psychological Review, 8, 553–564.
Thurik, A. R., Carrée, M. A., van Stel, A., & Audretsch, D. B. (2008). Does self-employment reduce unemployment? Journal of Business Venturing, 23(6), 673–686.
Unger, J. M., Rauch, A., Frese, M., & Rosenbusch, N. (2011). Human capital and entrepreneurial success?: A meta-analytical review. Journal of Business Venturing, 26(3), 341–358.
United Nations Conference on Trade and Development (2012). Empretec Annual Report. New York, NY: United Nations.
United Nations Conference on Trade and Development (2012). Trade and Development Report 2012 UNCTAO/TDQ/2012. Sales number E.12.11.D-6
United Nations (2013) World Population Projects: The 2012 Revision. Extended data set in Excel and SSC II formats. Sales No. E.13.XIII.IO.
Van Praag, C. M., & Versloot, P. H. (2007). What is the value of entrepreneurship? A review of recent research. Small Business Economics, 29(4), 351–382.
Van Stel, A., Carrée, M. A., & Thurik, R. (2005). The effect of entrepreneurial activity on national economic growth. Small Business Economics, 24(3), 311–321.
Van Stel, A., & Storey, D. J. (2004). The link between firm births and job creation: Is there a upas tree effect? Regional Studies, 38(8), 893–909.
Westhead, P., Ucbasaran, D., & Wright, M. (2005). Decisions, actions, and performance: Do novice, serial, and portfolio entrepreneurs differ? Journal of Small Business Management, 43(4), 393–417.
Xavier, S. R., Kelley, D., Kew, J., Herrington, M., & Vorderwülbecke, A. (2013). Global Entrepreneurship Monitor: 2012 Global Report. Babson Park, MA: Babson College.
The World Bank (2010). Doing Business 2011: Making a Difference for Entrepreneurs. Washington, DC: The World Bank.
Zhao, H., Seibert, S. E., & Hills, G. E. (2005). The mediating role of self-efficacy in the development of entrepreneurial intentions. Journal of Applied Psychology, 90(6), 1265–1272.
Editor information
Editors and Affiliations
Copyright information
© 2014 Kim Marie Bischoff, Michael M. Gielnik, and Michael Frese
About this chapter
Cite this chapter
Bischoff, K.M., Gielnik, M.M., Frese, M. (2014). Entrepreneurship Training in Developing Countries. In: Reichman, W. (eds) Industrial and Organizational Psychology Help the Vulnerable. Palgrave Macmillan, London. https://doi.org/10.1057/9781137327734_6
Download citation
DOI: https://doi.org/10.1057/9781137327734_6
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-46017-5
Online ISBN: 978-1-137-32773-4
eBook Packages: Palgrave Business & Management CollectionBusiness and Management (R0)