Fix or fixation? The contributions and limitations of entrepreneurship and small firms to combating social exclusion

Authors: Blackburn, Robert¹; Ram, Monder²

Source: Entrepreneurship and Regional Development, Volume 18, Number 1, Number 1/January 2006 , pp. 73-89(17)

Publisher: Routledge, part of the Taylor & Francis Group

Abstract:

Notions of social inclusion and the need to combat social exclusion have become popular areas of attention in academic and policy circles. The importance of small firms and entrepreneurship as a means to raising inclusion has been emphasized in these new agendas. A priori , there are a number of reasons why small businesses may be regarded as providing opportunities for social inclusion. However, in this paper we argue that the recent expectations of the role of small firms and entrepreneurship in combating social exclusion are over optimistic. Some of the assumptions on which these expectations are based are questioned. Instead, we suggest that attention should start by a clearer understanding of the concept of social exclusion. Individual economic strategies, in the form of small business activity, can make some contribution but because of the complex multidimensional nature of social exclusion, over-inflated claims should be avoided. When these claims are not achieved there may be a danger of a policy backlash against the promotion of business ownership and disaffection amongst those who fail to realize their goals. This paper draws on secondary evidence and concludes with implications for policy and suggestions for further research.

Keywords: SMEs; social exclusion; ethnic minorities; entrepreneurship

Document Type: Research article

DOI: http://dx.doi.org/10.1080/08985620500419566

Affiliations: 1: Small Business Research Centre, Kingston University, Kingston upon Thames, Surrey KT2 7LB, UK 2: Faculty of Business & Law, De Montfort University, The Gateway, Leicester LE1 9BH, UK

Publication date: 2006-01-01

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