Parallel entrepreneurship strategy: The case study of the Global Entrepreneurship Monitor project

Abstract

Despite many studies of parallel entrepreneurship, there is no lack of criticism for their fragmentarity. Entrepreneurship research traditionally grounds on two main approaches: organic growth model and network model – parallel entrepreneurship does not truly fit to any of these models. The main goal of the research is to draw conclusions about employment of parallel entrepreneurship strategy and its role in entrepreneurial potential. The research questions are targeted at understanding why (motives), how (processes) and what for (opportunities, aspirations) some entrepreneurs chose to run several ventures at a time. The hypotheses were tested on the data from Global Entrepreneurship Monitor project, Russia and Brazil in particular, for 2006-2010. The results show that overall rate of parallel entrepreneurship is rather low. Nevertheless, the entrepreneurs who employ parallel entrepreneurship strategy are endowed with outstanding human and social capital. Despite there could not be a single a conclusion whether parallel entrepreneurship stands for favourable or unfavorable environmental conditions, parallel entrepreneurship strategy adds to the dynamism of entrepreneurship. The parallel entrepreneurship strategy should be promoted to exploit the potential and increase overall entrepreneurial activity in the region.