The ineffectiveness of entrepreneurship policy

Is policy formulation to blame?

Norin Arshed, Sara Carter, Colin Mason

    Research output: Contribution to journalArticle

    50 Citations (Scopus)
    73 Downloads (Pure)

    Abstract

    Entrepreneurship policy has been criticised for its lack of effectiveness. Some scholars, such as Scott Shane in this journal, have argued that it is 'bad' public policy. But this simply begs the question why the legislative process should generate bad policy? To answer this question this study examines the UK's enterprise policy process in the 2009-2010 period. It suggests that a key factor for the ineffectiveness of policy is how it is formulated. This stage in the policy process is seldom visible to those outside of government departments and has been largely ignored by prior research. The application of institutional theory provides a detailed theoretical understanding of the actors and the process by which enterprise policy is formulated. We find that by opening up the 'black box' of enterprise policy formulation, the process is dominated by powerful actors who govern the process with their interests.
    Original languageEnglish
    Pages (from-to)639-659
    Number of pages21
    JournalSmall Business Economics
    Volume43
    Issue number3
    DOIs
    Publication statusPublished - 1 Oct 2014

    Fingerprint

    Entrepreneurship policy
    Policy process
    Institutional theory
    Factors
    Black box
    Government
    Public policy

    Keywords

    • Enterprise policy , , , ,
    • Formulation
    • Institutional theory
    • Institutional entrepreneur
    • Legitimacy
    • Power
    • Qualitative
    • INSTITUTIONAL ENTREPRENEURSHIP
    • SMALL BUSINESS
    • REGIONAL INNOVATION
    • UNITED-KINGDOM
    • PUBLIC-POLICY
    • SOCIAL SKILL
    • SMALL FIRMS
    • SUPPORT
    • ENTERPRISE
    • AGENCY

    Cite this

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    title = "The ineffectiveness of entrepreneurship policy: Is policy formulation to blame?",
    abstract = "Entrepreneurship policy has been criticised for its lack of effectiveness. Some scholars, such as Scott Shane in this journal, have argued that it is 'bad' public policy. But this simply begs the question why the legislative process should generate bad policy? To answer this question this study examines the UK's enterprise policy process in the 2009-2010 period. It suggests that a key factor for the ineffectiveness of policy is how it is formulated. This stage in the policy process is seldom visible to those outside of government departments and has been largely ignored by prior research. The application of institutional theory provides a detailed theoretical understanding of the actors and the process by which enterprise policy is formulated. We find that by opening up the 'black box' of enterprise policy formulation, the process is dominated by powerful actors who govern the process with their interests.",
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    author = "Norin Arshed and Sara Carter and Colin Mason",
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    language = "English",
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    The ineffectiveness of entrepreneurship policy : Is policy formulation to blame? / Arshed, Norin; Carter, Sara; Mason, Colin.

    In: Small Business Economics, Vol. 43, No. 3, 01.10.2014, p. 639-659.

    Research output: Contribution to journalArticle

    TY - JOUR

    T1 - The ineffectiveness of entrepreneurship policy

    T2 - Is policy formulation to blame?

    AU - Arshed, Norin

    AU - Carter, Sara

    AU - Mason, Colin

    PY - 2014/10/1

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    AB - Entrepreneurship policy has been criticised for its lack of effectiveness. Some scholars, such as Scott Shane in this journal, have argued that it is 'bad' public policy. But this simply begs the question why the legislative process should generate bad policy? To answer this question this study examines the UK's enterprise policy process in the 2009-2010 period. It suggests that a key factor for the ineffectiveness of policy is how it is formulated. This stage in the policy process is seldom visible to those outside of government departments and has been largely ignored by prior research. The application of institutional theory provides a detailed theoretical understanding of the actors and the process by which enterprise policy is formulated. We find that by opening up the 'black box' of enterprise policy formulation, the process is dominated by powerful actors who govern the process with their interests.

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    KW - INSTITUTIONAL ENTREPRENEURSHIP

    KW - SMALL BUSINESS

    KW - REGIONAL INNOVATION

    KW - UNITED-KINGDOM

    KW - PUBLIC-POLICY

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