Empirical and Explanatory Approach of Support Effect on Newly Created Firms’ Performance

Math Mazra, Omenguele René Guy

Abstract


The objective of this paper is to identify the different forms of entrepreneurial support and assess their impact on the performance of newly established companies in order to identify the most appropriate support forms for these companies. To achieve this goal, our research is based on a literature review on the question followed by an empirical study on 127 newly established companies to make the connection between theory and reality. Using two types of statistical tools namely fuel descriptive tools such as principal component factor analysis for the purification of scales measuring performance and support; explanatory guidance tools such as multiple linear regressions to test our research hypothesis taking into account the phenomenon of interaction between the possible dimensions mentoring, we found a positive impact of support to newly established firms on the performance. The linear regression linking the variable "support" and the variable "performance" showed that three of the four dimensions of the variable support highlighted by factor analysis (support by the network and commercial relationship, financial support by professional organizations for funding and technical and managerial support by independent experts) are all positively and significantly related to performance.


Full Text: PDF DOI: 10.5539/jms.v2n2p293

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Journal of Management and Sustainability   ISSN 1925-4725 (Print)   ISSN 1925-4733 (Online)

 

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