Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Revisiting control aversion: The role of financiers in connecting entrepreneurs to the marketplace
KTH, School of Architecture and the Built Environment (ABE), Real Estate and Construction Management, Banking and Finance.
KTH, School of Architecture and the Built Environment (ABE), Real Estate and Construction Management, Banking and Finance.
2015 (English)In: Journal of Small Business and Enterprise Development, ISSN 1462-6004, E-ISSN 1758-7840, Vol. 22, no 3, 417-432 p.Article in journal (Refereed) Published
Abstract [en]

Purpose – The purpose of this paper is to investigate the effects of small business entrepreneurs’ relinquishment of control aversion and the impact of their interaction with external financiers on market connection. Design/methodology/approach – Questionnaires were sent to the chief executive officers of small businesses in the manufacturing and professional services sectors. A total of 459 valid responses were analyzed in a structural equation model. Findings – The attitude of small business entrepreneurs in relying on financiers’ advice is marked by control aversion. This fear of losing control creates information asymmetry, which in itself leads to decreased financing opportunities for small business entrepreneurs. The results of the study suggest that small firms seeking the aid of financiers will be provided with substantial additional information about the market. Issues pertaining to supply seem to be less relevant than those relating to demand, thus indicating that greater focus should be placed on the investment readiness of small businesses. Originality/value – This study emphasizes the importance of the role of attitudes among SMEs in understanding capital market failure and credit rationing.

Place, publisher, year, edition, pages
2015. Vol. 22, no 3, 417-432 p.
Keyword [en]
Banking, Entrepreneurship, Market connection, Service marketing, SME, SME lending
National Category
Economics and Business
Identifiers
URN: urn:nbn:se:kth:diva-175641DOI: 10.1108/JSBED-04-2014-0064Scopus ID: 2-s2.0-84938690944OAI: oai:DiVA.org:kth-175641DiVA: diva2:865177
Note

QC 20151027

Available from: 2015-10-27 Created: 2015-10-19 Last updated: 2017-12-01Bibliographically approved

Open Access in DiVA

No full text

Other links

Publisher's full textScopus

Search in DiVA

By author/editor
Lundahl, NicolausBerggren, Björn
By organisation
Banking and Finance
In the same journal
Journal of Small Business and Enterprise Development
Economics and Business

Search outside of DiVA

GoogleGoogle Scholar

doi
urn-nbn

Altmetric score

doi
urn-nbn
Total: 57 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf