|
|
|
Abstract The wave of “mass entrepreneurship and innovation” has not only reshaped the microstructure of China’s economy but also fostered a dynamic community of entrepreneurs which has attracted a lot of attention. Since Schumpeter defined entrepreneurs as a group with distinct innate traits, centering on the fundamental topic of “who entrepreneurs are”, scholars have carried out various theoretical debates from the perspective of individual characteristics, including mental qualities and personality traits. In China’s entrepreneurial market, entrepreneurs have exhibited significant generational differences based on whether their families have a history of paternal entrepreneurship. Unlike first-generation entrepreneurs, who typically emerged from grassroots backgrounds, second-generation entrepreneurs, referred to as new-generation business leaders with direct familial ties to first-generation entrepreneurs, have drawn widespread attention due to their cross-generational family entrepreneurial heritage. Paternal entrepreneurial experience provides second-generation entrepreneurs with resources such as social networks, industry insights, and specialized knowledge, which can well support their business operations. However, the rapid shifts driven by policy reforms, market competition, and evolving consumer demands during China’s economic transition, coupled with heterogeneous factors like differences in individual capabilities between generations, make it difficult to simply replicate the paternal experience, thereby making it more challenging for second-generation entrepreneurs to achieve performance advantages.
The familial entrepreneurial backgrounds have potential multi-dimensional impacts on entrepreneurship’s performance, which makes the intergenerational characteristics of entrepreneurs a critical yet empirically under-explored issue in entrepreneurship economics. Using data from the 12th nationwide sampling survey of private enterprises conducted by authoritative departments, including the United Front Work Department of the CPC Central Committee, this study examines how paternal entrepreneurial backgrounds influence the performance level of the enterprises they have founded .The findings are as follows: (1) Compared to first-generation entrepreneurs without paternal entrepreneurial backgrounds, family backgrounds with entrepreneurial heritage significantly affect the operational performances of second-generation-founded enterprises in a positive way;(2) Mechanism analysis shows that paternal entrepreneurial experience enhances second-generation ventures’ performance by elevating entrepreneurial initiative, optimizing resource allocation efficiency, and securing familial capital support, which well demonstrates that the cultivation of entrepreneurial awareness, the development of operational skill, and the refinement of governance structure are key sources of competitive advantage for second-generation entrepreneurs; (3) Contextual analysis showcases that the positive impact of paternal entrepreneurial backgrounds is more pronounced in regions with low marketization and weak social trust, as well as among second-generation entrepreneurs with strong intergenerational ties but limited entrepreneurial experience. This indicates that paternal entrepreneurial heritage mitigates institutional constraints and personal capability gaps, thereby producing improvements in enterprise performance.
Theoretical contributions of this study are listed as below: First, it advances scientific understanding of the sources and developmental laws of entrepreneurial advantages during economic transitions, expanding research on entrepreneurship transformation trends. Second, it enriches studies on the micro-foundations and contextual factors influencing firm performance in cross-generational entrepreneurial processes. Finally, from an intergenerational perspective, it offers unique insights by evaluating and comparing how the distinct mechanisms of two entrepreneurial cohorts impact new venture performance, so as to provide reference for government policies aimed at promoting entrepreneurial activities.
|
|
Published: 02 June 2026
|
|
|
|
|
|
