Journal Search Engine
Search Advanced Search Adode Reader(link)
Download PDF Export Citaion korean bibliography PMC previewer
ISSN : 2233-4165(Print)
ISSN : 2233-5382(Online)
Journal of Industrial Distribution & Business Vol.8 No.5 pp.23-33
DOI : http://dx.doi.org/10.13106/ijidb.2017.vol8.no5.23.

A Study on the Effects of Small Enterprise Start-up Preparatory Factors on Business Performance

Seung-Hee Kim*, Young-Ki Kim**, Shin-Hea Choi***

Abstract

Purpose – The present study aims to examine the relationship between small enterprise start-up preparatory factors and increases in sales and operating profits, which are business performances utilizing the National Survey of Actual Conditions of Small Enterprises conducted by the Small Enterprise, Market Service.
Research design, data, and methodology – Start-up preparatory factors were divided into six types; business type, start-up history, start-up motives, preparatory periods, and start-up funds to figure out the relationship between sales and operating profits with regression analyses. Regression analyses were conducted based on the foregoing with a view to identifying the effects of start-up preparatory factors on business performance.
Results – Since start-up preparatory factors generally affect business performance, it was identified that start-up preparatory factors importantly affect operating profits and sales, which are business performances. However, start-up preparatory periods and the implementation of education among preparatory activities were shown to have no effect on business performances, and the effect of the ratio of start-up fund provided by the founder on operating profits was shown to be not significant. Conclusions – The present study comprehensively examined those start-up preparatory factors that have positive effects on business performances after start-up. The present study is meaningful in that it can provide positive implications for efficient start-up of small enterprises hereafter.

JEL Classification:: : D73, J58, M, MI.

초록


Figure

Table

Reference

  1. Alhnity, H., Mohamad, A., & Ishak, A. K. (2016). Impactof entrepreneurial orientation on small business Performance: Moderating role of government intervention. International Review of Management and Marketing, 6(7S).
  2. Back, J. H., & Seo, J. H. (2013). A Grounded theory Analysis of the Successful Process: Consumer perspective of Entrepreneurial. Korean Journal of Human Ecology, 22(4), 619-635.
  3. Bae, J. H. (2012). An Empirical Approach to evaluate management performance using a trading area analysis: Focus on Small and Medium-sized retail Business. Journal of Distribution Science, 10(12), 5-11.
  4. Bin, B. S., & Park, J. K. (2002). An empirical study on the success factors of a small business starting-up. The Asian Pacific Journal of Small Business, Republic of Korea, 24(3), 135-58.
  5. Brook, G., Heffner, A., & Henderson, D. (2014). A SWOT analysis of competitive knowledge from social media for a small start-up business. The review of Business information systems(Online), 18(1). 23-33.
  6. Chinomona, R. (2013). Business owner's expertise, employee skills training and business performance: A small business perspective. Journal of Business Research, 29(6), 1883.
  7. Cho, J. H., & Kim, C. J. (2010). A Study on Performance Factors on the Small Business. Journal of Industrial Economics and Business, 23(1), 127-144.
  8. Cheong, Y. H., & Ha, J. K. (2002). An empirical study on the success factors of a small business starting-up.
  9. The Asian Pacific Journal of small business, 24(3), 133-158.
  10. Chung, Y. S. (2008). Determinants of the Financial Outcomes of Micro-enterprise, Social Welfare Policy, 33, 531-557.
  11. Clercq, D. D., & Arenius, P. (2006). The role of knowledge in business start-up activity. International small business journal, 24(4), 339-358.
  12. Dodo, F., Potluri, R. M., & Gazara, S. (2017). Sustainable entrepreneurship among Rural Women in Nigeria. International journal of industrial distribution &Business, 8(3), 5-9.
  13. Edelman, L. F., Brush, C. G., Manolova, T. S., & Greene, P. G. (2010). Start‐up Motivations and Growth intentions of Minority Nascent Entrepreneurs. Journal of Small Business Management, 48(2),174-196.
  14. Inderst, R., & Müller, H. M. (2004). The effect of capital market characteristics on the value of start-up firms. Journal of Financial Economics, 72(2), 319-356.
  15. Jung, H. S., & Moon, J. S. (2015). Case study on Decision-Making Process for M&A in Small and Medium Companies. Journal of Distribution Science, 13(1), 65-72.
  16. Kim, D. Y. (2014). A Study on the Revitalization of the Young Start-Up Policy - Focused on Gyeongbuk Young Startup Success Project-. Korean Business Review, 7(2), 19-36.
  17. Kim, J. J., & Jung, M. H. (2016). Investigation on the consciousness in business foundation motives for small business enterprisers in Korean Multi-Cultural Families. Journal of Distribution Science, 14(12), 53-59.
  18. Kim, K. H., & Kim, Y. J. (2015). The Policy Effects on Traditional Retail Markets Supported by the Korean Government. Journal of Distribution Science, 13(11), 101-109.
  19. Kim, M. J., & Park, C. J. (2015). Effects of Consumers’ Perceived Service Convenience: Differences between Department Stores and General Super Markets. Journal of Distribution Science, 13(2),85-94.
  20. Kim, S. S., Kim J. W., & Yang, Y, S. (2012). A study on Assessing Positive Impacts to Small Business Startups by Government Policy of Promoting Small Business. Asia-Pacific Journal of Business Venturing and Entrepreneurship, 7(2), 167-175.
  21. Kim, S. H., & Kim, Y. K. (2014). A study on the changes in regulatory policy against large-scale retail stores in Japan, Journal of Distribution Science, 12(11),55-65.
  22. Kim, Y. K. (2010), A Study on Management Measures of Street Vendors in the Vicinity of Traditional Market, Journal of Distribution Research, 15, 155-173.
  23. Lechner, D., & Gudmundsson, S. V. (2014).Entrepreneurial orientation, firm strategy and small firm performance. International small business journal, 32(1), 36-60.
  24. Lee, J. H. (2008), A Study on Entrepreneurial Motivations and Entrepreneurial Decision Makings. The Korean Small Business Review, 30(1), 93-116.
  25. Min, K. S., & Byeing, H. K. (2009). A Study for Start-up Business Promotion by Analysing Relationships between Small Business Characteristics and Performance. Journal of Industrial Economics and Business, 22(2), 797-816.
  26. Omri, A., Frikha, M. A., & Bouraoui, M. A. (2015). An empirical investigation of factors affecting small business success. Journal of Management Development, 34(9), 1073-1093.
  27. Panwar, R., Nybakk, E., Hanse, E., & Pinkse, J. (2017).Does the business case matter? The effect of aperceived business case on small firm's socialengagement. Journal of Business Ethics, 144(3), 597-608.
  28. Park, D. G., & Choe, D. J. (2003). Development of Entrepreneur's competency assessment tools and analysis of their validity. The Korean Journal of Industrial and Organizational Psychology, 7, 61-91.
  29. Park, S. Y., & Choi, E. S. (2015). Structural Relationships among SEM CEO’'s Positive Leadership, Members’ Positive Life Positions, Learning Organization Activities, Job Engagement, and Organizational Performance. Journal of Distribution Science,13(12), 113-131.
  30. Peterson, S. J., Walumbwa, F. O., Byron, K., & Myrowitaz, J. (2009). CEO positive psychological traits, transformational leadership, and firm performance in high-technology start-up and established firms. Journal of management, 35(2),348-368.
  31. Prajogo, D. I. (2016). The Strategic fit between innovation strategies and business environment in delivering business performance. International Journal of Production economics, 171, 241-249.
  32. Reid, G. C., & Smith, J. A. (2000). What makes a new business start-up successful?. Small Business Economics, 14(3), 165-182.
  33. Saleem, M. A. (2017). The impact of socio-economic factors on small business success. Geografia-Malaysian Journal of society and space, 8(1),24-29.
  34. Scherr, F. C., Sugrue, T. F., & Ward, J. B. (1993). Financing the small firm start-up: Determinants of debt use. The Journal of Entrepreneurial Finance, 3(1), 17. Small and medium business administration (2016). Measures to strengthen small enterprise's competitiveness - The First master plan to support small enterprise-, Small and medium business administration, 3(11), 1-12.
  35. Song, H. R., Kim, Y. K., & Kim, S. H. (2016). A Study on the Improvement plan of Business District Information system. Journal of distribution science,14(6), 27-37.
  36. Sung, O. S., & Park, S. L. (2015). Management Mind Improvement and Capacity Heighten and Performance Influence by Small Business Founder Specialty, Korean Journal of Business Administration, 28(2), 581-599.
  37. Yang, H. C., & Cho, H. Y. (2015). Small and Medium business workers' positive psychological capital, life satisfaction, and innovative work behavior. Journal of Distribution Science, 13(7), 25-31.
  38. Yoo, J. H. (2014). Meta-analysis about the study related with foundation: As the center from 1998 to 2013 treatises. Asia-Pacific Journal of Business Venturing and Entrepreneurship, 9(1), 51-67.
  39. Yoon, S. W., & Park, S. I. (2008). The impact of entrepreneurship of Franchisees on their business performance: Mediation effects of market orientation and relationship commitment. Journal of distribution research, 13(3), 101-126.
  40. Yun, J. K., & Jeong, E. H. (2012). A Study on Small Business Development and Support Policies. Journal of Distribution Science, 10(1). 23-31.
  41. Yun, J. K. (2013). A Study on policy proposal for Senior Start-up and Marketing Strategies for entrepreneurs. Journal of Distribution Science, 11(1). 55-63.