Migrant, refugee, and ethnic entrepreneurship – key concepts and trends

Published
February 14, 2023

Synopsis

DEFINITION OF THE TERM: Immigrant and ethnic entrepreneurship are concepts inextricably linked to the contemporary intensification of both voluntary and forced migration processes. The way in which immigrants, refugees, and ethnic minorities develop their business activities is significantly different from similar activity undertaken by citizens of the host country.

HISTORICAL ANALYSIS OF THE TERM: Since the very beginning of the capitalist system, immigrants have been key drivers of economic progress through the transfer of business models between national economies or the creation of new sectors and technologies. However, with the cementing of the social structure in typical immigrant countries, such as the United States or Canada, it was noticed that ‘new’ immigrants differ significantly in the way they undertake economic activity, including business activity, from ‘old’ immigrants.

DISCUSSION OF THE TERM: In defining migrants’ entrepreneurship, it should be borne in mind that foreign communities in a host country are usually highly diverse. The economic potential of a company founded by a refugee who has fled from armed conflict is completely different from that of a long-term migrant who has opened an ethnic business in a neighbourhood inhabited primarily by his compatriots and from that of a skilled migrant whose innovative company competes with others on the national or even international market from its inception. Hence, there is a need to define migrant, refugee, and ethnic entrepreneurship separately.

SYSTEMATIC REFLECTION WITH CONCLUSIONS AND RECOMMENDATIONS: Each of these forms of entrepreneurship performs a different function for entrepreneurs who operate within them, which also translates into different paths for their development. As a result, these economic entities require not only different approaches within public policies aimed at supporting entrepreneurship but also the socio-economic integration of migrants, ethnic minorities, and refugees.

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