The empirical performance of humane entrepreneurship

ABSTRACT

Employing a theoretical framework to answer the issues faced by SMEs, this article uses new models of humane entrepreneurship, a business model that invests in human capital as the chief source of innovation. While traditional entrepreneurship focuses on innovation achieved through investments in new business opportunities, risk-taking, and proactivity, humane entrepreneurship focuses on how investment in the workforce can achieve enterprise-type innovation. This study aims to demonstrate the validity of people-centric small and medium-sized enterprise policy development by examining the effect on innovation of humane entrepreneurship.

KEYWORDS:

• Entrepreneurship
• human capital management
• MSME policy

Notes

¹ The first letter “C” corresponds to the sectors of the manufacturing industry. Each symbol denotes as follows: C10: food products; C11: beverages; C12: tobacco; C13: textile; C14: apparel, clothing, and fur articles; C15: leather and footwear; C16: wood products; C17: pulp and paper; C18: printing and the reproduction of recorded media; C19: coal and refined petroleum products; C20: chemicals and chemical products; C2: pharmaceuticals; C22: rubber and plastics; C23: nonmetallic mineral products; C24: basic metals; C25: fabricated metal products; C26: electronic components, computer, and communication equipment; C27: medical, precision, and optical instruments; C28: electrical equipment; C29: other machinery and equipment; C30: motor vehicles and trailers; C31: other transport equipment; C32: furniture; C33: other manufacturing; C34: maintenance and repair of machinery and equipment.

² FE_L2 yielded similar results as GMM_L2, while FE_L3 and REF yielded similar results as GMM_L3.