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Measuring the benefits of entrepreneurship at different levels of analysis

Published online by Cambridge University Press:  02 February 2015

Belinda Luke ,
Martie-Louise Verreynne  and
Kate Kearins
Belinda Luke
Affiliation:
Unitec New Zealand, Auckland, New Zealand
Martie-Louise Verreynne
Affiliation:
The University of Queensland, Brisbane QLD, Australia
Kate Kearins
Affiliation:
Auckland University of Technology, Auckland, New Zealand
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Abstract

This paper presents a suggested framework for future research designs to examine the benefits of entrepreneurship, both non-financial and financial. Based on a review of the literature and using contextual exemplars throughout the paper with an Australia and New Zealand focus, we identify a range of benefits from entrepreneurship at the various levels of analysis (e.g. individual, organizational, national). From a non-financial perspective such benefits include independence, autonomy, competitive advantage, increased market share, employment and increased standards of living. From a financial perspective, entrepreneurships benefits include enhanced remuneration or rent from revenue, profits, cash flow, return on investment and increases in GDP – specific financial measures to be expressed in clear financial terms. The suggested framework represents both an initial step towards the measurement of entrepreneurships financial benefits and a valuable starting point for the development of a theory of the non-financial and financial benefits of entrepreneurship.

Keywords

entrepreneurshipnon-financial and financial benefitsAustraliaNew Zealand
Type
Research Article
Information
Journal of Management & Organization , Volume 13 , Issue 4 , November 2007 , pp. 312 - 330
Copyright
Copyright © Cambridge University Press and Australian and New Zealand Academy of Management 2007

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