19 Ethics and entrepreneurial finance
-
Yves Fassin
Abstract
Entrepreneurs are confronted to a variety of ethical issues at the different phases of the life cycle of their ventures: from start-up to growth and maturity stage. Despite large scandals of unethical behaviour by some entrepreneurs and investors, academic literature has drawn limited attention to the intersection of entrepreneurship and ethics. More recently, a few studies on the dark side in business have examined the opportunistic behaviour from both the entrepreneur’s side or the venture investor’s side. This chapter treats with the themes of ethical issues in entrepreneurship literature, the reasons that can explain unethical behaviour and its process: rationalization and the slippery slope. It further analyzes issues of information asymmetry, communication, incentives and conflicts of interests. It also examines specific ethical issues in social enterprises and in family business and the social responsibilities of entrepreneurs for the economy of the region. It suggests an agenda for future research.
Abstract
Entrepreneurs are confronted to a variety of ethical issues at the different phases of the life cycle of their ventures: from start-up to growth and maturity stage. Despite large scandals of unethical behaviour by some entrepreneurs and investors, academic literature has drawn limited attention to the intersection of entrepreneurship and ethics. More recently, a few studies on the dark side in business have examined the opportunistic behaviour from both the entrepreneur’s side or the venture investor’s side. This chapter treats with the themes of ethical issues in entrepreneurship literature, the reasons that can explain unethical behaviour and its process: rationalization and the slippery slope. It further analyzes issues of information asymmetry, communication, incentives and conflicts of interests. It also examines specific ethical issues in social enterprises and in family business and the social responsibilities of entrepreneurs for the economy of the region. It suggests an agenda for future research.
Chapters in this book
- Frontmatter I
- Acknowledgments V
- Contents VII
- Editor and contributor biographies XI
- Introduction 1
-
Part I: The individual level
- Introduction 13
- 1 The role of founders’ tangible resources in founding new ventures 15
- The bootstrapping-bricolage interface 37
- 3 Effectuation and entrepreneurial finance 55
- 4 Portfolio entrepreneurs: The role of risk 75
-
Part II: The inner circle
- Introduction 89
- 5 Informal financing of entrepreneurs 91
- 6 Funding entrepreneurs within business groups: An emerging market view 107
- 7 How business incubators and accelerators finance startups 119
-
Part III: The wider world
- Introduction 137
- 8 Formal debt as a source of entrepreneurial finance 139
- 9 Microfinance and entrepreneurial finance: A review and future research agenda 153
- 10 Venture capital as a source of entrepreneurial finance 171
- 11 Corporate venture capital: A literature review and research agenda 195
- 12 The role of business angels in the new financial landscape 223
- 13 Government financing of startups 245
- 14 Family offices as startup investors: A synergetic relationship of the old and new economy? 265
-
Part IV: Emerging perspectives
- Introduction 291
- 15 A scoping review of most influential entrepreneurial finance studies in developing countries 293
- 16 Conceptualizing gender in entrepreneurial finance: Past trends, current developments and future opportunities 317
- 17 Indigenous entrepreneurial finance: Mapping the landscape with Canadian evidence 335
- 18 Financing entrepreneurs in post-conflict and disaster zones 359
- 19 Ethics and entrepreneurial finance 375
- Conclusion 391
- List of figures 401
- List of tables 403
- Index 405
Chapters in this book
- Frontmatter I
- Acknowledgments V
- Contents VII
- Editor and contributor biographies XI
- Introduction 1
-
Part I: The individual level
- Introduction 13
- 1 The role of founders’ tangible resources in founding new ventures 15
- The bootstrapping-bricolage interface 37
- 3 Effectuation and entrepreneurial finance 55
- 4 Portfolio entrepreneurs: The role of risk 75
-
Part II: The inner circle
- Introduction 89
- 5 Informal financing of entrepreneurs 91
- 6 Funding entrepreneurs within business groups: An emerging market view 107
- 7 How business incubators and accelerators finance startups 119
-
Part III: The wider world
- Introduction 137
- 8 Formal debt as a source of entrepreneurial finance 139
- 9 Microfinance and entrepreneurial finance: A review and future research agenda 153
- 10 Venture capital as a source of entrepreneurial finance 171
- 11 Corporate venture capital: A literature review and research agenda 195
- 12 The role of business angels in the new financial landscape 223
- 13 Government financing of startups 245
- 14 Family offices as startup investors: A synergetic relationship of the old and new economy? 265
-
Part IV: Emerging perspectives
- Introduction 291
- 15 A scoping review of most influential entrepreneurial finance studies in developing countries 293
- 16 Conceptualizing gender in entrepreneurial finance: Past trends, current developments and future opportunities 317
- 17 Indigenous entrepreneurial finance: Mapping the landscape with Canadian evidence 335
- 18 Financing entrepreneurs in post-conflict and disaster zones 359
- 19 Ethics and entrepreneurial finance 375
- Conclusion 391
- List of figures 401
- List of tables 403
- Index 405
