Graduate career‐making and business start‐up: a literature review

Abstract

PurposeThe purpose of this article is to provide a selective review of literature on the career‐related decision‐making processes in terms of the transition from student to business start‐up, and the nature and influence of support and guidance.Design/methodology/approachPrimarily, a critical review of a range of recently published literature (1995‐2005) addressing the theoretical and practical aspects of the journey from student to start‐up. The literature is divided into sections: the graduate labour market: a state of flux; Conceptual and definitional issues; Career choice and decision‐making; and Start‐up training and support.FindingsThe paper finds that despite an increasing body of theoretical and empirical literature on career choice in general and on the career choice to start‐up a business in the form of intention models, there remains a lack of in‐depth research on the stories, circumstances, contexts and complexities of graduates on their journey from student to business start‐up. A transition from entrepreneurial intentions to actual start‐up is often assumed but under‐researched in terms of career development and decision making processes. The nexus between training, support, intent and actual career choice to start‐up a business remains under‐investigated.Research limitations/implicationsGiven that careers are made in a changing and complex context, simple relationships should not be expected. Hence, rather than focusing solely on certain aspects of the start‐up process, research is needed that takes a more holistic approach.Practical implicationsThe study highlights the need for research that does justice to the complexities of the decisions made in the process from student to start‐up and by implication public policy and practice in relation to formal intervention within this aspect of the graduate labour market.Originality/valueThe paper lays the basis for a more nuanced understanding of the journey from student to start‐up of value to both researchers and policy makers.

Graduate entrepreneurs: intentions, barriers and solutions

“…As previously suggested by the literature (e.g. Nabi et al, 2006;Reynolds et al, 2002), displacement of inertia influenced several of the participants to seek self employment after being made unemployed or not being able to find paid employment.…”

“…The studies that have been carried out suggest that drivers are likely to include sociological factors and demographics such as gender, social-economic background and ethnicity, but also family background and childhood experiences, family involvement in business start up activities, work experience, and 'displacement of inertia' (Nabi et al, 2006;Reynolds et al, 2002). The balance of enabling and constraining factors will influence individuals' decisions on perceived desirability of the endeavour (for example, poor image, or lack of personal desire) and perceived feasibility (for example, lack of finance, skills or self efficacy to follow through and start up a business; Nabi et al, 2006, Harding, 2007. Rae and Woodier (2006) completed a research report for NCGE in regard to graduate career choices and entrepreneurship at the University of Derby.…”

“…The reasons for engaging with entrepreneurship and the models put forward to explain uptake are varied and complex, there is however a lack of research into the graduate specific experience (Matlay, 2011;Pickernell, et al, 2011;Nabi and Holden, 2008;Nabi et al, 2006;, Henry et al, 2003. The studies that have been carried out suggest that drivers are likely to include sociological factors and demographics such as gender, social-economic background and ethnicity, but also family background and childhood experiences, family involvement in business start up activities, work experience, and 'displacement of inertia' (Nabi et al, 2006;Reynolds et al, 2002).…”

The impact of entrepreneurship education on succession in ethnic minority family firms

“…They are also more likely to be over-educated or under-employed than whites (Alpin et al, 1998;Nabi, 2003), although business start up can be used for "graduate career-making" (Nabi et al, 2006). These factors may "push" BME graduates into starting a small business, or may actually encourage them to join the family firm.…”

Financial education in small ethnic minority businesses in the UK

“…Generic training, though useful, is not necessarily a universal need of every existing firm or start-up. For example, with the growth of the ethnic population in HE (which stood at 11 per cent in 2004 , according to Race for Opportunity and Hobsons, 2004) and high initial unemployment amongst ethnic minority graduates (Smetherham, 2005) than white graduates means a higher proportion may choose entrepreneurship to overcome underemployment (Nabi, et al, 2008). The growth in graduate entrepreneurship, if materialised, will not require the same level of financial awareness and management training.…”