The state of business incubation in the Northern Cape: A service spectrum perspective

Spuy, Stephanus J.H. van der

doi:10.4102/sajesbm.v11i1.271

Cited by 9 publications

(6 citation statements)

References 82 publications

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“…By increasing local services production, the development of tourism may generate long-run positive spillovers on traded goods production by, for example, improving access to business services for local firms, such as finance, accounting, or consulting, by loosening local credit constraints directly (through tourism revenues), or by facilitating contacts and business networks. 5 In the presence of such cross-sectoral agglomeration economies, tourism can give rise to gains in manufacturing productivity that would not have occurred otherwise.…”

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confidence: 99%

Tourism and Economic Development: Evidence from Mexico’s Coastline

Faber

Gaubert

2019

American Economic Review

154

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Tourism is a fast-growing services sector in developing countries. This paper combines a rich collection of Mexican microdata with a quantitative spatial equilibrium model and a new empirical strategy to study the long-term economic consequences of tourism both locally and in the aggregate. We find that tourism causes large and significant local economic gains relative to less touristic regions that are in part driven by significant positive spillovers on manufacturing. In the aggregate, however, these local spillovers are largely offset by reductions in agglomeration economies among less touristic regions, so that the national gains from trade in tourism are mainly driven by a classical market integration effect. (JEL L60, L83, O14, O18, R11, Z31, Z32)A conventional view in the literature on economic growth and development is that the production of traded goods is subject to dynamic productivity improvements, whereas the services sector is perceived to be more stagnant. 1 In line with this view, the locus of agglomeration economies is generally assumed to be the manufacturing sector, rather than services. This asymmetry has important implications for the growth strategies of developing countries, and whether they should prioritize the development of traded goods producing sectors. At the same time, there is relatively little empirical evidence on the economic consequences of the development of the services sector in developing countries, and whether the reallocation of factors of production into services can give rise to adverse long-term effects both locally and in the aggregate. 2 This paper sets out to study the economic consequences of tourism, a fast-growing services sector in developing countries. Tourism involves the export of otherwise non-traded local services by temporarily moving consumers across space, rather than 1 This view is in the tradition of Baumol (1967). See Herrendorf, Rogerson, and Valentinyi (2014) for a review of the recent literature, and McMillan and Rodrik (2011) for an analysis in the context of developing countries. 2 See, for example, Copeland (1991) for an early theoretical discussion of tourism as a potential "Dutch disease."

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confidence: 99%

Tourism and Economic Development: Evidence from Mexico’s Coastline

Faber

Gaubert

2019

American Economic Review

154

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“…Firdaus et al (2019) find that incubators serve start-ups by building network services and improving the quality of information dissemination. Van der Spuy (2019) proves that business incubators can maximize the success of graduate entrepreneurs and sustainable start-ups by providing a full range of services (Murray, 2019; Halim, 2020). Gerdsri et al (2021) believe that business incubators can provide a supportive, facilitating and nurturing environment for start-ups (Amelia et al , 2021).…”

Section: Literature Reviewmentioning

confidence: 99%

Promotion or inhibition of different incubation services? Evidence from government funding of China

Zhong²

2023

APJIE

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Purpose The purpose of this paper is to investigate the relationship between the characteristics of the incubation industry, government funding, and the intensity of funding for different services. Because the incubation industry has particular characteristics, government funding varies for different services, and its intensity varies with service. Design/methodology/approach Government funding is classified as incubation subsidy and incubation incentive. Besides, incubation services include property management, business mentoring as well as investment and financing. Based on this, this study examines the influence mechanism of different subsidy and incentive on incubation services by using the generalized propensity score matching method. Findings The empirical results show that subsidy and incentive have an inverse-U shape effect on property management service, but a linear effect on business guidance service. Furthermore, subsidy does not affect investment and financing service, but incentive that can have a significant impact. Originality/value The theme of government funding and incubator services plays an important role in helping entrepreneurs expand their businesses. Incubation subsidy and incentive can provide important support to help enterprises obtain more preferential loans, technical services and technical support in the incubator. Applying it to incubator services can provide better technology and entrepreneurship guidance. These services can help new entrepreneurs understand products and markets, and how to develop more successfully in the early stage. In short, incubators supported by government funds can provide important support to entrepreneurs to help them successfully realize their business plans.

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“…Metrics such as access to finance, equipment, and skills by the incubation centers are recommended in [31] to measure business incubators' effectiveness. The application of metrics by van der Spuy [32] on business incubators within the Northern Cape Province of South Africa showed that only one-third meet the benchmark, which might be considered a waste of government funding.…”

Section: Enabling Oi For Startups Through Incubationmentioning

confidence: 99%

Enabling Open Innovation in Digital Startups through the Incubation Program—A Case of Qatar

et al. 2022

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Researchers have studied open innovation by focusing primarily on big organizations. With digitization, the adoption of open innovation has become widespread, as there is broader access to cheaper and better information and communication technology. Private or public companies will also support individuals, or a group of individuals, to promote an innovative economy. Some countries also provide incubation opportunities and technical and financial support to encourage digital startups. This paper presents insights on the incubation program organized by one of the prominent centers in Qatar that incubate interested potential entrepreneurs to utilize open innovation for digital startups. The paper uses a qualitative analysis method on the data obtained from the interviews with the trainers (staff) of the center and the entrepreneurs who went through the incubation process. Four hypotheses were developed to understand various aspects of open innovation, the collaboration of startups, and the role of the incubation center. A nonparametric statistical test was used to assess the validity of the hypotheses. The results show that incubation and open innovation can contribute to digital startups. The paper concludes with suggested enhancements for incubation. This paper complements the literature by providing a study of open innovation in digital startups and introducing future research in this field.

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The state of business incubation in the Northern Cape: A service spectrum perspective

Cited by 9 publications

References 82 publications

Tourism and Economic Development: Evidence from Mexico’s Coastline

Tourism and Economic Development: Evidence from Mexico’s Coastline

Promotion or inhibition of different incubation services? Evidence from government funding of China

Enabling Open Innovation in Digital Startups through the Incubation Program—A Case of Qatar

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