@TechReport{iza:izadps:dp2382,
            	author={Parker, Simon C. and Praag, Mirjam C. van},
            	title={The Entrepreneur's Mode of Entry: Business Takeover or New Venture Start},
            	year={2006},
	month={Oct},
            	institution={Institute of Labor Economics (IZA)},
            	address={Bonn},
            	type={IZA Discussion Paper},
            	number={2382},
            	url={https://www.iza.org/publications/dp2382},
	abstract={We analyse the decision to become an entrepreneur by either taking over an established business or starting a new venture from scratch. A model is developed which predicts how several individual- and firm-specific characteristics influence entrepreneurs’ entry mode. The new venture creation mode is associated with higher levels of schooling and wealth, whereas managerial experience, new venture start-up capital requirements and risk promote the takeover mode. Entrepreneurs whose parents run a family firm are predicted to invest the least in schooling, since schooling reduces search costs and these individuals have the lowest probability of needing to search for a business opportunity outside their family. A sample of data on entrepreneurs from the Netherlands provides broad support for the theory; implications for policy-makers concerned about the survival of family firms lacking within-family successors are discussed.},
	keywords={human capital;business takeover;entrepreneurship;business entry;venture start-up},
            }