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ABSTRACT
Human Capital, Social Networks, and Entrepreneurial Success: Evidence from Immigrant-Owned Businesses in Sweden
Kenalemang Palm1
*, Hedner
Pettersson2
, Ricciardi Pileri3
,
Hult Andersson4
ABSTRACT
Sweden has long been a destination for migrants from diverse cultural, social, and economic backgrounds, creating a unique environment for the study of immigrant entrepreneurship. This research investigates the factors that influence entrepreneurial participation among immigrants and examines how these factors relate to labor market outcomes. Particular attention is given to the effects of migration background, gender, age, region of residence, duration of residence in Sweden, and motives for migration on entrepreneurial engagement and employment prospects. Drawing on both quantitative evidence and qualitative insights, the study evaluates the significance of self-employment as a pathway to economic participation and social inclusion. The findings suggest that entrepreneurship often serves as an alternative route for immigrants who encounter obstacles in the formal labor market, including challenges associated with credential recognition, limited professional networks, and discriminatory practices. The analysis further explores the role of ethnic communities, local business environments, and broader societal conditions in shaping entrepreneurial behavior and business formation. By offering a comprehensive assessment of immigrant entrepreneurship in the Swedish context, this study contributes to the growing body of literature on migration, labor market integration, and enterprise development. The findings also provide practical implications for policymakers, business support institutions, and community organizations seeking to strengthen economic opportunities and promote inclusive growth among immigrant populations. Keywords: Immigrant Entrepreneurship; Sweden; Entrepreneurial Activity; Economic Inclusion; Self-Employment; Migration Background; Gender Differences; Age Factors; Regional Development; Labor Migration; Refugee Migration; Ethnic Networks; Labor Market Participation; Economic Integration.
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