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Ethnic diversity in SME business teams: generating employment growth through digitalisation, innovation, and exporting

Korosteleva, Julia; Mickiewicz, Tomasz; Parrilli, Mario Davide; (2024) Ethnic diversity in SME business teams: generating employment growth through digitalisation, innovation, and exporting. Small Business Economics 10.1007/s11187-024-00985-1. (In press). Green open access

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Abstract

This paper examines how the ethnic composition of SMEs’ business teams, also in conjunction with their strategic behaviour (including digitalisation, innovation and exporting), affect their employment growth. The study conceptualises different forms and aspects of social capital to develop the theoretical framework and hypotheses. We utilise the UK Office for National Statistics’ Longitudinal Small Business Survey data for the period of 2018–2020 to test our hypotheses. Our study shows that ethnically diverse business teams achieve relatively higher employment growth as compared to more homogeneous teams. Moreover, ethnically diverse business teams that embrace innovation, international expansion, and digitalisation translate these strategies more effectively into increased employment compared to their more homogenous counterparts.

Type: Article
Title: Ethnic diversity in SME business teams: generating employment growth through digitalisation, innovation, and exporting
Open access status: An open access version is available from UCL Discovery
DOI: 10.1007/s11187-024-00985-1
Publisher version: https://doi.org/10.1007/s11187-024-00985-1
Language: English
Additional information: © 2025 Springer Nature.This article is licensed under a Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/).
Keywords: SMEs growth, Ethnic diversity, Social capital, Digitalisation, Exporting, Innovation
UCL classification: UCL
UCL > Provost and Vice Provost Offices > UCL SLASH
UCL > Provost and Vice Provost Offices > UCL SLASH > Faculty of Arts and Humanities
URI: https://discovery.ucl.ac.uk/id/eprint/10199975
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