What factors do influence the Entrepreneurial Mobility?

What factors do influence the Entrepreneurial Mobility?


Movement and mobility is an integral part of human life. Entrepreneurs, being human beings, do also move from one location to another and also from one occupation to another. This movement of entrepreneurs from one location to another and from one occupation to another occupation may be termed as entrepreneurial mobility.

Various factors influence entrepreneurial mobility. These factors may serve as “pull” and “push” factors. Generally, the following factors do influence entrepreneurial mobility:

(1) Education: Education enlarges one’s thinking and understanding. He/she also enables to adjust with the different conditions more easily and clearly and communicate others in a better manner. This is why an educated entrepreneur tends to be more mobile than an uneducated entrepreneur.

(2) Experience: An entrepreneur’s past experience in business and industry also increases his/her tendency to move. An experienced entrepreneur better perceives the available opportunities, better analyses his/her strengths and weaknesses and also understands the complexities involved in running an enterprise.

(3) Availability of facilities: Entrepreneurs tend to move from the areas with no or fewer facilities to the areas with more and better facilities. Ex., Govt. facilities; availability of raw materials, labors, market facilities.

(4) Political conditions: Entrepreneurial mobility is also influenced by political factors. Hortal, strike, red-tapism, bribe system, political pressure etc. affect the entrepreneurial mobility seriously.

(5) Size of enterprise: Size of enterprises also has a vital effect on entrepreneurial mobility. Generally, larger business houses are more mobile than smaller business houses. Because a large size of the enterprise will have the capability to start a new business at a new place.

Although one may add more factors to this list, yet the above five factors seem to be the common ones influencing the entrepreneurial mobility.