Seminar

Xiaobo Zhang: E-commerce Expands the Bandwidth of Entrepreneurship

Social networks are cornerstones of personal trade in developing countries. However, it is costly to build and maintain social networks. The high cost imposes an entry barrier for people who lack social networks, such as those from outside local communities. E-commerce offers a way for them to circumvent this problem.

Organisator Agricultural Economics and Rural Policy
Datum

wo 19 april 2017 12:30 tot 13:30

Locatie Leeuwenborch, building number 201
Hollandseweg 1
201
6706 KN Wageningen
0317-483639
Zaal/kamer C82

E-commerce offers a way for them to circumvent this problem. The timely payment of e-commerce reduces their reliance on network-based trade credit that is prevalent in traditional trades, easing their need for social networks. Using the administrative universe firm registry dataset in China, we show that the spread of e-commerce has enabled more people to become entrepreneurs.