Work Experience, Social Capital And Entrepreneurship Of Rural Migrant Workers

It is of great significance to analyze the issue of entrepreneurship of migrant rural workers returning to their hometowns from the perspective of work experience and social capital.The entrepreneurship of rural migrant workers is an effective way to promote the employment of rural population and increase the income of farmers,playing a positive role in promoting the transformation of rural industrial structure.In view of the lack of research on the factors affecting migrant workers' entrepreneurship,this research focuses on the common effects of migrant workers' experience and social capital on migrant workers' entrepreneurship.This research begins from the theory of population mobility,the entrepreneurial theory,and the social capital theory,which forming the theoretical basis.The difference in industrial production efficiency formed by the dual economic structure leads to an increase in the income gap between urban and rural areas.As a result of movement push-pull,the peasants move between cities and villages,becoming migrant workers.Under the advocacy of the entrepreneurial policy,migrant rural workers began to start their own businesses after using the funds and technology obtained from the employment experience.On the basis of the work experience,social capital plays an extremely important role in the identification of entrepreneurial opportunities,the allocation of entrepreneurial resources and the choice of entrepreneurial types.Based on the analysis of input and output optimization,the work experience and social capital are the main sources of investment factors for migrant rural workers.There is an extremely important impact on the work experience and social capital to the migrant rural workers' entrepreneurship.So the theoretical analysis framework of this research is constituted by the analysis of the influencing factors of rural migrant workers from the perspective of employment experience and social capital.The rural migrant workers' entrepreneurship faces problems such as insufficient entrepreneurial opportunities,shortage of venture capital,and lack of entrepreneurial skills.As the main way of working,work experience not only enable rural migrant workers to accumulate basic entrepreneurial funds and entrepreneurial skills,but also find entrepreneurial opportunities arising from urban-rural market differences in the process of urban mobility.It also expands the network of rural migrant workers' social interactions to form social capital which focuses on entrepreneurship.In the absence of entrepreneurial information and the shortage of entrepreneurial resources which based on venture capital and entrepreneurial talents,traditional family culture and rural culture make rural migrant workers accustomed to using social interactions to carry out various social activities.The social capital formed during the activity becomes the main entrepreneurial input factor that can identify entrepreneurial opportunities,accumulate entrepreneurial resources,and cope with entrepreneurial risks.This is the foundation for the entrepreneurship of rural migrant workers in China,and the advantage of migrant workers' entrepreneurship.It has a positive effect on solving the problems that rural migrant workers meet during entrepreneurship.The role of work experience in the rural migrant workers' entrepreneurship is mainly reflected in the entrepreneurial opportunity identification,social capital formation and entrepreneurial decision-making.Social capital is the trust and norms gradually formed by rural migrant workers in the network of social interactions.Its role is mainly reflected in the identification of entrepreneurial opportunities,the acquisition of venture capital and the avoidance of entrepreneurial risks.This research uses the CHIP2013 questionnaire and survey data,to construct an empirical model of the influencing factors of rural migrant workers' entrepreneurship.After setting “Entrepreneurship” as the interpreted variable,the explanatory variables include work experience,social capital,gender,age,education level,rural cadres,social security and labor welfare participation,disposable income,and family assets management and loan quotas which are screened from CHIP2013 to analyze the impact factors of rural migrant workers' entrepreneurship.By using the ordered probit method,the regression results of the empirical model report the direction and extent of the influence of each explanatory variable.The results show that the regression coefficient of the work experience to entrepreneurship is 0.325,indicating that a greater direct effect on their entrepreneurship.After adding variables of the personal identification characteristics of rural migrant workers,income,household asset management,and borrowing loans,the impact is still significant.It indicates that there is really a positive effect of work experience on the entrepreneurship.The analysis of the early work experience as a tool variable on the way of work experience shows that the way of work experience for rural migrant workers' entrepreneurship is the transmission of early work experience,which makes rural migrant workers have certain ability to identify entrepreneurial information,resources,and form a certain reserve of venture capital and entrepreneurial skills.Heterogeneity analysis shows that the role of work experience in the type of entrepreneurship is reflected in the preferring of opportunistic entrepreneurship and employment entrepreneurship.The impact of work experience on rural migrant workers with low education levels is 89.7% higher than that of migrant workers with high education levels.There is a greater effect on the entrepreneurship of low-education migrant workers.The rural migrant workers with low education level are more dependent on acquiring entrepreneurial skills from their work experience.It can be seen that the work experience is conducive to improving the entrepreneurial skills of rural migrant workers.This paper measures the social capital of migrant workers.Based on the CHIP2013 questionnaire,this research selects six indicators that directly reflect the relationship and trust between rural migrant workers and families,relatives and friends,neighbors and others.Measuring the total social capital of rural migrant workers,it is found that the social capital of rural migrant workers with work experience is 12.22% higher than that without work experience.By constructing a regression model,social capital shows a significant impact on the entrepreneurship.The empirical results show that the impact of social capital on entrepreneurship reached 45.2%.Using Tobit regression to analyze the heterogeneity,the results show that social capital has a significant positive impact on migrant workers' loan.Each additional unit of social capital can increase the loan quota of migrant workers by 0.421 units.Relative to other variables,the role of social capital in borrowing loans of rural migrant workers is quite obvious.The impact of social capital on opportunistic entrepreneurship is 40.9% higher than that of survival-based entrepreneurship.The impact on employment entrepreneurship is 78.8% higher than that of self-employment entrepreneurship.Social capital can make rural migrant workers tend to choose entrepreneurial types with higher market value to start businesses.Therefore,the role of social capital is to promote rural migrant workers by increasing the amount of venture capital quotas and enhance the ability to identify entrepreneurial opportunities.The joint impact of work experience and social capital reflects the effect of both on the rural migrant workers to entrepreneurship.Only when rural migrant workers build and invest their social capital can they turn more entrepreneurial opportunities into business actions.Social capital plays a mediating role in transmission and transformation between the work experience and the entrepreneurship of rural migrant workers.This research verifies the mediation of social capital.The empirical results show that 9.86% of the work experience of entrepreneurship is played through social capital and acts on the entrepreneurial process of rural migrant workers.The mediation of social capital makes the work experience able to form particular social capital which is conducive to entrepreneurship.The mediation of social capital strengthens and magnifies the impact of the work experience on the entrepreneurship of rural migrant workers.There is an interaction effect of early work experience and social capital,and the impact on entrepreneurship reaches to 22.3%.It can be seen that the role of social capital is also to enable rural migrant workers to go out working and start business after preparing for entrepreneurship through early work experience.Through the regression analysis of the influence of personal identity variables on the entrepreneurship of rural migrant workers,this research also finds that male,married,Communist Party members,disposable income,total household assets,business investment,and loan amount are also positive to entrepreneurship.In addition,after the conversion of variables,the impact of age on the entrepreneurship is inverted U-shaped,and the age of the inflection point is 32 years old.This indicates that the rural migrant workers of entrepreneurship become younger.The inverted U-shaped turning point of the education period on the entrepreneurship is 9 years.This reflects the current low level of education of rural migrant workers is the main reason for the lack of initial skills.In order to verify the stable impact of the work experience and social capital to entrepreneurship of the rural migrant workers,this research selects two indicators of traffic conditions and entrepreneurial atmosphere as the exogenous entrepreneurial environment tool variables.Then the entrepreneurial impact factors are conducted by regression analysis.The result is robust,which is enough to confirm that there is an important impact of work experience and social capital on the entrepreneurship of rural migrant workers.Based on the above analysis results,it is the general idea of government policy to formulate a propensity-based entrepreneurial support policy.In order to promote the entrepreneurship of rural migrant workers,we should make full use of the migrant workers' work experience and social capital in the overall economic development,and guide rural migrant workers to choose reasonable entrepreneurial projects which adapt to local conditions.And the key of the policy is to take advantage of work experience and social capital to start a business initiatively.The specific measures mainly include three aspects.The first is to improve the system construction and encourage rural migrant workers to work out or do business returned freely.The second is to promote rural migrant workers to build a social exchange platform for fully using social capital to start a business.The third is to improve entrepreneurship training,optimize the entrepreneurial environment,and improve the entrepreneurial performance of rural migrant workers.