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WASIF A. MINHAS

ADVANCING
ENTREPRENEURSHIP
IN THE UNITED
ARAB EMIRATES
Start-Up Challenges
and Opportunities
Advancing Entrepreneurship in the United Arab
Emirates
Wasif A. Minhas

Advancing
Entrepreneurship in
the United Arab
Emirates
Start-up Challenges and
Opportunities
Wasif A. Minhas
Higher Colleges of Technology
Sharjah, United Arab Emirates

ISBN 978-3-319-76435-1    ISBN 978-3-319-76436-8 (eBook)


https://doi.org/10.1007/978-3-319-76436-8

Library of Congress Control Number: 2018936327

© The Editor(s) (if applicable) and The Author(s) 2018


This work is subject to copyright. All rights are solely and exclusively licensed by the Publisher, whether
the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of
illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and trans-
mission or information storage and retrieval, electronic adaptation, computer software, or by similar or
dissimilar methodology now known or hereafter developed.
The use of general descriptive names, registered names, trademarks, service marks, etc. in this publication
does not imply, even in the absence of a specific statement, that such names are exempt from the relevant
protective laws and regulations and therefore free for general use.
The publisher, the authors and the editors are safe to assume that the advice and information in this book
are believed to be true and accurate at the date of publication. Neither the publisher nor the authors or
the editors give a warranty, express or implied, with respect to the material contained herein or for any
errors or omissions that may have been made. The publisher remains neutral with regard to jurisdictional
claims in published maps and institutional affiliations.

Printed on acid-free paper

This Palgrave Macmillan imprint is published by the registered company Springer International
Publishing AG part of Springer Nature.
The registered company address is: Gewerbestrasse 11, 6330 Cham, Switzerland
To the United Arab Emirates. Jewel of the Middle East and an example to
all young Countries.
Foreword

I am honored and humbled to write this foreword for a book that delves
into a topic which is close to my area of research interest—
“Entrepreneurship”. The topic is of particular relevance to the United
Arab Emirates (UAE) because of a paradigm shift in the growth curve of
this nation in the past decades. The outlook of the local Emirati popula-
tion has undergone a remarkable transformation from the families of the
pearl divers to oil exporters to an ambitious, well-educated, innovative
young generation who are ready to march ahead on their own.
The global crisis of 2008–2009, resulting in widespread unemploy-
ment and unprecedented levels of job loss, provided me with an oppor-
tunity to explore the entrepreneurship intentions among the youth of
UAE. Almost a decade back, I started carrying out primary research
among Emirati youth who had undertaken Business Studies in their
undergraduate programs. It was amazing to witness the immense interest
among university students in starting their own ventures and, most
importantly, Emirati females exhibited exactly the same intentions and
entrepreneurial propensity as their male counterparts—a result that was
an eye-opener in this part of the globe. They cited job creation as their
most important contribution as a future entrepreneur and were extremely
confident of their capabilities. However, the students highlighted the
need for the right environment with a focus on entrepreneurship educa-
tion as the prerequisite to their success. They pointed out the need to
vii
viii Foreword

develop a generation of people who are more creative and risk-taking and
prepare them for leadership in the new global marketplace.
My first round of studies on entrepreneurial propensity among the
Emirati youth gained the support of Wharton Business School to take
this project further ahead and study the performance of the existing
entrepreneurial ventures, in the form of family business firms in the
UAE. The older-generation entrepreneurs and their family-run busi-
nesses form the backbone of the UAE—an estimated 75% of the private
economy in the Middle East is governed by 5000 families who generate
70% of regional employment. My results indicated that younger and
smaller firms in the UAE had higher market valuations (Tobin’s Q) and
family firms showed strong financial soundness in terms of returns on
assets and equity—a result that was quite contrary to opinions and beliefs
about the Middle East.
My research studies showed that on one hand, there was a remarkable
success story of the family-owned business which highlighted the glory of
the older-generation entrepreneurs in building up the primary and sec-
ondary sectors in the UAE. On the other hand, there is a strong spirit of
entrepreneurship among young Emiratis who need to be exposed to a
conducive environment where they can flourish. Today, the UAE
Government has openly recognized the need for economic diversification
where entrepreneurship, innovation, start-ups, and new enterprises have
to play a significant role in building up a knowledge-based economy.
However, one needs to fully understand and appreciate that the older
model cannot be applied or implemented in the present context. This was
the clear lacuna that was identified in my research—a wide gap that has
emerged today between entrepreneurial intentions and implementation.
As the nation waits for the glorious history of the family-run firms to
repeat itself in the UAE, the ongoing changes in regulations, economic
environment, competition, peer pressure, globalization, processes, and
practices have made it far more difficult for the present generation to
implement their intentions. There is, therefore, a pressing need to bridge
this gap by exploring the possible reasons for the high intentions and low
implementations.
It gives me immense pleasure to introduce this book Advancing
Entrepreneurship in the United Arab Emirates which took up the research
Foreword
   ix

from the point where I had left it—with a clear focus on understanding
the barriers, obstacles, and challenges faced by the Emirati youth during
their decision-making process. This research explores the journeys of
potential Emirati entrepreneurs in the UAE and provides very interesting
insights into some of the personal traits that influence the making of a
successful entrepreneur—like the drive for success, the need for achieve-
ment, an attitude for taking risks, and the capacity to innovate. The book
then goes on to delve beyond the basic motivational, inspirational, and
personal characteristics to explore practical solutions in terms of cultural
issues, educational background, access to finance, and government sup-
port, to name a few.
Finally, the researcher proposes a model of entrepreneurship for the
UAE where the themes and sub-themes from the qualitative research
were interconnected to identify distinct pathways for the future actions
of an individual. This exercise also provides a taxonomy of Emirati entre-
preneurs which helps distinguish support for Emirati who are at different
stages of their entrepreneurial journey. The model helps us understand
and realize why and how two individuals with the same entrepreneurial
intentions, ambition, and motivation in their youth end up choosing dif-
ferent career paths later in their lives. This model serves a dual purpose;
first, it offers valuable insights to potential entrepreneurs to better under-
stand their own intentions, perceptions, and also be aware of the chal-
lenges that lie ahead. Second, once the barriers and obstacles are identified,
it gives clear directions to the concerned organizations (government,
policymakers, financial organizations, incubators, and educational insti-
tutions) to provide suitable support mechanisms that help establish an
environment more conducive for further developing entrepreneurship in
the UAE.
In this book, Minhas carried out extensive and intensive research to
identify the issues, barriers, and challenges that are confronting the
Emirati youth today. The book provides the much-needed solutions to
empower them to act on their intentions. The publication would prove
to be extremely insightful not only to future entrepreneurs but also to
government organizations, policymakers, financiers, incubators, and
educational institutions that would have to be strongly involved in
x Foreword

extending the necessary support to potential entrepreneurs in their future


pursuits.
I would like to extend my heartiest congratulations to Minhas for his
valuable contribution in this field and the commendable research he has
undertaken to explore the opportunities and challenges of the young and
aspiring Emirati entrepreneurs.

Higher Education Academy, Heslington, UK Sudipa Majumdar


Middlesex University, Dubai, UAE
Preface

In its short history the United Arab Emirates (UAE) is at a cross roads,
yet again. The country is going through widespread structural changes as
it tries to make a shift from a fossil fuel to a knowledge based economy.
Young Emiratis are needed and expected to lead in this endeavor, espe-
cially as entrepreneurs who not only create wealth but jobs and opportu-
nities, to help the UAE establish itself as a leading global economic power
house. However, when it comes to young Emiratis, studies conducted in
the region highlight participation levels in entrepreneurship are dispro-
portionate to the levels of investment in the sector. Thus, this book seeks
to understand some of the reasons behind this entrepreneurial gap, the
challenges and opportunities, and ultimately how we may be able to
advance entrepreneurship in the UAE. But the rationale to select entre-
preneurship as a research focus goes beyond this immediate need and
stems from a belief that entrepreneurship is needed so much more than
ever before.
As with the UAE, it seems our civilization is also at the cusp of a new
transformational phase, but then it always is, whether it be the fourth
industrial revolution, geo-political events, or indeed the latest economic
calamity. The fact is that our modern civilization is in a constant state of
flux that seems to be increasing in intensity. Change, more specifically
economic change, is a ubiquitous component of human existence. It has
surpassed previously coveted social constructs such as Government or
xi
xii Preface

Religion and now firmly holds its place at the pinnacle of all human con-
cerns. There is a general consensus that answers to all our problems are
hidden within the economic sphere.
Globally, national concerns such as education, healthcare, transport,
even immigration, to name a few, are inextricably linked to a healthy
economy. A quick look at the three recent and major elections around the
world highlight this notion well. In the United States, United Kingdom
(UK), and France, the economy was top of the agenda for all winning
parties. For example, in the UK the word economy was mentioned 83
times in an 88-page Conservative Party manifesto. More importantly a
healthy economy was identified as the remedy to meet the five main chal-
lenges in the manifesto, “A strong economy that works for everyone”
being the first of these giant challenges (The Conservative and Unionist
Party Manifesto, 2017).
The Conservative Party manifesto seems a million miles away when
looking at entrepreneurship in the UAE but this example highlights a
global trend where a healthy economy is the main agenda item for society
at large. This book argues that the most sustainable route to achieving a
healthy economy is through entrepreneurship. In the case of the UAE,
and indeed the wider Gulf region, this specifically requires young citizens
to pick entrepreneurship as a career choice. This should not be a difficult
sell. The 9–5 life is seen by many in the developed world as a trap. Job
opportunities do not match up to individuals’ expectations nor their
aspirations. In this reality, entrepreneurship as a career choice is increas-
ingly becoming a necessity, but nevertheless requires a paradigm shift.
Emerging from the shadows of the last economic crisis, big business
has lost its position as the steward of industry, capable of delivering jobs
and a strong economy that works for everyone. This fall from grace has
led many to question dependable free market economic principles that
have brought so many out of poverty. I believe that notions of an unfet-
tered market and non-intervention are obsolete. Market competition
alone is no longer a reliable market regulator. Many markets are now best
defined as oligopolies and over grown businesses have hijacked innova-
tion, drip feeding it into the market. In this reality individuals who want
to carve out their own success still need the government to intervene and
provide support through public private partnerships. This notion goes
Preface
   xiii

against the grain of free market ideology but does reflect reality for many
small entrepreneurs struggling to compete against the giant
corporations.
Above all I have written this book because of the promise of entrepre-
neurship. Not only because of its potential in the field of social science to
predict social outcomes and human behavior but also because of its
promise of freedom for “he who dares”. We live in extraordinary times,
defined by individualism and marred in uncertainty. In an age of colossal
problems the need for simple solutions has never been greater. I truly
believe entrepreneurship has the potential to provide these solutions and
by applying innovation, individual entrepreneurs have an opportunity to
play a pivotal role.

Sharjah, UAE Wasif A. Minhas


Acknowledgments

Praise be to the all mighty the most gracious, most compassionate, with-
out whom none of this would have been possible. This acknowledgment
recognizes the people who have made it possible for me to complete this
long and challenging endeavor. But it also thanks those who have led to
this moment, without whom my life may have been very different.
Inevitably, I will miss out some people but this does not in any way
diminish the value of their involvement in my life.
Firstly, I extend my gratitude to all the research participants, who went
out of their way and took time out of their busy schedules to help me
complete this research. Their commitment to family, their passion, dedi-
cation and pure energy to better themselves and their country is inspir-
ing. Secondly, I would also like to thank to the Higher Colleges of
Technology, which provided access to their resources and allowed me the
flexibility to complete this study successfully.
There are a few people in everyone’s life whose impact is instrumental
and everlasting. My thanks to Keith Rutter, Sandy Mercado, Dr. Adam
Unwin, Duane Green, and Michael Dowd. Thank you for taking an
interest in me. Thank you for your advice and guidance. Thank you for
helping me change my life for the better. You may never realize the extent
of your influence on my development as a human being.
My deepest gratitude to my parents, Arshad and Sarwat Minhas, whose
endless love, hard work, and sacrifices allowed me the opportunities for a
xv
xvi Acknowledgments

better life. Their teachings, guidance, and patience have inspired me and
led me to where I am today. I am also grateful for the love, support, and
patience of my wife and children, who make me want to better myself
every day. And my gratitude goes to God, with whom all things must
start and end.
Contents

1 Introduction   1
References   9

2 Evolution of Entrepreneurship  13
Entrepreneurship in the Eighteenth Century   14
Entrepreneurship in the Nineteenth Century   16
Entrepreneurship in the Twentieth Century   19
Schumpeter’s Contribution  20
The American Perspective   22
Leibenstein’s Theory of X-efficiency   24
The Austrian Perspective   26
Government Intervention  26
Price, Monopolies, and Competition   28
The Austrian Entrepreneur   31
References  33

3 Theoretical Framework for Entrepreneurship in the UAE  39


Entrepreneurial Action  39
Entrepreneurial Motivation  41
Need for Independence  42

xvii
xviii Contents

Need for Achievement  44


Entrepreneurial Intentions  46
Theory of Planned Behavior   47
Entrepreneurial Event Model   48
Integrated Model of Entrepreneurial Intentions   50
Environmental Factors  53
Conclusions  57
Operational Definitions  61
References  64

4 Methodology  73
Purpose of Research  73
Research Questions  75
Research Design  76
Population, Sampling Strategy   78
Sources of Data  81
Data Collection  82
Data Analysis  86
Data Presentation Strategy   88
Credibility and Utility  90
Role of the Researcher  90
Legal Issues  91
References  93

5 Entrepreneurship in the UAE (I)  99


Demographic Data  101
Themes 106
Theme One: Personal Characteristics  107
Need for Achievement  107
Need for Independence  111
Risk-Taking Propensity  113
Capacity to Innovate  117
Theme Two: Family  120
Family Circumstance  121
Family Approval  124
Contents
   xix

Family Support  126


Commitment to Family  129
References 131

6 Entrepreneurship in the UAE (II) 135


Individual Context  137
Theme Three: Culture  139
Collectivist Nationalism  139
Perceptions of Entrepreneurship  142
Religion and Tradition  146
Reputation 149
Theme Four: Perceived Behavioral Control  150
Access to Finance  151
Access to Support  154
Competition 157
Education 160
Market Knowledge  163
Time 166
References 169

7 Role of Government 173
Government Support Programs  175
Government Regulation  179
Political Role Models  181
Expectations of Government Support Programs  184
References 188

8 The Emirati Entrepreneur 191


References 213

9 Emirati Model of Entrepreneurship: Critical Success


Factors 215
Emirati Model of Entrepreneurship  222
The Entrepreneurial Gap  225
xx Contents

Critical Success Factors  229


Financial Safety Net for Emirati Entrepreneurs  230
Expansion of Government Support Programs  231
Effective Promotion of Government Support Programs  232
Educational Establishments and Public, Private Sector
Collaboration 233
Changes in Government Regulation  235
References 238

I ndex 243
List of Figures

Fig. 4.1 Triangulating findings 82


Fig. 5.1 Sample age range of entrepreneurs, employees, and incubator
managers103
Fig. 5.2 Average age of entrepreneurs and employees 103
Fig. 5.3 Business age and number of employees 104
Fig. 8.1 Taxonomy of Emirati entrepreneurs 209
Fig. 9.1 Basic model outline 223
Fig. 9.2 Emirati Model of Entrepreneurship 224

xxi
List of Tables

Table 4.1 Sample distribution and criteria 80


Table 5.1 Demographic statistics 102

xxiii
1
Introduction

The foundations of our modern civilization stand on entrepreneurship.


Whether we consider the homes we live in, or the many things we fill
them with, all aspects of modern life, even love and happiness, are
enhanced by entrepreneurship. Growth in the importance of entrepre-
neurship is largely due to its recognition as an agent of change. It is
increasingly positioned as the key ingredient in changing the fortunes of
individuals, communities, and the State. For this reason, countries, espe-
cially new ones like Singapore, Kazakhstan, and indeed the United Arab
Emirates (UAE), are invested in it wholeheartedly. There are extensive
government programs stretching across education, commerce, and indus-
try designed to foster entrepreneurship. All in the hope that one day this
investment will forge new avenues for economic growth, development,
and international competitive advantage. This is even more important for
countries like the UAE and Kazakhstan that have experienced high levels
of economic growth riding on waves of natural resources.
State investment in entrepreneurship might be an easy sell but returns
on this investment are not easily quantifiable nor indeed reliable.
Furthermore, investment in entrepreneurship has not always led to equal
increases in the number of start-ups. For example, in 2009 the Global

© The Author(s) 2018 1


W. A. Minhas, Advancing Entrepreneurship in the United Arab Emirates,
https://doi.org/10.1007/978-3-319-76436-8_1
2 W. A. Minhas

Entrepreneurship Monitor reported that the UAE has increased start-up


activity by 38%; however, in 2011 it also reported that only 4% of all
new start-ups were purely Emirati owned (Bosma et al. 2011; El-Sokari
et al. 2013). This is in sharp contrast to reportedly high levels of entrepre-
neurial intentions among undergraduates and an institutional environ-
ment conducive to entrepreneurship within the UAE (Gupta et al. 2012;
Haan 2004; Kargwell and Inguva 2012; Sowmya et al. 2010).
In a bid to create a diverse economy that is not overly dependent on
proceeds from natural resources, the UAE government has decreed the
advancement of entrepreneurship as one of its key strategic goals
(Government of Abu Dhabi 2008). As a result, a number of organiza-
tions have sprung up ready to support budding entrepreneurs (Kargwell
and Inguva 2012). The Khalifa Fund and Mohammad Bin Rashid
Establishment are two examples of government funded non-profit orga-
nizations mandated to promote and support entrepreneurship within the
UAE. Despite concerted efforts by the government, and abundant oppor-
tunities for would-be entrepreneurs, the number of nascent businesses
fully owned by Emiratis is still relatively low (Kerros 2012; Horne et al.,
2011 Global Entrepreneurship Monitor). Furthermore, at 20.8%
(Makahleh et al. 2012), unemployment rates among UAE Nationals are
extraordinarily high for a country that achieved 3.6% growth in 2012
(Horne et al., 2011).
In 2017, the UAE population reached 9.4 million. However, Emirati
Nationals only represent approximately 13% of the population (World
Population Review 2015). Nationally, 15–29 year olds represent the larg-
est strata of the Emirati population. The same is true for the wider Gulf
region, which reportedly has one of the youngest populations on the
globe (United Nations 2012). Small and Medium Enterprises (SME) and
entrepreneurs who start them are the engines of a healthy economy
(Minniti 2008). For example, in Dubai these entrepreneurs represent
95% of all businesses and employ 42% of the work force (Dubai SME
2011). A steady stream of new entrepreneurs, especially based in the
technology sector, is vital for the UAE economy (Government of Abu
Dhabi 2008; Minniti 2008).
In 2012 UAE’s GDP jumped to 3.6% from 1.3% in 2011; despite
efforts to diversify the economy the UAE still relies heavily on oil and gas
Introduction 3

for 82% of its revenues (GEM 2011). The UAE is aiming to build an
innovative, knowledge-based economy (Government of Abu Dhabi
2008) which requires the formation of new businesses (Dubai SME
2011). In 2011, Emiratis started only 4% of new businesses in the UAE
while unemployment stood approximately at a staggering 20.8% in the
same year (GEM 2011; Makahleh et al. 2012). As incubation centers and
educational establishments try to enhance their offers for budding entre-
preneurs (Dubai SME 2011; Kargwell and Inguva 2012), this book high-
lights whether their efforts are bearing fruit and provides insights on
supporting the government’s strategic plan. Overall, this book aims to
develop a better understanding of the entrepreneurial process, improve
practice, and inform policy.
Disproportionate gaps between entrepreneurial intentions among
undergraduates and the realization of those intentions among the same
strata, after they graduate, have also been identified in other parts of the
world (El-Sokari et al. 2013; Horne et al. 2011; Ismail et al. 2009;
Krueger et al. 2000; Liñan et al. 2011). Low rates of nascent businesses
pose a significant threat to the UAE’s prosperity. Exploring possible rea-
sons for this disconnect between high entrepreneurial intentions and low
rates of nascent businesses may help fine tune government policy, which
is already focused on expanding entrepreneurial activity among the
Emirati population (Government of Abu Dhabi 2008). A limited num-
ber of studies conducted within the UAE focus on entrepreneurial inten-
tions and rates of entrepreneurial activity; however, research on the clear
gap between entrepreneurial intentions and action is lacking (El-Sokari
et al. 2013; Bosma et al. 2011; Kargwell and Inguva 2012; Sowmya et al.
2010; Ismail et al. 2009). Developing an understanding of why and how
some Emiratis with entrepreneurial intentions are able to start a business,
while others with the same intentions opt to seek employment, will high-
light the challenges faced by Emirati entrepreneurs.
This book explores entrepreneurship in the UAE with a focus on
Emirati entrepreneurs. Exploring the entrepreneurial gap between
­intentions and actions by highlighting the lived experience of young
Emiratis as they make the transition from education into the workforce
helps develop a better understanding of the challenges and opportuni-
ties faced by Emiratis today. The book also aims to understand the
4 W. A. Minhas

motivational factors that lead to the choice of starting a business and


how they can be supported to advance entrepreneurship in the
UAE. Differences in levels of entrepreneurial activity between two
countries can account for a 30% to 50% difference in productivity
(Reynolds et al. 1999; Zacharakis et al. 2000 cited by Sobel et al. 2007).
This book highlights the main challenges Emirati entrepreneurs face in
the UAE and makes recommendations on how they can be supported
to start new businesses and what were the contributing influences in
their decision-making process. Constructing this knowledge can be
hugely beneficial to prospective entrepreneurs and public, private orga-
nizations that are responsible for supporting and fostering entrepre-
neurship in the UAE.
Understanding which motivational factors enable Emiratis to follow
through on their intentions and which factors act as deterrents is impor-
tant. At the same time, it is also important to understand the perceptions
of existing opportunities, resources, and support mechanisms. Thus, this
book is framed around the theory of entrepreneurship and key constructs
of motivation, intentions, and environmental factors.
Despite gaining significant prominence over the last two decades, the
theory of entrepreneurship still lacks consensus (Casson and Casson
2013; Shane et al. 2003; Swedberg 2000). Often a symbiont of other
social sciences, such as economics or sociology, the concept of entrepre-
neurship has struggled to find its own place in the social framework
(Swedberg 2000). This may be due to how the notion of entrepreneurship
has developed (Shane et al. 2003). Thus, assessing the evolution of entre-
preneurship from a historical perspective and with appropriate definitions
is important at this early juncture. Although somewhat fragmented by the
ideological divide on intervention, the modern understanding of entre-
preneurship is inextricably linked to economic theory (Casson and Casson
2013). This book also explores the Austrian perspective, which has played
a significant role in developing the theory of entrepreneurship. This helps
to define separate lines of enquiry within entrepreneurship, divided by
the individual, micro, and macro level (Shane et al. 2003).
An exploration of entrepreneurship within the UAE context, with a
particular focus on opportunities and challenges, a historical review of
the evolution of entrepreneurship and its impact at individual, micro,
Introduction 5

and macro level, and discussions on why entrepreneurship is so crucial


within the UAE context and beyond, all these make this book useful for
an audience concerned with understanding entrepreneurship in the UAE
and indeed the wider gulf region. This book is targeted at new and aspir-
ing entrepreneurs in the UAE trying to navigate their way through the
complex emotional journey of starting a business and the organizations,
including innovation and entrepreneurship centers, government entities,
educational and training establishments, trying to support entrepreneurs
and advance entrepreneurship in the UAE.
The entrepreneur and the entrepreneurial process are at the core of this
book. However, the theory of entrepreneurship has not been consoli-
dated and lacks a universal definition of entrepreneurship or indeed the
entrepreneur (Shane and Venkataraman 2000; Swedberg 2000). In fact,
defining entrepreneurs has been highlighted as one of the most difficult
aspects within the study of entrepreneurship (Casson 2003). The next
chapter will assess the evolution of entrepreneurship and how different
notions we now use to define entrepreneurship, and indeed the entrepre-
neur, have developed. One of the aims here is to separate the constructs
of entrepreneurship and the entrepreneur which are at times miscon-
strued, interchanged or used in conjunction. This exercise will also help
define these and other relevant terms that are central to this book.
The following chapters outline the research methodology and provide
further information about the research context. This book aims to develop
an in-depth understanding of entrepreneurship in the UAE through the
lived experiences of first time Emirati entrepreneurs. The phenomenon of
low levels of entrepreneurial activity among young Emirati nationals is
still relatively unexplored, especially when it comes to the male popula-
tion. Therefore, a qualitative phenomenological approach, using in-depth
semi-structured interviews was proposed to explore the essence of entre-
preneurs’ experience. In trying to understand the experiences and chal-
lenges faced by Emirati entrepreneurs, a qualitative methodology helped
establish the meaning of this phenomenon through the view of partici-
pants (Creswell 2009; Sun 2009).
This book unravels human experience at the individual level and
explores multiple realities without the confines of predetermined frames
of outcomes or response as required by quantitative research (Loftus and
6 W. A. Minhas

Higgs 2010). Interviews were the most appropriate method for data col-
lection because the book aims to develop an in-depth understanding of
entrepreneurship as a phenomenon in the UAE (Creswell 2009).
Furthermore, given the busy schedules of entrepreneurs, a qualitative
approach provided the flexibility to interact with participants in their
preferred location and on their own terms (Kirk and Miller 1986).
The research design was built upon in-depth semi-structured inter-
views to collect context-bound experiences from three different sets of
research participants. The two groups comprised of Emiratis who had
graduated within the last five years: these graduates would have had
entrepreneurial intentions as undergraduates but had since gone on to
either (a) start a business (b) or found employment. The last set of partici-
pants were (c) incubator managers who were able to provide invaluable
insights in exploring the entrepreneurial gap within the UAE.
In trying to develop a research question, Creswell (2009) suggested
starting from a central question that is broad so that it does not limit the
scope of enquiry; however, this should be followed by sub-questions in
order to maintain a focus. The sub-questions should be open and may
even be used in data collection. The research question should focus on
the relationship between a central phenomenon and how participants
view that phenomenon (Creswell 2009). For example, in a study of dip-
lomatic leaders, Murtezaj (2011) explored the relationship between emo-
tional intelligence and how diplomatic leaders viewed its utility in
negotiation and handling conflict. Similarly, the overarching aim of this
research was to explore and understand reasons behind low levels of
entrepreneurial activity among Emirati nationals.
This book focuses on the following central and sub-questions:

Q1. Why is there a gap between entrepreneurial intentions and new busi-
ness start-up rates among Emirati nationals in the UAE?
–– Which factors influence Emiratis to become entrepreneurs or seek
employment?
–– What are the key challenges and barriers faced by aspiring Emirati
entrepreneurs?
–– What are the key opportunities to advance entrepreneurship in the UAE?
–– How do internal (self-efficacy, motivations, intentions) and external
(environmental) factors affect the decision-making process?
Introduction 7

A deep dive into the experiences of new and aspiring Emirati entrepre-
neurs would help better understand the challenges for Emirati start-ups
and identify opportunities to advance entrepreneurship within the
UAE. Exploring these research questions can also benefit other countries
in the region and beyond when it comes to understanding the plight of
start-ups and support networks needed to sustain them. One of the most
important outcomes of this book related to a more comprehensive under-
standing of the Emirati, and even the Gulf region, entrepreneurs. This
book highlights the quintessential facets of the Emirati entrepreneur—
facets that have been neither empirically explored previously nor in
appropriate depth.
Using a qualitative approach, the book builds upon the basic assump-
tion that there is no single reality. Instead, reality is subjective and must
be judged in the context of individual interpretations (Gall et al. 1999).
When viewed through the positivist paradigm, this poses a limitation on
generalizability (Flick 2014). However, generalization is not the main
aim of this study. A qualitative methodology assumes deep meanings that
can be drawn out of the rich experiences of research participants, or
informants (Filstead 1979). However, this also assumes that other meth-
odologies are unable to provide a deep perspective. Furthermore, there is
an assumption that wider perspectives, that can be generalized, are simply
not possible (Sechrest and Sidani 1995).
Adopting a qualitative methodology was based on the assumption that
the phenomenon being studied is in a continuous state of flux and that
the collection of context-bound perspectives could be effectively inter-
preted to illustrate a useful picture of the world as it is (Creswell and
Miller 2000; Filstead 1979). This also raised questions about generaliz-
ability and more importantly the credibility of such a qualitative method-
ology, which posed a significant limitation. Yet an initial review of
literature revealed that entrepreneurs’ experiences and interaction with
the social environment are highly personal and bound in individual con-
text (Baum et al. 2001; Bosma and Levie 2010). Therefore, a qualitative
methodology was the most suitable approach to studying this social phe-
nomenon (Creswell 2009).
Employing a qualitative methodology also assumed that contextual
social knowledge and meanings should be viewed through the subject’s
8 W. A. Minhas

interpretation (Flick 2014). In this case, the context was of Emirati grad-
uates who wanted to start a business, where some had succeeded but
most had not. Therefore, conclusions were drawn from contextual inter-
pretations of Emiratis and the way in which they organized experiences
specifically within the UAE (Glasersfeld 1992 cited in Flick 2014). More
importantly, there was an assumption that social interactions of research
participants could be used to explain low levels of new business start-ups
among Emiratis (Creswell and Miller 2000). There was also an assump-
tion that Emirati research participants themselves would be able to inter-
pret their experiences to help draw out meanings and develop a clearer
picture of seemingly low levels of entrepreneurial activity among Emiratis
(Blumer 1969).
The choice of methodology and the decision to focus on one geo-
graphical location makes it difficult to generalize findings and adds fur-
ther limitations to the study. The age range and, to an extent, the sample
size also represented limitations. In the same vein, the researcher’s expe-
rience and ability to draw conclusions from the data were also assumed.
These factors placed further limitations on the study in regard to cred-
ibility, transparency, and rigor. However, using software to organize and
analyze data allows the audience to follow the line of enquiry and
enables them to draw and confirm conclusions for themselves (Filstead
1979). Furthermore, direct quotations from the research participants
were used to present research data and findings. Both of these strategies
enhanced the research transparency and credibility, while demonstrat-
ing rigor (Creswell 2009; Richards and Richards 1991 cited in Welsh
2002).
The extensive time frame and large data set associated with qualitative
research presented further limitations. Complex and varied data were also
difficult to present and assess. These aspects made it difficult to organize
data collection and subsequent analysis. Specifically, concerning inter-
views, presence of the interviewer increased the likelihood of bias, which
can draw into question the credibility of findings (Flick 2014). Therefore,
to minimize research bias, participants had no prior association with the
researcher. Furthermore, interviews were held in locations that were cho-
sen by the research participants. Interviews taking place in familiar sur-
Introduction 9

roundings and chosen by the participants also reduce the chances of bias
(Johnson and Onwuegbuzie 2004; Kirk and Miller 1986; Saldana 2011).
This study used a computer assisted qualitative data analysis (CAQDAS)
called NVivo10 which is the latest software designed to analyze non-­
numeric qualitative data. It must be emphasized that NVivo10 does not
take over the researcher’s role as the interpreter, analyzer and evaluator.
The researcher still has to use critical thinking to interpret and tease out
the meanings behind data (Saldana 2011; Smith and Firth 2011). Instead,
NVivo10 is essentially a data management tool that enables the researcher
to carry out the analytical process more efficiently and with more trans-
parency (Welsh 2002). The researcher in this case adopted a dual approach
by first using NVivo10 to organize data, highlight patterns, and create
codes, and then manually analyzed the data to confirm themes and draw
conclusions (Welsh 2002).

References
Baum, R., Locke, E., & Smith, K. (2001). A multidimensional model of venture
growth. Academy of Management Journal, 44(2), 292.
Blumer, H. (1969). Symbolic interactionism: Perspective and method. New Jersey:
Prentice-Hall.
Bosma, N., & Levie, J. (2010). Executive report. Babson College, Universidad
de Desarollo, Háskólinn, Reykjavik and London Business School. Global
entrepreneurship monitor. Babson Park.
Bosma, N., Wennekers, S., & Amorós, J. (2011). Entrepreneurs and entrepre-
neurial employees across the globe. Global Entrepreneurship Monitor
(Extended) Report.
Casson, M. (2003). The entrepreneur: An economic theory. Cheltenham: Edward
Elgar Publishing. 1843765632.
Casson, M., & Casson, C. (2013). The entrepreneur in history: From medieval mer-
chant to modern business leader. Palgrave Pivot. e-EAN/ISBN: 9781137305824.
Creswell, J. (2009). Research design: Qualitative, quantitative, and mixed methods
(3rd ed.). Newbury Park: Sage Publications.
Creswell, J. W., & Miller, D. L. (2000). Determining validity in qualitative
inquiry. Theory Into Practice, 39, 124–134.
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terrible gossip and busybody was she, talking perpetually and doing
all the mischief that lay in her power. She was the terror and torment
of all cats and kittens; for, wary and watchful as they might be, Polly
was always surprising them by attacks in the rear, and cunning
ambuscades and flank movements. Nothing more still and soft-
footed could be imagined than her approaches; nothing more sly,
sudden, and sharp than the nips she gave with her horrid hooked
bill. A cat’s extended tail was especially tempting to her. She
generally fought the battle out on that line. “In maiden meditation
fancy free,” this parrot roamed about the yard, and laughed and
railed at patient sitting hens, and the proud mothers of newly
hatched chicks and ducklings. Sometimes she would follow a brood
about, sneering and advising, until the poor mother was in an agony
of worriment. At last she came to grief in this way. A spirited
speckled hen, with a fine brood of young ones, tired of being
snubbed and of hearing her offspring depreciated, and shocked at
seeing the domestic virtues set at naught by a flaunting foreign fowl
of infidel sentiments, turned upon her, sprang upon her back, and
began pecking and tearing at her sleek plumage like mad! The
feathers fell all around, like a shower of green snow; and the parrot
began screaming with all her might: “Let up! Let up! Poor Polly! Poor
Polly!”
Her mistress came to the rescue, and Polly skulked away to her
cage, where she remained several days, sullen and deeply
humiliated; but when she emerged from her retirement she gave the
hens and chickens a wide berth.
Several parrots, the pets and companions of religious persons, have
been distinguished by their piety, or what passed for such. These
have usually belonged to devout Catholics. I have read of one,
named Vert-Vert,—the inmate of a convent in France, and taught by
the holy nuns,—who was esteemed a most blessed and
miraculously gifted bird. His fame spread far and wide. Many made
pilgrimages to the convent to be edified by his pious exhortations;
and at last the nuns of another convent, in a distant province,
solicited the loan of him for a few months, for the good of their souls.
He went forth as a sort of feathered apostle, followed by the prayers
and blessings of the bereaved sisters, and looking very solemn and
important. But, unfortunately, on his journey, he was compelled to
spend a night on a steamer; and being kept awake by such new
scenes, and perhaps a little sea-sickness, he listened too much to
the unprofitable and profane talk of the sailors and some soldiers
who were on board. And so it happened that, when he reached the
convent, where he was received with great joy and impressive
religious ceremonies, instead of edifying the good sisters with
exhortations and chants, delivered in a grave, decorous manner, he
horrified them by shouting like a rough old sea-captain and swearing
like a major-general, while he assumed the most knowing, rollicking
air imaginable. Those saintly women stopped their ears, and fled
from him as though he had been a demon-bird, and he was
immediately sent home in utter disgrace. There, through fasts and
penances, he was brought round to more correct habits and
behavior; but he never became the shining light he had been before
his sudden fall. No more pilgrimages were made to his perch.
Though grown a sadder and a wiser bird, it was impossible to tell
whether he most sorrowed for his fault or regretted the wicked world
of which he had had a taste. Still he made a good end, I believe,
within the convent’s hallowed cloisters.
A certain pious cardinal in Rome once gave a hundred crowns in
gold for a parrot that could repeat the Apostles’ Creed. Another
religiously trained parrot once served as a chaplain on board of a
ship,—actually reciting the service for the sailors, who listened and
responded with becoming solemnity. I have never seen a clerical
parrot; but I have seen clergymen who suggested parrots. By the
way, the parrot would make a very economical sort of minister. After
the first cost of the bird, his education, and a respectable cage or
parsonage, there would be no demands on the congregation for
increase of salary. As he would have no scruples about repeating old
sermons, he would not desire new fields of labor. Parrots seldom
have any family, so he would expect no donation-parties. They never
have dyspepsia, so he would require no trips to Europe. He would
not, I fear, be very popular in the sewing-circles and Dorcas
societies,—for he would talk down all the ladies.
A dear young friend of ours has a lovely pair of turtle-doves, that are
constantly making love to each other, these soft spring days, in that
delicious, drowsy honey-moon coo, “most musical, most
melancholy.”
Awhile ago the disastrous experiment was tried, of putting these
doves into the cage with a parrot. Miss Polly did not fancy her dainty
visitors in the least. She glared at them as they cuddled together in a
corner, eying her askance, and murmuring in the sweet dove dialect,
—Madame Columba very timidly, and Monsieur in a tender,
reassuring tone. Miss Polly abominated such soft, love-sick voices,
and such a parade of matrimonial bliss and affection just
exasperated her; so she pitched into them, scolding fearfully at first,
but soon coming to blows with her wings, then to scratching and
pecking with her steel-like claws and fearful, hooked bill. When the
hapless pair were rescued, it was found that the husband, who had
fought gallantly to protect his wife, had met with a serious loss, in the
upper part of his bill, which had been quite bitten off by that
inhospitable old termagant, who had doubtless thought thus to put
an end to his billing and cooing.
The poor fellow lost some glossy feathers in this encounter. They
have been replaced, but the broken beak has never been restored.
Thus maimed, he is only able to drink from a perfectly full cup, and
his loving mate invariably stands back till his thirst is satisfied. She
also feeds him when he has difficulty in eating, and always carefully
plumes him, as he can no longer perform that service for himself.
Indeed, she attends to his toilet before her own. No fond wife of a
disabled soldier could surpass her in watchful care and devotion.
What a touching little lesson is this, of tender, faithful love! I wonder if
he would have done as much for her. Let us hope so.

THE BENEVOLENT SHANGHAI.


I have long wished to record the admirable behavior of a certain
Shanghai rooster, once belonging to a relative of ours in the West.
This fowl was old, but he was tender; he was ugly, but he was
virtuous, as you shall see. One of the hens of his flock died suddenly
and mysteriously,—of too many family cares, perhaps, for she left a
brood of twelve hearty, clamorous young chickens. One of the
children, the poet of the family, said:—
“Grandfather Shanghai
Stood sadly by,
And saw her die,
With a tear in his eye.”
Perhaps he received her last instructions,—her dying bequest. If so,
never was a legatee more burdened with responsibilities; for from
that hour the good rooster adopted all those chickens, and devoted
himself to them. When the fowls were fed, he guarded their portion;
he watched over them when hawks were hovering near; he
scratched and fought for them and stalked around after them all day,
and at night, after leading the other fowls to roost, he would descend
from the old pear-tree, gather those poor sleepy little things under
him, and do his best to brood them. His legs were so long and stiff
that it was a difficult job. First he would droop one wing down to
shelter them; then, seeing that they were exposed on the other side,
would let down the other. Then, finding that he could not keep both
down at once, he would try to crouch lower, and would sometimes tip
himself entirely over. It was a laughable sight, I assure you. But
somehow he managed to keep them warm, to feed them, and bring
them up in the way they should go; and I hope they always loved
him, and never made fun of their gaunt, ungainly old guardian, when
they grew up, and went among the other young people of the farm-
yard, especially when chatting with the foreign fowls, the proud
Spanish hens, and the pretty Dorking pullets.

THE GALLANT BANTAM.


I have observed that while the Bantam pullet is a quiet, modest, little
pantaletted lady, the Bantam cockerel always makes up in big feeling
for what he lacks in size. A gentleman farmer owned a Bantam of
this sort, that was always full and bubbling over with fight. He would
go at any gentleman-fowl in the yard, with beak and spur. He would
defy the fiercest old gander, and challenge the biggest “cock of the
walk” to mortal combat. At last he grew so uncomfortably
quarrelsome, and presented such a disreputable appearance,—
having had the best part of his tail-feathers torn out, and his spurs
broken off,—that his master was obliged to put him out to board with
a nice old lady who had no fighting fowls for him to contend with. It
was hoped that he would be content to tarry in that Jericho until his
tail-feathers should be grown; but one day, when his master paid a
visit to his good neighbor, he found the little Bantam with his head
badly swollen, and with a patch over one eye and across his beak,
placed there by the kind old lady. He had gone outside the yard, and
picked a quarrel with a strange rooster, only about six times his size,
and been pretty badly punished.
A short time after, a big turkey gobbler was added to the feathered
community of that farm-yard, the old lady not dreaming of the
Bantam cock daring to make hostile demonstrations against such a
potentate. But she had done our little hero injustice. As soon as he
saw the mighty spread the arrogant old fellow was making, he just
gathered himself up, and “went for him,” if I may use a slang
expression, which I know boys, at least, will understand only too
well.
The big gobbler looked down upon him at first in contemptuous
astonishment, as much as to say, “What fooling is this?” But when he
saw that the fiery little fellow was in earnest, he just struck him one
blow with his terrible wing, and—well, the gallant Bantam went “on
his raids no more.” He was served as another savage Turkey served
poor Crete. This is a world of tragedies and downfalls.
On a late visit to the Central Park, we noticed, among the collection
of fowls there, a Bantam cock, of the very smallest pattern, that yet
seemed to have a big, gallant heart. We saw him in one of his soft
moments, when, in fact, he was making love. He had been very
ambitious in selecting the object of his adoration, for he was actually
paying his addresses to a full-sized Shanghai hen, who was in a
large cage, separated from him by a light lattice. He would strut up
and down before her, ruffling his fine feathers, and making eyes at
her. Sometimes he would dance up sideways, declaring his passion
with a soft, musical murmur, that sounded like “coort, coort,” which it
would seem she could hardly resist; but she did,—not so much as a
feather on her breast was stirred by his appeal; she regarded him in
placid disdain. Indeed, it was almost as funny to watch the tiny,
strutting little creature making love to that superior fowl, as it would
be to see Commodore Nutt courting Miss Swan, the giantess.
“So daring in love and so dauntless in war,
Have ye e’er heard of knight like the young Lochinvar?”

THE DISOWNED CHICKS.


I have a friend living in the very heart of the big city of Chicago, who
owns several hens of rare varieties, and a flock of young chickens of
remarkable promise. She keeps them in her back-yard, which they
utterly devastate, not suffering a green thing to live, making it look
like a small copy of the Desert of Sahara. Yet she says keeping them
reminds her of the country! She is a very poetic and imaginative lady.
It is very likely that a hand-organ reminds her of music, and fish-balls
of the mighty, briny deep.
One of this good lady’s hens is a handsome, stately fowl, dressed in
gray satin, and wearing a top-knot that is like a crown of silver. She
has one chicken, almost full-grown,—the last of many lively children,
the victims of rats and the pip. Of him she is very fond. There was, at
one time, great danger that he would be spoiled,—for she toiled for
him all day, trotting about everywhere with him “at her apron-strings,”
so to speak; and she actually broods him at night, though, do the
best she can in spreading herself, she can’t take in all of his tail,
unless she lets his head stick out somewhere. Thus he is content to
sleep ingloriously, when he ought to be roosting on some lofty perch,
ready to greet the first streak of dawn with a brave crow, prophetic of
the day.
A few weeks ago another hen, a young pullet, dressed gayly every
day in gold and brown, with a gorgeous top-knot, came, one
morning, triumphantly out from under the porch, with a large flock of
charming little chicklings, who toddled along after her, and glanced
up at the sky, and round on the earth,—that vast sandy plain of the
back-yard,—in a most knowing and patronizing manner. Nobody
would have guessed it was their first day out of the shell. They were
not going to show their greenness,—not they.
For a while those downy, yellow, cunning little roly-poly creatures
seemed to amuse their mother; she appeared fond of them, taking
pleasure in parading them before such of her neighbors as were
chickenless. But she was a giddy biddy, lazy and selfish; so, as soon
as she found that she must scratch to fill so many little crops, she
threw up maternity in disgust. She actually cast off her whole brood,
pecked at them, and scolded them till they ran from her in fright, and
huddled together in a corner of the fence, peeping piteously, and
doubtless wishing they had never been hatched. Perhaps some
were chicken-hearted enough to wish for death to end their troubles,
till they caught sight of some ugly old rat prowling about “seeking
whom he might devour,” when they reconsidered the matter, and
took a more cheerful view of life.
Well, it came to pass that the excellent gray hen, with the one big
chicken, seeing their forlorn condition, pitied them exceedingly, and
actually adopted the whole flock. Only think, children, it was as
though your mother should adopt a small orphan asylum, and all of
them twins!
She toils for them and protects them all day, treating them in all
respects as her own chicks, till sundown; then, not having room for
them under her wings without dislodging her only son and heir, she
always escorts them up the steps of the porch and sees them go to
bed in a little box, which has been prepared for them by their kind
mistress, with a cover of slats to guard them from rats and cats and
bats and owls, and every thing that prowls or lies in wait for small
fowls. Well, when she has seen the last chick tumble in, and cuddle
down to its place with a sleepy good-night “peep,” to be brooded
under the invisible wings of the soft summer night, that good,
motherly creature descends with stately dignity from the porch to her
own sleeping apartment underneath, when she mounts on a box,
and, calling her one long-legged darling, does her best to hover him,
and to make believe he is a baby-chicken still. In the morning she is
astir betimes, scratching and pecking for him and his adopted
brothers and sisters with wonderful impartiality. I must do this same
big chicken the justice to say that he has never made any violent
opposition to this sudden addition to the family; but he has rather a
haughty manner towards the little interlopers, and could we
understand the sort of Chickasaw language he speaks, we might find
him occasionally remonstrating with his maternal parent in this wise:
“Really, mother, it strikes me you are running your benevolence into
the ground, in scratching your nails off for a lot of other hen’s
chickens! such things don’t pay, ma’am; charity begins at home, and
one would think you had enough on your claws, in providing for the
wants of a growing young cockerel like me, without doing missionary
work. Besides, you are encouraging idleness and shiftlessness; it
just sticks in my crop to have you burden yourself with the cast-off
responsibilities of that impudent pullet, who goes cawking lazily
about, carrying her top-knot as high as ever.”
The conduct of that unnatural young mother is, indeed,
reprehensible. At meal-times she always comes elbowing her way
through the crowd of her virtuous neighbors, to secure the largest
share of corn-mush, not hesitating to rob her own children! She will
be likely to have a disturbing and demoralizing influence on the
female feathered community. She shirks her duties,—declines to lay
eggs lest chickens should come of them. She believes the chicken
population is too large already for the average supply of chickweed
and grubworms. She discourages nest-making, and despises her
weak-minded sisters, who, in spite of her warning, persist in laying,
sitting, and hatching; who really believe in the innocence of
chickenhood, and actually love to brood their chicks, to feel the soft
little things stir against their breasts, and to hear now and then, in the
still, dark night, their drowsy “peep, peep.” She goes against all such
silly sentiment and loving slavery. She pities any poor pullet who has
to spend her days in a coop, especially in Chicago. She is a sort of
hen-emancipator, and strolls about at “her own sweet will,” “in
maiden meditation, fancy free.”
If she could have the management of the hatchway, all chickens
would be hatched with equal rights to wear the spur, and with equal
gifts of crest and crow; all hatching would be done by steam, in a
general incubatorium at government expense, in a way to astonish
all grandmother Biddies; sittings would be abolished, coops levelled
to the earth, and the sound of the cluck be heard no more in the
land.
As for the poor cast-off chicks, they grow and thrive, get more steady
on their legs, and put out tiny tail-feathers, tinged with gold, as the
bright summer days go on. They doubtless think that their first
mother was a mistake, and that their second mother is the certain
true one, and honor her silver top-knot accordingly.
So you see, dear children, there is a Providence for little chickens,
as well as for little sparrows.
THE END.

Cambridge: Printed by Welch, Bigelow, & Co.


TRANSCRIBER’S NOTES:
Obvious typographical errors have been corrected.
Inconsistencies in hyphenation have been
standardized.
Archaic or variant spelling has been retained.
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