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  2. Day 129, Year of #Mygration: Developing Social Capital in a New Home Town

Day 129, Year of #Mygration: Developing Social Capital in a New Home Town

Image of Dr Fidèle Mutwarasibo

Recent social and political events (i.e. Brexit, government policies) have affected media’s representations of migrants by either demonizing them or victimizing them. However, an important fact often overlooked is the economic contribution that migrants offer to the host country. In particular, the contribution of migrants to entrepreneurial activities needs to be better understood not only from an economic perspective but also from a social perspective. Statistical data show two important facts to consider in gaining knowledge about migrant entrepreneurship: firstly that entrepreneurship is slightly higher among immigrants than among ‘natives’; and secondly that business owned by migrants tend to be smaller and localised. However, what these data do not reveal are the issues that migrant entrepreneurs experience in setting up and in growing their businesses as well as the potentialities that are left unexploited by the persistent inequalities that currently exist between migrant and ‘native’ entrepreneurs.

The entrepreneurial milieu is harsh and competitive and relies on economic, social and cultural capitals that generally migrant entrepreneurs lack for obvious reasons. In spite of these inequalities among migrant and native entrepreneurs in accessing funds and venture capitalists, and systematic formal and informal networks of support, migrant entrepreneurs often demonstrate the determination and tenacity to survive and prosper. They are mostly successful in providing jobs and services to the local community and foster cohesion in the communities in which they operate.

For these reasons governments and societies could do more to support this important group of entrepreneurs, and, as result, sustain economic and social inclusion. Starting from stimulating an increased awareness of the positive economic and social role that migrant entrepreneurs play in the country where they operate, policy makers and think-tanks should be proactive in developing strategies for growth and social inclusion. A focus on fostering the development of inclusive entrepreneurial ecosystems, where categories of diversity (including race, gender, class, nationality, levels of ability, age and so forth) are fully integrated in inclusive strategy for entrepreneurial growth is paramount to supporting the economic and social contribution of migrant entrepreneurs and to foster social integration and inclusion.

Dr Fidèle Mutwarasibo is a Visiting Research Fellow in The Centre for Voluntary Sector Leadership at The Open University Business School.

This article was originally published on The OU Research website as part of The Year of #Mygration project. Click to read the original article.

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