Location
Online
Event Website
https://hicss.hawaii.edu/
Start Date
3-1-2022 12:00 AM
End Date
7-1-2022 12:00 AM
Description
The vast majority of those living in poverty reside in rural areas. Prior research indicates that the Internet can elevate the rural economy by connecting rural entrepreneurs to the wider market. However, we have yet to witness much successful online entrepreneurship in rural areas. In this study, we show that return migration is a crucial factor for the performance of e-commerce in rural areas. Using data from a leading ecommerce platform, we set up a natural experiment involving a provincial-level policy change that reduced the barriers for talented rural migrants to return and work in their home villages. In a difference-in-differences design, we find that after the policy change, rural e-commerce businesses in the province that implemented the policy change enjoyed a 22 percent performance gain relative to other rural businesses. This study suggests that policymakers and digital platforms need to create a confluence of talent and technology to spur successful entrepreneurship in rural areas.
A Confluence of Tech and Talent: Rural Online Entrepreneurship and Return Migration
Online
The vast majority of those living in poverty reside in rural areas. Prior research indicates that the Internet can elevate the rural economy by connecting rural entrepreneurs to the wider market. However, we have yet to witness much successful online entrepreneurship in rural areas. In this study, we show that return migration is a crucial factor for the performance of e-commerce in rural areas. Using data from a leading ecommerce platform, we set up a natural experiment involving a provincial-level policy change that reduced the barriers for talented rural migrants to return and work in their home villages. In a difference-in-differences design, we find that after the policy change, rural e-commerce businesses in the province that implemented the policy change enjoyed a 22 percent performance gain relative to other rural businesses. This study suggests that policymakers and digital platforms need to create a confluence of talent and technology to spur successful entrepreneurship in rural areas.
https://aisel.aisnet.org/hicss-55/ks/early_stage_firms/2