\n
![](\"https:\/\/images.squarespace-cdn.com\/content\/v1\/52440ddbe4b03b33d728e5ea\/1661029862755-6BATVDEB9S6LSNKZVYSJ\/Screenshot+2022-08-20+at+23.07.03.png?format=1500w\")
<\/p>\navia_framework domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/s4fsol5/nileharvest.us/wp-includes/functions.php on line 6114
\n<\/p>\n
\nBy Lionesses of Africa Operations Department<\/p>\n<\/blockquote>\n
We have been looking back at the incredible Lionesses who have previously graced the cover of our Lioness Weekender Magazine recently, and amongst the many fascinating questions posed to these inspirational leaders by Melanie in their interviews, there is always one asking how they got the entrepreneurial bug. More often than not the answer includes the fact that one or both of their parents were an entrepreneur. This got us wondering – is there any correlation to this or was it just luck (some who enjoy the 9-5 stability and simply do not understand the drive of a late night entrepreneur struggling with cash flow and supply bottlenecks, might argue \u2018bad luck\u2019 of course), that creates the entrepreneurial drive.<\/strong><\/h3>\n
Unsurprisingly to us (given the above sample and our knowledge of our >1.5 million membership) according to a paper \u2018Why Do Entrepreneurial Parents Have Entrepreneurial Children?\u2019 by Lindquist, Sol and Van Praag (here<\/span><\/a>), it turns out that \u201cThe single strongest predicator of entrepreneurship is parental entrepreneurship. Having an entrepreneur for a parent increases the probability that own birth children become entrepreneurs by 60%.<\/em>\u201d – Good grief – as if we don\u2019t have enough pressures already!<\/p>\n
Any difference between nature or nurture? Do \u2018own birth\u2019 or \u2018adoptive\u2019 have any different effects? \u201cOur\u2026exercise with adopted children reveals that both biological and adoptive parents make significant contributions. <\/em>[However] The effect of post-birth factors (i.e., the effect of adoptive parents) is approximately twice as large as the effect of pre-birth factors (i.e., the effect of biological parents).<\/em>\u201d So although genes have a lot to do with it, the real impact is through nurture, the impressions we subconsciously leave with our children as they grow up (again – such pressure!).<\/p>\n
Perhaps this is because the kids move into the family firm? <\/p>\n
The data available doesn\u2019t agree – in fact \u201c[I]nheritance can only explain a small fraction of this intergenerational association\u2026In our data, only 2.2% of all entrepreneurs enter for the first time in the same industry as their parent and in the same year as their parent exits entrepreneurship. If we broaden this measure to include offspring that become an entrepreneur one year before or after their parent\u2019s exit, then this number rises to 4.4%.<\/em>\u201d So, incredibly small, that surprised us, but looking again at the inspirational Lionesses interviewed by Melanie, none (that we can remember) were on the cover because they had been part of the \u2018Lucky Gene Club\u2019 as Warren Buffet calls inheritors of the family business, so their data agrees with ours.<\/p>\n
What about having the bank of Mom and Pop on tap and with doors that open with a single glance from those \u2018puppy eyes\u2019? Surely rich parents would encourage a desire to start one\u2019s own business, turn that hobby into a US$ printing machine? – Think again – \u201c\u2026in our analysis, neither parental income nor parental wealth explain the intergenerational transfer of entrepreneurship.<\/em>\u201d On our side we would suggest (although do not have the data) that the ATM of our parents has had a larger impact as we are a community that has been forced to bootstrap, where raising money from \u2018Friends and Family\u2019 are first, second and third in the queue (and there is ample data on that as across the globe female owned and run business have a minuscule amount of success with banks, VC and PE firms). However that is an impact on the business, not a reason\u2026<\/p>\n
There are other issues at play as well \u201cEnvironmental factors include peer effects (Nanda and S\u00f8rensen 2010), and regional influences (Reynolds, Storey, and Westhead 1994). Several heritable traits, such as risk aversion (Cesarini et al. 2009a), extraversion (Bouchard and Loehlin 2001), and overconfidence (Cesarini et al. 2009b), <\/em>[that all] relate to the choice for entrepreneurship<\/em>\u201d. <\/p>\n
So where does that leave us?<\/p>\n
Having to tread carefully with our kids, we would suggest!<\/p>\n
Clearly we have a far greater influence on our children\u2019s future role in life than we ever thought possible (gone are the days when we could order one to be a Doctor, one a Lawyer, one a\u2026), this is subconscious influence. This creates a large responsibility and we would suggest that here is where our thoughts over ESG (Environmental, Social, and Governance) can guide.<\/p>\n
If our children have a higher than normal chance of becoming an entrepreneur, then we have a responsibility through our actions, to show the way. Obviously just telling our kids to do \u2018x\u2019 will not have an impact (when has it ever!), this is subconscious nurture, it\u2019s the actions, the kindness, the drive in our parents that we remember and what guides us years later, like a muscle memory in sports. Our parents didn\u2019t just tell us, they lived it. We did a quick poll. \u201cAlways say good morning to Farmers, they\u2019ve earned the respect<\/em>\u201d; \u201cLet small business vans first, they are in more of a hurry than you<\/em>\u201d; \u201cPay small businesses first<\/em>\u201d (good one that one), were the quick memories that flowed from our team.<\/p>\n
ESG sadly is coming under a bit of pressure these days with \u2018Greenwashing\u2019, \u2018ESG-washing\u2019 and so on. As companies are compelled by laws in the US, EU and elsewhere to report on such things, so the fees they pay to accountants increase. If one ignores the fact that we are never ones to worry about generalisations getting in the way of a good story [indeed – Ed.<\/em>], this is perhaps why now more than ever the \u2018G\u2019 in ESG is so important. The Governance part – zero fraud, absolute refusal to play any part in corruption (which spreads through businesses and countries like a cancer), well conducted audits, and so on are so essential.<\/p>\n
Live the Green in Environmental – really live it. At home split the plastics, the recyclables and ensure they get to the right place. Food waste and scraps – into the compost they go. Grow your own vegetables if you have space, if not – herbs (we have huge problems with our Coriander, plant in separate tubs otherwise when one \u2018shoots\u2019 they all go – clearly soul mates!).<\/p>\n
And Social – our ability to live together peacefully and equally is first and foremost the essential factor in this part. We live this already in the way in which our inspirational membership treat their employees with kindness, empathy and fairness (fairness being such an essential leadership quality). Whenever we visit a Lioness\u2019 company (these days more often via zoom sadly) and when we see instagram posts, there are the smiling and happy faces of the employees in the background – not because the Lioness is \u2018soft\u2019 on them, but because they are being treated with kindness, empathy and fairness within a safe and healthy environment. It is one of the main impacts recognised that businesswomen the world over also have a greater positive impact in their communities. When your kids have a \u2018take your Daughter to work\u2019, also take yours out into the community, they will see your happy and easy interaction with complete strangers and be inspired.<\/p>\n
All of these ESG parts are not for the tick box, but actually good business. This is what we as Lionesses do well, but can also be subconsciously passed on to the next generation.<\/p>\n
Finally, be positive and have high energy. That is not to say we paint everything rosy, we are realistic, but can still be positive.<\/p>\n