Date of Award

2025

Degree Name

Business Administration

College

College of Business

Type of Degree

D.B.A.

Document Type

Dissertation

First Advisor

Dr. Ralph McKinney

Second Advisor

Dr. Jingran Zhang

Third Advisor

Dr. Alan Letton

Abstract

Minority-owned businesses (MOBs) in the United States have a failure rate that is 50% higher than that of their non-minority counterparts. Rectifying this imbalance and achieving parity could yield significant economic benefits, potentially adding $1.5 trillion to the nation's economy if resources—financial, educational, and managerial—are equitably distributed and effectively made available to support the goals of minority businesses. However, historical injustices, from Jim Crow laws to systemic discrimination, have granted certain groups multi-generational advantages, exacerbating the divide. Addressing these disparities is both an economic imperative and a moral obligation to ensure equal opportunity. Lending Tree (2023)

With 1.2 million MOBs contributing 10.8% of total revenue generated by the 5.6 million small businesses in the U.S., the need for understanding the root causes of this disparity becomes apparent. Is it a lack of resources, management deficiencies, or a combination of both? This research aims to answer these questions, drawing on the Resource-Based View theory, the Dependence Theory, and the Racialized Organization Theory to examine how financial and educational resources influence MOB success. Intersectional analyses by scholars like Wingfield and Taylor (2016) and insights from Barnes (2019) and Bruton et al. (2022) provide a foundation for exploring the complex dynamics at play.

Literature underscores the pivotal role of financial and educational resources in shaping minority owned business outcomes. Studies by Fairlie et al. (2020) and Skrzek-Lubasińska and Malik (2023) highlight the influence of capital structure and educational attainment on MOB success. Integrating these perspectives, the proposed research aims to develop a robust theoretical framework and the Lussier Small Business Success Vs Failure Model to elucidate the relationships between resources, and MOB success from the perspective of the minority business owners. By incorporating the voices and aspirations of minority business owners, this study seeks to offer inclusive insights and practical solutions to foster a more equitable business landscape.

Subject(s)

Entrepreneurship -- Minorities.

Business enterprises -- Minorities.

Autonomy.

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