Factors behind the resilience of rural startups
分析了西班牙十年间所有创业企业，发现农村企业虽少且增长慢，但存活率略高，原因包括高补贴、低运营成本、高劳动密集度和低风险增长模式等。
Rural areas are characterized by sparse population, low population density, remoteness, and population aging, which can discourage startups and undermine their financial performance, as the theory of urban agglomeration economies suggests. However, many studies have shown that companies created in rural areas survive longer than those created in urban areas, which seems contradictory. This paper aims to identify the factors that explain this rural resilience. We analyzed all of the startups founded in Spain over 10 years. We used statistical matching methods to test for the effect of the location while controlling for founding conditions and environmental factors. Our study confirmed that few startups are created in rural areas and they grow less, but their survival rate is slightly higher than those established in urban areas. We found that high subsidies, low operating costs, high labor intensity, a slow but low-risk growth pattern, and other foundational conditions and external factors contribute to explaining rural resilience. Nonetheless, additional factors, including the traits of rural entrepreneurs and the lack of alternatives to bankruptcy, as proposed by the entrepreneurial opportunity theory, also matter. • Rural resilience is evident even in typically urban sectors such as HTEC industries. • Despite challenges, rural startups often exhibit higher survival rates compared to their urban counterparts. • The traits of rural entrepreneurs and the lack of alternatives to bankruptcy matter in the resilience of rural entrepreneurs. • Composite indicators of rurality provide practical insights for stakeholders in rural development.