Opportunities and challenges of graduate entrepreneurship in China's Greater Bay Area: cases in Hong Kong and Shenzhen

PurposeThis study chooses to look at early-stage entrepreneurship and entrepreneurial activities from the perspective of university graduates. More specially, this study takes the stance of integrated role of structure and agency, examining how university graduate entrepreneurs recognize, review and activate their entrepreneurial opportunities, and what implications can be drawn in response to the integration of the in-building of the Greater Bay Area (GBA).Design/methodology/approachThis article is drawn upon 12 case studies of small-scaled (within five permanent personnel) graduate enterprises based in Shenzhen and Hong Kong. The fieldwork was conducted in 2019, including enterprise visits, analyzing the enterprises documents and interviewing the graduate entrepreneurs. Participants were accessed through snowball sampling, and personal privacy and ethnicity were guaranteed during data collection. All founders of the graduate enterprises are university graduates within five years, regardless of their last achieved academic degree.FindingsIn this study, the objectivity–opportunity is interpreted as external enablers that are recognized by graduate entrepreneurs. Due to lack of experience, graduate entrepreneurs are more dependent on existing external opportunities in the market, instead of creating new inspirations. However, lack of experience does not mean the subjectivity–agency is missing. Instead, the subjectivity–element of entrepreneurial opportunity identification is the continuous evaluation in activating the external enablers, which is interpreted as self-evaluated challenges during entrepreneurial opportunity identification. These challenges function as sources of hesitation, modification and termination during their decision-making, as well as reflections of the current graduate entrepreneurial environment.Originality/valueBy date, no sophisticated study in literature is found analyzing the entrepreneurial opportunity identification of university graduates. Additionally, regardless of the rising attention, no agreement is achieved in the literature on measurement of entrepreneurial opportunity, influential factors of entrepreneurial opportunity and sub-elements of the identification process. This implies that more research to be conducted in diverse contexts, sub-entrepreneurial groups and in-depth analysis of selected variables regarding entrepreneurial opportunity, as elaborated in this article.