Abstract
India has observed higher levels of global mobility shifts in ‘brain circulation’ that attracts and encourages Returnee Entrepreneurs (REs) to start high-tech ventures contributing towards business development. This clarifies the need to examine the influence of reasons to return (pull motivations), knowledge transfer (spillovers) and business development driven by the social capital; human capital; internationalization; and institutional theories in the Indian context fostering market liberalization and economic transformation. The study delves on three objectives: a) to observe the influence of returnee entrepreneurship based on social, human, internalization and institutional theories, b) to examine the influence of returnee entrepreneur’s reasons to return (RR) and knowledge transfer (KT) on business development (BD) and c) to find the indirect effect of KT as a mediator between RR and BD in the Indian perspective. The study employs purposive sampling method based on a structured questionnaire using 5-point Likert scale applying covariance-based structural equation modeling (CB-SEM) considering a sample of 374 Indian REs selected from professional and social networking sites. The study tested four hypotheses emphasizing (RR → KT); (RR → BD); (KT → BD); and (RR → KT → BD). The findings indicate RR influencing both KT and BD explaining 56.80% variation in knowledge transfer while business development posit 27.90% variation by the combined effects of RR and KT. REs identify niche markets, use domestic networks, apply local knowledge, maintain global ties and engage regulators to drive economic transformation. REs’ success shows the need for a reintegration plan that supports entrepreneurship.
Keywords: Business Development, Internationalization, Knowledge Transfer, Reasons to Return, Returnee Entrepreneurs.