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Teemu Kautonen and Friederike Welter

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Trust and New Technologies

Marketing and Management on the Internet and Mobile Media

Edited by Teemu Kautonen and Heikki Karjaluoto

Trust and New Technologies presents versatile new research that illustrates the different roles that trust plays in the marketing and management of new technologies.
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Edited by Teemu Kautonen and Heikki Karjaluoto

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Teemu Kautonen, Simon Down and Friederike Welter

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Heikki Karjaluoto, Chanaka Jayawardhena, Andreas Kuckertz and Teemu Kautonen

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Teemu Kautonen, Simon Down, Friederike Welter, Kai Althoff, Jenni Palmroos, Susanne Kolb and Pekka Vainio

Involuntary entrepreneurship refers to the phenomenon of business enterprises replacing employment relationships with contracted self-employed workers as a result of vertical de-integration and outsourcing processes. An involuntary entrepreneur is an individual who has become self-employed even though he or she would prefer paid employment, and who is mainly self-employed in contractual terms but in practice is treated as an employee because of the way the contract is executed. Other terms used in this context include forced (Hakala, 2006; Palkkatyöläinen, 2007) and reluctant entrepreneurship (Boyle, 1994; Stanworth and Stanworth, 1997), false self-employment (Harvey, 2001), para-subordination (Perulli, 2003), employed self-employment (Paasch, 1990; Wank, 1988), hybrid self-employment (Bögenhold, 1987) and dependent self-employment (Böheim and Muehlberger, 2006). Developments such as vertical de-integration, lean production and outsourcing in large firms as well as the introduction of new technologies allowing for a separation of work place and activity (Beck, 2000; Boyle, 1994; Harrison, 1994; Sennett, 1998) have given rise to growing political interest and concern regarding people being pushed into new forms of precarious self-employment. These new working arrangements are located somewhere in a grey area between employment and self-employment (Perulli, 2003; Schulze Buschoff, 2004). The employer’s motive for such arrangements is to find more flexibility by avoiding the costs, obligations and responsibilities related to employment relationships. The employee, on the other hand, is often effectively ‘forced’ into becoming a subcontractor. Two streams of literature relate to this context: one addressing the negative ‘push’ motives behind the decision to start up in business and the other focusing on the legal and economic aspects of operating in the grey area between an employment relationship and self-employment. The main arguments and central policy questions of each stream are introduced in the following two sections. The expressions ‘self-employed’ and ‘entrepreneurs’ are used interchangeably to refer to individuals who are in business for themselves.