Focus/research gaps Entrepreneurship is seen as being vital to the creation of wealth in society and as such, a crucial mechanism for the alleviation of poverty in the developing world. Most research in Africa, however, has concentrated on the role entrepreneurship in the informal sector in largely rural contexts. There has been little research on how entrepreneurship relates to larger formal businesses in developing/emerging countries especially those residing within urban environments. This thesis focuses on larger scale multiple business owners, or portfolio entrepreneurs within the capital city of Lilongwe in the country of Malawi. Malawi is a poor but fast growing landlocked Southern African state evincing many of the characteristics of developing nations in Africa and elsewhere. Of particular emphasis in this study is the focus of how risk and the environment play a role in the creation and growth of the groups of companies owned by portfolio entrepreneurs. Risk and the environment are little studied concepts when it comes to portfolio entrepreneurship in high-risk and uncertain environments, which are characteristic of many other developing/emerging economies in Africa (and elsewhere). Of the work that has been done, there is little to no coverage of the growth process by which new business formation occurs or does not occur by larger scale portfolio entrepreneurs in developing/emerging markets in Africa. The thesis addresses these research gaps by exploring processes of portfolio diversification (growth, non-growth and contraction) by portfolio entrepreneurs in a developing/emerging market context and the effects of two little studied variables: risk and the environment in this process. Method Twenty-four prominent portfolio entrepreneurs have been sampled, owning a total of 122 individual firms. These entrepreneurs (as a whole), turnover more than 200 million dollars annually and employ over 8000 people. The methodology was qualitative in nature combining a longitudinal study (that followed as group of the entrepreneurs over periods between two to five years), with semi-structured interviews with each entrepreneur. The analysis looked at both individual-level and external firm-level determinants to portfolio diversification, using risk and the environment as explanatory factors. The analysis combined a number of qualitative data analysis techniques. Results and Implications The findings suggest that risk-aversion is a crucial factor in explaining how and why portfolio entrepreneurs create and grow business groups. Risk-aversion and risk-mitigation are found to be crucial elements to adapting to the identified, enabling and hindering conditions of the environment to venture creation, operation and growth. The findings suggest that these portfolio entrepreneurs within Malawi can be considered growing, high-impact entrepreneurs and consequently a focus for policy. A number of policy recommendations concerning the environment for business creation and operation are suggested for government and non-government institutions. In addition a number of strategic recommendations are made for entrepreneurs already/ or looking, to operating in high-risk, uncertain environments, pursuing growth and success. For scholars, the research identifies a future agenda for those interested in the role of risk, the environment and growth in the process of portfolio entrepreneurship.

Agriculture is one of the most weather sensitive sectors. The thesis aims to assess the efficiency of agricultural weather derivatives to reduce revenue risk in agriculture taking into consideration the growing conditions in the Czech Republic. The problem of risk management scheme in the Czech agriculture is that systemic weather risks are not covered by insurance (drought). In these cases, farmers have to rely either on their own financial reserves or ad hoc state assistance. Various combinations of weather variables, crops, regions and weather stations have been examined to design index-based weather contracts for most important crops produced in the Czech Republic. The first part of the thesis is devoted to literature review concerning risk management in agriculture. Overview of data sources is followed by assessment of risk environment of agricultural enterprises in the Czech Republic. Then, author describes the choice of crops and regions suitable for weather derivative design. The main part is devoted to method of design and valuation of weather derivatives at the regional level (burn analysis, parametric bootstrap). Finally, discussion on main findings, chances and limitations of agricultural weather derivatives is considered. The research shows the need to better differentiate public risk management support in agriculture in the Czech Republic. Regarding the efficiency of weather derivatives, it is possible to conclude that spatial (geographical) and production basis risk significantly reduce the efficiency of weather derivatives in agricultural practice.

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