While some maintain that immigrant enterprise promotes the upward social mobility of new ethnic groups, others argue that it often contributes little to group advancement. This article examines the case of ethnic saloons owned by Eastern European immigrants in a Pennsylvania coal-mining town between 1880 and World War I. It is argued that social embeddedness eased the entry of Eastern Europeans into the business but restricted their ability to succeed. Most went out of business and returned to blue-collar work after a few years. Only the few who diversified or expanded beyond the ethnic saloon market accumulated much wealth. Thus, in this case, ethnic entrepreneurship contributed little to group advancement.
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