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The role of institutions in latent and emergent entrepreneurship

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  • Audretsch, David B.
  • Belitski, Maksim
  • Caiazza, Rosa
  • Desai, Sameeksha

Abstract

Drawing from perspectives on institutional hierarchy (Williamson) and social embeddedness (Granovetter), we examine the role of embeddedness, formal institutions and governance in shaping latent and emergent entrepreneurship. We examine the role of heterogeneous institutional conditions - corruption, social relationships, property rights and government size – matter across 66 countries between 2005 and 2015. Our findings demonstrate that heterogeneity of institutional conditions and heterogeneity of entrepreneurship outcome are important and not monolithic. Notably, we find that while corruption impedes both latent and emergent entrepreneurship, this effect lasts almost three times as long for latent entrepreneurship. We also find that entrepreneurs in countries with more corrupt contexts have lower aspirations to start and own a business.

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  • Audretsch, David B. & Belitski, Maksim & Caiazza, Rosa & Desai, Sameeksha, 2022. "The role of institutions in latent and emergent entrepreneurship," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    • Handle: RePEc:eee:tefoso:v:174:y:2022:i:c:s0040162521006971
    DOI: 10.1016/j.techfore.2021.121263
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    3. Fandi Yang & Peng Yuan & Gongxiong Jiang, 2022. "Knowledge Spillovers, Institutional Environment, and Entrepreneurship: Evidence from China," Sustainability, MDPI, vol. 14(22), pages 1-27, November.
    4. Gnangnon, Sèna Kimm, 2023. "Duration of membership in the world trade organization and investment-oriented remittances inflows," The Quarterly Review of Economics and Finance, Elsevier, vol. 88(C), pages 258-277.
    5. Gnangnon, Sèna Kimm, 2022. "Duration of WTO Membership and Investment-Oriented Remittances Flows," EconStor Preprints 251274, ZBW - Leibniz Information Centre for Economics.
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    11. Audretsch, David B. & Belitski, Maksim & Chowdhury, Farzana & Desai, Sameeksha, 2022. "CEO gender, institutional context and firm exports," International Business Review, Elsevier, vol. 31(5).

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