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Emerging differently: an examination of entrepreneurial optimism in emerging economies

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  • Shouming Chen
  • Arpita Joardar
  • Sibin Wu

Abstract

This paper examines how entrepreneurial optimism and performance are related in two emerging economies, Laos and Kenya, by exploring the relationship between optimism and performance. The moderating effects of education and motive (opportunity vs. necessity) on the stated relationship are tested. By analysing a sample of 380 entrepreneurs in the two countries, we found that, unlike in Western countries where optimism generally leads to negative outcomes, optimistic entrepreneurs in emerging economies tend to perform better. Our results also suggest that when optimism is held constant, entrepreneurs motivated by opportunity outperform those who are motivated by necessity. However, education appears to have negative effect on entrepreneurial performance. Additionally, the above effects were found to be stronger for entrepreneurs from Laos than those from Kenya, which could be attributed to different religious beliefs. Findings, implications and limitations are discussed.

Suggested Citation

  • Shouming Chen & Arpita Joardar & Sibin Wu, 2017. "Emerging differently: an examination of entrepreneurial optimism in emerging economies," International Journal of Business and Emerging Markets, Inderscience Enterprises Ltd, vol. 9(4), pages 354-374.
    • Handle: RePEc:ids:ijbema:v:9:y:2017:i:4:p:354-374
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    Cited by:

    1. Martin Mabunda Baluku & Julius Fred Kikooma & Edward Bantu & Kathleen Otto, 2018. "Psychological capital and entrepreneurial outcomes: the moderating role of social competences of owners of micro-enterprises in East Africa," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 8(1), pages 1-23, December.

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