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A Tale of Two Politico-Economic Systems: Implications for Entrepreneurship in Central and Eastern Europe

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  • R. Duane Ireland
  • Laszlo Tihanyi
  • Justin W. Webb

Abstract

Following the collapse of socialism in the late 1980s, Central and Eastern European countries initiated attempts to adopt capitalist economic frameworks and promote entrepreneurship. However, persistent economic difficulties and high levels of unemployment have led to dissatisfaction with political parties favoring capitalism. We integrate identity, institutional, and social movement theories to describe the emergence of four competing social movements (capitalist democracy, socialist command, social democracy, and populist command) that are undertaken to pursue politico–economic reforms. We discuss the implications for developing an entrepreneurial culture in Central and Eastern Europe.

Suggested Citation

  • R. Duane Ireland & Laszlo Tihanyi & Justin W. Webb, 2008. "A Tale of Two Politico-Economic Systems: Implications for Entrepreneurship in Central and Eastern Europe," Entrepreneurship Theory and Practice, , vol. 32(1), pages 107-130, January.
    • Handle: RePEc:sae:entthe:v:32:y:2008:i:1:p:107-130
    DOI: 10.1111/j.1540-6520.2007.00218.x
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