IDEAS home Printed from https://ideas.repec.org/a/aid/journl/v8y2025i3p22-43.html

Strategic Foresight for Sustainable Development in the European Union: The Role of Entrepreneurship

Author

Listed:
  • Henryk Dzwigol

    (Silesian University of Technology, Zabrze, Poland)

Abstract

Sustainable development has become a strategic priority for the European Union (EU), requiring coordinated institutional, economic and entrepreneurial transformations. While a growing body of literature recognises entrepreneurship as an important mechanism for advancing sustainability objectives, empirical evidence on how structural features of the business environment influence sustainability trajectories at the macroeconomic level remains fragmented. In particular, the dynamic relationships among sustainable development, business regulation and market openness across EU countries remain insufficiently understood. The objective of this study is to analyse how business regulation and market openness influence entrepreneurship-driven progress towards sustainable development in the European Union and to examine the dynamic interactions among these institutional and economic dimensions. The empirical analysis employs an annual panel dataset covering 27 EU member states for the period 2010–2024. The study applies a panel vector autoregression (PVAR) framework combined with Granger causality testing and impulse response analysis to capture short-run and long-run relationships among sustainable development, regulatory quality and market openness. The results reveal strong persistence and path dependence in sustainable development trajectories. Business regulation does not exert statistically significant short-term effects on sustainability outcomes. Conversely, sustainable development Granger-causes changes in regulatory quality, indicating feedback processes in which sustainability progress stimulates institutional adaptation. Market openness demonstrates the strongest long-term positive effect on sustainability, although short-term impacts appear negative, reflecting transitional adjustment costs. These findings suggest that sustainable development, regulatory quality and market openness form a dynamically interconnected system characterised by temporal asymmetries and feedback effects. The results highlight the importance of gradual, learning-based regulatory reforms and deeper integration into global innovation and investment networks to support sustainable entrepreneurial ecosystems in the European Union. The study also acknowledges limitations related to the selected indicators and modelling framework, which provide avenues for further research.

Suggested Citation

  • Henryk Dzwigol, 2025. "Strategic Foresight for Sustainable Development in the European Union: The Role of Entrepreneurship," Virtual Economics, The London Academy of Science and Business, vol. 8(3), pages 22-43, November.
    • Handle: RePEc:aid:journl:v:8:y:2025:i:3:p:22-43
    DOI: 10.34021/ve.2025.08.03(2)
    as

    Download full text from publisher

    File URL: https://www.virtual-economics.eu/index.php/VE/article/download/523/197
    Download Restriction: no
    File URL: https://libkey.io/10.34021/ve.2025.08.03(2)?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Georgia Zournatzidou, 2025. "Green Finance and Sustainable Development: Investigating the Role of Greentech Business Ecosystem Through PRISMA-Driven Bibliometric Analysis," Administrative Sciences, MDPI, vol. 15(4), pages 1-24, April.
    2. Phoebe Koundouri & Conrad Felix Michel Landis & Konstantinos Dellis & Angelos Plataniotis, 2025. "Integrating Sustainable Development Goals in Environmental, Social, and Governance Criteria and the Sustainability Transformation of the EU Business Sector," Annual Review of Resource Economics, Annual Reviews, vol. 17(1), pages 381-399, October.
    3. Chie Iguchi & Axèle Giroud & Shasha Zhao & Si Zhang, 2025. "International Business and Sustainable Development in Asia: Opportunities and Challenges for Firms and Countries," Asian Business & Management, Palgrave Macmillan, vol. 24(1), pages 1-24, February.
    4. Yurii Kharazishvili & Aleksy Kwilinski & Serhii Ivaniuta & Oleksandr Sukhodolia & Pawel Czart, 2025. "System of Indicators for the Environmental Component of Sustainable Development in the Security Dimension," Sustainable Development, John Wiley & Sons, Ltd., vol. 33(S1), pages 146-160, November.
    5. Valentina Minutiello & Isabel-María García-Sánchez & Beatriz Aibar-Guzmán, 2024. "The Latest Developments in Research on Sustainability and the Sustainable Development Goals in the Areas of Business, Management and Accounting," Administrative Sciences, MDPI, vol. 14(10), pages 1-19, October.
    6. Mohammad Sharif Karimi & Saleh Ghavidel Doostkouei & Mohammed Shaiban & Yalini Easvaralingam & Yousaf Ali Khan, 2024. "Investigating the role of entrepreneurship in advancing renewable energy for sustainable development: Evidence from a System‐GMM panel data approach," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(4), pages 3329-3343, August.
    7. Anis Omri & Meshael Almoshaigeh, 2025. "Strengthening Sustainable Development Through Innovation‐Led and Financially Supported Entrepreneurship," Sustainable Development, John Wiley & Sons, Ltd., vol. 33(6), pages 8737-8767, December.
    8. Laura Corazza & Dario Cottafava & Daniel Torchia, 2025. "Education for sustainable development: a critical reflexive discourse on a transformative learning activity for business students," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 27(9), pages 20471-20491, September.
    9. Yurii Kharazishvili & Aleksy Kwilinski & Oleksandr Sukhodolia & Henryk Dzwigol & Dmytro Bobro & Janusz Kotowicz, 2021. "The Systemic Approach for Estimating and Strategizing Energy Security: The Case of Ukraine," Energies, MDPI, vol. 14(8), pages 1-30, April.
    10. Khairul Alom & Md. Zillur Rahman & Ashik Imran Khan & Delwar Akbar & Md. Mamun Hossain & Md. Ashraf Ali & Anamika Mallick, 2025. "Digital finance leads women entrepreneurship and poverty mitigation for sustainable development in Bangladesh," Journal of Innovation and Entrepreneurship, Springer, vol. 14(1), pages 1-18, December.
    11. Sulemana Mumuni & Thomas Mwimba, 2025. "Africa’s economic future: harnessing the business and macroeconomic synergies for sustainable development," SN Business & Economics, Springer, vol. 5(9), pages 1-25, September.
    12. Yurii Kharazishvili & Aleksy Kwilinski, 2022. "Methodology for Determining the Limit Values of National Security Indicators Using Artificial Intelligence Methods," Virtual Economics, The London Academy of Science and Business, vol. 5(4), pages 7-26, December.
    13. Henryk Dzwigol & Aleksy Kwilinski & Oleksii Lyulyov & Tetyana Pimonenko, 2023. "Renewable Energy, Knowledge Spillover and Innovation: Capacity of Environmental Regulation," Energies, MDPI, vol. 16(3), pages 1-15, January.
    14. Raushan Makasheva & Leila Tussupova & Nurlan Apakhayev & Biyakhmet Abdulaziz & Sandugash Khushkeldiyeva, 2024. "Integration of digital transformation and the concept of sustainable development in small and medium-sized businesses," RIVISTA DI STUDI SULLA SOSTENIBILITA', FrancoAngeli Editore, vol. 0(2), pages 27-48.
    15. Francisco Isaí Morales-Sáenz & José Melchor Medina-Quintero & Miguel Reyna-Castillo, 2024. "Beyond Data Protection: Exploring the Convergence between Cybersecurity and Sustainable Development in Business," Sustainability, MDPI, vol. 16(14), pages 1-32, July.
    16. Benjamin S. Thompson & Sascha Rust, 2025. "Sustainable Development of Seafood Supply Chains via Blockchain Technology: Innovation Adoption and Implementation by Businesses and Entrepreneurs," Sustainable Development, John Wiley & Sons, Ltd., vol. 33(4), pages 5661-5675, August.
    17. Jonathan E. Ogbuabor & Ekene ThankGod Emeka & Chukwunweike A. Ogbuabor, 2025. "Effects of entrepreneurship and governance quality on global and regional economic performance: A pathway to sustainable development," Sustainable Development, John Wiley & Sons, Ltd., vol. 33(2), pages 2842-2863, April.
    18. Cerchione, Roberto & Liccardo, Giuseppe & Passaro, Renato, 2025. "Crowdfunding business models through the lens of sustainable development: A taxonomy for backers and funders," Finance Research Letters, Elsevier, vol. 78(C).
    19. Yurii Kharazishvili & Aleksy Kwilinski & Henryk Dzwigol & Viacheslav Liashenko, 2021. "Strategic European Integration Scenarios of Ukrainian and Polish Research, Education and Innovation Spaces," Virtual Economics, The London Academy of Science and Business, vol. 4(2), pages 7-40, April.
    20. Xingmin Yin & Yunqian Yuan & Jinglin Zhou, 2024. "Evaluation and optimization of business environment based on sustainable development perspective: Exploring the role of the reform of government functions," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(1), pages 138-152, February.
    21. Venera Zarubina & Mikhail Zarubin & Zhaukhar Yessenkulova & Tursyngul Gumarova & Almira Daulbayeva & Zhuldyz Meimankulova & Aizhan Kurmangalieva, 2024. "Sustainable Development of Small Business in Kazakhstan," Economies, MDPI, vol. 12(9), pages 1-18, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yurii Kharazishvili & Aleksy Kwilinski & Oleksandr Sukhodolia & Serhii Ivaniuta, 2025. "Identification and Assessment of Environmental Security within the Framework of Sustainable Development," Virtual Economics, The London Academy of Science and Business, vol. 8(3), pages 80-108, November.
    2. Henryk Dzwigol & Aleksy Kwilinski & Oleksii Lyulyov & Tetyana Pimonenko, 2024. "Digitalization and Energy in Attaining Sustainable Development: Impact on Energy Consumption, Energy Structure, and Energy Intensity," Energies, MDPI, vol. 17(5), pages 1-17, March.
    3. Aleksy Kwilinski, 2024. "Understanding the nonlinear effect of digital technology development on CO2 reduction," Sustainable Development, John Wiley & Sons, Ltd., vol. 32(5), pages 5797-5811, October.
    4. Radoslaw Miskiewicz, 2022. "Clean and Affordable Energy within Sustainable Development Goals: The Role of Governance Digitalization," Energies, MDPI, vol. 15(24), pages 1-17, December.
    5. Koomson, Isaac & Churchill, Sefa Awaworyi & Smyth, Russell, 2025. "Financial literacy and clean energy adoption in South Africa," Energy Economics, Elsevier, vol. 151(C).
    6. Aleksandra Kuzior & Aleksy Kwilinski & Ihor Hroznyi, 2021. "The Factorial-Reflexive Approach to Diagnosing the Executors’ and Contractors’ Attitude to Achieving the Objectives by Energy Supplying Companies," Energies, MDPI, vol. 14(9), pages 1-16, April.
    7. Muhammad Zeshan & Hira Khalid & Shahid Rasool & Piera Centobelli & Roberto Cerchione & Mariarosaria Morelli, 2025. "Digitalization for Sustainable Working Environments: The Role of Job Crafting and Job Resources on Employees Engagement," Business Strategy and the Environment, Wiley Blackwell, vol. 34(8), pages 10296-10312, December.
    8. Aleksy Kwilinski & Oleksii Lyulyov & Tetyana Pimonenko, 2023. "Inclusive Economic Growth: Relationship between Energy and Governance Efficiency," Energies, MDPI, vol. 16(6), pages 1-16, March.
    9. Yana Us & Tetyana Pimonenko & Oleksii Lyulyov, 2023. "Corporate Social Responsibility and Renewable Energy Development for the Green Brand within SDGs: A Meta-Analytic Review," Energies, MDPI, vol. 16(5), pages 1-18, February.
    10. Henryk Dzwigol & Aleksy Kwilinski & Oleksii Lyulyov & Tetyana Pimonenko, 2023. "The Role of Environmental Regulations, Renewable Energy, and Energy Efficiency in Finding the Path to Green Economic Growth," Energies, MDPI, vol. 16(7), pages 1-18, March.
    11. Mikhail Zarubin & Seitbek Kuanyshbayev & Vadim Chashkov & Aliya Yskak & Almabek Nugmanov & Olga Salykova & Artem Bashev & Adil Nurpeisov, 2025. "Assessing the Accuracy of 3D Modeling of Hydrotechnical Structures Using Bathymetric Drones: A Study of the Karatomara Reservoir," Sustainability, MDPI, vol. 17(11), pages 1-24, May.
    12. Salem Younes & Muri Wole Adedokun & Ahmad Bassam Alzubi & Hasan Yousef Aljuhmani, 2025. "Impact of Supply Chain Management on Energy Transition and Environmental Sustainability: The Role of Knowledge Management and Green Innovations," Sustainability, MDPI, vol. 17(20), pages 1-25, October.
    13. Aleksandra Kuzior & Marek Staszek, 2021. "Energy Management in the Railway Industry: A Case Study of Rail Freight Carrier in Poland," Energies, MDPI, vol. 14(21), pages 1-21, October.
    14. Daniel Mara & Silviu Nate & Andriy Stavytskyy & Ganna Kharlamova, 2022. "The Place of Energy Security in the National Security Framework: An Assessment Approach," Energies, MDPI, vol. 15(2), pages 1-29, January.
    15. Oksana Kiseleva & Anna Firsova & Alla Vavilina, 2025. "Integration of Artificial Intelligence Technologies into Design-Thinking Processes in the Development of Managerial Decisions as a Factor of Enterprise Sustainable Development," Sustainability, MDPI, vol. 17(10), pages 1-32, May.
    16. Oleksii Lyulyov & Ihor Vakulenko & Tetyana Pimonenko & Aleksy Kwilinski & Henryk Dzwigol & Mariola Dzwigol-Barosz, 2021. "Comprehensive Assessment of Smart Grids: Is There a Universal Approach?," Energies, MDPI, vol. 14(12), pages 1-26, June.
    17. Yang Chen & Farhan Ali & Oleksii Lyulyov & Tetyana Pimonenko, 2023. "Analysis of the interval difference and spatial effects of Chinese green economic progress," Energy & Environment, , vol. 34(8), pages 3160-3186, December.
    18. Radosław Miśkiewicz & Krzysztof Matan & Jakub Karnowski, 2022. "The Role of Crypto Trading in the Economy, Renewable Energy Consumption and Ecological Degradation," Energies, MDPI, vol. 15(10), pages 1-15, May.
    19. Zhaozhi Wang & Shoufu Lin & Yang Chen & Oleksii Lyulyov & Tetyana Pimonenko, 2023. "Digitalization Effect on Business Performance: Role of Business Model Innovation," Sustainability, MDPI, vol. 15(11), pages 1-19, June.
    20. Abdulrasheed Zakari & Jurij Toplak & Luka Martin Tomažič, 2022. "Exploring the Relationship between Energy and Food Security in Africa with Instrumental Variables Analysis," Energies, MDPI, vol. 15(15), pages 1-14, July.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aid:journl:v:8:y:2025:i:3:p:22-43. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Aleksy Kwilinski (email available below). General contact details of provider: https://edirc.repec.org/data/akwilin.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.