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Buddhist entrepreneurs and new venture performance: the mediating role of entrepreneurial risk-taking

Author

Listed:
  • Zhiyang Liu

    (Shanghai University of Finance and Economics)

  • Zuhui Xu

    (Shanghai University of Finance and Economics)

  • Zhao Zhou

    (Shanghai University of Finance and Economics)

  • Yong Li

    (State University of New York at Buffalo)

Abstract

This study examines how Buddhism as an Eastern religion influences new venture performance. We propose that Buddhist values and associations can bring unique benefits to new ventures founded by Buddhist entrepreneurs and help improve new venture performance. We further advance that at least part of these religious benefits will be realized through an entrepreneurial risk-taking strategy, as reflected in research and development investment and debt financing. Analysis of a sample of 1032 entrepreneurs in China provides supportive evidence for our arguments. The study has implications for research on the relationships among religion, risk-taking, and performance, and on the differences between Eastern and Western religions.

Suggested Citation

  • Zhiyang Liu & Zuhui Xu & Zhao Zhou & Yong Li, 2019. "Buddhist entrepreneurs and new venture performance: the mediating role of entrepreneurial risk-taking," Small Business Economics, Springer, vol. 52(3), pages 713-727, March.
    • Handle: RePEc:kap:sbusec:v:52:y:2019:i:3:d:10.1007_s11187-017-9981-4
    DOI: 10.1007/s11187-017-9981-4
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    References listed on IDEAS

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    2. Xin, Yongrong & Khan, Rizwan Ullah & Dagar, Vishal & Qian, Fang, 2023. "Do international resources configure SMEs' sustainable performance in the digital era? Evidence from Pakistan," Resources Policy, Elsevier, vol. 80(C).
    3. Gang Wang & Linwei Li & Gang Ma, 2019. "Entrepreneurial Business Tie and Product Innovation: A Moderated Mediation Model," Sustainability, MDPI, vol. 11(23), pages 1-18, November.
    4. Michael Fritsch & Michael Wyrwich, 2023. "Entrepreneurship in the Long-Run: Empirical Evidence and Historical Mechanisms," Foundations and Trends(R) in Entrepreneurship, now publishers, vol. 19(1), pages 1-125, January.
    5. Alemayehu, Binyam Zewde & Steffens, Paul & Gordon, Scott R., 2023. "The formation and role of religious social capital in driving entrepreneurial action," Journal of Business Venturing Insights, Elsevier, vol. 20(C).
    6. Marcus Dejardin & Brigitte Hoogendoorn & Frank Janssen & Cornelius A. Rietveld & Elco Burg, 2024. "Coupling engagement with analytical rigor: advancing research on religion and entrepreneurship using a mechanism-based approach," Small Business Economics, Springer, vol. 62(4), pages 1273-1284, April.
    7. Jie Wu & Steven Si & Zhiyang Liu, 2022. "Entrepreneurship in Asia: Entrepreneurship knowledge when East meets West," Asian Business & Management, Palgrave Macmillan, vol. 21(3), pages 317-342, July.
    8. Zuhui Xu & Zhiyang Liu & Jie Wu, 2022. "Buddhist entrepreneurs, charitable behaviors, and social entrepreneurship: evidence from China," Small Business Economics, Springer, vol. 59(3), pages 1197-1217, October.
    9. Zuhui Xu & Yi Tang & Zhiyang Liu, 2023. "Buddhist Entrepreneurs, Managerial Attention Allocation, and New Ventures' Access to External Resources," Journal of Management Studies, Wiley Blackwell, vol. 60(2), pages 454-494, March.
    10. Ruben Werven, 2024. "Entrepreneurship in religious organizations: How the Church of England developed an entrepreneurial orientation," Small Business Economics, Springer, vol. 62(4), pages 1361-1382, April.
    11. Muhammad Sualeh Khattak & Rizwan Ullah, 2021. "The role of entrepreneurial orientation in tangible and intangible resource acquisition and new venture growth," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 42(6), pages 1619-1637, September.
    12. Sudipta Mukherjee, 2022. "Consumer altruism and risk taking: why do altruistic consumers take more risks?," International Review on Public and Nonprofit Marketing, Springer;International Association of Public and Non-Profit Marketing, vol. 19(4), pages 781-803, December.
    13. Martin Hemmert & Adam R. Cross & Ying Cheng & Jae-Jin Kim & Masahiro Kotosaka & Franz Waldenberger & Leven J. Zheng, 2022. "New venture entrepreneurship and context in East Asia: a systematic literature review," Asian Business & Management, Palgrave Macmillan, vol. 21(5), pages 831-865, November.
    14. Miao, Chao & Gast, Johanna & Laouiti, Rahma & Nakara, Walid, 2022. "Institutional factors, religiosity, and entrepreneurial activity: A quantitative examination across 85 countries," World Development, Elsevier, vol. 149(C).

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    More about this item

    Keywords

    Buddhism; Entrepreneurship; Risk-taking; New venture performance; China;
    All these keywords.

    JEL classification:

    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • Z12 - Other Special Topics - - Cultural Economics - - - Religion
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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