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Context Matters: Institutions and Entrepreneurship

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  • Boettke, Peter J.
  • Coyne, Christopher J.

Abstract

This survey explores the important connection between institutions and entrepreneurship. Institutions consist of the formal and informal "rules of the game." Entrepreneurs act within a context determined by these rules. The rules of the game create payoffs that make certain entrepreneurial opportunities more attractive than others. We explore the relevant literature from institutional economics and entrepreneurial studies, focusing on the important link between the two. Particular emphasis is placed on entrepreneurship within several different institutional settings — private for-profit, private nonprofit, and political — as well as the impact of entrepreneurship on institutions. We conclude by discussing the implications for future research on the topic.

Suggested Citation

  • Boettke, Peter J. & Coyne, Christopher J., 2009. "Context Matters: Institutions and Entrepreneurship," Foundations and Trends(R) in Entrepreneurship, now publishers, vol. 5(3), pages 135-209, March.
  • Handle: RePEc:now:fntent:0300000018
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    File URL: http://dx.doi.org/10.1561/0300000018
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    References listed on IDEAS

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    Cited by:

    1. Henrekson, Magnus & Johansson, Dan, 2010. "Firm Growth, Institutions and Structural Transformation," Working Paper Series 820, Research Institute of Industrial Economics.
    2. Xunan Feng & Anders C. Johansson, 2017. "CEO Incentives in Chinese State-Controlled Firms," Economic Development and Cultural Change, University of Chicago Press, vol. 65(2), pages 223-264.
    3. Edo Rajh & Jelena Budak & Mateo Zokalj, 2016. "Personal Values of Internet Users: A Cluster Analytic Approach," Working Papers 1606, The Institute of Economics, Zagreb.
    4. Almas Heshmati & Dan Johansson & Carl Magnus Bjuggren, 2010. "Effective Corporate Tax Rates and the Size Distribution of Firms," Journal of Industry, Competition and Trade, Springer, vol. 10(3), pages 297-317, September.
    5. Henrekson, Magnus & Stenkula, Mikael, 2009. "Entrepreneurship and Public Policy," Working Paper Series 804, Research Institute of Industrial Economics.
    6. Feng, Xunan & Johansson, Anders C. & Zhang, Tianyu, 2014. "Political participation and entrepreneurial initial public offerings in China," Journal of Comparative Economics, Elsevier, vol. 42(2), pages 269-285.
    7. Boettke, Peter & Fink, Alexander, 2011. "Institutions first," Journal of Institutional Economics, Cambridge University Press, vol. 7(04), pages 499-504, December.
    8. Magnus Henrekson & Tino Sanandaji, 2015. "Superentrepreneurship and global imbalances: closing Europe’s gap to other industrialized regions," Chapters,in: The EU’s Role in Fighting Global Imbalances, chapter 4, pages 58-88 Edward Elgar Publishing.
    9. R. Hafer & Garett Jones, 2015. "Are entrepreneurship and cognitive skills related? Some international evidence," Small Business Economics, Springer, vol. 44(2), pages 283-298, February.
    10. Estrin, Saul & Korosteleva, Julia & Mickiewicz, Tomasz, 2013. "Which institutions encourage entrepreneurial growth aspirations?," Journal of Business Venturing, Elsevier, vol. 28(4), pages 564-580.
    11. Ritchie, Holly A., 2016. "Unwrapping Institutional Change in Fragile Settings: Women Entrepreneurs Driving Institutional Pathways in Afghanistan," World Development, Elsevier, vol. 83(C), pages 39-53.
    12. repec:kap:sbusec:v:49:y:2017:i:1:d:10.1007_s11187-017-9864-8 is not listed on IDEAS
    13. Fredin, Sabrina, 2013. "New Perspectives on Innovative Entrepreneurship and Path Dependence – A Regional Approach," Working Papers 2013/06, Blekinge Institute of Technology, Department of Industrial Economics.
    14. Magnus Henrekson, 2014. "Entrepreneurship, innovation, and human flourishing," Small Business Economics, Springer, vol. 43(3), pages 511-528, October.
    15. Smith, Adam & Judge, William & Pezeshkan, Amir & Nair, Anil, 2016. "Institutionalizing entrepreneurial expertise in subsistence economies," Journal of World Business, Elsevier, vol. 51(6), pages 910-922.
    16. Bat Batjargal, 2013. "Institutional Polycentrism, Entrepreneurs??? Social Networks, And New Venture Growth," William Davidson Institute Working Papers Series wp1060, William Davidson Institute at the University of Michigan.
    17. Kiss, Andreea N. & Danis, Wade M. & Cavusgil, S. Tamer, 2012. "International entrepreneurship research in emerging economies: A critical review and research agenda," Journal of Business Venturing, Elsevier, vol. 27(2), pages 266-290.

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