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Uncertainty Avoidance and the Allocation of Entrepreneurial Activity across Entrepreneurship and Intrapreneurship

Author

Listed:
  • W. J. (Werner) Liebregts
  • J. P. C. (Coen) Rigtering
  • N. S. (Niels) Bosma

Abstract

How uncertainty affects entrepreneurship is a central theme in entrepreneurship research. However, evidence for how a culture of uncertainty avoidance (UA) influences entrepreneurial activity is mixed. Unlike prior research, we theorize and test how UA practices allocate individuals across two modes of opportunity exploitation. Our findings show that uncertainty-avoidant cultures channel individuals toward intrapreneurship rather than entrepreneurship. Moreover, we find a cross-level interaction effect with individuals’ fear of entrepreneurial failure; stronger UA practices direct failure-fearing individuals even more toward intrapreneurship. These findings shed new light on the complex relationship between UA and the prevalence of different forms of entrepreneurial activity. JEL Classification : J24; L26; M13; O43; O57.

Suggested Citation

  • W. J. (Werner) Liebregts & J. P. C. (Coen) Rigtering & N. S. (Niels) Bosma, 2025. "Uncertainty Avoidance and the Allocation of Entrepreneurial Activity across Entrepreneurship and Intrapreneurship," Entrepreneurship Theory and Practice, , vol. 49(3), pages 883-915, May.
    • Handle: RePEc:sae:entthe:v:49:y:2025:i:3:p:883-915
    DOI: 10.1177/10422587241302703
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    Keywords

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    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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