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Entrepreneurial Culture and its Effect on the Rate of Nascent Entrepreneurship

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  • Sander Wennekers
  • Kashifa Suddle
  • Sjoerd Beugelsdijk

Abstract

This paper investigates the relationship between entrepreneurial culture and the rate of nascent entrepreneurship. Embedded in trait research, we develop a new composite measure of entrepreneurial culture using data from the World Values Survey. To corroborate the results obtained when regressing this newly developed measure on 2002 levels of nascent entrepreneurship in a sample of 28 countries, we also employ existing indicators of entrepreneurial culture, i.e. McClelland’s N achievement index (1961), Granato, Inglehart and Leblang’s Achievement motivation index (1996), Lynn’s Competitiveness index (1991), and GLOBE’s (2004) performance orientation measure. In contrast with the existing measures we find a significant positive effect of our new measure of entrepreneurial culture, leading us to i) discuss the strengths and weaknesses of these existing measures, and ii) interpret the wider implications of our findings for the research into the role of entrepreneurial culture in explaining international differences in entrepreneurship rates.

Suggested Citation

  • Sander Wennekers & Kashifa Suddle & Sjoerd Beugelsdijk, 2007. "Entrepreneurial Culture and its Effect on the Rate of Nascent Entrepreneurship," Scales Research Reports H200715, EIM Business and Policy Research.
    • Handle: RePEc:eim:papers:h200715
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    Cited by:

    1. Yaron Zelekha, 2013. "The Effect of Immigration on Entrepreneurship," Kyklos, Wiley Blackwell, vol. 66(3), pages 438-465, August.
    2. Thai, Mai Thi Thanh & Turkina, Ekaterina, 2014. "Macro-level determinants of formal entrepreneurship versus informal entrepreneurship," Journal of Business Venturing, Elsevier, vol. 29(4), pages 490-510.
    3. Swee Hoon Chuah & Robert Hoffmann & Bala Ramasamy & Jonathan H. W. Tan, 2016. "Is there a Spirit of Overseas Chinese Capitalism?," Small Business Economics, Springer, vol. 47(4), pages 1095-1118, December.
    4. Martin Mabunda Baluku & Edward Bantu & Kathleen Otto, 2018. "Effect of Locus of Control on Entrepreneurial Attitudes and Self-Employment Intentions: The Moderating Role of Individualism," Journal of Enterprising Culture (JEC), World Scientific Publishing Co. Pte. Ltd., vol. 26(03), pages 251-283, September.
    5. Pradhan, Jaya Prakash & Husain, Tareef, 2021. "Drivers of SME Formation in Indian States: The Empirics," MPRA Paper 25061, University Library of Munich, Germany.
    6. Yaron Zelekha & Gil Avnimelech & Eyal Sharabi, 2014. "Religious institutions and entrepreneurship," Small Business Economics, Springer, vol. 42(4), pages 747-767, April.
    7. Beem H. Beeka & Mike Rimmington, 2011. "Entrepreneurship As A Career Option For African Youths," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 16(01), pages 145-164.
    8. Srivisal, Narapong & Sanoran, Kanyarat Lek & Bukkavesa, Kanix, 2021. "National culture and saving: How collectivism, uncertainty avoidance, and future orientation play roles," Global Finance Journal, Elsevier, vol. 50(C).
    9. Abdallah Alsaad, 2018. "The Individualistic View Of Culture And The Nascent Entrepreneurship: An Examination Of Schwartz’S Cultural Values," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 23(04), pages 1-14, December.

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