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Measuring National Entrepreneurial Ecosystems in Africa: A Critical Response

Author

Listed:
  • Coad, Alex

    (Waseda Business School, Waseda University, Japan)

  • Domnick, Clemens

    (Joint Research Centre, European Commission)

  • Naudé, Wim

    (RWTH Aachen University)

  • Santoleri, Pietro

    (Joint Research Centre, European Commission)

  • Srhoj, Stjepan

    (University of Split, Croatia)

Abstract

This paper critically examines the Africa Entrepreneurial Ecosystem Index (AEEI) introduced by Stam et al. (2026) in World Development. We identify a series of technical, mathematical, and empirical problems in the construction and interpretation of the index. At the technical level, the paper contains inconsistent notation, equation-level errors, and ambiguities in the definition of key quantities. At the empirical level, the AEEI suffers from important representational limitations, including the exclusion of roughly half of African countries, the combination of indicators drawn from very different time windows, and reliance on data sources whose coverage may reflect platform visibility as much as underlying entrepreneurial activity. The data released by the authors raise questions about the reproducibility of the results, including issues with published rankings, variable construction and country coverage. and treatment of missing values. Finally, we document concerns regarding the paper's text lifting and lack of engagement with prior criticism. The paper calls into question the usefulness of the AEEI as a scientifically rigorous measure of entrepreneurial ecosystems suitable for comparative analysis and policy use.

Suggested Citation

  • Coad, Alex & Domnick, Clemens & Naudé, Wim & Santoleri, Pietro & Srhoj, Stjepan, 2026. "Measuring National Entrepreneurial Ecosystems in Africa: A Critical Response," IZA Discussion Papers 18774, IZA Network @ LISER.
  • Handle: RePEc:iza:izadps:dp18774
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    References listed on IDEAS

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    1. Wim Naudé, 2025. "Business and entrepreneurship is declining as scholarly field: Empirical evidence," PLOS ONE, Public Library of Science, vol. 20(5), pages 1-10, May.
    2. Janna Alvedalen & Ron Boschma, 2017. "A critical review of entrepreneurial ecosystems research: towards a future research agenda," European Planning Studies, Taylor & Francis Journals, vol. 25(6), pages 887-903, June.
    3. Ross Brown & Suzanne Mawson, 2019. "Entrepreneurial ecosystems and public policy in action: a critique of the latest industrial policy blockbuster," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 12(3), pages 347-368.
    4. Andrew Burke & Marc Cowling, 2020. "On the critical role of freelancers in agile economies," Small Business Economics, Springer, vol. 55(2), pages 393-398, August.
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    Keywords

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    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa
    • B41 - Schools of Economic Thought and Methodology - - Economic Methodology - - - Economic Methodology

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