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Buddhist entrepreneurs, charitable behaviors, and social entrepreneurship: evidence from China

Author

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  • Zuhui Xu

    (Nanjing University of Finance and Economics
    Shanghai University of Finance and Economics)

  • Zhiyang Liu

    (Shanghai University of Finance and Economics
    Shanghai University of Finance and Economics)

  • Jie Wu

    (University of Aberdeen)

Abstract

To address the lacuna of how informal institutions like Buddhism impact social entrepreneurship in different regions within a nation, this research draws on the social entrepreneurship literature and the regional Buddhist research to propose a mediating framework where the percentage of Buddhist entrepreneurs in a region is positively associated both with the level of prosocial behaviors such as charity, due to the values of Buddhism, and with the probability of establishing businesses in a less-developed region. It further proposes that charitable behaviors mediate the relationship between the percentage of Buddhist entrepreneurs in a region and establishing businesses in less-developed regions. This mediating effect is attributed to the mechanism that charitable behaviors absorb the limited resources of entrepreneurs, reducing their resources for establishing businesses in less-developed regions. We test these hypotheses on nationwide surveys of founders of private enterprises and find support for this mediating view. Broad implications for theoretical and empirical research are discussed.

Suggested Citation

  • 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.
    • Handle: RePEc:kap:sbusec:v:59:y:2022:i:3:d:10.1007_s11187-021-00570-w
    DOI: 10.1007/s11187-021-00570-w
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    4. Bonfanti, Angelo & De Crescenzo, Veronica & Simeoni, Francesca & Loza Adaui, Cristian R., 2024. "Convergences and divergences in sustainable entrepreneurship and social entrepreneurship research: A systematic review and research agenda," Journal of Business Research, Elsevier, vol. 170(C).
    5. Daneshwar Sharma & Saumyaranjan Sahoo & Ashwani Kumar & Donald Huisingh & Dheeraj Sharma, 2023. "Corporate Nirvana: The Buddhist way to social sustainability and business innovation," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5289-5313, December.

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