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Exploring the Multiple Combinations of Individual Capital and Institutional Contexts for High Levels of Entrepreneurial Activity

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  • Xiuxiu Jiang

    (Tongji University)

  • Xia Wang

    (Tongji University)

  • Jia Ren

    (Tongji University
    Hong Kong Polytechnic University)

Abstract

Through the lens of capital and institutional theories, this study investigates the configurational effect of pertinent factors on entrepreneurial quantity versus entrepreneurial quality under the circumstance that different individual capital endowments and institutional logics are intertwined. Using the Global Entrepreneurship Monitor data and employing the fuzzy-set qualitative comparative analysis approach, this study performs an exploratory investigation to explore the multiple combinations of individual capital (financial, human, and social capital) and institutional contexts (financial system, educational system, and social norms) for high levels of entrepreneurial activity. The results show that individual capital and institutional factors synergistically influence entrepreneurial activity, behaving differently across entrepreneurial activities. Specifically, there are two distinct profiles for bringing out high entrepreneurial quantity and two for high entrepreneurial quality. Moreover, financial capital is necessary for the presence of high entrepreneurial quantity but not necessary for the presence of high entrepreneurial quality. Furthermore, this study summarizes two driving paths that lead to the mutual achievement of both high quantity and quality of entrepreneurship. These findings are helpful for policymakers to allocate resources to achieve high levels of entrepreneurial quantity and quality.

Suggested Citation

  • Xiuxiu Jiang & Xia Wang & Jia Ren, 2024. "Exploring the Multiple Combinations of Individual Capital and Institutional Contexts for High Levels of Entrepreneurial Activity," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(3), pages 14643-14669, September.
    • Handle: RePEc:spr:jknowl:v:15:y:2024:i:3:d:10.1007_s13132-023-01665-3
    DOI: 10.1007/s13132-023-01665-3
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