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Motivations to Start Businesses: Institutional Context

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  • Aleksandrova, Ekaterina A.
  • Verkhovskaya, Olga R.

Abstract

This paper presents the results of a research which purpose was to investigate the link between institutional features and the motivation of entrepreneurial activity on the country level. Taking into account Scott's institutional theory, the main factors of the institutional environment were identified. The empirical analysis was conducted using the Global Entrepreneurship Monitor Survey for 2009 - 2014. Using data from various sources, such as GCR, WB, Doing Business, Economic Freedom, Hofstede's Indicators, we determined proxy-variables for every institutional dimension. The results of econometric analysis indicate that the regulatory, normative, and cognitive factors influence not only the level of TEA, but also the share of necessity-driven entrepreneurs.

Suggested Citation

  • Aleksandrova, Ekaterina A. & Verkhovskaya, Olga R., 2016. "Motivations to Start Businesses: Institutional Context," Conference Papers 8566, Graduate School of Management, St. Petersburg State University.
    • Handle: RePEc:sps:cpaper:8566
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    2. Graham, Byron & Bonner, Karen, 2024. "The role of institutions in early-stage entrepreneurship: An explainable artificial intelligence approach," Journal of Business Research, Elsevier, vol. 175(C).
    3. José Carlos Pinho & Maria Lurdes Martins, 2020. "The opportunity to create a business: Systemic banking crisis, institutional factor conditions and trade openness," Journal of International Entrepreneurship, Springer, vol. 18(4), pages 393-418, December.

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    Keywords

    entrepreneurship; necessity-driven entrepreneurship; institutional; Global Entrepreneurship Monitor Survey; cross-country analysis;
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