Consequences of cultural practices for entrepreneurial behaviors

Although national culture is an important regulator of entrepreneurship, there is a dearth of studies that: (1) explore the effects of national cultural practices on entrepreneurial behaviors by individuals; (2) use appropriate multilevel research designs; (3) consider the effects of culture on diff...

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Bibliographic Details
Published in:Journal of international business studies 2013-05, Vol.44 (4), p.334-362
Main Authors: Autio, Erkko, Pathak, Saurav, Wennberg, Karl
Format: Article
Language:English
Subjects:
Aspirations
Business and Management
Business expansion
Business Strategy/Leadership
Collectivism
Cultural practices
Cultural values
Culture
Datasets
Economic models
Economic theory
Entrepreneurs
Entrepreneurship
Influence
International Business
Management
Modeling
Multidimensional analysis
Multilevel models
Organization
Organizational behaviour
Self efficacy
Small business
Statistical variance
Studies
Uncertainty
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Summary:Although national culture is an important regulator of entrepreneurship, there is a dearth of studies that: (1) explore the effects of national cultural practices on entrepreneurial behaviors by individuals; (2) use appropriate multilevel research designs; (3) consider the effects of culture on different entrepreneurial behaviors, such as entry and post-entry growth aspirations. We combined Global Entrepreneurship Monitor (GEM) and Global Leadership and Organizational Behavior Effectiveness (GLOBE) data from 42 countries for 2005—2008 to address these gaps, using a multilevel design. We found societal institutional collectivism practices negatively associated with entrepreneurial entry, but positively associated with entrepreneurial growth aspirations. Uncertainty avoidance practices were negatively associated with entry but not with growth aspirations, and performance orientation practices were positively associated with entry. Our analysis highlights the differential effects of cultural practices on entrepreneurial entry and growth aspirations, and demonstrates the value of multilevel techniques in analyzing the effect of culture on entrepreneurship.
ISSN:0047-2506
1478-6990
1478-6990
DOI:10.1057/jibs.2013.15