Consequences of Cultural Practices for Entrepreneurial Behaviors

Journal of International Business Studies, Forthcoming

53 Pages Posted: 7 Mar 2013 Last revised: 18 Mar 2013

See all articles by Erkko Autio

Erkko Autio

Imperial College Business School; Tilburg University School of Economics and Management

Saurav Pathak

Michigan Technological University

Karl Wennberg

Linkoping University - Institute for Analytical Sociology (IAS)

Date Written: February 6, 2013

Abstract

Although national culture is an important regulator of entrepreneurship, there is a dearth of studies that (i) explore the effects of national cultural practices on entrepreneurial behaviors by individuals; (ii) use appropriate multi-level research designs; (iii) 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 multi-level 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, while 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 multi-level techniques in analyzing the effect of culture on entrepreneurship.

Keywords: culture, entrepreneurship, social institutional collectivism, multi-level, global entrepreneurship monitor, gem

JEL Classification: M13

Suggested Citation

Autio, Erkko and Pathak, Saurav and Wennberg, Karl, Consequences of Cultural Practices for Entrepreneurial Behaviors (February 6, 2013). Journal of International Business Studies, Forthcoming. Available at SSRN: https://ssrn.com/abstract=2229397 or http://dx.doi.org/10.2139/ssrn.2229397

Erkko Autio (Contact Author)

Imperial College Business School ( email )

South Kensington Campus
Exhibition Road
London SW7 2AZ, SW7 2AZ
United Kingdom
+447786226452 (Phone)

HOME PAGE: http://www.imperial.ac.uk/people/erkko.autio

Tilburg University School of Economics and Management ( email )

P.O. Box 90153
Tilburg, 5000 LE
Netherlands

Saurav Pathak

Michigan Technological University ( email )

Houghton, MI 49931
United States

Karl Wennberg

Linkoping University - Institute for Analytical Sociology (IAS) ( email )

Norrköping, 601 74
Sweden

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