Two Sides to the Evasion: The Pirate Bay and the Interdependencies of Evasive Entrepreneurship

35 Pages Posted: 11 Jan 2016 Last revised: 13 Aug 2016

See all articles by Niklas Elert

Niklas Elert

Research Institute of Industrial Economics (IFN)

Magnus Henrekson

Research Institute of Industrial Economics (IFN)

Joakim Lundblad

Lund University

Date Written: August 15, 2016

Abstract

Evasive entrepreneurs innovate by circumventing or disrupting existing formal institutional frameworks by evading them. Since such evasions rarely go unnoticed, they usually lead to responses from lawmakers and regulators. We introduce a conceptual model to illustrate and map the interdependence between evasive entrepreneurship and the regulatory response it provokes. We apply this framework to the case of the file sharing platform The Pirate Bay, a venture with a number of clearly innovative and evasive features. The platform was a radical, widely applied innovation that transformed the Internet landscape, yet its founders became convicted criminals because of it. Applying the evasive entrepreneurship framework to this case improves our understanding of the relationship between policymaking and entrepreneurship in the digital age, and is a first step towards exploring best responses for regulators facing evasive entrepreneurship.

Keywords: Entrepreneurship, Innovation, Institutions, Regulation, Self-employment

JEL Classification: L26, L5, M13, O31, P14

Suggested Citation

Elert, Niklas and Henrekson, Magnus and Lundblad, Joakim, Two Sides to the Evasion: The Pirate Bay and the Interdependencies of Evasive Entrepreneurship (August 15, 2016). IFN Working Paper No. 1103. Available at SSRN: https://ssrn.com/abstract=2713351

Niklas Elert (Contact Author)

Research Institute of Industrial Economics (IFN) ( email )

Box 55665
Grevgatan 34, 2nd floor
Stockholm, SE-102 15
Sweden
+46(0)703902751 (Phone)

Magnus Henrekson

Research Institute of Industrial Economics (IFN) ( email )

P.O. Box 55665
Grevgatan 34
Stockholm, SE-10215
Sweden
+46-8-6654502 (Phone)
+46-8-6654599 (Fax)

HOME PAGE: http://www.ifn.se/mh

Joakim Lundblad

Lund University ( email )

Box 117
Lund, S221 00
Sweden

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