Abstract
This paper investigates how state fragility and trust affect export-oriented entrepreneurial activity. Drawing on the institutional logics perspective, we first argue that a non-favorable home-country institutional configuration in the form of state fragility will negatively influence the internationalization decisions of entrepreneurs. We subsequently suggest that the presence of role models and generalized trust, will positively moderate such negative relationship. We test our hypotheses on a multisource dataset that combines individual- and country-level observations. Our multilevel analysis covers 43 countries for the period 2005-2016. The results support the hypothesized direct and moderating effects. Implications from the findings are discussed.
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