National culture and entrepreneurial orientation in a hostile environment: a study of informal enterprises in Nigeria

Cultural determinants of infection control behaviour: understanding drivers and implementing effective change

PurposeThe purpose of this paper is to investigate the relationship between culture and entrepreneurial orientation (EO) in informal enterprises and the moderating role of their survival intent.Design/methodology/approachThis paper used Hofstede's national culture framework and theory of EO to develop a novel conceptual framework. The data were collected using a survey from a sample of 385 informal enterprises and analyzed using partial least square structural equation modelling.FindingsThe findings of this paper confirmed that power distance, uncertainty avoidance and normative orientation negatively affect EO in contrast with the positive effect of individualism and masculinity. Although power distance and uncertainty avoidance negatively affect an EO, the findings showed that survival intent weakens the negative nexus between these variables and strengthens the positive effect of individualism and masculinity on EO.Research limitations/implicationsAlthough this study examined how survival intent moderates the nexus between national culture and EO across informal enterprises in emerging economies, the data were collected in Nigeria only. This study also examined EO in aggregate and considered only one sector.Practical implicationsThis study recommends that policymakers and practitioners understand the important links between firms' characteristics, culture and EO while designing training programs, policies and procedures. Doing so will support the successful implementation of entrepreneurship programs, address the prevailing entrepreneurial needs and cultural deficits across enterprises and promote the efficient allocation of resources.Originality/valueThis paper extends Hofstede's framework of national culture and EO in the context of informal enterprises in emerging economies by examining the nexus between national culture and EO, moderated by survival intent.

Synopsis The research problem In this study, we examined the effect of an important informal institution, namely, national culture, on audit fees in an international context. Motivation In recent years, extant literature has increasingly focused on country-level differences in the audit environment, as these might have a significant influence on how financial statement audits are conducted across the globe. We contribute to this stream of literature by investigating the impact of national culture on audit fees. The test hypotheses Based on the demand- and supply-side perspectives of audit fees, we hypothesized that national culture dimensions — namely, uncertainty avoidance, power distance, individualism versus collectivism, and masculinity versus femininity — affect audit fees. Target population We used a sample of 27,670 firm-year observations across 22 countries over the 2002–2019 period. Adopted methodology We used ordinary least squares (OLS) regressions as baseline technique and entropy-balanced method (EBM) and system-generalized method of moments (GMM) to address endogeneity concerns. Analyses We examined the impact of Hofstede’s four national culture dimensions — uncertainty avoidance, power distance, individualism versus collectivism, and masculinity versus femininity — on audit fees. We also tested the robustness of results using alternative measures of national culture, subsample analyses, and additional firm-level factors. Findings Consistent with our hypotheses, we find that audit fees are higher (lower) in countries with higher uncertainty avoidance, individualism, and masculinity (power distance) scores. Our further analyses reveal that earnings management proxied by abnormal accruals does not impact the relationship; however, country-level creditor rights influence audit fees in high power distance and masculine cultures. We also note that national culture influences auditor choice and audit opinion. Our main findings are robust to alternate proxies and subsample analysis, as well as to address potential endogeneity concerns. Overall, our findings offer important implications for firms operating in global markets and for the audit profession.

The importance of institutional factors and entrepreneurial orientation is widely recognized in the study of entrepreneurship development, leading to the development of different measurement scales. Using the sample of 45 informal enterprises, we examined the factor structure, reliability, convergent and discriminant validity of the selected constructs adapted to measure these constructs in the context of informal enterprises in Nigeria. We examined 45 items that measure institutional factors (political, cognitive, cultural, and corruption) and entrepreneurship orientation (innovativeness, proactiveness, and risk-taking). An assessment of Cronbach’s alpha and composite reliability shows that the items measuring risk-taking, proactiveness, uncertainty avoidance, and masculinity are internally consistent. However, some of the items measuring other constructs have lower loading, highlighting their lack of internal consistency. The results also evidence convergent and discriminant validity of the measures used. We conclude that most of the items are reliable measurements of the corresponding constructs, and the constructs adapted to measure these constructs correlate positively with the alternative measure of the constructs. Thus, the measures evaluated in this study can be used to assess these constructs across informal enterprises. The paper contributes to validating the measurement scales and indices of institutional theory and theory of entrepreneurial orientation in the context of informal enterprises.Supplementary InformationThe online version contains supplementary material available at 10.1007/s11135-022-01357-1.

Moderation impact of national culture on international firm’s environmental, social, governance and financial performance

Safety in the construction industry has always been a major issue. Wherever reliable records are available, construction is found to be one of the most dangerous on safety and health criteria, particularly in developing countries. Though much improvement in construction safety has been achieved, the industry still continues to lag behind most other industries with regard to safety. In developing countries, safety rules usually do not exist; if any exist, the regulatory authority is usually very weak in implementing such rules effectively. Further, work hazards at the construction workplace are either not perceived at all, or perceived to be less dangerous than what they actually are. The safety climate of any organisation consists of employees' attitudes towards, and perceptions of, health and safety behaviour. Construction workers' attitudes towards safety are influenced by their perceptions of risk, management, safety rules and procedures. Although research into safety climate has continued for more than two decades, there is still no universally accepted theory of safety climate. Nevertheless, positive correlation exists between workers' safe behaviour and safety climate in construction site environments. Workers' attitudes and behaviours discernible in safety climate, could be regarded as the micro-elements of an organisation, which themselves are determined by macro-elements of safety management systems and practices. Thus, it could be argued that management safety systems and practices permeate down through the organisation to the workforce. Classic construction safety management functions (such as recruitment, training, supervision, etc.) are determined by different conceptions of the role and nature of management effectiveness. These conceptions are underpinned by related cultural values. Therefore, national culture can be a key characteristic that may manifest itself in varying approaches to the safe work behavior. Pakistan is a developing country that is currently enjoying a relatively strong growth in construction activities. Unfortunately, Pakistan's construction industry suffers from poor safety and health conditions. The framework of the existing occupational and health conditions is fragmented and inadequately enforced, making construction sites more hazardous. It may even be argued that relevant regulations are outdated and irrelevant in day-to-day construction operations. This thesis is broadly concerned with national culture and its influence on safety climate in the construction industry in Pakistan. More specifically, it investigates the safety perceptions, attitudes, and behaviour of Pakistani construction workers and management safety practices. It presents the empirical results of a number of questionnaire surveys administrated in Pakistan targeting construction workers, and managers with safety management responsibilities. Based upon the survey analysis results, this study demonstrates that the majority of Pakistani construction workers have a good degree of risk awareness and self-rated competence, and a relatively high degree of safety awareness. Further it was found, empirically, that overall workers' intentional behaviour seems to be best explained by workers' attitudes towards their own and managements' safety responsibilities, as well as their perception of the risk they are generally exposed to in their workplace environment. The study also showed that workers are more collective, feminist, believe in less power distance and opt for higher uncertainty avoidance in their attitudes. The analysis of the interrelationship between workers' behaviour and national culture revealed that the more workers working in a collective, feminist, and higher uncertainty avoidance environments, the more they are going to exhibit safer behaviour. The management safety practices survey analysis showed that managers' safety management preferences are being influenced by their cultural trends. Their safety related decisions, whether being developed in head office or on site, are influenced by their high collectivistic, feministic, power distance and uncertainty avoidance attitude. This study thus establishes a statistically significant positive relationship between the factors of workers' perceptions, attitudes and safe work behaviour, and management practices. Finally, this study gauges empirically the influence of cultural dimensions on workers' perceptions, attitudes, and safe work behaviour and managers' safety practices. The analysis showed that managers' operational practices on site have the most statistically significant relationship with workers' attitudes and perceptions. It was also found that the more collectivistic and higher uncertainty avoidance attitude of workers, the stronger their safety attitudes and perceptions will be.

National culture and bank performance: Evidence from the recent financial crisis

Background: Women entrepreneurship is emerging as a significant catalyst for sustainable development and economic growth in urban and rural areas in Indonesia. Empirical evidence suggests that women entrepreneurs having rich social capital and strong entrepreneurial orientation tend to achieve positive business performance.Purpose: This paper investigates the impact of social capital and entrepreneurial orientation on the business performance of women entrepreneurs in Bogor.Design/methodology/approach: A survey was administered to a sample of 136 women-led enterprises in Bogor. The independent variable of social capital was operationalized as trust, norms, and networking, while entrepreneurial orientation was assessed in terms of innovativeness, proactiveness, and risk-taking. Profitability indicating business performance served as the dependent variable. Partial Least Squares-Structural Equation Modeling (PLS-SEM) analysis was performed to test the hypothesized subsequent relationships between the variables.Findings/result: This paper reveals that social capital significantly enhances entrepreneurial orientation (t-stat = 7.192, p < 0.01), and entrepreneurial orientation positively impacts the business performance of women-led enterprises (t-stat = 4.857, p < 0.01). Furthermore, entrepreneurial orientation mediates the relationship between social capital and business performance, as indicated by a significant indirect effect (t-stat = 3.442, p < 0.01).Conclusion: This paper proves the importance of social capital (namely norms, trust, and networking) and entrepreneurial orientation (including risk-taking, proactiveness, and innovativeness) to enhance the profitability of women-led firms. Enhancing social capital can be encouraged through family support, networks, business community engagement, and stakeholder policies in improving entrepreneurial orientation in women, leading to improved business performance and economic growth in Bogor.Originality/value (State of the art): This paper contributes to a better understanding how business performance of women entrepreneurs is influenced by subsequent relationships of social capital and entrepreneurial orientation, including the mediating role of entrepreneurial orientation. Keywords: business performance, entrepreneurial orientation, social capital, small and medium enterprises, women entrepreneurship

Drawing on the Resource-Based View and the Dynamic Capabilities Theory, this study aims to investigate the effect of entrepreneurial orientation on small and medium-sized enterprises (SME) performance. Additionally, it examines the mediating role of market orientation and learning orientation in the relationship between entrepreneurial orientation and SME performance. Finally, the study explores the sequential mediation effect of market orientation and learning orientation between entrepreneurial orientation and SME performance to understand how the joint mobilization of these strategic resources transforms entrepreneurial actions into superior organizational performance. This study adopts a quantitative approach, using convenience-based non-probability sampling to collect data from 113 managers of Moroccan SMEs operating across various sectors. The collected data are analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) to test the proposed hypotheses. The results indicate that entrepreneurial orientation has a positive and significant direct effect on the performance of Moroccan SMEs. Furthermore, market orientation partially mediates the relationship between entrepreneurial orientation and SME performance. However, the mediating effect of learning orientation was found to be non-significant in the link between entrepreneurial orientation and SME performance. Finally, the study found the existence of a sequential mediation effect exerted by market orientation and learning orientation in the relationship between entrepreneurial orientation and SME performance. This study is the first to explore the sequential mediating role exercised jointly and successively by market orientation and learning orientation in the relationship between entrepreneurial orientation and SME performance. Notably, the entrepreneurial orientation of SME in Morocco has not been previously studied, offering a valuable contribution to the literature on emerging economies, which remains underexplored in entrepreneurial orientation research. Lastly, a surprising result emerges compared to previous studies: learning orientation does not play a mediating role between entrepreneurial orientation and performance, thus challenging the universality of this mechanism and opening new avenues for research into contextual factors, particularly in SMEs of developing countries.

Research Question: The paper examines the impact of specific Hofstede’s dimensions of national culture on entrepreneurial culture, depending on the wealth of the national economy. Motivation: Based on the results of some previous research focused on the relationship between national culture and various indicators associated with entrepreneurship (Hayton, George & Zahra, 2002; Pinillos & Reyes, 2011; Zhao, Li & Rauch, 2012; Hayton & Cacciotti, 2013), the paper analyses the impact of national culture on entrepreneurial culture, as a category closely related to entrepreneurship. The identification of the national culture's dimensions contributing to the affirmation of entrepreneurial culture, provides an insight into the entrepreneurial potential of a particular national economy. Idea: The main idea of the paper is to examine whether selected Hofstede’s dimensions of national culture (power distance - PD, uncertainty avoidance – UA, individualism – IDV) affect entrepreneurial culture (EC) in a manner identical to that affecting the other indicators of entrepreneurship. The mentioned relationship is not examined as unmediated, but in the context of the effect that national wealth (measured as Gross National Income per capita - GNI) has on it. Data: The survey covered a total of 108 countries for which the data on the values of three selected dimensions of national culture, the index of entrepreneurial culture and the Gross National Income per capita are available. Tools: In order to examine the effect of three selected Hofstede’s dimensions of national culture on entrepreneurial culture, correlation and standard multiple regression analyses were conducted. For data processing, statistical software SPSS (version 22.0) was used. Findings: The obtained results of the research show that in national economies with higher levels of IDV and lower levels of UA, higher scores of the EC index are manifested, regardless of the national wealth. On the other hand, the impact of PD on EC is determined by the level of a particular economy's wealth. In high-income economies (HIE), the index of EC is higher if PD is lower. In low- and middle-income economies (LIE), higher values of EC index are manifested if PD is higher. Contribution: The paper expands the knowledge and research base on entrepreneurial culture and the influence that national culture has on it.

The paper analyses the impact of national culture on leadership and leadership styles. It has been determined that national culture impacts leadership and leadership styles by defining the meanings that both leaders and their followers ascribe to the reality that surrounds them. The analysis includes the impact that the dimensions of national culture, identified in the Geert Hofstede’s and GLOBE’s researches, have on leadership. The paper analyses the impact that the dimensions of national culture have on two main dimensions used to differentiate leadership styles: authoritarianism–participative orientation and task orientation–people orientation. It has been determined that power distance and individualism– collectivism as well as uncertainty avoidance and assertiveness decisively impact the selection between authoritarian and participative leadership styles. The national culture’s “masculinity”–“femininity” dimension, as well as gender equality, performance orientation, people orientation, and future orientation correlated with it, impact the selection between people orientation and task orientation. In certain contexts, high uncertainty avoidance also impacts this leadership dimension. By intertwining two leadership styles’ dimension, four leadership styles are created, as well as cultural contexts in which each of the styles is favoured, preferred, and thereby more effective. Serbian national culture, with its assumptions and values, implies using of authoritarian people-oriented style.

Purpose This study explores how national culture (NC) shapes the adoption and effectiveness of quality management practices (QMPs) in Egypt’s hotel industry. It further investigates the moderating roles of ethical climate and relational identification, responding to a research gap in hospitality quality management in culturally diverse, non-Western settings. Design/methodology/approach Data were collected via a structured survey administered to 478 non-Egyptian employees in four- and five-star hotels across six major Egyptian destinations. Partial least squares structural equation modelling (PLS-SEM) was used to test hypothesised relationships among national culture, QMPs, ethical climate, relational identification and performance excellence. Findings Five national cultural dimensions, power distance, collectivism, masculinity, uncertainty avoidance and long-term orientation, significantly and positively influenced QMP adoption. Restraint showed no significant impact. Ethical climate moderated the relationship between NC and QMPs, while relational identification moderated the effect of QMPs on performance. QMPs also partially mediated the link between NC and hotel performance excellence. Practical implications For hospitality managers, the findings underscore the importance of aligning quality strategies with local cultural values and organisational dynamics. Emphasising ethical leadership and fostering strong relational bonds between staff and supervisors can improve quality adoption and drive hotel performance. Multinational hotel chains should tailor QMPs to culturally specific expectations to enhance operational effectiveness and guest satisfaction. Originality/value This study provides novel insights into how national culture influences QMP effectiveness in a single-country, developing economy context. By integrating ethical climate and relational identification into the model, the study extends current frameworks on quality and performance in hospitality organisations.

Research Aims: This study aims to analyse the influence of intellectual capital and innovation capability on business performance in the leather MSME sector in Garut Regency, with entrepreneurial orientation as a mediating variable. Design/methodology/approach: The study applied a quantitative approach through survey techniques. A total of 106 MSME respondents were selected using purposive sampling. Data were collected from leather MSME owners and analysed using Partial Least Squares Structural Equation Modelling (PLS-SEM) with SmartPLS 3.0 software. This analysis was employed to examine the relationships among intellectual capital, innovation capacity, entrepreneurial orientation, and business performance. Research Findings: The results indicated that intellectual capital and innovation capability significantly influenced entrepreneurial orientation. Furthermore, intellectual capital and entrepreneurial orientation positively affected business performance, whereas innovation capability did not directly impact business performance. Additionally, entrepreneurial orientation did not mediate the relationship between intellectual capital and business performance, but successfully mediated the relationship between innovation capability and business performance. Theoretical Contribution/Originality: This study contributed to the literature by integrating intellectual capital and innovation capability as key determinants of MSME business performance, particularly in the leather industry. The findings provided empirical evidence supporting the importance of entrepreneurial orientation in enhancing the adaptability and sustainability of MSMEs in dynamic market environments. This study offers originality by focusing on leather MSMEs in Garut Regency an underexplored yet high-potential sector, thereby filling a research gap and offering contextual insights for similar traditional industries in emerging economies. Keywords: Business Performance, Intellectual Capital, Innovation Capability, Entrepreneurial Orientation, Leather MSMEs

Purpose Micro, small and medium enterprises (MSMEs) are crucial for economic growth in developing countries like Indonesia. However, many MSMEs face difficulties when trying to enter international markets, mainly because of limited resources and strategic capabilities. This study aims to investigate the internal mechanisms that affect the export capabilities of MSMEs, focusing on technological, innovation and entrepreneurial orientation. Using the resource-based view (RBV) as a framework, this study examines how entrepreneurial orientation affects the relationship between technological and innovation capabilities and export readiness. Design/methodology/approach This study used a quantitative approach, distributing questionnaires to MSMEs in West Java. Data were collected from 400 respondents using purposive sampling technique, exceeding the minimum sample size calculated using G*Power. The data were then analyzed using partial least squares-structural equation modeling (PLS-SEM) to examine cause-and-effect relationships among the constructs. Findings The results indicate that entrepreneurial orientation has a significant positive effect on export capability. Innovation capability enhances entrepreneurial orientation; however, it does not directly affect export capability. Its influence is entirely mediated by entrepreneurial orientation. Technological capability directly enhances export capability; however, it does not affect entrepreneurial orientation, suggesting its role is primarily operational rather than strategic. The results indicate that entrepreneurial orientation is the primary mechanism for converting innovation into export readiness, whereas technological capability primarily enhances operational efficiency and compliance with export standards. Originality/value This research adds to the existing knowledge in international entrepreneurship by examining how internal capabilities affect the export capabilities of MSMEs in developing countries. It highlights the importance of behavioral factors in how a firm’s capabilities translate into international market participation, thus expanding the RBV within the context of SME internationalization. This study distinguishes between the strategic and operational aspects of export readiness. It provides insights into how capabilities develop and informs policies and management strategies that support MSMEs in international markets.

Background: As Indonesia's economy is increasingly driven by youth entrepreneurship and innovation, it requires examination of cultural factors and government support to foster entrepreneurial spirit among young people.Purpose: This research empirically investigates the relationship between long-term orientation, power distance, and uncertainty avoidance and how these factors influence the entrepreneurial orientation of young individuals in Bandar Lampung, with the perception of government regulations playing a mediating role. Design/methodology/approach: The study used a quantitative research approach, employing Structural Equation Modeling. The sample consisted of 200 respondents, young entrepreneurs from Bandar Lampung, selected through a simple random sampling method. The analysis was conducted using the Structural Equation Modeling (SEM) approach with the Partial Least Squares (PLS-SEM) technique. Findings/Result: The study found that long-term orientation significantly impacts entrepreneurial orientation. Additionally, it found that power distance and uncertainty avoidance are significant factors in shaping entrepreneurial orientation. Testing the mediating effect of the perception of government regulations indicates a significant role in the relationship between the independent variables and entrepreneurial orientation. The findings of this research indicate that the entrepreneurial mindset of the young generation in Indonesia is moderately influenced by a well-organized environment. Conclusion: The findings underscore the importance of a supportive regulatory environment in fostering entrepreneurial mindset among the youth, prompting policymakers to focus on enhancing regulations to incentivize innovation and streamline procedures for young entrepreneurs.Originality/value (State of the art): The originality of this research lies in its exploration of the interplay between cultural dimensions and government regulations on entrepreneurial orientation, which contributes to the understanding of how socio-cultural factors and regulatory perceptions influence entrepreneurial behavior in emerging economies. Keywords: entrepreneurial orientation, long-term orientation, power distance, uncertainty avoidance, perception of government regulations