Entrepreneurship In Countries Research Articles

Islam, Islamic Banking and Entrepreneurship: Evidence from OIC Member Countries

There is a view that Islam hinders entrepreneurship in Muslim societies in general. Unfortunately, there is little empirical work testing the negative effect of Islam as a religion on entrepreneurship. In an attempt to fill this gap, this study aims to reassess this effect in OIC member countries. Specifically, the aim is to assess whether Islam is an impediment to entrepreneurship in these countries and whether the presence of Islamic banking institutions in these countries strengthens or moderates such a relationship. Using multivariate regression analysis, the results indicate that there is indeed a negative relationship between Islam and entrepreneurship in OIC countries where Islamic banking is absent. But, this relationship does not hold where Islamic banking exists. Indeed, the presence of Islamic banks in countries where Islam is the state religion cancels out any negative effect of Islam and has a positive effect on entrepreneurship in the country concerned. The results of this study thus reopen the debate on whether Islam as a religion discourages competition, innovation, entrepreneurship and economic development compared to other religions.

The Impact of Entrepreneurship on Poverty Reduction

Purpose: The main purpose of this research is to analyze how entrepreneurship and entrepreneurship development incentives can influence the reduction of poverty and help to improve the entrepreneurship environment in world countries. Theoretical Framework: The study of the role of entrepreneurship in reducing poverty has become a major source of interest for scholars and policymakers around the world. A few studies have been conducted by scientists to study the impact of entrepreneurship on poverty reduction. Scholars in fields such as economics and management have tried to explore different approaches in this area and identify the relationships between entrepreneurship and poverty reduction. Design/Methodology/Approach: In this study, we use a deductive approach, in which the hypotheses are tested for application across countries. The quantitative method has been used for this approach. The Panel Fixed Effects model has been employed to assess the impact of entrepreneurship and entrepreneurship development incentives on poverty. Findings: Overall, the results showed that entrepreneurship in countries around the world has a positive and significant impact on poverty reduction. In addition, entrepreneurship development incentives increase the efficiency and capacity of entrepreneurial activities to reduce poverty. Research, Practical & Social implications: This study not only helps to fill the gap in the literature on this topic, but also serves as a model of economic and social development for developed, developing and less developed countries. Originality/value: This is a new study using changes in the HDI to measure poverty reduction, providing a broader and more comparative indicator that answers research questions. This research supports the claim that entrepreneurial activity has impact on poverty eradication and improving human development and people’s quality of life. Also, it demonstrates the strong relationship between entrepreneurship and poverty alleviation.

The early-stage entrepreneurial activity of women in individualistic versus collectivist country groups: Motives, drivers and inhibitors

The purpose of this paper is to investigate whether differences in female entrepreneurial rates are explained by inherited cultural, societal, and technological factors. Women's early-stage entrepreneurial activity in two groups of countries is examined in this study. As part of the analysis, we used data from the Global Entrepreneurship Monitor and employed Logistic Regression, the Synthetic Minority Oversampling Technique, and Firth logistics for rare events. Collectivist countries have higher rates of early-stage entrepreneurial activity among women, but these occur in less technologically advanced sectors. Women’s primary motivation for entrepreneurship in countries with lower disposable personal income is necessity. New technology adoption rates in early-stage entrepreneurial activity are significantly higher in collectivist countries. Young women's entrepreneurial rates are slightly affected by the loneliness phenomenon. study's weaknesses are the overconfidence of interviewees in their ability to self-assess their skills, the low rate of women entrepreneurs, and the omission of essential variables due to missing data. This study tests the adage that individualistic behavior promotes entrepreneurship and examines the impact of societal variables on women's entrepreneurship, contrary to certain assumptions made in the GEM report. The study contributes to the body of knowledge regarding female entrepreneurship.

The Impacts of Covid-19 on Youth Entrepreneurship in South Africa

The COVID-19 pandemic has impacted youth entrepreneurship in countries around the world. Developing countries have been negatively impacted the most due to the challenges confronting low-income countries. The youth in developing countries experience many challenges especially in start-ups and innovative businesses owing to lack of education, skills, funding, infrastructure, and other mechanisms of support.. These challenges therefore pose a significant threat on the youth in these countries in sustaining their new ventures and businesses during and after the crisis. This study focuses on a South African perspective and looks at the impacts of the COVID-19 pandemic on youth entrepreneurship in developing countries in comparison to developed countries. Nothwithstanding these challenges however, there are many opportunities that can be exploited in this crisis through innovative projects. This study was critical due to inadequate research been conducted on the impacts of the pandemic on entrepreneurship and youth entrepreneurship. A library and desk-based research was undertaken due to COVID-19 restrictions and time constraints. An inclusive literature review was done and thereafter findings reflected that the challenges that youth in African countries experience are due to the poor development of youth. Shutdowns of businesses and the protection of the elderly by staying home influenced their businesses. This impacted the youth negatively during the lockdown, but due to their innovative mind-sets, many African youth entrepreneurs utilized the lockdown as an opportunity to repurpose their businesses or embark on new ventures. Recommendations included creation of entrepreneurship hubs, availability of support initiatives, funding opportunities and creation of youth-friendly policies.

Sustainable financing for entrepreneurs: Case study in designing a crowdfunding platform tailored for Qatar

Entrepreneurs and SMEs hold a crucial role in reaching a sustainable future by promoting decent work, innovation-driven development, and thus inequality reduction, which all fall into the UN Sustainable Development Goals. In hydrocarbon-based rentier states, however, large enterprises are drivers of economic growth by controlling the large sums of revenue from extracting, processing, and exporting oil and natural gas. Therefore, entrepreneurship in such countries encounters various obstacles, and thus, their number is very limited to foster sustainable development. Therefore, it is paramount to identify the factors that hinder entrepreneurs' and SMEs' growth. The literature shows that the fundamental barriers to financing entrepreneurship in developing countries are the lack of accessible and affordable funds, mentor support, and female participation. However, the Gulf states, particularly Qatar, are rich countries that should not experience financial deficits for entrepreneurs, and there should be underlying other reasons for discouraging entrepreneurship in those countries. This paper first identifies the fundamental problems in mobilizing domestic capital in Qatar, particularly providing funds to domestic entrepreneurs, through in-depth interviews with all the stakeholders. Second, according to the needs, this study proposes a crowdfunding platform including crowdsourcing, Entrepreneurship Majlis, to facilitate sustainable entrepreneurship by (i) exchanging ideas, (ii) providing mentorship, (iii) raising affordable funds, and (iv) supporting female entrepreneurs and investors. This platform will be easily accessible to everyone and tailored to Qatar's country-specific features, such as demography, culture, and religion. Last, the proposed platform is validated after the second round of in-depth interviews with the stakeholders.

Entrepreneurial ecosystem and start-ups in Sub-Saharan Africa: Empirical evidence based on Global Entrepreneurship Monitor database

Objective: The aim of the study is to examine the nexus between entrepreneurial ecosystem and nascent entrepreneurship in sub-Saharan Africa. Research Design & Methods: The study employed a quantitative methodology and consequently, the variables and data were drawn from the Global Entrepreneurship Monitor (GEM) survey ranging from 2004-2019. The sample observations of the study were eight countries across sub-Saharan Africa. The country-level data were analyzed through the application of least square regression to determine the nexus between the financing environment, government support policy, physical and service infrastructure and entrepreneurial start-ups. Findings: The study findings demonstrate that entrepreneurial financing had positive effect on nascent entrepreneurship; government support policy had positive effect on entrepreneurial start-ups; infrastructure had positive effect on early entrepreneurial activity. Implications & Recommendations: The paper recommends that there should be a renewed commitment on the part of governments to support and initiate intervention programmes to build entrepreneurial ecosystem and promote entrepreneurial activity but such programme design and implementation should look into contextual specifics and consider the COVID-19 related factors. Contribution & Value Added: In this paper, we have offered significant contribution to the existing body of scholarship in small business management and entrepreneurship from the prisms of global health emergency and that building a friendly entrepreneurial ecosystem stimulates prevalence and sustainability of nascent entrepreneurship in countries.

ОСОБЛИВОСТІ ПІДТРИМКИ ТА РОЗВИТКУ НАЦІОНАЛЬНОЇ ЕКОСИСТЕМИ СТАРТАП-ПІДПРИЄМНИЦТВА РУМУНІЇ

The article is devoted to issues of state support and development of the startup ecosystem in the example of Romania. The peculiarities and reasons for its formation, as well as the characteristics of the main startups of the country, main directions of startup entrepreneurship development, PESTEL, and SWOT analysis of the national ecosystem of startups in Romania, are considered. The article analyzes the features of the ecosystem of startups in Romania: the growth of global investment and revival of Romanian investors in local startups, increasing the average size of checks for seed stages of financing, development of venture and innovation infrastructure, and the formation of 5 cities for startups in the global ranking of startup ecosystems StartupBlink. The article reviews the state support for startup entrepreneurship in countries, including the Start, Incubators, and Entrepreneurship Encouragement and Development Programs. Factors of the development of the local ecosystem of Romanian startups have been identified. The ecosystem of startups is attractive to global investors due to the pool of talented technicians and engineers, the availability of high-speed Internet and opportunities for startups to enter the European market, and the availability of effective acceleration programs for startups and digital infrastructure. The strengths and weaknesses of the local ecosystem of Romanian startups have been identified. Insufficient government policy to support startups, in particular in coordinating various programs and tools to boost entrepreneurship; the need to improve the regulatory framework of the country to the needs of digital technology; bureaucratic obstacles to starting and running a startup; the lack of entrepreneurship educa- tion programs in secondary and higher education are attributed to the problematic and weak points in the development of the local ecosystem of startups in Romania. The study allowed us to study the experience of developing the ecosystem of Romanian startups as an example to follow in the Ukrainian environment. Despite the political and economic situation in Ukraine, the is- sue of government assistance in the formation and development of cities for startups will significantly accelerate the process of postwar reconstruction of our country

The Influence of Culture on Entrepreneurship: Differences Between the Perceptions of Portuguese and Spanish Cultures

We verify if national culture influences the perception of opportunities and risk intolerance of entrepreneurs from Portuguese and Spanish speaking countries. Although Portugal and Spain are in the Iberian Peninsula, both developed distinct cultures, transmitted to their respective colonies along with their languages. Using language as a proxy for cultural heritage, we analyze Portugal and Spain and their former colonies using data from 2011 to 2015 provided by the Global Entrepreneurship Monitor (2018). The first model indicates that individuals from Portuguese culture who have previous knowledge and skills have an increased chance of perceiving opportunities when compared to Spanish culture individuals. This same model also shows that individuals of Portuguese culture who have some degree of risk intolerance are also more likely to perceive opportunities. Results from the second model indicate a direct effect of the national culture, suggesting that individuals of Portuguese culture are more prone to be risk intolerant than those of Spanish culture. However, an indirect effect signals that in Portuguese culture countries, previous knowledge and skills have an even greater effect of reducing risk intolerance. These findings may impact the way of managing entrepreneurship in countries possessing these Iberian cultures. In addition, they contribute to the development of public policies more targeted to the entrepreneurial development of a nation and to the transposition of these policies between countries with a common cultural context.

Does globalization affect perceptions about entrepreneurship? The role of economic development

Drawing on the World Economic Forum’s goals of inclusive growth, we analyze whether globalization imbues confidence to engage in entrepreneurship in countries at different stages of economic development. We focus on the association between globalization and three core perceptions about entrepreneurship—the perceived presence of good opportunities to start a business in the local area, perceived skills and abilities to start a business, and fear of failure prevents one from starting a business. Using a combination of individual-level data from the Global Entrepreneurship Monitor (1,752,636 individuals) and country-level data from the KOF Swiss Economic Institute and World Bank (103 countries) from the years 2001 to 2016, we find that globalization negatively impacts the perceived opportunities for entrepreneurship. However, globalization does not meaningfully change perceived entrepreneurial skills or fear of failure. Interaction analyses further show that the economic development of a country moderates the effect of globalization on perceived opportunities. The findings highlight that the role of globalization in improving perceptions towards entrepreneurship is partly conditional on the stage of economic development of a country.

Innovative Entrepreneurship in Countries of Eastern Europe

Purpose: Ensuring stable economic growth globally is impossible without the use of modern technologies in the economic development of the nations. After all, every year innovations penetrate more and more into all spheres of state and the society, which further identifies them as a key factor in international competition. Consequently, the need arises to develop innovative entrepreneurship within the country on the way to ensuring cross-border innovative cooperation. Therefore, the main purpose of this study is to determine the peculiarities of the development of innovative enterprise in Eastern Europe. Design/Methodology/Approach: This research is based on the statistical information provided on the official sites of statistical information, namely, the World Intellectual Property Organization, Organization for Economic Cooperation and Development, The Global Entrepreneurship and Development Institute on the development of innovative entrepreneurship for the countries of Eastern Europe in recent years. Findings: The results show that innovative entrepreneurship has an extremely large and new potential in Eastern Europe, which at the time of the study due to the peculiarities of historical and cultural development, is undiscovered. It creates a large gap in the pace of innovative entrepreneurship in these countries compared to other parts of Europe. Practical Implications: The study raises awareness of the pace of development of the digital economy and innovative entrepreneurship in Eastern Europe, practical mechanisms for the formation of innovative entrepreneurship, as well as further ways to stimulate its development. Originality/Value: The study emphasizes that the existing and new potential for innovative entrepreneurship is one of the driving forces of economic development in Eastern Europe, which will balance the existing disparities compared to other countries in the European region with the right incentives from government agencies and international institutions.

How to empower women’s entrepreneurship? An analysis of women’s sport employment and contextual variables in European Union countries using a fuzzy approach

Although the number of women entrepreneurs has increased in recent years, it is still lower than that of men. In addition, although the sports sector has been characterized by its growth in recent years and contributes to the GDP of the countries by generating employment, the role that this has within female entrepreneurship has never been analysed. Therefore, the objective of this study is to know the combinations of conditions (female employment in sports, government support, financing for entrepreneurs, perception of entrepreneurial opportunities and capacities, glass ceiling index and masculine values in society) that generate high levels of female entrepreneurship in the countries of the European Union, as these values are closer to the male TEA (Total Early-Stage Entrepreneurial Activity). A total of 13 European countries were analysed using the fsQCA methodology. The results show that, for high levels of female TEA, the main combination is high levels of government support*high levels of glass ceiling index*low levels of masculinity*low levels of opportunities perception and high levels of female employment in sport, explaining 45% of the cases. The results present a series of implications for improving female entrepreneurship in the European Union countries.

Historical and Institutional Determinants of Universities’ Role in Fostering Entrepreneurship

Institutions play a key role in building entrepreneurial ecosystems (EEs). However, the academic literature does not well represent the historical roots of these institutions and most works are devoted to developed countries. This article examines the institutional conditions for the development of scientific and entrepreneurial activities at universities in the context of the transition to a market economy. It considers the «path dependence» (mentality and infrastructure inherited from the past), as well as specific mechanisms for regulating the interaction of universities and other subjects of EE developed during the transition period. Such an approach allows us to assess the potential of universities for the development of entrepreneurship in countries with a transition economy and the impact of historical development paths upon the current structural conditions and the specific features of the EE.

Opportunity entrepreneurship, oil rents and control of corruption

Purpose This paper aims to better understand the conditions that can lead to high and low opportunity entrepreneurship in countries with oil rents. Additionally, the study aims to find out the differences between countries with oil rents and countries without oil rents. Design/methodology/approach A configurational analysis based on fuzzy-set qualitative comparative analysis was performed for a sample of 46 countries with oil rents and a sample of 20 countries without oil rents, using Country data from the World Bank World Development Indicators, World Bank Worldwide Governance Indicators, KOF Swiss Economic Institute, and Global Entrepreneurship Monitor. Findings The results show that control of corruption is important to achieve high levels of opportunity entrepreneurship in countries with oil rents and countries without oil rents alike. It is highlighted that the abundance of oil resources in a given country is not a curse, if some conditions are met. Multiple configurations that lead to high levels of opportunity entrepreneurship in countries with oil rents are presented. The study shows that none of the antecedent conditions is necessary per se, it is the combination of conditions that leads to the outcome of interest. The study indicates that either high control of corruption or low taxes should occur, no matter the combination of conditions, to achieve high levels of opportunity entrepreneurship. Research limitations/implications The relation between control of corruption and entrepreneurship is complex and, in spite of the insights that were gathered herein, much is still to be explored. The coverage rate of the solutions shows that there are countries with high levels of opportunity entrepreneurship that do not fit in any of the obtained configurations. The sample size is also a limitation. Furthermore, to compute the set membership thresholds, the anchors were based on the percentiles, given the lack of theoretical basis to do so. Thus, other methods should also be used in the future, if possible with a larger data sample. Practical implications The obtained results have implications for policy makers, authorities and potential entrepreneurs. In countries that are oil producers, policy makers aiming to promote opportunity entrepreneurship should take into account that it is the combination of conditions that is important, and not each condition by itself. They should consider that several solutions are possible. Authorities aiming to promote anti-corruption reforms, can leverage the findings of this study to demand for more resources to institute practices and structures to better control corruption, and should articulate among themselves the actions to carry on to improve the level of opportunity entrepreneurship in their country. Potential entrepreneurs can use the findings of this study to ask for anticorruption reforms and tax reforms, and they should use their entrepreneurial talent to try to speed up the change. Originality/value By overlapping streams of research in entrepreneurship, institutions and oil curse, this study makes several contributions to the entrepreneurship literature. Different from extant literature, the study uses a configurational approach and identifies the combinations of conditions that lead to high and low opportunity entrepreneurship in countries with oil rents. The non-linearity of the configurations is highlighted. Furthermore, for the first time, the study includes a panel without oil rents in the analysis, which enabled a comparison with the other set of countries and provides new insights about the importance of control of corruption to achieve high levels of opportunity entrepreneurship.

Institutional Schisms: The Impact of Intergovernmental Organizations on Entrepreneurship

In times of anti-globalization movements, we study how intergovernmental organizations (IGOs), as the epitome of globalization believes, impact entrepreneurship in countries with different development levels. More specifically, we introduce the novel concept of institutional schisms, as the misalignment of national institutions and supranational institutions, to the concept of formal and informal entrepreneurship in least developed, emerging, and highly developed countries. We argue that least developed countries experience minimal institutional schisms, since their existing institutions are nascent and can be influenced heavily by IGOs promoting pro-market reforms. Highly developed countries, too, experience less severe institutional schisms, since these countries often have the most influence over the creation in the supranational institutions. However, emerging markets, which have semi-formed institutions, yet do not influence the supranational institutions, experience the most severe institutional schisms. Through an examination of 272 country-year panel observations across 68 countries from 2000 to 2011, we find that the influence of IGOs on entrepreneurial activities differs among countries with different levels of development. We find that IGOs promote formal entrepreneurship while hindering informal entrepreneurship in least developed countries, given the limited institutional schism experienced in these countries. These mechanisms do not hold in emerging countries with high institutional schisms where we find the reduction of formal entrepreneurship, as a result of competing national and supranational institutions. Surprisingly, the type of IGO (e.g. social, political, or economic) has no bearing on the results. Our analysis is based on a novel combination of regime theory and institutional theory, applied to entrepreneurship literature.

Country-level determinants and consequences of overconfidence in the ambitious entrepreneurship segment

Countries vary widely and systematically in the extent to which the ambitions of their entrepreneurs differ from their realisations. We label this discrepancy entrepreneurial overconfidence (EOC). Although a certain level of EOC may be beneficial for an economy, we provide empirical support for the argument that if entrepreneurial ambitions substantially and systematically exceed realisations, this may be at the cost of economic and societal prosperity. Therefore, we need to know more about country levels of EOC and their determinants, particularly with respect to the growth-oriented segment of entrepreneurship. Combining data on entrepreneurial ambitions from Global Entrepreneurship Monitor and data on realisations from Eurostat, we construct a measure of EOC at the country level and correlate its variation across 23 European Union (EU) countries over the period 2004–2015 with a set of economic and cultural factors. Among other findings, our results show that ambitions exceed realisations in almost all countries, but that this discrepancy is significantly greater for new member countries entering the EU since 2004. Policy implications of our results are discussed, particularly for promoting ambitious entrepreneurship in countries at the intermediate development stage.

GLOBAL EXPERIENCE OF SOCIAL ENTREPRENEURSHIP DEVELOPMENT

The purpose of the article – to reveal features of the implementation of social entrepreneurship in the world. Methodology. The theoretical and methodological framework of scientific developments consists of the research of scientists of modern times who work on the solution to development issues of social entrepreneurship in countries of the world, research data of consulting institutes, own research results. In order to provide validity of research results, the following methods are used: generalization – in the critical analysis of the content of works of scientists on solving the problems of the development of social entrepreneurship; information-logical analysis – when studying data of international consulting institutes and associations; comparison – when comparing directions of the state support for the development of social entrepreneurship in different countries of the world; cause and effect relationship – for obtaining final conclusions. Results. This article reveals optimal conditions for developing social entrepreneurship in countries of the world. A portrait of a successful entrepreneur of the world is formed. The state of social entrepreneurship and the directions of its development in advanced countries of Europe, America, and Asia are analysed. Possibilities of adaptation of the global experience in the social entrepreneurship development for Ukraine are determined. Practical importance. Results of this research can be useful for the Ministry of Social Policy of Ukraine, the Ministry of Economic Development and Trade of Ukraine. Value/originality – there are clarified conditions and strategic measures on the development of social entrepreneurship in Ukraine. Further research should be aimed at the improvement of stimulating mechanisms for the social entrepreneurship development as a global tool for solving problems of the socio-economic development of countries of the world.

The use of mobile phones to support women’s entrepreneurship in the Arab countries

Purpose This paper aims to investigate how mobile phones can be used to support women’s entrepreneurship in Arab countries. The objective is to explore new ways to close the gender gaps in terms of entrepreneurship in these countries. Design/methodology/approach The methodology used in this research is an in-depth analysis of the existing literature and recent reports on women’s entrepreneurship and on the adoption and use of mobile phones in Arab countries. Findings The findings of this research indicate that female Arab entrepreneurs are interested in using mobile phones. However, they have not yet realised the full potential of mobile technology in empowering them beyond its basic use. Several challenges facing women entrepreneurship in the Arab countries were identified. Mobile phones can be used to overcome these challenges. Research limitations/implications This research is based on the collection and analysis of secondary data rather than primary data to support the findings. Practical implications There is a need for collaboration between telecommunication companies operating in the Arab region and government initiatives to build a solid environment in which female Arab entrepreneurs can operate. Originality/value This research provides new insights and recommendations for reducing the gender gaps in terms of entrepreneurship by using new and improved techniques to address women’s needs for economic independence. This will also increase the profit gained by the telecommunication companies operating in Arab countries and bring additional income to this region.

Does corruption matter for international entrepreneurship?

This study asks how key regulations influence nascent international entrepreneurship in countries with varying levels of corruption. Using regulatory capture theory and institutional theory, we hypothesize and test the effects of tax, export regulations, and corruption, on international entrepreneurship. We consider direct effects of these regulations as well as a possible moderating effect of corruption on nascent international entrepreneurship. Our findings indicate that the effect of regulations on international nascent entrepreneurship vary depending on types of regulation. Interestingly, we find that corruption plays a dual role, serving as both grease and sand for nascent international entrepreneurship. Corruption worsens the burden of regulations which have financial costs element. Another interesting finding is that corporate tax is not a significant deterrent factor for IE when corruption is low.

Green entrepreneurship in transition economies: a case study of Bosnia and Herzegovina

Abstract The countries with transition economies are under pressure to increase entrepreneurial activities that will enable fast growth with minimum impact on natural resources. Despite specific challenges the economies in transition face, development of (sustainable) entrepreneurship has not been in focus of the academic research. This leaves some open questions such as those concerning the role and mode of operation of public policies, level of risk and its influence on entrepreneurship creativity, role of knowledge in diffusing entrepreneurial values and fostering aspirations, externalities created for the society and the connection between sustainability and entrepreneurship. This paper aims to introduce a discussion on sustainable entrepreneurship in countries with economies in transition. The research carried out included (i) review of literature and statistical data on entrepreneurial environment, (ii) structured interviews with representatives of government, civil society, business sector and academia to understand the society's perception of green entrepreneurship and (iii) analysis of case studies on green entrepreneurs. It can be concluded that entrepreneurs in economies in transition do not seem to be ready to respond to the challenges or to take any risks by investing in green business, but also that the government and educational institutions do not recognize their own role and fail to support the development of green entrepreneurship. For those “green oriented” businesses, the key sociological constructs are personal motivation and mission, locality, and a forward-thinking orientation in terms of sustainability. All businesses managed to achieve the economic, environmental and social value creation without any support from the government.

HETEROGENEITY IN THE EFFECT OF REGULATION ON ENTREPRENEURSHIP AND ENTRY SIZE

We use cross-national harmonized micro data from a broad sample of developed and developing countries and investigate the heterogeneity of the effect of entry, contract enforcement regulation, and financial development on both the decision to become an entrepreneur and the level of employment of newly created businesses. We focus on the interaction between the level of regulation and financial development and some individual characteristics that are important determinants of entrepreneurship, such as gender, business skills, and social networks. We find that entry regulation moderates the effect of business skills, while accentuating the effect of gender, even after accounting for the level of financial development. Specifically, women are more likely to enter into entrepreneurship in countries with higher levels of entry regulation, but mainly because they cannot find better work. This effect is also more pronounced in countries that are less financially developed. Furthermore, individuals who report having business skills are less likely to enter entrepreneurship in countries with higher entry regulation. Finally, we also find that individuals who know other entrepreneurs are less likely to start large businesses in countries with higher levels of entry and contract enforcement regulation. (JEL: K23, L26, L51)