Global Entrepreneurship Monitor Research Articles

Women's property rights equality and entrepreneurial activity

AbstractEntrepreneurship is shaped by institutions. However, past research has largely assumed that everyone has equal property rights even though women often operate under a different property rights structure and have fewer legal rights than men. We fill a gap in the literature by examining how the property rights of women impacts female entrepreneurship in a panel countries using data on property rights from the Economic Freedom of the World dataset and data on entrepreneurship from the Global Entrepreneurship Monitor. We find that better protection of property rights for women is associated with more the female entrepreneurship relative to male entrepreneurship.

Gender Gap in Entrepreneurial Potential in Finland and Reflecting Its Underlying Causes

The gender gap in entrepreneurship is a widely recognized phenomenon meaning that women are less likely to start a business than men. However, increased gender equality is believed to remove barriers to female entrepreneurship. We used secondary data collected for Global Entrepreneurship Monitor from 2003, 2009, 2015, and 2021 to get closer to this phenomenon in Finland, one of the most equal countries in the world. The aim of the study was to clarify the gender gap in entrepreneurship potential in Finland during recent decades, taking into account different age groups. We found that the gender gap exists in business start-up intentions and has not narrowed in the twenty-first century in any age group. A clear gender gap was also found in fear of failure in starting a business and perceived skills in entrepreneurship. Finally, the underlying causes of the gender gap in the Finnish context are discussed.

How psychological perceptions and family dynamics shape necessity- and opportunity-based female entrepreneurship: the role of gender equality

Purpose This paper aims to explore how psychological perceptions and family situations drive women into necessity- or opportunity-based female entrepreneurship (NBFE or OBFE) and the moderating role of gender equality. Design/methodology/approach This study adopts multilevel logistic regression analysis to examine relationships based on a sample of 6,843 women across eight developing countries drawn from the Global Entrepreneurship Monitor (GEM). Findings The findings suggest that capability and opportunity perceptions positively affect NBFE and OBFE. Family responsibility burden positively affects NBFE and has a U-shaped relationship with OBFE. Household income negatively affects NBFE but positively affects OBFE. Gender equality weakens the U-shaped relationship between family responsibility burden and OBFE but strengthens the positive relationship between capability perception and NBFE and between opportunity perception and NBFE. Research limitations/implications The study highlights the need for targeted policies and support that consider the distinct antecedents and mechanisms of NBFE and OBFE, as well as the importance of promoting gender equality and entrepreneurial education to empower women in their entrepreneurial endeavors. A limitation of this study is the reliance on older data from the GEM, which may not fully capture the current dynamics of developing societies. While the study provides valuable insights, future research should incorporate more recent data to enhance the applicability of the results. Originality/value This study deepens the understanding of antecedents of NBFE and OBFE, breaking through the existing literature that neglects the heterogeneity of female entrepreneurship (FE).

Ease of Doing Business and Entrepreneurial Growth in the Face of Global Economic Policy Uncertainty

This study investigates the impact of ease of doing business on entrepreneurial growth in Nigeria from 2010 to 2023, particularly in the context of global economic policy uncertainty. Using data from the Global Entrepreneurship Monitor and the World Development Indicator, the study applies an Autoregressive Distributed Lag (ARDL) model to analyze the relationship between ease of doing business factors, such as access to credit, contract enforcement, and regulation, and entrepreneurial activity. The findings show that while improvements in the business environment significantly foster entrepreneurship, economic uncertainty hampers its growth. The study recommends that Nigeria should enhance its business environment and create safety nets to mitigate the adverse effects of global economic uncertainties. These insights are valuable for policymakers aiming to promote entrepreneurship and economic resilience in developing countries.

Unraveling gender differences in entrepreneurial exits: The role of human capital and family situation during an unprecedented crisis

This study applies a gender role perspective to delve into disparities in entrepreneurial exit decisions during unprecedented crises such as the COVID-19 pandemic. The paper examines how human capital and family dynamics—encompassing family income and size—interact with evolving social roles and responsibilities. Using multinomial estimation techniques and Global Entrepreneurship Monitor survey data from Chile, our findings reveal that women entrepreneurs display a higher likelihood of business exits compared to their male counterparts. Further analysis with moderating variables shows that the gender coefficient is not significant and unveils a non-linear pattern tied to educational backgrounds. Specifically, women with elementary education are prone to discontinuing businesses due to the COVID-19 crisis, with a similar—though weaker—tendency observed among women with tertiary education. Women with medium education levels do not significantly differ from men in terms of business closures due to COVID-19. Additionally, family size disproportionately affects women, amplifying the likelihood of business exits during the COVID-19 crisis compared to men. The paper offers actionable insights for researchers and policymakers, emphasizing the pressing need to augment women's entrepreneurial resilience in the face of unforeseen crises.

Institutional (ante)narratives of anticipatory entrepreneurial resilience: COVID‐19 and the global entrepreneurship monitor

AbstractThe COVID‐19 crisis severely impacted entrepreneurs worldwide, so that policy dispatches like the Global Entrepreneurship Monitor's (GEM) September 2020 special report, Diagnosing COVID‐19 Impacts on Entrepreneurship: Exploring Policy Remedies for Recovery, were crucial for governments devising economic policies. Our paper examines how the GEM used institutional storytelling to craft anticipatory resilience, by drawing on the Communication Theory of Resilience and (ante)narrative approaches to anticipatory resilience. Findings demonstrated intersections of the GEM's role of resilience storyteller, as well as how resilience action by entrepreneurs and policymakers was narrated by the GEM. We uncover key tensions within the GEM's positioning as diagnostician and fortuneteller, between the resilient processes of normalizing and pivoting for everyday entrepreneurs, and in the institutionalizing work of policymakers through reacting and prospecting. We end by discussing key implications of our narrative approach to how institutions craft anticipatory resilience in response to global crises.

대학창업환경이 기업가정신에 미치는 영향 : 창업기회발견의 매개효과를 중심으로

Based on the Global Entrepreneurship Monitor(GEM) model, this study studied the effect of the Entrepreneurial-environment (Entrepreneurial-education, Entrepreneurial-support-policy) on the Entrepreneurship of students in the metropolitan area, targeting students who are cultivating Entrepreneurship by creating a Entrepreneurial-environment. Unlike previous domestic studies that focused on the effect of Entrepreneurship on Entrepreneurial-intentions and Business-performance, this study aimed to explain the relationship of antecedent variables affecting Entrepreneurship. The Entrepreneurial-environment within the university was diversified into Entrepreneurial-education and Entrepreneurial-support-policies, which were set as independent variables. Entrepreneurial-opportunity discovery was set as a mediating variable, and Entrepreneurship was set as a dependent variable. This study derived its results through hierarchical regression analysis based on 164 questionnaires collected from three universities in the metropolitan area. Looking at the analysis results, first, it was found that Entrepreneurial-education has an effect on Entrepreneurship. Second, it was found that the Entrepreneurial-support-policy has an effect on Entrepreneurship. Third, it was found that Entrepreneurial-education has an effect on Entrepreneurship through the discovery of Entrepreneurial-opportunities. It was found that the Entrepreneurial-support-policy did not affect Entrepreneurship through the discovery of Entrepreneurial-opportunities. This study is meaningful in approaching the Entrepreneurial-environment as a multidimensional concept, presenting it as a Entrepreneurial-education and Entrepreneurial-support-policy, and empirically confirming the effective factors that affect the Entrepreneurship of college students. In addition, rather than creating a Entrepreneurial-environment that is biased toward Entrepreneurial-education or biased only toward Entrepreneurial-support-policies, it suggests that various Entrepreneurial-environment such as the opportunity-capturing Entrepreneurship-model suggested by GEM should be properly created.

Fear to fail and entrepreneurship intent: examining linkages and potential pathways in Senegal

AbstractThis study aims to investigate the effect of fear of failure on entrepreneurship intent. It utilises survey data from the Global Entrepreneurship Monitor (2015) conducted in Senegal. Analysing a sample of 2364 individuals, the probit model was employed, revealing three key findings. Firstly, fear of failure significantly diminishes entrepreneurship intent. Secondly, individuals who are partially employed demonstrate a heightened inclination towards entrepreneurship. Thirdly, fear of failure consistently impacts entrepreneurship intent regardless of gender. A key policy implication of this research is the necessity to address discrimination in policies designed to support individuals with greater entrepreneurial aspirations.

Association Between Entrepreneurship Ecosystem and Entrepreneurial Behavior & Attitudes

Entrepreneurship ecosystem and entrepreneurial behaviour & attitudes are significantly associated with several variables associated with social development, economic development, science & technological development, intellectual property right regime, geographical location, government policies, demographical profile, and cultural aspects of the people. This study creates entrepreneurship ecosystem development index (EEDI) and entrepreneurial behaviour & attitude index (EBAI) to explain the relative performance of entrepreneurship ecosystem and entrepreneurial behaviour & attitudes, respectively. Different indicators associated with entrepreneurship ecosystem and entrepreneurial behaviour & attitudes, respectively used to create EEDI and EBAI. These indicators are recognized as a key element of entrepreneurship ecosystem and entrepreneurial behaviour & attitudes by global entrepreneurship monitor (GEM). Subsequently, it examined the association of estimated EEDI and EBAI by including some relevant indicators as control variables in proposed empirical models.

Fantasy of success, fear of failure and entrepreneurial choice: the moderating role of business vibrancy and failure experience

PurposeThis study investigates the impact of internal expectations, such as fantasy of success and fear of failure and external factors, such as social environment and past experiences, on entrepreneurial choice.Design/methodology/approachBased on achievement motivation and social cognitive theories, the authors construct hypotheses and use secondary data from the Global Entrepreneurship Monitor (GEM) database and Economic Freedom Index report to empirically test the hypotheses. The authors also use propensity score matching to solve the endogeneity issue and test the robustness.FindingsInternal expectations (fantasy of success and fear of failure) on business outcomes inversely affect entrepreneurial choices, with a vibrant business environment amplifying and past failure experience mitigating these effects.Originality/valueDue to the economic recession, governments encourage small businesses. Thus, the complexity of individual entrepreneurial motivations and influencing factors necessitate deeper exploration. This study is one of the first research offering insights into entrepreneurial motivations from combined dimensions and providing theoretical support for strategies promoting public entrepreneurship.

Determinants of entrepreneurial intention towards digital adoption during crisis

In the time of fast technology growth, digitalization is transforming the landscape of many businesses. However, the antecedents of digital adoption within small and medium-sized enterprises in crisis are yet not fully understood. This study’s objective is to pinpoint factors that influence entrepreneurs’ intentions to utilize digital technologies in times of COVID-19 crisis in the Russian Federation. The study is based on the theory of planned behaviour. The analytical procedures performed on the data involved logistic regression modelling. This research draws on the Russian part of the 2021 Global Entrepreneurship Monitor Database (GEM) Adult Population Survey which measures the level and nature of entrepreneurial activity in different countries. Perceived behavioural control was revealed to be a key determinant of the intention towards digital technologies’ adoption – entrepreneur’s perception of opportunities and self-efficacy positively affects their intention to adopt digital technologies during a crisis. Notably, previous experience with digital technologies had a negative impact during the crisis. Further, an individual’s age inversely affects their tendency to pursue digital entrepreneurial initiatives. The research extends the theory of planned behaviour to volatile contexts and signals how entrepreneurs can adapt to upheavals during crises through digitalization, thus advancing understanding of entrepreneurial behaviour under extremities.

The nexus between entrepreneurship and property rights: role of legal origin in entrepreneurship and property rights

ABSTRACT Understanding the institutional context in each country that influences entrepreneurship is essential. This study examines a functional form of property rights in entrepreneurship by legal origin. Our study uses data published by the Global Entrepreneurship Monitor. We explored the correlation between entrepreneurship and property rights using macro data for 51 countries from 2001 to 2020, categorizing the countries into four types of legal origin. The results showed that the form of function between entrepreneurship and property rights differs according to the legal origin. The association between entrepreneurship and property rights showed an upward trend in English and German legal-origin countries but a gradual quadratic bell curve trend in French legal-origin countries. The association between property rights and entrepreneurship was irrelevant in countries with inherited Scandinavian legal origins. The observation of countries by legal origin revealed that expanding property rights does not necessarily promote entrepreneurship. Therefore, the study recommends that the level of property rights that can be adjusted to one’s institution be determined according to the variety of capitalism.

On the circular entrepreneurship across continents: An analysis of terms of business descriptors

AbstractThis study analyzes circular entrepreneurship trends across global regions using the 2014–2018 Global Entrepreneurship Monitor dataset. Content analysis of business descriptors from 79,663 unique entrepreneurs was used to position each startup within the 9R's framework. The results show that startups are mainly associated with “repurpose” and “recover”, which are less desirable for circularity. We further define circular entrepreneurs as those with the top 10% highest weighted score in circular strategies according to the type of business they run. The BERTopic approach is applied to identify specific business topics for these entrepreneurs. Similarities (North America and Latin America & the Caribbean) and differences (Europe) in popular topics are found across regions. Lastly, regression analysis reveals that entrepreneurial perception and the presence of role models are key factors driving circular entrepreneurship.

RE-THINKING THE ROLE OF ENTREPRENEURSHIP EDUCATION IN SOUTH AFRICAN HIGHER EDUCATION FOR SUSTAINABLE DEVELOPMENT

Purpose: The paper examined the role of entrepreneurship Education in South African higher education for sustainable development. The economy of South Africa and many other developing countries continue to rely heavily on entrepreneurship. Theoretical reference: Developing new company ventures has emerged as a critical economic engine that significantly impacts job creation, economic growth, and overall wealth. It also somewhat raises the country's level of competitiveness in the international business sector. Despite efforts to increase the number of entrepreneurial activities, South Africa continues to face a wide range of obstacles. According to research from the Global Entrepreneurship Monitor (GEM), the most significant issue still confronting the country is a general lack of education and skills. Method: The study is a systematic review with original contributions. The systematic review adopted secondary sources for data collection through advanced research of baseline literature available on different databases. The search engines Scopus and Google Scholar were used to find relevant literature related to the topic under study. Results and Conclusion: The study indicated that the idea that universities should be educating students for a "lifelong career" is no longer viable. High-quality education is essential for a successful business, and the education revolution has arrived. Implications of research: To achieve sustained development, young people in entrepreneurship must generate or take opportunities and pursue them with zeal. Beginning in the educational process, students should be trained to recognize market possibilities and associated risks. Originality/value: In recent decades, there has been a great deal of interest in incorporating entrepreneurship into education. This has been linked to a variety of outcomes, including economic growth, job creation, and increased societal resilience, as well as individual growth, increased school participation, and improved equality.

Una mirada a los determinantes próximos del emprendimiento con vocación exportadora desde un enfoque global

One of the major concerns in the study of entrepreneurship is how to promote its orientation towards international markets and, consequently, diversify the exportable offer of a nation. The present research aimed to investigate the proximate determinants associated with export-oriented entrepreneurship at a global level between 2010 and 2022. Entrepreneurship with export-oriented aspirations was defined as those that have at least 25% of their clients abroad. Based on this, an asymmetric logistic model for rare samples was implemented using information from the APS survey in an unbalanced panel for 112 economies that participated in the Global Entrepreneurship Monitor between 2010 and 2022. Among the main findings, it was found that the own characteristics of the entrepreneurs related to their previous experience in entrepreneurship, low aversion to risk, and self-confidence, as well as a positive assessment of the macro environment, showed a significant and positive association with global export-oriented entrepreneurship for the analyzed period.

The mixed embeddedness of female entrepreneurship across countries: A configurational approach

The study of female entrepreneurship (FE) unfolds as an intricate puzzle woven by a myriad of contextual factors that shape necessity (NBFE) and opportunity-based (OBFE) female entrepreneurship. Motivated by the urgency to decipher this complexity, this research delves into the nuanced dimensions of FE across countries. Utilizing a mixed embeddedness perspective, we aim to gain a comprehensive understanding of the family, market, and institutional contexts that exert influence on FE. Leveraging data from the Global Entrepreneurship Monitor the Gender, Institutions, and Development Database, and the World Development Indicators Database, we employ fuzzy set qualitative comparative analysis to examine the configurational impact of multiple embeddedness on NBFE and OBFE across 50 countries. The results spotlight divergent configurations for enabling and constraining NBFE and OBFE, contributing to the FE literature by emphasizing the need to move beyond a one-size-fits-all approach in policy formulation. Our findings advocate for adopting targeted measures tailored to the unique challenges and opportunities faced by different groups of female entrepreneurs.

Gender and business creation: similarities and differences

PurposeThis paper explores the scope and impact of gender in the process of starting new businesses, with a particular focus on understanding how participation, motivations and outcomes differ between men and women entrepreneurs.Design/methodology/approachThis paper utilizes data from the Global Entrepreneurship Monitor (GEM) and the Panel Studies of Entrepreneurial Dynamics (PSED). The GEM data provide a global overview, drawing from representative national samples across over 100 countries to assess the extent of business creation activity and gender participation globally. The longitudinal PSED data set provides information on the business creation process and outcomes.FindingsOver the last 20 years, the presence of women in the early stages of starting a business in the United States of America has seen a notable increase, doubling their representation among entrepreneurs and nearing parity with men, who also saw growth but at a slower rate. This shift marks a significant move towards greater gender balance in the entrepreneurial landscape.Originality/valueThe originality of this paper lies in its comprehensive analysis of the evolving landscape of gender dynamics within entrepreneurship over two decades, particularly highlighting the significant increase in women's participation in business creation.

A multi-level analysis of the relationship between formal institutions and ambitious entrepreneurship: The moderating role of economic development

Prior research predominantly focuses on institutional drivers of different levels of entrepreneurship across countries instead of specific types of entrepreneurship that can create considerable economic impact. In contrast, we investigate which formal institutions (i.e., government integrity, regulatory efficiency, and trade freedom) affect ambitious entrepreneurship (AE). Ambitious entrepreneurs are both opportunity-driven and innovative. Moreover, we introduce economic development as a boundary condition of these relationships. Using a multi-level research design and analyzing data from the Global Entrepreneurship Monitor (GEM) with 2,121,002 individuals from 101 countries, we find that regulatory efficiency and trade freedom positively affect AE. Surprisingly, government integrity negatively impacts AE, but higher economic development mitigates this negative relationship. Our study informs the discussion on the nexus between comparative international entrepreneurship, institutions, and economic development.

Impact of the SECI Entrepreneurial Development Model on Entrepreneurial Activities: Unleashing Entrepreneurial Knowledge Creation Potential

This study uses a novel idea of the entrepreneurial development process using the SECI framework that addresses how implicit and explicit entrepreneurial knowledge is transformed into new startups. There are four distinct modes: socialization, externalization, combination, and internalization. This study analyzes the influence of the SECI entrepreneurial development model on entrepreneurial activities across the globe, utilizing the data set from the Global Entrepreneurship Monitor (GEM). The GEM data set is an extensive and dependable resource that provides information on all facets of entrepreneurial development, including entrepreneurial activity, attitudes, intentions, and contextual factors, including government policies and social environment. The study utilizes panel data and examines the underlying hypotheses. The findings reveal the underlying process of entrepreneurial endeavors through the SECI framework. This study enhances the existing body of knowledge on knowledge management and entrepreneurship by presenting empirical evidence that supports the validity and practicality of the SECI framework in various settings. The study has practical implications for policymakers, scholars, and practitioners aiming to cultivate a culture of innovation and entrepreneurship.

Female entrepreneurship in the start-up ecosystem of Saudi Arabia

PurposeTo date, few studies have incorporated female entrepreneurship into the context of a country that relies heavily on natural resources and still has a wide gender gap due to historically established cultural norms. This study aims to investigate the impact of entrepreneurial ecosystem factors on women’s ability and desire to become entrepreneurs in Saudi Arabia.Design/methodology/approachThe study applied a quantitative method using secondary data from the Adult Population Survey conducted by Global Entrepreneurship Monitor and built upon the recently proposed “Entrepreneurial Ecosystem Approach,” which has three levels: institutional, organisational and individual.FindingsThe findings demonstrate the significant roles that different entrepreneurial ecosystem dimensions can play in determining female entrepreneurial activity. Relationships were found among the variables of the three dimensions, indicating that broader institutional conditions can impact women becoming entrepreneurs.Research limitations/implicationsA multi-year analysis could not be performed because the country data from one year limited the research to conditions in that time frame.Originality/valueThe findings advance entrepreneurial research by empirically examining the influencers' factors on women becoming entrepreneurs in a fast-growing emerging economy, collectivist society and non-European and non-North American institutional environment. The research tested a framework that gives more insight into the diverse factors affecting women in entrepreneurship at different levels.