In September 2006, the OECD launched a major initiative dedicated to establishing internationally comparable statistics on entrepreneurship and its determinants (OECD 2006).
This highlights the importance of several aspects.
1. The impact of entrepreneurial activity in societies is manifold and critical to the economical success of nations.
2. The role of entrepreneurship is becoming increasingly significant with regard to the development of international businesses in a global market environment.
3. From a scientific point of view, entrepreneurship is gaining evermore attention from scholars of various disciplines.
As A review of literature suggests, various socio-cultural elements determine entrepreneurial activity across countries.
Yet, in spite of its economic and social significance, domestic venture creation rates - in international comparison - vary significantly.
Relying on the definition of entrepreneurship as the “creation of new enterprise” (Low & MacMillan 1988, p.141) this thesis assesses the various linkages between national culture and domestic entrepreneurial activity.
At first, a recap of historical entrepreneurship theory leads to the identification of some fundamental aspects.
At the same time, it is found that individual-level factors play a central role.
These personal factors are then examined further, relying on entrepreneurial psychology theory and deriving a set of cross-nationally valid socio-cultural antecedents to entrepreneurial activity.
Incorporating an anthropological perspective, a subsequent analysis of recent empirical findings examines the impact of differences in national cultural values on domestic entrepreneurial activity.
Accordingly, domestic entrepreneurial activity may be influenced by national culture through direct as well as moderating effects, represented by the impact by differences in national cultural values on entrepreneurial orientation as well as on entrepreneurial cognition (Mueller & Thomas 2000; Thomas & Mueller 2000;
Mitchell et al. 2000, 2002).
Eventually, findings are integrated to a common theoretical framework that draws a holistic picture of the various associations between national culture and domestic entrepreneurial activity.
The generated model allows some valuable implications for academia to further research the complex interaction between national culture and the various phenomena of entrepreneurial activity.
Table of Contents
1. Introduction
1.1 The Social and Economic Impact of Entrepreneurial Activity - an International Comparison
1.2 Laying the Focus on International Comparative Entrepreneurship Research
1.3 Research objectives: Linking National Culture to Domestic Entrepreneurial Activity
1.4 Content and Structure of the Work
2. Entrepreneurship Theory on the Socio-Cultural Antecedents to Entrepreneurial Activity
2.1 Defining Entrepreneurial Activity – A Historical Perspective
2.1.1 The Sociological Roots of Entrepreneurship Theory
2.1.2 Entrepreneurial Economics
2.1.3 Acknowledging the Importance of Individual Level Factors in (Defining) Entrepreneurial Activity
2.1.4 A quick Synopsis of Findings and a Definition of Entrepreneurial Activity
2.2 Entrepreneurial Psychology – Focusing on the Entrepreneur
2.2.1 Approaching Entrepreneurial Psychology
2.2.2 Individual-Level Entrepreneurial Orientation
2.2.3 Entrepreneurial Cognitions
2.2.4 Validating Individual-Level Characteristics of Entrepreneurs across Cultures
3. Empirical evidence: Linking National Culture to Domestic Entrepreneurial Activity – A Review of Current Cross-Cultural Comparative Entrepreneurship Research
3.1 Applying Anthropological Concepts: International Comparative Entrepreneurship Research on Entrepreneurial Psychology
3.1.1 Synopsis of International Entrepreneurship Research
3.1.2 Comparative Entrepreneurship Research: The Impact of Culture on Entrepreneurial Psychology
3.1.3 Introducing Anthropological Concepts of National Culture
3.1.4 National Cultural Values in Favor of Entrepreneurial Activity
3.1.5 Applicability of Hofstede's (1980) and Schwartz's (1999) Concepts of National Culture
3.2 Methodological Issues
3.2.1 Collection of relevant Studies
3.2.2 Methods of Analysis and Evaluation
3.3 Empirical Findings on the Associations between National Culture and Entrepreneurial Activity
3.3.1 Associations between National Culture and Entrepreneurial Orientation
3.3.2 Associations between National Culture and Entrepreneurial Cognition
3.4 Presenting a Cross-Cultural Model of Domestic Entrepreneurial Activity
3.5 Advancing Cross-Cultural Comparative Entrepreneurship Research
4. Conclusion
Research Objectives and Themes
This thesis investigates the complex relationship between national culture and domestic entrepreneurial activity. By integrating perspectives from sociology, psychology, and anthropology, the study seeks to explain the significant cross-national variations in venture creation rates through the lens of individual-level socio-cultural antecedents and their moderation by national cultural values.
- Historical and theoretical foundations of entrepreneurship
- Psychological and cognitive drivers of entrepreneurial behavior
- Impact of national cultural values on entrepreneurial orientation
- Validation of cross-cultural models of entrepreneurial activity
Excerpt from the Book
2.1.2 Entrepreneurial Economics
In economic theory, historical entrepreneurship is mainly constituted of four elements: by risk, by market processes, by innovation and finally, by motivational aspects that determine the relation between the entrepreneur and the firm (Casson 1990).
Works that strongly influenced the current perception of entrepreneurship in economic theory come (among others) from authors such as Cantillon (1755), Knight (1921), Adam Smith (1776), Schumpeter (1934), von Hayek (1937) and Kirzner (1982).
Obviously, the perspectives of each of these contributors do not address all of these fundamental aspects. At the same time, a consideration of these works may lead to identifying some minor inconsistencies.
But as this chapter seeks to generate a holistic view of the fundamental aspects of entrepreneurship, potentially emerging inconsistencies do not interfere with the objectives of this work.
Summary of Chapters
1. Introduction: Introduces the economic and social importance of entrepreneurship and defines the research scope concerning national culture and entrepreneurial activity.
2. Entrepreneurship Theory on the Socio-Cultural Antecedents to Entrepreneurial Activity: Reviews historical economic and sociological theories and explores entrepreneurial psychology to identify key individual-level drivers.
3. Empirical evidence: Linking National Culture to Domestic Entrepreneurial Activity – A Review of Current Cross-Cultural Comparative Entrepreneurship Research: Examines empirical literature to analyze how cultural values moderate individual dispositions and presents an integrated cross-cultural model.
4. Conclusion: Summarizes the key findings regarding the link between national culture and entrepreneurship and offers implications for researchers and policy-making.
Keywords
National Culture, Entrepreneurial Activity, Entrepreneurship Theory, Entrepreneurial Psychology, Entrepreneurial Orientation, Entrepreneurial Cognition, Cross-Cultural Research, Venture Creation, Socio-Cultural Antecedents, Hofstede, Schwartz, Economic Growth, Innovation, Individualism, Collectivism
Frequently Asked Questions
What is the central focus of this research?
The thesis focuses on explaining the significant variations in domestic entrepreneurial activity across different nations by analyzing the role of national culture.
What are the primary thematic fields covered?
The research integrates sociology, economics, psychology, and anthropology to understand how cultural values influence the individual traits and cognitive structures necessary for entrepreneurship.
What is the primary objective of this work?
The goal is to determine how differences in national cultural values affect individual-level entrepreneurial dispositions and subsequently influence the level of venture creation within a country.
Which scientific methods are employed?
The work conducts a thorough literature review and synthesis of historical theories and contemporary empirical studies on entrepreneurial psychology and cross-cultural comparisons.
What does the main body analyze?
The main body examines historical entrepreneurship theory, psychological and cognitive antecedents of entrepreneurs, and reviews current empirical studies on the relationship between national culture and these individual factors.
Which keywords best describe this study?
Key terms include national culture, entrepreneurial activity, entrepreneurial orientation, cognitive structures, cross-cultural comparative research, and institutional factors.
How does the study reconcile entrepreneurial communalities with cultural differences?
It utilizes the concept of "global culture of entrepreneurship" to explain commonalities in cognitive scripts among entrepreneurs, while using cultural value dimensions (like those of Hofstede and Schwartz) to explain variations in their prevalence across nations.
Why is the "entrepreneurial cognition" approach considered significant?
Cognitive approaches are highlighted as potentially superior to traditional trait theories because they provide a coherent framework for understanding how individuals perceive and exploit opportunities across diverse cultural settings.
- Quote paper
- Peter Klemmer (Author), 2008, Linking National Culture to Domestic Entrepreneurial Activity, Munich, GRIN Verlag, https://www.grin.com/document/133291
