Entrepreneurial conditions and economic growth in entrepreneurial ecosystems: Evidence from OECD countries

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
This study analyses the potential influences of entrepreneurial framework conditions on the economic growth of OECD countries. We correspondingly divided these countries into groups according to their income level (high- and upper-middle-income economies) with the data, structured into an unbalanced dynamic longitudinal panel (2000–2020), obtained from the National Expert Survey, Global Monitor Entrepreneurship and the World Bank. After applying the generalised method of moments, we may report that commercial, professional, physical and service infrastructures, government support and policies, R&D transfers, cultural and social norms and financing entrepreneurs positively affect economic growth independently of the national income level. Basic entrepreneurial education does not attain significance in explaining the economic growth of high-income economies and post-education is not significant in explaining the economic growth of upper-middle-income economies. Furthermore, government programmes generate negative effects on the economic growth of OECD countries when considered jointly and individually in high-income economies but with a positive effect on upper-middle-income economies that display an inverse behaviour in the case of the effects of taxes and bureaucracy. The upper-middle-income economies also registered a negative effect in terms of internal market dynamics and openness even while this factor returned positive effects in high-income economies.

Relationship between the family farmers’ entrepreneurial spirit and innovation

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
The entrepreneurial and innovative behavior of the small rural producer has been considered a way of boosting the sector and advancing research in rural studies. Given this scenario, analyzing the relationship between the entrepreneurial behavior of the small family farmer and innovation is an unexplored challenge in the literature. In order to shed light on this relationship, we conducted a systematic literature review by analyzing 100 of the most prominent articles published in the last decade (2010–2021) to answer how international scientific production is characterized and analyze the relationship between the entrepreneurial spirit of the family farmer and innovation. Our findings revealed expressive intermediaries that address the aforementioned correlation, expressing the centrality and intensity of the relationship between the terms of the formed textual corpus. By structuring and detailing the intellectual contribution of this study, it is possible to advance the knowledge on emerging themes. Understanding the innovative behavior of rural producers brings companies, universities, and governments closer to the reality of farmers, enabling projects designed for rural development to be implemented.

Orientation and action: SME responses to customers and competitors in an international competitive business context

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
This paper investigates strategic orientations toward three key parties (customers, domestic competitors, and foreign competitors) and considers how each pressures small- and medium-sized enterprises (SMEs) to reduce costs and innovate. We surveyed 2792 SMEs from 30 countries, about their business environment and firm innovation. Results indicate that SMEs are selective in responding to pressures from customers, and when they do respond, SMEs do so on their own terms. Further, SMEs differentiate their responses to competitive pressure based on whether pressure arises from foreign or domestic sources. Our study adds to the behavioral perspective of the market orientation literature by focusing on how customers and competitors drive SME behaviors aimed at achieving positional market advantages.

Team engagement for boosting team innovative behaviour in small and medium enterprises: An integrating framework of attitudinal and trait-related determinants

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
Today, enterprises are devoting a burgeoning interest in fostering team innovative behaviour at the workplace. Therefore, the purpose of this study was to bring together two lines of engagement enquiry (individual and team), leaning on similar theoretical veins and ontologies; however, exploring the interrelationship between these two constructs has received scant attention. Towards that end, a survey questionnaire was developed to collect data from 547 employees working for SMEs operating in Jordan. The findings revealed that team engagement mediates individual engagement and team innovative behaviour. Further, the findings indicated a positive moderating effect of the variation in team's relationship-oriented traits on the individual-team engagement association. Interestingly, the hypothesis proposing a moderating influence of the variation in the team's task-oriented traits was not statistically supported. This study provides an unprecedented progress to the scholarly conversation revolving around the neoteric influence of employee engagement and team innovative behaviour. The newfangled theoretical model links employee engagement theory with team innovative behaviours through the moderation effects of team personality compositions.

Growth aspiring entrepreneurs’ response to corporate tax rates: Is it universally negative?

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
The article challenges the universal assumption in the literature that corporate tax rates constrain growth-aspiring entrepreneurs. The strength of financial intuitions may be a stronger predictor of growth aspirations than corporate tax rates. With the support of strong financial institutions, countries possessing norms supportive of individual success and risk-taking will lead growth-aspiring entrepreneurs to persist in the face of corporate tax rate increases. For countries with weak financial institutions, it does not matter whether norms are supportive or not of individual success and risk-taking behaviour; entrepreneurs do not have the means to grow their enterprises and thus do not show a strong response to corporate tax rate increases. This argument is supported by an analysis of 394 country-year observations for 77 countries from the GEM and World Bank databases. The study contributes to understanding the contextual conditions required for growth-aspiring entrepreneurs to overcome tax constraints and, more broadly, formal institutional constraints. Our qualifying condition in performance-oriented norms points to the importance of informal institutions in promoting entrepreneurial resilience and persistence. This also points to the importance of the interdependency between formal and informal institutions when explaining economic behaviour.

The nature of entrepreneurs’ engagement with a layered rural context

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
Rural entrepreneurship has recently been reconceptualised as engagement with contexts. However, our knowledge of the nature of this engagement remains limited. In this paper, we explore the engagement of entrepreneurs hired as part-time industry mentors at regional universities. Using a qualitative approach based on grounded theory and self-ethnography, we interviewed five entrepreneurs in adjunct positions and their academic counterparts at universities in Northern Norway. We also relied on our own experience as academics collaborating with industry mentors. Our findings demonstrate that the entrepreneurs’ engagement encompasses and combines the business, academic and spatial layers of the entrepreneurs’ context and that it unfolds in the form of knowledge-sharing practices. Our study makes several contributions. First, it contributes to the limited empirical research on rural entrepreneurship as engagement with context and gives a novel and detailed account of how this engagement unfolds in practice. Second, it contributes by adding new insight into how entrepreneurs relate to a layered rural context. In particular, we emphasise that the knowledge-sharing practices help in crossing boundaries between the layers. Third, our study offers some practical contributions for rural entrepreneurs, policymakers and actors in regional innovation systems and regional universities.

Linking entrepreneurial passion and innovation under the dynamic influence of entrepreneurs’ age: The case of Vietnamese SMEs

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
Drawing upon the broaden-and-build theory of positive emotions, this research focuses on examining two mediating mechanisms linking entrepreneurial passion and firm-level innovation performance under the dynamic influence of entrepreneurs’ age. The study uses a survey with a sample of 186 entrepreneurs who were owners or founders of small and medium enterprises (SMEs) in Vietnam. The empirical study shows that entrepreneurial passion directly improves firms’ innovation performance, and indirectly via two mediators: entrepreneurial alertness and self-efficacy. Furthermore, the findings reveal that entrepreneurs’ age has a U-shaped moderating effect on the link between entrepreneurial passion and self-efficacy, and a positive moderating effect on the link between passion and alertness. This study is among the few to explore the impact of entrepreneurial passion as an entrepreneur-level emotion on a critical firm-level business outcome. Besides, it contributes to the innovation literature by examining the mediating mechanisms through which entrepreneurial passion turns into improvements in firm-level innovation performance. Finally, the research extends the entrepreneurship literature by confirming how these mediating mechanisms differ at different stages of an entrepreneur's lifecycle.

Entrepreneurial leadership development in teams: A conceptual model

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
Entrepreneurial leadership is an emerging paradigm of enquiry that has gained increased attention in research and practice in recent times. However, due to lack of conceptual clarity and theoretical foundations, various dimensions of entrepreneurial leadership competencies and their development specifically in group contexts lack theoretical and conceptual underpinning. This research seeks to narrow this gap by outlining a conceptual framework for team-based entrepreneurial leadership learning and development. According to the proposed model, developing entrepreneurial leadership skills is a dynamic and complex social process. Entrepreneurial leaders can gain knowledge and skills by participating in a variety of team-based learning activities, including peer observations, group-based experiential learning, self-regulated learning and team learning.

Exploring multi-stakeholder value co-creation as an entrepreneurial approach to survival and sustainability: The case of Pennine Pubs

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
This case focuses on the entrepreneurial use of multi-stakeholder value co-creation to emerge stronger from challenging trading conditions. In particular, it examines Pennine Pubs, a small-/medium-sized enterprise (SME) operating several rural public houses, which are licensed to sell food and alcoholic drinks to guests. Based in Northern England, it has adapted commercial strategies to mitigate government-enforced Covid-19 lockdowns. Pennine Pubs’ Managing Director is currently considering how to build upon the multi-stakeholder value co-creation strategy which emerged quickly immediately before and during the first lockdown period, when customers were prohibited from visiting pubs. He expects the outcome to be a more refined and sustainable commercial strategy which retains the most significant benefits of his lockdown-period innovations. The case considers how co-creation is applied as a reaction to unforeseen business challenges, and how it can underpin proactive strategies to capitalise upon favourable trading conditions. The concept is explored in the context of rapidly evolving, unpredictable and highly problematic constraints upon retail trade, and the ‘new normal’ of customers returning to retail premises, albeit with expectations modified by recent experiences. Finally, the case considers the impact of SMEs collaborating with suppliers, customers and other stakeholders to co-create mutual, commercially sustainable value.

Towards A Deeper Understanding of the Relationship between Structural Reconfiguration Capacity, Technological and Non-technological innovations, and Firm Performance

The International Journal of Entrepreneurship and Innovation, Ahead of Print.
Small and medium-sized manufacturing enterprises, the backbone of the Southeast Asian economy, are struggling to operate and maintain profitable growth in the face of the COVID-19 epidemic. During the recovery process, technological and non-technological innovation is a major factor in enterprise efficiency and profitability. However, it is unclear what drives manufacturing enterprises to innovate in technological and non-technological approaches and how they choose to implement innovation to keep their businesses growing and successful. Therefore, to answer this issue, this research develops and empirically tests a model based on dynamic capabilities and innovative perspectives utilizing World Bank Enterprise Survey data from 789 manufacturing enterprises in Southeast Asian countries. The hierarchical regression model assists create prediction equations to test technological and non-technological innovation as the mediators of structural reconfiguration and innovation investment on firm performance. The results reveal that structural reconfiguration and innovation investment impact technological and non-technological innovation. Additionally, structural addition and investment in formal R&D have a moderated impact on technological innovation. Finally, firm performance may be boosted by organizational innovation.