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Culture as a predictor of entrepreneurial activity

Hunt, S. and Levie, J.D. (2003) Culture as a predictor of entrepreneurial activity. In: Frontiers of entrepreneurship research 2003 : proceedings of the twenty-third annual entrepreneurship research conference. Babson College, Babson Park, USA, pp. 171-185. ISBN 0910897247

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Abstract

This research examines the extent to which culture can explain differences in entrepreneurial activity, and determines the importance of various cultural constructs derived from Hofstede and the World Values Survey. These constructs are applied to data from the 2002 Global Entrepreneurship measuring individuals' entrepreneurial activity from 37 countries. The results indicate that culture explains only a small proportion of the variance in entrepreneurial activity and attitudes. Different entrepreneurial activities are weakly influenced by different, but not mutually exclusive, sets of cultural constructs. Population growth, however, has a significant and strong effect on all major measures of business start-up activity.