Regional Cultural Context as a Determinant of Entrepreneurial Behaviour: The Case of Germany

This exploratory article aims to take first steps towards understanding whether a regional cultural background has, among other determinants, an influence on a person’s entrepreneurial behaviour, relying on the example of Germany. A multilevel approach is applied combining the Global Entrepreneurshi...

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Bibliographic Details
Published inThe Journal of entrepreneurship Vol. 29; no. 1; pp. 88 - 118
Main Authors Arrak, Kadri, Kaasa, Anneli, Varblane, Urmas
Format Journal Article
LanguageEnglish
Published New Delhi, India SAGE Publications 01.03.2020
Sage Publications Ltd
Subjects
Behavior
Cultural differences
Entrepreneurs
Entrepreneurship
Individual differences
Ownership
Power
Regional variations
Uncertainty
Germany
regions
Entrepreneurship
culture
Germany
Hofstede
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Summary:This exploratory article aims to take first steps towards understanding whether a regional cultural background has, among other determinants, an influence on a person’s entrepreneurial behaviour, relying on the example of Germany. A multilevel approach is applied combining the Global Entrepreneurship Monitor individual-level data about entrepreneurship with up-to-date cultural dimensions indicators based on Hofstede’s original approach at the regional (NUTS 1) level. The results indicate that regional cultural context is an important determinant of entrepreneurial behaviour. At that, different cultural dimensions have different impacts, and the impact also differs across different stages of entrepreneurship. A lower level of uncertainty avoidance in a region could have a positive impact on early-stage entrepreneurship, whereas the established business ownership seems to be encouraged by a lower level of power distance.
ISSN:0971-3557
0973-0745
DOI:10.1177/0971355719893501