Skip to main content
Log in

National culture, effectuation, and new venture performance: global evidence from student entrepreneurs

Small Business Economics Aims and scope Submit manuscript

An Erratum to this article was published on 11 May 2017

This article has been updated

Abstract

Studies examining the relationship between national culture and entrepreneurial activity have largely ignored the influence of culture on individual decision-making. Recent years have witnessed considerable interest in cognitive logics employed by entrepreneurs. A growing body of literature examines factors contributing to the relative reliance on causal and effectual reasoning as entrepreneurs attempt to launch and grow new ventures, with evidence suggesting expert entrepreneurs engage more heavily in effectual reasoning than do novice entrepreneurs. The present study examines the mediating role of cognitive logic in explaining venture performance in differing cultural contexts. A series of hypotheses are tested using a sample of 3411 new ventures started by student entrepreneurs from 24 countries based on the Global University Entrepreneurial Spirit Students’ Survey. The findings indicate that both venture cognitive logics have positive effects on new venture performance and serve as mediators in the culture-performance relationship. Based on these findings, we conclude entrepreneurial reasoning is shaped not only by personal characteristics of entrepreneurs but also by aspects of the cultural context.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Fig. 1

Similar content being viewed by others

Change history

  • 11 May 2017

    An erratum to this article has been published.

Notes

  1. For the factor analysis, we use response-bias corrected scores provided by House et al. (2004). We drop institutional collectivism because of high cross-loadings between two second-order factors. We also did not include gender egalitarianism as it loads on a separate third factor. We replicated the factor analysis on the sample of 24 countries and found a similar factor solution.

  2. For more information on the GUESSS project, see http://www.guesssurvey.org.

  3. Argentina, Australia, Austria, Brazil, Canada, Columbia, Denmark, England, Finland, Germany, Greece, Hungary, Israel, Italy, Malaysia, Mexico, Netherlands, Poland, Russia, Singapore, Slovenia, Spain, Switzerland, and the USA. A number of countries were excluded due to not representative number of observations (less than 10 observations: France, Portugal, Romania, Japan, and Scotland) and lack of GLOBE indicators (Estonia, Belgium, and Luxemburg).

  4. Scores utilized for this study were derived from the GLOBE database on the link http://www.harzing.com/download/hgindices.xls.

  5. The detailed description of implemented MEDIATE macros is available at http://afhayes.com/spss-sas-and-mplus-macros-and-code.html.

  6. The detailed calculations are available upon request from the authors.

  7. The detailed calculations can be obtained on request from the authors.

References

  • Adler, P. S., & Kwon, S. W. (2002). Social capital: prospects for a new concept. Academy of Management Review, 27(1), 17–40. doi:10.5465/AMR.2002.5922314.

    Google Scholar 

  • Amason, A. C., Shrader, R. C., & Tompson, G. H. (2006). Newness and novelty: relating top management team composition to new venture performance. Journal of Business Venturing, 21(1), 125–148. doi:10.1016/j.jbusvent.2005.04.008.

    Article  Google Scholar 

  • Arend, R. J., Sarooghi, H., & Burkemper, A. (2015). Effectuation as ineffectual? Applying the 3E theory-assessment framework to a proposed new theory of entrepreneurship. Academy of Management Review, 40(4), 630–651. doi:10.5465/amr.2014.0455.

    Article  Google Scholar 

  • Autio, E., Pathak, S., & Wennberg, K. (2013). Consequences of cultural practices for entrepreneurial behaviors. Journal of International Business Studies, 44(4), 334–362. doi:10.1057/jibs.2013.15.

    Article  Google Scholar 

  • Baer, M., & Frese, M. (2003). Innovation is not enough: climates for initiative and psychological safety, process innovations, and firm performance. Journal of Organizational Behavior, 24(1), 45–68. doi:10.1002/job.179.

    Article  Google Scholar 

  • Baker, T., Miner, A. S., & Eesley, D. T. (2001). Fake it until you make it: improvisation and new ventures. In Frontiers of entrepreneurship research. Wellesley: Babson College.

    Google Scholar 

  • Baron, R., & Henry, R. A. (2010). How entrepreneurs acquire the capacity to excel: insights from research on expert performance. Strategic Entrepreneurship Journal, 4(1), 49–65. doi:10.1002/sej.82.

    Article  Google Scholar 

  • Baron, R. M., & Kenny, D. A. (1986). The moderator–mediator variable distinction in social psychological research: conceptual, strategic, and statistical considerations. Journal of Personality and Social Psychology, 51(6), 1173–1182. doi:10.1037/0022-3514.51.6.1173.

    Article  Google Scholar 

  • Baughn, C. C., & Neupert, K. E. (2003). Culture and national conditions facilitating entrepreneurial start-ups. Journal of International Entrepreneurship, 1(3), 313–330. doi:10.1023/A:1024166923988.

    Article  Google Scholar 

  • Brettel, M., Mauer, R., Engelen, A., & Kupper, D. (2012). Corporate effectuation: entrepreneurial action and its impact on R&D project performance. Journal of Business Venturing, 27(2), 167–184. doi:10.1016/j.jbusvent.2011.01.001.

    Article  Google Scholar 

  • Brinckmann, J., Grichnik, D., & Kapsa, D. (2010). Should entrepreneurs plan or just storm the castle? A meta-analysis on contextual factors impacting the business planning–performance relationship in small firms. Journal of Business Venturing, 25(1), 24–40. doi:10.1016/j.jbusvent.2008.10.007.

    Article  Google Scholar 

  • Burt, R. S. (2009). Structural holes: the social structure of competition. Harvard university press.

  • Busenitz, L. W., & Lau, C. M. (1996). A cross-cultural cognitive model of new venture creation. Entrepreneurship: Theory & Practice, 20(4), 25–39.

    Google Scholar 

  • Cai, L., Guo, R., Fei, Y., & Liu, Z. (2016). Effectuation, exploratory learning and new venture performance: evidence from China. Journal of Small Business Management. doi:10.1111/jsbm.12247.

    Google Scholar 

  • Capon, N., Farley, J. U., & Hulbert, J. M. (1994). Strategic planning and financial performance: more evidence. Journal of Management Studies, 31(1), 105–110. doi:10.1111/j.1467-6486.1994.tb00335.x.

    Article  Google Scholar 

  • Chandler, G., & Hanks, S. (1994). Founder competence, the environment, and venture performance. Entrepreneurship: Theory & Practice, 18(3), 77–89.

    Google Scholar 

  • Chandler, G., DeTienne, D., McKelvie, A., & Mumford, T. (2011). Causation and effectuation processes: A validation study. Journal of Business Venturing, 26(3), 375–390. doi:10.1016/j.jbusvent.2009.10.006.

    Article  Google Scholar 

  • Copeland, R., Francia, A., & Strawser, R. (1973). Students as subjects in behavioral research. Accounting Review, 48(2), 365–372.

    Google Scholar 

  • Corbett, A. C. (2005). Experiential learning within the process of opportunity identification and exploitation. Entrepreneurship: Theory & Practice, 29(4), 473–491. doi:10.1111/j.1540-6520.2005.00094.x.

    Google Scholar 

  • Davidsson, P. (1995). Culture, structure and regional levels of entrepreneurship. Entrepreneurship and Regional Development, 7(1), 41–62. doi:10.1080/08985629500000003.

    Article  Google Scholar 

  • De Clercq, D., Lim, D., & Hoon Oh, C. (2013). Individual-level resources and new business activity: the contingent role of institutional context. Entrepreneurship Theory and Practice, 37(2), 303–330. doi:10.1111/j.1540-6520.2011.00470.x.

    Article  Google Scholar 

  • Deligianni, I., Voudouris, I., & Lioukas, S. (2015). Do effectuation processes shape the relationship between product diversification and performance in new ventures? Entrepreneurship Theory and Practice. doi:10.1111/etap.12210.

    Google Scholar 

  • Delmar, F., & Shane, S. (2003). Does business planning facilitate the development of new ventures? Strategic Management Journal, 24(12), 1165–1185. doi:10.1002/smj.349.

    Article  Google Scholar 

  • Delmar, F., & Shane, S. (2004). Legitimating first: organizing activities and the survival of new ventures. Journal of Business Venturing, 19(3), 385–410. doi:10.1016/S0883-9026(03)00037-5.

    Article  Google Scholar 

  • DeTienne, D. R., McKelvie, A., & Chandler, G. N. (2015). Making sense of entrepreneurial exit strategies: a typology and test. Journal of Business Venturing, 30(2), 255–272. doi:10.1016/j.jbusvent.2014.07.007.

    Article  Google Scholar 

  • Dew, N., Read, S., Sarasvathy, S. D., & Wiltbank, R. (2009). Effectual versus predictive logic in entrepreneurial decision-making: differences between experts and novices. Journal of Business Venturing, 24(4), 287–309. doi:10.1016/j.jbusvent.2008.02.002.

    Article  Google Scholar 

  • DiMaggio, P. J., & Powell, W. W. (Eds.). (1991). The new institutionalism in organizational analysis (Vol. 17). Chicago: University of Chicago Press.

    Google Scholar 

  • Dutta, D., & Thornhill, S. (2014). Venture cognitive logics, entrepreneurial cognitive style, and growth intentions: a conceptual model and an exploratory field study. Entrepreneurship Research Journal, 4(2), 147–166. doi:10.1515/erj-2012-0004.

    Article  Google Scholar 

  • Edelman, L. F., Manolova, T., Shirokova, G., & Tsukanova, T. (2016). The impact of family support on young entrepreneurs' start-up activities. Journal of Business Venturing, 31(4), 428–448. doi:10.1016/j.jbusvent.2016.04.003.

    Article  Google Scholar 

  • Eijdenberg, E. L., Paas, L. J., & Masurel, E. (2015). The effect of decision-making on the growth of small businesses in an uncertain environment. Academy of Management Proceedings. doi:10.5465/AMBPP.2015.10915abstract.

    Google Scholar 

  • Engle, R. L., Schlaegel, C., & Delanoe, S. (2011). The role of social influence, culture, and gender on entrepreneurial intent. Journal of Small Business & Entrepreneurship, 24(4), 471–492. doi:10.1080/08276331.2011.10593549.

    Article  Google Scholar 

  • Ensley, M. D., Pearson, A., & Amason, A. C. (2002). Understanding the dynamics of new venture top management teams: cohesion, conflict, and new venture performance. Journal of Business Venturing, 17(4), 365–386. doi:10.1016/S0883-9026(00)00065-3.

    Article  Google Scholar 

  • Etzioni, A. (1987). Entrepreneurship, adaptation and legitimation: a macro-behavioral perspective. Journal of Economic Behavior & Organization, 8(2), 175–189. doi:10.1016/0167-2681(87)90002-3.

    Article  Google Scholar 

  • Fernandez, J., Liñán, F., & Santos, F. J. (2009). Cognitive aspects of potential entrepreneurs in southern and northern Europe: an analysis using GEM data. Revista de Economı’a Mundial, 23, 151–178.

    Google Scholar 

  • Fischer, R. (2006). Congruence and functions of personal and cultural values: do my values reflect my culture’s values? Personality and Social Psychology Bulletin, 32(11), 1419–1431. doi:10.1177/0146167206291425.

    Article  Google Scholar 

  • Fischer, R., Ferreira, M. C., Assmar, E., Redford, P., Harb, C., Glazer, S., et al. (2009). Individualism-collectivism as descriptive norms development of a subjective norm approach to culture measurement. Journal of Cross-Cultural Psychology, 40(2), 187–213. doi:10.1177/0022022109332738.

    Article  Google Scholar 

  • Gabrielsson, J., & Politis, D. (2011). Career motives and entrepreneurial decision-making: examining preferences for causal and effectual logics in the early stage of new ventures. Small Business Economics, 36(3), 281–298. doi:10.1007/s11187-009-9217-3.

    Article  Google Scholar 

  • Global Innovation Index. (2013). The Global Innovation Index 2013: the local dynamics of innovation. Geneva, Ithaca, and Fontainebleau. https://www.globalinnovationindex.org/home. Accessed 23 January 2017.

  • Greeno, J. G., & Simon, H. A. (1988). Problem solving and reasoning. In R. C. Atkinson, R. J. Herrnstein, G. Lindzey, & R. D. Luce (Eds.), Stevens’ handbook of experimental psychology (pp. 589–672). New York: Wiley.

    Google Scholar 

  • Guiso, L., Sapienza, P., & Zingales, L. (2006). Does culture affect economic outcomes? The Journal of Economic Perspectives, 20(2), 23–48. doi:10.1257/089533006777641031.

    Article  Google Scholar 

  • Gustafsson, V.. (2006). Entrepreneurial decision-making: individuals, tasks and cognitions. Edward Elgar Publishing.

  • Hayton, J. C., George, G., & Zahra, S. A. (2002). National culture and entrepreneurship: a review of behavioral research. Entrepreneurship: Theory & Practice, 26(4), 33–53.

    Google Scholar 

  • Hechavarria, D. M.. (2015). The impact of culture on national prevalence rates of social and commercial entrepreneurship. International Entrepreneurship and Management Journal, 1–28. doi:10.1007/s11365-015-0376-1.

  • Hechavarria, D. M., & Reynolds, P. D. (2009). Cultural norms & business start-ups: the impact of national values on opportunity and necessity entrepreneurs. International Entrepreneurship and Management Journal, 5(4), 417–437. doi:10.1007/s11365-009-0115-6.

    Article  Google Scholar 

  • Hindle, K., & Senderovitz, M.. (2010). Unifying the three principal contending approaches to explaining early stage entrepreneurial decision-making and behavior. 30th Babson College Entrepreneurship Research Conference, 9–12.

  • Hoang, H., & Antoncic, B. (2003). Network-based research in entrepreneurship: a critical review. Journal of Business Venturing, 18(2), 165–187. doi:10.1016/S0883-9026(02)00081-2.

    Article  Google Scholar 

  • Hofer, C. W., & Sandberg, W. R. (1987). Improving new venture performance: some guidelines for success. American Journal of Small Business, 12(1), 11–25.

    Google Scholar 

  • Hofstede, G. (1980). Culture’s consequences: international differences in work-related values. London: Sage.

    Google Scholar 

  • Hofstede, G. (2001). Culture’s consequences: comparing values, behaviours, institutions and organizations across nations (2nd ed.). Thousand Oaks: Sage.

    Google Scholar 

  • Hofstede, G., Noorderhaven, N. G., Thurik, R. A., Uhlaner, L. M., Wennekers, A. R. M., & Wildeman, R. E. (2004). Culture’s role in entrepreneurship: self-employment out of dissatisfaction. In T. E. Brown & J. Ulijn (Eds.), Innovation, entrepreneurship and culture (pp. 162–203). Cheltenham: Edward Elgar.

    Google Scholar 

  • Hofstede, G., Hofstede, G. L., & Minkov, M. (2010). Cultures and organizations: software of the mind, revised and expanded 3 rd edition. New York: McGraw-Hill USA.

    Google Scholar 

  • House, R. J., Hanges, P. J., Javidan, M., Dorfman, P. W., & Gupta, V. (2004). Culture, leadership, and organizations: the GLOBE study of 62 societies. Thousand Oaks: Sage Publications.

    Google Scholar 

  • Hunt, S., & Levie, J. (2003). Culture as a predictor of entrepreneurial activity. In W. Bygrave et al. (Eds.), Frontiers of entrepreneurial research. Wellesley: Babson College.

    Google Scholar 

  • Hunter, S. T., Bedell, K. E., & Mumford, M. D. (2007). Climate for creativity: a quantitative review. Creativity Research Journal, 19(1), 69–90. doi:10.1080/10400410709336883.

    Article  Google Scholar 

  • Inglehart, R.. (1990). Culture shift in advanced industrial society. Princeton University Press.

  • Inglehart, R. (2006). Mapping global values. Comparative Sociology, 5(2), 115–136. doi:10.1163/156913306778667401.

    Article  Google Scholar 

  • Javidan, M., House, R. J., Dorfman, P. W., Hanges, P. J., & De Luque, M. S. (2006). Conceptualizing and measuring cultures and their consequences: a comparative review of GLOBE’s and Hofstede’s approaches. Journal of International Business Studies, 37(6), 897–914. doi:10.1057/palgrave.jibs.8400234.

    Article  Google Scholar 

  • Kelley, D.J., Singer, S., & Herrington, M. (2012). GEM 2011 global report. Global Entrepreneurship Research Association (GERA).

  • Krijgsman, J.. (2012). The influence of national culture on entrepreneurial processes: a comparison between Mexican and Dutch entrepreneurs. Master thesis. University of Twente. http://essay.utwente.nl/61638/1/MSc_J_Krijgsman.pdf. Accessed 26 September 2016.

  • Kristinsson, K., Candi, M., & Sæmundsson, R. J. (2016). The relationship between founder team diversity and innovation performance: the moderating role of causation logic. Long Range Planning, 49(4), 464–476. doi:10.1016/j.lrp.2015.12.013.

    Article  Google Scholar 

  • Küpper, D., & Burkhart, T.. (2009). Effectuation in the context of R&D projects: characteristics and impact on project performance. Academy of Management Annual Meeting Proceedings, 1–6. doi:10.5465/AMBPP.2009.44251806.

  • Lam, W., & Harker, M. J. (2015). Marketing and entrepreneurship: an integrated view from the entrepreneur’s perspective. International Small Business Journal, 33(3), 321–348. doi:10.1177/0266242613496443.

    Article  Google Scholar 

  • Lettau, C., (2016). The effect of cultural tightness-looseness on effectuation or causation strategies of novice entrepreneurs in Germany. Bachelor's thesis. University of Twente. http://essay.utwente.nl/70155/1/Lettau_BA_BMS.pdf. Accessed 26 September 2016.

  • Levie, J., & Autio, E. (2008). A theoretical grounding and test of the GEM model. Small Business Economics, 31(3), 235–263. doi:10.1007/s11187-008-9136-8.

    Article  Google Scholar 

  • Liñán, F., & Fernandez-Serrano, J. (2014). National culture, entrepreneurship and economic development: different patterns across the European Union. Small Business Economics, 10(4), 781–802. doi:10.1007/s11187-013-9520-x.

    Google Scholar 

  • Liñán, F., Fernandez-Serrano, J., & Romero, I. (2013). Necessity and opportunity entrepreneurship: the mediating effect of culture, world economy review. Revista de Economía Mundial, 33, 21–47.

    Google Scholar 

  • Ling, Y., & Kellermanns, F. W. (2010). The effects of family firm specific sources of TMT diversity: the moderating role of information exchange frequency. Journal of Management Studies, 47(2), 322–344. doi:10.1111/j.1467-6486.2009.00893.x.

    Article  Google Scholar 

  • Manev, I. M., Manolova, T. S., Harkins, J. A., & Gyoshev, B. S. (2015). Are pure or hybrid strategies right for new ventures in transition economies? International Small Business Journal, 33(8), 951–973. doi:10.1177/0266242614550322.

    Article  Google Scholar 

  • Martina, R., Gabrielsson, J., Yar Hamidi, D.. (2014). Entrepreneurial strategies in university spin-offs: coping with uncertainties in the process of market creation. In L. Ghan, H. Lundberg, L. Songini, & M. Pellegrini (eds) (pp. 251–279), The entrepreneurship SIG at European Academy of Management: new horizons with strong traditions. Information Age Publishing.

  • Mcgrath, R. G., MacMillan, I. C., Yang, E. A., & Tsai, W. (1992). Does culture endure, or is it malleable? Issues for entrepreneurial economic development. Journal of Business Venturing, 7(6), 441–458. doi:10.1016/0883-9026(92)90019-N.

    Article  Google Scholar 

  • McMullen, J. S., & Shepherd, D. A. (2006). Entrepreneurial action and the role of uncertainty in the theory of the entrepreneur. Academy of Management Review, 31(1), 132–152. doi:10.5465/AMR.2006.19379628.

    Article  Google Scholar 

  • Minkov, M., & Hofstede, G. (2012). Is national culture a meaningful concept? Cultural values delineate homogeneous national clusters of in-country regions. Cross-Cultural Research, 46(2), 133–159. doi:10.1177/1069397111427262.

    Article  Google Scholar 

  • Mitchell, R. K., Busenitz, L., Lant, T., McDougall, P. P., Morse, E. A., & Smith, J. B. (2002). Toward a theory of entrepreneurial cognition: rethinking the people side of entrepreneurship research. Entrepreneurship: Theory & Practice, 27(2), 93–104. doi:10.1111/1540-8520.00001.

    Google Scholar 

  • Morales, C. E., & Holtschlag, C. (2013). Post materialist values and entrepreneurship: a multilevel approach. International Journal of Entrepreneurial Behavior & Research, 19(3), 266–282. doi:10.1108/13552551311330174.

    Article  Google Scholar 

  • Morris, M., & Schindehutte, M. (2005). Entrepreneurial values and the ethnic enterprise: an examination of six subcultures. Journal of Small Business Management, 43(4), 453–479. doi:10.1111/j.1540-627X.2005.00147.x.

    Article  Google Scholar 

  • Mthanti, T. S., & Urban, B. (2014). Effectuation and entrepreneurial orientation in high-technology firms. Technology Analysis & Strategic Management, 26(2), 121–133. doi:10.1080/09537325.2013.850161.

    Article  Google Scholar 

  • Mueller, S. L., & Thomas, A. S. (2001). Culture and entrepreneurial potential: a nine country study of locus of control and innovativeness. Journal of Business Venturing, 16(1), 51–75. doi:10.1016/S0883-9026(99)00039-7.

    Article  Google Scholar 

  • Nadkarni, S., & Narayanan, V. K. (2007). Strategic schemas, strategic flexibility, and firm performance: the moderating role of industry clockspeed. Strategic Management Journal, 28(3), 243–270. doi:10.1002/smj.576.

    Article  Google Scholar 

  • Newbert, S. L., Tornikoski, E. T., & Quigley, N. R. (2013). Exploring the evolution of supporter networks in the creation of new organizations. Journal of Business Venturing, 28(2), 281–298. doi:10.1016/j.jbusvent.2012.09.003.

    Article  Google Scholar 

  • Osiyevskyy, O., Hayes, L., Krueger, N. F., & Madill, C. M. (2013). Planning to grow? Exploring the effect of business planning on the growth of small and medium enterprises (SMEs). Entrepreneurial Practice Review, 2(4), 36–56.

    Google Scholar 

  • Oyserman, D., & Lee, S. W. (2008). Does culture influence what and how we think? Effects of priming individualism and collectivism. Psychological Bulletin, 134(2), 311–342.

    Article  Google Scholar 

  • Perry, J. T., Chandler, G., & Markova, G. (2012). Entrepreneurial effectuation: a review and suggestions for future research. Entrepreneurship: Theory & Practice, 36(4), 836–861. doi:10.1111/j.1540-6520.2010.00435.x.

    Google Scholar 

  • Peterson, M. F., & Castro, S. L. (2006). Measurement metrics at aggregate levels of analysis: implications for organization culture research and the GLOBE project. The Leadership Quarterly, 17(5), 506–521. doi:10.1016/j.leaqua.2006.07.001.

    Article  Google Scholar 

  • Pinillos, M. J., & Reyes, L. (2011). Relationship between individualist–collectivist culture and entrepreneurial activity: evidence from global entrepreneurship monitor data. Small Business Economics, 37(1), 23–37. doi:10.1007/s11187-009-9230-6.

    Article  Google Scholar 

  • Podsakoff, P. M., MacKenzie, S. B., & Podsakoff, N. P. (2012). Sources of method bias in social science research and recommendations on how to control it. Annual Review of Psychology, 63, 539–569. doi:10.1146/annurev-psych-120710-100452.

    Article  Google Scholar 

  • Politis, D., Winborg, J., & Dahlstrand, A. L. (2012). Exploring the resource logic of student entrepreneurs. International Small Business Journal, 30(6), 659–683. doi:10.1177/0266242610383445.

    Article  Google Scholar 

  • Powell, W. W., Koput, K. W., & Smith-Doerr, L. (1996). Interorganizational collaboration and the locus of innovation: networks of learning in biotechnology. Administrative Science Quarterly, 41, 116–145. doi:10.2307/2393988.

    Article  Google Scholar 

  • Preacher, K. J., & Hayes, A. F. (2004). SPSS and SAS procedures for estimating indirect effects in simple mediation models. Behavioral Research Methods, Instruments, & Computers, 36(4), 717–731. doi:10.3758/BF03206553.

    Article  Google Scholar 

  • Preacher, K. J., & Hayes, A. F. (2008). Asymptotic and resampling strategies for assessing and comparing indirect effects in multiple mediator models. Behavior Research Methods, 40(3), 879–891. doi:10.3758/BRM.40.3.879.

    Article  Google Scholar 

  • Read, S., & Sarasvathy, S. D. (2012). Co-creating a course ahead from the intersection of service-dominant logic and effectuation. Marketing Theory, 12(2), 225–229. doi:10.1177/1470593112444381.

    Article  Google Scholar 

  • Read, S., Song, M., & Smit, W. (2009). A meta-analytic review of effectuation and venture performance. Journal of Business Venturing, 24(6), 573–587. doi:10.1016/j.jbusvent.2008.02.005.

    Article  Google Scholar 

  • Reynolds, P., Storey, D. J., & Westhead, P. (1994). Cross-national comparisons of the variation in new firm formation rates: an editorial overview. Regional Studies, 28(4), 343–346. doi:10.1080/00343409412331348306.

    Article  Google Scholar 

  • Robinson, K. C., & McDougall, P. P. (2001). Entry barriers and new venture performance: a comparison of universal and contingency approaches. Strategic Management Journal, 22(6–7), 659–685. doi:10.1002/smj.186.

    Article  Google Scholar 

  • Robinson, P., Huefner, J., & Hunt, K. (1991). Entrepreneurial research on student subjects does not generalize to real world entrepreneurs. Journal of Small Business Management, 29(2), 42–50.

    Google Scholar 

  • Sarasvathy, S. D. (2001). Causation and effectuation: toward a theoretical shift from economic inevitability to entrepreneurial contingency. Academy of Management Review, 26(2), 243–263. doi:10.5465/AMR.2001.4378020.

    Google Scholar 

  • Sarasvathy, S. D. (2008). Effectuation: elements of entrepreneurial expertise. Cheltenham, U.K.: Edward Elgar.

    Book  Google Scholar 

  • Sarasvathy, S., & Dew, N. (2008). Effectuation and over-trust: debating Goel and Karri. Entrepreneurship Theory and Practice, 32(4), 727–737. doi:10.1111/j.1540-6520.2008.00250.x.

    Article  Google Scholar 

  • Sarasvathy, S. D., Dew, N., Read, S., & Wiltbank, R. (2008). Designing organizations that design environments: lessons from entrepreneurial expertise. Organization Studies, 29(3), 331–350. doi:10.1177/0170840607088017.

    Article  Google Scholar 

  • Schindehutte, M., & Morris, M. H. (2001). Understanding strategic adaptation in small firms. International Journal of Entrepreneurial Behavior & Research, 7(3), 84–107. doi:10.1108/EUM0000000005532.

    Article  Google Scholar 

  • Schmitt-Rodermund, E. (2004). Pathways to successful entrepreneurship: parenting, personality, early entrepreneurial competence, and interests. Journal of Vocational Behavior, 65(3), 498–518. doi:10.1016/j.jvb.2003.10.007.

    Article  Google Scholar 

  • Schneider, S. C., & Barsoux, J.-L. (1997). Managing across cultures. London: Prentice-Hall.

    Google Scholar 

  • Schulze, W. S., Lubatkin, M. H., Dino, R. N., & Buchholtz, A. K. (2001). Agency relationships in family firms: theory and evidence. Organization Science, 12(2), 99–116. doi:10.1287/orsc.12.2.99.10114.

    Article  Google Scholar 

  • Schwartz, S. H. (1992). Universals in the content and structure of values: theoretical advances and empirical tests in 20 countries. Advances in Experimental Social Psychology, 25, 1–65. doi:10.1016/S0065-2601(08)60281-6.

    Article  Google Scholar 

  • Schwartz, S. H. (1994). Beyond individualism/collectivism: new cultural dimensions of values. Sage Publications, Inc.

  • Schwartz, S. H. (1999). A theory of cultural values and some implications for work. Applied Psychology, 48(1), 23–47. doi:10.1111/j.1464-0597.1999.tb00047.x.

    Article  Google Scholar 

  • Sharma, D.. (2014). Determining influence in social networks using social capital. Retrieved from the University of Minnesota Digital Conservancy. http://hdl.handle.net/11299/165583. Accessed 25 September 2016.

  • Shinnar, R. S., Giacomin, O., & Janssen, F. (2012). Entrepreneurial perceptions and intentions: the role of gender and culture. Entrepreneurship: Theory & Practice, 36(3), 465–493. doi:10.1111/j.1540-6520.2012.00509.x.

    Google Scholar 

  • Shirokova, G., Bogatyreva, K., & Morris, M.. (2014). Expertise, university infrastructure and cognitive logic: assessing students who start ventures. Working Paper no. 1, St. Petersburg State University, Graduate School of Management, St. Petersburg.

  • Shneor, R., Metin Camgöz, S., & Bayhan Karapinar, P. (2013). The interaction between culture and sex in the formation of entrepreneurial intentions. Entrepreneurship & Regional Development, 25(9–10), 781–803. doi:10.1080/08985626.2013.862973.

    Article  Google Scholar 

  • Skrondal, A., & Laake, P. (2001). Regression among factor scores. Psychometrika, 66(4), 563–575. doi:10.1007/BF02296196.

    Article  Google Scholar 

  • Smith, P. B. (2006). When elephants fight, the grass gets trampled: the GLOBE and Hofstede projects. Journal of International Business Studies, 37(6), 915–921. doi:10.1057/palgrave.jibs.8400235.

    Article  Google Scholar 

  • Smith, J. R., & Louis, W. R. (2008). Do as we say and as we do: the interplay of descriptive and injunctive group norms in the attitude–behaviour relationship. British Journal of Social Psychology, 47(4), 647–666. doi:10.1348/014466607X269748.

    Article  Google Scholar 

  • Smolka, K. M., Verheul, I., Burmeister-Lamp, K., & Heugens, P. P. (2016). Get it together! Synergistic effects of causal and effectual decision-making logics on venture performance. Entrepreneurship Theory and Practice. doi:10.1111/etap.12266.

    Google Scholar 

  • Steentjes, R.. (2012). The influence of national culture on entrepreneurial processes: the usage of causation and effectuation among Dutch and Polish student entrepreneurs. Master thesis. University of Twente. http://essay.utwente.nl/61470/1/MSc_R_Steentjes.pdf. Accessed 26 September 2016.

  • Stephan, U., & Uhlaner, L. M. (2010). Performance-based vs socially supportive culture: a cross-national study of descriptive norms and entrepreneurship. Journal of International Business Studies, 41(8), 1347–1364. doi:10.1057/jibs.2010.14.

    Article  Google Scholar 

  • Stienstra, M.R., Harms, R., Ham, R., & Groen, A.J.. (2012). Culture and entrepreneurial processes: evidence of influence. In: ICSB International Council for Small Business World Conference 2012. http://doc.utwente.nl/82226/1/culture.pdf. Accessed 26 September 2016.

  • Stuetzer, M., Obschonka, M., Audretsch, D. B., Wyrwich, M., Rentfrow, P. J., Coombes, M., et al. (2016). Industry structure, entrepreneurship, and culture: an empirical analysis using historical coalfields. European Economic Review, 86, 52–72. doi:10.1016/j.euroecorev.2015.08.012.

    Article  Google Scholar 

  • Thai, M. T., & Turkina, E. (2014). Macro-level determinants of formal entrepreneurship versus informal entrepreneurship. Journal of Business Venturing, 29(4), 490–510. doi:10.1016/j.jbusvent.2013.07.005.

    Article  Google Scholar 

  • The World Bank. (2014). Doing Business. Accessed 17 April 2016.Retrieved from http://www.doingbusiness.org

  • Thomas, A. S., & Mueller, S. L. (2000). A case for comparative entrepreneurship: assessing the relevance of culture. Journal of International Business Studies, 31(2), 287–301. doi:10.1057/palgrave.jibs.8490906.

    Article  Google Scholar 

  • Tiessen, J. H. (1997). Individualism, collectivism, and entrepreneurship: a framework for international comparative research. Journal of Business Venturing, 12(5), 367–384. doi:10.1016/S0883-9026(97)81199-8.

    Article  Google Scholar 

  • Uhlaner, L., & Thurik, R. (2007). Postmaterialism influencing total entrepreneurial activity across nations. Journal of Evolutionary Economics, 17(2), 161–185. doi:10.1007/s00191-006-0046-0.

    Article  Google Scholar 

  • Urban, B., & Heydenrych, J. (2015). Technology orientation and effectuation—links to firm performance in the renewable energy sector of South Africa. South African Journal of Industrial Engineering, 26(3), 125–136. doi:10.7166/26-3-1039.

    Article  Google Scholar 

  • Vesper, K. H. (1993). New venture mechanics. Englewood Cliffs: Prentice Hall.

    Google Scholar 

  • Welter, F., & Smallbone, D. (2011). Institutional perspective on entrepreneurial behavior in challenging environments. Journal of Small Business Management, 49(1), 107–125. doi:10.1111/j.1540-627X.2010.00317.x.

    Article  Google Scholar 

  • Wiltbank, R., Read, S., Dew, N., & Sarasvathy, S. D. (2009). Prediction and control under uncertainty: outcomes in angel investing. Journal of Business Venturing, 24(2), 116–133. doi:10.1016/j.jbusvent.2007.11.004.

    Article  Google Scholar 

  • Witt, M. A., & Redding, G. (2009). Culture, meaning, and institutions: executive rationale in Germany and Japan. Journal of International Business Studies, 40(5), 859–885. doi:10.1057/jibs.2008.81.

    Article  Google Scholar 

  • Wright, M., & Stigliani, I. (2013). Entrepreneurship and growth. International Small Business Journal, 31(1), 3–22. doi:10.1177/0266242612467359.

    Article  Google Scholar 

  • Zahra, S. A., & Bogner, W. C. (2000). Technology strategy and software new ventures’ performance: exploring the moderating effect of the competitive environment. Journal of Business Venturing, 15(2), 135–173. doi:10.1016/S0883-9026(98)00009-3.

    Article  Google Scholar 

  • Zellweger, T., Richards, M., Sieger, P., & Patel, P. C.. (2016). How much am I expected to pay for my parents’ firm? An institutional logics perspective on family discounts. doi: 10.1111/etap.12161.

  • Zhao, X., Lynch, H. G., & Chen, Q. (2010). Reconsidering Baron and Kenny: myths and truths about mediation analysis. Journal of Consumer Research, 37(2), 197–206. doi:10.1086/651257.

    Article  Google Scholar 

Download references

Acknowledgements

This research has been conducted with financial support from Russian Science Foundation grant (project No. 14-18-01093).

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Anastasiia Laskovaia.

Additional information

The original version of this article was revised: Due to some errors on the part of the authors, there are a number of typos in the published paper.

An erratum to this article is available at https://doi.org/10.1007/s11187-017-9875-5.

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Laskovaia, A., Shirokova, G. & Morris, M.H. National culture, effectuation, and new venture performance: global evidence from student entrepreneurs. Small Bus Econ 49, 687–709 (2017). https://doi.org/10.1007/s11187-017-9852-z

Download citation

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s11187-017-9852-z

Keywords

JEL Classification

Navigation