Regional Entrepreneurial Transformation: A Complex Systems Perspective

Abstract

In this paper, I develop a descriptive process model of regional entrepreneurial transformation based on a conceptualization of regional economies as self-organizing complex systems that consist of interdependent subsystems as represented by heterogeneous actor groups. It is proposed that a change in a region's entrepreneurial profile requires shifts in collectively shared subsystem-level schemata that cause actors to behave in ways that prevent emergent entrepreneurship. The model highlights four factors that contribute to the initiation of a positive feedback loop through which simultaneous schemata changes and consequently a regional entrepreneurial shift occur. Theoretical and policy implications are discussed.

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