Constructing a multi-dimensional measure of local entrepreneurial culture

Nicole Breazeale · Michael W-P Fortunato · James E. Allen · Ronald J. Hustedde · Helen Pushkarskaya

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Entrepreneurship Studies and Influences Cultural Industries and Urban Development Migration, Ethnicity, and Economy

Abstract

This article proposes a scale that measures the local entrepreneurial culture of a place based on residents’ perceptions. The initial 36-item pool was developed through semi-structured interviews with entrepreneurs and non-entrepreneurs in Kentucky (USA) and then reviewed by a focus group composed of entrepreneurship coaches. These items were included in an extensive survey of rural and urban Kentuckians. Factor analysis resulted in a 17-item scale with four major components. To ascertain the predictive validity of the subscales, a series of analysis of covariance (ANCOVA) models evaluated their correlations with county-level rates of entrepreneurship obtained from an independent data set. The analysis confirmed that perceptions of the local entrepreneurial culture do correlate with entrepreneurial activity. In line with the theoretical model presented in this article, the ANCOVAs also controlled for the modulating effect of important individual-level characteristics and regional factors. The proposed scale is recommended for use by entrepreneurship support programs that provide one-on-one assistance for small businesses, yet seldom assess nor consider how they might improve the entrepreneurial culture of the place where these businesses operate. Furthermore, this measure is an important contribution to entrepreneurship research. Existing measures of entrepreneurial culture focus mostly on the regional and national levels, overlooking the role of local cultural characteristics; they also tend to focus on general cultural attributes rather than on residents’ perceptions of the entrepreneurial climate. This entrepreneurship culture scale opens the door to new directions in research.

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References

1991The theory of planned behavior 1975Belief, Attitude, Intention and Behavior: An Introduction to Theory and Research 1980Understanding Attitudes and Predicting Social Behavior 2003The Theory of Economic Development 2000The Promise of Entrepreneurship as a Field of Research 2001Efficacy of the Theory of Planned Behaviour: A meta‐analytic review 1934The Theory of Economic Development: An Inquiry into Profits, Capital, Credit, Interest, and the Business Cycle 1995Constructing validity: Basic issues in objective scale development.

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2023An evolution of entrepreneurial culture studies: A systematic literature review and future research agenda

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