A1 Journal article (refereed)
Entrepreneurial choices depend on trust : Some global evidence (2022)

Mangeloja, E., Ovaska, T., & Takashima, R. (2022). Entrepreneurial choices depend on trust : Some global evidence. Journal of International Entrepreneurship, 20(4), 564-590. https://doi.org/10.1007/s10843-022-00315-0

JYU authors or editors

Publication details

All authors or editors: Mangeloja, Esa; Ovaska, Tomi; Takashima, Ryo

Journal or series: Journal of International Entrepreneurship

ISSN: 1570-7385

eISSN: 1573-7349

Publication year: 2022

Publication date: 12/04/2022

Volume: 20

Issue number: 4

Pages range: 564-590

Publisher: Springer Science and Business Media LLC

Publication country: Netherlands

Publication language: English

DOI: https://doi.org/10.1007/s10843-022-00315-0

Publication open access: Not open

Publication channel open access: 

Publication is parallel published (JYX): https://jyx.jyu.fi/handle/123456789/84125

Abstract

Interpersonal trust and people’s trust in institutions are important components of social capital, which has been shown to have not only innate social value but also diverse direct and indirect positive social and economic impacts. Using data for an economically and globally diverse group of countries, we examine empirically how changes in interpersonal trust and trust in institutions affect entrepreneurship over time. Our findings suggest that (1) enhancing either type of trust leads to more entrepreneurial activity and (2) an increase in interpersonal trust causes a structural change in the composition of the TEA-type entrepreneurship. Increased trust reduces the share of relatively lower value-added necessity-driven entrepreneurial activity and increases the share of higher value-added improvement-driven opportunity entrepreneurial activity (Schumpeterian entrepreneurship).

Keywords: trust; business operations; entrepreneurship; enterprises; institutions (social mechanisms); social justice; social relations; human relations; interaction; social interaction; experiences (knowledge); customer experience; effects (results); social effects; economic effects

Free keywords: entrepreneurship; Global Entrepreneurship Monitor (GEM); Index of Economic Freedom (IEF); trust; World Bank Global Entrepreneurship Surveys (WBGES); World Values Survey (WVS)

Contributing organizations

Ministry reporting: Yes

Reporting Year: 2022

JUFO rating: 1