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Comparison of the entrepreneurial motivation in different economic groups

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Abstract

Entrepreneurship is one of the factors affecting the growth of economies worldwide. Hence, the growth of the entrepreneurship rate will be one of the concerns of policymakers in today’s societies. In order to study the factors affecting the growth of entrepreneurship rate, this fact that the attitude of individuals and the method they consider for launching a business varies from person to person is obvious. Since the opportunity-based and necessity-based entrepreneurial activities are two different attitudes in the business initiation, so, the purpose of this study is to demonstrate the existence of a significant difference in these indicators across developed and underdeveloped societies. Hence, using the dataset gathered by the Global Entrepreneurship Monitor (GEM) in 2015, this article tried to analyze the difference in the opportunity-based and necessity-based entrepreneurship rates in the factor-driven, efficiency-driven, and innovation-driven economies across the GEM member countries. As well as, with respect to the type and size of samples, the appropriate methods have been applied to reach reliable results. To compare the mean values of different groups, depending on sample size and parametric or nonparametric conditions, the ANOVA methods are being used. To this end, the Least Significant Difference (LSD), and the Wilcoxon method were the statistical ways to demonstrate the significant difference between the subgroups made by the GEM member countries. As a matter of fact, this study methodically showed that the opportunity-based entrepreneurship, as opposed to the necessity-driven entrepreneurship, in innovation-driven economies is more than in factor-driven economies. As a result, this study refers to the importance of motivation in launching efficient businesses.

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Data availability

The reports and dataset on individual and environmental factors affecting the entrepreneurship status, released by the Global Entrepreneurship Monitor (GEM) in the year 2015 have been used throughout this study.

Notes

  1. Throughout the remainder of this study either necessity and mandatory might be used equivalently.

  2. The United Nations Development Programme (UNDP) is the United Nations’ global development network. Headquartered in New York City, UNDP advocates for change and connects countries to knowledge, experience and resources to help people build a better life.

  3. The classification of economies into three groups (factor-driven, efficiency-driven, and innovation-driven) is comprehensively discussed in GEM 2015–2016 report. The report is available on https://www.gemconsortium.org/report/gem-2015-2016-global-report.

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Acknowledgments

We are grateful to Dr. Nezameddin Faghih and the reviewers for their wonderful comments and suggestions throughout the review process. Additionally, we highly wish to thank our parents and family for inspiriting us during this research.

Abbreviations

Global Entrepreneurship Monitor (GEM), Human Development Index (HDI), Total Early-stage Entrepreneurial Activities (TEA), World Economic Forum (WEF), Analysis of Variance (ANOVA), United Nations Development Programme (UNDP), Least Significant Difference (LSD).

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Authors and Affiliations

  1. Shiraz University, Shiraz, Iran

    Nezameddin Faghih

  2. School of Mathematics, Statistics, and Computer Science, University of Tehran, Tehran, Iran

    Ebrahim Bonyadi

  3. Faculty of Entrepreneurship, University of Tehran, Tehran, Iran

    Lida Sarreshtehdari

Authors
  1. Nezameddin Faghih
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  2. Ebrahim Bonyadi
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  3. Lida Sarreshtehdari
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Contributions

Nezameddin Faghih: The main ideas behind the paper have been developed by him and also he acted as the supervisor trying to improve the structures of this article.

Ebrahim Bonyadi: Conceptualization, Methodology, Software (including R programing language, and SPSS), Validation, Formal analysis, Data Curation, Writing - Original Draft, Writing - Review & Editing, Supervision, Project administration.

Lida Sarreshtehdari: Investigation, Resources, Formal analysis, Writing - Original Draft, Visualization, Project administration.

Corresponding author

Correspondence to Ebrahim Bonyadi.

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Faghih, N., Bonyadi, E. & Sarreshtehdari, L. Comparison of the entrepreneurial motivation in different economic groups. J Glob Entrepr Res 11, 29–39 (2021). https://doi.org/10.1007/s40497-021-00268-z

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