The role of institutions in influencing entrepreneurship is a topic of interest to scholars using both sociological and economic perspectives (e.g. Aldrich & Fiol, 1994; North, 1990). However, extant studies have primarily focused on the effects of centralized economic and sociological institutions such as regulations (see Minniti, 2008 for a review) and social movements (e.g. Sine & Lee, 2009). In this study, we develop an integrative cross-institutional model that investigates the effects of decentralized institutions on entrepreneurial entry. In particular, we test whether the efficacy of venture capital availability in driving cleantech entry in a region is moderated by levels of environmental social norms. To do so, we create a unique state-level panel database merging data on cleantech entrepreneurial entry, cleantech venture investment, and environmental social norms. Our results suggest that decentralized economic and socio-cultural institutions have complex complementary effects.
Vedula, Siddharth and York, Jeffrey G.
"THE INTERPLAY BETWEEN ENVIRONMENTAL NORMS AND VENTURE CAPITAL SUPPLY ON DRIVING ENTREPRENEURIAL ENTRY INTO THE CLEAN TECH SECTOR (SUMMARY),"
Frontiers of Entrepreneurship Research: Vol. 33
, Article 13.
Available at: http://digitalknowledge.babson.edu/fer/vol33/iss14/13