Entrepreneurial ecosystems in conflict regions: evidence from Ukraine

Belitski, M. ORCID: https://orcid.org/0000-0002-9895-0105, Cherkas, N. and Khlystova, O. ORCID: https://orcid.org/0000-0002-1205-1329 (2022) Entrepreneurial ecosystems in conflict regions: evidence from Ukraine. Annals of Regional Sciences. ISSN 1432-0592 doi: 10.1007/s00168-022-01203-0

Abstract/Summary

Entrepreneurship is a productive force of innovation and economic development. However, in post-conflict regions, there is a greater challenge in allocating entrepreneurial talent to productive entrepreneurship. In this study, we examine the entrepreneurship ecosystem, which is built on the “bottom-up” principles to understand whether its pillars can facilitate productive entrepreneurship in two Ukrainian regions shaken by multiple revolutions and regime change. We introduce a model that puts entrepreneurial conditions in cities and formal institutional changes to a competitive test. Building on the regional entrepreneurship literature, we perform an empirical study in a developing country to reveal what drives productive entrepreneurship in post-conflict regions with entrepreneurship culture, formal networks, debt and equity financing emerging as important determinants of productive entrepreneurship. The effect of formal institutions is significant but highly correlated with rent-seeking behavior of government and corruption. Our analysis suggests that the entrepreneurial conditions in regions focusing on the bottom-up processes of supporting entrepreneurship should work better to enhance productive entrepreneurship activity in a post-conflict region.

Item Type	Article
URI	https://reading-clone.eprints-hosting.org/id/eprint/110689
Item Type	Article
Refereed	Yes
Divisions	Henley Business School > Digitalisation, Marketing and Entrepreneurship Henley Business School > Leadership, Organisations, Behaviour and Reputation
Publisher	Springer
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