New IE Articles – January 2023

Journal of Small Business Management—DOI: https://doi.org/10.1080/00472778.2022.2149761

International new ventures: Beyond definitional debates to advancing the cornerstone of international entrepreneurship

(ie-Scholar.net Editor Note: this an insightful editorial to a Special Issue on IE yet to be published)

Daniel R. Clark, Robert J. Pidduck

International entrepreneurship—the field dedicated to the discovery, enactment, evaluation, and exploitation of opportunities across national borders to create future goods and services—is as inextricably linked to firm activity as entrepreneurship, strategy, or international business. However, for much of the past 30 years the field has been hampered by confusion and inconsistency over definitions and existential questions such as, “What is a born global?”; “what is an international new venture?”; and “how does one distinguish emerging firm types?” While many of these questions have been previously answered in isolation, confusion remains, as the field lacks a coherent unified perspective of firm activity. In this introduction to our thematic issue on international entrepreneurship, we address this need, present a unified model of international new ventures drawn from the latest definitions and distinctions, and call for future research that fully integrates form into the conversations of opportunity, technology, liability, and the unique network and value-chain alignments that exist across borders. We also discuss how we can better integrate and add value to nascent trends more broadly from neuroscience, deglobalization, intercultural arbitrage, and other areas.

Organization Science – DOI: https://doi.org/10.1287/orsc.2022.1645

Cultural Roots of Entrepreneurship: Evidence from Second-Generation Immigrants

Johannes Kleinhempel, Mariko J. Klasing, Sjoerd Beugelsdijk 

Does national culture influence entrepreneurship? Given that entrepreneurship and the economic, formal institutional, and cultural characteristics of nations are deeply intertwined and co-vary, it is difficult to isolate the effect of culture on entrepreneurship. In this study, we examine the self-employment choices of second-generation immigrants who were born, educated, and currently live in one country, but were raised by parents stemming from another country. We argue that entrepreneurship is influenced by durable, portable, and intergenerationally transmitted cultural imprints such that second-generation immigrants are more likely to become entrepreneurs if their parents originate from countries characterized by a strong entrepreneurial culture. Our multilevel analysis of two independent samples—65,323 second-generation immigrants of 52 different ancestries who were born, were raised, and live in the United States and 4,165 second-generation immigrants of 31 ancestries in Europe—shows that entrepreneurial culture is positively associated with the likelihood that individuals are entrepreneurs. Our results are robust to alternative non-cultural explanations, such as differences in resource holdings, labor market discrimination, and direct parent-child linkages. Overall, our study highlights the durability, portability, and intergenerational transmission of entrepreneurial culture as well as the profound impact of national culture on entrepreneurship.