Corruption and entrepreneurship in developed and emerging economies

Motoki, Fabio Yoshio Suguri, Mainardes, Emerson Wagner and Tejeda, José (2025) Corruption and entrepreneurship in developed and emerging economies. Journal of the Knowledge Economy. ISSN 1868-7865

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Abstract

The aim of this study was to clarify how entrepreneurship is affected at the individual level by corruption. To this end, we investigated how major corruption scandals impact entrepreneurs in developed and emerging economies. After observing what the literature says, we developed quantitative research with secondary data. We use individual-level data from the Global Entrepreneurship Monitor to study how entrepreneurs react to major corruption scandals in a developed and an emerging economy. Results indicate that for the developed economy, major corruption events have virtually no direct effect on entrepreneurs' decisions, and relations between entrepreneurs' perceptions and characteristics and entrepreneurial variables are stable. However, in the emerging economy, it has a severe negative direct impact on future intentions. It can change the relationship between several entrepreneurs' perceptions and characteristics and entrepreneurial variables, further impairing future intentions. The volatility we document in the weaker institutional environment is a novel result that may help conciliate conflicting results in the literature and expands the literature on moderating factors in entrepreneurship.

Item Type: Article
Additional Information: Data Availability: The data is publicly available from the cited sources. The merged dataset and code are available at https://doi.org/10.7910/DVN/O3SSHC. Funding Information: This research was supported by Brazilian National Council for Scientific and Technological Development (CNPq/Brazil), project 307202/2021–6, by Foundation for Research Support of Espírito Santo (FAPES/Brazil), projects 2022-687ZR (644/2022), 2022-31G9Q (1010/2022), 2024-6GHS8 (335/2024), 2024-C29RR (392/2024), and by NECE and this work is supported by FCT—Fundação para a Ciência e a Tecnologia, I.P. by project reference UIDB/04630/2020 and https://doi.org/10.54499/UIDP/04630/2020.
Uncontrolled Keywords: sdg 8 - decent work and economic growth,sdg 16 - peace, justice and strong institutions,1* ,/dk/atira/pure/sustainabledevelopmentgoals/decent_work_and_economic_growth
Faculty \ School: Faculty of Social Sciences > Norwich Business School
Depositing User: LivePure Connector
Date Deposited: 19 Mar 2025 14:30
Last Modified: 28 Mar 2025 13:14
URI: https://ueaeprints.uea.ac.uk/id/eprint/98807
DOI: 10.1007/s13132-025-02662-4

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