Entrepreneurial activity in China and Pakistan: a GEM data evidence

Abstract

Purpose

This study aims to compare the entrepreneurial activity in China and Pakistan based on these factors: fear of failure, perceived capabilities, perceived opportunities, and knowledge of other entrepreneurs.

Design/methodology/approach

The authors use the data from global entrepreneurship monitor (GEM). In this study, the authors use the cross-sectional data for survey year 2010, both for China and Pakistan. The authors employed the sequential logistic regression model in order to predict the likelihood of involvement in entrepreneurial activity.

Findings

Chinese are not significantly influenced by their fear of failure to engage in entrepreneurial activity. Gender is also not a significant predictor of entrepreneurial activity in China. In Pakistan, perception of opportunities does not significantly predict whether to involve in entrepreneurial activity or not, while other factors do. Gender is a significant predictor of entrepreneurial activity in Pakistan.

Originality/value

Previously literature is lacking in this kind of a unique comparison based upon GEM data evidence. There are many lessons for Pakistan in this study. There is a need to create awareness among people about the fruits of self-employment. Government should create a conducive environment for doing business. Efforts should be made to enhance the women participation in business.

Citation

Anwar ul Haq, M., Usman, M., Hussain, N. and Anjum, Z.-u. (2014), "Entrepreneurial activity in China and Pakistan: a GEM data evidence", Journal of Entrepreneurship in Emerging Economies, Vol. 6 No. 2, pp. 179-193. https://doi.org/10.1108/JEEE-03-2014-0006