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Assessing the role of risk-driven entrepreneurial actions in achieving sustainable development goals 1 and 2 in Africa: does democracy matter?

Sofien Tiba (Faculty of Economics and Management of Sfax, University of Sfax, Sfax, Tunisia)
Waleed Omri (Excelia Group, La Rochelle, France)
Muhammad Zubair Chishti (Business School, Zhengzhou University, Zhengzhou, China)

Journal of Entrepreneurship and Public Policy

ISSN: 2045-2101

Article publication date: 2 October 2024

Issue publication date: 29 October 2024

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Abstract

Purpose

This study rigorously examines the complex interplay between entrepreneurial risk-taking and the achievement of sustainable development goals 1 and 2, which focus on eradicating poverty and hunger, respectively. By conducting a comprehensive review of existing literature and empirical data, the research aims to unravel the direct impact of risk-oriented entrepreneurial activities on poverty and hunger alleviation. Moreover, it seeks to investigate the moderating role of democratic governance in shaping these effects within the context of African economies.

Design/methodology/approach

By employing a Panel Smooth Transition Regression (PSTR) model and using annual and balanced panel data for 20 African countries over 21 years, we examine a potential regime switching as an original framework in the analysis of the curvilinear relationship between risk-driven entrepreneurial actions and sustainable development goals 1 and 2.

Findings

Our empirical results confirm the presence of a specific threshold above which risk-oriented entrepreneurial actions proactively tackle poverty and hunger issues. The results also show that entrepreneurship associated with a good level of democracy is the fair tradeoff toward eradicating extreme poverty and hunger by the 2030th United Nations (UN) deadline.

Originality/value

This study offers novel insights into the role of entrepreneurial risk-taking at the country level in achieving sustainable development goals 1 and 2. It advances research on entrepreneurship and sustainable development by demonstrating how a strong risk culture among entrepreneurs might make regions more developed while building on suitable institutional quality.

Keywords

Citation

Tiba, S., Omri, W. and Chishti, M.Z. (2024), "Assessing the role of risk-driven entrepreneurial actions in achieving sustainable development goals 1 and 2 in Africa: does democracy matter?", Journal of Entrepreneurship and Public Policy, Vol. 13 No. 4, pp. 669-693. https://doi.org/10.1108/JEPP-10-2023-0104

Publisher

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Emerald Publishing Limited

Copyright © 2024, Emerald Publishing Limited

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