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Transitional entrepreneurship in distressed economies is a fairly new concept with respect to new ventures in such challenging economic environments. Formal institutional voids are sometimes held up as a reason for the difficulties present in distressed economies, along with exogenous shocks and other upheavals. In this research, the authors seek to contribute empirically and theoretically as to ways in which formal institutions voids can be filled by a culture developed by transitional entrepreneurs. Indeed, in transition economies, formal institutions need to be enhanced by informal institutions to control corruption and other misbehavior by authorities. Iranian economists emphasize these essential reforms to be able to manage current difficulties, yet top down policies cannot help transitional entrepreneurs benefit from the country’s value-adding cultural heritage to informally address this. To study this, qualitative research methods were used to interpret transitional entrepreneurs’ ideology and ethical routines as the ingredients of a commercial culture that can establish soft law that substitutes for formal institutions. This helps to reduce the disfunctionality of formal institutions in distressed economies.

A thematic analysis interviewing key Iranian entrepreneurs and economists is conducted. Also based on an interpretive paradigm, a hermeneutic cycle has been carried out on selected texts. Results have been verified throughout related literature as to come up with a solid synthesized interpreted outcome.

This paper contributes to theory from a new perspective by discussing transitional entrepreneurship and navigating a distressed economy; in which, ideology and ethics as the ingredients of soft law (Newman and Posner, 2018) are discussed as the base to further develop a commercial culture that fills voids of formal institutions. The formal–informal institutional cycle in distressed economies as the major difficulty entrepreneurs face (Peng and Luo, 2000) is important, because they try to increasingly enhance their move toward a market orientation (Bruton et al., 2008). The authors contribute as to how transitional entrepreneurs can complete this process of adaptation and also the fact that those informal institutions do actually respond to those adaptations. The other contribution is to enrich theories about institutions from the point of view of culture. Knowing these facts helps transitional entrepreneurs, because in distressed communities, formal institutions’ function has an important effect on economic performance (Amorós, 2009). This research’s contributions shed light to help government leaders understand the pros and cons of their actions forced on the industry. As it has been characterized in this research, it can turn in to new formal set of legitimacies (Ahlstrom et al., 2008) to root out corruption and help set the economy on a path to innovation and new venture creation.

Transitional entrepreneurs can depend on the less formal cultural-cognitive aspect of ethics and ideology. These entrepreneurs can be working on the burgeoning private sector, who want to connect with the outside effectively to overcome an economy in distress. Transitional entrepreneurs may face governmental institutional intermediaries as a barrier. Formal intermediaries tend to benefit from inefficiencies caused by hierarchal orders and will improve informality in order to overcome difficulties. In this research, institutional theory from the third pillar of the cultural-cognitive sheds light on transitional entrepreneurship in distressed economies, where inquiry is to fill voids of formal institutions as a process of possible linking between new generated soft law derived by beliefs, ideology and professional morality in order to influence (old) legitimacies. The research’s focus evolves on values transitional entrepreneurs utilize to build informal institutions and then impact further on formal institutions to handle distressed communities. This theoretical background expands on subsections to define conceptual building blocks for the study, essential aspects such as individuals as transitional entrepreneurs, the values they utilize to generate soft law, informal institutions and soft law, to manage voids in formal institutions and legitimacy building aspects in policy agenda setting for transitional entrepreneurship in distressed economies.

The purpose of this paper is to conduct a systematic review of the factors that shape tax morale. A large range of random explanatory variables identified in the literature as determinants of tax morale are synthesised and structured by drawing inspiration from the institutional theory.

To do this, a systematic search has been conducted using a library catalogue which provides access to more than 400 databases.

The finding is that the institutional theory provides a suitable theoretical basis to explore tax morale. Indeed, all the factors until now identified as determinants of tax morale (except the control variables/socio-demographic characteristics) can be categorised either as belonging to formal institutions or to informal institutions. The most salient factor is trust, with both vertical and horizontal trust positively related to tax morale.

The outcome is a call for a more nuanced understanding of not only the effect of formal and informal institutions on tax morale but also how formal and informal institutions interact and alter each other and, consequently, affect tax morale.

The paper seeks to encourage governments to start recognising that as low tax morale arises when a gap exists between formal and informal institutions, they need to design policy measures aimed to reduce this gap, rather than persisting with deterrence measures.

This is the first systematic review of the factors that influence tax morale using an institutionalist lens.

The purpose of this paper is to analyze firms and employees’ strategies in illegitimate institutional contexts in which non-governmental armed groups enforce illegitimate activities in firms and civil society. The aim is to recognize employees as key and effective players in implementing ambidextrous organizational and human resource management (HRM) strategies. We know little regarding employee norms and behaviors in complying with global market standards while surviving in environments characterized by high levels of civil violence and crime.

This paper presents an explorative, qualitative study based on 65 semi-structured interviews and conversations with employees in Colombia and Mexico over four years.

The findings of this paper indicate that the presence of non-governmental armed groups forces firms, HR departments and front-line managers to strategically exploit security measures inspired by employees’ informal institutions to protect firm assets while implementing innovative exploration strategies to improve employee work conditions, survive in unsafe environments and remain internationally competitive.

The findings suggest that organization, HRM and employee ambidexterity are organizational advantages in illegitimate institutional contexts. This study contributes to the literature linking ambidexterity and institutional theory by emphasizing informal institutions when examining employment relationships in unsafe environments.

o objetivo deste trabalho é fazer uma análise das estratégias de empresas e empregados em contextos institucionais ilegítimos onde grupos armados afetam empresas e sociedade civil através da implementação de atividades fora da lei. O objetivo é reconhecer aos empregados como funcionários-chave e efetivos na implementação de estratégias de ambidestria organizacional e da gestão de recursos humanos (HRM). Conhecemos poucas informações sobre as políticas, estratégias, práticas e comportamentos dos funcionários para cumprir com os padrões globais, as suas responsabilidades e funções no cargo, enquanto procuram sobreviver em simultâneo em contextos que têm um alto nível de violência e criminalidade contra a população.

Este artigo apresenta um estudo exploratório sob uma abordagem qualitativa com base em 65 entrevistas semiestruturadas e conversas com funcionários na Colômbia e no México ao longo de um período de quatro anos.

Nossas descobertas indicam que os grupos armados não governamentais têm forçado organizações, setores de recursos humanos e gerentes da linha de frente a explorar estrategicamente medidas de segurança inspiradas nas instituições informais para proteger os ativos da empresa. Além disso, as empresas têm adotado estratégias exploratórias inovadoras para melhorar as condições de trabalho dos funcionários, lidar e sobreviver em ambientes de risco e continuar sendo competitivas internacionalmente.

Nossas descobertas sugerem que a organização, a gestão dos recursos humanos e ambidestria dos funcionários são uma vantagem organizacional em contextos institucionais ilegitimos. Nosso estudo tem como objetivo contribuir para a literatura que liga a ambidestria com a teoria institucional com o fim de destacar o papel das instituições informais na análise das relações de trabalho em ambientes inseguros.

Instituições Informais, instituições ilegítimas, Ambidestria, Gupos armados não-governamentais, Colômbia, México

Tipo de artículo – Trabajo de pesquisa

el propósito de este trabajo es analizar las estrategias de las empresas y los empleados en contextos institucionales ilegítimos en los que los grupos armados afectan a las empresas y la sociedad civil mediante la implementación de actividades al margen de la ley. El objetivo es reconocer a los empleados como actores clave y efectivos en la implementación de estrategias de ambidestreza organizacional y de gestión de recursos humanos (HRM). Sabemos poco sobre las políticas, estrategias, prácticas y comportamientos de los empleados para cumplir con los estándares mundiales, sus responsabilidades y funciones en el cargo y al mismo tiempo sobrevivir en entornos caracterizados por un alto grado de delincuencia y violencia hacia la población civil.

este documento presenta un estudio exploratorio bajo una perspectiva cualitativo basado en 65 entrevistas semiestructuradas y conversacionales con empleados en Colombia y México durante un período de cuatro años.

nuestros hallazgos indican que grupos armados al margen de la ley han obligado a organizaciones, departamentos de recursos humanos y gerentes de primera línea a explotar estratégicamente medidas de seguridad inspiradas en instituciones informales para proteger activos de la empresa mientras implementan estrategias exploratorias innovadoras para mejorar las condiciones de trabajo de los empleados, sobrellevar y sobrevivir en entornos de riesgo e inseguros y, a la par, seguir siendo competitivos en el plano internacional.

nuestros hallazgos sugieren que la organización, la gestión de recursos humanos y la ambidestreza de los empleados son una ventaja organizativa en contextos institucionales ilegítimos. Nuestro estudio tiene como objetivo contribuir a la literatura que vincula la ambidestreza y la teoría institucional destacando las instituciones informales para examinar las relaciones en entornos inseguros.

Instituciones informales, Instituciones ilegítimas, Ambidestreza, Grupos armados no gubernamentales, Colombia, México

Trabalho de investigação

This study aims to identify informal institutions for bottom-of-the-pyramid (BoP) business models in the agricultural sector through the case study of banana growers’ cooperatives.

A case study of six banana cooperatives from Colombia was conducted. The research followed a mixed design, using both qualitative and quantitative data and the application of structural equations.

This study shows that social capital, networking and alliances are essential in BoP businesses.

Authors defined a model of informal institutional factors for the generation of economic and social value in inclusive business, using the new institutional theory and the conceptual development of BoP in agri-business.

This study explores whether religion plays an important role in corporate poverty alleviation. Religious atmosphere affects managers' attitude towards corporate social responsibility (CSR) and then influences corporate poverty alleviation. This study first examines the impact of religious atmosphere on corporate poverty alleviation and then investigates whether formal institutions, such as law enforcement environments and ownership, influence the relationship between religious atmosphere and corporate poverty alleviation behavior.

In 2016, the Chinese government initiated a nationwide campaign aiming to eliminate poverty in China by 2020. The authors conduct empirical tests with data on Chinese listed firms from 2016 to 2020. The religious atmosphere is measured by the number of Buddhist monasteries and Taoist temples within a certain radius around Chinese listed firms' registered addresses. The authors adopt the ordinary least squares (OLS) method for regression and take the two-stage least squares (2SLS) method to address the endogeneity issue.

The results show a positive relationship between religious atmosphere and corporate poverty alleviation donations. Law enforcement attenuates the positive association between the religious atmosphere and corporate poverty alleviation donations. Religion and corporate poverty alleviation donations have a more positive association for non-state-owned enterprises (non-SOEs) than for state-owned enterprises (SOEs).

The authors' findings have important implications. First, this study inspires incorporating the ethical value of traditional culture, such as religion, into CSR. Second, the findings imply that informal institutions have a greater impact on corporate decision-making when formal institutions are weak, suggesting that informal institutions should be emphasized when promoting CSR in countries where formal institutions are relatively weak. The study investigates only religious influence on corporate poverty alleviation based on Buddhism and Taoism, but the authors do not examine the impacts of other religions. Future research may examine the relationships between other religions and corporate poverty alleviation in China.

This study illustrates the positive role played by religion in promoting CSR by relating religious atmosphere to corporate poverty alleviation. It fills the research gap between religion and CSR and also contributes to the literature on determinants of corporate poverty alleviation.

The purpose of this paper is to examine how entrepreneurship culture affects start-up and venture capital co-evolution during the early evolution of an entrepreneurial ecosystem (EE) and its ability to foster the emergence of ambitious entrepreneurship as an outcome of its activity. Unlike studies that capture entrepreneurship culture at the national level, this study focusses specifically on the culture of venture capital-financed entrepreneurship and understanding its implications to the development of venture capital markets and successful firm-level outcomes within ecosystems.

Relying on EE and organisational imprinting theory, this study specifies characteristics of venture capital-financed entrepreneurship of Silicon Valley to illustrate the American way of building start-ups and examine whether they have as imprints affected to the entrepreneurship culture and start-up and venture capital co-evolution in Finland during the early evolution of its EE between 1980 and 1997.

The results illustrate venture capital-financed entrepreneurship culture as a specific example of entrepreneurship culture beneath the national level that can vary across geographies like the findings concerning Finland demonstrate. The findings show that this specific culture matters through having an impact on the structural evolution and performance of EEs and on the ways how they deliver or fail to deliver benefits to entrepreneurs.

The results show that venture capital-financed entrepreneurship and the emergence of success stories as outcomes of start-up and venture capital co-evolution within an EE are connected to a specific type of entrepreneurship culture. This paper also contributes to the literature by connecting the fundamentals of organisational imprinting to EE research.

Contrasting two countries with different gender regimes and welfare states, Sweden and Tanzania, this paper aims to analyse how the institutional context affects the ways in which a neo-liberal reform agenda is translated into institutional changes and propose how such changes impact the preconditions for women’s entrepreneurship.

This study uses document analysis and previous studies to describe and analyse the institutions and the institutional changes. This paper uses Scandinavian institutional theory as the interpretative framework.

This study proposes that: in well-developed welfare states with a high level of gender equality, consequences of neo-liberal agenda for the preconditions for women entrepreneurs are more likely to be negative than positive. In less developed states with a low level of gender equality, the gendered consequences of neo-liberal reforms may be mixed and the preconditions for women’s entrepreneurship more positive than negative. How neo-liberalism impacts preconditions for women entrepreneurs depend on the institutional framework in terms of a trustworthy women-friendly state and level of gender equality.

The study calls for bringing the effects on the gender of the neo-liberal primacy of market solutions out of the black box. Studying how women entrepreneurs perceive these effects necessitates qualitative ethnographic data.

This paper demonstrates why any discussion of the impact of political or economic reforms on women’s entrepreneurship must take a country’s specific institutional context into account. Further, previous studies on neo-liberalism have rarely taken an interest in Africa.

The aim is to advance the conceptualisation of island entrepreneurship by investigating how the island context, for example, industry characteristics, social context and formal and informal institutions, influences the development of artisan food businesses in that context.

An applied, qualitative and participatory research approach was implemented. Data were collected during a business development process focusing on food artisans in the Åland Islands. In total, 19 business owners participated in the process. Key informants and public officers were interviewed, and the literature was reviewed. Interviews were analysed using phenomenography to identify representative categories, and the literature was analysed using content analysis.

Island characteristics and context, local institutions, the quality of social capital and gendered institutions influence business activities positively and negatively. Island entrepreneurship entails mobilising agencies to find innovative solutions that enable businesses to overcome obstacles. Most previous research treats business activities as entrepreneurship; however, as self-employment is essential in the island context, it should be highlighted in future studies.

This study illustrates how the island context influences the business development of small firms. Results indicate that local policies (1) benefitting female entrepreneurs, (2) supporting local businesses and (3) promoting locally produced artisan food could generate benefits for the entire artisan food businesses.

Local policies that (1) benefit female entrepreneurs, (2) support local businesses and (3) promote locally produced artisan food have the potential to generate benefits for the entire trade. Policies can benefit from an understanding of the role played by different ecosystem actors. Promoting self-employment can generate benefits for the local entrepreneurial ecosystem by providing agglomeration and helping to solve some challenges caused by the characteristics of islands.

Empirically, this research enhances the knowledge of post-productive responses in the island context. Theoretically, the study advances the conceptualisation of research on the island entrepreneurship context and the local food debate.

The purpose of the paper is to evaluate what caused the debates and confusion in articulating a gender-equal inheritance policy in Bangladesh, and to identify the socio-political drivers and nature of the political power play that thwarted the policy’s adoption.

The research undergirding this paper is based on a qualitative approach involving a case study with in-depth semi-structured interviews, focus-group discussions, and secondary data analysis. The interviews were conducted with policy makers, officials, lawyers, women activists, Muslim religious scholars, Hindu priests, academics and researchers, and women representing Hindu and Muslim religions.

The findings illustrate that the controversies between the Islamic religion and national and international policies led to serious debates and confusion about gender-equal rights of inheritance in Bangladesh. The failure to formulate and adopt a gender-equal inheritance policy was influenced by several socio-political phenomena and gender-biased institutional settings. This kind of policy is deeply political, and cultural compatibility is necessary to formulate it, especially when the policy affects religious sentiments. Religious sentiments and beliefs, which are associated with religion-based personal law, therefore influence both the formulation or non-formulation of a gender-equal policy. To move forward with the fundamental idea of women’s inclusion, there is a strong need to identify the socio-cultural and political drivers behind formulating, non-formulating, as well as implementing a gender-equal policy.

The paper will be beneficial to scholars and policy makers who seek to explore the epicenter of challenges and opposition to formulating a gender-equal policy in the context of a developing country with a Muslim majority.