Entrepreneurship, Innovation and Regional Development

Entrepreneurship, Innovation and Regional Development

Edited by David Smallbone, Markku Virtanen and Arnis Sauka

Entrepreneurship and innovation are arguably the main drivers of economic development today. This book explores the two in depth, at both the national and regional levels, using a variety of methodologies. The expert contributors discuss the subject from a policy perspective, with case studies from a host of countries including new member states of the EU as well as established EU member states. Split into three parts, the book focuses on: innovation, entrepreneurial activity and regional development, and entrepreneurship and SME policy.

Chapter 7: Entrepreneurial activity of the Russian population: factors of cross-regional diversity – methodology, indicators, preliminary findings

Alexander Chepurenko, Vladimir Elakhovsky and Ekaterina Popovskaya

Subjects: business and management, entrepreneurship, geography, economic geography, urban and regional studies, regional economics

Abstract

The chapter, based on the results of a survey conducted in 2011, deals with the factors explaining the uneven dissemination of entrepreneurial activity in Russia’s regions using the methodology of the Global Entreprenership Monitor (GEM) and a regionally representative sample of the adult population (N = 56 900). Most results do not confirm the evidence of the relevant literature dealing with Western economies: namely, a higher density of small and medium-sized enterprises (SMEs) does not guarantee the prevalence of opportunity-driven entrepreneurs; only a rather low correlation between the level of urbanization and the general Total Early-Stage Entrepreneurial Activity (TEA) index level could be found; the higher the level of urbanization, the higher also the prevalence of opportunity-driven early entrepreneurship; the correlation between unemployment and the share of necessity-driven early entrepreneurship in both urban and rural settlements is insignificant. Moreover, the level of well-being correlates with the share of opportunity-driven early entrepreneurship on the regional level. However, the correlation between both well-being (expressed in terms of both factual consumption as well as gross regional product per capita) and the TEA is non-significant. When both perceived opportunities to start a new venture and self-efficacy (especially) are higher, the TEA in respective regions is higher as well; but an analogous hypothesis for settlements types was denied.

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