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Abstract
Purpose – This paper aims to demonstrate the impact of two important
socio-cultural factors on the level of the entrepreneurial activity of
young individuals in rural regions.
Design/methodology/approach – Our empirical study is based on
a sample collected from an adult population survey, and analyzed
using a logit model that controls for territorial and aging sources of
heterogeneity. Our theoretical framework is anchored on a contingency
perspective that emphasizes the unique influences of the contextual
environment in driving entrepreneurial behavior.
Findings – The main findings of our study is that in Spain the
likelihood of being entrepreneurially active is no different for young
and old individuals, and between rural and urban regions. Surprisingly,
unlike shown in most studies, entrepreneurial role models do not
have any effect on the entrepreneurship by young individuals in rural
regions of Spain, while the negative impact of fear of failure in the
entrepreneurship on young individuals in rural regions is much higher
compared to the rest of the population.
Originality/value – Our findings reveal that the context (regional)
has a more significant impact on entrepreneurship for some segments
(younger individuals) of the population than for others.
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