Cross-Country Entrepreneurial Intentions: A Comparative Analysis of Policies and Culture

Thesis Abstract

Entrepreneurial activity is increasingly understood as a function of both policy ecosystems and cultural norms, yet comparative evidence linking policy environments, cultural dimensions, and entrepreneurial intentions across diverse national contexts remains fragmented. This study addresses the problem by examining how macro-level policy instruments (e.g., startup incentives, regulatory ease, access to finance) interact with cultural attitudes (e.g., individualism, uncertainty avoidance, long-term orientation) to shape entrepreneurial intentions among aspiring founders. The aim is to elucidate the relative and combined influence of policies and culture on cross-country variations in entrepreneurial intentions, informing more effective, context-sensitive policy design and entrepreneurship education. The specific objectives are (1) to quantify the direct effects of policy variables on entrepreneurial intentions across a stratified sample of high-, middle-, and low-innovation economies; (2) to assess the moderating role of cultural dimensions on the policy–intentions relationship; (3) to compare the strength and significance of policy and culture as predictors of entrepreneurial intent in selected OECD and non-OECD contexts; (4) to identify country clusters with similar intention profiles and policy configurations; and (5) to offer actionable recommendations for policymakers and educators to foster entrepreneurial intention under varying cultural settings. The study adopts a cross-sectional, mixed-methods design, combining quantitative analysis with qualitative insights. The population comprises university-age individuals (aged 18–35) enrolled in business, engineering, and social sciences programs across twelve countries representing a spectrum of development and institutional environments. A stratified multi-stage sampling approach yields a target sample of 3,000 usable responses for the quantitative strand. Data collection employs a structured survey instrument integrating established scales for entrepreneurial intention (e.g., the Theory of Planned Behavior-based items), perceived policy support (operationalized via a Policy Support Index), and Hofstede-inspired cultural dimensions. Supplementary country-level indicators are drawn from the World Bank Doing Business, Global Entrepreneurship Monitor, and the World Values Survey. For qualitative depth, 60 in-depth interviews are conducted with aspiring entrepreneurs and policy implementers in six selected countries to contextualize quantitative findings. Quantitative analysis proceeds in three steps (i) multilevel regression models that separate individual-level intentions from country-level policy and culture variables; (ii) moderation analyses to test whether cultural dimensions strengthen or attenuate the impact of policy support on intentions; and (iii) cluster analysis to classify countries into groups with similar intention determinants. The primary analytical techniques include hierarchical linear modeling (HLM) to account for nested data, multiple regression with interaction terms, and robustness checks using propensity-score weighting to mitigate selection bias. The qualitative data are analyzed using thematic analysis, aided by NVivo, to extract themes on perceived policy legitimacy, cultural norms around risk and opportunity, and lived experiences of aspiring entrepreneurs. Key expected findings include (a) policy variables such as ease of starting a business, tax incentives, and government-backed funding positively predict entrepreneurial intentions, with effect sizes varying by country development level; (b) cultural dimensions—particularly higher uncertainty avoidance and collectivism—moderate the policy–intentions link, reducing the marginal impact of policy support in certain contexts; (c) a cross-country typology emerges, with three clusters characterized by distinct policy-culture configurations and corresponding intention profiles; (d) qualitative insights reveal perceived gaps between policy rhetoric and on-the-ground access, and the role of social norms in encouraging or discouraging entrepreneurial risk-taking. The study contributes to knowledge by integrating policy analysis with cultural theory to explain cross-national variation in entrepreneurial intentions, extending the literature beyond single-country assessments, and providing a validated cross-national model capable of informing targeted policy design and entrepreneurship education. It advances methodological approaches by combining multilevel modeling with ideographic qualitative evidence to capture both generalizable effects and contextual nuances. Practical implications include guidance for policymakers on tailoring incentives and regulatory reforms to local cultural contexts, and for educators on designing curricula that leverage favorable cultural predispositions while mitigating barriers identified through the policy landscape. The conclusion emphasizes that synergistic alignment between policy environments and cultural expectations is crucial for elevating entrepreneurial intentions, with recommendations for iterative policy evaluation, cross-country knowledge transfer, and culturally-informed entrepreneurship training.