Bankruptcy laws, entrepreneurs’ socio-cognitions, and the pursuit of innovative opportunities

Wenping Ye (), Zhongfeng Su () and David Ahlstrom ()
Additional contact information
Wenping Ye: Jinan University
Zhongfeng Su: Xi’an Jiaotong University
David Ahlstrom: Chinese University of Hong Kong

Small Business Economics, 2022, vol. 59, issue 3, No 11, 1005-1022

Abstract: Abstract This study explores the effect of bankruptcy laws on the quality of entrepreneurship and the moderating role of an entrepreneur’s socio-cognitions in it. By adopting the pursuit of innovative opportunities to represent the quality of entrepreneurship, we find that stringent bankruptcy laws inhibit an entrepreneur from pursuing more innovative opportunities, and this effect is mitigated by the entrepreneur’s self-efficacy but does not vary with fear of failure. The findings help draw a more comprehensive picture of the linkage between bankruptcy laws and entrepreneurship and advance our knowledge on factors that influence the choice among different types of opportunity. Moreover, this study is one of the first attempts to combine insights of the institution-based view of entrepreneurship and the social cognitive theory.

Keywords: Bankruptcy laws; Opportunity type; Fear of failure; Self-efficacy; The social cognitive theory; The institution-based view of entrepreneurship; The quality of entrepreneurship; D02; H70; K29; M13 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

Downloads: (external link)
http://link.springer.com/10.1007/s11187-021-00563-9 Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:sbusec:v:59:y:2022:i:3:d:10.1007_s11187-021-00563-9

Ordering information: This journal article can be ordered from
http://www.springer. ... 29/journal/11187/PS2

DOI: 10.1007/s11187-021-00563-9

Access Statistics for this article

Small Business Economics is currently edited by Zoltan J. Acs and David B. Audretsch

More articles in Small Business Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().