It’s Not Just About the Money: What Actually Promotes New Firm Formation? Evidence from Polish Municipalities

Elżbieta Ociepa-Kicińska (), Rafał Czyżycki, Tomasz Skica and Jacek Rodzinka
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Elżbieta Ociepa-Kicińska: Faculty of Economics, Finance and Management, University of Szczecin, 70-453 Szczecin, Poland
Rafał Czyżycki: Faculty of Economics, Finance and Management, University of Szczecin, 70-453 Szczecin, Poland
Tomasz Skica: Department of Entrepreneurship, University of Information Technology and Management in Rzeszow, 35-225 Rzeszow, Poland
Jacek Rodzinka: Department of Financial Markets and Consumer Finance, Faculty of Economics and Finance, University of Rzeszow, 35-959 Rzeszów, Poland

Sustainability, 2025, vol. 17, issue 13, 1-24

Abstract: This paper examined whether regional differences in Poland affect the use of various tools for supporting local entrepreneurship. It also verified whether there is a universal set of tools that accounts for the level at which local entrepreneurship support tools are used by municipalities. This study was based on a survey conducted among 882 Polish municipalities. Analyses were carried out using classical measures of descriptive statistics, supplemented by the Mann–Whitney U test and Kruskal–Wallis rank. The results reveal that the likelihood of municipalities with a local spatial development plan (LSDP) use more support instruments is statistically significant. For municipalities, having an LSDP also correlates with higher levels of local entrepreneurship. Moreover, the presence of an LSDP contributes not only to increased local entrepreneurship, but also aligns with long-term, sustainable, spatial and economic development goals. It was concluded that municipalities should be encouraged to create comprehensive development plans and, above all, to develop and implement local spatial development plans. Local decision-makers should must be made aware of the role of the plan and its importance for the level of entrepreneurship in the area. More attention should also be focused on the use of tools aimed at direct cooperation with entrepreneurs.

Keywords: municipalities; instruments to support local entrepreneurship; local spatial development plans (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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