Measurement and structural invariance of entrepreneurial investment climate: A cross-country scale development

Dae-il Nam, Juhee Kim, Jonathan D. Arthurs, John J. Sosik and John B. Cullen

International Business Review, 2016, vol. 25, issue 5, 1053-1065

Abstract: Testing invariance is important in cross-cultural studies because a lack of invariance may bias empirical results and lead to improper theoretical inferences. This study introduces and validates a scale for measuring entrepreneurial investment climate, consisting of four factors: Societal stability, Labor and Regulations, Quality of Infrastructure, and Ease of Finance. The instrument was developed using World Bank Group data from 51,169 firms and 72 institutional profiles to determine investment climate. Confirmatory factor analyses reveal the validity of the scale and its robustness across country types and time. The study’s implications for practice and future research are discussed.

Keywords: Invariance; Investment climate; Entrepreneurship; Property rights; Institutional environment (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S096959311630004X
Full text for ScienceDirect subscribers only

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:eee:iburev:v:25:y:2016:i:5:p:1053-1065

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/133/bibliographic
http://www.elsevier. ... me/133/bibliographic

DOI: 10.1016/j.ibusrev.2016.01.004

Access Statistics for this article

International Business Review is currently edited by P. Ghauri

More articles in International Business Review from Elsevier
Bibliographic data for series maintained by Catherine Liu ().