Outside vs. Inside Entrepreneurs: When Institutions Bind and Favors Blind

Wilfred Dolfsma () and Francis de Lanoy

Journal of Economic Issues, 2016, vol. 50, issue 2, 382-389

Abstract: In some societies, entrepreneurs coming from outside of a community (i.e., outside entrepreneurs) are more active than entrepreneurs from within the community (i.e., inside entrepreneurs). Institutions and relationships that entrepreneurs entertain may hamper insiders from starting or succeeding. Institutional economics and anthropology suggest that, rather than outside entrepreneurs having more resources, the case may be that inside entrepreneurs could be hampered by existing institutions that blind and social relations that bind. Outsiders, however, may be less inclined to generate societal value in a community.

Date: 2016
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DOI: 10.1080/00213624.2016.1176483

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