Examining the causal relationship of entrepreneurial ecosystem and process: New contribution from an emerging economy

Dedi Kurniawan, Agus Sofian Eka Hidayat, Suwinto Johan


Existing literature on entrepreneurial ecosystems mostly ignores empirical research on the causal relationship between entrepreneurial ecosystems and their outputs. Therefore, this study examined the causal relationship of the entrepreneurial ecosystem on opportunity recognition, exploitation, and venture growth as its ecosystem outputs. This is quantitative research with the survey method. The study population is startup actors in Indonesia, consisting of owners, chief executive officers, and managers. The accidental sampling method with rigid screening questions was applied and questionnaires were distributed online through social media and messaging apps. The questionnaire was prepared using the Multi-dimensional Entrepreneurial Ecosystem Scale (MEES) to determine the ecosystem construct. Data were analyzed using the Structural Equation Modeling (SEM) techniques in the AMOS application. The result showed that the entrepreneurial ecosystem significantly affects opportunity recognition, exploitation, and venture growth. This fills the gap in this research and helps decision-makers in facilitating a better entrepreneurial ecosystem.


Entrepreneurial ecosystem; multi-dimensional entrepreneurial ecosystem scale; opportunity exploitation; opportunity recognition; venture growth.

Full Text:


Article Metrics

Abstract views : 0| PDF views : 0


Ahmad, N., & Seymour, R. G. (2008). Defining Entrepreneurial Activity: Definitions Supporting Frameworks for Data Collection (No. 2008; 01). https://doi.org/10.1787/243164686763

Alvedalen, J., & Boschma, R. (2017). A critical review of entrepreneurial ecosystems research: towards a future research agenda. European Planning Studies, 25(6), 887–903. https://doi.org/10.1080/09654313.2017.1299694

Audretsch, D. B., & Belitski, M. (2017). Entrepreneurial ecosystems in cities: establishing the framework conditions. Journal of Technology Transfer, 42(5), 1030–1051. https://doi.org/10.1007/s10961-016-9473-8

Barba-Sánchez, V., & Atienza-Sahuquillo, C. (2018). Entrepreneurial intention among engineering students: The role of entrepreneurship education. European Research on Management and Business Economics, 24(1), 53–61. https://doi.org/10.1016/j.iedeen.2017.04.001

Bosma, N., Content, J., Sanders, M., & Stam, E. (2018). Institutions, entrepreneurship, and economic growth in Europe. Small Business Economics, 51(2), 483–499. https://doi.org/10.1007/s11187-018-0012-x

Bosma, N., Hessels, J., Schutjens, V., Praag, M. Van, & Verheul, I. (2012). Entrepreneurship and role models. Journal of Economic Psychology, 33(2), 410–424. https://doi.org/10.1016/j.joep.2011.03.004

Bouchouicha, R., & Vieider, F. M. (2019). Growth, entrepreneurship, and risk-tolerance: a risk-income paradox. Journal of Economic Growth, 24(3), 257–282. https://doi.org/10.1007/s10887-019-09168-0

Brown, R., Mawson, S., & Mason, C. (2017). Myth-busting and entrepreneurship policy: the case of high growth firms. Entrepreneurship and Regional Development, 29(5–6), 414–443. https://doi.org/10.1080/08985626.2017.1291762

Bygrave, W. D. (2011). The Entrepreneurial Process. In W. D. Bygrave & A. Zacharakis (Eds.), The Portable MBA in Entrepreneurship (4th ed., pp. 1–26). John Wiley & Sons, Inc. https://doi.org/10.1002/9781118256121.ch1

Bygrave, W. D., & Hofer, C. W. (1992). Theorizing about Entrepreneurship. Entrepreneurship Theory and Practice, 16(2), 13–22. https://doi.org/10.1177/104225879201600203

Cavallo, A., Ghezzi, A., & Balocco, R. (2019). Entrepreneurial ecosystem research: present debates and future directions. International Entrepreneurship and Management Journal, 15(4), 1291–1321. https://doi.org/10.1007/s11365-018-0526-3

Content, J., Bosma, N., Jordaan, J., & Sanders, M. (2020). Entrepreneurial ecosystems, entrepreneurial activity, and economic growth: new evidence from European regions. Regional Studies, 54(8), 1007–1019. https://doi.org/10.1080/00343404.2019.1680827

De Carolis, D. M., & Saparito, P. (2006). Social capital, cognition, and entrepreneurial opportunities: A theoretical framework. Entrepreneurship: Theory and Practice, 30(1), 41–56. https://doi.org/10.1111/j.1540-6520.2006.00109.x

Feldman, M., & Zoller, T. D. (2012). Dealmakers in Place: Social Capital Connections in Regional Entrepreneurial Economies. Regional Studies, 46(1), 23–37. https://doi.org/10.1080/00343404.2011.607808

Galindo, M. Á., & Méndez-Picazo, M. T. (2013). Innovation, entrepreneurship, and economic growth. Management Decision, 51(3), 501–514. https://doi.org/10.1108/00251741311309625

Gielnik, M. M., Zacher, H., & Frese, M. (2012). Focus on opportunities as a mediator of the relationship between business owners' age and venture growth. Journal of Business Venturing, 27(1), 127–142. https://doi.org/10.1016/j.jbusvent.2010.05.002

Hofer, C. W., & Bygrave, W. D. (1992). Researching Entrepreneurship. Entrepreneurship Theory and Practice, 16(4), 91–100. https://doi.org/10.1177/104225879201600306

Hsieh, C., Parker, S. C., & Mirjam Van Praag, C. (2012). Risk, balanced skills, and entrepreneurship. Academy of Management 2012 Annual Meeting, AOM 2012, 929–934. https://doi.org/10.5465/AMBPP.2012.168

Isenberg, D. (2011). Introducing the Entrepreneurship Ecosystem : Four Defining Characteristics. Forbes, 14, 1–8.

Isenberg, D. (2014). What an Entrepreneurship Ecosystem Actually Is. Harvard Business Review, 88(6), 40–50.

Isenberg, D., & Onyemah, V. (2016). Fostering Scaleup Ecosystems for Regional Economic Growth (Innovations Case Narrative: Manizales-Mas and Scale Up Milwaukee). Innovations: Technology, Governance, Globalization, 11(1–2), 60–79. https://doi.org/10.1162/inov_a_00248

Kenney, M., & Patton, D. (2005). Entrepreneurial geographies: Support networks in three high-technology industries. Economic Geography, 81(2), 201–228. https://doi.org/10.1111/j.1944-8287.2005.tb00265.x

Krauss, S. I., Frese, M., Friedrich, C., & Unger, J. M. (2005). Entrepreneurial orientation: A psychological model of success among southern African small business owners. European Journal of Work and Organizational Psychology, 14(3), 315–344. https://doi.org/10.1080/13594320500170227

Kuckertz, A., Kollmann, T., Krell, P., & Stöckmann, C. (2017). Understanding, differentiating and measuring opportunity recognition and opportunity exploitation. International Journal of Entrepreneurial Behaviour and Research, 23(1), 78–97. https://doi.org/10.1108/IJEBR-12-2015-0290

Lee, N., & Clarke, S. (2019). Do low-skilled workers gain from high-tech employment growth? High-technology multipliers, employment, and wages in Britain. Research Policy, 48(9), 103803–103812. https://doi.org/10.1016/j.respol.2019.05.012

Lee, N., & Rodríguez-pose, A. (2013). Innovation and spatial inequality in Europe and USA. Journal of Economic Geography, 13(1), 1–22. https://doi.org/10.1093/jeg/lbs022

Liguori, E., Bendickson, J., Solomon, S., & McDowell, W. C. (2019). Development of a multi-dimensional measure for assessing entrepreneurial ecosystems. Entrepreneurship & Regional Development, 31(1–2), 7–21. https://doi.org/10.1080/08985626.2018.1537144

Mack, E., & Mayer, H. (2016). The evolutionary dynamics of entrepreneurial ecosystems. Urban Studies, 53(10), 2118–2133. https://doi.org/10.1177/0042098015586547

Malecki, E. J. (2018). Entrepreneurship and entrepreneurial ecosystems. Geography Compass, 12(3), 1–21. https://doi.org/10.1111/gec3.12359

Mason, C., & Brown, R. (2014). Entrepreneurial Ecosystems and Growth-Oriented Entrepreneurship. In Summary Report of an International Workshop Organised by The OECD and The Netherlands Ministry of Economic Affairs. https://www.oecd.org/cfe/leed/Entrepreneurial-ecosystems.pdf

McNeill, D. (2016). Governing a city of unicorns: technology capital and the urban politics of San Francisco. Urban Geography, 37(4), 494–513. https://doi.org/10.1080/02723638.2016.1139868

Moroz, P. W., & Hindle, K. (2012). Entrepreneurship as a Process: Toward Harmonizing Multiple Perspectives. Entrepreneurship: Theory and Practice, 36(4), 781–818. https://doi.org/10.1111/j.1540-6520.2011.00452.x

Nicotra, M., Romano, M., Del Giudice, M., & Schillaci, C. E. (2018). The causal relation between entrepreneurial ecosystem and productive entrepreneurship: a measurement framework. Journal of Technology Transfer, 43(3), 640–673. https://doi.org/10.1007/s10961-017-9628-2

Rossi, U., & Di Bella, A. (2017). Startup urbanism: New York, Rio de Janeiro and the global urbanization of technology-based economies. Environment and Planning A, 49(5), 999–1018. https://doi.org/10.1177/0308518X17690153

Roundy, P. T. (2017). "Small town" entrepreneurial ecosystems: Implications for developed and emerging economies. Journal of Entrepreneurship in Emerging Economies, 9(3), 238–262. https://doi.org/10.1108/JEEE-09-2016-0040

Shane, S. (2003). A general theory of entrepreneurship: The individual-opportunity nexus. In A General Theory Of Entrepreneurship: The Individual-Opportunity Nexus. Edward Elgar Publishing Limited. https://doi.org/10.4337/9781781007990

Shane, S., & Cable, D. (2002). Network ties, reputation, and the financing of new ventures. Management Science, 48(3), 364–381. https://doi.org/10.1287/mnsc.48.3.364.7731

Spigel, B. (2017). The Relational Organization of Entrepreneurial Ecosystems. Entrepreneurship Theory and Practice, 41(1), 49–72. https://doi.org/10.1111/etap.12167

Spigel, B., Kitagawa, F., & Mason, C. (2020). A manifesto for researching entrepreneurial ecosystems. Local Economy, 35(5), 482–495. https://doi.org/10.1177/0269094220959052

Spilling, O. R. (1996). The entrepreneurial system: On entrepreneurship in the context of a mega-event. Journal of Business Research, 36(1), 91–103. https://doi.org/10.1016/0148-2963(95)00166-2

Stam, E. (2015). Entrepreneurial Ecosystems and Regional Policy: A Sympathetic Critique. European Planning Studies, 23(9), 1759–1769. https://doi.org/10.1080/09654313.2015.1061484

Stam, E. (2018). Measuring Entrepreneurial Ecosystems. In A. O'Connor, E. Stam, F. Sussan, & D. B. Audretsch (Eds.), Entrepreneurial Ecosystems (pp. 173–197). Springer International Publishing. https://doi.org/10.1007/978-3-319-63531-6_9

Stam, E., & Spigel, B. (2017). Entrepreneurial Ecosystems. In R. Blackburn, D. De Clercq, & J. Heinonen (Eds.), The SAGE Handbook of Small Business and Entrepreneurship (pp. 407–422). SAGE Publications Ltd. https://doi.org/http://dx.doi.org/10.4135/9781473984080.n21

Sutter, C., Bruton, G. D., & Chen, J. (2019). Entrepreneurship as a solution to extreme poverty: A review and future research directions. Journal of Business Venturing, 34(1), 197–214. https://doi.org/10.1016/j.jbusvent.2018.06.003

Urbano, D., Aparicio, S., & Audretsch, D. (2019). Twenty-five years of research on institutions, entrepreneurship, and economic growth: what has been learned? Small Business Economics, 53(1), 21–49. https://doi.org/10.1007/s11187-018-0038-0

Zahra, S. A., & Wright, M. (2011). Entrepreneurship's next act. Academy of Management Perspectives, 25(4), 67–83. https://doi.org/10.5465/amp.2010.0149

DOI: http://dx.doi.org/10.25105/jmpj.v14i1.8146


  • There are currently no refbacks.

Copyright (c) 2021 Dedi Kurniawan, Agus Sofian Eka Hidayat, Suwinto Johan

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.



Lisensi Creative Commons

Jurnal manajemen dan pemasaran jasa  Lisensi Creative Commons Atribusi-NonKomersial 4.0 Internasional.