A Review of the Evolution of Regional Entrepreneurship Literature Over the Past Two Decades with a Focus on the ADO-TCM Integrative Framework

Document Type : Research Paper

Authors

1 Department of Business Management, Faculty of Social Sciences, University of Mohaghegh Ardabili, Ardabil

2 Department of Organizational Entrepreneurship, Faculty of Entrepreneurship, University of Tehran, Tehran, Iran

3 Master’s in Entrepreneurship, Department of Business Management, Faculty of Social Sciences, University of Mohaghegh Ardabili ,Ardabil, Iran

Abstract

Objective: Regional entrepreneurship refers to the process of creating and developing businesses and economic activities within a specific geographic area. It plays a crucial role in economic growth, job creation, and improving the quality of life in local communities. Unlike national or international entrepreneurship, regional entrepreneurship is more influenced by the specific characteristics of each region. Various factors, such as natural, cultural, economic, and social resources, can significantly impact regional entrepreneurship. These influences often differ from national levels and require more in-depth analysis. Therefore, the primary objective of this study is to conduct a systematic literature review on regional entrepreneurship.

Method: This study employed a systematic literature review method and the ADO-TCM framework to synthesize the existing information on regional entrepreneurship. The ADO-TCM framework combines the ADO and TCM frameworks. To conduct this review, a comprehensive search was conducted in the Scopus database, and 69 articles related to regional entrepreneurship from 2005 to 2024 were carefully selected and analyzed using these frameworks.

Results: Based on the systematic literature review, nine categories of antecedents were identified: capital and innovation, regional culture and society, personal and individual factors, geographical and regional environment, national and regional policies and regulations, infrastructure and institutions, regional economy and industry, university and education, and networks and social capital. These antecedents are considered the main drivers of regional entrepreneurship and influence the decisions and behaviors of entrepreneurs. Consequently, these antecedents lead to five research decisions, including the choice of entrepreneurial activities, opportunity-driven versus necessity-driven entrepreneurship, innovative entrepreneurship, and graduate entrepreneurship. Additionally, antecedents and decisions resulted in a series of outcomes, such as sustainability and success of regional entrepreneurship, economic dynamism and self-employment, improved quality of life, regional snowball effects, multiple career balances, local economic resilience, regional competitive dynamics, entrepreneurial location or geo-strategies, creation of new jobs and regional employment growth, and regional economic development. Furthermore, the study identified 27theories, three research methods (quantitative, qualitative, mixed), and research contexts in various regions. Subsequently, an extensive descriptive analysis was conducted to identify significant gaps in the literature and provide specific directions for future research. Moreover, this study adopts an innovative and unique approach by combining the ADO-TCM framework to achieve a more comprehensive understanding of regional entrepreneurship.



Conclusion: The categorization of factors into various constructs such as antecedents, decisions, consequences, methods, contexts, and theories has provided a coherent and understandable structure for analyzing the literature on regional entrepreneurship. This framework, as a powerful tool, has enhanced our understanding of the complexities of regional entrepreneurship and paved the way for future studies. Regional entrepreneurship, as a key dri ver of economic growth, job creation, and improved quality of life, has been the focus of this research. The results show that the unique characteristics of each region, including natural, cultural, and human resources, act as drivers that shape the type and intensity of entrepreneurial activities. Additionally, appropriate economic infrastructure and government and social support play a very important role as reinforcing factors for entrepreneurship. One of the notable findings of this study is the emphasis on the complex interaction of geographical, economic, cultural, social, and institutional factors in shaping the entrepreneurial environment. Local culture and social networks, as two key factors, influence the social acceptance of entrepreneurship and its success. Moreover, the study shows that entrepreneurship thrives in environments where tangible and intangible resources are readily available. On the other hand, challenges such as weak infrastructure act as serious barriers to regional entrepreneurs. This research, by providing a comprehensive framework and in-depth analysis, has contributed to a better understanding of the factors influencing regional entrepreneurship. However, many questions remain unanswered in this area, and there is a need for more and deeper studies. Given the importance of entrepreneurship in economic and social development, investing in research in this area can lead to the development of more effective policies and the creation of dynamic and innovative communities. Investigating the impact of local culture, values, and attitudes on entrepreneurial behavior and business success, analyzing the role of online and offline social networks in facilitating collaboration, knowledge sharing, and creating new opportunities for entrepreneurs, evaluating the effectiveness of government and institutional support policies in promoting entrepreneurship and identifying the best approaches, using simulation models to predict the future of entrepreneurship in different regions and assessing different scenarios are among the most important research recommendations for future researchers in this study.

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References

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Journal of Entrepreneurship Development
Volume 18, Issue 2
July 2025
Pages 49-80

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