Determinants of Sport Entrepreneurship: An Institutional Economics and Dynamic Capabilities Perspective

Abstract

Abstract Sport-based entrepreneurship has been an emerging research field over the past decade and is often examined in a multidisciplinary approach. There are multiple unexplored research paths in this area, and further research is required to understand the determinants sport entrepreneurship. There is limited understanding of how institutions influence entrepreneurial activity in the sport sector. Sport organisations require entrepreneurial competence and dynamic capabilities to adapt to the demanding sport industry. Drawing on institutional economics and dynamic capabilities as a theoretical framework, the primary aim of this study was to understand the institutional factors that affect sport-based entrepreneurship. An empirical quantitative approach was used to identify and analyse the institutional factors among European countries using panel data and a linear regression model. The main finding of this thesis is the significant effect of government support and corruption on sport startups. Sport entrepreneurship depends on the level of economic growth influenced by the perception of corruption, government support, and political stability. Furthermore, the results revealed how human capital (i.e., tertiary education) plays a crucial role in sport startup survival. Perceived capabilities, supportive tax, and low bureaucracy also contribute to the success of the survival of sport firms. The results show that supportive tax bureaucracy moderates how human capital resources are used to drive the survival of sport startups. Finally, research, and development at the country level affects sport enterprises, for both sport startups’ creation and survival. Government support is the primary facilitator of innovation in sport entrepreneurship. There are implications for sport firms and organisations. The thesis contributes to the current literature, broadening the understanding of sport entrepreneurship from an institutional perspective. Sport startups must consider a broader economic and institutional context, especially when entrepreneurs start a sport sector business. Our findings emphasise the importance of institutions and their effect on entrepreneurial activity in sport, helping sport firms survive and gain competitive advantage. Keywords: Sport Entrepreneurship, Innovation, Sport Startups, Sport Enterprises, Institutions, Dynamic Capabilities

Date of Award	17 Jan 2025
Original language	English
Supervisor	David Urbano Pulido (Director) & Sebastian Aparicio Rincon (Director)