How Resources and Culture Shape Entrepreneurs’ Social Goals

What is it about?

This study examines how entrepreneurs’ personal resources—including financial, human, and social capital—and their broader cultural environment together shape their inclination to pursue social value creation through their ventures. Grounded in the resource-based perspective and Hofstede’s cultural framework, the research explores how individual capacities interact with national cultural values to influence the degree to which entrepreneurs focus on social rather than purely economic goals. Using data from 12,685 entrepreneurs across 35 countries, the study shows that both personal resources and cultural context shape entrepreneurs’ focus on social goals. Cultural traits such as power distance, uncertainty avoidance, individualism, and masculinity influence how resources are used and interpreted. Ultimately, cultural context determines whether resources are directed toward personal gain or community benefit, shaping the pursuit of social value across societies. For policymakers and organizations promoting entrepreneurship, these findings emphasize the importance of contextual awareness. Efforts to encourage social entrepreneurship should focus not only on improving access to financial and educational resources but also on cultivating supportive cultural and institutional environments. Recognizing how cultural characteristics affect resource deployment can help ensure that entrepreneurship initiatives are better aligned with collective welfare and societal advancement.

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Photo by Mike Setchell on Unsplash

Photo by Mike Setchell on Unsplash

Why is it important?

This study offers a cross-cultural perspective on social entrepreneurship by integrating individual and contextual influences. It demonstrates that entrepreneurs’ personal resources alone do not determine their social orientation—rather, cultural values condition how those resources are perceived and utilized. Its timeliness lies in its contribution to the growing conversation about inclusive and socially responsible entrepreneurship worldwide. As many societies seek to balance innovation with sustainability and equity, this research provides valuable insight into how resource endowments and cultural norms together shape the pursuit of social value creation.