When Does Stigma of Failure Affect Entrepreneurial Activity?

This paper contributes to the growing understanding of why levels of entrepreneurship differ across countries. It brings to the fore and tests the role of the cultural and economic variables in influencing entrepreneurial activity by mitigating or accentuating the stigma of failure. It, therefore, highlights by showing empirical results, the need to understand the influences of culture and other environmental factors more clearly if policies designed to increase the level of entrepreneurial activity in a country are to achieve the desired impact.