Article by INCAE Professor Luciano Ciravegna included in a new review highlighted by the Journal Entrepreneurship Theory and Practice for its relevance in the debate on the COVID-19 crisis

23 July 2020

The article of INCAE Professor Luciano Ciravegna"Need or Opportunity? The Effects of State Fragility and Economic Development on Entrepreneurial Efforts", was published first on a site website where there are a series of "featured articles" that have important implications for the crisis due to the COVID-19 pandemic, the special that groups these documents is called "Entrepreneurship and COVID-19: Insights from Research Published in Entrepreneurship Theory and Practice”, And it is from the prestigious Journal Entrepreneurship Theory and Practice (ETP).

The document is also co-authored by José Ernesto Amorós, Vesna Mandakovic, and Pekka Stenholm. They took about three years to analyze data and draw conclusions and a month ago it was published in ETP.

ETP is the leading Journal in the field of entrepreneurship and family businesses. Its Impact Factor * is 10.75, among the highest in Business and Management, and among the best on the prestigious list Financial Times.

The article studies how different types of entrepreneurship develop depending on the quality of the institutions and the country context, using multilevel regression methods that combine contextual variables with individual data from the base. Global EntrepreneurshipMonitor.

“With my team of co-authors we articulated the concept of“ state fragility ”, showing that, although there is a lot of entrepreneurship in developing countries, and especially in the most fragile states, most of this entrepreneurship is" necessity-driven entrepreneurship ", that is, guided by necessity, and by the scarcity of job opportunities in the formal sector of the economy", commented Professor Ciravegna.  

The study has important implications at this time because it shows, with extensive data and rigorous methods, that the institutional fragility that characterizes many Latin American countries, and that is typically emphasized in times of crisis such as the current pandemic, creates incentives to undertake as a medium. of last resort, not to generate wealth, employment and innovation. The implication is that it is important to continue strengthening regulatory and market support institutions, even in times of crisis. 

This type of publications and contributions benefit INCAE by demonstrating that it is an institution with the capacity to produce high-level scientific research, which is published among the best academic journals, and that such research faces relevant issues for managers, entrepreneurs and policy makers, such as the impact of the pandemic and other shocks. Professor Ciravegna added: "The fact that our paper on state fragility has been included as the first article in the review that the journal ETP has taught as key readings to interpret theoretically and conceptually the relationship between the COVID-19 crisis and entrepreneurship is an honor: it validates the great work that has been carried out. did to produce the study, and emphasizes its practical implications at this juncture ”.

This year our teacher has published another study in the same ETP journal, entitled “Corporate Diplomacy and Family Firms Longevity", which analyzes the ability of family businesses to survive multiple crises and become the oldest organizations in the world. To be able to review a little more of the other publications of Ciravegna you can see his profile here!, and your website

Impact Factor * It is one of the ways to measure how good an academic journal is, it measures how much that journal is cited and used by other academics, policy makers etc. The higher the score, the better. The list Financial Times only includes the most rigorous and cited academic journals, and all are high impact factor.