Co-evolution of an entrepreneurial ecosystem and technology entrepreneurship in a transforming economy

International Journal of Technology, Policy and Management. 2023. Vol. 23. No. 1. P. 42–80.

Mikhail Nazarov, Nadezhda Butryumova, Sergey Aleksandrovskiy, Sidorov D.

The paper addresses the question of how technological entrepreneurial companies co-evolve with the entrepreneurial ecosystem in the context of transforming economy and emerging of new institutions.

Employing a co-evolutionary approach and case study design we have studied 15 technology enterprises established in the Russian region in 1990s, 2000s, and 2010s. As a result, we have found out two types of entrepreneurs: 1. “Wild entrepreneurs”, more typical for early stages of transition, are independent and relying on informal institutions. 2. “Tamed entrepreneurs” become more common during the transition progress, prefer clear and developed formal institutional environment.

Also we have discovered that the entrepreneurial ecosystem dynamics is a joint outcome of entrepreneurs’ intentionality, environment, and institutional effects. Premature formalization of institutes in conditions of weak informal institutions may lead to a growing dependence of entrepreneurs and their business on an increasingly rigid environment, and thus to the generation of weaker entrepreneurs.

Keywords: Russia, entrepreneurial ecosystem, technology entrepreneurship, co-evolution, transforming economy