Governance in entrepreneurial ecosystems

Abstract

The governance dynamics in entrepreneurial ecosystems (EEs) influence entrepreneurs. Although scholars are making strides in understanding EE governance, research is fragmented, and insights are not contributing to an overarching conceptual infrastructure that explains the phenomenon. This chapter addresses this omission in governance and entrepreneurship research by introducing a new corporate governance structure: entrepreneurial ecosystem corporate governance (EECG)—the actors and factors in local communities that orchestrate stakeholders and resources to influence the strategic direction and effectiveness of entrepreneurial ecosystems. The EECG concept extends research on governance in early-stage ventures to the meta-organizational level, which focuses on the ecosystem of contextual forces in entrepreneurs’ local environments. A conceptual framework is developed to advance the understanding of EECG and explain how ecosystems influence venture governance. The chapter concludes with an agenda that expands governance research beyond its primarily firm-level foundations to the interface between corporate governance and entrepreneurial ecosystems.