Institutional enablers for sustainable entrepreneurship: a configurational analysis

Abstract Using fuzzy set qualitative comparative analysis (fsQCA), we examine the association of regulative, normative, and cultural-cognitive dimensions with sustainable entrepreneurship and sustainability impact in the entrepreneurially dynamic region of Catalonia in Spain. We identify four distinct configurations of institutional dimensions explaining our outcomes. A strong normative dimension, measured through sustainability culture, and the perception of sustainable business opportunities in the cultural-cognitive dimension both emerge as critical institutional enablers. Additionally, either the normative or cultural-cognitive dimension can compensate for the absence of government support (regulative dimension). This study advances theory by emphasising the interplay of these institutional enablers and highlighting the relevance of the cultural-cognitive dimension for sustainable entrepreneurship. Policymakers could consider these findings to effectively encourage diverse pathways to enable sustainable entrepreneurship and to scale genuine sustainability impact.