Loan managers' decisions and trust in entrepreneurs in different institutional contexts

Andrea Moro, Matthias Fink, Daniela Maresch, Antti Fredriksson

Research output: Contribution to journalJournal articleResearchpeer-review

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Abstract

Loan managers’ trust in entrepreneurs can be a useful tool for overcoming entrepreneurial firms’ opaqueness. Nevertheless, the possibility for loan managers to leverage trust can be affected by differences in the regulative institutions within the banks (type of bank) and by place-bound normative institutions (social context). By relying on semi-structured interviews and a survey of 450 bank-entrepreneur relationships, this study finds that a positive impact of trust in lending relationships is sensitive to different place-bound normative institutions and to the regulative institutions within the banks. The results are robust with respect to potential endogeneity issues.
Original languageEnglish
JournalEntrepreneurship & Regional Development
Volume30
Issue number1-2
Pages (from-to)146-172
ISSN0898-5626
DOIs
Publication statusPublished - 2018

Fingerprint

Institutional context
Entrepreneurs
Loans
Managers
Structured interview
Social context
Leverage
Entrepreneurial firms
Endogeneity
Lending relationships

Keywords

  • Bank Credit
  • Relationship Lending
  • Small and medium enterprises
  • trust
  • institutional embeddedness

Cite this

Moro, Andrea ; Fink, Matthias ; Maresch, Daniela ; Fredriksson, Antti. / Loan managers' decisions and trust in entrepreneurs in different institutional contexts. In: Entrepreneurship & Regional Development. 2018 ; Vol. 30, No. 1-2. pp. 146-172.
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Loan managers' decisions and trust in entrepreneurs in different institutional contexts. / Moro, Andrea; Fink, Matthias; Maresch, Daniela; Fredriksson, Antti.

In: Entrepreneurship & Regional Development, Vol. 30, No. 1-2, 2018, p. 146-172.

Research output: Contribution to journalJournal articleResearchpeer-review

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AU - Fink, Matthias

AU - Maresch, Daniela

AU - Fredriksson, Antti

PY - 2018

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KW - trust

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DO - 10.1080/08985626.2017.1400115

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