The Role of Entrepreneurial Ecosystems in Driving Regional Economic Development

Entrepreneurial ecosystems (EEs) have come into the limelight for grasping how regions facilitate innovation, stimulate entrepreneurship, and spur economic growth. With an increasing dependency on knowledge-based and innovation-based activities to enhance competitiveness, interconnected actors such as entrepreneurs, universities, investors, policymakers, incubators, accelerators, and support-based organisations have become a much more influential part of economic outcomes.

The critical analysis of the paper is based on the mechanisms through which entrepreneurial ecosystems relate to regional economic development, relying on multidisciplinary knowledge drawn from strategy, economic geography, entrepreneurship, and public policy. It exemplifies how the dynamics of the ecosystem, institutional structures, network patterns, cultural practices, and streams of resources impact entrepreneurial activity and shape the economic paths of regions.

The paper further suggests a conceptual model illustrating the interaction of the various parts of the ecosystem in generating entrepreneurial vibrancy, structural change, and inclusive development. The research contributes to the body of knowledge theoretically by consolidating diverse strands of literature and practically by providing policy suggestions aimed at enhancing regional competitiveness.