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The process of starting and surviving a new venture is always a challenge, and this is aggravated by unfavorable conditions especially prevalent in less affluent, developing, and transitional economies. This study reviews and integrates the literature on different entrepreneurial dimensions in transitional economies and provides a case analysis, Kyrgyzstan. The review of the entrepreneurial motivations dimension indicated four major motives behind starting a new venture, and an examination of the entrepreneurial problems dimension underlined common problems prevalent in different transitional economies. Findings of the Kyrgyz case indicated that the entrepreneurial motives of local entrepreneurs are of the extrinsic type and related to push factors; difficulty with finding capital, existence of red tape, and high labor turnover rate are major entrepreneurial problems. There are favorable entrepreneurial opportunities in general, but exploitation of these is contingent on appropriate support. Based on the literature review and synthesis as well as the case study, transitional economies need more competitive, liberal, and transparent business environments to be supported by more developed financial systems and a more efficient labor force. Further, two future research areas on transitional economies are suggested and an update on Kyrgyzstan is included.

This paper aims to study the issues and unique characteristics surrounding the birth and development of the private sector in the People's Republic of China (China); analyze the interaction of entrepreneurial behavior and the country's unique and continuously changing regulatory and institutional environment; examine the actions, outcomes, and composition of this emerging entrepreneurial class; and analyze the implications for entrepreneurship research in transitional economies. The paper offers a model built on a dynamic and transitional cycle. Using this model, the paper examines how uncertainties, ambiguities, and changing regulatory environments may create opportunities, bolstering the entrepreneurial class as well as an impressive private sector in a country where entrepreneurs and private business can be at odds with socialist ideology and culture in addition to many regulatory and institutional obstacles. Rather than relying upon limited survey data targeted at specific locations, industries, or time periods, this study is based on seven large-scale surveys conducted from 1993 to 2006 in both urban and rural areas extending horizontally across different industries in China, with a primary focus on private business. The findings are relevant for future research and government policy in transitional economies.

This review maps research on entrepreneurship in transitional economies since the start of institutional reforms. Data came from 129 academic journal articles published between 1990 and 2009. 62 articles reported research on macro (country) level, discussing the nature and speed of reform, credit constraints, assistance programs and the role of small business for economic development. 67 articles studied micro (firm) level factors, but only 14 of them employed data analytical methods to study what explains entrepreneurial success, suggesting a role for networking, industry experience and entrepreneurial orientation. We suggest more research on understanding the context of entrepreneurship, with a special focus on the informal institutional environment and industry structure. Also, future research can explore topics such as strategic agendas, opportunity identification and entrepreneurial cognition, which have been rare to date. We particularly emphasize the need for rigorous and replicable large-scale empirical studies.

There is now a large body of literature showing that research and development (R&D) activities have a major impact in the economy, leading to increases in productivity, competitiveness and economic growth. Using the concept of national innovation system this paper is an attempt to understand the current status of Russian technological development and the role R&D might play in the transition from a command economy to a free-market economy. Despite the effects of a declining R&D workforce and continuing underfunding of R&D institutions, a considerable R&D potential is still in place. The major barriers for its effective contribution to economic and business recovery are discussed in detail. Some innovation and R&D policy implications at both central and regional levels are also drawn.

The reconstruction of Gaza after the latest war between Israel and Hamas creates an opportunity to approach the problem from a purely economic viewpoint. The vision of CEESMENA is to treat internal MENA problems from a purely economic perspective. In that light, the solution to the Gaza problem can be found by focusing narrowly on the investment solution to a failed experiment. This is a common approach that economists address in a post-bankruptcy situation. The Hamas experiment, since Israel’s unilateral withdrawal in 2005, has proven to be a complete failure. It has left Gaza in a devastating bankruptcy. To solve this bankruptcy problem, we suggest an approach based on the classic build–operate–transfer (BOT) framework. The countries that invest in this project will become equity shareholders with a 50-year lease. The civil administrators that will be brought into Gaza will develop an economic model based on the principle of “private provision of public services”. It will also create the common law principles known as the “rule of law” as it is applied to property, contract, criminal and tort law under a market system. The sovereignty of the residents will be addressed only after the 50-year lease arrangement is complete along with the formation of a robust civil administration (e-Government) and common law paradigm referred to as “rule of law” is finalized. A revitalized education system will be instituted based on a reformed UAE, Bahrain and Saudi Arabian curriculum. A computable general equilibrium (CGE) model presented in the paper will be used to track a three-sector Gaza economy (tourism, agriculture and high-tech) and will be implemented to address alternative pathways for the development of this sovereign non-militarized green economy. The approach presented in this paper is a continuation of innovative thinking which was manifest when former President Trump perused the groundbreaking and successful “Abraham Accords” in complete rejection of the outdated and unsuccessful “Washington Consensus”.