Does the business environment improve the competitiveness of start‐ups? The moderating effect of cross‐border ability and the mediating effect of entrepreneurship

Abstract Studying the relationship between the business environment and the competitiveness of start‐ups can help enterprises develop entrepreneurial opportunities to support and promote their survival and development. Based on the perspective of entrepreneurial ecosystem and resource integration theory, this study uses linear regression analysis and a structural equation model to explore the impact mechanism of the business environment and the competitiveness of start‐ups. The results depict that both the legal environment and market environment have a significant and positive impact on entrepreneurship and the competitiveness of start‐ups. Although cross‐border ability significantly and positively moderates the relationship between the legal environment and entrepreneurship, it did not moderate the market environment and entrepreneurship. Similarly, entrepreneurship has partial mediating effects between the business environment and the competitiveness of start‐ups. This study demonstrates the important role of the business environment from the perspective of the entrepreneurial ecosystem and provides new ideas to improve the competitiveness of start‐ups.