Does the impact of the COVID-19 inhibit global entrepreneurial activities? Structural equation model analysis based on GEM data of 90 countries

Using survey data from 90 nations polled by the Global Entrepreneurship Monitor (GEM) in the past two years from 2020 to 2022, this study evaluates the effect of COVID-19 on global entrepreneurship and its mechanism using a structural equation model (SEM). The results show that under the impact of COVID-19, entrepreneurial activities are still active, becoming the fortunate choice for many people to turn danger into opportunity. Entrepreneurial self-efficacy and motivation play a significant chain-mediating role in the impact of COVID-19 on entrepreneurial activities. The entrepreneurial environment played a positive moderating role in the relationship between COVID-19 and entrepreneurial activities. Further heterogeneity analysis shows that this moderating effect is more significant in low- and middle-income economies and in the stage of epidemic normalization. Finally, this study offers policy suggestions on how to propel the entrepreneurial environment, improve entrepreneurial self-efficacy, stimulate entrepreneurial motivation, and promote entrepreneurial activities.