2009-11, Fuduric, Nikolina

Using Nobel Prize winner Douglass North's Institutional theory, a case is made for the necessary context needed to enable opportunity-oriented entreprenership in Croatia. To unleash entrepreneurial potential, the institutional environment of a nation is to be examined from different institutional levels: government, social context, and the individual. Informal, as well as formal institutions are examined. In Croatia's case, as in many other eastern European nations, if the institutional environment does not become professionalized, the nation is placed in a viscious cycle of necessity entrepreneurial activity.