The Effects of Culture, Legal Origin and Religion on Four Measures of the Ease of Starting a New Business
The Effects of Culture, Legal Origin and Religion on Four Measures of the Ease of Starting a New Business

Summary/Abstract: This study investigates the influence of cultural values, legal frameworks, and religious factors on the ease of starting a business in Lagos, Nigeria, using four key indicators: the number of procedures (PROC), the number of days (DAYS), access to credit (CRDT), and startup cost (COST). Drawing on institutional and socio-cultural theory, a structured survey dataset of 200 respondents was analyzed using multiple linear regression. Results reveal that legal origin (LEGL) exerts the most substantial effect across all startup dimensions, significantly predicting procedural burden, time delays, credit access, and cost. Cultural influences (CULT) also play a significant role, particularly in affecting procedural complexity, days required, and cost. Religion (RELG), while slightly less impactful, shows significant relationships with all four indicators, especially in shaping perceptions of credit access and procedural engagement. The findings highlight the multidimensional nature of startup barriers in the region and underscore the need for integrative policy approaches that account for socio-legal realities.

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