Figure 2.
A model linking labour market regulation to A I innovation, manufacturing digitisation, and manufacturing entrepreneurship, which then leads to enterprise density and non manufacturing entrepreneurship.The diagram shows a structural model in which labour market regulation influences A I innovation and the digitisation of manufacturing through path H1. A I innovation influences manufacturing entrepreneurship through path H2. Digitisation of manufacturing influences manufacturing entrepreneurship through path H3. Manufacturing entrepreneurship then leads to enterprise density through path H4 and to non manufacturing entrepreneurship through path H5. All constructs are represented as linked boxes connected with directional arrows indicating the hypothesised pathways.

Relationship between hypotheses

Source: Author’s own creation

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