This study explores how individual factors (i.e., internal locus of control and entrepreneurial self-efficacy) and institutional components (i.e., economic freedom that represents formal institutions and individualism that represents informal institutions) combine to predict the intentions of family business successors to join the family firm. We merge data from a variety of individual-level and country-level datasets to test our hypotheses. Results from a multilevel multinomial logistic regression analysis indicate that individual and institutional factors influence the career intentions of university students with family business background. Specifically, high self-efficacy students living in high economic freedom or highly individualistic countries are, relative to low self-efficacy students, (a) less likely to prefer employment to family business succession and (b) more likely to prefer founding a new venture to succession. However, the locus of control and career intentions relationship is not contingent on these institutional factors. Implications are discussed.
