Digital nomads and entrepreneurial ecosystems: reflecting rather than catalyzing entrepreneurial activity

Governments increasingly seek to attract digital nomads. They often expect globally connected mobile professionals to strengthen local entrepreneurial ecosystems. Yet digital-nomad concentration may also reflect favorable pre-existing conditions. It may not indicate an independent contribution to entrepreneurial activity. I distinguish between catalytic dynamics, through which digital nomads contribute knowledge, connections and market demand, and reflective dynamics, through which they select locations that already offer the infrastructure, amenities and entrepreneurial resources needed to sustain mobile work. I examine these alternatives using survey data from 162 entrepreneurs in Portugal, linked to location-level indicators. The respondents are drawn from 46 municipalities. The primary measure of digital-nomad presence combines coworking-space density and short-term-rental intensity. A broader index that includes entrepreneurs' reported interactions with digital nomads is used only as a robustness check. Digital-nomad presence shows a small positive zero-order association with entrepreneurial activity. The relationship weakens after individual, firm and contextual characteristics are considered. The hybrid specification follows the same general pattern, but it is interpreted cautiously because perceived exposure may be jointly shaped by entrepreneurs' networking and activity. The estimates are compatible with digital nomads being attracted to comparatively developed entrepreneurial environments. They do not distinguish location selection from catalytic processes. They do not provide clear evidence that digital-nomad presence independently increases local entrepreneurial activity, but the confidence interval remains compatible with positive associations. Policies designed to attract mobile workers may benefit from complementary investment in the resources and connections that support entrepreneurial ecosystems.