The sustainable development of the commercial space sector depends on a thriving entrepreneurial environment. Venture investments contribute to the creation of startups, which in turn promote market diversity, competition, and technological evolution leading to innovations. While innovations occur at the individual level, entrepreneurship requires both personal initiative and a favorable socio-economic environment. Poor quality of government institutions, political climate, legal environment, and market structure can negatively impact the development of entrepreneurship and the growth of the commercial space sector. This raises serious concerns, as commercial space activities, like entrepreneurship in general, are meant to mobilize business-oriented innovators and simultaneously repurpose existing space technologies for direct application on the Earth.