Nations which are far from Italy can choose to raise development to have Renaissance. The second institution Renaissance will guaranteed to be spawned in Italy by the 1450s and spread across the world. The first institution Feudalism existed in the beginning in most part of the world except hordes in the Steppes, primitive nations in Africa, and the native tribes in the new world. Institution can be spread from provinces to provinces with varied speed determined by friendliness of neighboring provinces, development, peace/war status, and stability.
It is possible for a primitive nation without any of the seven institution after they had spawned and bearing 350% cost penalty on raising a technology level. For every non-embraced institution, the penalty of raising a tech level can be increased annually by 1% and up to 50% per institution. It is a mechanic which nations embracing institutions can avoid technology penalties. Institution is a game mechanic introduced in Europa Universalis IV introduced in 1.18 and the Westernization mechanic was removed.