This paper focuses on the role of kinship or family ties in entrepreneurial activities. We develop theoretical models of entrepreneurial market opportunity recognition and resource acquisition for family firms based upon social network theory. Building upon Granovetter’s (1973) distinction...

Strategic entrepreneurship is a newly recognized field that draws, not surprisingly, from the fields of strategic management and entrepreneurship. The field emerged officially with the 2001 special issue of the Strategic Management Journal on “strategic entrepreneurship”; the first dedicated...

Two theories of entrepreneurial action - Discovery Theory and Creation Theory - are discussed. While Discovery Theory and its assumptions have been addressed in the literature, neither the assumptions of Creation Theory nor how they are related to the assumptions of Discovery Theory have yet...

Most scholarly work on trust recognizes its importance as part of a non-market form of governance in exchanges between firms. However, trust is only one such governance device that can be used, other devices such as reputation, bargaining power, and contracts can also be used to govern...

Prior work in experimentation assumes that the choice about when and how to experiment on a business idea is a trade-off between the cost of an experiment and the value of the information it reveals. This paper captures the possibility that experimentation can also change the value of an idea -...

In the extant organizational, management, and strategy literatures there are now frequent calls for microfoundations. However, there is little consensus on what microfoundations are and what they are not. In this paper we first (briefly) review the history of the microfoundations discussion and...

Debates continue to rage between those that argue that managers should maximize the present value of their firm's cash flows in making strategic choices and those that argue that, sometimes, the wealth maximizing interests of a firm's equity holders should be abandoned for the good of a firm's...

Empirical studies that account for the endogeneity of the diversification decision must also account for a firm's alternative uses for its free cash flow. This study examines dividends and stock repurchases in tandem with the firm's diversification decision and finds that the factors that lead a...

Stringent bankruptcy laws are generally understood to increase the costs of failure and thus not conducive for entrepreneurship. In this paper, theory is developed and tested exploring the moderating influences of the dimensions of culture — individualism — collectivism, masculinity–...