Transcending the pyramid: opportunity co-creation for social innovation

There is a lack of understanding of how social enterprises with their partners co-create opportunities to concurrently generate both social and economic value across the pyramid. Drawing on evidence from multiple case-studies, this paper addresses this gap to further our understanding of opportunity co-creation by social enterprises. We find that social enterprises co-create opportunities to simultaneously generate social and economic value with both the top of the pyramid (TOP) and bottom of the pyramid (BOP) partners; we thus call them Transcending Pyramid Social Enterprises (TPSEs). Opportunity co-creation comprises commercialising the social opportunity characteristics of prevalence, relevance, and accessibility to create both the demand and supply sides of a market. Supply side opportunity co-creation involves fulfilling institutional voids, developing relational capital with the BOP, and meeting the needs of the BOP. Demand side opportunity co-creation involves generating market access to the TOP, raising awareness of value generated by TPSEs, and fulfilling the needs of TOP customers. Co-created opportunities are thus capable of both addressing the economic and social and/or environmental issues of the BOP and meeting the altruistic and consumption needs of the TOP. The implications for social enterprises, their partners, and policy makers are discussed.     

国有企业工作经历、企业家才能与企业成长

人力资本的高效配置和企业家才能的充分发挥关系到经济的可持续发展,制度建设如果能促进资源合理流向具有企业家才能的企业家,就能创造更多就业和社会财富。基于全国1997—2016年的私营企业调查数据,本文考察企业家的国有企业工作经历对企业成长的影响。研究结果显示,企业家的国有企业工作经历使得企业在市场扩张和盈利能力等方面表现更好,带来了更高水平的企业成长。机制讨论表明,企业家行为带有明显的烙印效应,国有企业工作经历为企业家带来了更多的社会资本和更高的公司治理水平,从而促进了企业成长。为了缓解由于选择性偏误等带来的内生性,本文采用倾向得分匹配、处理效应模型、代理变量、双差分模型等方法进行处理,结论仍然稳健。中国经济要向资源配置效率改善型模式转变,企业家才能的发挥至关重要,国有企业改革不仅应注重产权等方面的改革,同时也要充分重视国有企业改革带来的人力资本溢出效应。在不断深化国有企业改革的大背景下,本文从企业家才能培育和人力资本配置效应的角度考察国有企业改革问题,倡导国有企业改革进程中进一步营造企业家才能发挥的空间和制度安排,提高人力资本配置效应,从而促进中国经济健康可持续发展。     

Opportunity recognition and SME performance: the mediating effect of business model innovation

Opportunity recognition is vital for small and medium-sized enterprises (SMEs), but SMEs face challenges in capturing recognized opportunities. Given that opportunity recognition does not automatically lead to higher SME performance and that SMEs need to take appropriate actions to exploit recognized opportunities to achieve better performance, it is imperative to explore the mediators that enable SMEs to translate opportunity recognition into higher performance. This study proposes that business model innovation may be a key conduit through which opportunity recognition affects SME performance. Based on a dataset of 155 SMEs, we find that the positive relationship between opportunity recognition and SME performance is mediated by business model innovation. These findings not only aid SMEs in accomplishing the performance effect of opportunity recognition, but also provide some insights into the implications of business model innovation.     

Managerial ties,organizational learning,and opportunity capture: A social capital perspective

From a social capital perspective, this article investigates how entrepreneurs in new ventures utilize their managerial ties (consisting of ties with other firms and ties with government) to capture opportunity. We also explore the moderating role of organizational learning (via exploratory learning and exploitative learning) in this process. Drawing on a sample of 159 new ventures, we find that ties with other firms have a stronger positive effect on opportunity capture than ties with government. We also find that organizational learning moderates the relationship between managerial ties and opportunity capture. Overall, our contributions center on an integrated view of organizational learning, social relationships, and opportunity capture.     

Entrepreneurs’ use of internet and social media applications

While it is recognized that the Internet and entrepreneurial opportunity are linked, the majority of studies analyzing business use of the Internet focus on small and medium-sized enterprises (SMEs). To address a need for adoption studies focused on new ventures, which differ from SMEs in terms of organizational stage and number of employees, this study analyzes survey data from entrepreneurs to understand factors that influence the adoption of multiple Internet and social media platforms, and the role of business incubation facilities in providing information technology assistance to these ventures. Regression analysis of survey data reveal that prior entrepreneurial experience was the most important factor in explaining a diverse number of Internet application and social media use. This finding likely stems from differences in cognitive frameworks between novice and experienced entrepreneurs, which impacts their ability to recognize opportunities and respond to technological change. The location of a new venture within a business incubation facility did not help in the diverse use of Internet applications. This result did vary by gender as model results highlighted that women in business incubation facilities were more likely to use a diversity of Internet applications than those not located in these facilities. These findings point to policy implications regarding the implementation of technology training programs for female entrepreneurs, and digital awareness/ training for novice entrepreneurs.     

How entrepreneurs leverage institutional intermediaries in emerging economies to acquire public resources

Research summary: Governments in emerging economies often use institutional intermediaries to promote entrepreneurship, and bridge the void between ventures and public funding. While prior literature describes what institutional intermediaries do, it leaves open how intermediaries support different types of entrepreneurs. By comparing science park and non‐science park firms in Beijing and across China, we distinguish which entrepreneurs benefit from certification versus capability‐building through the introduction of two new constructs: skill adequacy and context relevance. Broadly, our study adds insights at the nexus of emerging economies and entrepreneurship research, and to the tie formation and institutional intermediaries literatures. Managerial summary: A key dilemma facing entrepreneurs is how to finance their ventures. While entrepreneurs in developed economies can seek VC or angel investment, entrepreneurs in emerging economies often need to pursue potential government funding opportunities. Our study highlights three strategies for acquiring government funding. Well‐connected entrepreneurs can leverage their political ties to acquire such funding. Less‐connected entrepreneurs can leverage science parks that in emerging markets are designed to help governments to identify promising ventures. For returnees whose ample experience abroad may not fit with local ways of doing business, gaining science park admission can certify quality and so ease the path to government funding. For technically skilled local entrepreneurs who lack business skills, science parks can help build such skills, which then ease the path to government funding. Copyright © 2016 John Wiley & Sons, Ltd.     

Social capital in Southeast Asian business relationships

Social capital is the glue and the lubricant facilitating network behavior [Anderson, A. & Jack, S. (2002). The articulation of social capital in entrepreneurial networks: a glue or a lubricant?. Entrepreneurship & Regional Development, 14, 193-210.]. The purpose of this paper is to add to the current literature on social capital by investigating social capital structures, opportunity, motivation and ability within export relationships in Thailand. We conceptualize social capital following Adler and Kwon [Adler, P. & Kwon, S-W. (2002). Social Capital: Prospects for a New Concept. Academy of Management Review, 27(1), 17-40.] and use interview data to further explore the construct. Our results indicate that the social structures from which social capital is drawn are not independent for large overlaps are present. Opportunity, motivation and ability are linked with a common thread of trust. The research highlights implications for managers wishing to develop social capital or use social capital as a marketing strategy.     

基于神经网络的产品突破性创新机遇识别

为了帮助企业在进行技术研发之前识别出最有潜力的技术,提高产品突破性创新的成功概率,提出了一种在模糊前端阶段进行突破性创新机遇识别的定量方法。首先,通过文献研究,确定产品突破性创新的路径特征,并提取产品突破性创新的相关影响因素,通过建立解释结构模型（ISM）提取并构建产品突破性创新机遇识别特征体系。其次,对突破性创新案例和非突破性创新案例进行特征对比,以各特征因素变化趋势为自变量,建立神经网络。最后,对样本数据进行拟合,构建产品突破性创新机遇识别模型。研究结果表明,研究所提模型能够对产品的突破性创新机遇进行有效识别,可应用于产品创新设计过程的模糊前端阶段。研究可为企业在突破性创新项目中更有效地进行机遇识别提供理论指导。     

The dark side of institutional intermediaries: Junior stock exchanges and entrepreneurship

Research Summary : Our study shows how institutional intermediaries established to foster the creation of new firms might hinder new firm growth instead. We show that intermediaries can reduce new firm growth rates due to institutional conflict. To analyze this idea, we examine the setting of junior stock exchanges, which are commonly formed to facilitate entrepreneurial growth. The introduction of these exchanges focused investment into new technology firms, reduced investment in other sectors, and led to diminishing new firm growth. Our findings demonstrate how institutional conflict causes unintended effects and reveals the complexity of influencing entrepreneurship with institutional intermediaries. Managerial Summary : Investors and entrepreneurs face uncertainty when deciding what firms to start and fund. We show that an intermediation effort to make entry easier for entrepreneurs increases the uncertainty that entrepreneurs and investors face. For investors, the enthusiasm for technology firms engendered by the new exchange can motivate investment in marginal firms to maintain as desired deal flow. However, lower firm growth and less liquidity in the future is likely. For entrepreneurs, our results indicate that it is more challenging to manage technology firm growth as well as there is potential opportunity to investigate other industries. Finally, for policy‐makers and supporters of the new exchanges, our results imply that investment flows are altered as intended, but unless listing standards remain high, the virtuous cycle of investment upon which a healthy entrepreneurial climate rests may be disrupted, muting the intended effects of the new exchange.     

Migrant entrepreneurship and markets: The dynamic role of embeddedness in networks in the creation of opportunities

The purpose of this paper is to develop insight into the linked processes of migration and entrepreneurship. By combining the literatures on network dynamics and on effectuation, we link the processes of embedding in networks (proximation) and de-embedding from networks (distanciation) to opportunity creation. We use the principles from effectuation theory of ‘bird in hand’ (using available resources) and ‘crazy quilt’ (selected use of networks) to develop a framework of migrant entrepreneurship.We use data from 28 in-depth interviews with Polish migrant entrepreneurs in Glasgow, United Kingdom. Following an abductive process of data analysis, we combine the themes emerging from the data with those in the existing literatures to propose our framework.Our findings show that migrant entrepreneurs' embeddedness is dynamic and evolves across three types of networks: the origin country networks, the host country migrant networks and the host country indigenous networks. We found that migrant entrepreneurs become relationally, socially, and structurally embedded, often relying on bridging agents to access indigenous networks. Migrant entrepreneurs then leverage resources to create opportunities in the host country's markets. Based on these findings, our framework considers the role played by multi-dimensional and evolving embeddedness in different networks in the process of opportunity creation.     

Entry and Exit Behavior in the Absence of Sunk Costs: Evidence from a Price Comparison Site

This paper explores entry and exit at a price comparison site (PCS) where the sunk costs of participation are effectively zero. We first use an unbalanced panel of 295 products on NexTag.com to estimate an error correction model of net entry. Although the results support our characterization of the PCS as a zero sunk cost market in which potential sellers behave as Kirznerian entrepreneurs in responding to opportunities, it is clear the net entry flow involves participants with widely differing behavior. This is investigated by examining exit and re-entry decisions at the seller level, which reveal that size and reputation determine individual responses to market opportunities.     

Policies and structures for spinning off new companies from research and development organizations#

This paper develops five alternative structural 'models' for formal efforts aimed at spinning off new companies from universities, government laboratories, and other research and development organizations. In various ways the models combine the roles of the technology originator, the entrepreneur, the R&D organization itself, and the venture investor. The paper also presents the policies and structures of technology commercialization operations from investigations at eight R&D organizations in the United States and the United Kingdom. The data indicate that a R&D organization operating in an environment where venture capital and entrepreneurs are readily available (e.g., MIT and Stanford) can appropriately: (1) exercise a low degree of selectivity in choosing technologies for spin-off creation, and (2) provide a low level of support during the spin-off process. The spin-off process is more difficult in environments where venture capital and entrepreneurs are scarce (e.g., ARCH) and mechanisms for high-selectivity and a high level of support must be in place by the R&D organization to compensate for this scarcity.     

三维社会资本与创业机会识别特质关系研究——基于“中三角”336份调查问卷的实证分析

自中国进入“L”型增长以来，“双创”已渐成为“中三角”地区突破增长瓶颈、实现经济发展转型的重要途径。基于社会资本角度分析创业机会识别特质的影响因素，对正确应用社会资本识别和开发创业机会、促进创业能起到重要作用。本文依据Nahapiet的社会资本理论，引入关系维度、结构维度和认知维度3个变量，通过SEM模型来探索社会资本对机会识别的可行性和盈利性的影响作用。结果表明社会资本的3个维度均与可行性和盈利性正相关。     

Directive Deficiencies: How Resource Constraints Direct Opportunity Identification in SMEs

Previous studies show that resource constraints have mixed effects on innovation and opportunity identification by entrepreneurs. Sometimes, resource constraints lead to identifying more opportunities, whereas in other cases, entrepreneurs see fewer opportunities. This study explores a new approach to reconcile this inconsistency. Using a sample of 219 small‐ and medium‐sized enterprises (SMEs), we explore relationships between supply and demand constraints, on the one hand, and identifying supply and demand opportunities, on the other hand. The results show that supply constraints have a positive effect on identifying supply opportunities but a negative effect on identifying demand opportunities. Similarly, demand constraints have a positive effect on identifying demand opportunities but a negative effect on identifying supply opportunities. Thus, this study shows that resource constraints direct the entrepreneur's attention toward opportunities inside the constrained domain rather than outside the constrained domain. An important consequence for theory is that a complete explanation of the mixed effects of resource constraints should consider different types of resource constraints and different sources of opportunities simultaneously. For practicing entrepreneurs, being aware of this mechanism can prevent missing out on promising opportunities outside the constrained domains.     

Spanning transnational boundaries in industrial markets: A study of Israeli entrepreneurs in China

This study investigates Israeli transnational entrepreneurs who provide B2B intermediation services in China. To understand the dynamic evolution of their profile and activity, we apply an interpretative framework that combines practice theory and boundary spanning models to analyze six case studies of Israeli transnational entrepreneurs in China. The findings indicate a gradual evolution of their personal and professional profile, determined by a dynamic interdependence between various forms of capital, entrepreneurial habitus, and circumstantial factors. They mobilize a combination of social, cultural, economic and symbolic capital to span organizational, country, cultural and stage boundaries between Israeli and Chinese individuals and organizations. We integrate these findings into a comprehensive model, presenting the various components and stages that led to the development of transnational profiles and activities. Our findings provide an original contribution both to industrial marketing theory and practice, and to transnational entrepreneurship literature, advancing academic understanding and offering a clear roadmap for entrepreneurs, organizations and policy-makers.     

Inter-organizational collaborations for social innovation and social value creation: Towards the development of new research agenda and theoretical perspectives

The intensifying poverty and poorer living conditions, the need for greater social welfare along with ongoing damages to the natural environment in several contexts of the world have proved the increasing importance of social innovation for creating positive social and environmental change. This special issue addresses to the limitations in social innovation literature by providing insights into the role of inter-organizational collaborations in the process, practice and outcome of social innovation. Thus, the papers published in this special issue advance current knowledge and scholarship on different aspects of the social innovation phenomena occurring in inter-organizational contexts. The current paper reviews existing perspectives and studies on social innovation undertaken inter-organizational contexts, develops the future agenda for improving scholarship on social innovation occurring through inter-organizational collaborations, and provides the development of new theoretical ideas by focusing on some key studies in the literature and papers published in this special issue. With a focus on subsistence contexts that are characterized by limiting institutional environments, this paper identifies the types of partnerships that are being formed by social enterprises and individual social entrepreneurs, and how they may facilitate and foster social innovation practice and performance through social value creation.     

Risk assessment and profit sharing in business networks

Nowadays network is the preferred governance form to conduct economic transactions. Network solution allows to reach flexibility maintaining cost and quality level. Since network concept refers to a great variety of organizational hybrids it is possible to choose the one that fits better market requirements. The new trends in inter-organization relationships push towards network solutions: companies are interested in relationships with partners and customers to overcome resource dependence, to enter too risky market or simply differentiate their business portfolio. The proposed research focuses on the network concept aiming at highlighting threats and opportunities to investigate the double nature of the risk concept. Network structures offer flexibility and higher profit as a consequence and business risk sharing opportunity.These two aspects (profit and risk) are strictly related and have to be considered together to depict a complete scenario; this implies that risk assessment and management in network environment cannot neglect profit sharing or, in other words, that profit sharing mechanisms should use risk as driver. In this context our research proposes a methodology to measure risk taking into account network peculiarities; risk estimation is a basic step to evaluate the opportunity cost of capital needed to compute the network Net Present Value (NPV) that is assumed as base in the profit sharing process. The profit sharing process has been tackled using the Shapley value approach that is inspired to the fairness principle while the opportunity cost of capital is assessed using the Capital Asset Pricing Model (CAPM).     

转型背景下中国企业基于社会资本的知识管理研究

本文研究和分析了企业外部社会资本和内部社会资本在知识管理中所发挥的作用,论述了处于不完善的制度环境和组织制度下的中国企业如何突破制度限制以应对全球化竞争和知识经济挑战等问题。在此基础上,提出了概念模型和理论假设。并利用607家中国企业的有效数据对假设进行了检验,实证结果表明:内外部社会资本的构建有利于我国企业在制度环境不完善背景下的知识管理,有利于企业通过外部知识的获取和知识整合来构建自身的竞争优势。     

Entrepreneurship in International Business: An Institutional Perspective

International business activities have confronted entrepreneurs with host business environments that are fundamentally different from their home countries. Despite decades of entrepreneurship research, we know very little about these entrepreneurs and their strategic behaviour in establishing and managing transnational operations. This paper develops an institutional perspective on transnational entrepreneurship. This perspective argues that significant variations in institutional structures of home countries explain variations in the entrepreneurial endowments of prospective transnational entrepreneurs. Transnational entrepreneurship is embedded in transnational actor networks that facilitate successful cross-border business operations. This paper goes beyond the theoretical impasse in entrepreneurship and international business studies.     

The ‘visible hand’ behind cooperation in franchising: A model of franchisor practices that influence cooperation within social networks

Although scholars recognise that social networks within marketing channels can enhance cooperation (the implementation of joint goals), research provides a deficient understanding of how suppliers can efficiently manage them. Our study investigates the ‘visible hand’ behind franchising cooperation by asking: How do franchisors build cooperation within franchise systems? Using multiple case study research on retail franchises recognised for high-quality cooperation, our study builds a model of how franchisor practices maintain and increase cohesive ties that foster cooperation within the franchising community; a type of social network nested within the franchise system. This model is underpinned by social capital theory, self-categorisation theory, and the constructs relational norms and behaviour from research on marketing channels. Our study provides insight into the key organisational, social network, and individual agency drivers of cooperation within branding marketing channels. This provides an understanding of: 1) how centralised organisational practices interact with individual agency to maintain efficient cooperation, and 2) heterarchical processes to improve cooperation efficiency.