Uncovering the value of planning in new venture creation: A process and contingency perspective

Researchers are engaged in a major debate on the value of business planning in new venture creation. This study suggests a potential resolution by applying a process and contingency perspective. The results indicate that planning is beneficial, yet planning processes need to be governed by different planning regimes depending on the type of founding environment. In highly dynamic environments, entrepreneurs will get most value from planning when they focus on select planning activities, and speed up the planning task. In less dynamic environments, they are better of pursuing a munificent approach to planning. The analysis thus reveals a major component of theorization on business planning that has been neglected in previous discussions. As for entrepreneurship teaching and practice, the findings suggest the importance of an adaptive, “toolkit” approach to business planning. Hypotheses were developed based on information-processing and decision-making theory and were tested with an ordered probit analysis on a sample of 100 start-ups backed by venture capital.     

A new model of how celebrity endorsements work: attitude toward the endorsement as a mediator of celebrity source and endorsement effects

This research introduces attitude towards the endorsement as a mediating variable in the relationships between celebrity source and endorsement factors and brand attitude. It also includes perceived celebrity motive, a variable rarely studied in the previous literature, as an endorsement factor. In a survey study, respondents evaluated four celebrity endorsement campaigns. Mediation analyses show that attitude towards the endorsement mediates the effects of three variables on brand attitude; these variables are celebrity expertise, celebrity–brand fit, and perceived celebrity motive. Moreover, results show that if consumers perceive that the celebrity was motivated to do the endorsement not only by money but also by product quality, this has a significant positive effect on attitude towards the brand.