‘Embrace the masculine; attenuate the feminine’ – gender,identity work and entrepreneurial legitimation in the nascent context

This article critically analyses how gender bias impacts upon women’s efforts to legitimate nascent ventures. Given the importance of founder identity as a proxy for entrepreneurial legitimacy at nascency, we explore the identity work women undertake when seeking to claim legitimacy for their emerging ventures in a prevailing context of masculinity. In so doing, we challenge taken for granted norms pertaining to legitimacy and question the basis upon which that knowledge is claimed. In effect, debates regarding entrepreneurial legitimacy are presented as gender neutral yet, entrepreneurship is a gender biased activity. Thus, we argue it is essential to recognize how gendered assumptions impinge upon the quest for legitimacy. To illustrate our analysis, we use retrospective and real time empirical evidence evaluating legitimating strategies as they unfold, our findings reveal tensions between feminine identities such as ‘wife’ and ‘mother’ and those of the prototypical entrepreneur. This dissonance prompted women to undertake specific forms of identity work to bridge the gap between femininity, legitimacy and entrepreneurship. We conclude by arguing that the pursuit of entrepreneurial legitimacy during nascency is a gendered process which disadvantages women and has the potential to negatively impact upon the future prospects of their fledgling ventures.     

The salient role of institutions in Women’s entrepreneurship: a critical review and agenda for future research

Institutions play an important role in women’s and men’s entrepreneurial behaviors. This article provides a systematic review of institutions and women’s entrepreneurship literature through an institutional lens, with a particular focus on informal and formal institutions. The article sets out to explore institutions for women’s entrepreneurship, illustrating why having an institutional perspective of women’s entrepreneurship contributes to a deeper understanding of the phenomenon. To reach this aim, we analyze and classify the scholarship by explanatory factors and type of informal and formal institutions. The article suggests that gender roles, as an informal institution, influence the creation of both informal and formal institutions, and in turn, the women’s entrepreneurial behaviors is based on gender roles. Finally, a theoretical model is developed, which allocates women’s entrepreneurship in the center and shows the role of institutional environment in their decision to start new ventures. Implications for future research are finally discussed.     

The success and failure of policy-implanted inter-firm network initiatives: motivations,processes and structure

This paper examines the processes and causes of inter-firm network success and failure, defined in terms of the ability of networks to become a sustained and valued form of business activity for their members. The paper examines four different case study network initiatives: (1) a failed informal ‘new entrepreneurs' network’ (2) a successful informal ‘local cluster group’ (3) a failed formal ‘defence contractors' network’ and (4) a successful formal ‘small-firm technology group’. It is shown that networks in business are often consciously developed and maintained by those managing directors who have recognized the importance of cooperative activities for achieving competitive advantage for their companies. The best network support consisted of brokers who are able to mix and overlap the ‘hard’ business and ‘softer’ social interests of participants. The case studies indicate that it is formal groups that are the most potent form of inter-firm network, but that it is through an initially informal structure that they are best facilitated. It is concluded that both economic and social rationalities are at play in the motivation of firms to join networks, and that their success is closely connected to pre-existing commonality between members.     

The Emergence of Proto-Institutions in the New Normal Business Landscape: Dialectic Institutional Work and the Dutch Drone Industry

In the current business landscape, in which technology-enabled entrepreneurship is part of the New Normal, regulatory institutional structures are in constant flux. Previous studies have framed the challenges facing entrepreneurs in mature organizational fields as avoiding the power of overbearing regulators long enough to establish the legitimacy of their ventures. In fields typified by New Normal conditions, however, regulatory frameworks for evaluating new technology-enabled ventures are often still lacking. Regulators may choose to actively reach out to entrepreneurs to arrive at a better understanding of the radical technological changes and high-frequency entrepreneurial behavioural adaptations that occur in these settings. To grasp how novel regulatory institutional structures come about in the New Normal business landscape, we conducted a processual study of the emergence of a new technology that is the Dutch remotely piloted aircraft systems (drone) industry between 2000 and 2018. Our findings show that regulatory proto-institutions result from dialectic institutional work in the form of structured interactions between entrepreneurs and regulators. Specifically, we present a process model that reveals how new regulatory structures evolve in contexts where high levels of technological and behavioural change induce systemic uncertainty, and enlarge the interdependence between entrepreneurs and regulators. We suggest that our process theory of proto-institutional emergence generalizes towards other organizational fields in which technology-enabled entrepreneurship has become the main driver of growth. Theoretically, our findings speak to the literatures on institutional work, proto-institutional emergence, and the New Normal business landscape.     

Entry mode choices in the international new ventures context. A study from different theoretical perspectives

Few studies have investigated the factors that enhance entry mode choice in the context of international new ventures (INVs). In this paper, we hypothesize that the characteristics of INVs’ products or services can explain their preference for equity entry modes. We also hypothesize that the inter-firm networks in which INVs are embedded play a deciding role in their choice of non-equity entry modes. When INVs are in inter-firm networks in which activities are developed to manage them, non-equity entry modes are preferred. We have adopted an effectuation approach to study the influence of different inter-firm network management activities on entry mode choice. In short, we have studied the effect of developing inter-firm network knowledge exchange, coordination, adaptation, conflict resolution and resource sharing management activities. In this paper we attempt to contribute to international entrepreneurship studies by reconciling the most widely accepted approaches to entry mode choice (Transactional Cost Economics, Organizational Capabilities-based and Network perspective) and international new ventures. Our findings show that the technological complexity of INVs’ products/services explain their preference for equity entry modes. Additionally, the development of network management activities among the networked firms determines the INVs’ preference for non-equity entry modes. Our results draw a decision model that differs from the ones derived from previous perspectives, which highlight the role of different characteristics of international new ventures.     

Maintaining Leadership Legitimacy in the Transition to New Organizational Forms

Numerous new organizational forms have been proposed for ensuring the continuous strategic renewal of a firm. In essence, these forms are distinguished by: (1) their emphasis on bottom-up entrepreneurship, and (2) their reliance on a co-operative network that allows these entrepreneurial units to share their competencies with one another. One of the key behaviours required for the success of such an organization is employee empowerment. We argue in this paper that the legitimacy of corporate leadership during the restructuring of a traditional bureaucratic organization is crucial to its eventual transformation to one of the new organizational forms. The current wisdom of a two-stage transformation process, where an authoritarian restructuring precedes the more participative revitalization, is thus challenged. The transformation may get stalled after the restructuring stage because of top management’s inability to empower the firm’s employees at will, having lost their trust during restructuring     

Small entrepreneurial ventures culture, change and the impact on HRM: A critical review

Effective management of people is increasingly recognized in the literature as a vital contributor to organizational performance and indeed survival. Nevertheless, studies of the dynamics of human resource management in small entrepreneurial ventures are relatively sparse. In this paper we draw upon a range of behaviourally-informed research publications to demonstrate that a culture of owner-influenced individualism and informality pervades these ventures, affecting prime human resource issues such as performance related practices, training and development, work–life balance and other critical dimensions of employee welfare. A preference for informality and an absence of strategy to inform owner–employee relations sits uneasily alongside growing political pressures toward codification of the management of employees in small entrepreneurial ventures. The response to these pressures may have significant implications both for relationships with employees and for organizational performance.     

Does the ideal entrepreneurial team exist?

Up until now, studies on entrepreneurs and their relationship to business performance have focused primarily on analyzing the entrepreneur as an individual. While studies have been conducted on the entrepreneurial team, their focus has centered on team size and degree of diversity - cultural, age, gender - leaving a gap in the analysis of the effect of a team’s competencies on the outcome of the ventures. This research aims to help fill this gap by using the psychometric instrument DISC. This research analyzes entrepreneurship by opportunity, evaluating the performance of 109 Colombian companies and the composition of their entrepreneurial teams. The results obtained provide the basis for better understanding of the make-up of entrepreneurial teams, considering the variances and interdependencies of the competency development level among their members. They reveal that identifying the similarity or heterogeneity in certain groups of competencies, as well as how developed they are, can have an impact on the ventures’ success. The cluster analysis carried out suggests that highly developed competencies associated with the ‘dominance’ dimension in the members of an entrepreneurial team are essential. These must be above-average in heterogeneous levels among the team members. They must also be accompanied by the ‘steadiness’ competency provided by the team-oriented partners, as well as an average, homogeneous level of competencies associated with ‘conscientiousness’ if the new business is to achieve good financial results in its early years. The ‘influence’ dimension did not play a significant role. The teams made up of more homogeneous partners obtained the poorest financial results. Furthermore, the study provides new perspectives for measuring business performance in a venture, as well as for evaluating the relationships between the entrepreneurial team's competencies and the company’s results in the first years of business. Accordingly, it offers inputs for future research.

     

Effective entrepreneurial narrative design in reward crowdfunding campaigns for social ventures

One of the most important challenges for social venture entrepreneurs is acquiring resources. Reward crowdfunding is considered a suitable tool for meeting the financing needs of social ventures, whose backers are particularly interested in firm ideas and core values rather than in collaterals or business plans. A strategic factor that is able to influence the outcome of crowdfunding campaigns is the entrepreneurial narrative. Very few scholars have examined the key factors that support a crowdfunding campaign, particularly those on reward-based crowdfunding platforms, and the effects of entrepreneurial narratives on investors’ decisions. Aiming to fill this research gap, this paper investigates how entrepreneurs in the technology industry describe their social ventures and projects on Eppela, an Italian reward-based crowdfunding platform. Thematic analysis was applied to detect the five following key factors of effective entrepreneurial narratives in reward-based crowdfunding campaigns for social ventures: 1) problem/need; 2) project; 3) product; 4) team; and 5) venture. Each key factor includes specific subfactors. Lexical data analysis was then performed to identify the following expected effects of the examined entrepreneurial narratives on potential investors, leading these investors to understand, trust, and approve the project proposal, and thus, finance the social venture’s project: 1) reassurance, 2) reliability, and 3) credibility. Based on these results, this study proposes an explanatory model about how to design effective entrepreneurial narratives to be presented to contribute as much as possible to the success of projects in crowdfunding platforms.

     

Disassembling the influences of perceived family relational conflict on business family offspring’s intrapreneurial intentions

Entrepreneurial business family offspring are key figures in helping family businesses achieve transgenerational entrepreneurship. However, a global survey reveals that entrepreneurial offspring avoid the family business when conducting entrepreneurial activities. Our study makes the first effort to explore what reduces business family offspring’s intrapreneurial intentions in the family business context. Applying a mixed-method approach, we conduct 18 explorative interviews, a pretest of 124 Chinese business family offspring, and a formal survey of 131 Chinese business family offspring approaching their career decision point. We realize that growing up in family businesses often exposes offspring to two types of perceived family relational conflicts that their parents’ entrepreneurial endeavors incur, which we define as “big-family” and “parent-offspring” relational conflicts. Our empirical results suggest that the relationship between perceived family (i.e., parent-offspring and big-family) relational conflict and family business intrapreneurial intentions were serially mediated by family relational outcome expectation and family relational self-efficacy. Contributions to family business research and social cognitive career theory are discussed.

     

Sustaining entrepreneurial business: A complexity perspective on processes that produce emergent practice

This article examines the management practices in an entrepreneurial small firm which sustain the business. Using a longitudinal qualitative case study, four general processes are identified (experimentation, reflexivity, organising and sensing), that together provide a mechanism to sustain the enterprise. The analysis draws on concepts from entrepreneurship and complexity science. We suggest that an entrepreneur’s awareness of the role of these parallel processes will facilitate their approaches to sustaining and developing enterprises. We also suggest that these processes operate in parallel at multiple levels, including the self, the business and inter-firm networks. This finding contributes to a general theory of entrepreneurship. A number of areas for further research are discussed arising from this result.     

Creating space for play/invention – concepts of space and organizational entrepreneurship

This paper focuses on how one can relate management thinking/practices to entrepreneurial processes in the context of formal organization. In order to do this we develop a number of related ‘spatial concepts’ providing us with the possibility of describing entrepreneurship as a ‘creation and use of space for play/innovation’. Using concepts of space, the managerial and the entrepreneurial dimensions and perspectives on organizing creativity become highly visible in the case studied. This is a field study (within the ethnographic tradition) focusing on an organizational transformation of a former public authority into a competitive limited company. A distinction between managerialism and ‘entrepreneurship as event’ is proposed as conceptually fruitful as well as useful for discussing recommendations to managers for how to handle entrepreneurial processes. A minimal and contextual role for management is suggested when aspiring to support the creations of space for play/invention, for example, for entrepreneurship as forms of organizational creativity.     

Special issue on “The role of networks in entrepreneurial performance: new answers to old questions?”

The nature and extent of relationships between entrepreneurial networks and entrepreneurial performance are old questions. Scholars have explored the nature of entrepreneurial networks and have focused on their relationship with, and effects on, performance, which is viewed in this special issue in terms of the strategic development of established businesses and new ventures. However, while much is now known about the origins and effects of social networks there continues to a paucity of research on how social networks are used in various organizations, and when one or more networks are drawn upon for what specific purpose. Each article in this special issue addresses one or more of these questions in a range of industries and environments, namely poor village entrepreneurs who have to work in a highly challenging financial and social environment in Bangladesh, “early internationalizing small firms” in South Africa, high technology “early-stage ventures” in Hong Kong, 3-D technology ventures that operate with an “open” business model, and the “multi-rational” nature of networks in family businesses in and beyond the UK. In all, this collection of papers comprises a body of scholarship with fine-grained studies on how and when specific social networks are drawn on in various forms of organization. The subsequent discussion of these issues extends knowledge of the various ways in which entrepreneurs and entrepreneurial businesses advance their interests by leveraging familiar business and social networks.     

Entrepreneurial Hustle: Navigating Uncertainty and Enrolling Venture Stakeholders through Urgent and Unorthodox Action

Entrepreneurs need to act under conditions of uncertainty and resource constraints to bring new, often-unrecognizable products to market and convince an unknown set of stakeholders to support their endeavours. The type of action entrepreneurs take to navigate uncertain entrepreneurial contexts is underspecified. We analysed 48 interviews with entrepreneurs to inductively identify an action-oriented construct we labelled as entrepreneurial hustle – an entrepreneur’s urgent, unorthodox actions that are intended to be useful in addressing immediate challenges and opportunities under conditions of uncertainty. In a follow-up study, we use an experimental vignette approach to assess the impact of an entrepreneur’s hustle on venture stakeholders. Findings suggest that entrepreneurial hustle positively influences stakeholder perceptions of the entrepreneur’s leadership effectiveness and a venture’s legitimacy, mediated by perceptions of the entrepreneur’s ability-based trustworthiness. We conclude that entrepreneurial hustle is a fundamental behaviour that enables entrepreneurs to enrol new venture stakeholders and lead their entrepreneurial efforts.     

Gendered cognitions: a socio-cognitive model of how gender affects entrepreneurial preferences

ABSTRACT

This research explores the social-cognitive factors which lead both women and men to pursue ventures consistent with their gendered social identity, therefore, reinforcing the gender gap in entrepreneurship. We measured the self-assessments of individuals presented with experimentally manipulated entrepreneurial opportunities that were either consistent or inconsistent with their self-reported gender. A theoretical model derived from Social Role Theory is presented and tested. It posits that a gender match (mismatch) with the entrepreneurial opportunity results in higher (lower) reported self-efficacy, anticipated social resources, and venture desirability and lower (higher) venture risk perceptions. The experimental data are tested in a sequential mediation SEM model. We find evidence that self-efficacy and anticipated social resources mediate the effect of gender congruency on perceived risk and venture desirability. The results provide insight into the insidious barriers that play a role in reproducing a gender gap in entrepreneurial outcomes by ‘nudging’ women into lower-return ventures in less lucrative industries.     

Do Hybrid Goals Pay off? Social and Economic Goals in Academic Spin-Offs

New ventures often pursue both economic and social goals, known as goal hybridity. Yet, we know less about how organizational goal hybridity influences the performance and governance of new ventures. Goal hybridity is common among academic spin-offs (ASOs) seeking to commercialize scientific research from universities. We hypothesize that ASOs’ goal hybridity influences their subsequent performance and their governance structure. We also hypothesize that ASOs who enrol multiple stakeholders with investment goals aligned with their hybrid goals outperform the ASOs who do not. By combining several data sources, we follow Norwegian ASOs longitudinally and find that goal hybridity explains their subsequent performance differences, such that ASOs relying on both economic and social aspects of their business when formulating their goals outperform those who rely purely on economic or social goals. We also find that ASOs with hybrid goals outperform when they enrol multiple stakeholders who are aligned with their hybrid goals. Our findings have implications for theorizing in hybridity, stakeholder enrolment, and the organizational goals literatures. We also provide a fuller understanding on performance heterogeneity of ASOs, and we offer a set of practice and policy implications to academic entrepreneurship and public-private partnership literatures.     

Explaining nation-wide differences in entrepreneurial activity: a legitimacy perspective

The present study applies the lens of Institutional Theory to analyze the impact of a country’s entrepreneurial legitimacy on its entrepreneurial activity as well as on entrepreneurs’ access to financing. By creating a structural equation model of entrepreneurship in innovation-driven countries, the authors show that countries with greater entrepreneurial legitimacy have more entrepreneurial activity. The model was tested over a 5-year period, from 2009 to 2013. Results suggest that innovation-driven countries with more entrepreneurial legitimacy obtain greater rates of entrepreneurial activity. Further distinguishing among legitimacy types, cognitive legitimacy is shown to exert a stronger influence than regulative or normative legitimacy. The model also confirms a positive relationship between a country’s entrepreneurial legitimacy and access to financing. This occurs principally through regulative legitimacy. This study enlarges our knowledge of the existing differences in entrepreneurial activity among countries. It contributes to the literature on the country-level determinants of entrepreneurship, such as institutional conditions or financial access.     

Interfirm Channel Relationships,Influence Strategies and Performance in China

Abstract

This paper empirically examines the relationship between inter-firm channel relationships, influence strategies and suppliers' performance. A survey of 103 foreign partners from Sino-foreign joint ventures in the food industry in China shows that channel relationships have a major positive effect on supplier's channel performance. While the influence strategy of “threats” is negatively related to supplier's channel performance and channel relationships, “suggestive litigation” has a positive influence on performance, on the contrary to findings in Western countries. Although a business relationship with an emphasis on “legal effect” is not desired on the part of distributors, it enhances channel relationships. The influence strategy of “request” as a Western phenomenon does not work well in China, and has an inverse effect on channel relationships. Implications for practitioners and researchers are discussed.     

Assessing the impact of individual and context factors on the entrepreneurial process. A cross-country multilevel approach

This paper attempts to fill the gap on the existing entrepreneurship literature by empirically testing the influence of two groups of individual-level factors (socio-economic, demographic and perceptual characteristics) and two groups of country-level factors (both formal and informal institutional measures and macroeconomic variables) on three stages of the entrepreneurial process. We analyze the interplay between individual and context factors in nascent, young and established entrepreneurs across 49 different countries, mixing data from different sources and applying multilevel binary logistic regression models. Our results show that entrepreneurial activities are male headed, irrespectively of the entrepreneurial stage of their activities, and that highly-educated entrepreneurs are more oriented to start up new ventures. The existence of a wider network of people involved in entrepreneurship contributes to updating information on new markets and opportunities, leading to a more accurate entrepreneurial decision. The level of development of a country constitutes an important determinant of entrepreneurship but also moderates the relationship between entrepreneurship and institutional factors. In more developed countries, individual characteristics may be still determinant factors shaping the decision to become an entrepreneur, although their magnitude may depend on the stage of the entrepreneurial process. Finally, the key to entrepreneurship for both more and less developed countries seems to be their fiscal systems: a fair tax system that actively fights tax evasion and corruption seems to be essential to reducing the economic pressure associated with the creation and survival of ventures.

     

Refugee-entrepreneurship: a social capital perspective

Abstract

This paper seeks to identify the characteristics of refugee-entrepreneurial startups, which distinguish them from other immigrant entrepreneurial ventures. The author employed a single case analysis as a means of qualitative research into the phenomenon under study, from the perspective of social capital theory. A typical case of a refugee entrepreneur was selected based on his propensity to tell his story in a way that transparently reveals the various peculiarities of his entrepreneurial behavior. The case study involved the use of interviews with key individuals, the review of printed materials, and member checking. The findings revealed five distinctive attributes that characterized that startup and which corresponded to the three dimensions of social capital. Those attributes were: a ‘one-way-ahead’ attitude, a pseudo family business perception, collective bootstrapping, a distinct network structure, and opportunity-seizing proliferation, thereby depicting how social capital is used by refugee-entrepreneurs to maximize the pool of opportunities in their host nations.