Intrapreneurial decision-making: Understanding the relation between causation and effectuation and the creation of new business models under uncertainty
(2022) ENTN19 20221Department of Business Administration
- Abstract
- In increasingly turbulent environments, intrapreneurship has proven to be a crucial factor for established companies’ success and survival, showing a positive impact on innovation and organizational performance. Despite the strong importance that current research attaches to entrepreneurial employees in existing corporations, there remains a very limited understanding of their decision-making. Therefore, this study aims to investigate how effectuation and causation relate to the creation of new business models under uncertainty as a context for intrapreneurial decision-making. For this purpose, a multiple-case study was used to investigate the decision-making of seven intrapreneurs from five German companies in the energy and automotive... (More)
- In increasingly turbulent environments, intrapreneurship has proven to be a crucial factor for established companies’ success and survival, showing a positive impact on innovation and organizational performance. Despite the strong importance that current research attaches to entrepreneurial employees in existing corporations, there remains a very limited understanding of their decision-making. Therefore, this study aims to investigate how effectuation and causation relate to the creation of new business models under uncertainty as a context for intrapreneurial decision-making. For this purpose, a multiple-case study was used to investigate the decision-making of seven intrapreneurs from five German companies in the energy and automotive sector. Thereby, this thesis focused on an abductive approach and gathered empirical data through oral history interviews. Within- and cross-case analysis led to identifying patterns for each case and across cases. The empirical findings of this thesis show that designing the value proposition takes on a prominent position, particularly early in the process, during which a clear effectual dominance can be determined. The predominance of effectuation decreases concerning decisions on how values are created and delivered. Finally, a shift to a causal tendency takes place as part of financial considerations in later phases of the process. However, intrapreneurs do not draw on a static process, creating business model dimensions isolated from each other. Instead, their design is overlapping and partly takes place in parallel by applying an iterative process. Overall, all cases used hybrid decision-making, relying on both causation and effectuation. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9088981
- author
- Orsag, Vivien Eileen LU and Zwiener, Tim Robin LU
- supervisor
- organization
- course
- ENTN19 20221
- year
- 2022
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Intrapreneurship – Intrapreneurial decision-making – Effectuation – Causation – Business Model Creation – Business Model Dimensions
- language
- English
- id
- 9088981
- date added to LUP
- 2022-06-16 11:21:23
- date last changed
- 2022-06-16 11:21:23
@misc{9088981,
abstract = {{In increasingly turbulent environments, intrapreneurship has proven to be a crucial factor for established companies’ success and survival, showing a positive impact on innovation and organizational performance. Despite the strong importance that current research attaches to entrepreneurial employees in existing corporations, there remains a very limited understanding of their decision-making. Therefore, this study aims to investigate how effectuation and causation relate to the creation of new business models under uncertainty as a context for intrapreneurial decision-making. For this purpose, a multiple-case study was used to investigate the decision-making of seven intrapreneurs from five German companies in the energy and automotive sector. Thereby, this thesis focused on an abductive approach and gathered empirical data through oral history interviews. Within- and cross-case analysis led to identifying patterns for each case and across cases. The empirical findings of this thesis show that designing the value proposition takes on a prominent position, particularly early in the process, during which a clear effectual dominance can be determined. The predominance of effectuation decreases concerning decisions on how values are created and delivered. Finally, a shift to a causal tendency takes place as part of financial considerations in later phases of the process. However, intrapreneurs do not draw on a static process, creating business model dimensions isolated from each other. Instead, their design is overlapping and partly takes place in parallel by applying an iterative process. Overall, all cases used hybrid decision-making, relying on both causation and effectuation.}},
author = {{Orsag, Vivien Eileen and Zwiener, Tim Robin}},
language = {{eng}},
note = {{Student Paper}},
title = {{Intrapreneurial decision-making: Understanding the relation between causation and effectuation and the creation of new business models under uncertainty}},
year = {{2022}},
}