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Effectual versus causal logics in entrepreneurial decision-making: Differences between entrepreneurially educated novices and expert entrepreneurs

Batley, Stephen LU and Ómarsson, Ingvi Hrannar LU (2014) ENTN19 20141
Department of Business Administration
Abstract
This study looks at effectual and causal logics in entrepreneurial decision-making. We
have compared entrepreneurially educated novices with expert entrepreneurs using
think-aloud protocols to determine differences in their effectual logics and expertise
in general. Prior research suggests that experts are more likely to take an effectual
approach when solving problems (Sarasvathy, 2008; Dew et al., 2009). We sampled
three recently entrepreneurially educated novices and three expert entrepreneurs.
Their decision-making processes were compared by having them continuously thinkaloud
as they solved standard decision-making problems in creating a new venture.
Results showed that entrepreneurially educated novices were substantially... (More)
This study looks at effectual and causal logics in entrepreneurial decision-making. We
have compared entrepreneurially educated novices with expert entrepreneurs using
think-aloud protocols to determine differences in their effectual logics and expertise
in general. Prior research suggests that experts are more likely to take an effectual
approach when solving problems (Sarasvathy, 2008; Dew et al., 2009). We sampled
three recently entrepreneurially educated novices and three expert entrepreneurs.
Their decision-making processes were compared by having them continuously thinkaloud
as they solved standard decision-making problems in creating a new venture.
Results showed that entrepreneurially educated novices were substantially more
effectual than initially expected and more effectual than the experts in our study.
These findings provide implications and a basis for further research to whether
effectual logic is something that entrepreneurship students naturally possess, learn
during their studies or whether this is a natural developmental stage for becoming an
expert entrepreneur. (Less)
Please use this url to cite or link to this publication:
author
Batley, Stephen LU and Ómarsson, Ingvi Hrannar LU
supervisor
organization
course
ENTN19 20141
year
type
H1 - Master's Degree (One Year)
subject
keywords
Effectuation, Causation, Expert entrepreneurs, Novice entrepreneurs, Entrepreneurship, Entrepreneurship education, Think-aloud protocols, Decisionmaking, Expertise in general, Entrepreneurial expertise.
language
English
id
4449007
date added to LUP
2014-12-16 14:10:04
date last changed
2014-12-16 14:10:04
@misc{4449007,
  abstract     = {This study looks at effectual and causal logics in entrepreneurial decision-making. We
have compared entrepreneurially educated novices with expert entrepreneurs using
think-aloud protocols to determine differences in their effectual logics and expertise
in general. Prior research suggests that experts are more likely to take an effectual
approach when solving problems (Sarasvathy, 2008; Dew et al., 2009). We sampled
three recently entrepreneurially educated novices and three expert entrepreneurs.
Their decision-making processes were compared by having them continuously thinkaloud
as they solved standard decision-making problems in creating a new venture.
Results showed that entrepreneurially educated novices were substantially more
effectual than initially expected and more effectual than the experts in our study.
These findings provide implications and a basis for further research to whether
effectual logic is something that entrepreneurship students naturally possess, learn
during their studies or whether this is a natural developmental stage for becoming an
expert entrepreneur.},
  author       = {Batley, Stephen and Ómarsson, Ingvi Hrannar},
  keyword      = {Effectuation,Causation,Expert entrepreneurs,Novice entrepreneurs,Entrepreneurship,Entrepreneurship education,Think-aloud protocols,Decisionmaking,Expertise in general,Entrepreneurial expertise.},
  language     = {eng},
  note         = {Student Paper},
  title        = {Effectual versus causal logics in entrepreneurial decision-making: Differences between entrepreneurially educated novices and expert entrepreneurs},
  year         = {2014},
}