Search results for "effectuation"
showing 6 items of 16 documents
Causation and Effectuation in the Foreign Market Entry and Selection of Software SMEs
2012
Current research emphasizes several factors impacting on SME internationalization. However, it remains unclear that how entrepreneurs in SMEs think and implement their internationalization and select target countries for foreign operations. In this qualitative case study, foreign market selection and entries of five Finnish software firms are analyzed by using the theory of causation and effectuation. The findings imply that software SMEs used more causation logic in their foreign market selection and effectuation logic in their foreign market entries. The case firms that followed causation logic in FMS entered more distant countries. peerReviewed
Effectuation in an entrepreneurial creation setting : an action case study
2014
Entrepreneurial effectuation, a concept presented by Saras Sarasvathy (2001), is currently among the hot topics of entrepreneurship research and discussion. Being a relatively new concept, the research approaches and methodological choices have been relatively limited in number and focus. Furthermore, the small and medium-sized enterprise (SME) context, especially the small busi-nesses have not been addressed despite their apparent crucial role in new product and venture creation processes. This qualitative case study focuses on a single creation process of a potential new product in an entrepreneurial small business setting. Through the conven-tions of action research, the aim is to unders…
Entrepreneurs (novices vs. experts) and investors: Interaction and rationality dynamics (effectual vs. causal)
2019
The paper studies the mechanisms that govern the interactions between the entrepreneur (novice or expert) and the specific investors of emerging firms (business angels (BAs) and venture-capital firms (VCs)). Combining both literatures on entrepreneurship and entrepreneurial finance, our aim is to understand if the rationalities of these three actors help them or not to interact, and, to study how they influence each other during the firm's growth. In order to do so, we undertake two processual case studies. Our results show that effectual rationality underlines the interaction between the entrepreneur and the BAs at the creation of the firm, whilst causal rationality is helpful in the searc…
Effectuation Logic in Digital Business Model Transformation : Insights from Japanese High-Tech Innovators
2019
Purpose The purpose of this paper is to study how digital business models evolve when entrepreneurs move to new digital platforms and how this evolution is related to effectuation and causation logics. Design/methodology/approach This study applies a multiple case study approach to investigate how digital business models change in small, Japanese high-tech firms providing their innovations through different digital platforms. To investigate digital business models, this study considers the elements that comprise general business models. The case firms were selected based on size, products and transitions from physical to various digital platforms. Semi-structured interviews were conducted …
Reasoning of using causation and effectuation logic : implications on start-up performance and internationalization
2018
New start-up companies are the basis for expansive companies. Expansive companies are extremely important for employment and for business growth. For this reason, it is important to know the processes how start-up companies are built up. In this research, the relations between prior entrepreneurial experience, prior international experience, effectuation and causation, financial performance and degree of internationalization were studied among the Finnish knowledge intensive business services (KIBS) start-up companies. The research utilized mixed methods and comprised of two parts, qualitative and quantitative parts. The former part included setting the research propositions based on the li…