Eric A. Morse

Toward a Theory of Entrepreneurial Cognition: Rethinking the People Side of Entrepreneurship Research

The failure of past “entrepreneurial personality”—based research to clearly distinguish the unique contributions to the entrepreneurial process of entrepreneurs as people, has created a vacuum within the entrepreneurship literature that has been waiting to be filled. Recently, the application of ideas and concepts from cognitive science has gained currency within entrepreneurship research, as evidenced by the growing accumulation of successful studies framed in entrepreneurial cognition terms. In this article we reexamine “the people side of entrepreneurship” by summarizing the state of play within the entrepreneurial cognition research stream, and by integrating the five articles accepted for publication in this special issue into this ongoing narrative. We believe that the constructs, variables, and proposed relationships under development within the cognitive perspective offer research concepts and techniques that are well suited to the analysis of problems that require better explanations of the contributions to entrepreneurship that are distinctly human.

Cross-Cultural Cognitions and the Venture Creation Decision

Theories of social cognition, information processing, and expertise provided the foundation for a cross-cultural model of venture creation. Using data from seven countries, we found support for the...

The Central Question in Entrepreneurial Cognition Research 2007

In this article, we take note of advances in the entrepreneurial cognition research stream. In doing so, we bring increasing attention to the usefulness of entrepreneurial cognition research. First, we offer and develop a central research question to further enable entrepreneurial cognition inquiry. Second, we present the conceptual background and some representative approaches to entrepreneurial cognition research that form the context for this question. Third, we introduce the articles in this Special Issue as framed by the central question and approaches to entrepreneurial cognition research, and suggest how they further contribute to this developing stream. Finally, we offer our views concerning the challenges and opportunities that await the next generation of entrepreneurial cognition scholarship. We therefore invite (and seek to enable) the growing community of entrepreneurship researchers from across multiple disciplines to further develop the “thinking–doing” link in entrepreneurship research. It is our goal to offer colleagues an effective research staging point from which they may embark upon many additional research expeditions and investigations involving entrepreneurial cognition.

Are Entrepreneurial Cognitions Universal? Assessing Entrepreneurial Cognitions across Cultures

In this study we examine three research questions concerned with entrepreneurial cognition and culture: (1) Do entrepreneurs have cognitions distinct from those of other business people? (2) To what extent are entrepreneurial cognitions universal? and (3) To what extent do entrepreneurial cognitions differ by national culture? These questions were investigated in an exploratory study using data collected from 990 respondents in eleven countries. We find, in answer to question one, that individuals who possess “professional entrepreneurial cognitions” do indeed have cognitions that are distinct from business non-entrepreneurs. In answer to question two, we report further confirmation of a universal culture of entrepreneurship. And in answer to question three, we find (a) observed differences on eight of the ten proposed cognition constructs, and (b) that the pattern of country representation within an empirically developed set of entrepreneurial archetypes does indeed differ among countries. Our results suggest increasing credibility for the cognitive explanation of entrepreneurial phenomena in the cross-cultural setting.

The Distinctive and Inclusive Domain of Entrepreneurial Cognition Research

Through mapping both distinctive and inclusive elements within the domain of entrepreneurial cognition research, we accomplish our task in this introductory article to Volume 2 of the Special Issue on Information Processing and Entrepreneurial Cognition: to provide a fitting backdrop that will enhance the articles you will find within. We develop and utilize a “boundaries and exchange” concept to provide a lens through which both distinctive and inclusive aspects of the entrepreneurship domain are employed to frame this special issue.

Institutional Environment and Entrepreneurial Cognitions: A Comparative Business Systems Perspective

In this study, we investigate the relationship between institutional elements of the social environment and entrepreneurial cognitions, which lead to the individuals venture creation decision. Employing a sample of 757 entrepreneurs and non–entrepreneurs from eight countries we examine the extent to which institutions influence venture creation decisions, where entrepreneurial expert scripts act as a mediator. Results show that various institutional elements, such as legal and financial systems, affect venture arrangements and willingness scripts. Venture arrangements scripts, in turn, have the most significant impact on an individuals venture creation decision.

The Impact of Virtual Embeddedness on New Venture Survival: Overcoming the Liabilities of Newness

In this article, we examine the impact of virtual embeddedness—the establishment of interorganizational connections through the use of electronic technologies—on the likelihood of new venture survival. We explore the effects of recent technological and social changes on traditional conceptions of the liabilities of newness. We argue that virtual embeddedness positively affects new venture survival by decreasing the liabilities of newness associated with a new ventures need to create and manage new roles and systems, lack of extant trust relationships, lack of social capital, and lack of economic capital. This argument has important implications for both the study and management of contemporary new ventures.

The transacting cognitions of nonfamily employees in the family businesses setting

This paper identifies the thinking patterns necessary for nonfamily employees to work effectively within family businesses. Herein, we use transaction cognition theory (Mitchell, R.K., 2001) to systematically identify the extent of cognitive complexity experienced by nonfamily employees, and thereby highlight factors within the cognitive situation that can improve family/nonfamily compatibility and effectiveness. We conclude with a discussion of the transaction cognition theory contribution to theory building.

Virtually Embedded Ties

The Internet and other communication and information technologies have not only increased the efficiency and effectiveness of existing forms of interorganizational connection, but have also made possible the emergence of a new form – “virtually embedded ties”. Such ties have two essential features: first, they utilize electronic communication and information technologies; second, the use of those technologies allows them to overcome the exchange-related problems previously addressed through the formation of socially embedded ties. We argue that virtually embedded ties offer an important alternative to socially embedded ties in industries that are characterized by high levels of dynamism.

Managing your portfolio of connections

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