Career motives and entrepreneurial decision-making: examining preferences for causal and effectual logics in the early stage of new ventures

Summary, in English

The influence of entrepreneurs' career motives is examined on two alternative modes of decision-making logic; causation and effectuation. Based on Sarasvathy's (Acad Manage Rev 26(2):243-288, 2001) seminal study, causation is defined as a decision-making process that focuses on what ought to be done given predetermined goals and possible means, and effectuation as a decision-making process emphasizing the question of what can be done given possible means and imagined ends. Analysis suggests that entrepreneurs who identify themselves with linear or expert career motives have a higher preference for causal decision-making logic. Entrepreneurs who identify themselves with spiral or transitory career motives have a higher preference for effectual decision-making logic. In addition, indications that prior start-up experience moderates the relationship between career motives and effectual decision-making logic for spiral-minded entrepreneurs is found. The overall results give ample support for the assumption that entrepreneurs' career motives influence their decision-making.

• Author: Jonas Gabrielsson; Diamanto Politis
• Department/s: CIRCLE
• Publishing year: 2011
• Language: English
• Pages: 281-298
• Publication/Series: Small Business Economics
• Volume: 36
• Issue: 3
• Links: http://dx.doi.org/10.1007/s11187-009-9217-3
• Document type: Journal article
• Publisher: Springer
• Topic: Other Social Sciences
• Keywords: Career motives; Career experience; Entrepreneurial decision-making; Effectuation
• Status: Published
• ISBN/ISSN/Other: ISSN: 0921-898X