Entrepreneurial Necessities and Managerial Shortfalls of Founders: What Does Entrepreneurship Theory Tell Us?
32 Pages Posted: 22 Feb 2009 Last revised: 10 May 2009
Date Written: May 8, 2009
Founding a new firm is a challenging endeavor. However, many founders lack the available skills in particular in early phases of venturing. This paper addresses this managerial gap and employs entrepreneurship theory to understand cause and effect relationships in this context. Against the background of previous empirical surveys and based on a framework consisting of four entrepreneurial functions, namely innovation, risk management, coordination, and arbitrage, the paper presents research propositions that explain the status of competitiveness of the firm.
Keywords: managerial shortfalls, entrepreneurship theory, path dependence, venture process, entrepreneurial functions, competitiveness
JEL Classification: L22, M13, O31
Suggested Citation: Suggested Citation