In initial research, new venture creation (NVC) rates occurring across catastrophic bust cycles affecting industry hubs were found to recover and precede general local, regional and national economic recovery rates. Subsequent study presented here found a difference in rates of new venture survivors (NVS) across catastrophic environmental disequilibrium (CED) periods. Past literature on venture activity in conjunction with general economic rates found that NVC followed or maintained an even pace with general economic trends (Birley 1985; Shane, 1996). However, this research did not differentiate between local, regional and national impacts of CED or assess survivors, and were not designed to assess venture interaction with disruption or regeneration of the business environment.
The wealth-creation behavior of survivors may contribute to renovation of damaged business infrastructure by innovative replacement or proactive regeneration of fractured or of enriched facets. Previously unidentified integration/establishment behavior by survivors may systemically force dispersed reintegration of wealth and infrastructure, jumpstarting revitalization of the affected hub and general economies.
This research is intended to aid in discovering, building and empirically supporting aspects of entrepreneurship theory related to the contribution of entrepreneurial activities to the general economy.
"CATASTROPHIC ENVIRONMENTAL DISEQUILIBRIUM AND NEW VENTURE SURVIVORS: A SEARCH FOR EVIDENCE OF SCHUMPETER’S ENTREPRENEURIAL ENGINE (SUMMARY),"
Frontiers of Entrepreneurship Research: Vol. 27
, Article 3.
Available at: http://digitalknowledge.babson.edu/fer/vol27/iss16/3