Choosing one’s dependencies, while leveraging other people’s resources, is an important managerial decision for all entrepreneurs, whether they operate individually run firms or in the context of large organizations. Entrepreneurs are expert at accessing resources, beyond what they currently have in place, to pursue new opportunities. The theoretical model that we develop will provide an explanation on how effective entrepreneurs go about signalling to generate the legitimacy they need, to gain the requisite power, to have access to additional resources. The model focuses on the initial conditions of available resources at a particular point in time and through strategic choice an entrepreneur can effectively leverage these resources to enact their respective environments to obtain more resources.
Wolff, Neil and Peterson, Rein
"THE ROLE INITIAL CONDITIONS, SIGNALLING, AND LEGITIMACY HAVE ON THE PURSUIT AND DISBURSEMENT OF RESOURCES: A VENTURE CAPITALIST’S PERSPECTIVE (INTERACTIVE PAPER),"
Frontiers of Entrepreneurship Research: Vol. 27
, Article 22.
Available at: http://digitalknowledge.babson.edu/fer/vol27/iss3/22