Abstract

This research seeks to identify antecedents and consequences of entrepreneurial sense-making activities while addressing the potential problems originating from the endogeneity of a nascent entrepreneur’s actuation. First, we analyze different factors that determine the selection of a nascent entrepreneur’s deductive and inductive sense-making approach. The antecedents of sense-making include the founder’s education, work experience, as well as cognitive characteristics. Second, we investigate how the selected sense-making approach effects the development of the emerging firm regarding development-progress of the product/service offering and the acquisition of external financing.

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