Entrepreneurial alertness is a key factor driving the opportunity recognition process. However, models of entrepreneurial alertness remain underdeveloped because of the ambiguity and diversity of definitions and integral components. As such, there is a gap in the literature when it comes to the role alertness plays in the entrepreneurial process. To address the issue of ambiguous theoretic models, we provide a reconceptualization of alertness using social cognition theory. We define alertness as the ability to accumulate, transform, and select information related to entrepreneurial opportunities. To address the gap in the literature, we posit that entrepreneurial alertness leads to technological innovations which, in turn, promote new product and service developments in firms. We acknowledge that such innovations are distinct from new product or service developments. Thus, there is temporal disparity between the point at which innovations are introduced and the point at which new products or services are developed. We sought evidence for explaining these phenomena in two empirical studies conducted across two distinct national cultures.