Abstract

Austrian economics suggests that entrepreneurs are agents of change (North, 1993). When economic disequilibrium occurs, alert entrepreneurs recognize opportunity and are able to profit from it (Kirzner, 1997). Shane and Venkataraman (2000), argue that entrepreneurs recognize opportunity through prior knowledge and cognitive properties. As such, when disequilibrium occurs entrepreneurs do not change their cognition; instead, their cognition facilitates opportunity recognition. In contrast, Jones and Casulli (2014) argue that international opportunity decisionmaking varies based on decision complexity and international experience. Suggesting that there are two conflicting views of entrepreneurial opportunity cognition: 1) economics: entrepreneurial cognition is constant; 2) decision-making: cognitive processes are situation dependent. In the context of the surprise 2016 Brexit vote, I examine whether economic disequilibrium impacts how decision-makers evaluate international opportunities. Specifically, I hypothesize that economic shock (Brexit) effects the importance attributed to the value, rarity and inimitability when compared to a European baseline.

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