The popular theory of effectuation (Sarasvathy, 2001) is a prototypical example of deriving novel insights from practical observations. It’s logic emerged from interpreting and extrapolating interview data collected using a think-aloud protocol from twenty-seven “expert” entrepreneurs based. Effectuation has five core principles, which Sarasvathy (2009) relate to means-driven action, consideration of what one is willing to lose, negotiating with stakeholders willing to make commitments towards a project, recognizing and leveraging contingencies, and acknowledging agency as the driver of new opportunities, respectively. The common thread across these tenets is non-predictive control to substantially reduce, if not eliminate, the use of predictive strategies in dealing with uncertainties.
Bylund, Per L. and Gupta, Vishal K.
"EFFECTUATION AND THE LOGIC OF ACTION: A PRAXEOLOGICAL ASSESSMENT OF EFFECTUATION THEORY (INTERACTIVE PAPER),"
Frontiers of Entrepreneurship Research: Vol. 37
, Article 12.
Available at: https://digitalknowledge.babson.edu/fer/vol37/iss16/12