Innovation and Entrepreneurship Theory and Practice

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    IT Impact on Innovation at the Individual and Group Level – A Literature Review
    ( 2019-01-08) Mamonov, Stanislav ; Peterson, Richard
    Information technology (IT) is broadly recognized as an important element that supports innovation within organizations, however there has been relatively little integration of research in Information Systems on this topic. In this literature review, we examine and synthesize studies on the effects of IT in supporting innovation at the individual and group levels of analysis published in the past ten years in the leading Information Systems journals. We find that although innovation is inherently done by individuals and groups, there have been relatively few studies that examined how technology affects the innovation process and outcomes at the individual or group level. Further, much of the extant research is narrowly focused on incremental innovation. Through synthesis of the extant research, we identify opportunities for future research on the role of technology in innovation.
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    To Pivot or Not To Pivot: On the Relationship between Pivots and Revenue among Startups
    ( 2019-01-08) Bandera, Cesar ; Thomas, Ellen
    The concept of the pivot, whereby a new venture alters its offering or business model, is standard practice among new ventures seeking to validate their value proposition in uncertain markets. Whereas a new venture begins with a business model driven by the entrepreneur’s perception of the market, pivots driven by market feedback align the venture with market need. However, we argue that executing too many pivots can adversely affect firm performance by postponing the maturation of the firm. Using change in a venture’s NAICS code as a proxy for pivoting, we show an inverted-U relationship between revenue and the number of pivots among Kauffman Firm Survey participants. This longitudinal empirical study is one of the first on the relationship between pivoting and performance. It aims to attract attention to this important topic of entrepreneurship, and help the entrepreneur facing the difficult decision of whether or not she should pivot.
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    Entrepreneurial Decision-Making Logic Related to Software Development in Different Growth Phases of INVs
    ( 2019-01-08) Fraccastoro, Sara ; Ojala, Arto ; Gabrielsson, Mika
    Software-based innovations with global market-potential are the main product offering of digital-based International New Ventures, an emerging type of rapidly internationalizing firm. Despite increasing research attention on the internationalization phases of these firms, knowledge of how the characteristics of the firm’s software offerings change over time remains scarce. In this paper, we analyze how standardization, customization and localization evolve through the growth and commitment of International New Ventures in foreign markets. Specifically, we posit that an entrepreneurial decision-making logic based on a logic of effectuation or causation acts as a trigger mechanism for specific software changes over time. Therefore, this article responds to calls for research on digital entrepreneurship and thus contributes to information system, international business, and entrepreneurship literature.
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    Fostering Digital Start-ups: Structural Model of Entrepreneurial Ecosystems
    ( 2019-01-08) Autio, Erkko ; Cao, Zhe
    Despite rising scholarly, policy and practical interest in the concept of entrepreneurial ecosystems, much of the research to date has remained descriptive in nature and has not considered the fundamental driver of the phenomenon - digitalization. We theorize that entrepreneurial ecosystems represent a novel, distinctive type of regional cluster that facilitate digital start-ups which leverage digital affordances for disruptive business model innovation. Entrepreneurial ecosystems are distinguished from other forms of regional agglomeration by their relative lack of industry and technology specificity; by their organization around the start-up process, by the way they combine and leverage spatial and digital affordances, and by their shared experiential knowledge base on business model innovation. We build a structural model of entrepreneurial ecosystems that comprises four key elements: ecosystem community, resource dynamic, knowledge spill-over dynamic, and general framework conditions.
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    Exploring Antecedents of Female IT Entrepreneurial Intentions in the Saudi Context
    ( 2019-01-08) Chandran, Daniel ; Aleidi, Asma
    IT entrepreneurs are a source for promoting socio-economic growth, innovation and job opportunities. Despite the increasing awareness of this importance, evidence indicates that women in IT entrepreneurship are heavily underrepresented. However, a comprehensive literature indicates that innovation, technology and female entrepreneurs are rarely studied in the same context and they have been ignored in both Information Systems (IS) and female entrepreneurship disciplines. Therefore, a conceptual model that will affect women’s IT entrepreneurial intention and decision-making processes is proposed. Hypotheses have been developed. Data has been collected in different Saudi female public universities as well as technology incubator, and entrepreneurship programs. Partial Least Square approach has been applied to analyse the data. The findings provide key factors affecting women’s IT entrepreneurial intention to perform IT entrepreneurial behaviors.
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    Breaking up I/E: Consciously Uncoupling Innovation and Entrepreneurship to Improve Undergraduate Learning
    ( 2019-01-08) Swayne, Dominic ; Selznick, Benjamin ; McCarthy, Sean ; Fisher, Kimberly
    When it comes to undergraduate education, the terms “innovation” and “entrepreneurship” are often used interchangeably with respect to curricular practices and their associated learning and developmental outcomes. In this paper, we chart a course through the vast and growing multidisciplinary literature that governs both topics to argue that, not only are innovation and entrepreneurship different concepts, but they play out in institutional contexts in different and important ways. Based on these differences, we propose that developing innovators must precede teaching future entrepreneurs. To illustrate the concept, we point to an existing program where professors and students from different disciplines work together on actual problems provided by clients from both the public and private sectors. Finally, we propose a research agenda that would allow for a deep analysis of the interaction between organizational behaviors and student outcomes, providing insight into effective practices and strategies for mobilizing institutional efforts aimed at teaching innovation.
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    How Mobile Game Startups Excel in the Market
    ( 2019-01-08) Roshan Kokabha, Maryam ; Tuunainen, Virpi ; Hekkala, Riitta
    This interpretive grounded theory study explains how the early-stage mobile game startups excel in the market after releasing their apps. The data was collected by interviewing 20 startups in an accelerator operated by a platform owner. Our model shows that the startups follow an experimentation approach that allows for discovery of areas of improvement as well new potential markets. They monitor the performance of their games in order to better understand how to excel in the market. Accordingly, they continuously improve their games and expand to new markets to meet their success objectives despite the possible restraints imposed on them by the platform owner and available analytics tools. Our study enriches the existing literature on mobile app development by startups, their success, and how the platform owner through the accelerator can affect the startups in succeeding.
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    The Lean Discovery Process in Digital Business Startups: The Case of raiserve
    ( 2019-01-08) Carroll, W. Ryall ; Casselman, Mitch
    Uncertainty in the early development of digital business startups can benefit from data-driven testing of hypotheses. Examining literature in lean startups, lean user experience and lean software development, we highlight underlying assumptions of existing lean models. We conceptualize the Lean Discovery Process that recognizes that uncertainty arises in the business model, product and customer/market. The Lean Discovery Process focuses on testing from the early business idea through to fully realized product stages of an innovation development. We conceptualize the minimum viable customer and support early testing with concepts from market research and collective intelligence. Using the case of raiserve, a social entrepreneurship venture, we demonstrate early opportunities to apply lean principles and rigorous hypothesis testing in a Lean Discovery Process that results in significant reductions in time and expense of product development.
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    Toward a Framework for Cooperation Behavior of Start-ups: Developing a Multi-Item Scale from an Empirical Perspective
    ( 2019-01-08) Garidis, Konstantin ; Rossmann, Alexander
    Many start-ups are in search of cooperation partners to develop their innovative business models. In response, incumbent firms are introducing increasingly more cooperation systems to engage with start-ups. However, many of these cooperations end in failure. Although qualitative studies on cooperation models have tried to improve the effectiveness of incumbent start-up strategies, only a few have empirically examined start-up cooperation behavior. Considering the lack of adequate measurement models in current research, this paper focuses on developing a multi-item scale on cooperation behavior of start-ups, drawing from a series of qualitative and quantitative studies. The resultant scale contributes to recent research on start-up cooperation and provides a framework to add an empirical perspective to current research.
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    Crowdfunding Platforms as Focal Actors in an Entrepreneurial Ecosystem: An Interdisciplinary Value Perspective
    ( 2019-01-08) Lehner, Othmar ; Harrer, Theresia
    Research into Crowdfunding (CF) rarely uses a holistic view on the role of relevant actors and their activities. We thus demonstrate this gap and need from literature and apply an ecosystem perspective to study the influence of crowdfunding platforms (CFPs) as focal actors on the field from a neo-institutional perspective. We look at the structure (focus on interaction through activities) and affiliation (focus on interconnectedness of actors) of multiple case studies of CFPs and ventures to develop five propositions that enable us to build early theory on CF as an entrepreneurial ecosystem that includes an apt conceptualization of the interconnectedness between actors and activities, positions and links in order to create value - with CFPs as powerful central actors