The Theory of Entrepreneurial Rent
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Chandra S. Mishra
Abstract
The theory of entrepreneurial rent posits that powerful incentives for managerial learning are provided by giving managers the opportunity to share the firm surplus, which further enhances the management cognition and situation awareness. These incentives enable management to seek cognitively distant opportunities that provide the firm entrepreneurial rent. Further, the greater the firm-specific risk, the greater the entrepreneurial rent. The source of entrepreneurial rent is the uncertainty associated with the firm’s value opportunities. Further, since managerial attentional resource is shared between the firm’s current operations and the exploitation of the value opportunities, the managerial attentional resources are greater when the firm has greater value opportunities.
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Artikel in diesem Heft
- The Egocentrism of Entrepreneurs: Bias in Comparative Judgments
- Educational Attainment, Financial Support and Job Creation across Lebanese Social Entrepreneurships
- The Effect of Interlocking Director Network on Corporate Risk Taking: Lessons from China
- Analysis of the Potential of Entrepreneurship Education in Young Children
- The Theory of Entrepreneurial Rent
Artikel in diesem Heft
- The Egocentrism of Entrepreneurs: Bias in Comparative Judgments
- Educational Attainment, Financial Support and Job Creation across Lebanese Social Entrepreneurships
- The Effect of Interlocking Director Network on Corporate Risk Taking: Lessons from China
- Analysis of the Potential of Entrepreneurship Education in Young Children
- The Theory of Entrepreneurial Rent
