Abstract
This study investigates whether and how different decision logics (i.e., effectuation and causation) are linked to venture performance (i.e., annual average growth in revenue and profit as well as subjective assessments of venture performance and funding status). We also examine how dispositional characteristics of an entrepreneur (i.e., learning and performance goal orientations, ambiguity tolerance, desire for change, and locus of control) influence the use of different decision logics. The results indicate that causation has a significantly positive effect on revenue growth as well as subjective assessments of venture performance and funding status, while effectuation has a significantly negative effect on profit growth. We find that learning-goal orientation leads to a greater reliance on effectuation, while performance-goal orientation increases the use of causation. An internal locus of control positively affects the reliance on both effectuation and causation, while the desire for change increases the use of effectuation.
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Articles in the same Issue
- Frontmatter
- Competitive Research Articles
- Should Fast-Food Franchisees Pursue Entrepreneurial Orientation?
- Entrepreneurial Decision-Making Under Risk
- Entrepreneurial Attitude and Intention in Higher Education Students: What Factors Matter?
- Patterns of Forming Entrepreneurial Intention: Evidence in Vietnam
- Formal Institutions and Informal Entrepreneurial Activity: Panel Data Evidence from Latin American Countries
- Entrepreneurial Motivation in University Business Students: A Latent Profile Analysis based on Self-determination Theory
- Effectuation (EF) and Causation (CS) on Venture Performance and Entrepreneurs’ Dispositions Affecting the Reliance on EF and CS
- Effects of Psychological and Cognitive Factors on the Relation between Entrepreneurial Intention and Academic Hazing: Case of the New Students in the Faculty of Social and Human Sciences at the University of Beira – Portugal
- Dynamics of Late-Career Entrepreneurial Intentions in Pakistan – Individual and Synergistic Application of Various Capital Resources and Fear of Failure
- Local Institutional Profile and the Antecedents of Entrepreneurial Intention
Articles in the same Issue
- Frontmatter
- Competitive Research Articles
- Should Fast-Food Franchisees Pursue Entrepreneurial Orientation?
- Entrepreneurial Decision-Making Under Risk
- Entrepreneurial Attitude and Intention in Higher Education Students: What Factors Matter?
- Patterns of Forming Entrepreneurial Intention: Evidence in Vietnam
- Formal Institutions and Informal Entrepreneurial Activity: Panel Data Evidence from Latin American Countries
- Entrepreneurial Motivation in University Business Students: A Latent Profile Analysis based on Self-determination Theory
- Effectuation (EF) and Causation (CS) on Venture Performance and Entrepreneurs’ Dispositions Affecting the Reliance on EF and CS
- Effects of Psychological and Cognitive Factors on the Relation between Entrepreneurial Intention and Academic Hazing: Case of the New Students in the Faculty of Social and Human Sciences at the University of Beira – Portugal
- Dynamics of Late-Career Entrepreneurial Intentions in Pakistan – Individual and Synergistic Application of Various Capital Resources and Fear of Failure
- Local Institutional Profile and the Antecedents of Entrepreneurial Intention