Mapping the Identification and Possible
Advancement of an Entrepreneurial Idea
Shaun Paul Digan
James O. Fiet
University of Louisville
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Academy of Management 2016 Annual Meeting Anaheim, CA
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Research Questions:
Research Questions
Theoretical Perspective
Key Elements
What are the processes through which
entrepreneurial ideas originate?
Conceptual Model
Propositions
Conclusion/Questions
Is there a perspective that could unite
elements of this entrepreneurial process?
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Insights
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Problem Perspective:
Research Questions
Theoretical Perspective
Key Elements
Conceptual Model
Propositions
Insights
Step 1. Problem-finding, -framing, and
-formulation
Step 2. Problem-solving
Step 3. Solution implementation
Conclusion/Questions
Step 4. Operating implemented solutions
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Nicholson and Zenger, 2004;
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Problem-Finding:
Research Questions
Key Elements
Conceptual Model
Propositions
Insights
Conclusion/Questions
 the generation, evaluation, and selection
of alternative solutions
 entrepreneurs select or stumble-upon
problems to solve
 equated with discovery processes
(Hsieh, Nickerson & Zenger 2007)
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Theoretical Perspective
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Solution-Finding:
Research Questions
Key Elements
Conceptual Model
Propositions
Insights
Conclusion/Questions
 the generation of potentially valuable
solutions
 entrepreneurs create knowledge or find
what they believe to be a valuable
solution
 may have to find a problem for which the
solution may be commercialized
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Theoretical Perspective
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Related Perspectives
Research Questions
Theoretical Perspective
Key Elements
• Alertness
• Creation
• Discovery
• Social Construction
• Search
• Constructed and
perceived
Conceptual Model
Insights
Conclusion/Questions
• Cognition
• Creative Imagination
• Action Framework
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Propositions
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Key Elements and Assumptions:
Research Questions
Theoretical Perspective
• Entrepreneurial idea as the primary unit of analysis
Key Elements
Conceptual Model
• Some ideas may be traced to the problem-solution domain
from which they originated
Propositions
Insights
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Conclusion/Questions
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Conceptual Model:
Research Questions
Theoretical Perspective
Key Elements
Conceptual Model
Propositions
Insights
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Conclusion/Questions
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Query Clues From Related Perspectives:
Research Questions
Key Elements
Conceptual Model
Propositions
Insights
Conclusion/Questions
Baumol, 1993
Notice without search: Scan the
Shane, 2000; 2003
Discovery
environment for clues as to the presence
of an opportunity
Gaglio & Katz, 2001
Fiet, 2006; 2007
Search for cues within constrained
Search
Casson & Wadeson, 2007 information channels
Cognition
Baron, 2004; 2006
Notice without search and search
Schumpeter, 1949
Creation
Internal Query
Alvarez & Barney, 2007
Internal Query: cognitive process of
Social construction Sarason et al.,2006
interpretation and influence leading to
conceptualization
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Theoretical Perspective
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Summary of Propositions:
Research Questions
Theoretical Perspective
Key Elements
Conceptual Model
Propositions
Proposition 1—Entrepreneurial idea origination may begin with
a query in the form of (1) a scan of the environment for cues
to the existence of an opportunity, (2) a directed search of
information channels for clues to the existence of an
opportunity, and (3) an internal query combining and
recombining existing knowledge, or (4) some combination of
these elements.
Insights
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Conclusion/Questions
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Summary of Propositions:
Research Questions
Theoretical Perspective
Key Elements
Conceptual Model
Propositions
Proposition 2a—Query may result in the identification of a
problem, which may then be inquired upon further in order to
find an acceptable solution.
Proposition 2b—Query may result in the identification of a
solution, which may then be inquired upon further in order to
find a problem for which it can be commercialized.
Insights
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Conclusion/Questions
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Inquiry Clues From Related Perspectives:
Research Questions
Key Elements
Conceptual Model
Propositions
Insights
Conclusion/Questions
Planning is central to entrepreneurship
Discovery
Shane,2003
and is the first test of the feasibility of a
discovered opportunity
Inquiry and internal assessment of thirdMcMullen & Shepherd,
Action Framework
person opportunity to determine if first2006
person opportunity is present
Entrepreneurs will rarely have enough
Alvarez & Barney,
Creation
information ex ante, information may be
2007
acquired by observing
Constructed and
Action requires perceived feasibility,
Krueger, 2000; 2003;
intentionally
which is continually updated against new
2007
perceived
information
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Theoretical Perspective
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Summary of Propositions:
Research Questions
Theoretical Perspective
Key Elements
Conceptual Model
Proposition 3—Inquiry may facilitate additional queries which
lead to the formulation of new entrepreneurial problem or
solution ideas.
Proposition 4—Inquiry may lead to action in the pursuit of an
entrepreneurial idea.
Propositions
Insights
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Conclusion/Questions
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Action Clues From Related Perspectives:
Research Questions
Theoretical Perspective
Action Framework
McMullen & Shepherd, Without action, there is no opportunity,
2006
there is no entrepreneur
Creation
Schumpeter, 1949
Actions are the entrepreneur’s sources
Alvarez & Barney, 2007 of opportunities
Conceptual Model
Propositions
Insights
Conclusion/Questions
Creative
Imagination
Lachman,1986
Chiles et al., 2007
Continuous combination and
recombination of capital
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Key Elements
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Summary of Propositions:
Research Questions
Theoretical Perspective
Key Elements
Conceptual Model
Proposition 5—Action may reveal or produce new knowledge
that leads to further inquiry.
Proposition 6—Action may lead to the commercialization of an
idea or the organization of a firm.
Propositions
Insights
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Conclusion/Questions
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
New Insights:
Research Questions
Theoretical Perspective
 New conceptual tool
Key Elements
Conceptual Model
Propositions
Insights
 Exploratory framework with many possibilities
 Problem-solving and problem-finding arise from distinct
types of queries
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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Conclusion/Questions
Mapping the Identification and Possible Advancement of an Entrepreneurial Idea
Research Questions
Theoretical Perspective
Key Elements
Conceptual Model
Propositions
Insights
Questions?
Questions?
Questions?
Conclusion/Questions
Slides for this presentation are available at
Academy of Management 2016 Annual Meeting-- Session 1285: Opportunity Recognition
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www.shaundigan.com/research/presentations