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• W2015370037 abstract "A recent article by Low and MacMillan (1988) suggests that at the current stage of entrepreneurship research, empirical studies that “are not theory driven and do not test hypotheses are no longer acceptable” (p. 155). This paper is written in the spirit of this directive. It starts with an explicit theory of entrepreneurship developed by Israel Kirzner, and tests three hypotheses derived from the theory. The theoretical thrust of the paper emphasizes the role of information and information-seeking behavior as a central element of entrepreneurial behavior. Entrepreneurship is based on discovering of opportunities and resources to exploit them. Our interpretation of Kirzner's theoretical works leads to the formation of hypotheses regarding the differences that should exist in the way entrepreneurs as opposed to managers seek this information. These concern: (1) differences in the manner in which entrepreneurs and corporate managers expose themselves to information; (2) differences in the sources of information used; and (3) differences in evaluating information cues. In addition, we test the hypotheses that success and experience will erode the above differences between entrepreneurs and corporate managers. Our sample involved 51 founders of companies in New Jersey and 36 executives of a very large financial company. A questionnaire was used to gather the data, and scales were formed using principal component factor analysis with a varimax rotation. Differences were tested using univariate and multivariate statistical methods. Significant differences were found in five of the nine factors examined. Entrepreneurs spent significantly more time searching for information in their off hours and through nonverbal scanning. They employed different sources than executives and paid special attention to risk cues about new opportunities. Executives, on the other hand, tended to focus on the economics of the opportunity. These results are only partially consistent with a previous study comparing entrepreneurs and small companies' managers, suggesting a contextual contingency to the behaviors under study. The most persistent finding was regarding the time and “volume” of search for information, reinforcing the idea developed in the recent network theory of entrepreneurship that entrepreneurs are avid information-gatherers and opportunistic learners, but not necessarily, or not uniquely in a verbal, social-networking manner. Finally, with success and experience, the differences become smaller. It seems that success and experience reduce the need or desire of entrepreneurs to search for new opportunities. No such effect was found with our executive sample." @default.
• W2015370037 created "2016-06-24" @default.
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• W2015370037 date "1991-01-01" @default.
• W2015370037 modified "2023-10-16" @default.
• W2015370037 title "Characteristics of opportunities search of entrepreneurs versus executives: Sources, interests, general alertness" @default.
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• W2015370037 doi "https://doi.org/10.1016/0883-9026(91)90005-x" @default.
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