Abstract
This study helps to explain why some new ventures make strategic decisions more quickly than others. Drawing on life course theory and human capital theory, I develop a model of how entrepreneurs' individual characteristics affect new venture decision speed. I test the model using survey data from 98 Internet startups and their founder/managers. Results show that firms made faster decisions when they were managed by older entrepreneurs and by those with prior entrepreneurial experience. In addition, exploratory analyses indicating that fast decision-making firms were more likely to close may indicate that prevailing theory in this area is contextually limited.
| Original language | English (US) |
|---|---|
| Pages (from-to) | 355-366 |
| Number of pages | 12 |
| Journal | Strategic Management Journal |
| Volume | 26 |
| Issue number | 4 |
| DOIs | |
| State | Published - Apr 2005 |
Keywords
- Decision making
- Entrepreneurship
- New ventures
- Speed
