Entrepreneurial Strategic Decision-Making

Entrepreneurial Strategic Decision-Making

A Cognitive Perspective

Patrick A.M. Vermeulen and Petru L. Curseu

Strategic choices made by entrepreneurs have major consequences for SME performance. This book explores the factors that influence entrepreneurial strategic decisions using a cognitive theoretical framework.

Preface

Patrick A.M. Vermeulen and Petru L. Curseu

Subjects: business and management, entrepreneurship

Extract

Entrepreneurial cognition is an emergent and promising field of research. The most distinctive feature of this new domain is that concepts and methods developed in cognitive sciences are used to explore highly relevant research questions raised in the entrepreneurship literature. For example, cognitive concepts and methods have already been used to explore the factors that lead to the start of new ventures. Nevertheless, little to no attention has been paid to the way in which entrepreneurs make other strategic choices, after the business is up and running. The main aim of this book is to fill this gap in the entrepreneurial cognition literature. Therefore, this book addresses the way in which entrepreneurs make strategic decisions. Organizational decision-making is inherently bound to two important concepts: strategy and cognition. In all organizations, decision-making is a strategic activity. It is related to setting out specific courses of action to reach strategic goals. The process that leads to the choice of goals and means and the way in which these means are effectively deployed is the strategic decision-making process. Cognition is the second relevant facet of organizational decision-making. It refers to the way in which decisionrelated information is represented in the human cognitive system and to the way in which these representations are transformed. The accuracy and quality of the decision-making process depend on the cognitive underpinnings of the strategic process. We have been fascinated by the idea of combining the insights from the strategic decision-making literature and cognition in entrepreneurship. Cognitive...