TY  - JOUR
AB  - Purpose The purpose of this paper is to bridge the obvious gap presented in research on antecedents of effectuation by building a research model from the perspectives of effectuation and entrepreneurial opportunity.Design/methodology/approach This paper examines the effects of patterns of opportunity discovery and the innovativeness of entrepreneurial opportunity on the decision-making process of effectuation in new venture creation. Eight hypotheses are put forward and examined by hierarchical multiple logistic regression. The data in this paper are based on the first two rounds of survey data from Chinese Panel Study of Entrepreneurial dynamics.Findings The empirical results show that patterns of opportunity discovery have significant positive effects (at least partially) on effectuation. Namely, entrepreneurs employing fortuitous discovery tend to use available means and leverage contingency. And with lower innovativeness of opportunity, entrepreneurs are more likely to use affordable loss and leverage contingency.Research limitations/implications The study is limited to each dimension of effectuation based on the single-item measure, which cannot completely reflect the effectual construct. More research should to be done to improve measures of effectuation.Practical implications The findings are useful for entrepreneurs to make effective decisions whether to choose effectuation in the face of different patterns of opportunity discovery. Besides, it provides the advice on how to cope with the innovativeness of opportunity and seize entrepreneurial opportunities to entrepreneurs.Originality/value This paper first systematically studies the effects of entrepreneurial opportunity on effectuation, making up for the obvious gap of research on antecedents of effectuation.
VL  - 46
IS  - 06
SN  - 0368-492X
DO  - 10.1108/K-11-2016-0322
UR  - https://doi.org/10.1108/K-11-2016-0322
AU  - Long Dan
AU  - Xia Zi-yao
AU  - Hu Wang-bin
PY  - 2017
Y1  - 2017/01/01
TI  - How does entrepreneurial opportunity affect the decision-making process of effectuation? Evidence from China
T2  - Kybernetes
PB  - Emerald Publishing Limited
SP  - 980
EP  - 999
Y2  - 2024/09/23
ER  -