Boundary-Crossing Job Mobility, New Product Area Entry, and the Performance of Entrepreneurial Ventures
Abstract
How does career boundary-crossing affect an entrepreneur’s new venture? When entrepreneurs cross industry or functional boundaries to lead startups, they may lack specific experience needed for performance. Conversely, the diverse experiences they carry can enhance exploration and lead to the emergence of innovation in startups. We highlight important consequences of career boundary-crossing, using a multi-industry longitudinal sample of high-technology firms. We find that entrepreneurs who cross functional boundaries are more likely to lead their startups into new product areas. We also find that entrepreneurs’ industry boundary-crossing is associated with startup failure, but it also increases the probability of an IPO.
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Acknowledgements
Acknowledgments
We thank Greta Hsu and participants of the Ohio State Management and Human Resources seminar series for valuable comments and suggestions. Funding was generously provided by the Ewing Marion Kauffman Foundation through the Berkley Center for Entrepreneurial Studies at the Stern School of Business, New York University
Citation
Dokko, G. and Wu, G.A. (2017), "Boundary-Crossing Job Mobility, New Product Area Entry, and the Performance of Entrepreneurial Ventures", Emergence (Research in the Sociology of Organizations, Vol. 50), Emerald Publishing Limited, Leeds, pp. 419-448. https://doi.org/10.1108/S0733-558X20170000050013
Publisher
:Emerald Publishing Limited
Copyright © 2017 Emerald Publishing Limited