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This study reports on the effect of demand variation on the optimal location of road-pricing cordons. The optimal road-pricing cordon, in this study, aims to maximise the social welfare function. This optimisation program is categorised as Bi-level optimisation programming which is a NP hard problem. The paper first describes the method developed to solve the optimal toll problem for a given set of chargeable links. The tests were carried out with a small toy network and a larger scale network. For the small network, four single user class demand characteristics were varied individually; these were the elasticity of trip generation with respect to increases in travel cost, value of travel time, volume of traffic, and traffic distribution pattern. For the larger scale network, only elasticity, value of time, and trip volume were tested. The results of the larger scale network are also analysed by including the cost per toll point. The tests with the larger scale network were modified so that the constraint of uniform charge is applied. The results showed that demand variation could influence the best location of toll points. This finding raises the question of whether the implementation of the same cordon all day in an urban traffic network is the optimal approach under the existence of demand variations by time of day, and also whether the evaluation process of the cordon location should consider the effect of different time periods together.

Despite the extensive research on the determinants and consequences of firm growth, research focusing on how the actual process unfolds is still evolving. An important part of firm growth process research is entrepreneurial cognition. The purpose of this chapter is to explore the relationship between entrepreneurial cognition and firm growth intentions. Specifically, we propose a theoretical model of entrepreneurial cognitive interpretation and categorization of market information as it relates to firm growth intentions. Drawing from the strategic cognition literature in general and strategic issue interpretation literature in particular, we propose that entrepreneurs’ interpretation of market information as opportunity or threat, gain or loss, and controllable or uncontrollable influences their firm growth intentions. Furthermore, our theoretical model discusses the condition under which favorable interpretation of market information leads to higher growth intentions by incorporating insights from the Entrepreneurial Orientation (EO) construct. This chapter extends our understanding of firm growth processes by highlighting the important role cognitive interpretation and categorization play in facilitating or hindering entrepreneurial firm growth.

This paper reflects on the evolution of implicit and explicit behavioral ideas in the field of strategic management using Herbert Simon’s scholarship as a starting point, that is, his emphasis on empirically driven; interdisciplinary theorizing allowing and enabling two-way street learning. We argue that historically, there were plenty of behavioral ideas embedded in the field and, together with the recent movement towards explicit “behavioral strategy,” these provide several possible paths for future developments in strategic management research. In the spirit of broadening the tent for behavioral strategy in the future (Hambrick & Crossland, 2018), we suggest some topics and approaches for behavioral strategy in empirically driven, interdisciplinary directions which allows also for two-way street learning between concepts and real-world strategic phenomena.

This article aims to propose a critical review of James G. March’s research in and particular its consistency with its epistemological and psychological underpinnings.

The paper proposes a textual and conceptual analysis of James G. March’s study.

The article argues first that March’s study exemplifies the “physics envy” typical of management and organisation studies scholars since the early 1960s. Second, evidence is presented that March’s conclusions, irrespective of their legacy on management and organisation studies, were not developed along and were not consistent with the foundations that March espoused and advocated during most of his career. As a result, the implications of his conclusions are uncertain. To his credit, however, there are reasons to believe that, towards the end of his career, March came to recognise the limitations of his scholarship. Further, he indicated an alternative avenue for organisation studies which eschews the shortcomings of positivist and post-modern research.

Although centred on March’s work, the argument presented is relevant to psychology, organisations, choice, the nature of knowledge, the limitations of positivism and post-modernism.

The paper balances the perspective offered by recent celebratory reviews of March’s study.

This paper aims to introduce eristic decision-making in entrepreneurship. A decision is eristically made when it utilizes eristics, which are action-triggering short-cuts that draw on hedonic urges (e.g. sensation-seeking). Unlike heuristics, eristic decision-making is not intendedly rational as eristics lead to decision-making without calculating or even considering the consequences of actions. Eristics are adaptive when uncertainty is extreme. Completely novel strategies, nascent venturing, corporate venturing for radical innovation and adapting to shocks (e.g. pandemic) are typically subject to extreme uncertainties.

In light of the relevant debates in entrepreneurship, psychology and decision sciences, the paper builds new conceptual links to establish its theoretical claims through secondary research.

The paper posits that people adapt to extreme uncertainty by using eristic reasoning rather than heuristic reasoning. Heuristic reasoning allows boundedly rational decision-makers to use qualitative cues to estimate the consequences of actions and to make reasoned decisions. By contrast, eristic reasoning ignores realistic calculations and considerations about the future consequences of actions and produces decisions guided by hedonic urges.

Current entrepreneurial research on uncertainty usually focuses on moderate levels of uncertainty where heuristics and other intendedly rational decision-making approaches pay off. By contrast, this paper focuses on extreme uncertainty where eristics are adaptive. While not intendedly rational, the adaptiveness of eristic reasoning offers theoretically and psychologically grounded new explanations about action under extreme uncertainty.

Decision-making biases play decisive roles not only in entrepreneurs’ decisions but also in the fate of entrepreneurial businesses. While the extant literature in this regard is relatively rich, it has predominantly focused on certain biases like overconfidence and overoptimism at the expense of other possibly influential biases, which could influence entrepreneurial decisions. Thus, to address this serious research gap, this paper aims to explore four of the less-researched biases of escalation of commitment, the illusion of control, confirmation and the belief in the law of small numbers in entrepreneurial decisions.

By taking a qualitative approach, the data for this study were collected through face-to-face interviews with 19 Iranian habitual (experienced) entrepreneurs running small businesses and analyzed by a qualitative thematic analysis.

According to the results, the environmental uncertainty, the reluctance to lose face and the experiences of previous failures contributed to the escalation of commitment, while disregard for external factors beyond one’s control caused the illusion of control, factors like prior successful businesses in the same sector, looking for resorts to manage uncertainty, along with the decision to exploit opportunities resulted in the confirmation bias, while the expenses of conducting sweeping pilot tests in the market and the reluctance to reveal a business secret to the competitors were the main contributors of the belief in the law of small numbers.

This study is a pioneer in scrutinizing four less-researched but important biases in entrepreneurs and, thus extending the line of research in this regard.