Bringing Entrepreneurial Ideas to Life
Organizational design in the context of new venture development is particularly challenging due to initially severe resource constraints. Deepening our understanding of differential productivity in the startup resource assembly process is therefore important. We address the twin questions of what as...
| Main Authors: | , , |
|---|---|
| 格式: | Working Paper |
| 語言: | en_US |
| 出版: |
Cambridge, MA; Alfred P. Sloan School of Management, Massachusetts Institute of Technology
2011
|
| 在線閱讀: | http://hdl.handle.net/1721.1/66568 |
| _version_ | 1826212941047791616 |
|---|---|
| author | Eesley, Charles E. Hsu, David H. Roberts, Edward B. |
| author_facet | Eesley, Charles E. Hsu, David H. Roberts, Edward B. |
| author_sort | Eesley, Charles E. |
| collection | MIT |
| description | Organizational design in the context of new venture development is particularly challenging due to initially severe resource constraints. Deepening our understanding of differential productivity in the startup resource assembly process is therefore important. We address the twin questions of what assets are important to venture performance, and under what conditions are those assets especially important? We do so by considering initial venture idea assets and founder contracting experience. The resource-based view of the firm stresses developing the right assets, which accords with idea assets. Firm boundary theories of the firm emphasize structuring relationships in the right way given a set of organizational assets, which accords with founder contracting experience. Using unique survey data, we find that neither view by itself is as important as both theories taken together. We therefore advance an integrated perspective by showing that new ventures perform better when they both identify valuable resources and also assemble human assets with expertise in structuring organizational arrangements to commercialize those ideas. An important implication is that organizational resources have a range of potential values, and that realizing the upper range of value capture involves the additional ability to structure organizational relationships. |
| first_indexed | 2024-09-23T15:40:55Z |
| format | Working Paper |
| id | mit-1721.1/66568 |
| institution | Massachusetts Institute of Technology |
| language | en_US |
| last_indexed | 2024-09-23T15:40:55Z |
| publishDate | 2011 |
| publisher | Cambridge, MA; Alfred P. Sloan School of Management, Massachusetts Institute of Technology |
| record_format | dspace |
| spelling | mit-1721.1/665682019-04-10T12:27:20Z Bringing Entrepreneurial Ideas to Life Eesley, Charles E. Hsu, David H. Roberts, Edward B. Organizational design in the context of new venture development is particularly challenging due to initially severe resource constraints. Deepening our understanding of differential productivity in the startup resource assembly process is therefore important. We address the twin questions of what assets are important to venture performance, and under what conditions are those assets especially important? We do so by considering initial venture idea assets and founder contracting experience. The resource-based view of the firm stresses developing the right assets, which accords with idea assets. Firm boundary theories of the firm emphasize structuring relationships in the right way given a set of organizational assets, which accords with founder contracting experience. Using unique survey data, we find that neither view by itself is as important as both theories taken together. We therefore advance an integrated perspective by showing that new ventures perform better when they both identify valuable resources and also assemble human assets with expertise in structuring organizational arrangements to commercialize those ideas. An important implication is that organizational resources have a range of potential values, and that realizing the upper range of value capture involves the additional ability to structure organizational relationships. We gratefully acknowledge funding from the Ewing Marion Kauffman Foundation, the M.I.T. Entrepreneurship Center, and the Alfred P. Sloan Foundation under the Industry Studies Program. 2011-10-24T21:05:45Z 2011-10-24T21:05:45Z 2009-10 Working Paper http://hdl.handle.net/1721.1/66568 en_US MIT Sloan School of Management Working Paper;4762-09 application/pdf Cambridge, MA; Alfred P. Sloan School of Management, Massachusetts Institute of Technology |
| spellingShingle | Eesley, Charles E. Hsu, David H. Roberts, Edward B. Bringing Entrepreneurial Ideas to Life |
| title | Bringing Entrepreneurial Ideas to Life |
| title_full | Bringing Entrepreneurial Ideas to Life |
| title_fullStr | Bringing Entrepreneurial Ideas to Life |
| title_full_unstemmed | Bringing Entrepreneurial Ideas to Life |
| title_short | Bringing Entrepreneurial Ideas to Life |
| title_sort | bringing entrepreneurial ideas to life |
| url | http://hdl.handle.net/1721.1/66568 |
| work_keys_str_mv | AT eesleycharlese bringingentrepreneurialideastolife AT hsudavidh bringingentrepreneurialideastolife AT robertsedwardb bringingentrepreneurialideastolife |