Two sides of the same coin - how the application of effectuation and causation shapes business model elements throughout the development stages of digital start-ups
by Maria Anagnou; Matthias Handrich; Benedikt Schnellbächer; Sven Heidenreich
International Journal of Entrepreneurial Venturing (IJEV), Vol. 11, No. 4, 2019

Abstract: Nowadays, many digital start-ups fail in the early stages of their venture creation process. The main reason for the failure can often be found within the business model. Successful entrepreneurs agree on the fact that the destiny of a start-up highly depends on the decision-making ability of the respective entrepreneur. However, there is dissent in practice and academia whether decisions concerning the business model need to be made differently depending on the venture development stage. Some thought leaders recommend that entrepreneurs plan for every contingency in their business model (causation theory), while others favour a behaviour where the entrepreneur should work with the resources and the set of skills, which are currently available (effectuation theory). Using semi-structured expert interviews, our study provides first empirical evidence that effectuation and causation are no substituting but rather synergetic entrepreneurial approaches within business model development that are often applied simultaneously.

Online publication date: Fri, 16-Aug-2019

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Entrepreneurial Venturing (IJEV):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com