Document Type : Articles
Authors
Abstract
Regarding the importance of entrepreneurial decision making process and due to the insufficiency of pervious research in considering qualitative aspects of the issue, this study aims to conceptualize entrepreneurial decision making process in small & medium size enterprises. For this purpose, the qualitative case study method was applied among Iranian prominent entrepreneurs in the year of 2009.The research findings suggest that entrepreneurial decision making process in small & medium size enterprises rely on guideline consist of; searching for information, recognition of the available and feasible decision alternatives, investigating and evaluating environmental factors affecting enterprises, evaluating the risks of each decision alternative, dealing with the problems & bottlenecks, regarding others suggestions, utilizing personal experiences, and relying on personal intuition & cognitive biases.
Keywords
- Bakker, R. M.; Curseu, P. L., & Vermeulen, P. A. M. (2007). Cognitive factor in entrepreneurial strategic decision making, Cognition, Brain, Behavior ,11(9), 195-219.
- Baron, R. A., & Ward, T. B. (2007). Behavioral & cognitive factors in entrepreneurship: entrepreneurs as the active element in new venture creation, Strategic Entrepreneurship. 28(2), 553-574.
- Bazargan, A. (2008). Introduction to qualitative research & mixed methods, Tehran: Didar Publication, 37(in Percian).
- Bell, D. E., & Raiffa, H. (1988). Decision making: descriptive, normative, & prescriptive interactions, London: Cambridge University Press, 244.
- Busenitz, L. W. (1999). Entrepreneurial risk & strategic decision making: It's a matter of perspective, The Journal of Applied Behavioral Science, 35(3), 325-340.
- Busenitz, L.W., & Barney, J. B. (1997). Differences between entrepreneurs & managers in large organizations: biases & heuristics in strategic decision making, Journal of Business Venturing, 12(4), 93-110.
- Baron, R. A., & Ward, T. B. (2007). Behavioral & cognitive factors in entrepreneurship: entrepreneurs as the active element in new venture creation, Strategic Entrepreneurship. 28(2), 553-574.
- Bazargan, A. (2008). Introduction to qualitative research & mixed methods, Tehran: Didar Publication, 37(in Percian).
- Bell, D. E., & Raiffa, H. (1988). Decision making: descriptive, normative, & prescriptive interactions, London: Cambridge University Press, 244.
- Busenitz, L. W. (1999). Entrepreneurial risk & strategic decision making: It's a matter of perspective, The Journal of Applied Behavioral Science, 35(3), 325-340.
- Busenitz, L.W., & Barney, J. B. (1997). Differences between entrepreneurs & managers in large organizations: biases & heuristics in strategic decision making, Journal of Business Venturing, 12(4), 93-110.
- Casson, M. (1992). The entrepreneur: an economic theory, London: Gregg Revivals, 237.
- Curseu, P. L.; Vermeulen, P. A. M., & Bakker, R. M. (2010). The psychology of entrepreneurial strategic decisions, in: Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward
Elgar publishing limited, 41-68.
- De Kort, M. J. J., & Vermeulen, P. A. M. (2010). Entrepreneurial decision- makers and the use of biases and heuristics, in: Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward Elgar publishing limited, 123-135.
- Forlani, D., & Mulinz, I. (2000). Perceived risks & choices in entrepreneurs' new venture decisions, Journal of Business Venturing, 15(4), 305-322.
- Gigcus, P.; Vermeulen, P. A. M., & Radulova, E. (2010). The decision-making entrepreneur: a literature review, in Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward Elgar
publishing limited, 11-41.
- Gigcus, P., & van Hoesel, P. (2010). Strategic decision-making processes' in SMEs: an exploratory study, in: Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward Elgar
publishing limited, 89-105.
- Gustafsson, V. (2009). entrepreneurial decision-making: thinking under uncertainty, in: Carsrud, A. L., & Brännback M. (eds.), Understating the entrepreneurial mind, New York: Springer dordrecht heidelberg, 285-304.
- Ivanova, E., & Gibcus, P. (2003). The decision making entrepreneur: literature review. Italy: scientific analysis of entrepreneurship and SME, 43.
- Iversen, J., & Jorgensen, R. (2008). Defining & measuring entrepreneurship, New York: new publication lnc. 160.
- Kepner, CH., & Tregoe, BB. (1965). The rational manager, New York :Mc graw hill. 146.
- Michl, T. W.; Isabell, M.; Sporrle, M., & Picot, A. (2009). The role of emotions & cognitions in entrepreneurial decision-making, in: Carsrud, A. L., & Brännback M. (eds.), Understating the entrepreneurial mind, New York: springer dordrecht
heidelberg, 167-188.
- Mintz, A.; Geva, N.; Redd, S. B., & Carnes, A. (1997). The effect of dynamic & static choice sets on decision strategy: an analysis utilizing the decision board platform, American Political Science Review, 2(1), 91-113.
- Rezaeian, A. (2000). Principles of organization & management, Tehran: SAMT publication. (in Percian).
Schoemaker, P. J. H. (1993). Strategic decisions in organizations: rational and behavioral views, Journal of Management Studies, 30(1), 107-129.
- Shaver, K. G., & Scott , L. R. (1991). Person, process, choice: the psychology of new venture creation, Entrepreneurial Practice Journal, 12(3), 78-94.
- Simpson, M.; Taylor, N., & Padmore, J. (2011). Marketing in SME: an introduction, in Sonny, N., & Gbadamosi, A. (eds), Entrepreneurship marketing principles and practice of SME marketing, London: Rutledge, Taylor and Francis,
1-10.
- Vermeulen, P. A. M., & Curseu, P. L. (2010). Entrepreneurs and strategic decision, in: Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward Elgar publishing limited, 1-11.
- Curseu, P. L.; Vermeulen, P. A. M., & Bakker, R. M. (2010). The psychology of entrepreneurial strategic decisions, in: Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward
Elgar publishing limited, 41-68.
- De Kort, M. J. J., & Vermeulen, P. A. M. (2010). Entrepreneurial decision- makers and the use of biases and heuristics, in: Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward Elgar publishing limited, 123-135.
- Forlani, D., & Mulinz, I. (2000). Perceived risks & choices in entrepreneurs' new venture decisions, Journal of Business Venturing, 15(4), 305-322.
- Gigcus, P.; Vermeulen, P. A. M., & Radulova, E. (2010). The decision-making entrepreneur: a literature review, in Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward Elgar
publishing limited, 11-41.
- Gigcus, P., & van Hoesel, P. (2010). Strategic decision-making processes' in SMEs: an exploratory study, in: Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward Elgar
publishing limited, 89-105.
- Gustafsson, V. (2009). entrepreneurial decision-making: thinking under uncertainty, in: Carsrud, A. L., & Brännback M. (eds.), Understating the entrepreneurial mind, New York: Springer dordrecht heidelberg, 285-304.
- Ivanova, E., & Gibcus, P. (2003). The decision making entrepreneur: literature review. Italy: scientific analysis of entrepreneurship and SME, 43.
- Iversen, J., & Jorgensen, R. (2008). Defining & measuring entrepreneurship, New York: new publication lnc. 160.
- Kepner, CH., & Tregoe, BB. (1965). The rational manager, New York :Mc graw hill. 146.
- Michl, T. W.; Isabell, M.; Sporrle, M., & Picot, A. (2009). The role of emotions & cognitions in entrepreneurial decision-making, in: Carsrud, A. L., & Brännback M. (eds.), Understating the entrepreneurial mind, New York: springer dordrecht
heidelberg, 167-188.
- Mintz, A.; Geva, N.; Redd, S. B., & Carnes, A. (1997). The effect of dynamic & static choice sets on decision strategy: an analysis utilizing the decision board platform, American Political Science Review, 2(1), 91-113.
- Rezaeian, A. (2000). Principles of organization & management, Tehran: SAMT publication. (in Percian).
Schoemaker, P. J. H. (1993). Strategic decisions in organizations: rational and behavioral views, Journal of Management Studies, 30(1), 107-129.
- Shaver, K. G., & Scott , L. R. (1991). Person, process, choice: the psychology of new venture creation, Entrepreneurial Practice Journal, 12(3), 78-94.
- Simpson, M.; Taylor, N., & Padmore, J. (2011). Marketing in SME: an introduction, in Sonny, N., & Gbadamosi, A. (eds), Entrepreneurship marketing principles and practice of SME marketing, London: Rutledge, Taylor and Francis,
1-10.
- Vermeulen, P. A. M., & Curseu, P. L. (2010). Entrepreneurs and strategic decision, in: Vermeulen, P. A. M., & Curseu, P. L. (eds), Entrepreneurial strategic decision making: a cognitive perspective, Edward Elgar publishing limited, 1-11.
)
Send comment about this article