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The Multiple Effects of Business Planning on New Venture Performance

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Author Info

  • Andrew Burke
  • Stuart Fraser
  • Francis J. Greene

Abstract

We investigate the multiple effects of writing a business plan prior to start-up on new venture performance. We argue that the impact of business plans depends on the purpose for and circumstances in which they are being used. We offer an empirical methodology which can account for these multiple effects while disentangling real impact effects from selection effects. We apply this to English data where we find that business plans promote employment growth. This is found to be due to the impact of the plan and not selection effects. Copyright (c) 2009 Blackwell Publishing Ltd and Society for the Advancement of Management Studies.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Journal of Management Studies.

Volume (Year): 47 (2010)
Issue (Month): 3 (05)
Pages: 391-415

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Handle: RePEc:bla:jomstd:v:47:y:2010:i:3:p:391-415

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Web page: http://www.blackwellpublishing.com/journal.asp?ref=0022-2380

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Cited by:
  1. Tristan Boyer & RĂ©gis Blazy, 2014. "Born to be alive? The survival of innovative and non-innovative French micro-start-ups," Small Business Economics, Springer, vol. 42(4), pages 669-683, April.
  2. Mayer-Haug, Katrin & Read, Stuart & Brinckmann, Jan & Dew, Nicholas & Grichnik, Dietmar, 2013. "Entrepreneurial talent and venture performance: A meta-analytic investigation of SMEs," Research Policy, Elsevier, vol. 42(6), pages 1251-1273.

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