Advanced Search
MyIDEAS: Login to save this article or follow this journal

Should entrepreneurs plan or just storm the castle? A meta-analysis on contextual factors impacting the business planning-performance relationship in small firms

Contents:

Author Info

  • Brinckmann, Jan
  • Grichnik, Dietmar
  • Kapsa, Diana
Registered author(s):

    Abstract

    Entrepreneurship research engages in an intense debate about the value of business planning. Prior empirical findings have been fragmented and contradictory. This study contributes insights to the business planning discussion by following an evidence-based research approach. We conduct a meta-analysis on the business planning-performance relationship and specifically focus on contextual factors moderating the relationship. Results indicate that planning is beneficial, yet contextual factors such as newness of the firms and the cultural environment of firms significantly impact the relationship. Based on this evidence, we propose a concomitant and dynamic approach that combines planning and learning.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.sciencedirect.com/science/article/B6VDH-4V1MFFR-2/2/7c301e24fe84ef0289deccbb4d47f98c
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Bibliographic Info

    Article provided by Elsevier in its journal Journal of Business Venturing.

    Volume (Year): 25 (2010)
    Issue (Month): 1 (January)
    Pages: 24-40

    as in new window
    Handle: RePEc:eee:jbvent:v:25:y:2010:i:1:p:24-40

    Contact details of provider:
    Web page: http://www.elsevier.com/locate/jbusvent

    Related research

    Keywords: Small firms New firms Business planning Venture performance Meta-analysis Cultural factors;

    References

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
    as in new window
    1. Cooper, Arnold C. & Gimeno-Gascon, F. Javier & Woo, Carolyn Y., 1994. "Initial human and financial capital as predictors of new venture performance," Journal of Business Venturing, Elsevier, Elsevier, vol. 9(5), pages 371-395, September.
    2. Ardichvili, Alexander & Cardozo, Richard & Ray, Sourav, 2003. "A theory of entrepreneurial opportunity identification and development," Journal of Business Venturing, Elsevier, Elsevier, vol. 18(1), pages 105-123, January.
    3. Marco van Gelderen & Roy Thurik & Micheal Frese, 2000. "Strategies, uncertainty and performance of small business startups," Scales Research Reports, EIM Business and Policy Research H200001, EIM Business and Policy Research.
    4. Sarasvathy, D. K. & Simon, Herbert A. & Lave, Lester, 1998. "Perceiving and managing business risks: differences between entrepreneurs and bankers," Journal of Economic Behavior & Organization, Elsevier, Elsevier, vol. 33(2), pages 207-225, January.
    5. Hills, Gerald E., 1988. "Variations in University entrepreneurship education: An empirical study of an evolving field," Journal of Business Venturing, Elsevier, Elsevier, vol. 3(2), pages 109-122.
    6. Brian Gibson & Gavin Cassar, 2005. "Longitudinal Analysis of Relationships between Planning and Performance in Small Firms," Small Business Economics, Springer, Springer, vol. 25(3), pages 207-222, October.
    7. Gartner, William B., 1990. "What are we talking about when we talk about entrepreneurship?," Journal of Business Venturing, Elsevier, Elsevier, vol. 5(1), pages 15-28, January.
    8. Davidsson, Per & Honig, Benson, 2003. "The role of social and human capital among nascent entrepreneurs," Journal of Business Venturing, Elsevier, Elsevier, vol. 18(3), pages 301-331, May.
    9. Haber, Sigal & Reichel, Arie, 2007. "The cumulative nature of the entrepreneurial process: The contribution of human capital, planning and environment resources to small venture performance," Journal of Business Venturing, Elsevier, Elsevier, vol. 22(1), pages 119-145, January.
    10. Gregory A. Baker, 2003. "Strategic Planning and Financial Performance in the Food Processing Sector," Review of Agricultural Economics, Agricultural and Applied Economics Association, Agricultural and Applied Economics Association, vol. 25(2), pages 470-482.
    11. Julian E. Lange & Aleksandar Mollov & Michael Pearlmutter & Sunil Singh & William D. Bygrave, 2007. "Pre-start-up formal business plans and post-start-up performance: A study of 116 new ventures," Venture Capital, Taylor & Francis Journals, Taylor & Francis Journals, vol. 9(4), pages 237-256, April.
    12. Zahra, Shaker A., 1996. "Technology strategy and new venture performance: A study of corporate-sponsored and independent biotechnology ventures," Journal of Business Venturing, Elsevier, Elsevier, vol. 11(4), pages 289-321, July.
    13. Carter, Nancy M. & Gartner, William B. & Reynolds, Paul D., 1996. "Exploring start-up event sequences," Journal of Business Venturing, Elsevier, Elsevier, vol. 11(3), pages 151-166, May.
    14. Gruber, Marc, 2007. "Uncovering the value of planning in new venture creation: A process and contingency perspective," Journal of Business Venturing, Elsevier, Elsevier, vol. 22(6), pages 782-807, November.
    15. Barringer, Bruce R. & Jones, Foard F. & Neubaum, Donald O., 2005. "A quantitative content analysis of the characteristics of rapid-growth firms and their founders," Journal of Business Venturing, Elsevier, Elsevier, vol. 20(5), pages 663-687, September.
    16. Shane, Scott, 1993. "Cultural influences on national rates of innovation," Journal of Business Venturing, Elsevier, Elsevier, vol. 8(1), pages 59-73, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Unger, Jens M. & Rauch, Andreas & Frese, Michael & Rosenbusch, Nina, 2011. "Human capital and entrepreneurial success: A meta-analytical review," Journal of Business Venturing, Elsevier, Elsevier, vol. 26(3), pages 341-358, May.
    2. Brettel, Malte & Mauer, René & Engelen, Andreas & Küpper, Daniel, 2012. "Corporate effectuation: Entrepreneurial action and its impact on R&D project performance," Journal of Business Venturing, Elsevier, Elsevier, vol. 27(2), pages 167-184.
    3. Salisu Isyaku, 2014. "Mediating Effect of Uncertainty Avoidance on the Relationship between Entrepreneurial Talent and SMEs Performance in Nigeria: A Conceptual Analysis," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Scien, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 4(6), pages 368-383, June.
    4. Rosenbusch, Nina & Brinckmann, Jan & Müller, Verena, 2013. "Does acquiring venture capital pay off for the funded firms? A meta-analysis on the relationship between venture capital investment and funded firm financial performance," Journal of Business Venturing, Elsevier, Elsevier, vol. 28(3), pages 335-353.
    5. Rosenbusch, Nina & Brinckmann, Jan & Bausch, Andreas, 2011. "Is innovation always beneficial? A meta-analysis of the relationship between innovation and performance in SMEs," Journal of Business Venturing, Elsevier, Elsevier, vol. 26(4), pages 441-457, July.
    6. Tristan Boyer & Régis Blazy, 2014. "Born to be alive? The survival of innovative and non-innovative French micro-start-ups," Small Business Economics, Springer, Springer, vol. 42(4), pages 669-683, April.
    7. Per Davidsson & Scott Gordon, 2012. "Panel studies of new venture creation: a methods-focused review and suggestions for future research," Small Business Economics, Springer, Springer, vol. 39(4), pages 853-876, November.
    8. Larrañeta, Bárbara & Zahra, Shaker A. & González, José Luis Galán, 2012. "Enriching strategic variety in new ventures through external knowledge," Journal of Business Venturing, Elsevier, Elsevier, vol. 27(4), pages 401-413.
    9. Dong Xiang & Andrew C. Worthington & Helen Higgs, 2011. "Firm-level determinants and impacts of finance-seeking behaviour and outcomes for small and medium-sized enterprises (SMEs) in Australia," Discussion Papers in Finance, Griffith University, Department of Accounting, Finance and Economics finance:201115, Griffith University, Department of Accounting, Finance and Economics.
    10. Chwolka, Anne & Raith, Matthias G., 2012. "The value of business planning before start-up — A decision-theoretical perspective," Journal of Business Venturing, Elsevier, Elsevier, vol. 27(3), pages 385-399.
    11. Dirk Oberschachtsiek, 2014. "Waiting to start a business venture. Empirical evidence on the determinants," Working Paper Series in Economics, University of Lüneburg, Institute of Economics 293, University of Lüneburg, Institute of Economics.
    12. 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, Elsevier, vol. 42(6), pages 1251-1273.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:eee:jbvent:v:25:y:2010:i:1:p:24-40. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.