IDEAS home Printed from https://ideas.repec.org/a/sae/entthe/v39y2015i4p863-894.html
   My bibliography  Save this article

The RICH Entrepreneur: Using Conservation of Resources Theory in Contexts of Uncertainty

Author

Listed:
  • Stephen E. Lanivich

Abstract

This research was designed to extend the scope and conversation of conservation of resource theory (COR) to contexts of uncertainty, including entrepreneurship. In doing so, the resource–induced coping heuristic (RICH) construct is introduced, developed, and validated. Results from two investigations, involving three samples and a total of 813 participants, indicated strong reliability, and internal validity for the theoretically justified, three–factor measure. Also, results of validity tests show the RICH as a robust predictor of factors pertaining to entrepreneurial success, including financial performance and perceived entrepreneurial success. Practical and academic implications, strengths and limitations, and directions for future research are discussed.

Suggested Citation

  • Stephen E. Lanivich, 2015. "The RICH Entrepreneur: Using Conservation of Resources Theory in Contexts of Uncertainty," Entrepreneurship Theory and Practice, , vol. 39(4), pages 863-894, July.
    • Handle: RePEc:sae:entthe:v:39:y:2015:i:4:p:863-894
    DOI: 10.1111/etap.12082
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1111/etap.12082
    Download Restriction: no
    File URL: https://libkey.io/10.1111/etap.12082?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Mary Tripsas & Giovanni Gavetti, 2000. "Capabilities, cognition, and inertia: evidence from digital imaging," Strategic Management Journal, Wiley Blackwell, vol. 21(10‐11), pages 1147-1161, October.
    2. Giovanni Gavetti & Daniel A. Levinthal & Jan W. Rivkin, 2005. "Strategy making in novel and complex worlds: the power of analogy," Strategic Management Journal, Wiley Blackwell, vol. 26(8), pages 691-712, August.
    3. Jim Dewald & Frances Bowen, 2010. "Storm Clouds and Silver Linings: Responding to Disruptive Innovations Through Cognitive Resilience," Entrepreneurship Theory and Practice, , vol. 34(1), pages 197-218, January.
    4. Read, Stuart & Song, Michael & Smit, Willem, 2009. "A meta-analytic review of effectuation and venture performance," Journal of Business Venturing, Elsevier, vol. 24(6), pages 573-587, November.
    5. Tim R. Holcomb & R. Duane Ireland & R. Michael Holmes Jr. & Michael A. Hitt, 2009. "Architecture of Entrepreneurial Learning: Exploring the Link among Heuristics, Knowledge, and Action," Entrepreneurship Theory and Practice, , vol. 33(1), pages 167-192, January.
    6. Sharon A. Alvarez & Jay B. Barney, 2007. "The Entrepreneurial Theory of the Firm," Journal of Management Studies, Wiley Blackwell, vol. 44(7), pages 1057-1063, November.
    7. Rerup, Claus, 2005. "Learning from past experience: Footnotes on mindfulness and habitual entrepreneurship," Scandinavian Journal of Management, Elsevier, vol. 21(4), pages 451-472, December.
    8. Palich, Leslie E. & Ray Bagby, D., 1995. "Using cognitive theory to explain entrepreneurial risk-taking: Challenging conventional wisdom," Journal of Business Venturing, Elsevier, vol. 10(6), pages 425-438, November.
    9. Haynie, J. Michael & Shepherd, Dean & Mosakowski, Elaine & Earley, P. Christopher, 2010. "A situated metacognitive model of the entrepreneurial mindset," Journal of Business Venturing, Elsevier, vol. 25(2), pages 217-229, March.
    10. Armstrong, J. Scott & Overton, Terry S., 1977. "Estimating Nonresponse Bias in Mail Surveys," MPRA Paper 81694, University Library of Munich, Germany.
    11. Erik Monsen & R. Wayne Boss, 2009. "The Impact of Strategic Entrepreneurship inside the Organization: Examining Job Stress and Employee Retention," Entrepreneurship Theory and Practice, , vol. 33(1), pages 71-104, January.
    12. Denis A. Grégoire & Andrew C. Corbett & Jeffery S. McMullen, 2011. "The Cognitive Perspective in Entrepreneurship: An Agenda for Future Research," Journal of Management Studies, Wiley Blackwell, vol. 48, pages 1443-1477, September.
    13. Sarah Kaplan, 2011. "Research in Cognition and Strategy: Reflections on Two Decades of Progress and a Look to the Future," Journal of Management Studies, Wiley Blackwell, vol. 48(3), pages 665-695, May.
    14. 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, vol. 9(4), pages 237-256, April.
    15. Baron, Robert A. & Hmieleski, Keith M. & Henry, Rebecca A., 2012. "Entrepreneurs' dispositional positive affect: The potential benefits – and potential costs – of being “up”," Journal of Business Venturing, Elsevier, vol. 27(3), pages 310-324.
    16. Danny Miller & Peter H. Friesen, 1984. "A Longitudinal Study of the Corporate Life Cycle," Management Science, INFORMS, vol. 30(10), pages 1161-1183, October.
    17. Israel M. Kirzner, 1997. "Entrepreneurial Discovery and the Competitive Market Process: An Austrian Approach," Journal of Economic Literature, American Economic Association, vol. 35(1), pages 60-85, March.
    18. Hmieleski, Keith M. & Corbett, Andrew C., 2008. "The contrasting interaction effects of improvisational behavior with entrepreneurial self-efficacy on new venture performance and entrepreneur work satisfaction," Journal of Business Venturing, Elsevier, vol. 23(4), pages 482-496, July.
    19. Peggy M. Lee & Erika Hayes James, 2007. "She'‐e‐os: gender effects and investor reactions to the announcements of top executive appointments," Strategic Management Journal, Wiley Blackwell, vol. 28(3), pages 227-241, March.
    20. Weterings, Anet & Koster, Sierdjan, 2007. "Inheriting knowledge and sustaining relationships: What stimulates the innovative performance of small software firms in the Netherlands?," Research Policy, Elsevier, vol. 36(3), pages 320-335, April.
    21. Michael Haynie & Dean A. Shepherd, 2009. "A Measure of Adaptive Cognition for Entrepreneurship Research," Entrepreneurship Theory and Practice, , vol. 33(3), pages 695-714, May.
    22. Andrew C. Corbett, 2005. "Experiential Learning within the Process of Opportunity Identification and Exploitation," Entrepreneurship Theory and Practice, , vol. 29(4), pages 473-491, July.
    23. Bruton, Garry D. & Rubanik, Yuri, 2002. "Resources of the firm, Russian high-technology startups, and firm growth," Journal of Business Venturing, Elsevier, vol. 17(6), pages 553-576, October.
    24. Busenitz, Lowell W. & Barney, Jay B., 1997. "Differences between entrepreneurs and managers in large organizations: Biases and heuristics in strategic decision-making," Journal of Business Venturing, Elsevier, vol. 12(1), pages 9-30, January.
    25. Alvarez, Sharon A., 2007. "Entrepreneurial rents and the theory of the firm," Journal of Business Venturing, Elsevier, vol. 22(3), pages 427-442, May.
    26. Deniz Ucbasaran & Andy Lockett & Mike Wright & Paul Westhead, 2003. "Entrepreneurial Founder Teams: Factors Associated with Member Entry and Exit," Entrepreneurship Theory and Practice, , vol. 28(2), pages 107-128, March.
    27. repec:ucp:bkecon:9780226316529 is not listed on IDEAS
    28. Catherine L. Wang, 2008. "Entrepreneurial Orientation, Learning Orientation, and Firm Performance," Entrepreneurship Theory and Practice, , vol. 32(4), pages 635-657, July.
    29. William B. Gartner & Kelly G. Shaver & Elizabeth Gatewood & Jerome A. Katz, 1994. "Finding the Entrepreneur in Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 18(3), pages 5-9, April.
    30. Simon, Mark & Houghton, Susan M. & Aquino, Karl, 2000. "Cognitive biases, risk perception, and venture formation: How individuals decide to start companies," Journal of Business Venturing, Elsevier, vol. 15(2), pages 113-134, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Prandelli, Emanuela & Pasquini, Martina & Verona, Gianmario, 2016. "In user's shoes: An experimental design on the role of perspective taking in discovering entrepreneurial opportunities," Journal of Business Venturing, Elsevier, vol. 31(3), pages 287-301.
    2. Mingfeng Tang & Hao Huang & Grace Walsh & Maribel Guerrero, 2023. "The impact of entrepreneurial overconfidence on incubator effectiveness," The Journal of Technology Transfer, Springer, vol. 48(1), pages 416-440, February.
    3. Pérez-Centeno, Victor, 2018. "Brain-driven entrepreneurship research: Expanded review and research agenda towards entrepreneurial enhancement," Working Papers 02/18, Institut für Mittelstandsforschung (IfM) Bonn.
    4. Andreas Hack & Frauke Bieberstein & Nils D. Kraiczy, 2016. "Reference point formation and new venture creation," Small Business Economics, Springer, vol. 46(3), pages 447-465, March.
    5. Sara Sassetti & Giacomo Marzi & Vincenzo Cavaliere & Cristiano Ciappei, 2018. "Entrepreneurial cognition and socially situated approach: a systematic and bibliometric analysis," Scientometrics, Springer;Akadémiai Kiadó, vol. 116(3), pages 1675-1718, September.
    6. Ratan J. S. Dheer & Tomasz Lenartowicz, 2018. "Multiculturalism and Entrepreneurial Intentions: Understanding the Mediating Role of Cognitions," Entrepreneurship Theory and Practice, , vol. 42(3), pages 426-466, May.
    7. Gilbert-Saad, Antoine & Siedlok, Frank & McNaughton, Rod B., 2023. "Entrepreneurial heuristics: Making strategic decisions in highly uncertain environments," Technological Forecasting and Social Change, Elsevier, vol. 189(C).
    8. Katrin Muehlfeld & Diemo Urbig & Utz Weitzel, 2017. "Entrepreneurs’ Exploratory Perseverance in Learning Settings," Entrepreneurship Theory and Practice, , vol. 41(4), pages 533-565, July.
    9. Curt B. Moore & Nancy H. McIntyre & Stephen E. Lanivich, 2021. "ADHD-Related Neurodiversity and the Entrepreneurial Mindset," Entrepreneurship Theory and Practice, , vol. 45(1), pages 64-91, January.
    10. Gruber, Marc, 2007. "Uncovering the value of planning in new venture creation: A process and contingency perspective," Journal of Business Venturing, Elsevier, vol. 22(6), pages 782-807, November.
    11. Jeffery S. McMullen & Katrina M. Brownell & Joel Adams, 2021. "What Makes an Entrepreneurship Study Entrepreneurial? Toward A Unified Theory of Entrepreneurial Agency," Entrepreneurship Theory and Practice, , vol. 45(5), pages 1197-1238, September.
    12. Cassar, Gavin & Craig, Justin, 2009. "An investigation of hindsight bias in nascent venture activity," Journal of Business Venturing, Elsevier, vol. 24(2), pages 149-164, March.
    13. Stephen X. Zhang & Javier Cueto, 2017. "The Study of Bias in Entrepreneurship," Entrepreneurship Theory and Practice, , vol. 41(3), pages 419-454, May.
    14. Wayne H. Stewart Jr. & Ruth C. May & Arvind Kalia, 2008. "Environmental Perceptions and Scanning in the United States and India: Convergence in Entrepreneurial Information Seeking?," Entrepreneurship Theory and Practice, , vol. 32(1), pages 83-106, January.
    15. Ronald K. Mitchell & Lowell W. Busenitz & Barbara Bird & Connie Marie Gaglio & Jeffery S. McMullen & Eric A. Morse & J. Brock Smith, 2007. "The Central Question in Entrepreneurial Cognition Research 2007," Entrepreneurship Theory and Practice, , vol. 31(1), pages 1-27, January.
    16. Christiane Naumann, 2017. "Entrepreneurial Mindset: A Synthetic Literature Review," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 5(3), pages 149-172.
    17. Ali E. Ahmed & Deniz Ucbasaran & Gabriella Cacciotti & Trenton A. Williams, 2022. "Integrating Psychological Resilience, Stress, and Coping in Entrepreneurship: A Critical Review and Research Agenda," Entrepreneurship Theory and Practice, , vol. 46(3), pages 497-538, May.
    18. Murnieks, Charles Y. & Arthurs, Jonathan D. & Cardon, Melissa S. & Farah, Nusrat & Stornelli, Jason & Michael Haynie, J., 2020. "Close your eyes or open your mind: Effects of sleep and mindfulness exercises on entrepreneurs' exhaustion," Journal of Business Venturing, Elsevier, vol. 35(2).
    19. Hansen, David J. & Deacon, Jonathan H. & Pascal, Vincent & Sethna, Zubin, 2020. "The future is in the past: A framework for the Marketing-Entrepreneurship Interface (MEI)," Journal of Business Research, Elsevier, vol. 113(C), pages 198-208.
    20. Baron, Robert A. & Mueller, Brandon A. & Wolfe, Marcus T., 2016. "Self-efficacy and entrepreneurs' adoption of unattainable goals: The restraining effects of self-control," Journal of Business Venturing, Elsevier, vol. 31(1), pages 55-71.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:entthe:v:39:y:2015:i:4:p:863-894. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.