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Obstacles and Facilitators of Developments in Entrepreneur-driven Firms

Author

Listed:
  • Ljungquist, Urban

    () (CSIR, Blekinge Inst of Technology)

  • Ghannad, Navid

    () (Halmstad University)

Abstract

• Purpose: To identify facilitating and redundant components of core competence development during the growth phases in entrepreneur-driven SMEs. • Methodology: Conducts a longitudinal empirical study based on large number of interviews. • Findings: Describes how individual competences critical for a start-up firm (entrepreneurial, market and network) eventually are transformed into organisational routines and institutionalised. Highlights distinction between competence and organisational structure. The latter could emerge incrementally in a firm, yet also be a tool to manage organisational change. • Research limitations/implications: Brings in-depth knowledge by qualitative analysis. Future studies should test our findings in large-scale study with quantitative analysis. • Practical implications: A start-up built on technology competence needs to combine with market competences, preferably in parallel, or in sequence, for ideal core competence development. To expand further, the entrepreneur ultimately must step down. Important to balance the firm's ambidexterity by adding exploitation to the initial exploration. To boost expansion further, explicate visions and policies must be added, which will guide and release employees' innovative drive. • Social implications: Suggests how entrepreneurial spirits could be transformed to facilitate growth beyond small firm size. • Originality/value: Informs scholars and managers of core competence facilitators during SMEs growth phases.

Suggested Citation

  • Ljungquist, Urban & Ghannad, Navid, 2012. "Obstacles and Facilitators of Developments in Entrepreneur-driven Firms," Working Papers 2012/01, Blekinge Institute of Technology, Department of Industrial Economics.
  • Handle: RePEc:hhs:bthcsi:2012-001
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    References listed on IDEAS

    as
    1. Ivo Zander, 2007. "Do You See What I Mean? An Entrepreneurship Perspective on the Nature and Boundaries of the Firm," Journal of Management Studies, Wiley Blackwell, vol. 44(7), pages 1141-1164, November.
    2. Chandler, Gaylen N. & Hanks, Steven H., 1994. "Market attractiveness, resource-based capabilities, venture strategies, and venture performance," Journal of Business Venturing, Elsevier, vol. 9(4), pages 331-349, July.
    3. Christian Rammer & Dirk Czarnitzki & Alfred Spielkamp, 2009. "Innovation success of non-R&D-performers: substituting technology by management in SMEs," Small Business Economics, Springer, vol. 33(1), pages 35-58, June.
    4. Fombrun, Charles J. & Wally, Stefan, 1989. "Structuring small firms for rapid growth," Journal of Business Venturing, Elsevier, vol. 4(2), pages 107-122, March.
    5. Henderson, Rebecca. & Cockburn, Iain., 1994. "Measuring competence? : exploring firm effects in pharmaceutical research," Working papers 3712-94., Massachusetts Institute of Technology (MIT), Sloan School of Management.
    6. Man, Thomas W. Y. & Lau, Theresa & Chan, K. F., 2002. "The competitiveness of small and medium enterprises: A conceptualization with focus on entrepreneurial competencies," Journal of Business Venturing, Elsevier, vol. 17(2), pages 123-142, March.
    7. Hood, Jacqueline N. & Young, John E., 1993. "Entrepreneurship's requisite areas of development: A survey of top executives in successful entrepreneurial firms," Journal of Business Venturing, Elsevier, vol. 8(2), pages 115-135, March.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    core competence; entrepreneurship; SME; competence; INV; longitudinal study; Resource based view;

    JEL classification:

    • M13 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - New Firms; Startups

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