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New venture strategic adaptation: The interplay of belief structures and industry context
Author(s) -
Kiss Andreea N.,
Barr Pamela S.
Publication year - 2015
Publication title -
strategic management journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 11.035
H-Index - 286
eISSN - 1097-0266
pISSN - 0143-2095
DOI - 10.1002/smj.2285
Subject(s) - adaptation (eye) , context (archaeology) , knowledge management , business , perspective (graphical) , entrepreneurship , strategic management , action (physics) , industrial organization , marketing , computer science , psychology , artificial intelligence , finance , neuroscience , biology , physics , quantum mechanics , paleontology
We adopt an information processing perspective to investigate how the interplay of belief structures and industry context shapes new venture strategic adaptation in a sample of 104 publicly traded new ventures founded between 1996 and 2006 in several technology‐intensive industries. Results highlight that distinct espoused belief structures attributes (complexity, centrality, proactive causal logics) and industry growth combinations predict diversity, frequency, and speed of new venture strategic actions. We contribute to prior literature on early firm strategic adaptation by providing an elaborated understanding of the role of espoused belief structures in interpreting and translating industry signals into new venture strategic action. Further, we highlight the role of belief structures in facilitating the fast, diverse, and frequent organizational actions typically associated with continuous adaptation . Copyright © 2014 John Wiley & Sons, Ltd.