Case study 1: The emergence of a new venture

This article conducts an in-depth investigation of entrepreneurial opportunity recognition in an international new venture (INV) during the time period before the organizational emergence. While doing so, the study applies a strategic orientation (SO) approach that seems to provide the possibility of observing firm activities from multiple perspectives. A qualitative and interpretive method is used for this purpose. The findings of this study support the notion that the phase before organizational emergence is a significant period for entrepreneurial opportunity recognition.

Additionally, this study illustrates the reason and processes involved are the same. Firstly, the findings indicate that the initial opportunity recognition and the development throughout this phase rely on the entrepreneurial orientation of the individuals. Moreover, entrepreneurial opportunity results from information-seeking behavior regarding ways to respond to demand. Such a process seems to require a reconciliation of technological and commercial knowledge domains. Secondly, the findings indicate that the context has a distinct role in the opportunity recognition process. In this study, the support of the parent corporation, particularly, seemed to have a significant impact on the initial discovery and subsequent development of entrepreneurial opportunity.

Summary highlights

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Contributions:

This article advances our understanding about the antecedents of entrepreneurial opportunity. The study provides in-depth insights about individual characteristics and contextual features that contributed opportunity recognition during the pre-launch period. In doing so, this study offers novel and significant perspectives for the fields of international entrepreneurship and strategic orientation.

Research questions/purpose:

This article conducts an investigation of entrepreneurial opportunity recognition during the pre-launch period in an international new venture (INV). While doing so, the study applies a strategic orientation approach. The research question for this article is as follows: How do individuals discover opportunities during the pre-launch period?

Methodology and information:

A qualitative and interpretive method is used in a single case setting. The primary data collection method was in-depth interviews conducted with two of the founders of the case company. Moreover, a narrative analysis was applied.

Results/findings:

The findings of the study are as follows. Firstly, the findings support the perspective that the pre-launch period represents a significant prerequisite for entrepreneurial opportunity emergence. It was found that these links especially to the characteristics and skills of the individuals, especially reflecting their entrepreneurial orientation. Moreover, it was found that the opportunity discovery was fundamentally information-seeking behavior about market imbalances and ways to respond to them. Such a process seems to require a reconciliation of commercial and technological knowledge domains. Secondly, it was found that the context was a significant precondition for opportunity emergence. In this respect, the most significant elements were the linkage to the MNE and the level of support granted to the project.

Theoretical implications and recommendations:

The study offers several in-depth insights into the emergence of entrepreneurial opportunities. Firstly, in relation to entrepreneurial opportunity theory, this study supports the notion that the pre-launch period is quite significant for entrepreneurial opportunity recognition. Consequently, the findings support the insights that the prior experience and knowledge support opportunity recognition and should, therefore, be included in the equation.