Entrepreneurs, effectual logic and over-trust
| Document type: | Journal Articles |
|---|---|
| Article type: | Original article |
| Peer reviewed: | Yes |
| Full text: | |
| Author(s): | Sanjay Goel, Ranjan Karri |
| Title: | Entrepreneurs, effectual logic and over-trust |
| Journal: | Entrepreneurship Theory and Practice |
| Year: | 2006 |
| Volume: | 30 |
| Issue: | 4 |
| Pagination: | 477-493 |
| ISSN: | 1042-2587 |
| Publisher: | Blackwell |
| Organization: | Blekinge Institute of Technology |
| Department: | School of Management (Sektionen för management) School of Management S- 371 79 Karlskrona +46 455 38 50 00 http://www.bth.se/mam/ |
| Authors e-mail: | sgoel@d.umn.edu, rkarr2@uis.edu |
| Language: | English |
| Abstract: | This article complements extant literature on entrepreneurship and trust by proposing a model of over-trust (the tendency to trust more than what is warranted) using entrepreneurial characteristics and effectual logic. We trace how entrepreneurs following effectual processes may tend to over-trust. More formally, we propose that specific personality characteristics of the entrepreneur interact with effectual logic to make the entrepreneur more susceptible to over-trust. The proposed model is value neutral in that we do not imply that over-trust has negative consequences for entrepreneurs. In fact, it may be part of the overall risk that entrepreneurs assume in a new venture creation. |
| Subject: | Business Administration\Organization |
