Reconceptualizing entrepreneurial exit: Divergent exit routes and their drivers

Journal of Business Venturing

Volumn 25, Issue 4, 2010, Pages 361-375

  Wennberg, Karl ^a,e   Wiklund, Johan ^b   DeTienne, Dawn R ^c   Cardon, Melissa S ^d  

^a IMPERIAL COLLEGE LONDON   (United Kingdom)

^b STOCKHOLM SCHOOL OF ECONOMICS   (Sweden)

^c SYRACUSE UNIVERSITY   (United States)

^d Department of Environmental and Radiological Health Sciences   (United States)

^e PACE UNIVERSITY   (United States)

Author keywords

Entrepreneurial exit; Human capital; Prospect theory

Indexed keywords

EID: 77952889565     PISSN: 08839026     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.jbusvent.2009.01.001     Document Type: Article

References (69)

1. Altman E.I. Financial ratios, discriminant analysis and the prediction of corporate bankruptcy. The Journal of Finance 1968, 23(4):589-609.
2. Altman E.I. Predicting Financial Distress of Companies: Revisiting the Z-Score and Zeta Models. Working paper 7/2000 2000, Stern School of Business, New York University.
3. Arum R., Muller W. The Re-Emergence of Self-Employment: A Comparative Study of Self-Employment Dynamics and Social Inequality 2004, Princeton Univ. Press, Princeton.
4. Bandura A. Social Learning Theory 1977, Prentice Hall, Englewood Cliffs.
5. Bates T. Entrepreneur human capital and small business longevity. The Review of Economics and Statistics 1990, 72(4):551-559.
6. Bates T. Analysis of young, small firms that have closed: delineating successful from unsuccessful closures. Journal of Business Venturing, 2005, 20(3):343-358.
7. Becker G.S. Human Capital: A Theoretical and Empirical Analysis, with Special Reference to Education 1964, Chicago University Press, Chicago.
8. Becker G.S. A theory of the allocation of time. Economic Journal 1965, 75(299):493-517.
9. Ben-Akiva M., Lerman S.R. Discrete Choice Analysis 1985, MIT Press, Cambridge.
10. Birley, S., Westhead, P., 1993. The owner-managers exit route. In, Klandt, H. Ed., Entrepreneurship and Business Development. Avebury, Gower Press, 123-140.
11. Brüderl J., Preisendörfer P., Ziegler R. Survival chances of newly founded business organizations. American Sociological Review 1992, 57(2):227-242.
12. Carpenter J.E., Petersen B.C. Is the growth of small firms constrained by internal finance?. The Review of Economics and Statistics 2002, 84(2):298-309.
13. Carter N.M., Williams M., Reynolds P.D. Discontinuance among new firms in retail: the influence of initial resources, strategy, and gender. Journal of Business Venturing 1997, 12(2):125-145.
14. Carter N.M., Gartner W.B., Shaver K.G., Gatewood E.J. The career reasons of nascent entrepreneurs. Journal of Business Venturing 2003, 18(1):13-39.
15. Carter S., Tagg S., Dimtratos P. Beyond portfolio entrepreneurship: multiple income sources in small firms. Entrepreneurship & Regional Development 2006, 16:481-499.
16. Certo S., Covin J., Daily C., Dalton D. Wealth and effects of founder management among IPO-stage new ventures. Strategic Management Journal 2001, 22(6/7):641.
17. Clayson D.E. Performance overconfidence: metacognitive effects or misplaced student expectations?. Journal of Marketing Education 2005, 27(2):122-129.
18. Colombo M.G., Grilli L. Founders' human capital and the growth of new technology-based firms: a competence-based view. Research Policy 2005, 34(6):795-816.
19. Cooper A.C., Gimeno-Gascon F.J., Woo C.Y. Initial human and financial capital as predictors of new venture performance. Journal of Business Venturing 1994, 9(5):371-395.
20. Dahl M.S., Sorenson O. Home Sweet Home? Location Choice of Entrepreneurs and Performance of their Ventures 2008, University of Aalborg, Working paper.
21. Davidsson P. Strategies for dealing with heterogeneity in entrepreneurship research. Paper presented August 7th at the Academy of Management Conference, Philadelphia 2007.
22. Davidsson P., Honig B. The role of social and human capital among nascent entrepreneurs. Journal of Business Venturing 2003, 18(3):301-331.
23. Davidsson P., Wiklund J. Levels of analysis in entrepreneurship research: current practice and suggestions for the future. Entrepreneurship Theory & Practice 2001, 25(4):81-99.
24. Delmar F., Hellerstedt K., Wennberg K. The evolution of firms created by the science and technology labor force in Sweden 1990-2000. Managing Complexity and Change in SMEs 2006, 69-102. Edward Elgar, Cheltenham. J. Ulhöi, P. Christensen (Eds.).
25. DeTienne D. Entrepreneurial exit as a critical component of the entrepreneurial process: Theoretical development. Journal of Business Venturing 2010, 25:203-215.
26. DeTienne D.R., Cardon M. Entrepreneurial exit as an important component of the entrepreneurial process: strategies and design. Paper presented at the Babson College Entrepreneurship Research Conference, Bloomington 2006.
27. Douglas E.J., Shepherd D.A. Entrepreneurship as a utility-maximizing response. Journal of Business Venturing, 2000, 15:231-251.
28. Eckbo B.E., Thorburn K.S. Control benefits and CEO discipline in automatic bankruptcy auctions. Journal of Financial Economics 2003, 69:227-258.
29. Gartner, W., Shaver, K., Carter, N., Reynolds, P., 2004. Handbook of Entrepreneurial Dynamics. The process of Business Creation (Eds.). Sage, Thousand Oaks.
30. G imeno J., Folta T.B., Cooper A.C., Woo C.Y. Survival of the fittest? Entrepreneurial human capital and the persistence of underperforming firms. Administrative Science Quarterly 1997, 42(4):750-783.
31. Götzfried A. European employment increasing in services and knowledge-intensive services. Statistics in Focus: Science and Technology 10 2004, Eurostat, KS-NS-04-010-EN-N.
32. Grenadier S.R., Wang N. Investment under uncertainty and time-inconsistent preferences. Journal of Financial Economics 2007, 84:2-39.
33. Harada N. Productivity and entrepreneurial characteristics in new Japanese firms. Small Business Economics, 2004, 23(4):299-310.
34. Harrisson, G.W., Rutström, E.E., 2007. Expected Utility Theory and Prospect Theory: One Wedding and A Decent Funeral. Experimental Economics. Forthcoming.
35. Holmberg S. Value creation and capture: entrepreneurship harvest and IPO strategies. Frontiers of Entrepreneurship Research 1991, 191-204. Babson College, Wellesley. N. Churchill (Ed.).
36. Holtz-Eakin D., Joulfaian D., Rosen H.S. Sticking it out, entrepreneurial survival and liquidity constraints. The Journal of Political Economy 1994, 102(1):53.
37. ITPS Follow up of the newly established enterprises in 2001- three years after the start 2006, Swedish Institute for Growth Policy Studies (ITPS), Publication No. S2006:001.
38. Jørgensen R. A duration analysis of danish start-ups 2005, Centre for Economic and Business Research, Denmark, Working paper SP 2005-08.
39. Kahneman D., Tversky A. Prospect theory: an analysis of decision under risk. Econometrica 1979, 47(2):263-291.
40. Kyle A.S., Ou-Yang H., Xiong W. Prospect theory and liquidation decisions. Journal of Economic Theory 2006, 129(1):273-288.
41. Lévesque M., Minniti M. The effect of aging on entrepreneurial behavior. Journal of Business Venturing 2006, 21(2):177-194.
42. Long J.S., Freese J. Regression Models for Categorical Dependent Variables 2006, Stata Press, College Station.
43. Manolova T.S., Carter N.M., Manev I.M., Gyoshev B.S. The differential effect of men and women entrepreneurs' human capital and networking on growth expectancies in Bulgaria. Entrepreneurship Theory and Practice 2007, 31(3):407-426.
44. McCarthy A.F., Schoorman F.D., Cooper A.C. Reinvestment decisions by entrepreneurs: rational decision-making or escalation of commitment. Journal of Business Venturing 1993, 8(1):9-24.
45. McGrath R.G. Reconsidering the mortality hypothesis. Paper presented at the Academy of Management Conference, Atlanta 2006.
46. Miller K.D., Reuer J.J. Measuring organizational downside risk. Strategic Management Journal 1996, 17(9):671-691.
47. Mitchell W. The dynamics of evolving markets, the effects of business sales and age on liquidations and divestitures. Administrative Science Quarterly 1994, 39(4):575-602.
48. Morin R.A., Suarez A.F. Risk aversion revisited. The Journal of Finance 1983, 38(4):1201-1216.
49. Pennings J.M., Lee K., Witteloostuijn A.van Human capital, social capital and firm dissolution. Academy of Management Journal 1998, 41(4):425-440.
50. Petty J.W. Harvesting firm value: process and results. Entrepreneurship 2000 1997, Upstart Publishing Company, Chicago, Ill. D.L. Sexton, R.W. Smilor (Eds.).
51. Politis D. The process of entrepreneurial learning, a conceptual framework. Entrepreneurship Theory & Practice 2005, 29(4):399-424.
52. Pretorius M., Le Roux I. Multiple failure or repeat entrepreneurship. Paper presented June 8th at the Babson College Entrepreneurship Research Conference, Madrid 2007.
53. Rosa P. Entrepreneurial processes of business cluster formation and growth by 'habitual' entrepreneurs. Entrepreneurship Theory and Practice 1998, 22(4):43-62.
54. Shane S. A general theory of entrepreneurship. The Individual-Opportunity Nexus 2003, Edward Elgar, Northampton.
55. Shane S., Venkataraman S. The promise of entrepreneurship as a field of research. Academy of Management Review 2000, 25(1):217-266.
56. Shefrin H., Statman M. The disposition to sell winners too early and ride losers too long: theory and evidence. Journal of Finance, 1985, 40(3):777-790.
57. Shepherd D.A. Learning from business failure: propositions of grief recovery for the self-employed. Academy of Management Review 2003, 282:318-329.
58. Starr J.A., Bygrave W.D. The second time around: the outcomes, assets, and liabilities of prior start-up experience. International perspectives on entrepreneurship research, Amsterdam, North Holland 1992, 340-363. S. Birley, I. MacMillan (Eds.).
59. Storey D., Parker S., van Witteloostuijn A. What happens to gazelles? The Importance of dynamic Management Strategy 2005, University of Durham, Working Paper.
60. Taylor M.P. Survival of the fittest? An analysis of self-employment duration in Britain. Economic Journal 1999, 109:140-155. (March).
61. Thorburn K.S. Bankruptcy auctions, costs, debt recovery, and firm survival. Journal of Financial Economics 2000, 58:337-368.
62. Tyebjee T.T., Bruno A.V. A model of venture capitalist investment activity. Management Science 1984, 30(9):1051-1066.
63. Ucbasaran D., Wright M., Westhead P. Longitudinal study of habitual entrepreneurs, starters and acquirers. Entrepreneurship and Regional Development 2003, 15(3):207-228.
64. Van Praag C.M. Business survival and success of young small business owners. Small Business Economics 2003, 21(1):1-17.
65. van Witteloostuijn A. Bridging behavioral and economic theories of decline: organizational inertia, strategic competition and chronic failure. Management Science 1998, 44(4):502-519.
66. Wennberg K. Entrepreneurship research through longitudinal databases: measurement and design issues. New England Journal of Entrepreneurship 2005, 8(2):9-19.
67. Wennberg K., Folta T., Delmar F. VA real options model of step-wise entry into Self-employment. Frontiers of Entrepreneurship Research 2006 2006, 119-132. Babson College, Babson Park, MA. A. Zacharakis (Ed.).
68. Westhead P., Wright M. Novice, portfolio and serial founders: are they different?. Journal of Business Venturing 1998, 13(3):173-204.
69. Yamaguchi K. Event History Analysis 1991, Sage Publications, Newbury Park.