New Venture Teams and the Quality of Business Opportunities Identified: Faultlines Between Subgroups of Founders and Investors

Entrepreneurship: Theory and Practice

Volumn 37, Issue 1, 2013, Pages 47-67

  Lim, Joanne Yong Kwan ^a   Busenitz, Lowell W ^b   Chidambaram, Laku ^b  

^a SKEMA BUSINESS SCHOOL   (France)

^b UNIVERSITY OF OKLAHOMA   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 84872347797     PISSN: 10422587     EISSN: 15406520     Source Type: Journal    
DOI: 10.1111/j.1540-6520.2012.00550.x     Document Type: Article

References (73)

1. Amason, A.C., Shrader, R.C., & Tompson, G.H. (2006). Newness and novelty: Relating top management team composition to new venture performance. Journal of Business Venturing, 21, 125-148.
2. Arthurs, J. & Busenitz, L.W. (2003). The boundaries and limitations of agency theory and stewardship theory in the venture capitalist / entrepreneur relationship. Entrepreneurship Theory and Practice, 28(2), 145-162.
3. Barney, J.B. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17, 99-120.
4. Baron, R. (2006). Opportunity recognition as pattern recognition: How entrepreneurs "connect the dots" to identify new business opportunities. Academy of Management Perspectives, 20(1), 104-119.
5. Baron, R. & Ensley, M.D. (2006). Opportunity recognition as the detection of meaningful patterns: Evidence from comparisons of novice and experienced entrepreneurs. Management Science, 52(9), 1331-1344.
6. Beckman, C.M., Burton, M.D., & O'Rielly, C. (2007). Early teams: The impact of team demography on VC financing and going public. Journal of Business Venturing, 22, 147-173.
7. Bezrukova, K., Jehn, K., Zanutto, E., & Thatcher, S.M.B. (2009). Do workgroup faultlines help or hurt? A moderated model of faultlines, team identification, and group performance. Organization Science, 20(1), 35-50.
8. Boeker, W. & Wiltbank, R. (2005). New venture evolution and managerial capabilities. Organization Science, 16, 123-133.
9. Boone, C. & Hendriks, W. (2009). Top management team diversity and firm performance: Moderators of functional-background and locus-of-control diversity. Management Science, 55(2), 165-180.
10. Bruton, G., Fried, V., & Hisrich, R.D. (1997). Venture capitalist and CEO dismissal. Entrepreneurship Theory and Practice, 21(3), 41-54.
11. Bruton, G., Fried, V., & Hisrich, R.D. (2000). CEO dismissal in venture capital-backed firms, further evidence from an agency perspective. Entrepreneurship Theory and Practice, 24(4), 69-77.
12. Bryne, D.E. (1971). The attraction paradigm. New York: Academic Press.
13. Busenitz, L.W., Fiet, J.O., & Moesel, D.D. (2004). Reconsidering the venture capitalists' "value added" proposition: An interorganizational learning perspective. Journal of Business Venturing, 19, 787-807.
14. Busenitz, L.W., Moesel, D.D., Fiet, J.O., & Barney, J.B. (1997). The framing of perceptions of fairness in the relationship between venture capitalists and new venture teams. Entrepreneurship Theory and Practice, 21(3), 5-21.
15. Cannon-Bowers, J.A., Salas, E., & Converse, S.A. (1993). Shared mental models in expert team decision making. In N.J. Castellan (Ed.), Individual and group decision making (pp. 221-246). Hillsdale, NJ: Lawrence Erlbaum Associate.
16. Chandler, G.N., Honig, B., & Wiklund, J. (2005). Antecedents, moderators and performance consequences of membership change in new venture teams. Journal of Business Venturing, 20, 705-725.
17. Choi, H.-S. & Thompson, L. (2005). Old wine in a new bottle: Impact of membership change on group creativity. Organizational Behavior and Human Decision Processes, 98, 121-132.
18. Choi, J.N. & Sy, T. (2010). Group-level organizational citizenship behavior: Effects of demographic faultlines and group conflict in small work groups. Journal of Organizational Behavior, 31(7), 1032-1054.
19. Clarysse, B. & Moray, N. (2004). A process study of entrepreneurial team formation: The case of a research-based spin-off. Journal of Business Venturing, 19, 55-79.
20. Cronin, M.A. & Weingart, L.R. (2007). Representational gaps, information processing, and conflict in functionally diverse teams. Academy of Management Review, 32(3), 761-773.
21. Dahlin, K.B., Weingart, L.R., & Hinds, P.J. (2005). Team diversity and information use. Academy of Management Journal, 48, 1107-1123.
22. De Clercq, D. & Sapienza, H.J. (2006). Effects of relational capital and commitment on venture capitalists' perception of portfolio company performance. Journal of Business Venturing, 21, 326-347.
23. De Dreu, C.K.W. & Weingart, L.R. (2003). Task versus relationship conflict, team performance and team member satisfaction: A meta-analysis. Journal of Applied Psychology, 88(4), 741-774.
24. Edmondson, A.C. (2002). The local and variegated nature of learning in organizations: A group-level perspective. Organization Science, 13(2), 128-146.
25. Eisenhardt, K. (1989). Agency theory: An assessment and review. Academy of Management Review, 14(1), 57-74.
26. Ensley, M.D., Pearson, A.W., & Amason, A.C. (2002). Understanding the dynamics of new venture top team management: Cohesion, conflict, and new venture performance. Journal of Business Venturing, 17(4), 365-384.
27. Ferrary, M. (2010). Syndication of venture capital investment: The art of resource pooling. Entrepreneurship Theory and Practice, 34(5), 885-908.
28. Forbes, D.P., Borchert, P.S., Zellmer-Bruhn, M.E., & Sapienza, H.J. (2006). Entrepreneurial team formation: An exploration of new member addition. Entrepreneurship Theory and Practice, 30(2), 225-248.
29. Fried, V.H. & Hisrich, R.D. (1995). The venture capitalist: A relationship investor. California Management Review, 37, 101-113.
30. Gartner, W.B., Shaver, K.G., Gatewood, E., & Katz, J.A. (1994). Finding the entrepreneur in entrepreneurship. Entrepreneurship Theory and Practice, 18(3), 5-9.
31. Geringer, J.M. & Woodcock, P. (1989). Ownership and control of Canadian joint ventures. Business Quarterly, 54(1), 97-101.
32. Gibson, C. & Vermeulen, F. (2003). A healthy divide: Subgroups as a stimulus for team learning behavior. Administrative Science Quarterly, 48, 202-239.
33. Goncalo, J.A. & Staw, B.A. (2006). Individualism-collectivism and group creativity. Organizational Behavior and Human Decision Processes, 100, 96-109.
34. Granovetter, M.S. (1973). The strength of weak ties. American Journal of Sociology, 78, 1360-1380.
35. Greiner, L.E. (1972). Evolution and revolution as organizations grow. Harvard Business Review, 50(4), 37-46.
36. Hellmann, T. (1998). The allocation of control rights in venture capital contracts. RAND Journal of Economics, 29(1), 57-76.
37. Hera, C.M.A.D.L. & Rodriguez, F.G. (1999). The effects of member change and continuity on the productive efficiency of work teams. Psychology in Spain, 3(1), 88-97.
38. Higashide, H. & Birley, S. (2002). The consequences of conflict between the venture capitalist and the entrepreneurial team in the United Kingdom from the perspective of the venture capitalist. Journal of Business Venturing, 17(1), 59-81.
39. Hite, J.M. (2005). Evolutionary processes and paths of relationally embedded network ties in emerging entrepreneurial firms. Entrepreneurship Theory and Practice, 29(1), 113-144.
40. Jehn, K.A. (1995). A multimethod examination of the benefits and detriments of intragroup conflict. Administrative Science Quarterly, 40, 256-282.
41. Jehn, K.A., Northcraft, G.B., & Neale, M.A. (1999). Why differences make a difference: A field study of diversity, conflict and performance in work groups. Administrative Science Quarterly, 44, 741-763.
42. Kahn, W.A. (1990). Psychological conditions of personal engagement and disengagement at work. Academy of Management Journal, 33(4), 692-724.
43. Kellermanns, F.W. & Barnett, T. (2008). What were they thinking? The role of family firm mental models on threat recognition. Entrepreneurship Theory and Practice, 32(6), 999-1006.
44. Latimer, R.L. (1998). The case for diversity in global business, and the impact of diversity on team performance. Competitiveness Review, 8(2), 3-17.
45. Lau, D.C. & Murnighan, J.K. (1998). Demographic diversity and faultlines: The compositional dynamics of organizational groups. Academy of Management Review, 23, 325-340.
46. Lau, D.C. & Murnighan, J.K. (2005). Interactions within groups and subgroups: The dynamic effects of demographic faultlines. Academy of Management Journal, 48, 645-660.
47. Li, J. & Hambrick, D.C. (2005). Factional groups: A new vantage on demographic faultlines, conflict, and disintegration in work teams. Academy of Management Journal, 48(5), 794-813.
48. Lim, B.C. & Klein, K.J. (2006). Team mental models and team performance: A field study of the effects of team mental model similarity and accuracy. Journal of Organizational Behavior, 27(4), 403-418.
49. Lockett, A., Ucbasaran, D., & Butler, J. (2006). Opening up the investor-investee dyad: Syndicates, teams, and networks. Entrepreneurship Theory and Practice, 30(2), 117-130.
50. MacMillan, I.C., Kulow, D.M., & Khoylian, R. (1989). Venture capitalists' involvement in their investments: Extent and performance. Journal of Business Venturing, 4, 27-47.
51. Manigart, S., Lockett, A., Meuleman, M., Wright, M., Landstrom, H., Bruining, H., etal. (2006). Venture capitalists' decision to syndicate. Entrepreneurship Theory and Practice, 30(2), 131-153.
52. Miller, C.C., Burke, L.M., & Glick, W.H. (1998). Cognitive diversity among upper-echelon executives: Implications for strategic decision process. Strategic Management Journal, 19, 39-58.
53. Mitchell, R.K., Busenitz, L., Bird, B., Gaglio, C.M., McMullen, J.S., Morse, E.A., etal. (2007). The distinctive and inclusive domain of entrepreneurial cognition research. Entrepreneurship Theory and Practice, 31(1), 1-27.
54. Mohammed, S. & Dumville, B.C. (2001). Team mental models in a team knowledge framework: Expanding theory and measure across disciplinary boundaries. Journal of Organizational Behavior, 22, 89-106.
55. Nijstad, B.A., Stroebe, W., & Lodewijkx, H.F.M. (2002). Cognitive stimulation and interference in groups: Exposure effects in an idea generation task. Journal of Experimental Social Psychology, 38, 535-544.
56. Reagans, R. & McEvily, B. (2003). Network structure and knowledge transfer: The effects of cohesion and range. Administrative Science Quarterly, 48(2), 240-267.
57. Sapienza, H.J. (1992). When do venture capitalists add value? Journal of Business Venturing, 7, 9-27.
58. Shah, P.P., Dirks, K.T., & Chervany, N. (2006). The multiple pathways of high performing groups: The interaction of social networks and group processes. Journal of Organizational Behavior, 27, 299-317.
59. Shah, P.P. & Jehn, K.A. (1993). Do friends perform better than acquaintances? The interaction of friendship, conflict and task. Journal of Organizational Behavior, 2, 149-165.
60. Shane, S. (2000). Prior knowledge and the discovery of entrepreneurial opportunities. Organization Science, 11, 448-469.
61. Shane, S. & Cable, D. (2002). Network ties, reputation and the financing of new ventures. Management Science, 48(3), 364-381.
62. Shane, S. & Stuart, T. (2002). Organizational endowments and the performance of university start-ups. Management Science, 48, 154-170.
63. Shepherd, D.A., Ettenson, R., & Crouch, A. (2000). New venture strategy and profitability: A venture capitalist's assessment. Journal of Business Venturing, 15(5-6), 449-467.
64. Steensma, H.K. & Lyles, M.L. (2000). Explaining IJV survival in a transitional economy through social exchange and knowledge-based perspectives. Strategic Management Journal, 21, 831-851.
65. Steier, L. & Greenwood, R. (1995). Venture capitalist relationship in the deal structuring and post-investment stages of new firm creation. Journal of Management Studies, 32(3), 337-357.
66. Tegarden, D.P., Tegarden, L.F., & Sheetz, S.D. (2007). Cognitive factions in a top management team: Surfacing and analyzing cognitive diversity using causal maps. Group Decision and Negotiation, 18(6), 537-566.
67. Thatcher, S.M.B. & Patel, P.C. (2012). Group faultlines: A review, integration, and guide to future research. Journal of Management, 38(4), 969-1009.
68. Tuggle, C.S., Schnatterly, K., & Johnson, R. (2010). Attention patterns in the boardroom: How board composition and processes affect discussion of entrepreneurial issues. Academy of Management Journal, 53(3), 550-571.
69. Turner, J. (1987). Rediscovering the social group: A social categorization theory. Oxford, U.K.: Blackwell.
70. Ucbasaran, D., Lockett, A., Wright, M., & Westhead, P. (2003). Entrepreneurial founder teams: Factors associated with member entry and exit. Entrepreneurship Theory and Practice, 28(2), 107-128.
71. West, G.P. (2007). Collective cognition: When entrepreneurial teams, not individuals, make decisions. Entrepreneurship Theory and Practice, 31(1), 77-102.
72. Wright, M. & Lockett, A. (2003). The structure and management of alliances: Syndication in the venture capital industry. Journal of Management Studies, 40, 2067-2096.
73. Zahra, S.A. (2006). New venture strategies: Transforming caterpillars into butterflies. In S. Parker (Ed.), The life cycle of entrepreneurial ventures (pp. 39-76). New York: Springer.