Innovation and Effectiveness of Co-Founded Ventures: A Process Model

Journal of Business and Psychology

Volumn 29, Issue 1, 2014, Pages 145-159

  Hill, Aaron D ^a   Craig Wallace, J ^a   Ridge, Jason W ^b   Johnson, Paul D ^c   Paul, Jeffrey B ^d   Suter, Tracy A ^a  

^a OKLAHOMA STATE UNIVERSITY   (United States)

^b CLEMSON UNIVERSITY   (United States)

^c WESTERN CAROLINA UNIVERSITY   (United States)

^d ILLINOIS STATE UNIVERSITY   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 84893871628     PISSN: 08893268     EISSN: None     Source Type: Journal    
DOI: 10.1007/s10869-013-9306-9     Document Type: Article

References (127)

1. Aime, F., Johnson, S., Ridge, J. W., & Hill, A. D. (2010). The routine may be stable but the advantage is not: Competitive implications of key employee mobility. Strategic Management Journal, 31, 75-87.
2. Aldrich, H. E. (1999). Organizations evolving. London: Sage.
3. Anderson, N. R., & West, M. A. (1998). Measuring climate for work group innovation: Development and validation of the team climate inventory. Journal of Organizational Behavior, 19, 235-258.
4. Argote, L., Gruenfeld, D., & Naquin, C. Group learning in organizations. (2001). In M. Turner (Ed.), Groups at work: Theory and research. Mahwah, NJ: Erlbaum: 369-412.
5. Argyris, C., & Schon, D. (1978). Organizational learning: A theory of action perspective. Reading, MA: Addison-Wesley.
6. Armstrong, S. J., & Hird, A. (2009). Cognitive style and entrepreneurial drive of new and mature business owner-managers. Journal of Business and Psychology, 24(4), 419-430.
7. Audia, P., Locke, E., & Smith, K. (2000). The paradox of success: An archival and a laboratory study of strategic persistence following radical environmental change. Academy of Management Journal, 43, 837-853.
8. Bandura, A. (1982). Self-efficacy mechanism in human agency. American Psychologist, 37, 122-147.
9. Bandura, A. (1986). Social foundations of thought and action. Englewood Cliffs, NJ: Prentice-Hall.
10. Bandura, A. (1997). Self-efficacy: The exercise of control. New York: WH Freeman.
11. Baron, R. A. (2007). Behavioral and cognitive factors in entrepreneurship: Entrepreneurs as the active element in new venture creation. Strategic Entrepreneurship Journal, 1(1), 167-182.
12. Baron, R. A., & Tang, J. T. (2009). Entrepreneurs' social skills and new venture performance: Mediating mechanisms and cultural generality. Journal of Management, 35(1), 282-306.
13. Baum, J., Frese, M., & Baron, R. A. (2007). The psychology of entrepreneurship. Maywah, NJ: Erlbaum.
14. Baum, J., & Locke, E. (2004). The relationship of entrepreneurial traits, skill, and motivation to subsequent venture growth. Journal of Applied Psychology, 89, 587-598.
15. Beckman, C. M., & Burton, M. D. (2008). Founding the future: Path dependence in the evolution of top management teams from founding to IPO. Organization Science, 19(1), 3-24.
16. Bliese, P. D. (2000). Within-group agreement, non-independence, and reliability: Implications for data aggregation and analysis. In K. J. Klein (Ed.), Multilevel theory, research, and methods in organizations: Foundations, extensions, and new directions (pp. 349-381). San Francisco, CA: Jossey-Bass.
17. Bliese, P. D., & Halverson, R. R. (1998). Group size and measures of group-level properties: An examination of eta-squared and ICC values. Journal of Management, 24, 157-172.
18. Boone, C., van Olffen, W., & van Witteloostuijn, A. (2005). Team locus-of-control composition, leadership structure, information acquisition, and financial performance: A business simulation study. Academy of Management Journal, 48, 889-909.
19. Bosma, N., van Praag, M., Thurik, R., & de Wit, G. (2004). The value of human and social capital investments for the business performance of startups. Small Business Economics, 23(3), 227-240.
20. Bowen, D., & Ostroff, C. (2004). Understanding HRM-firm performance linkages: The role of the' strength' of the HRM system. Academy of Management Review, 29, 203-221.
21. Brown, J., & Duguid, P. (1991). Organizational knowledge and communities of practice. Organization Science, 2, 40-57.
22. Cakar, N. D., & Erturk, A. (2010). Comparing innovation capability of small and medium-sized enterprises: Examining the effects of organizational culture and empowerment. Journal of Small Business Management, 48(3), 325-359.
23. Campion, M. A., & McClell, C. L. (1993). Follow-up extension of the interdisciplinary costs and benefits of enlarged jobs. Journal of Applied Psychology, 78, 339-351.
24. Castrogiovanni, G. J. (1996). Pre-startup planning and the survival of new small businesses: Theoretical linkages. Journal of Management, 22, 801-822.
25. Chahine, S., Filatochev, I., & Zahra, S. A. (2011). Building perceived quality of founder-involved IPO firms: Founders' effects on board selection and stock market performance. Entrepreneurship Theory and Practice, 35(2), 319-335.
26. Chandler, G., Honig, B., & Wiklund, J. (2005). Antecedents, moderators, and performance consequences of membership change in new venture teams. Journal of Business Venturing, 20, 705-725.
27. Chen, G. L., & Bliese, P. D. (2002). The role of different levels of leadership in predicting self- and collective efficacy: Evidence for discontinuity. Journal of Applied Psychology, 87, 549-556.
28. Chen, C., Greene, P., & Crick, A. (1998). Does entrepreneurial self-efficacy distinguish entrepreneurs from managers? Journal of Business Venturing, 13, 295-316.
29. Chen, G., & Kanfer, R. (2006). Toward a systems theory of motivated behavior in work teams. Research in Organizational Behavior, 27, 223-267.
30. Chen, G., Kirkman, B. L., Kanfer, R., Allen, D., & Rosen, B. (2007). A multilevel study of leadership, empowerment, and performance in teams. Journal of Applied Psychology, 92, 331-346.
31. Chen, G., Thomas, B., & Wallace, J. (2005). A multilevel examination of the relationships among training outcomes, mediating regulatory processes, and adaptive performance. Journal of Applied Psychology, 90, 827-840.
32. Chesney, A., & Locke, E. (1991). Relationships among goal difficulty, business strategies, and performance on a complex management simulation task. Academy of Management Journal, 34(2), 400-424.
33. DeDreu, C. K. W. (2006). When too little or too much hurts: Evidence for a curvilinear relationship between task conflict and innovation in teams. Journal of Management, 32, 83-107.
34. DeDreu, C. K. W. (2007). Cooperative outcome interdependence, task reflexivity, and team effectiveness: A motivated information processing perspective. Journal of Applied Psychology, 92, 628-638.
35. Delmar, F., & Shane, S. (2003). Does business planning facilitate the development of new ventures? Strategic Management Journal, 24(12), 1165-1185.
36. Delmar, F., & Shane, S. (2006). Does experience matter? The effect of founding team experience on the survival and sales of newly founded ventures. Strategic Organization, 4(3), 215-247.
37. DeRue, D., Hollenbeck, J., Johnson, M., Ilgen, D., & Jundt, D. (2008). How different team downsizing approaches influence team-level adaptation and performance. Academy of Management Journal, 51, 182-196.
38. Deutsch, M., & Krauss, R. (1962). Studies of interpersonal bargaining. Journal of Conflict Resolution, 6, 52-76.
39. Earley, P. (1993). East meets West meets Mideast: Further explorations of collectivistic and individualistic work groups. Academy of Management Journal, 36, 319-348.
40. Edmondson, A. (1999). Psychological safety and learning behavior in work teams. Administrative Science Quarterly, 44, 350-383.
41. Edmondson, A. C. (2002). The local and variegated nature of learning in organizations: A group-level perspective. Organization Science, 13, 128-146.
42. Edmondson, A. C., Bohmer, R. M., & Pisano, G. P. (2001). Disrupted routines: Team learning and new technology implementation in hospitals. Administrative Science Quarterly, 46, 685-716.
43. Edwards, B. D., & Arthur, W. (2007). An examination of factors contributing to a reduction in subgroup differences on a constructed response paper-and-pencil test of scholastic achievement. Journal of Applied Psychology, 92, 794-801.
44. Eisenhardt, K. M., & Schoonhoven, C. B. (1990). Organizational growth: Linking founding team, strategy, environment, and growth among U. S. semiconductor ventures 1978-1988. Administrative Science Quarterly, 35(3), 504-529.
45. Ensley, M. D., Carland, J. W., & Carland, J. C. (2000). Investigating the existence of the lead entrepreneur. Journal of Small Business Management, 38(4), 59-77.
46. Feldman, M. S. (2004). Resources in emerging structures and processes of change. Organization Science, 15, 295-309.
47. Ford, J. K., Smith, E. M., Weissbein, D. A., Gully, S. M., & Salas, E. (1998). Relationships of goal orientation, metacognitive activity, and practice strategies with learning outcomes and transfer. Journal of Applied Psychology, 83, 218-233.
48. George, G., Sleeth, R. G., & Siders, M. A. (1999). Organizing culture: Leader roles, behaviors, and reinforcement mechanisms. Journal of Business and Psychology, 13(4), 545-560.
49. Gibson, C. B. (2001). Me and us: Differential relationships among goal-setting training, efficacy and effectiveness at the individual and team level. Journal of Organizational Behavior, 22, 789-808.
50. Gibson, C. B., & Earley, P. C. (2007). Collective cognition in action: Accumulation, interaction, examination, and accommodation in the development and operation of group efficacy beliefs in the workplace. Academy of Management Review, 32, 438-458.
51. Gibson, C., & Vermeulen, F. (2003). A healthy divide: Subgroups as a stimulus for team learning behavior. Administrative Science Quarterly, 48, 202-239.
52. Gilbert, B. A., McDougall, P. P., & Audretsch, D. B. (2006). New venture growth: A review and extension. Journal of Management, 32, 926-950.
53. Gimeno, J., Folta, T., Cooper, A., & Woo, C. (1997). Survival of the fittest? Entrepreneurial human capital and the persistence of underperforming firms. Administrative Science Quarterly, 42, 750-783.
54. Gong, Y. P. (2003). Toward a dynamic process model of staffing composition and subsidiary outcomes in multinational enterprises. Journal of Management, 29, 259-280.
55. Gully, S. M., Incalcaterra, K. A., Joshi, A., & Beaubien, J. M. (2002). A meta-analysis of team-efficacy, potency, and performance: Interdependence and level of analysis as moderators of observed relationships. Journal of Applied Psychology, 87, 819-832.
56. Guzzo, R. A., & Dickson, M. W. (1996). Teams in organizations: Recent research on performance and effectiveness. Annual Review of Psychology, 47, 307-338.
57. Hackman, J., & Morris, C. (1975). Team tasks, team interaction process, and team performance effectiveness: A review and proposed integration. Advances in Experimental Social Psychology, 8, 45-99.
58. Hambrick, D. C. (2007). Upper echelons theory: An update. Academy of Management Review, 32, 334-343.
59. Hayes, A. F. (2013). An introduction to mediation, moderation, and conditional process analysis: A regression-based approach. New York: Guilford Press.
60. Hochwarter, W. A., Witt, L. A., Treadway, D. C., & Ferris, G. R. (2006). The interaction of social skill and organizational support on job performance. Journal of Applied Psychology, 91, 482-489.
61. Ilgen, D. R., Hollenbeck, J. R., Johnson, M., & Jundt, D. (2005). Teams in organizations: From I-P-O models to IMOI models. Annual Review of Psychology, 56, 517-543.
62. Isabella, L. A., & Waddock, S. A. (1994). Top management team certainty-Environmental assessments, teamwork, and performance implications. Journal of Management, 20, 835-858.
63. Jack, S., & Anderson, A. (2002). The effects of embeddedness on the entrepreneurial process. Journal of Business Venturing, 17, 467-487.
64. James, L. R., Demaree, R. G., & Wolf, G. (1984). Estimating within-group interrater reliability with and without response bias. Journal of Applied Psychology, 69, 85-98.
65. Jensen, M., & Zajac, E. J. (2004). Corporate elites and corporate strategy: How demographic preferences and structural position shape the scope of the firm. Strategic Management Journal, 25(6), 507-524.
66. Johnson, S. K., Holladay, C. L., & Quinones, M. A. (2009). Organizational citizenship behavior in performance evaluations: Distributive justice or injustice? Journal of Business and Psychology, 24(4), 409-418.
67. Johnson, P. D., Shull, A. S., & Wallace, J. C. (2010). Regulatory focus as mediator in goal orientation and performance relationships. Journal of Applied Psychology, 32, 751-766.
68. Joreskog, K. G., & Sorbom, D. (1993). New features in LISREL (Vol. 8). Chicago, IL: Scientific Software.
69. Joshi, A., Liao, H., & Roh, H. (2011). Bridging domains in workplace demography research: A review and reconceptualization. Journal of Management, 37, 521-552.
70. Kanfer, R. (1990). Motivation theory and industrial and organizational psychology. In M. Dunnette (Ed.), Handbook of industrial and organizational psychology (Vol. 1, pp. 75-170). Palo Alto, CA: Consulting Psychologists Press.
71. Kanfer, R. (1992). Work motivation: New directions in theory and research. In C. L. Cooper & I. T. Robertson (Eds.), International review of industrial and organizational psychology (Vol. 7, pp. 1-53). London: Wiley.
72. Keupp, M. M., & Gassmann, O. (2009). The past and the future of international entrepreneurship: A review and suggestions for developing the field. Journal of Management, 35, 600-633.
73. King, E. B., DeChermont, K., West, M., Dawson, J. F., & Hebl, M. R. (2007). How innovation can alleviate negative consequences of demanding work contexts: The influence of climate for innovation on organizational outcomes. Journal of Occupational and Organizational Psychology, 80, 631-645.
74. Kivimaki, M., & Elovainio, M. (1999). A short version of the team climate inventory: Development and psychometric properties. Journal of Occupational and Organizational Psychology, 72, 241-246.
75. Kozlowski, S., Gully, S., Brown, K., Salas, E., Smith, E., & Nason, E. (2001). Effects of training goals and goal orientation traits on multidimensional training outcomes and performance adaptability. Organizational Behavior and Human Decision Processes, 85, 1-31.
76. Kuenzi, M., & Schminke, M. (2009). Assembling fragments into a lens: A review, critique, and proposed research agenda for the organizational work climate literature. Journal of Management, 35, 634-717.
77. Lindsley, D. H., Brass, D. J., & Thomas, J. B. (1995). Efficacy-performance spirals: A multilevel Perspective. Academy of Management Review, 20, 645-678.
78. Markman, G., & Baron, R. (2003). Person-entrepreneurship fit: Why some people are more successful as entrepreneurs than others. Human Resource Management Review, 13, 281-301.
79. Markman, G., Baron, R., & Balkin, D. (2005). Are perseverance and self-efficacy costless? Assessing entrepreneurs' regretful thinking. Journal of Organizational Behavior, 2005, 26.
80. Marks, M. A., Sabella, M. J., Burke, C. S., & Zaccaro, S. J. (2002). The impact of cross-training on team effectiveness. Journal of Applied Psychology, 87, 3-13.
81. Mathieu, J. E., Gilson, L. L., & Ruddy, T. R. (2006). Empowerment and team effectiveness: An empirical test of an integrated model. Journal of Applied Psychology, 91, 97-108.
82. Mathieu, J., & Rapp, T. (2009). Laying the foundation for successful team performance trajectories: The roles of team charters and performance strategies. Journal of Applied Psychology, 94, 90-103.
83. McMullen, J. S., & Shepherd, D. A. (2006). Entrepreneurial action and the role of uncertainty in the theory of the entrepreneur. Academy of Management Review, 31(1), 132-152.
84. Mitchell, R. K., Busenitz, L., Lant, T., McDougall, P. P., Morse, E. A., & Smith, J. B. (2002). Toward a theory of entrepreneurial cognition: Rethinking the people side of entrepreneurship research. Entrepreneurship Theory and Practice, 27(2), 93-104.
85. Mitchell, T. R., & Daniels, D. (2003). Motivation. In W. C. Borman & D. R. Ilgen (Eds.), Handbook of psychology, industrial and organizational psychology (Vol. 12, pp. 225-254). New York: Wiley.
86. Morel, L. A., & Krishnan, R. (1998). Training people to work in groups. In R. S. Tindale, L. Heath, J. Edwards, E. J. Posavac, F. B. Bryant, Y. Suarez-Balcazar, E. Henderson-King, & J. Myers (Eds.), Theory and research on small groups (pp. 37-60). New York: Plenum.
87. Moreland, R. L. (2010). Are dyads really groups? Small Group Research, 41(2), 251-267.
88. Morgeson, F. P., & Hofmann, D. A. (1999). The structure and function of collective constructs: Implications for multilevel research and theory development. Academy of Management Review, 24, 249-265.
89. O'Connell, M. S., Hattrup, K., Doverspike, D., & Cober, A. (2002). The validity of 'mini' simulations for Mexican retail salespeople. Journal of Business and Psychology, 16(4), 593-599.
90. Parks, M. R. (1977). Relational communication: Theory and research. Human Communication Research, 3, 372-381.
91. Pearsall, M. J., & Ellis, A. P. J. (2006). The effects of critical team member assertiveness on team performance and satisfaction. Journal of Management, 32, 575-594.
92. Phillips, J. M., & Gully, S. M. (1997). Role of goal orientation, ability, need for achievement, and locus of control in the self-efficacy and goal setting process. Journal of Applied Psychology, 82, 792-802.
93. Preacher, K. J., & Hayes, A. F. (2004). SPSS and SAS procedures for estimating indirect effects in simple mediation models. Behavioral Research Methods, Instruments, & Computers, 36, 717-731.
94. Raver, J. L., & Gelfand, M. J. (2005). Beyond the individual victim: Linking sexual harassment, team processes, and team performance. Academy of Management Journal, 48, 387-400.
95. Richardson, H. A., & Vandenberg, R. J. (2005). Integrating managerial perceptions and transformational leadership into a work-unit level model of employee involvement. Journal of Organizational Behavior, 26, 561-589.
96. Rutherford, M. W., & Buller, P. F. (2007). Searching for the legitimacy threshold. Journal of Management Inquiry, 16, 78-92.
97. Salas, E., Dickinson, T. D., Converse, S. A., & Tannenbaum, S. I. (1992). Toward an understanding of team performance and training. In R. W. Swezey & E. Salas (Eds.), Teams: Their training and performance. Norwood, NJ: Ablex.
98. Schminke, M. (1990). Computer-based job simulation: A complementary approach to organizational research. Journal of Business and Psychology, 4(3), 293-315.
99. Seers, A. (1989). Team-member exchange quality: A new construct for role-making research. Organizational Behavior and Human Decision Processes, 43, 118-135.
100. Seers, A., Petty, M. M., & Cashman, J. F. (1995). Team-member exchange under team and traditional management: A naturally occurring quasi-experiment. Group and Organization Management, 20, 18.
101. Shane, S. (2003). A general theory of entrepreneurship: The individual-opportunity nexus approach to entrepreneurship. Cheltenham, UK: Edward Elgar.
102. Shane, S. (2008). The illusions of entrepreneurship: The costly myths that entrepreneurs, investors, and policy makers live by. London: Yale University Press.
103. Shane, S., & Stuart, T. (2002). Organizational endowments and the performance of university start-ups. Management Science, 48(1), 154-170.
104. Shook, C. L., Priem, R. L., & McGee, J. E. (2003). Venture creation and the enterprising individual: A review and synthesis. Journal of Management, 29, 379-399.
105. Shrout, P. E., & Bolger, N. (2002). Mediation in experimental and nonexperimental studies: New procedures and recommendations. Psychological Methods, 7, 422-445.
106. Simon, H. A. (1947). Administrative behavior: A study of decision-making processes in administrative organizations. Chicago: MacMillan.
107. Stajkovic, A., Lee, D., & Nyberg, A. (2009). Collective efficacy, group potency, and group performance: Meta-analyses of their relationships, and test of a mediation model. Journal of Applied Psychology, 94, 814.
108. Tasa, K., Taggar, S., & Seijts, G. (2007). The development of collective efficacy in teams: A multilevel and longitudinal perspective. Journal of Applied Psychology, 92, 17-27.
109. Tesluk, P., Zaccaro, S. J., Marks, M. A., & Mathieu, J. E. (1997). Task and aggregation issues in analysis and assessment of team performance. In M. T. Brannick, E. Salas, & C. Prince (Eds.), Team performance assessment and measurement: Theory, methods and applications (pp. 197-224). Mahwah, NJ: Erlbaum.
110. Thibaut, J. W., & Kelley, H. H. (1986). The social pyschology of groups (pp. 100-125). New Brunswick, NJ: Transaction Books.
111. Tierney, P., & Farmer, S. M. (2004). The Pygmalion process and employee creativity. Journal of Management, 30, 413-432.
112. Tjosvold, D. (1991). The conflict-positive organization: Stimulate diversity and create unity. Reading, MA: Addison-Wesley.
113. van den Bossche, P., Gijselaers, W., Segers, M., & Kirschner, P. (2006). Social and cognitive factors driving teamwork in collaborative learning environments: Team learning beliefs and behaviors. Small Group Research, 37, 490.
114. Waddock, S. A., & Isabella, L. A. (1989). Strategy, beliefs about the environment, and performance in a banking simulation. Journal of Management, 15, 617-632.
115. Wallace, J. C., Edwards, B., Mondore, S. P., & Finch, D. M. (2008). The interactive effects of litigation intentions and procedural justice climate on employee-employer litigation charges. Journal of Managerial Issues, 20, 313-326.
116. Wallace, J. C., Johnson, P. D., Mathe, K., & Paul, J. (2011). Structural and psychological empowerment climates, performance, and the moderating role of shared felt accountability: A managerial perspective. Journal of Applied Psychology, 96(4), 840-850.
117. Wallace, J. C., Popp, E., & Mondore, S. (2006). Safety climate as a mediator between foundation climates and occupational accidents: A group-level investigation. Journal of Applied Psychology, 91, 681-688.
118. Wang, C., & Wu, L. (2012). Team member commitments and start-up competitiveness. Journal of Business Research, 65, 708-715.
119. Wasserman, N. (2008). The founder's dilemma. Harvard Business Review, 86(2), 102-109.
120. Watson, W. E., Ponthieu, L. D., & Critelli, J. W. (1995). Team interpersonal process effectiveness in venture partnerships and its connection to perceived success. Journal of Business Venturing, 10, 393-411.
121. West, M. A. (1990). The social psychology of innovation in groups. In M. A. West & J. L. Farr (Eds.), Innovation and creativity at work: Psychological and organizational strategies (pp. 309-333). Chichester: Wiley.
122. West, M. A., & Farr, J. L. (1990). Innovation and creativity at work: Psychological and organizational strategies (pp. 309-333). Chichester: Wiley.
123. Williams, K. D. (2010). Dyads can be groups (and often are). Small Group Research, 41, 268-274.
124. Witt, P. (2004). Entrepreneurs' networks and the success of start-ups. Entrepreneurship and Regional Development, 16, 391-412.
125. Wolff, J. A., & Pett, T. L. (2006). Small-firm performance: Modeling the role of product and process improvements. Journal of Small Business Management, 44(2), 268-284.
126. Zahra, S. A., Neubaum, D. O., & El-Hagrassey, G. M. (2002). Competitive analysis and new venture performance: Understanding the impact of strategic uncertainty and venture origin. Entrepreneurship: Theory and Practice, 27, 1-28.
127. Zohar, D. (2000). A group-level model of safety climate: Testing the effect of group climate on micro-accidents in manufacturing jobs. Journal of Applied Psychology, 85, 587-596.