New venture dissolution and the comobility of new venture teams

Nazanin Eftekhari and Bram Timmermans ()
Additional contact information
Nazanin Eftekhari: Aalborg University Business School
Bram Timmermans: Aalborg University Business School

Small Business Economics, 2022, vol. 59, issue 1, No 14, 279-298

Abstract: Abstract While the dissolution of new ventures is a common phenomenon in the organizational landscape, it seldom means the end of the road for those involved in the new venture. Nevertheless, most research treats this dissolution with a sense of finality. Using the Danish Integrated Database for Labor Market Research (IDA), we explore the persistence of cofounders and early employees to continue their work relationships after the dissolution of the new venture. We investigate where these team members continue their career and whether they pursue entrepreneurship together in another new venture. Overall, over 18.3% move jointly, and comobility is more prevalent among new venture team members who worked jointly prior to founding the new venture and among those new venture teams demonstrating high levels of homogeneity. Moreover, comovers tend toward small firms, and comobility occurs largely in similar industry. A large share of comovers move to new ventures, which is indicative of serial or habitual new venture teams. This also raises further question on team-level dimension of learning from failure.

Keywords: Failure; Dissolution; Comobility; New Venture Teams; L26; M13; J60; J62; J65 (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://link.springer.com/10.1007/s11187-021-00543-z Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:sbusec:v:59:y:2022:i:1:d:10.1007_s11187-021-00543-z

Ordering information: This journal article can be ordered from
http://www.springer. ... 29/journal/11187/PS2

DOI: 10.1007/s11187-021-00543-z

Access Statistics for this article

Small Business Economics is currently edited by Zoltan J. Acs and David B. Audretsch

More articles in Small Business Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().