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Degree of innovation and the entrepreneurs’ intention to create value: a comparative study of experienced and novice entrepreneurs

Amir Emami () and Dimo Dimov ()
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Amir Emami: Politecnico di Torino
Dimo Dimov: University of Bath

Eurasian Business Review, 2017, vol. 7, issue 2, 161-182

Abstract: Abstract A vital aspect of entrepreneurial action is the translation of entrepreneur’s opportunity into new value creation. This paper examines the moderating roles of the founder’s experience and innovation degree on the relationship between opportunity confidence and new value creation intention (NVCI) at the pre-founding stage of a business. For this purpose, it uses survey data from 157 prospective entrepreneurs in the ICT industry from university incubators in Iran. Using SEM, we find that experience, alone, does not moderate the relationship between opportunity confidence and NVCI. However, if entrepreneurs have required opportunity confidence, then medium and high-level innovation can increase the likelihood of acting on the opportunity for novice and experienced entrepreneurs, respectively. For novice entrepreneurs, the innovation variance from low to medium moderates the relationship between opportunity confidence and intent. In fact, this relationship is strengthened by the medium novelty level. Whereas, for experienced entrepreneurs, the variance from medium to high, moderates the relationship that is strengthened by the high novelty level.

Keywords: Entrepreneurial intention; Entrepreneurial expertise; Innovation degree; Opportunity confidence; L26; N75; Q31 (search for similar items in EconPapers)
Date: 2017
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Handle: RePEc:spr:eurasi:v:7:y:2017:i:2:d:10.1007_s40821-016-0068-y