Abstract
In this paper, we develop a theory and model of organizational founding and the emergence of collective beliefs and strategies. We explicate how collective beliefs, resulting in the formation of new organizations, emerge via three social mechanisms: sorting or matching, interaction, and selection. We specifically highlight how value homophily, social processes, and threshold effects contribute to the actualization (or not) of entrepreneurial beliefs and ideas. Our theory and model highlight not only the emergence of collective beliefs but also the socially interdependent nature of belief realization, choice, and strategy in nascent organizations. Copyright © 2012 John Wiley & Sons, Ltd.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
