Breaking the Cognitive Dimension of Local Path Dependence: an Entrepreneurial Perspective

Abstract

Few attempts have been made to consider the role of individual activities in path dependence. The purpose of this paper is to analyse how local entrepreneurial activities can lead to a break in the cognitive local path. The theoretical framework rests on the literature on path dependence, but focuses mainly on cognitive frames as carriers of path‐dependent behaviour. A qualitative case study has been used to analyse the formation and breaking of a local cognitive path through individual activities. Four main conclusions can be drawn. First, cognitive paradigms explain why the degree of adaptability differs between locations. Second, external shocks are translated to local change through individual activities. Third, acknowledging cognitive barriers to individual behaviour, the important role of outsiders is highlighted for breaking the cognitive path. Fourth, the long durability of cognitive paradigms and the importance of outsiders suggest the emergence of a parallel, alternative cognitive path.