Imagining and Rationalizing Opportunities: Inductive Reasoning and the Creation and Justification of New Ventures.


We argue that creating novel ventures consists of inductive analogical or metaphorical reasoning, which generates a platform for the creation and commercialization of novel ventures and facilitates the comprehension and justification of a venture. We argue that such inductive reasoning is shaped by two determinants (the applicability of prior entrepreneurial experience and the motivation to resolve uncertainty and acquire legitimacy) that interrelate to predict and explain patterns of analogical and metaphorical reasoning by which novice and experienced entrepreneurs construct meaning for themselves as well as others in the early stages of creating a venture.

Journal or Publication:
Academy of Management Review
Authors:
Joep Cornelissen
john clarke
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Status:
publish
Year Published
2010
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