41-60 of 232 Results

Article

Wayne F. Cascio

Corporate restructuring occurs when a company makes significant changes to its financial or operational structure, for example, by changing its complement of employees or assets through downsizing or upsizing. A common set of factors drives decisions to restructure, including decisions to divest or to acquire employees, assets, or both. In order of priority, these factors comprise current and prior company performance, managerial foresight, economic conditions, political uncertainty, industry, and technology. Companies typically downsize employees to stop eroding profitability and to increase the likelihood of future profitability. The economic rationale that drives it is straightforward: companies become profitable when revenues exceed costs, an outcome obtained by increasing revenues, decreasing costs, or both. Because future revenues are less predictable and controllable than future costs, decreasing costs is compelling. Managers often do that by reducing the size of the workforce and its associated labor costs. Employee downsizing makes sense when it is a reaction to an emergency, such as the COVID-19 pandemic. Employee downsizing can also be part of a broader workforce strategy designed to adjust workforce competencies to align more closely with the overall strategy of a business. Organizations typically use one or more of four broad methods to downsize their workforces. The simplest is natural attrition. Alternatively, firms may offer buyouts—to individual employees (voluntary severance), to entire business units (corporate restructuring), even to the entire organization. A third strategy is involuntary layoffs—termination—with no choice by the departing employees. Businesses large and small that were hard hit by the pandemic had little or no choice but to use this strategy. A final strategy is early retirement offers, often part of a broader buyout scheme. From an organizational view, early retirement has the advantage of opening up promotion opportunities for younger workers. When firms downsize employees, they incur direct as well as indirect costs. While almost all the direct costs, such as severance pay and accrued vacation, are short-term (realized in the year they are incurred), indirect costs, such as decreased productivity, reduced morale, and aversion to risk among survivors, begin to accrue immediately and may continue for longer periods. When considering alternatives to downsizing employees, decision-makers must first assess if the downturn in business is permanent or temporary. If permanent, the only alternative to layoffs is to upskill, reskill, or retrain employees to develop new lines of business. If temporary, then there are numerous alternative ways to cut costs besides laying off workers. These range from reducing work hours to redeploying workers. A central issue for many stakeholders is the financial consequences of corporate restructuring. Regarding acquisitions, there is little evidence of a net beneficial effect on the performance of the acquirer, as measured by profitability. Rather, such actions often yield a lower rate of return than growth through internal investment. With respect to divestiture of assets, meta-analysis reveals a mixed picture of subsequent performance. Evidence does indicate, however, that different performance effects can be attributed to different conditions of the macroeconomy. With respect to within-company changes in employees, assets, or both, large-scale research reveals that corporate restructuring undertaken during difficult financial conditions, on average, outperforms corporate restructuring undertaken under more benign conditions. An important lesson for managers is to avoid downsizing as a quick fix to restore or enhance profitability. Layoffs are the most frequently employed method of downsizing but provide the smallest payoff. When faced with deteriorating results, it might be more prudent to be patient and to undertake the more demanding and comprehensive downsizing of employees and assets. As for upsizing employees, assets, or both, high-profitability upsizing does not automatically lead to better stock market performance. It tends to yield better results when the company’s performance needs improvement.

Article

Abagail McWilliams

Corporate social responsibility (CSR) is a legitimate responsibility to society, based on the principle that corporations should share some of the benefit that accrues from the control of vast resources. CSR goes beyond the legal, ethical, and financial obligations that create profits. In the research literature, corporate social responsibility is defined in a variety of ways, depending on the aspect of CSR being examined. An inclusive definition is that social responsibility requires the firm to take into account the interests of all stakeholders, where stakeholders are defined as everyone who affects or is affected by the firm’s decisions and actions. A firm-focused definition holds that social responsibility includes actions that further a social goal, beyond what is required by ethics, law, and profitability. A political economy–oriented definition posits that firms have a responsibility to correct market failures such as negative externalities and government failures such as limits to jurisdiction that result in worker rights violations. When implemented, altruistic CSR implies that firms provide a social good unrelated to the firms’ business that does not benefit the bottom line. Strategic CSR implies that firms are simultaneously profitable and socially responsible. To achieve this, CSR must be a core value of the firm and must be integrated into processes and products. When employed strategically, CSR can be an element of a differentiation strategy, leading to premium prices, enhanced brand and firm reputation, and supportive community relations. Corporate environmental responsibility often takes the form of overcompliance with regulation, improving the environment more than is required. A primary benefit of this is to stave off further regulation. To capture the benefits of being socially responsible, the firm must make stakeholders aware of its record. This has led to triple bottom line reporting—that is, reporting about firm performance in terms of profits, people, and the planet. Social enterprises go a step further and make social responsibility the primary goal of the organization.

Article

Steven G. Koven and Abby Perez

Corruption remains a way of life for many cultures and subcultures, an ethos that is often consistent with the goal of corporate profit maximization. Corruption may yield benefits at the personal or individual firm level, but at the societal level corruption is detrimental to aggregate growth, individual effort, and faith in institutions. Corruption, as defined by the Oxford English Dictionary, is dishonest or fraudulent conduct by those in power, typically involving bribery. Corruption exists on a continuum that can range from rampant to minimal. Rampant corruption exists when entire organizations willingly and knowingly promote actions that are injurious to workers, consumers, or society as a whole. Egregious examples include knowingly producing and selling harmful products or ignoring conditions that impair the health and safety of workers. At the other extreme, minimal corruption can include petty violations such as stealing a small amount of office supplies for personal use. Moral, ethical, and legal guides have evolved over time in efforts to ameliorate the most obvious and egregious forms of corruption. These guides are supported by perspectives of philosophy such as utilitarianism, deontology, virtue ethics, intuition, and ethical relativism. Each of these perspectives represent an important and qualitatively different lens in which to assess ethical behavior. While some philosophical viewpoints emphasize the categorical nature of right or wrong action, others emphasize context, net benefits of actions, or individual virtue reflected in individual actions, and perspectives that are systematically reviewed. Philosophical influences are viewed as highly relevant to an understanding of modern-day corruption. Business ethics is also influenced by various competitive and complementary models that compete for influence. While the market model of business ethics has long endured, alternative perspectives of business ethics such as the stakeholder model of corporate social responsibility and the sustainability model have recently arisen in popular discourse and are explored. These alternative models seek to replace or supplement the market model and advocate for a greater recognition of environmental responsibilities as well as responsibilities to a broad array of stakeholders in society such as workers and consumers. Alternative models move beyond the narrow perspective of profit maximization and consider ethical implications of business decisions in terms of their effects on others in society as well as future generations. Various philosophical perspectives of ethics are examined, as well as how these perspectives can be applied to attain a more complete understanding of the concept of corruption.

Article

Michael D. Mumford, Robert Martin, and Samantha N. Elliott

Creative thinking is the basis for innovation in firms. And the need for strategy-relevant innovations has generated a new concern with how people go about solving the kinds of problems that call for creative thought. Although many variables influence people’s ability to provide creative problem solutions, it is assumed the ways in which people work with or process knowledge provides the basis for successful creative problem-solving efforts. Additionally, there has been evidence bearing on the processing activities that contribute to creative problem solving. It is noted that at least eight distinct processing activities are involved in most incidents of creative problem solving: (1) problem definition, (2) information gathering, (3) concept selection, (4) conceptual combination, (5) idea generation, (6) idea evaluation, (7) implementation planning, and (8) adaptive monitoring. There are strategies people employ in effective execution of each of these processes, along with contextual variables that contribute to, or inhibit, effective process execution. Subsequently, there are key variables that operate in the workplace that contribute to, or inhibit, effective execution of these processing operations. These observations, of course, lead to implications for management of innovative efforts in firms.

Article

Critical thinking is more than just fault-finding—it involves a range of thinking processes, including interpreting, analyzing, evaluating, inferencing, explaining, and self-regulating. The concept of critical thinking emerged from the field of education; however, it can, and should, be applied to other areas, particularly to research. Like most skills, critical thinking can be developed. However, critical thinking is also a mindset or a disposition that enables the consistent use and application of critical thought. Critical thinking is vital in business research, because researchers are expected to demonstrate a systematic approach and cogency in the way they undertake and present their studies, especially if they are to be taken seriously and for prospective research users to be persuaded by their findings. Critical thinking can be used in the key stages of many typical business research projects, specifically: the literature review; the use of inductive, deductive, and abductive reasoning and the relevant research design and methodology that follows; and contribution to knowledge. Research is about understanding and explaining phenomena, which is usually the starting point to solve a problem or to take advantage of an opportunity. However, to gain new insights (or to claim to), one needs to know what is already known, which is why many research projects start with a literature review. A literature review is a systematic way of searching and categorizing literature that helps to build the researchers’ confidence that they have identified and recognized prevailing (explicit) knowledge relevant to the development of their research questions. In a literature review, it is the job of the researcher to examine ideas presented through critical thinking and to scrutinize the arguments of the authors. Critical thinking is also clearly crucial for effective reasoning. Reasoning is the way people rationalize and explain. However, in the context of research, the three generally accepted distinct forms of reasoning (inductive, deductive, and abductive) are more analogous to specific approaches to shape how the literature, research questions, methods, and findings all come together. Inductive reasoning is making an inference based on evidence that researchers have in possession and extrapolating what may happen based on the evidence, and why. Deductive reasoning is a form of syllogism, which is an argument based on accepted premises and involves choosing the most appropriate alternative hypotheses. Finally, abductive reasoning is starting with an outcome and working backward to understand how and why, and by collecting data that can subsequently be decoded for significance (i.e., Is the identified factor directly related to the outcome?) and clarified for meaning (i.e., How did it contribute to the outcome?). Also, critical thinking is crucial in the design of the research method, because it justifies the researchers’ plan and action in collecting data that are credible, valid, and reliable. Finally, critical thinking also plays a role when researchers make arguments based on their research findings to ensure that claims are grounded in the evidence and the procedures.

Article

Vincenzo Butticè and Massimo G. Colombo

Fundraising has proved difficult for many entrepreneurs and ventures in the early stages of their businesses because of significant information asymmetries with investors and a lack of collateral. In an attempt to overcome such difficulties, since the early 2010s, some entrepreneurs have come to rely on the Internet in order to directly seek funding from the general public, or the “crowd.” The practice of collecting small amounts of capital from the “crowd” of Internet users is called crowdfunding. Crowdfunding research is a relative newcomer to the discipline of entrepreneurial finance. However, the availability of easy-to-access data, the diffusion of this funding channel among entrepreneurs, and increasing policy attention have made crowdfunding one of the most investigated areas of research in entrepreneurial finance. The literature has discussed crowdfunding as more than a simple mean of financing. Crowdfunding also allows entrepreneurs to develop a virtual community of followers, which provides a valuable source of information with which to test and improve early versions of innovative products. Moreover, crowdfunding represents a method of gaining information about market response to a given product and the size of demand for that product, and is a powerful marketing instrument that can be used to increase brand awareness and to promote the arts, social initiatives, and financial inclusion. However, crowdfunding also entails a number of pitfalls for entrepreneurs. In order to collect financial resources from the crowd, entrepreneurs are required to share sensitive information online. This includes information about the entrepreneurial initiative, the team, and the business model they are using. The provision of this information may facilitate product counterfeiting, or the appropriation of the value of the idea by other firms or entrepreneurs. Moreover, crowdfunding entails the risk of social stigma if the funding campaign results in a failure, because information about the performance of the crowdfunding campaign usually remains accessible online. Finally, crowdfunding entails additional challenges related to the management of the crowd of backers after the campaign, since several backers will be active providers of feedback and will interact with the entrepreneurs through direct communication. Despite these disadvantages crowdfunding has become a widely used funding source for entrepreneurs looking for financing for sustainable projects, creative initiatives, and innovative ideas.

Article

Linus Dahlander and Henning Piezunka

Crowdsourcing—a form of collaboration across organizational boundaries—provides access to knowledge beyond an organization’s local knowledge base. There are four basic steps to crowdsourcing: (a) define a problem, (b) broadcast the problem to an audience of potential solvers, (c) take actions to attract solutions, and (d) select from the set of submitted ideas. To successfully innovate via crowdsourcing, organizations must complete all these steps. Each step requires an organization to make various decisions. For example, organizations need to decide whether its selection is made internally. Organizations must take into account interdependencies among these four steps. For example, the choice between qualitative and quantitative selection mechanisms affects how widely organizations should broadcast a problem and how many solutions they should attract. Organizations must make many decisions, and they must take into account the many interdependencies in each key step.

Article

Discrimination is behaving differently toward people from different social identity groups, such as those based on race, ethnicity, gender, age, or some other category that is not related to the qualifications, contributions, or performance of the target group members. It is usually thought of as unfair and is often illegal. Discrimination has been the subject of substantial research in the social and behavioral sciences. It can entail acting more favorably toward those who have not earned it or less favorably toward those who have, although most of the research focuses on the negative behavior toward less favored groups rather than on the positive behavior toward more favored groups. Although discrimination can occur in many domains, this paper focuses primarily on discrimination in work and organizations. Research on labor market discrimination spans disciplines with most research being done in economics, sociology, psychology, and law, as well as in business or management. Such research has examined differences in access to jobs or employment including hiring and promotion, job rewards such as income and wages, evaluation of performance, treatment on the job from supervisors and coworkers, and unemployment or underemployment. Discrimination may be explicit or overt, but increasingly research has focused on more subtle forms of discrimination that reflect unconscious or implicit biases. Research also considers perceived discrimination. Research on discrimination has examined trends in discriminatory behavior or outcomes for various groups, comparisons across groups in terms of the extent or experience of discrimination, antecedents and the consequences of discrimination, as well as mediators and moderators of discriminatory behavior. Most research on discrimination has found that those from lower status or subordinate groups within any society are more likely to experience negative discrimination, while dominant group members almost always receive more favorable treatment. Although there are variations in terms of circumstance and context, native-born, heterosexual men from higher social classes and from dominant racial or ethnic groups are disproportionately found in the best jobs, with the most authority, and with the highest incomes, while women, racial or ethnic minorities, immigrants, those from working or lower classes, and those who are lesbian, gay, bisexual, or transgender are more likely to suffer adverse discrimination. An increasing emphasis on the intersectionality of social identity recognizes that the labor market experiences of particular people reflect the combination of their multiple identities. Discrimination can be interpersonal, intergroup, organizational, and it can be embedded in structures and institutions.

Article

Elissa L. Perry and Aitong Li

Although defined in numerous and sometimes inconsistent ways in the literature, diversity climate can be described as employees’ shared perceptions of the extent to which their organization values diversity as reflected in the policies, practices, and procedures that the organization rewards, supports, and expects. Diversity climate studied at the individual level (individual perceptions of the impact of the work environment on the individual’s own well-being) is referred to as psychological climate. When it is conceived of and studied at the group or organization level (employees’ shared perceptions of their work environment aggregated to the unit level), it is referred to as group- or organizational-level climate. Two consistent criticisms raised in recent reviews continue to plague diversity climate research. These can most simply be stated as a lack of clarity about what diversity climate is and is not, and inconsistency in how diversity climate is measured and aligns (or does not) with how it has been conceptualized. Despite these criticisms, there is evidence that diversity climate can positively impact individuals’ (especially minority group members’) work-related attitudes (e.g., organizational commitment, satisfaction) and unit-level outcomes (e.g., performance). As a result, diversity climate is both practically relevant to organizations and conceptually meaningful to researchers.

Article

Véronique Ambrosini and Gulsun Altintas

Dynamic managerial capabilities are a form of dynamic capabilities. They are concerned with the role of managers in refreshing and transforming the resource base of the firm so that it maintains and develops its competitive advantage and performance. To do so, managers must develop entrepreneurial activities. These activities consist of sensing and seizing opportunities and transforming the resource base. While most studies focus on the role of top managers and CEOs, entrepreneurial activities can occur throughout the organization. Mid- and lower-level managers can also sense opportunities emanating from the market. Managerial human capital, managerial social capital, and managerial cognition are the three main antecedents to dynamic managerial capabilities.

Article

Kai-Lung Hui and Jiali Zhou

Hacking is becoming more common and dangerous. The challenge of dealing with hacking often comes from the fact that much of our wisdom about conventional crime cannot be directly applied to understand hacking behavior. Against this backdrop, hacking studies are reviewed in view of the new features of cybercrime and how these features affect the application of the classical economic theory of crime in the cyberspace. Most findings of hacking studies can be interpreted with a parsimonious demand-and-supply framework. Hackers decide whether and how much to “supply” hacking by calculating the return on hacking over other opportunities. Defenders optimally tolerate some level of hacking risks because defense is costly. This tolerance can be interpreted as an indirect “demand” for hacking. Variations in law enforcement, hacking benefits, hacking costs, legal alternatives, private defense, and the dual-use problem can variously affect the supply or demand for hacking, and in turn the equilibrium amount of hacking in the market. Overall, it is suggested that the classical economic theory of crime remains a powerful framework to explain hacking behaviors. However, the application of this theory calls for considerations of different assumptions and driving forces, such as psychological motives and economies of scale in offenses, that are often less prevalent in conventional (offline) criminal behaviors but that tend to underscore hacking in the cyberspace.

Article

A social dilemma is a situation in which people face a conflict between maximizing personal interest (noncooperation) and maximizing collective interest (cooperation). Although a noncooperative choice leads to a better individual outcome, when all people do the same, all will be worse off than if all choose to cooperate. Climate “Code Red,” overpopulation, funding for public television, and the depletion of scarce and valuable resources such as forests and fisheries are all typical examples of social dilemmas. A long-lasting theme in the research into social dilemmas is the identification of effective approaches to induce voluntary cooperation. In the past five decades, many strategies have been discovered, with communication, sanction, emotion, and norm formation being the most effective ones. Meanwhile, a personality trait called social value orientation (SVO) demonstrated its stable predictive power of human cooperation in social dilemmas. A close examination of the effects of the strategies and SVO reveals several distinct and common underlying psychological mechanisms, namely, group identity, cooperative norm, expectation of others’ cooperation, and interpersonal trust. These strategies and mechanisms have important implications for future research into social dilemmas because in the age of digitization and social distancing, new forms of social dilemmas that pose enormous challenge to human existence such as online teamwork and organization, global warming, and COVID-19, are emerging and calling for solutions.

Article

To understand and communicate research findings, it is important for researchers to consider two types of information provided by research results: the magnitude of the effect and the degree of uncertainty in the outcome. Statistical significance tests have long served as the mainstream method for statistical inferences. However, the widespread misinterpretation and misuse of significance tests has led critics to question their usefulness in evaluating research findings and to raise concerns about the far-reaching effects of this practice on scientific progress. An alternative approach involves reporting and interpreting measures of effect size along with confidence intervals. An effect size is an indicator of magnitude and direction of a statistical observation. Effect size statistics have been developed to represent a wide range of research questions, including indicators of the mean difference between groups, the relative odds of an event, or the degree of correlation among variables. Effect sizes play a key role in evaluating practical significance, conducting power analysis, and conducting meta-analysis. While effect sizes summarize the magnitude of an effect, the confidence intervals represent the degree of uncertainty in the result. By presenting a range of plausible alternate values that might have occurred due to sampling error, confidence intervals provide an intuitive indicator of how strongly researchers should rely on the results from a single study.

Article

E-learning expands options for teaching and learning using technology. This nomenclature has been solidly in use for the last ten years. The expansive and ever fertile frontier of e-learning—a term used interchangeably with distance and online learning—has become standard fare as an educational delivery solution designed to enhance knowledge and performance. Many educational institutions, corporate enterprises and other entities are utilizing web-based teaching and learning methodologies to deliver education either partially or wholly online using electronic platforms. The learning value chain, including management and delivery, has created multimodal systems, content, and processes to increase accessibility, measurability, and cost effectiveness by infusing advanced learning techniques, such as adaptive learning or communities of practice, among students, employee groups, and lifelong learners. It is interesting to note that e-learning encapsulates internet based courseware and all other asynchronous and synchronous learning, as well as other capabilities for supporting learning experiences. Student success and advancements in technology are now inextricably linked as a result of higher education institutions embracing and offering e-learning options. The absence of direct instructor guidance makes distance learning particularly difficult for some students. Certain students struggle with the lack of guidance inherent in online learning and the requisite need to work independently. In particular, the lack of high touch strategies in e-learning often leads students to drop or fail courses. While some students struggle to remain engaged in technology-enabled learning, technology is often the vehicle for keeping these same students on task. There are a variety of electronic tools designed to augment online learning and keep online learners on task. Podcasts, for example, can be easily downloaded, then played back on a student’s media player or mobile device at a later date. The student is not tied to a computer, which results in a more comprehensive learning experience. In many cases, e-learning has become a very lucrative and desirable marketplace for higher education institutions. The business case for e-learning is a clarion call for tight integration among business, human resources, and knowledge and performance management. Hence, it is incumbent upon educational institutions to instill approaches that focus on the learner, learning, and improved performance, more so than the tools and technology. Of further importance is the need for higher education institutions to provide stratagems for developing and supporting caring online relationships, individualized student environments, collaboration, communication, and e-learning culture. Ultimately, institutions should measure not only improved business and performance, but also improved student online learning aptitudes (more self-motivated, self-directed, and self-assessed learning).

Article

Emotional intelligence (EI) is used in organizational training, coaching, and graduate schools. Despite its acceptance in practical applications, researchers continue to argue about its validity. EI can be defined “as a constellation of components from within a person that enable self-awareness of and management of his/her emotions, and to be aware of and manage the emotions of others.” EI seems to exist at the performance trait or ability, self-schema and trait, and behavioral levels. Based on this multilevel view, all the conceptualizations of EI and the different measures that result are EI. Research on the behavioral level of EI—its assessment, strengths, psychometric validity, and challenges—complements that on other approaches, which have already been the subject of many academic papers.

Article

Cynthia Fisher

There has been an “affective revolution” in organizational behavior since the mid-1990s, focusing initially on moods and affective dispositions. The past decade has seen a further shift toward investigating the complex roles played by discrete emotions in the workplace. Discrete emotions such as fear, anger, boredom, love, gratitude, and pride have their own appraisal antecedents, subjective experiences, and action tendencies that prepare people to respond to their current situation. Emotions have intrapersonal effects on the person experiencing them in terms of attention, motivation, creativity, information processing and judgment, and well-being. Some emotions have characteristic voice tones or facial expressions that serve the interpersonal function of communicating one’s state to interaction partners. For this reason, emotions are integral to social processes in organizations such as leadership, teamwork, negotiation, and customer service. The effects of emotions on behavior can be complex and context-dependent rather than straightforwardly mechanistic. Individuals may regulate the emotions they experience, the extent to which they display what they feel, and the actions they choose in response to how they feel. Research has tended to focus on negative emotions (e.g., anger or anxiety) and their potential negative effects (e.g., aggression or avoidance), but negative emotions can sometimes have positive consequences. Discrete positive emotions have been relatively ignored in organizational research but feeling and expressing positive emotions often have positive consequences. There is considerable scope for investigating the ways in which specific discrete emotions are experienced, regulated, expressed, and acted upon in organizational life. There may also be a case for intentional efforts by organizations and employees to increase the occurrence of positive emotions at work.

Article

Edoardo Della Torre, Alessia Gritti, and Adrian Wilkinson

Employee voice (EV) refers to all the ways and means through which employees have a say in the decisions that affect their work and the overall running of their organization. It involves different domains and topics and occurs through a variety of channels (direct and indirect, formal and informal, individual and collective). The main distinction is between direct voice channels, through which employees have the opportunity to express their ideas and opinions directly to managers without the mediation of representatives, and indirect voice channels, through which EV is expressed by representatives, usually elected from the wider group of employees. Since the last decades of the 20th century, EV has become a central topic in human resource management (HRM), industrial relations, (IR) and organizational behavior (OB) literature, providing researchers and practitioners with an extensive and ever-increasing amount of knowledge. However, each discipline has created its own conceptualization of the meanings of and purposes for EV, leading EV to become a contested terrain, characterized by research silos and competing literatures. While the OB perspective concentrates on the informal and prosocial nature of individual EV, the IR approach is mainly focused on formal structures for collective EV and the contrasting interests of management and workers, and the HRM approach tends to emphasize the role of direct EV as a component of the wider HRM systems that may generate higher organizational outcomes. Integrative approaches that can bring together different disciplinary perspectives are therefore required for a more comprehensive understanding of how EV takes shape in organizations and affects individual and organizational outcomes. Greater attention should also be paid to the multidimensionality of EV, investigating further how it relates to employee silence and to other phenomena, such as ethical employee voice and whistle-blowing. Finally, little is known about the emerging forms of EV related to workplace digitalization and working remotely.

Article

Matthew R. Marvel

Entrepreneur coachability is the degree to which an entrepreneur seeks, carefully considers, and integrates feedback to improve a venture’s performance. There is increasing evidence that entrepreneur coachability is important for attracting the social and financial resources necessary for venture growth. Although entrepreneur coachability has emerged as an especially relevant construct for practitioners, start-up ecosystem leaders, and scholars alike, research on this entrepreneurial behavior is in its infancy. What appears to be a consistent finding across studies is that some entrepreneurs are more coachable than others, which affects downstream outcomes—particularly resource acquisition. However, there are sizable theoretical and empirical gaps that limit our understanding about the value of coachability to entrepreneurship research. As a body of literature develops, it is useful to take inventory of the work that has been accomplished thus far and to build from the lessons learned to identify insightful new directions. The topic of entrepreneur coachability has interdisciplinary appeal, and there is a surge of entrepreneur coaching taking place across start-up ecosystems. Research on coaching is diverse, and scholarship has developed across the academic domains of athletics, marketing, workplace coaching, and entrepreneurship. To identify progress to date, promising research gaps, and paths for future exploration, the literature on entrepreneur coachability is critically reviewed. To consider the future development of entrepreneur coachability scholarship, a research agenda is organized by the antecedents of entrepreneurship coachability, outcomes of entrepreneur coachability, and how entrepreneur–coach fit affects learning and development. Future scholarship is needed to more fully explore the antecedents, mechanisms, and/or consequences of entrepreneur coachability. The pursuit and development of this research stream represent fertile ground for meaningful contributions to entrepreneurship theory and practice.

Article

Pierluigi Martino, Greg Bell, Abdul A. Rasheed, and Cristiano Bellavitis

Entrepreneurial finance includes a wide array of sources of capital, such as venture capital, angel investors, equity, and debt finance, along with new forms of financing through crowdfunding and initial coin offerings. Providers of funds to entrepreneurial ventures, whether they are venture capitalists, angel investors, debt holders, or participants in crowdfunding face similar agency problems, such as moral hazard and adverse selection. There are considerable differences across investors in terms of their objectives, risk-bearing capacity, and time horizons, as well as in their motivation and ability to monitor the firms in which they invest. These differences give rise to governance challenges associated with each source of entrepreneurial finance.

Article

The pursuit of entrepreneurship is often characterized by high levels of struggle and adversity, and even those who ultimately succeed in their entrepreneurial endeavors routinely experience failures and setbacks along the way. Therefore, it is likely that individuals who are more skilled at coping with, and conquering, such obstacles in their quest for success are more apt to enter, and be successful at, entrepreneurial careers. While several factors contribute to an individual’s ability to persevere through adversity and to continue to work to accomplish long-term goals, individual grit has garnered an increasing level of attention as a key element in such persistence, particularly in entrepreneurial contexts. Grit, conceptualized as an individual’s passion and perseverance in the pursuit of accomplishing long-term goals, can play several roles in the entrepreneurial process. While grit is a potential outcome of entrepreneurial passion, it also has important associations with several key entrepreneurial outcomes. For instance, given that entrepreneurship is linked with risk-taking, grit is an asset for individuals who chase entrepreneurial opportunities. Higher levels of risk incur a greater likelihood of failure, and the ability to persist with entrepreneurial initiatives in the face of failures is potentially bolstered by high levels of grit. Furthermore, persistence against adversity can often translate into improved venture performance as a result of entrepreneurs’ continued, focused efforts at developing and improving their new venture. Furthermore, grit may play an even more important role for individuals who face heightened levels of adversity during their entrepreneurial careers. Women and younger individuals often experience unique challenges that their counterparts who are men or older do not have to face. Therefore, having high levels of grit may be an advantage in women and youth. While the relationship between grit and entrepreneurship has gained considerable momentum as a topic of scholarly interest, there are important avenues available for future research to further develop understanding of the topic.