CAOT 31 Lecture 38:
11 Oct 2020
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Document Summary
Researchers began turning attention to what entrepreneurs actually do rather than only who they are. Over a long career of founding and running companies, entrepreneurs learn a distinctive style and logic of decision making effectual logic or effectuation . Entrepreneurial expertise defined as more than 10 years of founding experience in multiple firms (at least one taken public) Studies show the more experienced an entrepreneur the more likely he/she is to use effectual logic in the start-up phase. Principles of effectuation both learnable and teachable and have specific consequences for both the performance and the overall development of expertise. Effectual logic helped shape products and business models and their markets (even larger environments) The 5 principles that constitute effectual logic are logically consistent with each other. Expert entrepreneurs turn common belief on its head: to the extend you can control the future, you do not need to predict it.
