097657 Organizations and Entrepreneurship

Organizations and Entrepreneurship

Credits: 2.5

Course objectives

Entrepreneurship is a crucial engine for economic development, however, it is known for its complexity. The course focuses on entrepreneurship theory from economic, sociological and psychological points of view. During the course we will seek to get some answers to the following questions:

  • What explains entrepreneurs’ intentions and actions?
  • What distinguishes ideas from real opportunities? What are the differences between opportunity identification/recognition, examination and exploitation?
  • What is the role of entrepreneurial passion and identities in establishing and managing new ventures?
  • How entrepreneurs affect and psychological characteristics influence their intentions and actions?
  • How do entrepreneurs make decisions to start ventures? What are the determinants of entrepreneurial persistence?
  • What are the criteria for external investors? How do venture capital investments make a difference?
  • How can we explain entrepreneurial failures?
  • What are the key differences between business and social entrepreneurship?

Teaching method

The course will be based on multiple teaching methods. Beside theoretical presentations the course will use discussions of readings from academic and management journals, simulations, movies and guests lecturers. As part of the session in creativity and innovation, each student will be able to examine his/her entrepreneurial orientation, regulatory focus and entrepreneurial intentions.

Course requirements:

  • Participation and contribution to class discussions. Students are required to appear to at least 80% of the sessions.
  • Fulfilling of a self-assessment questionnaire.
  • Presentation of HBR papers in class.
  • Analysis of two case studies analysis (approximately 2 pages each).
  • Writing a final paper based on case study analysis of an entrepreneurial firm (instruction will be delivered by the middle of the semester).

Course assignments:


Assignment Description Submission date Grade
Oral presentation in class A presentation of HBR a recent paper about dilemmas in entrepreneurship (from a provided papers list) 10%
Case study analysis (HBR) To be determined 20%
Case study analysis (HBR) To be determined 20%
Final paper The final paper will be based on a case analysis of a high-tech venture and interviews with the lead entrepreneur and an external financier. 50%



Text books

Baron, R.A. (2012). Entrepreneurship: An evidence-based guide. UK: Edward Elgar Publishing.


Bygrave, W., & Zacharakis, A. (2011), Entrepreneurship, Second Edition, Hoboken, NJ: John Wiley and Sons.


Senor, D., & Singer S. (2009). Start-up nation: The story of Israel’s economic miracle. NY: Twelve.


Course outline


Sessions 1-2 Entrepreneurship as an economic and social phenomenon


Alvarez, S.A., Barney, J.B., McBride, R., & Wuebker, R. (2014). Realism in the study of entrepreneurship. Academy of Management Review, 39(2), 227-231.


Bhide, A. (1996). The questions every entrepreneur must answer. Harvard Business Review, November-December, 120-130.


Gartner, W.B. (1985). A conceptual framework for describing the phenomenon of new venture creation. Academy of Management Review, 10, 696-706.


Lumpkin, G.T., & Dess, G.G. (1996). Clarifying the entrepreneurial orientation construct and linking it to performance. Academy of Management Review, 21, 135-172.


Sarasvathy, S. (2001). Causation and effectuation: Toward a theoretical shift from economic inevitability to entrepreneurial contingency. Academy of Management Review, 26(2), 243-263.


Stuart, T. E., & Sorenson, O. (2007). Strategic networks and entrepreneurial ventures. Strategic Entrepreneurship Journal, 1(3‐4), 211-227.


Session 3 New opportunities identification – From intentions to actions


Ardichvili, A., Cardozo, R., & Ray, S. (2003). A theory of entrepreneurial opportunity identification and development. Journal of Business venturing, 18(1), 105-123.‏


Carsrud, A., & Brannback, M. (2011). Entrepreneurial motivations: What do we still need to know?. Journal of Small Business Management, 39(1), 9-26.


Shane, S., Locke E.A., & Collins, C. J. (2003). Entrepreneurial motivation. Human Resource Management Review 13, 257–279.


Session 4 Entrepreneurs’ passion and identities


Cardon, M.S., Zietsma, C., Saparito, P., Matherne, B.P., & Davis C. (2005). A tale of passion: New insights into entrepreneurship from a parenthood metaphor. Journal of Business Venturing, 20, 23-45.


Hoang, H., & Gimeno, J. (2010). Becoming a founder: How founder role identity affects entrepreneurial transitions and persistence in founding. Journal of Business Venturing, 25(1), 41-53.


Murnieks, C.Y., Mosakowski, E., & Cardon, M.S. (2012). Pathways of passion: Identity centrality, passion, and behavior among entrepreneurs. Journal of Management, 0149206311433855.


Shepherd, D., & Haynie, M.J. (2009). ‘Birds of a feather don’t always flock together: Identity management in entrepreneurship’, Journal of Business Venturing 24(2): 316-337.


Sessions 5-6 Psychology of entrepreneurship


Entrepreneurial affect

Baron, R.A. (2008). The role of affect in the entrepreneurial process. Academy of Management Review, 33(2), 328-340.


Baron, R. A., Hmieleski, K. M., & Henry, R.A. (2012). Entrepreneurs’ dispositional positive affect: The potential benefits–and potential costs–of being “up”. Journal of Business Venturing, 27(3), 310-324.


Regulatory focus and entrepreneurship

Brockner, J., Higgins, E.T., & Low, M.B. (2004). Regulatory focus theory and the entrepreneurial process. Journal of Business Venturing, 19, 203–220.


Hmieleski, K.M., & Baron R.A. (2008). Regulatory focus and new venture performance: A study of entrepreneurial opportunity exploitation under conditions of risk versus uncertainty. Strategic Entrepreneurship Journal, 2, 285–299.


Self-efficacy and entrepreneurship

Hmieleski, K.M., & Corbett, A.C. (2008). The contrasting interaction effects of improvisational behavior with entrepreneurial self-efficacy on new venture performance and entrepreneur work satisfaction. Journal of Business Venturing, 23(4), 482–496.


Zhao, H., Seibert, S. E., & Hills, G. E. (2005). The mediating role of self-efficacy in the development of entrepreneurial intentions. Journal of Applied Psychology, 90(6), 1265-1272.


Psychological ownership and entrepreneurship

Van Dyne, L., & Pierce, J.L. (2004). Psychological ownership and feelings of possession: Three field studies predicting employee attitudes and organizational citizenship behavior. Journal of Organizational Behavior, 25(4), 439-459.


Yitshaki, R. (2014). This venture is part of ‘ME’: Psychological ownership and high-tech firms’ growth. A working paper.


Session 7 Creativity and innovation


Kahneman, D. (2011). Thinking, fast and slow. Macmillan.


Pink, D.H. (2006). A whole new mind. NY: Riverhead books.


Session 8 Entrepreneurs’ decision making and persistence


Hayward, L.M.A., Shepherd, D.A., & Griffin, D. (2006). A hubris theory of entrepreneurship, Management Science, 52(2), 160-172.


Khan, S.A., Tang, J., & Joshi, K. (2014). Disengagement of nascent entrepreneurs from the start‐up process. Journal of Small Business Management, 52(1), 39-58.


McMullen, J.S., & Shepherd, D.A. (2006). Entrepreneurial action and the role of uncertainty in the theory of the entrepreneur. Academy of Management Review, 31(1), 132-152.


Session 9 The lean start up approach

Ries, E. (2011). The lean startup: How today’s entrepreneurs use continuous innovation to create radically successful businesses. NY: Random House LLC.‏


Sessions 10-11 Venture capital investments


  Arthurs, J.D., Hoskisson, R.E., Busenitz, L.W., & Johnson, R.A. (2008). Managerial agents watching over other agents: Multiple agency conflicts regarding underpricing in IPO firms. Academy of Management Journal, 51(2), 277-294.


Cable, D.M., &Shane, S. (1997). A prisoner’s dilemma approach to entrepreneur-venture capitalist relationships. Academy of Management Review, 22, 142–176.


De Clercq, D., & Sapienza, H.J. (2006). Effects of relational capital and commitment on venture capitalists’ perception of portfolio company performance. Journal of Business Venturing, 21(3), 326-347.


Petkova, A.P., Wadhwa, A., Yao, X., & Jain, S. (2014). Reputation and decision making under ambiguity: A study of US venture capital firms’ investments in the emerging clean energy sector. Academy of Management Journal, 57(2), 422-448.


Session 12 The founders’ dilemma


  Wasserman, N. (2012). The founder’s dilemmas: Anticipating and avoiding the pitfalls that can sink a startup. Princeton, NJ: Princeton University Press.


Wasserman, N. (2008). The founder’s dilemma. Harvard Business Review, 86(2), 102-109.


Wasserman, N. (2006). Stewards, agents, and the founder discount: Executive compensation in new ventures. Academy of Management Journal, 49(5), 960-976.

Session 13 Entrepreneurial exit


Shepherd, D. A., & Cardon, M. S. 2009. Negative emotional reaction to project failure and self-compassion to learn from the experience. Journal of Management Studies, 46(6): 923-949.

Shepherd, D. A., Covin, J. G., & Kuratko, D. F. 2009. Project failure from corporate entrepreneurship: Managing the grief process. Journal of Business Venturing, 24(6): 588-600.


Shepherd, D. A., Wiklund, J., & Haynie, J. M. (2009). Moving forward: Balancing the financial and emotional costs of business failure. Journal of Business Venturing, 24(2): 134-148.


Session 14 Social entrepreneurship


Di Domenico, M., Haugh, H., & Tracey, P. (2010). Social bricolage: Theorizing social value creation in social enterprises, Entrepreneurship Theory and Practice, 34(4), 681–703.


Zahra, S.A., Gedajlovic, E., Neubaum, D.E., & Shulman, J.E. (2009). A typology of social entrepreneurs: Motives, search processes and ethical challenges. Journal of Business Venturing, 24, 519–532.


Yitshaki, R., & Kropp, F. (2014). Motivations and opportunity recognition of social entrepreneurs. Journal of Small Business Management, Forthcoming.