IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v161y2023ics0148296323001686.html
   My bibliography  Save this article

The Dunning-Kruger effect and entrepreneurial self-efficacy: How tenure and search distance jointly direct entrepreneurial self-efficacy

Author

Listed:
  • van Hugten, Joeri
  • Coreynen, Wim
  • Vanderstraeten, Johanna
  • van Witteloostuijn, Arjen

Abstract

Are people with more experience running an entrepreneurial venture also more confident? How does that confidence look for those who gathered those experiences outside of their comfort zone? This paper advances the entrepreneurial self-efficacy (ESE) literature by integrating the Dunning-Kruger perspective into the experience-ESE relationship, and by conceptualizing experience as a combination of tenure and search distance (a venture searches distantly if its new products are dissimilar to its existing ones). In a unique sample of small businesses, between-entrepreneur analyses reveal a U-shaped association between venture tenure and ESE for entrepreneurs who engage in distant search with their venture, and a relatively stable ESE over venture tenure if distant search is low.

Suggested Citation

  • van Hugten, Joeri & Coreynen, Wim & Vanderstraeten, Johanna & van Witteloostuijn, Arjen, 2023. "The Dunning-Kruger effect and entrepreneurial self-efficacy: How tenure and search distance jointly direct entrepreneurial self-efficacy," Journal of Business Research, Elsevier, vol. 161(C).
    • Handle: RePEc:eee:jbrese:v:161:y:2023:i:c:s0148296323001686
    DOI: 10.1016/j.jbusres.2023.113810
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296323001686
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbusres.2023.113810?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Asante, Eric Adom & Affum-Osei, Emmanuel, 2019. "Entrepreneurship as a career choice: The impact of locus of control on aspiring entrepreneurs' opportunity recognition," Journal of Business Research, Elsevier, vol. 98(C), pages 227-235.
    2. Daniel J. Benjamin & James O. Berger & Magnus Johannesson & Brian A. Nosek & E.-J. Wagenmakers & Richard Berk & Kenneth A. Bollen & Björn Brembs & Lawrence Brown & Colin Camerer & David Cesarini & Chr, 2018. "Redefine statistical significance," Nature Human Behaviour, Nature, vol. 2(1), pages 6-10, January.
      • Daniel Benjamin & James Berger & Magnus Johannesson & Brian Nosek & E. Wagenmakers & Richard Berk & Kenneth Bollen & Bjorn Brembs & Lawrence Brown & Colin Camerer & David Cesarini & Christopher Chambe, 2017. "Redefine Statistical Significance," Artefactual Field Experiments 00612, The Field Experiments Website.
    3. Chao Miao & Shanshan Qian & Dalong Ma, 2017. "The Relationship between Entrepreneurial Self‐Efficacy and Firm Performance: A Meta‐Analysis of Main and Moderator Effects," Journal of Small Business Management, Taylor & Francis Journals, vol. 55(1), pages 87-107, January.
    4. Mihaela Stan & Freek Vermeulen, 2013. "Selection at the Gate: Difficult Cases, Spillovers, and Organizational Learning," Organization Science, INFORMS, vol. 24(3), pages 796-812, June.
    5. Nowiński, Witold & Haddoud, Mohamed Yacine, 2019. "The role of inspiring role models in enhancing entrepreneurial intention," Journal of Business Research, Elsevier, vol. 96(C), pages 183-193.
    6. Kai Hockerts, 2017. "Determinants of Social Entrepreneurial Intentions," Entrepreneurship Theory and Practice, , vol. 41(1), pages 105-130, January.
    7. Richard F. J. Haans & Constant Pieters & Zi-Lin He, 2016. "Thinking about U: Theorizing and testing U- and inverted U-shaped relationships in strategy research," Strategic Management Journal, Wiley Blackwell, vol. 37(7), pages 1177-1195, July.
    8. Arjen van Witteloostuijn & Nele Cannaerts & Wim Coreynen & Zainab Noor el Hejazi & Joeri van Hugten & Ellen Loots & Hendrik Slabbinck & Johanna Vanderstraeten, 2020. "Co-Creative Action Research Experiments—A Careful Method for Causal Inference and Societal Impact," Social Sciences, MDPI, vol. 9(10), pages 1-28, September.
    9. Jeffrey E. McGee & Mark Peterson, 2019. "The Long‐Term Impact of Entrepreneurial Self‐Efficacy and Entrepreneurial Orientation on Venture Performance," Journal of Small Business Management, Taylor & Francis Journals, vol. 57(3), pages 720-737, July.
    10. Sea-Jin Chang & Arjen van Witteloostuijn & Lorraine Eden, 2010. "From the Editors: Common method variance in international business research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 41(2), pages 178-184, February.
    11. Stephanie A. Fernhaber & Pankaj C. Patel, 2012. "How do young firms manage product portfolio complexity? The role of absorptive capacity and ambidexterity," Strategic Management Journal, Wiley Blackwell, vol. 33(13), pages 1516-1539, December.
    12. Palmer, Carolin & Niemand, Thomas & Stöckmann, Christoph & Kraus, Sascha & Kailer, Norbert, 2019. "The interplay of entrepreneurial orientation and psychological traits in explaining firm performance," Journal of Business Research, Elsevier, vol. 94(C), pages 183-194.
    13. Arjen Witteloostuijn, 2020. "New-day statistical thinking: A bold proposal for a radical change in practices," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(2), pages 274-278, March.
    14. Douglas, Evan & Prentice, Catherine, 2019. "Innovation and profit motivations for social entrepreneurship: A fuzzy-set analysis," Journal of Business Research, Elsevier, vol. 99(C), pages 69-79.
    15. James G. March, 1991. "Exploration and Exploitation in Organizational Learning," Organization Science, INFORMS, vol. 2(1), pages 71-87, February.
    16. O'Reilly, Charles A., III & Tushman, Michael L., 2013. "Organizational Ambidexterity: Past, Present and Future," Research Papers 2130, Stanford University, Graduate School of Business.
    17. Gignac, Gilles E. & Zajenkowski, Marcin, 2020. "The Dunning-Kruger effect is (mostly) a statistical artefact: Valid approaches to testing the hypothesis with individual differences data," Intelligence, Elsevier, vol. 80(C).
    18. Katrin Muehlfeld & Padma Rao Sahib & Arjen Van Witteloostuijn, 2012. "A contextual theory of organizational learning from failures and successes: A study of acquisition completion in the global newspaper industry, 1981–2008," Strategic Management Journal, Wiley Blackwell, vol. 33(8), pages 938-964, August.
    19. Friederike Welter & Ted Baker & David B. Audretsch & William B. Gartner, 2017. "Everyday Entrepreneurship—A Call for Entrepreneurship Research to Embrace Entrepreneurial Diversity," Entrepreneurship Theory and Practice, , vol. 41(3), pages 311-321, May.
    20. Lee, Nick & Cadogan, John W., 2013. "Problems with formative and higher-order reflective variables," Journal of Business Research, Elsevier, vol. 66(2), pages 242-247.
    21. Pino G. Audia & Henrich R. Greve, 2006. "Less Likely to Fail: Low Performance, Firm Size, and Factory Expansion in the Shipbuilding Industry," Management Science, INFORMS, vol. 52(1), pages 83-94, January.
    22. To, Chester K.M. & Guaita Martínez, José Manuel & Orero-Blat, Maria & Chau, K.P., 2020. "Predicting motivational outcomes in social entrepreneurship: Roles of entrepreneurial self-efficacy and situational fit," Journal of Business Research, Elsevier, vol. 121(C), pages 209-222.
    23. Panagiotis Piperopoulos & Dimo Dimov, 2015. "Burst Bubbles or Build Steam? Entrepreneurship Education, Entrepreneurial Self‐Efficacy, and Entrepreneurial Intentions," Journal of Small Business Management, Taylor & Francis Journals, vol. 53(4), pages 970-985, October.
    24. Rajiv Nag & François Neville & Nikolaos Dimotakis, 2020. "CEO scanning behaviors, self-efficacy, and SME innovation and performance: An examination within a declining industry," Journal of Small Business Management, Taylor & Francis Journals, vol. 58(1), pages 164-199, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Songsong Cheng & Qunpeng Fan & Yang Song, 2023. "Performance Gap and Innovation Ambidexterity: A Moderated Mediation Model," Sustainability, MDPI, vol. 15(5), pages 1-22, February.
    2. Madawala, Kalani & Foroudi, Pantea & Palazzo, Maria, 2023. "Exploring the role played by entrepreneurial self-efficacy among women entrepreneurs in tourism sector," Journal of Retailing and Consumer Services, Elsevier, vol. 74(C).
    3. Sharma, Revti Raman & Chowdhury, Sharmistha & Yu, Yang, 2024. "The Effect of Cross-border Acquisition Experience on Subsequent Cross-border Acquisitions: A Test of the S-shape Hypothesis," Journal of International Management, Elsevier, vol. 30(3).
    4. Lee, In Hyeock & Lévesque, Moren, 2023. "Do resource-constrained early-stage firms balance their internal resources across business activities? If so, should they?," Journal of Business Research, Elsevier, vol. 159(C).
    5. Katou, Anastasia A. & Budhwar, Pawan S. & Patel, Charmi, 2021. "A trilogy of organizational ambidexterity: Leader’s social intelligence, employee work engagement and environmental changes," Journal of Business Research, Elsevier, vol. 128(C), pages 688-700.
    6. Marina Estrada-Cruz & Noelia Rodriguez-Hernández & Antonio J. Verdú-Jover & Jose Maria Gómez-Gras, 2022. "The effect of competitive intensity on the relationship between strategic entrepreneurship and organizational results," International Entrepreneurship and Management Journal, Springer, vol. 18(1), pages 1-24, March.
    7. Marco Caliendo & Alexander S. Kritikos & Daniel Rodríguez & Claudia Stier, 2023. "Self-efficacy and entrepreneurial performance of start-ups," Small Business Economics, Springer, vol. 61(3), pages 1027-1051, October.
    8. Arjen van Witteloostuijn & Nele Cannaerts & Wim Coreynen & Zainab Noor el Hejazi & Joeri van Hugten & Ellen Loots & Hendrik Slabbinck & Johanna Vanderstraeten, 2020. "Co-Creative Action Research Experiments—A Careful Method for Causal Inference and Societal Impact," Social Sciences, MDPI, vol. 9(10), pages 1-28, September.
    9. Bhussar, Manjot S. & Sexton, Jennifer C. & Zorn, Michelle L. & Song, Yue, 2022. "High-tech acquisitions: How acquisition pace, venture maturity, and founder retention influence firm innovation," Journal of Business Research, Elsevier, vol. 142(C), pages 620-635.
    10. Yang, Junping & Zhang, Mengjie & Ballester-Miquel, José Carlos & Ribeiro-Navarrete, Samuel, 2022. "Exploring what drives entrepreneurs: Intergenerational differences between entrepreneurs born in the 1980s and 1990s," Technological Forecasting and Social Change, Elsevier, vol. 183(C).
    11. Marina Estrada-Cruz & Noelia Rodriguez-Hernández & Antonio J. Verdú-Jover & Jose Maria Gómez-Gras, 0. "The effect of competitive intensity on the relationship between strategic entrepreneurship and organizational results," International Entrepreneurship and Management Journal, Springer, vol. 0, pages 1-24.
    12. To, Chester K.M. & Castillo, Agustin Carrilero & Berenguer, Klaus Jurgen Ulrich & Chau, K.P., 2021. "Riding on an entrepreneurial intention cycle? Explaining bidirectional spillover between volition and motivation," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    13. Kammerlander, Nadine & Burger, Dominik & Fust, Alexander & Fueglistaller, Urs, 2015. "Exploration and exploitation in established small and medium-sized enterprises: The effect of CEOs' regulatory focus," Journal of Business Venturing, Elsevier, vol. 30(4), pages 582-602.
    14. Ho, Hillbun & Osiyevskyy, Oleksiy & Agarwal, James & Reza, Sadat, 2020. "Does ambidexterity in marketing pay off? The role of absorptive capacity," Journal of Business Research, Elsevier, vol. 110(C), pages 65-79.
    15. Cegarra-Sánchez, Jorge & Cegarra-Navarro, Juan-Gabriel & Chinnaswamy, Anitha K & Wensley, Anthony, 2020. "Exploitation and exploration of knowledge: An ambidextrous context for the successful adoption of telemedicine technologies," Technological Forecasting and Social Change, Elsevier, vol. 157(C).
    16. Ayamga, Matthew & Annosi, Maria Carmela & Kassahun, Ayalew & Dolfsma, Wilfred & Tekinerdogan, Bedir, 2024. "Adaptive organizational responses to varied types of failures: Empirical insights from technology providers in Ghana," Technovation, Elsevier, vol. 129(C).
    17. Partanen, Jukka & Kohtamäki, Marko & Patel, Pankaj C. & Parida, Vinit, 2020. "Supply chain ambidexterity and manufacturing SME performance: The moderating roles of network capability and strategic information flow," International Journal of Production Economics, Elsevier, vol. 221(C).
    18. Kavusan, K., 2015. "Essays on capability development through alliances," Other publications TiSEM 8eb736a5-b217-4718-ac13-d, Tilburg University, School of Economics and Management.
    19. Wang, Canhao & Jiao, Hao & Song, Jiayi, 2023. "Wear glasses for supervisors to discover the beauty of subordinates: Supervisor developmental feedback and organizational ambidexterity," Journal of Business Research, Elsevier, vol. 158(C).
    20. Solís-Molina, Miguel & Hernández-Espallardo, Miguel & Rodríguez-Orejuela, Augusto, 2018. "Performance implications of organizational ambidexterity versus specialization in exploitation or exploration: The role of absorptive capacity," Journal of Business Research, Elsevier, vol. 91(C), pages 181-194.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:161:y:2023:i:c:s0148296323001686. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/jbusres .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.