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Internal corporate venture planning autonomy, strategic evolution, and venture performance

Author

Listed:
  • Jeffrey G. Covin

    (Indiana University)

  • Robert P. Garrett

    (University of Louisville)

  • Donald F. Kuratko

    (Indiana University)

  • Mark Bolinger

    (Indiana University)

Abstract

Theory and research typically suggest that internal corporate (ICV) venture managers should be granted the freedom needed to manage their new business initiatives as they choose, with little or no interference from senior levels of corporate management. The current research investigates the relationship between venture planning autonomy and venture performance, arguing that this relationship is affected by the types (i.e., goal related or value proposition related) and levels (low-to-high) of strategic evolution occurring in the ICV. Data collected from 145 ICVs operating in 72 corporations indicate that venture planning autonomy is most positively related to venture performance when those ICVs’ goals remain stable over the course of venture operations, but the value propositions of those ICVs are evolving.

Suggested Citation

  • Jeffrey G. Covin & Robert P. Garrett & Donald F. Kuratko & Mark Bolinger, 2021. "Internal corporate venture planning autonomy, strategic evolution, and venture performance," Small Business Economics, Springer, vol. 56(1), pages 293-310, January.
    • Handle: RePEc:kap:sbusec:v:56:y:2021:i:1:d:10.1007_s11187-019-00220-2
    DOI: 10.1007/s11187-019-00220-2
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    References listed on IDEAS

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    Cited by:

    1. David Urbano & Andreu Turro & Mike Wright & Shaker Zahra, 2022. "Corporate entrepreneurship: a systematic literature review and future research agenda," Small Business Economics, Springer, vol. 59(4), pages 1541-1565, December.
    2. Patrick Haslanger & Erik E. Lehmann & Nikolaus Seitz, 2023. "The performance effects of corporate venture capital: a meta-analysis," The Journal of Technology Transfer, Springer, vol. 48(6), pages 2132-2160, December.
    3. Jeffrey G. Covin & Robert P. Garrett & Ricarda B. Bouncken & Martin Ratzmann & Malcolm Muhammad, 2024. "Core business prospects and the management of internal corporate ventures," Small Business Economics, Springer, vol. 62(1), pages 435-459, January.
    4. Remedios Hernández-Linares & María Concepción López-Fernández & Gema García-Piqueres & Miguel Pina e Cunha & Arménio Rego, 2024. "How knowledge-based dynamic capabilities relate to firm performance: the mediating role of entrepreneurial orientation," Review of Managerial Science, Springer, vol. 18(10), pages 2781-2813, October.
    5. Waldkirch, Matthias & Kammerlander, Nadine & Wiedeler, Conrad, 2021. "Configurations for corporate venture innovation: Investigating the role of the dominant coalition," Journal of Business Venturing, Elsevier, vol. 36(5).

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    More about this item

    Keywords

    Entrepreneurship; Corporate entrepreneurship; Performance; Planning autonomy;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship

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