IDEAS home Printed from https://ideas.repec.org/a/kap/sbusec/v62y2024i3d10.1007_s11187-023-00787-x.html
   My bibliography  Save this article

Effectuation and causation models: an integrative theoretical framework

Author

Listed:
  • Margot Racat

    (IDRAC Business School)

  • Antonin Ricard

    (Université de Toulon)

  • René Mauer

    (ESCP Business School Berlin)

Abstract

The realm of entrepreneurship has seen a rise in research on effectuation from the perspective of cognition, which has sparked significant discussion among academics due to a lack of well-defined theoretical foundations. However, despite this interest in cognitive theories, the grounded cognition theory has not been adequately explored to explain the behavior of entrepreneurs. Accordingly, we propose an integrative theoretical framework for the effectuation and causation models in light of an offloading process. This process helps to explain the relationship between the entrepreneur’s cognitive antecedents and their behavioral outcomes. Consequently, our study provides theoretical underpinnings for effectuation and a better understanding of how effectuation and causation models are alternatingly engaged during the entrepreneur’s decision-making process.

Suggested Citation

  • Margot Racat & Antonin Ricard & René Mauer, 2024. "Effectuation and causation models: an integrative theoretical framework," Small Business Economics, Springer, vol. 62(3), pages 879-893, March.
    • Handle: RePEc:kap:sbusec:v:62:y:2024:i:3:d:10.1007_s11187-023-00787-x
    DOI: 10.1007/s11187-023-00787-x
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11187-023-00787-x
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s11187-023-00787-x?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. Antonin Ricard & Bénédicte Aldebert, 2018. "Helping Decision-Makers to Cross the Frontier : Contribution of the Effectuation Theory on the Link Between Barriers, Opportunities and Internationalization Decision [Ayudar a los tomadores de deci," Post-Print hal-01914644, HAL.
    2. Randolph-Seng, Brandon & Mitchell, Ronald K. & Vahidnia, Hamid & Mitchell, J. Robert & Chen, Shawna & Statzer, John, 2015. "The Microfoundations of Entrepreneurial Cognition Research: Toward an Integrative Approach," Foundations and Trends(R) in Entrepreneurship, now publishers, vol. 11(4), pages 207-335, December.
    3. Charness, Gary & Gneezy, Uri & Kuhn, Michael A., 2012. "Experimental methods: Between-subject and within-subject design," Journal of Economic Behavior & Organization, Elsevier, vol. 81(1), pages 1-8.
    4. Dew, Nicholas & Read, Stuart & Sarasvathy, Saras D. & Wiltbank, Robert, 2009. "Effectual versus predictive logics in entrepreneurial decision-making: Differences between experts and novices," Journal of Business Venturing, Elsevier, vol. 24(4), pages 287-309, July.
    5. Suzi Elen Ferreira Dias & Edson Sadao Iizuka & Eduardo Pinto Vilas Boas, 2019. "Effectuation theoretical debate: systematic review and research agenda," Innovation & Management Review, Emerald Group Publishing Limited, vol. 17(1), pages 41-57, December.
    6. Marco Furlotti & Ksenia Podoynitsyna & René Mauer, 2020. "Means versus goals at the starting line: Performance and conditions of effectiveness of entrepreneurial action," Journal of Small Business Management, Taylor & Francis Journals, vol. 58(2), pages 333-361, March.
    7. Alexander McKelvie & Gaylen N. Chandler & Dawn R. DeTienne & Anette Johansson, 2020. "The measurement of effectuation: highlighting research tensions and opportunities for the future," Small Business Economics, Springer, vol. 54(3), pages 689-720, March.
    8. Saras D. Sarasvathy, 2004. "Making It Happen: Beyond Theories of the Firm to Theories of Firm Design," Entrepreneurship Theory and Practice, , vol. 28(6), pages 519-531, November.
    9. Dew, Nicholas & Read, Stuart & Sarasvathy, Saras D. & Wiltbank, Robert, 2008. "Outlines of a behavioral theory of the entrepreneurial firm," Journal of Economic Behavior & Organization, Elsevier, vol. 66(1), pages 37-59, April.
    10. Haynie, J. Michael & Shepherd, Dean & Mosakowski, Elaine & Earley, P. Christopher, 2010. "A situated metacognitive model of the entrepreneurial mindset," Journal of Business Venturing, Elsevier, vol. 25(2), pages 217-229, March.
    11. Kalinic, Igor & Sarasvathy, Saras D. & Forza, Cipriano, 2014. "‘Expect the unexpected’: Implications of effectual logic on the internationalization process," International Business Review, Elsevier, vol. 23(3), pages 635-647.
    12. Adrian Hauser & Fabian Eggers & Stefan Güldenberg, 2020. "Strategic decision-making in SMEs: effectuation, causation, and the absence of strategy," Small Business Economics, Springer, vol. 54(3), pages 775-790, March.
    13. Chandler, Gaylen N. & DeTienne, Dawn R. & McKelvie, Alexander & Mumford, Troy V., 2011. "Causation and effectuation processes: A validation study," Journal of Business Venturing, Elsevier, vol. 26(3), pages 375-390, May.
    14. Jiang, Yi & Tornikoski, Erno T., 2019. "Perceived uncertainty and behavioral logic: Temporality and unanticipated consequences in the new venture creation process," Journal of Business Venturing, Elsevier, vol. 34(1), pages 23-40.
    15. John T. Perry & Gaylen N. Chandler & Gergana Markova, 2012. "Entrepreneurial Effectuation: A Review and Suggestions for Future Research," Entrepreneurship Theory and Practice, , vol. 36(4), pages 837-861, July.
    16. Busenitz, Lowell W. & Barney, Jay B., 1997. "Differences between entrepreneurs and managers in large organizations: Biases and heuristics in strategic decision-making," Journal of Business Venturing, Elsevier, vol. 12(1), pages 9-30, January.
    17. Gry Agnete Alsos & Tommy Høyvarde Clausen & René Mauer & Stuart Read & Saras D. Sarasvathy, 2020. "Effectual exchange: from entrepreneurship to the disciplines and beyond," Small Business Economics, Springer, vol. 54(3), pages 605-619, March.
    18. Andrew Inkpen & Nandan Choudhury, 1995. "The seeking of strategy where it is not: Towards a theory of strategy absence," Strategic Management Journal, Wiley Blackwell, vol. 16(4), pages 313-323.
    19. Tobias Frese & Ingmar Geiger & Florian Dost, 2020. "An empirical investigation of determinants of effectual and causal decision logics in online and high-tech start-up firms," Small Business Economics, Springer, vol. 54(3), pages 641-664, March.
    20. Denis A. Grégoire & Naïma Cherchem, 2020. "A structured literature review and suggestions for future effectuation research," Small Business Economics, Springer, vol. 54(3), pages 621-639, March.
    21. Wiltbank, Robert & Read, Stuart & Dew, Nicholas & Sarasvathy, Saras D., 2009. "Prediction and control under uncertainty: Outcomes in angel investing," Journal of Business Venturing, Elsevier, vol. 24(2), pages 116-133, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Jawad Abbas & Stefano Bresciani & Ghulam Subhani & Paola Bernardi, 2025. "Nexus of ambidexterity and frugal innovation for enhanced ESG performance of entrepreneurial firms. The role of organizational capabilities," International Entrepreneurship and Management Journal, Springer, vol. 21(1), pages 1-23, December.

    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. Koller, Sonia & Stephan, Ute & Ahmetoglu, Gorkan, 2022. "Ecological rationality and entrepreneurship: How entrepreneurs fit decision logics to decision content and structure," Journal of Business Venturing, Elsevier, vol. 37(4).
    2. Mumford, Jonathan Van & Zettinig, Peter, 2022. "Co-creation in effectuation processes: A stakeholder perspective on commitment reasoning," Journal of Business Venturing, Elsevier, vol. 37(4).
    3. Kusi, Samuel Yaw & Gabrielsson, Peter & Baumgarth, Carsten, 2022. "How classical and entrepreneurial brand management increases the performance of internationalising SMEs?," Journal of World Business, Elsevier, vol. 57(5).
    4. David J. Rapp & Michael Olbrich, 2021. "On predictive entrepreneurial action in uncertain, ill-structured conditions," Review of Managerial Science, Springer, vol. 15(7), pages 1961-1979, October.
    5. Kerr, Jon & Coviello, Nicole, 2020. "Weaving network theory into effectuation: A multi-level reconceptualization of effectual dynamics," Journal of Business Venturing, Elsevier, vol. 35(2).
    6. Kusi, Samuel Yaw & Gabrielsson, Peter & Kontkanen, Minnie, 2021. "Developing brand identities for international new ventures under uncertainty: Decision-making logics and psychic distance," International Business Review, Elsevier, vol. 30(6).
    7. Kusi, Samuel Yaw & Nwoba, Arinze Christian & Adeola, Ogechi & Adedajo, Adedapo & Adjei, Osei Yaw, 2024. "Does entrepreneurial autonomy always drive emerging market SMEs internationalization? An effectual logic perspective," Journal of International Management, Elsevier, vol. 30(3).
    8. Yalong Wei & Dan Long & Lihua Fu, 2024. "The Influence of Intuitive-Analytical Cognitive Styles on Entrepreneurial Decision-Making Logic: Moderated by Environmental Uncertainty," SAGE Open, , vol. 14(3), pages 21582440241, August.
    9. Gry Agnete Alsos & Tommy Høyvarde Clausen & René Mauer & Stuart Read & Saras D. Sarasvathy, 2020. "Effectual exchange: from entrepreneurship to the disciplines and beyond," Small Business Economics, Springer, vol. 54(3), pages 605-619, March.
    10. Magdalena Markowska & Dietmar Grichnik & Jan Brinckmann & Diana Kapsa, 2019. "Strategic orientations of nascent entrepreneurs: antecedents of prediction and risk orientation," Small Business Economics, Springer, vol. 53(4), pages 859-878, December.
    11. Lupp, Daniel, 2023. "Effectuation, causation, and machine learning in co-creating entrepreneurial opportunities," Journal of Business Venturing Insights, Elsevier, vol. 19(C).
    12. Chetty, Sylvie & Martín Martín, Oscar & Bai, Wensong, 2024. "Causal foreign market selection and effectual entry decision-making: The mediating role of collaboration to enhance international performance," Journal of Business Research, Elsevier, vol. 172(C).
    13. David J. Rapp, 2022. "Predictive vs. non-predictive entrepreneurial strategies: What’s the difference, anyway?," Review of Managerial Science, Springer, vol. 16(7), pages 2161-2179, October.
    14. Daniel Appelhoff & René Mauer & Veroniek Collewaert & Malte Brettel, 2016. "The conflict potential of the entrepreneur’s decision-making style in the entrepreneur-investor relationship," International Entrepreneurship and Management Journal, Springer, vol. 12(2), pages 601-623, June.
    15. Stroe, Silvia & Parida, Vinit & Wincent, Joakim, 2018. "Effectuation or causation: An fsQCA analysis of entrepreneurial passion, risk perception, and self-efficacy," Journal of Business Research, Elsevier, vol. 89(C), pages 265-272.
    16. Sylvia Hubner & Fabian Most & Jochen Wirtz & Christine Auer, 2022. "Narratives in entrepreneurial ecosystems: drivers of effectuation versus causation," Small Business Economics, Springer, vol. 59(1), pages 211-242, June.
    17. Laurence Cohen & Kirsten Burkhardt, 2019. "Entrepreneurs (novices vs. experts) and investors: Interaction and rationality dynamics (effectual vs. causal) [Entrepreneurs (novice vs. expert) et investisseurs : interactions et dynamique des ra," Post-Print hal-02177388, HAL.
    18. Sipos, Norbert & Lukovszki, Lívia & Rideg, András & Vörös, Zsófia, 2023. "A vállalkozói döntéshozatali logikák kognitív megközelítése [Entrepreneurial effectuation through the lens of cognitive processes]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(5), pages 544-563.
    19. Bai, Wensong & Johanson, Martin & Oliveira, Luis & Ratajczak-Mrozek, Milena & Francioni, Barbara, 2022. "Where business networks and institutions meet: Internationalization decision-making under uncertainty," Journal of International Management, Elsevier, vol. 28(1).
    20. Alexander McKelvie & Gaylen N. Chandler & Dawn R. DeTienne & Anette Johansson, 2020. "The measurement of effectuation: highlighting research tensions and opportunities for the future," Small Business Economics, Springer, vol. 54(3), pages 689-720, March.

    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:kap:sbusec:v:62:y:2024:i:3:d:10.1007_s11187-023-00787-x. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.