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Small enterprises as complex adaptive systems: a methodological question?

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  • Ted Fuller
  • Paul Moran

Abstract

Complexity science constitutes an emerging post-positivist interdisciplinary field of investigation of dynamical systems in the natural and physical worlds. The central concept of complexity is that interactions between parts of open systems create novel, unpredictable patterns, and that while the history of the system is relevant in understanding its dynamic, the isolation of individual parts of the system (analysis) does not reveal the casual mechanisms in the system. It is suggested that complexity science can inform our methodologies for investigating the social sciences. The paper explores whether complexity science offers ways of theory building that can take account of pluralistic or interdisciplinary research in enterprise dynamics. The authors offer a model of six theorized ontological layers, derived from the canon of research literature within a small enterprise domain, with boundaries at each end. It is suggested that dynamical concepts of agency (adaption, evolution, fitness, interdependence) coupled with the theory of evolutionary autopoietic structures generate a plausible field for the study of enterprise dynamics. A focus on ontological and experimental adequacy is necessary to develop theory within this framework. An appropriate methodology involves iterations between experimental forms of scientific analysis and the grounding of emergent or evolving theories.

Suggested Citation

  • Ted Fuller & Paul Moran, 2001. "Small enterprises as complex adaptive systems: a methodological question?," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 13(1), pages 47-63, January.
    • Handle: RePEc:taf:entreg:v:13:y:2001:i:1:p:47-63
    DOI: 10.1080/089856201750046801
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    References listed on IDEAS

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    1. Joshua M. Epstein & Robert L. Axtell, 1996. "Growing Artificial Societies: Social Science from the Bottom Up," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262550253, April.
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    Cited by:

    1. Frederik Banning & Jessica Reale & Michael Roos, 2023. "The Complexity of Corporate Culture as a Potential Source of Firm Profit Differentials," Papers 2305.14029, arXiv.org, revised Nov 2023.
    2. Wycliffe Arani & Elegwa Mukulu & Esther Waiganjo & Julius Wambua, 2016. "Strategic Sourcing an Antecedent of Supply Chain Resilience in Manufacturing Firms in Kenya," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 6(10), pages 1-18, October.
    3. Nga H. Nguyen & Robert J. S. Beeton & Anthony Halog, 2015. "A systems thinking approach for enhancing adaptive capacity in small- and medium-sized enterprises: causal mapping of factors influencing environmental adaptation in Vietnam’s textile and garment indu," Environment Systems and Decisions, Springer, vol. 35(4), pages 490-503, December.
    4. Riccardo Leoncini & Sandro Montresor & Giovanna Vertova, 2003. "Dynamic capabilities: evolving organisations in evolving (technological) systems," Working Papers (-2012) 0304, University of Bergamo, Department of Economics.
    5. Roundy, Philip T. & Bradshaw, Mike & Brockman, Beverly K., 2018. "The emergence of entrepreneurial ecosystems: A complex adaptive systems approach," Journal of Business Research, Elsevier, vol. 86(C), pages 1-10.
    6. Elias G. Carayannis & Mike Provance & Evangelos Grigoroudis, 2016. "Entrepreneurship ecosystems: an agent-based simulation approach," The Journal of Technology Transfer, Springer, vol. 41(3), pages 631-653, June.
    7. Nhantumbo, Nascimento S. & Zivale, Clemente O. & Nhantumbo, Ivete S. & Gomes, Ana M., 2016. "Making agricultural intervention attractive to farmers in Africa through inclusive innovation systems," World Development Perspectives, Elsevier, vol. 4(C), pages 19-23.

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