In Pursuit of Time: Business Plan Sequencing, Duration and Intraentrainment Effects on New Venture Viability

Abstract

In this study, we examine three under‐explored dimensions of the temporal relationship between formal written business plans and the achievement of new venture viability. First, we theorize and investigate the effects of plan sequencing; arguing that a business plan written early on in new venture development increases the prospects of venture viability. Second, we examine plan duration effects, and argue that there is a curvilinear relationship between spending time on a plan and achieving venture viability. Finally, we investigate plan intraentrainment effects (synchronization with other gestation activities). We theorize that if plans are synchronized with other gestation activities, venture viability is more likely. Using longitudinal data and controlling for truncation and endogeneity issues, we find that it is beneficial to plan early but that this is contingent on how long a founder spent on a plan and whether or not a plan is intraentrained with other gestation activities.

Decoding secrecy as multiple temporal processes: Co-constitution of concealment and revelation in archival stories

“…This is apparent even in studies where temporal issues are the direct focus (e.g. Hopp & Greene, 2018;Roberts, 2008) and yet their multi-dimensional processes remain largely masked and unexamined. More specifically, B-series temporality fails to address intersubjectivity of temporality, as it prioritizes temporality as the symbol of an increasingly simplified relationship between individuals and external changes that narrows temporalities into a singular conception.…”

The need for financial knowledge acquisition tools and technology by small business entrepreneurs

“…Business planning A business plan is a specific roadmap for entrepreneurs (Lange, Mollov, Pearlmutter, Singh, & Bygrave, 2007) that plays an important role in entrepreneurial success (Long, Geng, & Shakeel, 2016). Written business plans provide an overview for entrepreneurs, helping them to focus on their objectives, operational tasks, and strategies (Brinckmann, Grichnik, & Kapsa, 2010), as well as being an advantageous tool for planning their overall activities, enhancing performance (Hopp & Greene, 2018), and supporting the acquisition of funds from banking institutions (Lange et al, 2007). Numerous studies show that planning leads entrepreneurs towards superior performance with overall growth and success (Frederiksen & Brem, 2016;Honig & Samuelsson, 2020;McKenzie, 2017).…”

Toward A Temporal Theory of Faultlines and Subgroup Entrenchment

“…With a growing awareness of the importance of time in organizations, literature theorizing about time (e.g., Huy, 2001; Lord et al, 2015) and examining its effects at the individual (Jansen and Shipp, 2019; Shipp and Cole, 2015), group (e.g., Maruping et al, 2015), and organizational levels (e.g., Hopp and Greene, 2018; Pérez‐Nordtvedt et al, 2014) has begun to flourish. A review (e.g., Ancona et al, 2001b) highlights several categories of temporal exploration, including ‘types’ of time (e.g., objective or clock time, cyclical time, event time, and life cycles; McGrath, 1991; Tschan et al, 2009), mapping activities to time (e.g., rate, duration, scheduling, and transformations over time; Ariely and Carmon, 2000; Reilly et al, 2014), and subjective conceptualizations of time with individuals and groups (e.g., temporal mental models, time frame orientation, entrainment, temporal focus, and time perspective; Bakker et al, 2013; Halbesleben et al, 2003; Huy, 2001; Nuttin, 1985).…”