Prior Knowledge, Potential Financial Reward, and Opportunity Identification

Abstract

91This article simultaneously explores the constructs of potential financial reward and prior knowledge of customer problems to provide a deeper understanding of the identification of opportunities. Results suggest that while prior knowledge of customer problems leads to the identification of more opportunities and opportunities that are more innovative, it also moderates the relationship between potential financial reward and opportunity identification. We found that the less knowledgeable an individual was about customer problems, the more positive the effect that potential financial reward had on the number of opportunities identified and the innovativeness of those opportunities.

Analysing the Role of Framework Conditions Influencing International Entrepreneurial Opportunity Identification Process

“…Drawing on the consistency of opportunity identification as a concept, the authors investigated the basis of entrepreneurial action (Shepherd et al, 2014;Shepherd & DeTienne, 2005;Short et al, 2010;Vaghely & Julien, 2010). By doing so, researchers established some specific factors which exert impulse on the opportunity identification process.…”

Integrating Corporate Social Responsibility at the Start-up Level: Constraint or Catalyst for Opportunity Identification?

“…Grégoire, Barr and Shepherd (2010) observe that "opportunities arise from changes" in the macro-environment and the behavior of customers and enterprises, which make current practices, products and services suboptimal and therefore trigger future market adjustments, modifications and sometimes radical transformations. The development of new goods and services is of strategic importance for companies, as it is associated with wealth creation (Kirzner, 1997) and competitive advantage (Ahuja & Kahila, 2004;Alvarez & Busenitz, 2001;Shepherd & DeTienne, 2005). Historically, SMEs have significantly contributed to the improvement of existing products and services, and the creation of new ones (Acs & Audretsch, 1988;Lefebvre & Lefebvre, 1993).…”

Opportunity identification competence : explaining individual and exploring team opportunity identification by employees

“…DeTienne and Chandler (2004) asked participants to think back to the last 24 hours and to list all business opportunities they had observed. Although these and other studies contributed significantly to understanding OIC, several authors emphasised the limitations of these methods, arguing that these might not fully capture OIC because interviews and self-assessments measure perceptions, feelings, and impressions instead of actual behaviour (Corbett, 2007;Shepherd & DeTienne, 2005). Consequently, several authors (e.g., Gaglio & Katz, 2001;Shepherd & DeTienne, 2005) suggest measuring the actual thinking or behaviour of employees, and they call for the development of performance tests to assess OIC.…”

“…The development and application of a performance assessment to measure OIC is presented. The performance assessment, referred to as the opportunity identification competence assessment test (OICAT), is developed in response to the need for instruments that measure more closely actual thinking or behaviour (e.g., Gaglio & Katz, 2001;Shepherd & DeTienne, 2005). The OICAT was developed and tested in higher education, as a solid and suitable setting for examining the use and quality of the assessment, before applying it among employees.…”

“…Several studies have measured OIC using various instruments, such as self-assessments and interviews in which participants re-call previously observed opportunities (e.g., DeTienne & Chandler 2004;Ozgen & Baron, 2007;Ucbasaran, Westhead, & Wright, 2009;Wang, Ellinger, & Wu, 2013). Although these studies contribute significantly to our understanding of assessing OIC, scholars emphasise the limitations of these methods, arguing that these might not fully capture OIC because interviews and self-assessments measure perceptions, feelings and impressions, instead of actual behaviour (Corbett, 2007;Shepherd & DeTienne, 2005).…”