“…Other studies have tried to account for such heterogeneity among firms with the help of different forms of fixed-effect models that control for unobservable factors related to cross-sectional structures yet do not provide an insight into the roles that this heterogeneity plays in determining firms' performance (Lomi, 1995;Pe'er et al, 2008). Research in the resource-based view of strategic management (Barney, 1991;Helfat and Lieberman, 2002;Peteraf, 1993;Sapienza et al, 2006;Sharma and Kesner, 1996), and on strategic entrepreneurship in particular (Hitt et al, 2001;Ireland et al, 2003), however, suggest that firms' heterogeneity is central to understanding the behavior of new ventures, as well as the effects of this behavior on survival.…”