ScholarOne - Investigating the Effectuation Process of Microbusinesses:
Evidence from Indonesia
- Lussia Andriany,
- Sang-Joon Kim
Abstract
This study argues that entrepreneurship motivation, particularly
necessity entrepreneurship, is a determining factor in the process of
establishing a new microbusiness. This argument is based on the negative
stigma associated with necessity entrepreneurs, that is, entrepreneurs
start their businesses due to external pressure, resulting in owners who
lack clear business goals. Taking the concept of effectuation logic, we
employ a qualitative approach in the context of Indonesia to explain how
entrepreneurs' motivation plays a role in establishing a microbusiness.
Our findings, presenting that microbusiness owners' motivation is
bifurcated based on pressure and opportunity, suggest an
effectuation-based process of microbusiness creation.24 Jan 2024Submitted to Advance 05 Apr 2024Published in Advance