The next post will cover this subject in more detail, but meanwhile here is a hint of what is to come. The idea that entrepreneurs manage risk and uncertainty; and make decisions differently has been researched by Saras Sarasvathy. Successful entrepreneurs were studied to detect these patterns – and the results are insightful, but also feel intuitively correct. It is called “effectuation”. And all you corporate people – note it is also valid and important for large organisations too!
So .. how do entrepreneurs handle risk and uncertainty? What do the successful ones do differently? How do you plan when you are dealing with new and unknown markets?
Attached is a visually attractive depiction of the study and the results.