Enabling Entrepreneurial Choice

Entrepreneurs must choose between alternative strategies for bringing their idea to market. They face uncertainty regarding both the quality of as well efficacy each strategy. Although entrepreneurs can reduce this by conducting tests, any single test conflates signal particular strategy and idea. Resolving conflation requires exploring multiple strategies. Consequently, entrepreneurial choice is enhanced finding ways lower cost testing strategies, receiving guidance types tests likely conflation, optimally sequencing based on previous beliefs. This creates a role judgment that may be provided trusted third parties such mentors investors. We hypothesize institutions transmitting aggregating spur performance. paper was accepted David Simchi-Levi, Special Section Management Science: 65th Anniversary.