Entrepreneurial organizing activities and nascent venture performance

Abstract This research provides an improved understanding of how ventures successfully organize via resource allocations. Conceptually, we apply elements action theory to account for trade-offs that occur as entrepreneurs make decisions about adding staff members boundary spanning, technical core, and management functions. We then model these allocation differentially impact nascent venture performance. Empirically, test our with a sample 2484 captured in the Kauffman Firm Survey, longitudinal dataset tracks random US startups over 8-year period. Results from dynamic panel estimation reveal evidence both performance penalties boosts result specific areas, revealing optimality configurations entrepreneurial organizing elements.