Concept Formation and Subjective Knowledge: Analogy and Metaphor in the Early Days of Electrical Engineering

This paper discusses a particular type of knowledge, subjective knowledge, and its implication for inventive and entrepreneurial activity. The justification processes of subjective knowledge primarily involve internal coherence and procedural reasoning. These characteristics make subjective knowledge an interesting candidate for the analysis of concept formation in contexts where fundamental uncertainty is prevailing. Drawing upon theories of analogical reasoning in knowledge generation, processes and mechanisms of concept formation is discussed in the paper. Moreover, it is argued that such processes bear strong resemblance to the justification of subjective knowledge. The idea of concept formation through analogical reasoning is illustrated by a case study of two of the foremost inventors/entrepreneurs in the genesis of the electrical engineering industry: Thomas Alva Edison and George Westinghouse. While Edison used ideas as “subdivision of light” and gas lighting systems as base domains for analogy, Westinghouse’s inspiration came ideas such as “central station” and used gas distribution and rail signalling systems as his primary bases for analogy. Both of them early on also recognised the importance of imagination in conceptualizing the future uses of their system in realizing concepts into viable products. Some implications for theories of organizational knowledge are suggested.