Asia-Pacific Journal of Business Venturing and Entrepreneurship (벤처창업연구)

The Korean Society of Business Venturing (한국벤처창업학회)
권호 표지

The Effects of Serial Entrepreneurs' Failure Attribution on Subsequent Venture: Moderating Effect of Entrepreneurial Self-efficacy and Resilience

창업가의 실패 귀인 지향성이 재창업에 미치는 영향: 기업가적 자기 효능감과 회복 탄력성의 조절효과를 중심으로

  • Lee, Jongseon (KAIST Center for Innovation & Entrepreneurship) ;
  • Kim, Nami (Korea University Institute for Business Research & Education)
  • 이종선 (한국과학기술원 혁신 및 기업가정신 연구센터) ;
  • 김나미 (고려대학교 기업경영연구원)
  • Received : 2019.04.25
  • Accepted : 2019.06.29
  • Published : 2019.06.30
Download PDF
⟨ Previous Next ⟩

Abstract

There is a growing interest in the entrepreneurial activity that has long been considered essential for sustainable economic development and value creating. Although it is strongly encouraged by focusing on the positive aspects of venturing, less has been paid attention to entrepreneurial failure, which is the biggest cause of hesitation in starting a business. The uncertain and risky nature of entrepreneurship implies a considerable possibility of failure. Even if it fails, the experience and knowledge of entrepreneurs acquired through entrepreneurship indeed offers valuable lessons for the re-venturing, which can serve as an important social asset that should not be lost. It has been argued that re-entering the same industry for the subsequent venture maximizes the learning effect through utilizing potential benefits from industry-specific knowledge. Although the re-startup after entrepreneurial failure is a very important topic in the studies on serial entrepreneurs, there is a paucity of systematic empirical investigation. This study responds to calls for more research on the re-startup after entrepreneurial failure, and specifically complements existing studies on serial entrepreneurs. Focusing on the entrepreneurs' attribution for the failure, we conducted an empirical analysis of how this affects the re-startup process. Moreover, we also examined the moderating effects of entrepreneurial self-efficacy and resilience. For the analyses, we surveyed the entrepreneurs who tried to re-start the subsequent business after the entrepreneurial failure through the "Revitalization Center for Strained Entrepreneur". The results found that failed entrepreneurs who blamed internal factors for their previous venture failures were likely to keep the same industry for their subsequent business. In addition, the positive effect of internal attribution on maintaining the same industry for the re-startup was found to be stronger when entrepreneurial self-efficacy and resilience were high.

사회경제적 부가가치 산출 및 파급효과가 높은 창업에 대한 관심이 증가하고 있는 추세이다. 창업이 가져오는 긍정적인 측면에 집중하여 적극적으로 권장되고 있지만, 실패에 대한 두려움은 창업을 주저하게 만드는 가장 큰 원인으로 꼽히고 있다. 불확실성과 위험성이 높은 창업이 가지는 근본적인 특성상 창업가는 실패를 경험하게 될 가능성이 크다. 하지만 실패하게 되더라도, 창업을 통해 습득했던 기업인의 경험과 지식은 재창업 시 중요한 원천으로 작용할 수 있으며 결코 사장되어서는 안 될 사회적 자산이 될 수 있다. 특히 재창업 시 동일한 산업에 재도전하는 것은 이전 창업 경험을 통한 학습효과를 극대화하는 것으로 보고된 바 있다. 이렇듯 실패 후 재창업은 창업 관련 연구에 있어 매우 중요한 주제임에도 이와 관련한 체계적인 연구는 부족한 실정이다. 본 연구는 창업가가 실패에 대해 귀인하는 경향성에 주목하여 이것이 재창업 과정에 어떠한 영향을 미치는지에 대하여 실증분석을 실시하였다. 또한 이 과정에서 기업가적 자기효능감과 회복 탄력성이 미치는 조절 효과를 함께 고찰해보고자 하였다. 이를 위하여 재기중소기업개발원을 통하여 실패 후 창업을 시도한 연속 창업가들을 대상으로 설문을 진행하여 데이터를 수집하여 분석을 실시하였다. 분석 결과, 창업 실패의 원인을 내부적으로 귀인하는 경향이 높을수록 재창업 시 기존에 창업한 바 있는 동일한 산업을 그대로 유지하려 하는 것으로 나타났다. 또한 이러한 실패 내부 귀인 경향이 재창업 시 동일 산업 유지에 미치는 긍정적 영향은 기업가적 자기 효능감이 높을 때와 회복 탄력성이 높을 경우에 그 효과가 강해지는 것으로 나타났다.

Keywords

References

  1. Arabsheibani, G., de Meza, D., Maloney, J., & Pearson, B.(2000). And a vision appeared unto them a great profit: evidence of self-deception among the self-employed, Economics Letters, 67(1), 35-41. https://doi.org/10.1016/S0165-1765(99)00242-6
  2. Agarwal, R., Echambadi, R., Franco, A. M., & Sarkar, M.(2004). Knowledge transfer through inheritance: Spin-out generation, development and suvival, Academy of Management Journal, 47(4), 501-522. https://doi.org/10.2307/20159599
  3. Argote, L.(2012). Organizational learning: Creating, retaining and transferring knowledge, New York, NY: Springer.
  4. Arora, P., Haynie, J. M., & Laurence, G. A.(2013). Counterfactual thinking and entrepreneurial self-efficacy: The moderating role of self-esteem and dispositional affect, Entrepreneurship Theory and Practice, 37(2), 359-385. https://doi.org/10.1111/j.1540-6520.2011.00472.x
  5. Ayala, J. C., & Manzano, G.(2014). The resilience of the entrepreneur. Influence on the success of the business. A longitudinal analysis, Journal of Economic Psychology, 42, 126-135. https://doi.org/10.1016/j.joep.2014.02.004
  6. Bae, Y. I., Lee, S. M., & Joen, J. E.(2013). Study on restart activation and successful rechallenging environment, Korea Small Business Institute.
  7. Bau, M., Sieger, P., Eddleston, K. A., & Chirico, F.(2016). Fail but try again? The effects of age, gender, and multiple-owner experience on failed entrepreneurs' reentry, Entrepreneurship Theory and Practice, 41(6), 909-941. https://doi.org/10.1111/etap.12233
  8. Bandura, A.(1978). Reflections on self-efficacy, Advances in Behavioral Research and Therapy, 1(4), 237-269. https://doi.org/10.1016/0146-6402(78)90012-7
  9. Bernardo, A. E., & Welch, I.(2001). On the evolution of overconfidence and entrepreneurs, Journal of Economics & Management Strategy, 10(3), 301-330. https://doi.org/10.1162/105864001316907964
  10. Boyd, N. G., & Vozikis, G. S.(1994). The Influence of self-efficacy on the development of entrepreneurial intentions and actions, Entrepreneurship theory and practice, 18(4), 63-77. https://doi.org/10.1177/104225879401800404
  11. Bruno, A. V., & Leidecker, J. K.(1988). Causes of new venture failure, 1960s vs. 1980s, Business Horizons, 31(6), 51-56. https://doi.org/10.1016/0007-6813(88)90024-9
  12. Bullough, A., & Renko, M.(2013). Entrepreneurial resilience during challenging times, Business Horizons, 56, 343-350. https://doi.org/10.1016/j.bushor.2013.01.001
  13. Bullough, A., Renko, M., & Myatt, T.(2014). Danger zone entrepreneurs: The importance of resilience and selfefficacy for entrepreneurial intentions, Entrepreneur ship Theory and Practice, 38(3), 473-499. https://doi.org/10.1111/etap.12006
  14. Cassar, G.(2006). Entrepreneur opportunity costs and intended venture growth, Journal of Business Venturing, 21(5), 610-632. https://doi.org/10.1016/j.jbusvent.2005.02.011
  15. Cassar, G.(2014). Industry and startup experience on entrepreneur forecast performance in new firms, Journal of Business Venturing, 29(1), 137-151. https://doi.org/10.1016/j.jbusvent.2012.10.002
  16. Chatterji, A. K.(2009). Spawned with a silver spoon? Entrepreneurial performance and innovation in the medical device industry, Strategic Management Journal, 30(2), 185-206. https://doi.org/10.1002/smj.729
  17. Cope, J.(2011). Entrepreneurial learning from failure: An interpretative phenomenological analysis, Journal of Business Venturing, 26, 604-623. https://doi.org/10.1016/j.jbusvent.2010.06.002
  18. Cope, J., Cave, F., & Eccles, S.(2004). Attitudes of venture capital investors towards entrepreneurs with previous business failure, Venture Capital, 6(2/3), 147-172. https://doi.org/10.1080/13691060410001675965
  19. Cope, J., & Watts, G.(2000). Learning by doing: an exploration of experience, critical incidents and reflection in entrepreneurial learning, International Journal of Entrepreneurial Behavior & Research, 6(3), 104-124. https://doi.org/10.1108/13552550010346208
  20. Corner, P. D., Singh, S., & Pavlovich, K.(2017). Entrepreneurial resilience and venture failure, International Small Business Journal, 35(6), 687-708. https://doi.org/10.1177/0266242616685604
  21. Cotterill, K.(2012). A comparative study of entrepreneurs' attitudes to failure in technology ventures, International Journal of Innovation Science, 4(2), 101-116, https://doi.org/10.1260/1757-2223.4.2.101
  22. Dahlin, K. B., Chuang, Y. T., & Roulet, T. J.(2018). Opportunity, motivation and ability to learn from failures and errors: Review, synthesis, and the way forward, Academy of Management Annals, 12(1), 252-277. https://doi.org/10.5465/annals.2016.0049
  23. Diener, C. I., & Dweck, C. S.(1980). An analysis of learned helplessness: II. The processing of success, Journal of Personality and Social Psychology, 39, 940-952. https://doi.org/10.1037/0022-3514.39.5.940
  24. Eggers, J. P. & Song, L.(2015). Dealing with failure: Serial entrepreneurs and the costs of changing industries between ventures, Academy of Management Journal, 58(6), 1785-1803. https://doi.org/10.5465/amj.2014.0050
  25. Folkes, V. S.(1988). Recent attribution research in consumer behavior: A review and new directions, Journal of Consumer Research, 14, 548-565. https://doi.org/10.1086/209135
  26. Grawitch, M. J., Block. E. E., & Ratner, J. F.(2005). How are evaluations of positive and negative experiences related to the intensity of affect in workgroups?, Group Dynamics: Theory Research, and Practice, 9(4), 261-274. https://doi.org/10.1037/1089-2699.9.4.261
  27. Hambrick, D. C.(2007). Upper echelons theory: An update, Academy of Management Review, 32(2), 334-343. https://doi.org/10.5465/amr.2007.24345254
  28. Hayward, M. L. A., Forster, W. R., Sarasvathy, S. D., & Fredrickson, B. L.(2010). Beyond hubris: How highly confident entrepreneurs rebound to venture again, Journal of Business Venturing, 25(6), 569-578. https://doi.org/10.1016/j.jbusvent.2009.03.002
  29. Heider, F.(1958). The psychology of interpersonal relations, New York: John Wiley.
  30. Jang, S. D.(2003). A comparative study of succeeded and failed venture firms, Asia-Pacific Journal of Business Venturing and Entrepreneurship, 6(3), 101-126.
  31. Jeong, H. B.(2016). Reflection on the definitions and research tasks for the startup studies, Asia-Pacific Journal of Business Venturing and Entrepreneurship, 11(3), 77-85. https://doi.org/10.16972/apjbve.11.3.201606.77
  32. Jenkins, A., Wiklund, J., & Brundin, E.(2014). Individual responses to firm failure: Appraisals, grief, and the influence of prior failure experience, Journal of Business Venturing, 29(1), 17-33. https://doi.org/10.1016/j.jbusvent.2012.10.006
  33. Jo, Y. L.(2016). The differences in strategic behaviors and economic performance between serial and novice entrepreneurs, Asia-Pacific Journal of Business Venturing and Entrepreneurship, 11(3), 17-25. https://doi.org/10.16972/apjbve.11.3.201606.17
  34. KC, D., Staats, B. R., & Gino, F.(2013). Learaning from my success and from others' failure: Evidence from minimally invasive cardiac surgery, Management Science, 59, 2435-2449. https://doi.org/10.1287/mnsc.2013.1720
  35. Kim, H.(2012). The entrepreneurial factors and entrepreneurial intention on student, Asia-Pacific Journal of Business Venturing and Entrepreneurship, 7(1), 263-271. https://doi.org/10.16972/apjbve.7.1.201203.263
  36. Krueger, N. F., & Dickson, P. R.(1994). How believing in ourselves increases risk taking: Self-efficacy and opportunity recognition, Decision Sciences, 25(3), 385-400. https://doi.org/10.1111/j.1540-5915.1994.tb01849.x
  37. Lee. D. Y., & Tsang, E. W. K.(2001). The effects of entrepreneurial personality. background and network activities on venture growth, Journal of Management Studies, 38(4), 583-602. https://doi.org/10.1111/1467-6486.00250
  38. Lee, J. K., Kim, H. C., & Ahn, T.(2014). Self-efficacy and firm performance: The role of entrepreneurial orientation and entrepreneurial experience, Korean Management Review, 43(2), 561-586.
  39. Lee, J. W., & Jang, S. D.(1999). Characteristics of successful high tech ventures: An empirical study, The Journal of Small Business Innovation, 21(1), 105-133.
  40. Lee, J. W., & Lee, S. H.(2003). Failure factors of high-tech ventures: An empirical study, Korean Strategic Management Society conference proceedings, 49-82.
  41. Luger, M. I., & Koo, J.(2005). Defining and tracking business start-ups, Small Business Economics, 24(1), 17-28. https://doi.org/10.1007/s11187-005-8598-1
  42. McGrath, R. G.(1999). Falling forward: real options reasoning and entrepreneurial failure, Academy of Management Review, 24, 13-30. https://doi.org/10.5465/amr.1999.1580438
  43. McKenzie, B., & Sud, M.(2008). A hermeneutical approach to understanding entrepreneurial Failure, Academy of Entrepreneurship Journal, 14(1/2), 123-148.
  44. Miller, D., Kets De Vries, M. F. R., & Toulouse, J. M.(1982). Top executive locus of control and its relationship to strategy-making, structure, and environment, Academy of Management Journal, 25(2), 237-253. https://doi.org/10.2307/255988
  45. Minniti, M., & Bygrave, W.(2001). A dynamic model of entrepreneurial learning, Entrepreneurship Theory and Practice, 25(3), 5-16. https://doi.org/10.1177/104225870102500301
  46. Ministry of SMEs and Startups(2014). Survey on the perception of youth employment and entrepreneurship.
  47. Neter, J., Wasserman, W., & Kunter, M. H.(1990). Applied Linear Statistical Models: Regression, Analysis of Variance, and Experimental Design (3rd ed.), Homewood, IL: Irwin.
  48. OECD(2013). Entrepreneurship at a Glance 2013, OECD publishing.
  49. Parker. L. E.(1993). When to fix it and when to leave: Relationships among perceived control, self-efficacy, dissent, and exit, Journal of Applied Psychology, 78(6), 949-959. https://doi.org/10.1037/0021-9010.78.6.949
  50. Parker, S. C.(2013). Do serial entrepreneurs run successively better-performing businesses?, Journal of Business Venturing, 28(5), 652-666. https://doi.org/10.1016/j.jbusvent.2012.08.001
  51. Plehn-Dujowich, J.(2010). A theory of serial entrepreneurship, Small Business Economics, 35(4), 377-398. https://doi.org/10.1007/s11187-008-9171-5
  52. Politis, D.(2005). The process of entrepreneurial learning: A conceptual framework, Entrepreneurship Theory and Practice, 29, 399-424. https://doi.org/10.1111/j.1540-6520.2005.00091.x
  53. Politis, D., & Gabrielsson, J.(2009). Entrepreneurs' attitudes towards failure: an experiential learning approach, International Journal of Entrepreneurial Behavior & Research, 15(4), 364-383. https://doi.org/10.1108/13552550910967921
  54. Powell, E. E., & Baker, T.(2011). Beyond making do: Toward a theory of entrepreneurial resourcefulness, Frontiers of Entrepreneurship Research, 31(12), 375-388.
  55. Rogoff, E. G., Lee, M. S., & Suh, D. C.(2004). Who done it?-Attributions by entrepreneurs and experts of the factors that cause and impede small business success, Journal of Small Business Management, 42, 364-376. https://doi.org/10.1111/j.1540-627X.2004.00117.x
  56. Rotter, J. B.(1966). Generalized expectency for internal versus external control of reinforcement, Psychological Monographs: General and Applied, 80(1), 1-28. https://doi.org/10.1037/h0092976
  57. Schneider, S. L.(2001). In search of realistic optimism, American Psychologist, 56, 250-263. https://doi.org/10.1037/0003-066X.56.3.250
  58. Schumpeter, J.(1934). Capitalism, socialism, and democracy, New York: Harper & Row.
  59. Schunk, O. H.(1982). Effects of effort attributional feedback on children's perceived self-efficacy and achievement, Journal of Educational Psychology, 74(4), 548-556. https://doi.org/10.1037/0022-0663.74.4.548
  60. Schunk, O. H.(1983). Ability versus effort attributional feedback: Differential effects on self-efficacy and achievement, Journal of Educational Psychology, 75(6), 846-856.
  61. Schunk, D. H. & Zimmerman, B. J.(1997). Social origins of self-regulatory competence, Educational Psychologist, 32(4), 195-208. https://doi.org/10.1207/s15326985ep3204_1
  62. Sedikides, C., Campbell, W. K., Reeder, G. D., & Elliot, A. J.(1998). The self-serving bias in relational context, Journal of Personality and Social Psychology, 74(2), 378-386. https://doi.org/10.1037/0022-3514.74.2.378
  63. Sequeira. J. M., Mueller, S., & McGee, J.(2007). The inf1uence of social ties and self-efficacy in forming entrepreneurial intentions and motivating nascent behavior, Journal of Developmental Entrepreneurship, 12(3), 275-293. https://doi.org/10.1142/S108494670700068X
  64. Shane, S., & Venkataraman, S.(2000). The promise of entrepreneurship as a field of research, Academy of Management Review, 25(1), 217-226. https://doi.org/10.5465/amr.2000.2791611
  65. Shaver, K. G.(2004). Attribution and locus of control. In W. B. Gartner & K. G. Shaver & N. M. Carter & P. D. Reynolds (Eds.), Handbook of entrepreneurial dynamics: The process of business creation: 205-213, Thousand Oaks, CA; Sage.
  66. Shepherd, D. A.(2003). Learning from business failure: propositions of grief recovery for the self-employed, Academy of Management Review, 28(2), 318-328. https://doi.org/10.5465/amr.2003.9416377
  67. Sinclair, V. G., & Wallston, K. A.(2004). The development and psychometric evaluation of the brief resilient coping scale, Assessment, 11(1), 94-101. https://doi.org/10.1177/1073191103258144
  68. Singh, S., Corner, P. D., & Pavlovich, K.(2015). Failed, not finished: A narrative approach to understanding venture failure stigmatization, Journal of Business Venturing, 30, 150-166. https://doi.org/10.1016/j.jbusvent.2014.07.005
  69. Sitkin, S. B.(1992). Learning through failure-The strategy of small losses, Research in organizational behavior, 14, 231-266.
  70. Stevensen, H. H., & Gumpert, D. E.(1985). The heart of entrepreneurship, Harvard Business Review, 1-11.
  71. Stokes, D., & Blackburn, R.(2002). Learning the hard way: The lessons of owner-managers who have closed their businesses, Journal of Small Business and Enterprise Development, 9(1), 17-27. https://doi.org/10.1108/14626000210419455
  72. Stuart, R. W., & Abetti, P. A.(1990). Impact of entrepreneurial and management experience on early performance, Journal of business venturing, 5(3), 151-162. https://doi.org/10.1016/0883-9026(90)90029-S
  73. Ucbasaran, D., Shepherd, D. A., Lockett, A., & Lyon, S. J. (2013). Life after business failure: The process and consequences of business failure for entrepreneurs, Journal of Management, 39(1), 163-202. https://doi.org/10.1177/0149206312457823
  74. Ucbasaran, D., Westhead, P., & Wright, M.(2009). The extentand nature of opportunity identification by experienced entrepreneurs, Journal of Business Venturing, 24(2), 99-115. https://doi.org/10.1016/j.jbusvent.2008.01.008
  75. Ucbasaran, D., Westhead, P.,& Wright, M.(2011). Why serial entrepreneurs don't learn from failure, Harvard Business Review, 89(4), 26.
  76. Ucbasaran, D., Westhead, P., Wright, M., & Flores, M.(2010). The nature of entrepreneurial experience, business failure and comparative optimism, Journal of Business Venturing, 25(6), 541-555. https://doi.org/10.1016/j.jbusvent.2009.04.001
  77. Von Hippel, E., & Tyre, M. J.(1995). How learning by doing is done: Problem identification in novel process equipment, Research Policy, 24, 1-12. https://doi.org/10.1016/0048-7333(93)00747-H
  78. Watson, J., & Everett, J. E.(1996). Do small businesses have high failure rates?, Journal of Small Business Management, 36, 45-62.
  79. Weiner, B.(2000). Attributional thoughts about consumer behavior, Journal of Consumer Research, 27(3), 382-387. https://doi.org/10.1086/317592
  80. Weiner, B.(1986). An Attributional Theory of Motivation and Emotion, New York: Springer-Verlag.
  81. Westhead, P., Ucbasaran, D., & Wright, M.(2003). Differences between private firms owned by novice, serial and portfolio entrepreneurs: implications for policy makers and practitioners, Regional Studies, 37(2), 187-200. https://doi.org/10.1080/0034340022000057488
  82. Westhead, P., Ucbasaran, D., & Wright, M.(2005). Decisions, actions, and performance: Do novice, serial, and portfolio entrepreneurs differ?, Journal of Small Business Management, 43(4), 393-417. https://doi.org/10.1111/j.1540-627X.2005.00144.x
  83. Westhead, P., & Wright, M.(1998). Novice, portfolio, and serial founders: are they different?, Journal of Business Venturing, 13(3), 173-204. https://doi.org/10.1016/S0883-9026(97)90002-1
  84. Wright, M., Robbie, K., & Ennew, C.(1997). Venture capitalists and serial entrepreneurs, Journal of Business Venturing, 12(3), 227-249. https://doi.org/10.1016/S0883-9026(96)06115-0
  85. Yamakawa, Y., Peng. M. W., & Deeds. D. L.(2013). Rising from the ashes: Cognitive determinants of venture growth after entrepreneurial failure, Entrepreneurship Theory and Practice, 39(2), 209-236. https://doi.org/10.1111/etap.12047
  86. Yoo, B. H.(2013). The effect of young entrepreneurs' psychological characteristics and intrinsic motivation on the possibility of start-up success, Korean Journal of Business Administration, 26(10), 2669-2690.
  87. Youssef, C. M., & Luthans, F.(2005). Resiliency development of organizations, leaders and employees: Multi-level theory building for sustained performance. In W. Gardner, B. Avolio, & F. Walumbwa (Eds.), Authentic leadership theory and practice: Origins, effects and development, 3: 303-343. Oxford, UK; Elsevier.
  88. Zacharakis, A. L., Meyer, G. D., & Decastro, J.(1999). Differing perceptions of new venture failure: A matched exploratory study of venture capitalists and entrepreneurs, Journal of Small Business Management, 37(3), 1-14.
  89. Zhang, J.(2011). The advantage of experienced start-up founders in venture capital acquisition: evidence from serial entrepreneurs, Small Business Economics, 36(2), 187-208. https://doi.org/10.1007/s11187-009-9216-4
  90. Zhao, H., Seibert, S. E., & Hills, G. E.(2005). The mediating role of self-efficacy in the development of entrepreneurial intentions, Journal of Applied Psychology, 90(6), 1265-1272. https://doi.org/10.1037/0021-9010.90.6.1265