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Swinging a double-edged sword: The effect of slack on entrepreneurial management and growth
Hankamer School of Business, Baylor University.
Jönköping University, Jönköping International Business School, JIBS, ESOL (Entrepreneurship, Strategy, Organization, Leadership). Jönköping University, Jönköping International Business School, JIBS, Business Administration.
Kelley School of Business, Indiana University.
2011 (English)In: Journal of Business Venturing, ISSN 0883-9026, E-ISSN 1873-2003, Vol. 26, no 5, 537-554 p.Article in journal (Refereed) Published
Abstract [en]

Resource slack represents a double-edged sword, simultaneously fueling and hindering growth. Drawing on Penrose's growth theory and Stevenson's entrepreneurial management theory, we have developed and tested a conceptual model that provides a more nuanced account of the resource slack–growth relationship. Using a large dataset spanning six years, we have found that slack has a positive direct effect on growth but a negative effect on entrepreneurial management, and that entrepreneurial management has a positive effect on growth. Our empirical and conceptual findings are important to the development of firm growth theory and explicate causal mechanisms transforming slack into firm-level outcomes.

Place, publisher, year, edition, pages
2011. Vol. 26, no 5, 537-554 p.
Keyword [en]
Entrepreneurial management, Slack, Penrose, Growth, Resources, Mediating relationship, Corporate entrepreneurship
National Category
Business Administration
Identifiers
URN: urn:nbn:se:hj:diva-13362DOI: 10.1016/j.jbusvent.2010.03.002OAI: oai:DiVA.org:hj-13362DiVA: diva2:353937
Available from: 2010-09-29 Created: 2010-09-29 Last updated: 2012-01-13Bibliographically approved

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