The Entrepreneurial Process as an effectuation of Identity: a Supplementary Perspective on Effectuation Theory

This paper presents a supplementary perspective to Sarasvathy's (2001) effectuation theory in entrepreneurship research. Contrary to perceiving identity as a given precondition for the entrepreneurial process, as it is practiced in effectuation theory, the paper presents a supplementary conceptual framework on effectuation, which depicts entrepreneurial identity construction as a part of the effectuation process going on simultaneously with the development of a new organization. It is demonstrated that individuals often do not hold a clear and coherent understanding of the entrepreneurial identity when entering the entrepreneurial process. Thus, along with the effectuation for opportunities, resources and knowledge on how to establish a new organization, enterprising individuals also have to effectuate for cues on how to define "Who am I as an entrepreneur - Am I at all an entrepreneur?" The soundness of the framework is justified empirically, as it in the first place is grounded in ten narratives on the student entrepreneurial process.