A multidimensional examination of a creativity‐based opportunity recognition model

Purpose – This paper seeks to detail an exploratory examination of a multidimensional, creativity‐based theoretical model of opportunity recognition originally proposed by Hills et al. and later refined by Lumpkin et al. , but never empirically tested. The paper also aims to examine the relationship between individual dimensions of the model and creativity. Design/methodology/approach – Analyses were conducted using AMOS software on a sample of 145 entrepreneurs. One structural equation model (SEM) and three confirmatory factor analysis models were tested. Findings – The five‐dimensional model – consisting of preparation, incubation, insight, evaluation, and elaboration – was determined to be the best fitting model. The SEM model also indicated that incubation and elaboration were significantly related to creativity. Overall, a multidimensional, creativity‐based approach to modeling opportunity recognition is supported by this study. Research limitations/implications – Cross‐sectional data do not allow for testing of the process aspect of the model; however, they do provide evidence that the model can stand up to empirical tests of the five elements of the model. Future research should examine opportunity using multiple dimensions and a creativity perspective. Additional research is needed to examine the process aspects of opportunity recognition. Practical implications – Fostering opportunity recognition processes that are iterative and involve multiple stages is likely to promote more creative entrepreneurial outcomes. Originality/value – This study provides one of the few examples of a multidimensional perspective on opportunity recognition as well as an empirical examination of a creativity‐based theoretical model of opportunity recognition.