Empirical evidence suggests that entrepreneurs make mistakes: too many enter markets and, once there, persist too long. While scholars have largely settled on behavioral bias as the cause, we suggest that this consensus is premature. These mistakes may also arise from a process in which...

Problemistic search theory, with its roots in the Carnegie School tradition, describes a behaviorally plausible process by which firms learn from performance feedback. A firm's recognition of performance below aspirations leads to search for a solution to the problem, resulting in change...

Extant theory holds that new entrants' pre-entry experience is an important asset that enhances their post-entry performance. While the logic is compelling, empirical findings have been inconsistent. We argue that this gap results, in part, because the empirical literature tends to confound two...