Professor Saras D. Sarasvathy on Effectuation, the principals that can help build a successful business. Paul Hammaker Professor of Entrepreneurship at University of Virginia Darden School of Business
Prof Saras started off with defining what makes an Entrepreneur an expert and gathered details of those who fit this definition. Out of the 245(around the world) that qualified as ‘Expert’ entrepreneurs, she studied 45 expert entrepreneurs. The results were fascinating. For instance these were not just 45 inspiring stories but were a detailed study based on a 17 page problem set of 10 typical entrepreneurship challenges.
The participants were asked to talk as they solved the problem set. This proved to be a comparative study of what goes on in their minds as the individuals handled each of these challenges. This proved to be valuable data for the academia in the field of Effectuation.
We live in exciting times that has seen a rise in Entrepreneurs who left dream careers to follow their calling. We have also see the downfall of most of them. So why does one fail in spite of the aspirations, business plan or support system? Is there a technique that one can follow to predict success? Can we learn it at school methodically like we learned Science and Math?